Princeton Bancorp Q3 profit falls to $1.02M

The quarter included a $7.640 million provision for credit losses; nine-month net cash provided by operating activities was $14.107 million.

Available on EDGAR 11/06/2026 - 02:17 PM EST Accepted by SEC EDGAR 11/06/2026 - 02:17 PM EST Learn about SEC filing dates

Rhea-AI Filing Summary

Princeton Bancorp, Inc. (BPRN) reported third-quarter net income of $1.019 million, compared with $6.466 million a year earlier. Net interest income was $20.009 million versus $19.619 million, while the provision for credit losses was $7.640 million, compared with a $672,000 reversal in the third quarter of 2025. Nine-month net income was $14.329 million, compared with $12.532 million; net interest income was $58.907 million versus $57.186 million.

At September 30, 2026, total assets were $2,308.280 million, deposits were $2,003.724 million, and net loans were $1,832.172 million. Cash and cash equivalents were $57.821 million, compared with $135.686 million at December 31, 2025. Nine-month net cash provided by operating activities was $14.107 million, versus $9.284 million. Available-for-sale securities had a fair value of $243.198 million and gross unrealized losses of $19.429 million. The company said those losses primarily reflected interest-rate fluctuations, not credit concerns, and stated it did not intend to sell the securities and was not more likely than not to be required to sell them before recovery of amortized cost.

2 points · 0 major

PositiveiHow this balance works

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 1 point

How the balance works

Positive

• Moderate pointNine-month net income was $14.329 million, versus $12.532 million.
• Moderate pointNine-month net cash provided by operating activities was $14.107 million, versus $9.284 million.

Negative

• Moderate pointThird-quarter net income was $1.019 million, versus $6.466 million.

Filing Explained

At September 30, 2026, $8,217 thousand of loans were nonaccrual, down from $16,578 thousand at December 31, 2025. Separately, Princeton Bancorp reported $8,217 thousand of loans at least 90 days past due, with none of that balance accruing.

Key Figures

Third-quarter net income: $1.019 million Nine-month net income: $14.329 million Provision for credit losses: $7.640 million +4 more

7 metrics

Third-quarter net income $1.019 million Three months ended September 30, 2026; $6.466 million in 2025

Nine-month net income $14.329 million Nine months ended September 30, 2026; $12.532 million in 2025

Provision for credit losses $7.640 million Three months ended September 30, 2026; a $672,000 reversal in 2025

Third-quarter net interest income $20.009 million Three months ended September 30, 2026; $19.619 million in 2025

Total assets $2,308.280 million As of September 30, 2026

Deposits $2,003.724 million As of September 30, 2026

Net cash provided by operating activities $14.107 million Nine months ended September 30, 2026; $9.284 million in 2025

Key Terms

allowance for credit losses, available-for-sale securities, nonaccrual loans, discounted cash flow, +1 more

5 terms

allowance for credit losses financial

"allowance for credit losses is adequate"

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.

available-for-sale securities financial

"securities available-for-sale at September 30, 2026"

Available-for-sale securities are investments in stocks, bonds or similar instruments that a company does not intend to trade frequently but may sell before they mature. They matter to investors because changes in the market value of these holdings show up as paper gains or losses on the company's balance sheet rather than immediately in profit, so they can affect reported net worth and the timing of income without changing day-to-day earnings. Think of them like items on a household shelf you might sell later: their value moves with the market even if you haven’t cashed out.

nonaccrual loans financial

"presents nonaccrual loans by segment"

Nonaccrual loans are loans a lender has stopped counting toward interest income because the borrower is overdue or unlikely to pay; the lender only records cash payments received and may set aside extra funds to cover potential losses. For investors, a rising number or amount of nonaccrual loans signals weaker credit quality, lower future interest revenue and larger potential write-downs — similar to pausing expected subscription income when many customers stop paying.

discounted cash flow financial

"uses a discounted cash flow ("DCF") methodology"

Discounted cash flow is a way to estimate what a business is worth by forecasting the money it will generate in the future and converting those future dollars into today’s terms, acknowledging that money now is worth more and future receipts are uncertain. Like comparing the value of an apple today versus a promised apple next year, it helps investors judge whether a stock’s market price is cheaper or pricier than the company’s estimated intrinsic value.

treasury stock method financial

"using the treasury stock method"

A bookkeeping technique used to estimate how many additional shares would exist if all outstanding stock options, warrants and convertible securities were exercised, assuming the company uses the cash received to buy back shares at the current market price. Investors use it to calculate diluted earnings per share and to gauge potential ownership and profit dilution—like figuring out how a pie would be divided if more people claimed slices and some money was used to buy slices back.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What was BPRN's net income in the third quarter of 2026?

