Triad Business Bank (OTCID – “TBBC”), August 6, 2026, Announces Unaudited Second Quarter 2026 Results

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Overview

GREENSBORO, N.C.--(BUSINESS WIRE)-- For the three-month period ending June 30, 2026, Triad Business Bank (the “Bank”) reported net income of $78,000 compared to $216,000 for the same period a year ago. Net income totaled $0.01 per share in the second quarter of 2026 compared to $0.03 per share in the second quarter of 2025. For the six-month period ending June 30, 2026, the Bank reported a $67,000 improvement in net income with a $482,000 profit in 2026 compared to $415,000 in the prior year period.

Ramsey Hamadi, Chief Executive Officer, commented, “The Bank’s second quarter core earnings improved $169,000 over the prior year period due primarily to an increase in the Bank’s net interest margin. The Bank’s net interest margin increased 43 basis points over the prior year period due primarily to an improved interest rate spread between the Bank’s interest-earning assets and interest-bearing liabilities. Net interest income increased $653,000 to $3.6 million in the second quarter of 2026 compared to the same period a year ago. Looking forward, the Bank intends to maintain disciplined expense control practices while the Bank’s net interest margin is expected to further improve throughout 2026 and 2027 as older lower yielding assets continue to reprice.”

Income Statement Comparison

For the Quarter

The Bank’s net income totaled $78,000 for the quarter ended June 30, 2026 compared to $216,000 for the quarter ended June 30, 2025. Core operating results, a non-GAAP measurement which excludes the provision for credit losses and taxes, reflected earnings of $406,000 for the second quarter of 2026 compared to $237,000 for the same quarter in the prior year.

Net interest income increased $653,000 to $3.6 million for the second quarter of 2026 from $3.0 million for the second quarter of 2025. The Bank’s net interest margin for the second quarter increased 43 basis points to 2.76% compared to 2.33% for the prior year quarter.

Interest income increased $225,000 to $7.0 million in the second quarter of 2026 compared to $6.8 million in the same quarter of 2025. The increase in interest income year over year was due primarily to loan growth. Average loans increased $32.1 million to $410.6 million at June 30, 2026. In 2026, the effect of the 0.75% decline in the prime rate in the latter part of 2025 was offset by the repricing up of low fixed rate loans. The weighted average yield on average loans was stable at 6.00% for the second quarter of both 2026 and 2025. The weighted average rate on interest-bearing liabilities decreased 64 basis points to 3.44% in the second quarter of 2026 compared to 4.08% in the same quarter of 2025.

Noninterest income increased 5% to $207,000 in the second quarter of 2026 compared to $198,000 in the second quarter of 2025. The Bank began charging NSF/OD fees in December 2025, and the increase in noninterest income is partly due to this as well as an increase in business account analysis fees, offset by a decrease in small business investment company (“SBIC”) distributions due to the partial sale of an SBIC investment in the second quarter of 2026.

Noninterest expense increased $493,000 in the second quarter of 2026 compared to the prior year quarter. Salaries and benefits expense increased $252,000, or 13%, in the second quarter of 2026 compared to the second quarter of 2025 due primarily to compensation adjustments effective July 1, 2025 and an increase in performance-related compensation in 2026. The Bank had 56 employees at the end of June 2026 and 2025. Other noninterest expenses increased $230,000 for the second quarter of 2026 over the same period in 2025. In the second quarter of 2026, legal and other professional expense increased $139,000, principally due to placement fees for new employee recruitment and legal fees related to nonaccrual loans, and regulatory assessments increased $60,000 compared to the prior year. The second quarter of 2025 included the effect of a first quarter reduction in the regulatory assessment rate.

For the Six Months

The Bank’s net income totaled $482,000 for the six months ended June 30, 2026 compared to $415,000 for the six months ended June 30, 2025. Core operating results reflected earnings of $877,000 for the first six months of 2026 compared to $271,000 for the same period in the prior year.

Net interest income increased $1.2 million to $7.1 million for the first six months of 2026 from $5.9 million for the same period of 2025. The Bank’s net interest margin for the first six months of 2026 increased 39 basis points to 2.69% compared to 2.30% for the prior year period.

Interest income increased $208,000 to $13.8 million in the first six months of 2026 compared to the same period of 2025. The increase in interest income year over year was due primarily to loan growth. Average loans increased $28.9 million to $407.3 million at June 30, 2026. The weighted average yield on average loans decreased 7 basis points to 5.93% in the first half of 2026 compared to 6.00% in the prior year period. The weighted average rate on interest-bearing liabilities decreased 68 basis points to 3.44% in the first six months of 2026 compared to 4.12% in the first half of 2025.

Noninterest income increased 8% to $474,000 in the first six months of 2026 compared to $440,000 in the same period of 2025. The Bank began charging NSF/OD fees in December 2025, and the increase in noninterest income is partly due to this as well as an increase in business account analysis fees, offset by a decrease in SBIC distributions due to the partial sale of an SBIC investment in the second quarter of 2026.

Noninterest expense increased $620,000 in the first six months of 2026 compared to the prior year period. Salaries and benefits expense increased $367,000, or 10%, in the first half of 2026 compared to the same period of 2025 due primarily to compensation adjustments effective July 1, 2025 and an increase in performance-related compensation in 2026. Other noninterest expenses increased $212,000 for the first six months of 2026 over the same period in 2025. Legal and other professional expense increased $215,000 in the first half of 2026 compared to the prior year principally due to placement fees for new employee recruitment and legal fees related to nonaccrual loans.

Balance Sheet Comparison

Total assets increased $4.7 million to $536.0 million at June 30, 2026 from $531.3 million at June 30, 2025. Loans increased $23.1 million while securities decreased $17.4 million and deposits increased $4.2 million over the same period. Other borrowings decreased $5.0 million to $4.0 million at June 30, 2026 from $9.0 million at June 30, 2025.

Shareholders’ equity increased $4.7 million year over year to $50.8 million at June 30, 2026. Accumulated other comprehensive income/loss (“AOCI”) improved by $3.1 million year over year to an unrealized loss of $8.4 million from an unrealized loss of $11.5 million at June 30, 2025. The AOCI loss is expected to reverse, assuming no future credit impairments, as the bond portfolio shortens in life and is assumed to mature at par value.

Regulatory Capital

Total risk-based capital consists of tier 1 capital and tier 2 capital. The Bank’s tier 1 capital is largely a measure of shareholders’ equity as calculated under GAAP but excludes the AOCI loss. Tier 2 capital is primarily the allowance for credit losses on funded and unfunded loan commitments. Tier 1 and tier 2 capital ratios are measured against total assets and risk-weighted assets.

The following is a summary presentation of the Bank’s total regulatory capital to risk-weighted assets, tier 1 capital to risk-weighted assets and tier 1 capital to average assets in comparison with the regulatory guidelines at June 30, 2026:

Capital and Capital Ratios

		Quarter Ended
		6/30/2026
		Amount			Ratio
Actual
(dollars in thousands)
Total Capital (to risk-weighted assets)		$	63,130		12.29	%
Tier 1 Capital (to risk-weighted assets)		$	59,268		11.54	%
Tier 1 Capital (to average assets)		$	59,268		10.86	%
Minimum To Be Well-Capitalized Under
Prompt Corrective Action Provisions
(dollars in thousands)
Total Capital (to risk-weighted assets)		$	51,000		10.00	%
Tier 1 Capital (to risk-weighted assets)		$	41,000		8.00	%
Tier 1 Capital (to average assets)		$	27,000		5.00	%

The Bank continues to be “well-capitalized” for regulatory purposes.

Loans

The Bank’s outstanding loans increased $23.1 million, or 6%, to $411.0 million at June 30, 2026 compared to $387.9 million at June 30, 2025. While not included in loans outstanding, the Bank also had unfunded loan commitments of $145.2 million, bringing total loans outstanding and unfunded commitments to $556.2 million at June 30, 2026. For internal monitoring purposes, the Bank considers owner-occupied real estate loans to be part of commercial and industrial (“C&I”) loans. As of June 30, 2026, approximately 53% of the Bank’s outstanding loan portfolio was composed of C&I loans:

Loan Diversification

					Percentage of
Loan Category		6/30/2026			Loan Portfolio
Other Construction & Land Development		$	51,237,185
Nonowner-occupied Commercial Real Estate			138,497,711
Total Commercial Real Estate			189,734,896		46	%
Owner-occupied Real Estate			110,818,899
C&I			108,213,873
Total C&I			219,032,772		53	%
Other Revolving Loans			2,238,382		1	%
Total		$	411,006,050

Credit Risk and Allowance for Credit Losses

During the second quarter of 2026, there was a provision for credit losses of $319,000 compared to a provision of $21,000 during the quarter ended June 30, 2025. For second quarter 2026, the components of this item were a provision for credit losses on loans of $286,000 and a provision for credit losses on unfunded loan commitments of $33,000 compared to second quarter 2025 components of a reversal of provision for credit losses on loans of $273,000, a reversal of provision for credit losses on unfunded loan commitments of $56,000, and a provision for credit losses on available-for-sale corporate bonds of $350,000.