BPRN reported net income of $1.019 million for the three months ended September 30, 2026, compared with $6.466 million in the same 2025 period. Nine-month net income was $14.329 million, compared with $12.532 million in 2025.

What was BPRN's provision for credit losses in the third quarter of 2026?

The provision for credit losses was $7.640 million for the three months ended September 30, 2026, compared with a $672,000 reversal in the same 2025 period.

How many BPRN shares were outstanding in November 2026?

BPRN had 6,814,076 outstanding shares as of November 4, 2026.

How many branches does BPRN operate?

The Bank operated through 36 branches and also had two retail branches and conducted loan origination activities in select areas of New York.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20429

FORM 10-Q

(Mark one)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2026

Or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________ to _________

Commission File Number: 001-41589

PRINCETON BANCORP, INC.

(Exact name of registrant as specified in its charter)

Pennsylvania	88-4268702
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

183 Bayard Lane, Princeton, New Jersey 08540

(Address of principal executive offices) (Zip Code)

(609) 921-1700

(Registrant’s telephone number, including area code)

Securities registered or to be registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, no par value	BPRN	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒Yes ☐No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☒
Non-accelerated filer	☐	Smaller reporting company	☒
Emerging growth company	☐

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

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date. As of November 4, 2026, there were 6,814,076 outstanding shares of the issuer’s common stock, no par value.

TABLE OF CONTENTS

PART I FINANCIAL INFORMATION
Item 1	Financial Statements
	Unaudited Consolidated Statements of Financial Condition - September 30, 2026 and December 31, 2025	3
	Unaudited Consolidated Statements of Income - three and nine months ended September 30, 2026 and 2025	4
	Unaudited Consolidated Statements of Comprehensive Income - three and nine months ended September 30, 2026 and 2025	5
	Unaudited Consolidated Statements of Changes in Stockholders’ Equity - three and nine months ended September 30, 2026 and 2025	6
	Unaudited Consolidated Statements of Cash Flows - nine months ended September 30, 2026 and 2025	7
	Notes to Unaudited Consolidated Financial Statements	8
Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	27
Item 3	Quantitative and Qualitative Disclosure about Market Risk	40
Item 4	Controls and Procedures	40
PART II OTHER INFORMATION
Item 1	Legal Proceedings	41
Item 1A	Risk Factors	41
Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	41
Item 3	Defaults Upon Senior Securities	41
Item 4	Mine Safety Disclosures	41
Item 5	Other Information	41
Item 6	Exhibits	42

2

PART I–FINANCIAL INFORMATION

Item 1. Financial Statements.

PRINCETON BANCORP, INC.

UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

(Dollars in thousands, except share data)

		September 30, 2026				December 31, 2025
ASSETS
Cash and due from banks		$	29,607			$	17,038
Interest-earning bank balances			21,034				19,309
Due from Federal Reserve Bank			7,180				99,339
Total cash and cash equivalents			57,821				135,686
Securities available-for-sale, at fair value (amortized cost $262,575 and $189,924     at September 30, 2026 and December 31, 2025, respectively)			243,198				182,569
Securities held-to-maturity (fair value $142 and $154 at September 30, 2026 and December 31,    2025, respectively)			147				153
Loans receivable, net of deferred fees and costs			1,851,537				1,816,416
Less: allowance for credit losses for loans			(19,365	)			(20,325	)
Loan receivable, net			1,832,172				1,796,091
Bank-owned life insurance			72,436				70,888
Premises and equipment, net			15,873				16,900
Accrued interest receivable			7,726				7,797
Restricted investment in bank stock			2,339				2,366
Deferred taxes, net			19,684				16,857
Goodwill			14,381				14,381
Core deposit intangible			2,222				2,776
Operating lease right-of-use asset			18,695				20,121
Other assets			21,586				18,562
TOTAL ASSETS		$	2,308,280			$	2,285,147
LIABILITIES AND STOCKHOLDERS’ EQUITY
LIABILITIES
Deposits:
Non-interest-bearing		$	309,100			$	286,013
Interest-bearing			1,694,624				1,690,180
Total deposits			2,003,724				1,976,193
Accrued interest payable			5,171				8,529
Operating lease liability			19,761				21,194
Other liabilities			9,186				8,519
TOTAL LIABILITIES			2,037,842				2,014,435
STOCKHOLDERS’ EQUITY:
Preferred stock, no par value; 2,000,000 shares authorized and none outstanding at September 30,    2026 and at December 31, 2025			—				—
Common stock, no par value; 15,000,000 shares authorized, 7,100,002 shares issued and    6,814,076 outstanding at September 30, 2026; 7,042,206 shares issued and 6,765,530 outstanding    at December 31, 2025			—				—
Paid-in capital			124,283				122,904
Treasury stock, at cost; 285,926 shares at September 30, 2026 and 276,676 shares at December 31, 2025			(9,034	)			(8,707	)
Retained earnings			169,058				161,780
Accumulated other comprehensive loss			(13,869	)			(5,265	)
TOTAL STOCKHOLDERS’ EQUITY			270,438				270,712
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY		$	2,308,280			$	2,285,147