For the six months ended June 30, 2026, there was a provision for credit losses of $365,000 compared to a reversal of provision for credit losses of $144,000 for the prior year period. For 2026, the components of this item were a provision for credit losses on loans of $361,000 and a provision for credit losses on unfunded loan commitments of $4,000 compared to 2025 components of a reversal of provision for credit losses on loans of $408,000, a reversal of provision for credit losses on unfunded loan commitments of $86,000, and a provision for credit losses on available-for-sale corporate bonds of $350,000.

The allowance for credit losses on loans was $3.5 million at June 30, 2026 compared to $3.6 million at June 30, 2025, or 0.85% and 0.92% of outstanding loans, respectively. Loan charge-offs were $276,000 in the second quarter and $321,000 for the first six months of 2026 compared to none in the second quarter and $114,000 in the first six months of 2025. The allowance for credit losses on unfunded loan commitments, recorded as a liability on the balance sheet, was $380,000, or 0.26% of unfunded commitments, at June 30, 2026 compared to $373,000, or 0.27%, at June 30, 2025. The decline in the allowance for credit losses on loans and unfunded loan commitments was driven by adjustments to qualitative assessment factors related to changes in the government regulatory environment and the interest rate environment. There was no allowance for credit losses on available-for-sale securities at June 30, 2026 compared to $3.3 million at June 30, 2025 due to security sales during the last half of 2025.

The Bank had $5.7 million in nonaccrual loans at June 30, 2026 compared to $2.5 million in nonaccrual loans at June 30, 2025. These loans were individually evaluated for credit loss.

Adjusted Tangible Book Value (Non-GAAP Measures)

The Bank’s GAAP tangible book value per share was $6.29 at June 30, 2026. On a non-GAAP basis, excluding the AOCI loss and the impairment on the Bank’s deferred tax asset (two reductions in capital under GAAP the Bank anticipates it will recover over time), adjusted tangible book value per share was $7.67 at June 30, 2026.

The organization and startup costs incurred during the Bank’s organizational period and net operating losses from the beginning of operations created a deferred tax asset of $2.7 million. This asset is currently fully impaired and will be carried at $0 until sufficient, verifiable evidence exists (generally, sustained profitability) to demonstrate that the deferred tax asset will more likely than not be realized. At that time, the valuation allowance will be reversed.

The change in fair value, excluding any credit impairment, of the Bank’s investment securities that are available for sale is recorded in AOCI as a gain or loss, based on current circumstances, and constitutes an unrealized component of equity. At June 30, 2026, the Bank had an aggregate AOCI loss of $8.4 million. Assuming the underlying investment securities are held to maturity and there are no future credit impairments, the value of the securities will return to their face values at maturity.

Outlook

Although there could be some compression in the net interest margin in the near term as interest rates change, we expect the Bank’s net interest margin to increase throughout 2026 and 2027 as older lower yielding assets continue to reprice.

About Triad Business Bank

With three co-equal offices located in Winston-Salem, High Point and Greensboro, Triad Business Bank focuses on meeting the needs of small to midsize businesses and their owners by providing loans, treasury management and private banking, all with a high level of personal attention and best-in-class technology. For more information, visit www.triadbusinessbank.com.

Non-GAAP Financial Measures

This release contains financial information determined by methods other than in accordance with generally accepted accounting principles in the United States (“GAAP”). The management of Triad Business Bank uses these non-GAAP financial measures in its analysis of the Bank’s performance. These measures typically adjust GAAP performance measures to exclude the effects of the provision for credit losses, income tax, deferred tax asset, and AOCI. Management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Bank. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

Forward Looking Language

This release contains certain forward-looking statements with respect to the financial condition, results of operations and business of Triad Business Bank. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of management of Triad Business Bank and on the information available to management at the time that these disclosures were prepared. These statements can be identified by the use of words like “expect,” “anticipate,” “estimate” and “believe,” variations of these words and other similar expressions. Readers should not place undue reliance on forward-looking statements as a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Triad Business Bank undertakes no obligation to update any forward-looking statements.

Triad Business Bank
Balance Sheet (Unaudited)		June 30, 2026				June 30, 2025				$ Change				% Change
Assets
Cash & Due from Banks		$	20,918,018			$	20,518,736			$	399,282			2	%
Securities			100,932,658				118,340,187				(17,407,529	)		-15	%
Federal Funds Sold			-				-				-			0	%
Loans			411,006,050				387,929,131				23,076,919			6	%
Allowance for Credit Losses ("ACL")			(3,482,256	)			(3,563,077	)			80,821			2	%
Loans, Net			407,523,794				384,366,054				23,157,740			6	%
Other Assets			6,671,456				8,101,708				(1,430,252	)		-18	%
Total Assets		$	536,045,926			$	531,326,685			$	4,719,241			1	%
Liabilities
Demand Deposits		$	95,069,280			$	103,045,441			$	(7,976,161	)		-8	%
ICS Reciprocal - Checking			1,198,031				1,187,591				10,440			1	%
Commercial Operating Accounts			96,267,311				104,233,032				(7,965,721	)		-8	%
Interest Checking			31,068,878				27,105,045				3,963,833			15	%
Core MMA & Savings			121,664,738				105,083,693				16,581,045			16	%
ICS Reciprocal - MMA			39,059,280				40,946,981				(1,887,701	)		-5	%
Total MMA & Savings			160,724,018				146,030,674				14,693,344			10	%
Core Time Deposits			25,351,950				29,853,816				(4,501,866	)		-15	%
CDARS - Reciprocal			9,091,650				22,900,997				(13,809,347	)		-60	%
Brokered CDs			154,632,429				142,795,132				11,837,297			8	%
Total Time Deposits			189,076,029				195,549,945				(6,473,916	)		-3	%
Total Deposits			477,136,236				472,918,696				4,217,540			1	%
Other Borrowings			4,000,000				9,000,000				(5,000,000	)		-56	%
Federal Funds Purchased			-				-				-			0	%
ACL on Unfunded Commitments			380,030				372,645				7,385			2	%
Other Liabilities			3,689,438				2,884,549				804,889			28	%
Total Liabilities			485,205,704				485,175,890				29,814			0	%
Shareholders' Equity
Common Stock			73,469,128				73,288,274				180,854			0	%
Accumulated Deficit			(14,200,602	)			(15,661,838	)			1,461,236			9	%
Accumulated Other Comprehensive Loss			(8,428,304	)			(11,475,641	)			3,047,337			27	%
Total Shareholders' Equity			50,840,222				46,150,795				4,689,427			10	%
Total Liabilities & Shareholders' Equity		$	536,045,926			$	531,326,685			$	4,719,241			1	%
Shares Outstanding			8,088,699				8,054,528				34,171			0	%
Tangible Book Value per Share		$	6.29			$	5.73			$	0.56			10	%