See accompanying notes to unaudited consolidated financial statements.

3

PRINCETON BANCORP, INC.

UNAUDITED CONSOLIDATED STATEMENTS OF INCOME

(Dollars in thousands, except share data)

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
INTEREST AND DIVIDEND INCOME
Loans receivable, including fees		$	28,643			$	29,927			$	85,390			$	89,171
Securities available-for-sale:
Taxable			2,442				2,214				5,793				7,128
Tax-exempt			255				278				793				841
Securities held-to-maturity			2				2				6				6
Other interest and dividend income			645				324				2,732				1,650
TOTAL INTEREST AND DIVIDEND INCOME			31,987				32,745				94,714				98,796
INTEREST EXPENSE
Deposits			11,978				13,081				35,807				41,552
Borrowings			—				45				—				58
TOTAL INTEREST EXPENSE			11,978				13,126				35,807				41,610
NET INTEREST INCOME			20,009				19,619				58,907				57,186
Provision for (reversal of) credit losses			7,640				(672	)			7,131				6,552
NET INTEREST INCOME AFTER PROVISION FOR    (REVERSAL OF) CREDIT LOSSES			12,369				20,291				51,776				50,634
NON-INTEREST INCOME
Income from bank-owned life insurance			525				506				1,548				1,471
Fees and service charges			609				555				1,786				1,617
Loan fees, including prepayment penalties			508				926				1,944				2,304
Other			817				(79	)			2,068				957
TOTAL NON-INTEREST INCOME			2,459				1,908				7,346				6,349
NON-INTEREST EXPENSE
Salaries and employee benefits			6,659				7,093				20,837				21,358
Occupancy and equipment			3,209				2,146				7,853				6,578
Professional fees			786				1,067				2,520				2,549
Data processing and communications			1,422				1,708				4,630				4,877
Federal deposit insurance			250				370				850				1,318
Advertising and promotion			154				212				465				535
Office			111				113				378				461
Other real estate owned			—				—				—				27
Core deposit intangible amortization			172				209				554				656
Other			778				999				2,515				2,859
TOTAL NON-INTEREST EXPENSE			13,541				13,917				40,602				41,218
INCOME BEFORE INCOME TAX EXPENSE			1,287				8,282				18,520				15,765
INCOME TAX EXPENSE			268				1,816				4,191				3,233
NET INCOME		$	1,019			$	6,466			$	14,329			$	12,532
Earnings per common share-basic		$	0.15			$	0.95			$	2.11			$	1.83
Earnings per common share-diluted		$	0.15			$	0.95			$	2.10			$	1.82

See accompanying notes to unaudited consolidated financial statements.

4

PRINCETON BANCORP, INC.

UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Dollars in thousands)

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
NET INCOME		$	1,019			$	6,466			$	14,329			$	12,532
Other comprehensive income (loss)
Unrealized gains (losses) arising during period on securities    available-for-sale			(11,888	)			1,974				(12,020	)			4,622
Net unrealized gain (loss)			(11,888	)			1,974				(12,020	)			4,622
Tax effect			3,379				(561	)			3,416				(1,311	)
Total other comprehensive income (loss)			(8,509	)			1,413				(8,604	)			3,311
COMPREHENSIVE INCOME (LOSS)		$	(7,490	)		$	7,879			$	5,725			$	15,843

See accompanying notes to unaudited consolidated financial statements.