Triad Business Bank
Income Statement (Unaudited)		For Three Months Ended			For Three Months Ended
		June 30, 2026			June 30, 2025			$ Change				% Change
Interest Income
Interest & Fees on Loans		$	6,140,660		$	5,659,178		$	481,482			9	%
Interest & Dividend Income on Securities			744,951			943,570			(198,619	)		-21	%
Interest Income on Balances Due from Banks			106,420			166,584			(60,164	)		-36	%
Other Interest Income			31,181			29,364			1,817			6	%
Total Interest Income			7,023,212			6,798,696			224,516			3	%
Interest Expense
Interest on Checking Deposits			181,399			216,596			(35,197	)		-16	%
Interest on Savings & MMA Deposits			1,017,277			1,189,823			(172,546	)		-15	%
Interest on Time Deposits			1,859,785			2,210,085			(350,300	)		-16	%
Interest on Federal Funds Purchased			-			-			-			0	%
Interest on Borrowings			310,813			182,319			128,494			70	%
Other Interest Expense			8,262			6,901			1,361			20	%
Total Interest Expense			3,377,536			3,805,724			(428,188	)		-11	%
Net Interest Income			3,645,676			2,992,972			652,704			22	%
Provision for Credit Losses			319,096			20,714			298,382			1440	%
Net Interest Income After Provision for CL			3,326,580			2,972,258			354,322			12	%
Total Noninterest Income			207,284			198,049			9,235			5	%
Noninterest Expense
Salaries & Benefits			2,146,326			1,894,375			251,951			13	%
Premises & Equipment			153,685			142,565			11,120			8	%
Total Other Noninterest Expense			1,146,844			917,307			229,537			25	%
Total Noninterest Expense			3,446,855			2,954,247			492,608			17	%
Income Before Income Tax			87,009			216,060			(129,051	)		-60	%
Income Tax			9,500			-			9,500			100	%
Net Income		$	77,509		$	216,060		$	(138,551	)		-64	%
Net Income per Share
Basic		$	0.01		$	0.03		$	(0.02	)		-67	%
Diluted		$	0.01		$	0.03		$	(0.02	)		-67	%
Weighted Average Shares Outstanding
Basic			8,076,193			8,031,902			44,291			1	%
Diluted			8,199,700			8,128,907			70,793			1	%
Pre-provision, Pre-tax Income		$	406,105		$	236,774		$	169,331			72	%

Triad Business Bank
Key Ratios & Other Information (Unaudited)
					Quarter Ended									Quarter Ended
					6/30/2026									6/30/2025
					Interest									Interest
					Income/			Yield/						Income/			Yield/
		Balance			Expense			Rate			Balance			Expense			Rate
Yield on Average Loans		$	410,614,686		$	6,140,660		6.00	%		$	378,549,908		$	5,659,178		6.00	%
Yield on Average Investment Securities		$	104,990,571		$	744,951		2.85	%		$	119,871,214		$	943,570		3.16	%
Yield on Average Interest-earning Assets		$	529,905,615		$	7,023,212		5.32	%		$	514,560,647		$	6,798,696		5.30	%
Cost of Average Interest-bearing Liabilities		$	393,489,476		$	3,377,536		3.44	%		$	374,470,069		$	3,805,724		4.08	%
Net Interest Margin
Interest Income					$	7,023,212								$	6,798,696
Interest Expense						3,377,536									3,805,724
Average Earnings Assets		$	529,905,615								$	514,560,647
Net Interest Income & Net Interest Margin					$	3,645,676		2.76	%					$	2,992,972		2.33	%
Loan to Asset Ratio
Loan Balance		$	411,006,050								$	387,929,131
Total Assets			536,045,926					76.67	%			531,326,685					73.01	%
Leverage Ratio
Tier 1 Capital		$	59,268,526								$	57,626,436
Average Total Assets			545,947,192					10.86	%			535,330,388					10.76	%
Unfunded Commitments to Extend Credit		$	145,222,180								$	138,015,672
Standby Letters of Credit			1,686,225									436,358

Triad Business Bank
Balance Sheet (Unaudited)		June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025
Assets
Cash & Due from Banks		$	20,918,018			$	15,595,674			$	17,697,634			$	12,939,248			$	20,518,736
Securities			100,932,658				106,424,196				108,689,819				112,752,361				118,340,187
Federal Funds Sold			-				-				-				-				-
Loans			411,006,050				407,923,509				400,530,772				394,605,618				387,929,131
Allowance for Credit Losses ("ACL")			(3,482,256	)			(3,471,571	)			(3,441,699	)			(3,672,677	)			(3,563,077	)
Loans, Net			407,523,794				404,451,938				397,089,073				390,932,941				384,366,054
Other Assets			6,671,456				10,418,621				7,446,792				8,473,437				8,101,708
Total Assets		$	536,045,926			$	536,890,429			$	530,923,318			$	525,097,987			$	531,326,685
Liabilities
Demand Deposits		$	95,069,280			$	87,056,395			$	99,366,230			$	98,688,414			$	103,045,441
ICS Reciprocal - Checking			1,198,031				367,180				887,684				2,566,965				1,187,591
Commercial Operating Accounts			96,267,311				87,423,575				100,253,914				101,255,379				104,233,032
Interest Checking			31,068,878				23,362,189				25,317,392				24,447,604				27,105,045
Core MMA & Savings			121,664,738				103,096,005				113,295,751				95,465,194				105,083,693
ICS Reciprocal - MMA			39,059,280				40,311,365				43,606,487				41,153,986				40,946,981
Total MMA & Savings			160,724,018				143,407,370				156,902,238				136,619,180				146,030,674
Core Time Deposits			25,351,950				24,662,571				24,867,472				24,594,478				29,853,816
CDARS - Reciprocal			9,091,650				12,770,838				14,965,606				20,853,864				22,900,997
Brokered CDs			154,632,429				145,644,197				145,308,713				145,485,010				142,795,132
Total Time Deposits			189,076,029				183,077,606				185,141,791				190,933,352				195,549,945
Total Deposits			477,136,236				437,270,740				467,615,335				453,255,515				472,918,696
Other Borrowings			4,000,000				45,000,000				9,000,000				19,000,000				9,000,000
Federal Funds Purchased			-				-				-				-				-
ACL on Unfunded Commitments			380,030				347,468				376,509				363,405				372,645
Other Liabilities			3,689,438				3,624,675				3,363,566				3,166,723				2,884,549
Total Liabilities			485,205,704				486,242,883				480,355,410				475,785,643				485,175,890
Shareholders' Equity
Common Stock			73,469,128				73,443,013				73,389,919				73,343,619				73,288,274
Accumulated Deficit			(14,200,602	)			(14,278,111	)			(14,682,398	)			(15,179,127	)			(15,661,838	)
Accumulated Other Comprehensive Loss			(8,428,304	)			(8,517,356	)			(8,139,613	)			(8,852,148	)			(11,475,641	)
Total Shareholders' Equity			50,840,222				50,647,546				50,567,908				49,312,344				46,150,795
Total Liabilities & Shareholders' Equity		$	536,045,926			$	536,890,429			$	530,923,318			$	525,097,987			$	531,326,685
Shares Outstanding			8,088,699				8,055,028				8,055,028				8,054,528				8,054,528
Tangible Book Value per Share		$	6.29			$	6.29			$	6.28			$	6.12			$	5.73

Triad Business Bank
Income Statement (Unaudited)		For Three Months Ended			For Three Months Ended			For Three Months Ended				For Three Months Ended				For Three Months Ended
		June 30, 2026			March 31, 2026			December 31, 2025				September 30, 2025				June 30, 2025
Interest Income
Interest & Fees on Loans		$	6,140,660		$	5,832,096		$	6,030,530			$	6,025,540			$	5,659,178
Interest & Dividend Income on Securities			744,951			747,515			785,082				882,108				943,570
Interest Income on Balances Due from Banks			106,420			136,572			132,833				152,838				166,584
Other Interest Income			31,181			30,145			24,937				27,802				29,364
Total Interest Income			7,023,212			6,746,328			6,973,382				7,088,288				6,798,696
Interest Expense
Interest on Checking Deposits			181,399			172,247			194,461				222,838				216,596
Interest on Savings & MMA Deposits			1,017,277			1,081,799			1,024,058				1,164,179				1,189,823
Interest on Time Deposits			1,859,785			1,827,467			1,982,218				2,177,333				2,210,085
Interest on Federal Funds Purchased			-			-			-				439				-
Interest on Borrowings			310,813			233,112			237,895				184,712				182,319
Other Interest Expense			8,262			7,806			6,263				9,126				6,901
Total Interest Expense			3,377,536			3,322,431			3,444,895				3,758,627				3,805,724
Net Interest Income			3,645,676			3,423,897			3,528,487				3,329,661				2,992,972
Provision for (Reversal of) Credit Losses			319,096			45,750			41,138				(90,500	)			20,714
Net Interest Income After Provision for CL			3,326,580			3,378,147			3,487,349				3,420,161				2,972,258
Total Noninterest Income			207,284			266,664			234,576				241,239				198,049
Noninterest Expense
Salaries & Benefits			2,146,326			2,035,874			2,089,058				2,087,708				1,894,375
Premises & Equipment			153,685			166,034			153,918				159,287				142,565
Total Other Noninterest Expense			1,146,844			1,017,316			992,221				921,694				917,307
Total Noninterest Expense			3,446,855			3,219,224			3,235,197				3,168,689				2,954,247
Income Before Income Tax			87,009			425,587			486,728				492,711				216,060
Income Tax			9,500			21,300			(10,000	)			10,000				-
Net Income		$	77,509		$	404,287		$	496,728			$	482,711			$	216,060
Net Income per Share
Basic		$	0.01		$	0.05		$	0.06			$	0.06			$	0.03
Diluted		$	0.01		$	0.05		$	0.06			$	0.06			$	0.03
Weighted Average Shares Outstanding
Basic			8,076,193			8,055,028			8,054,648				8,054,528				8,031,902
Diluted			8,199,700			8,149,033			8,149,153				8,151,533				8,128,907
Pre-provision, Pre-tax Income		$	406,105		$	471,337		$	527,866			$	402,211			$	236,774