5

PRINCETON BANCORP, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(Dollars in thousands, except share data)

																		Accumulated
																		Other
		Common				Paid-in				Treasury				Retained				Comprehensive
		Stock				Capital				Stock				Earnings				Loss				Total
Three Months Ended September 30, 2026 and 2025
Balance, July 1, 2025		$	—			$	121,706			$	(6,485	)		$	153,768			$	(7,043	)		$	261,946
Net income			—				—				—				6,466				—				6,466
Other comprehensive income			—				—				—				—				1,413				1,413
Treasury stock repurchases (60,523 shares)			—				—				(1,918	)			—				—				(1,918	)
Stock options exercised (24,095 shares)			—				503				—				—				—				503
Dividends declared $0.35 per share			—				—				—				(2,125	)			—				(2,125	)
Dividend reinvestment plan (841 shares)			—				28				—				(28	)			—				—
Stock-based compensation expense			—				322				—				—				—				322
Balance, September 30, 2025		$	—			$	122,559			$	(8,403	)		$	158,081			$	(5,630	)		$	266,607
Balance, July 1, 2026		$	—			$	123,893			$	(9,034	)		$	170,424			$	(5,360	)		$	279,923
Net income			—				—				—				1,019				—				1,019
Other comprehensive income			—				—				—				—				(8,509	)			(8,509	)
Dividends declared ($0.35 per share)			—				—				—				(2,348	)			—				(2,348	)
Dividend reinvestment plan (875 shares)			—				37				—				(37	)			—				—
Stock-based compensation expense			—				353				—				—				—				353
Balance, September 30, 2026		$	—			$	124,283			$	(9,034	)		$	169,058			$	(13,869	)		$	270,438

																		Accumulated
																		Other
		Common				Paid-in				Treasury				Retained				Comprehensive
		stock				Capital				Stock				Earnings				Loss				Total
Nine Months Ended September 30, 2026 and 2025
Balance, January 1, 2025		$	—			$	119,908			$	(842	)		$	151,915			$	(8,941	)		$	262,040
Net income			—				—				—				12,532				—				12,532
Other comprehensive income			—				—				—				—				3,311				3,311
Treasury stock repurchases (239,176 shares)			—				—				(7,561	)							—				(7,561	)
Stock options exercised (79,395 shares)			—				1,844				—				—				—				1,844
Share redemption for tax withholding on    restricted stock vesting			—				(227	)			—				—				—				(227	)
Dividends declared $0.95 per share			—				—				—				(6,273	)			—				(6,273	)
Dividend reinvestment plan (2,907 shares)			—				93				—				(93	)			—				—
Stock-based compensation expense			—				941				—				—				—				941
Balance, September 30, 2025		$	—			$	122,559			$	(8,403	)		$	158,081			$	(5,630	)		$	266,607
Balance, January 1, 2026		$	—			$	122,904			$	(8,707	)		$	161,780			$	(5,265	)		$	270,712
Net income			—				—				—				14,329				—				14,329
Other comprehensive loss			—				—				—				—				(8,604	)			(8,604	)
Treasury stock repurchases (9,250 shares)			—				—				(327	)							—				(327	)
Stock options exercised (25,147 shares)			—				561				—				—				—				561
Share redemption for tax withholding on    restricted stock vesting			—				(246	)			—				—				—				(246	)
Dividends declared $1.05 per share			—				—				—				(6,941	)			—				(6,941	)
Dividend reinvestment plan (2,979 shares)			—				110				—				(110	)			—				—
Stock-based compensation expense			—				954				—				—				—				954
Balance, September 30, 2026		$	—			$	124,283			$	(9,034	)		$	169,058			$	(13,869	)		$	270,438

See accompanying notes to unaudited consolidated financial statements.

6

PRINCETON BANCORP, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

		Nine Months Ended September 30,
		2026				2025
CASH FLOWS FROM OPERATING ACTIVITIES
Net income		$	14,329			$	12,532
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses			7,131				6,552
Depreciation and amortization of premises and equipment			1,400				1,341
Stock-based compensation expense			954				941
Amortization of premiums and accretion of discounts on securities, net			285				140
Accretion of net deferred loan fees and costs			(3,911	)			(4,254	)
Increase in cash surrender value of bank-owned life insurance			(1,548	)			(1,471	)
Deferred income tax expense (benefit)			(2,827	)			1,302
Amortization of core deposit intangible			554				656
Decrease in accrued interest receivable and other assets			1,890				3,173
Decrease in accrued interest payable and other liabilities			(4,150	)			(11,628	)
NET CASH PROVIDED BY OPERATING ACTIVITIES			14,107				9,284
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of available-for-sale securities			(129,821	)			(11,590	)
Maturities, calls and principal repayments of securities available-for-sale			56,886				52,312
Maturities, calls and principal repayments of securities held-to-maturity			6				6
Decrease in loans, net of repayments			51,256				20,612
Purchase of loans			(90,531	)			—
Purchases of premises and equipment			(373	)			(685	)
Exchange of bank-owned life insurance			—				2,798
Purchases of equity method investments			—				(670	)
Redemptions (purchases) of restricted bank stock			27				(266	)
NET CASH PROVIDED BY (USED IN) INVESTMENT ACTIVITIES			(112,550	)			62,517
CASH FLOWS FROM FINANCING ACTIVITIES
Net increase (decrease) in deposits			27,531				(104,040	)
Proceeds from overnight borrowings			—				—
Cash dividends			(6,941	)			(6,273	)
Share redemption for tax withholding on restricted stock vesting			(246	)			(227	)
Purchase of treasury stock			(327	)			(7,561	)
Proceeds from exercise of stock options			561				1,844
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES			20,578				(116,257	)
NET DECREASE IN CASH AND CASH EQUIVALENTS			(77,865	)			(44,456	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD			135,686				117,348
CASH AND CASH EQUIVALENTS, END OF PERIOD		$	57,821			$	72,892
SUPPLEMENTAL CASH FLOWS INFORMATION:
Interest paid		$	39,165			$	51,459
Income taxes paid by jurisdiction
Federal		$	4,950			$	2,035
New Jersey		$	550			$	75
Other		$	488			$	584
Increase in ROU leases		$	860			$	453