Triad Business Bank
Capital and Capital Ratios (Unaudited)
		Quarter Ended						Quarter Ended						Quarter Ended						Quarter Ended						Quarter Ended
		6/30/2026						3/31/2026						12/31/2025						9/30/2025						6/30/2025
		Amount			Ratio			Amount			Ratio			Amount			Ratio			Amount			Ratio			Amount			Ratio
Actual
(dollars in thousands)
Total Capital (to risk-weighted assets)		$	63,130		12.29	%		$	62,984		12.18	%		$	62,526		12.30	%		$	62,200		12.24	%		$	61,562		12.15	%
Tier 1 Capital (to risk-weighted assets)		$	59,268		11.54	%		$	59,165		11.44	%		$	58,708		11.55	%		$	58,164		11.44	%		$	57,626		11.37	%
Tier 1 Capital (to average assets)		$	59,268		10.86	%		$	59,165		10.86	%		$	58,708		10.95	%		$	58,164		10.84	%		$	57,626		10.76	%
Minimum To Be Well-Capitalized Under
Prompt Corrective Action Provisions
(dollars in thousands)
Total Capital (to risk-weighted assets)		$	51,000		10.00	%		$	52,000		10.00	%		$	51,000		10.00	%		$	51,000		10.00	%		$	51,000		10.00	%
Tier 1 Capital (to risk-weighted assets)		$	41,000		8.00	%		$	41,000		8.00	%		$	41,000		8.00	%		$	41,000		8.00	%		$	41,000		8.00	%
Tier 1 Capital (to average assets)		$	27,000		5.00	%		$	27,000		5.00	%		$	27,000		5.00	%		$	27,000		5.00	%		$	27,000		5.00	%

Triad Business Bank
Non-GAAP Measures (Unaudited)
Tangible Book Value
		Actual 6/30/2026		Non-GAAP 6/30/2026
Total Shareholders' Equity		$ 50,840,222		$ 50,840,222
Eliminate Deferred Tax Asset Valuation Allowance		-		2,741,999
Eliminate Accumulated Other Comprehensive Loss		-		8,428,304
Adjusted Shareholders' Equity		$ 50,840,222		$ 62,010,525
Shares Outstanding		8,088,699		8,088,699
Tangible Book Value per Share		$ 6.29		$ 7.67
Effect of Non-GAAP Measures on Tangible Book Value				$ 1.38
During the start-up phase of the Bank, a valuation allowance was created which fully impairs the deferred tax asset. When sufficient, verifiable evidence exists (generally, sustained profitability) demonstrating that the deferred tax asset will more likely than not be realized, the valuation allowance will be eliminated. This Non-GAAP measure is shown to disclose the effect on tangible book value per share at June 30, 2026 had there been no valuation allowance at that date.
Changes in the market value of available-for-sale securities are reflected in accumulated other comprehensive loss. Since the securities value will return to face value at maturity, assuming the underlying securities are held to maturity and there is no credit loss, accumulated other comprehensive loss has been eliminated in this Non-GAAP measure.
Pre-provision Income
		Qtr Ended 6/30/2026		Qtr Ended 6/30/2025
Income Before Income Tax		$ 87,009		$ 216,060
Provision for Credit Losses		319,096		20,714
Pre-provision Income Before Income Tax (Non-GAAP)		$ 406,105		$ 236,774
		Six Months Ended 6/30/2026		Six Months Ended 6/30/2025
Income Before Income Tax		$ 512,596		$ 414,781
Provision for (Reversal of) Credit Losses		364,846		(144,155)
Pre-provision Income Before Income Tax (Non-GAAP)		$ 877,442		$ 270,626
The pre-provision income is a measure of operating performance exclusive of potential losses from lending.

Triad Business Bank
Income Statement (Unaudited)		For Six Months Ended			For Six Months Ended
		June 30, 2026			June 30, 2025				$ Change				% Change
Interest Income
Interest & Fees on Loans		$	11,972,757		$	11,262,998			$	709,759			6	%
Interest & Dividend Income on Securities			1,492,466			1,925,134				(432,668	)		-22	%
Interest Income on Balances Due from Banks			242,992			319,552				(76,560	)		-24	%
Other Interest Income			61,325			54,284				7,041			13	%
Total Interest Income			13,769,540			13,561,968				207,572			2	%
Interest Expense
Interest on Checking Deposits			353,646			421,439				(67,793	)		-16	%
Interest on Savings & MMA Deposits			2,099,076			2,368,812				(269,736	)		-11	%
Interest on Time Deposits			3,687,252			4,466,188				(778,936	)		-17	%
Interest on Federal Funds Purchased			-			-				-			0	%
Interest on Borrowings			543,925			414,866				129,059			31	%
Other Interest Expense			16,068			13,722				2,346			17	%
Total Interest Expense			6,699,967			7,685,027				(985,060	)		-13	%
Net Interest Income			7,069,573			5,876,941				1,192,632			20	%
Provision for (Reversal of) Credit Losses			364,846			(144,155	)			509,001			353	%
Net Interest Income After Provision for CL			6,704,727			6,021,096				683,631			11	%
Total Noninterest Income			473,948			439,663				34,285			8	%
Noninterest Expense
Salaries & Benefits			4,182,200			3,815,374				366,826			10	%
Premises & Equipment			319,719			278,113				41,606			15	%
Total Other Noninterest Expense			2,164,160			1,952,491				211,669			11	%
Total Noninterest Expense			6,666,079			6,045,978				620,101			10	%
Income (Loss) Before Income Tax			512,596			414,781				97,815			24	%
Income Tax			30,800			-				30,800			100	%
Net Income (Loss)		$	481,796		$	414,781			$	67,015			16	%
Net Income (Loss) per Share
Basic		$	0.06		$	0.05			$	0.01			20	%
Diluted		$	0.06		$	0.05			$	0.01			20	%
Weighted Average Shares Outstanding
Basic			8,065,669			8,013,040				52,629			1	%
Diluted			8,189,176			8,110,045				79,131			1	%
Pre-provision, Pre-tax Income (Loss)		$	877,442		$	270,626			$	606,816			224	%

Triad Business Bank
Key Ratios & Other Information (Unaudited)
					Six Months Ended									Six Months Ended
					6/30/2026									6/30/2025
					Interest									Interest
					Income/			Yield/						Income/			Yield/
		Balance			Expense			Rate			Balance			Expense			Rate
Yield on Average Loans		$	407,250,568		$	11,972,757		5.93	%		$	378,315,214		$	11,262,998		6.00	%
Yield on Average Investment Securities		$	106,573,400		$	1,492,466		2.82	%		$	121,433,924		$	1,925,134		3.20	%
Yield on Average Interest-earning Assets		$	529,140,454		$	13,769,540		5.25	%		$	515,407,735		$	13,561,968		5.31	%
Cost of Average Interest-bearing Liabilities		$	392,617,311		$	6,699,967		3.44	%		$	375,930,601		$	7,685,027		4.12	%
Net Interest Margin
Interest Income					$	13,769,540								$	13,561,968
Interest Expense						6,699,967									7,685,027
Average Earnings Assets		$	529,140,454								$	515,407,735
Net Interest Income & Net Interest Margin					$	7,069,573		2.69	%					$	5,876,941		2.30	%
Loan to Asset Ratio
Loan Balance		$	411,006,050								$	387,929,131
Total Assets			536,045,926					76.67	%			531,326,685					73.01	%
Leverage Ratio
Tier 1 Capital		$	59,268,526								$	57,626,436
Average Total Assets			545,947,192					10.86	%			535,330,388					10.76	%
Unfunded Commitments to Extend Credit		$	145,222,180								$	138,015,672
Standby Letters of Credit			1,686,225									436,358

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260806213514/en/

Ramsey Hamadi
rhamadi@triadbusinessbank.com

Source: Triad Business Bank