See accompanying notes to unaudited consolidated financial statements.

7

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 1 – Summary of Significant Accounting Policies

Organization and Nature of Operations

The Bank of Princeton (the “Bank”) was incorporated on March 5, 2007, under the laws of the State of New Jersey and is a New Jersey state-chartered banking institution. The Bank was granted its bank charter on April 17, 2007, commenced operations on April 23, 2007, and is a full-service bank providing personal and business lending and deposit services. As a state-chartered bank, the Bank is subject to regulation by the New Jersey Department of Banking and Insurance and the Federal Deposit Insurance Corporation (“FDIC”). The area served by the Bank, through its 36 branches, is generally an area within an approximate 50-mile radius of Princeton, NJ, including parts of Burlington, Camden, Gloucester, Hunterdon, Mercer, Middlesex, Ocean, and Somerset Counties in New Jersey, and additional areas in portions of Philadelphia, Montgomery, and Bucks Counties in Pennsylvania. The Bank also has two retail branches and conducts loan origination activities in select areas of New York.

The Bank offers traditional retail banking services, one-to-four-family residential mortgage loans, multi-family and commercial mortgage loans, construction loans, commercial business loans and consumer loans, including home equity loans and lines of credit.

On January 10, 2023, Princeton Bancorp, Inc., a Pennsylvania corporation formed by the Bank (the “Company”), acquired all the outstanding stock of the Bank in a corporate reorganization. As a result, the Bank became the sole direct subsidiary of the Company, the Company became the holding company for the Bank and the stockholders of the Bank became stockholders of the Company. As of September 30, 2026, the Company and its subsidiaries had 233 total employees and 232 full-time equivalent employees.

Basis of Financial Statement Presentation

The unaudited consolidated financial statements include the accounts of the Company, its wholly owned subsidiary, the Bank, and the Bank’s wholly owned subsidiaries: Bayard Lane, LLC, Bayard Properties, LLC, 112 Fifth Avenue, LLC, TBOP Delaware Investment Company and TBOP REIT, Inc. All significant inter-company accounts and transactions have been eliminated in consolidation.

The unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission and the FDIC. Accordingly, they do not include all the information and disclosures required by GAAP for annual financial statements. In management’s opinion, the unaudited consolidated financial statements contain all adjustments, which include normal and recurring adjustments necessary for a fair presentation of the financial position and results of operations for the interim periods presented. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These unaudited consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2025.

Estimates

The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Because of uncertainties associated with estimating the amounts, timing and likelihood of possible outcomes, actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for credit losses and evaluation of the potential impairment of goodwill.

Management believes that the allowance for credit losses is adequate as of September 30, 2026. While management uses current information to recognize losses on loans, future additions to the allowance for credit losses may be necessary based on changes in economic conditions in the market area or other factors.

In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Company’s allowance for credit losses. Such agencies may require the Company to effect certain changes that result in additions to the allowance based on their judgments about information available to them at the time of their examinations.

8

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 1 – Summary of Significant Accounting Policies (continued)

Segment Reporting

The Company has determined that all of its banking divisions and subsidiaries meet the aggregation criteria of Accounting Standards Codification (ASC) 280, Segment Reporting, as its current operating model is structured whereby banking divisions and subsidiaries serve a similar customer base utilizing a company-wide offering of similar products and services managed through similar processes and platforms that are collectively reviewed by the Company’s Chief Executive Officer, who has been identified as the chief operating decision maker (“CODM”).

The CODM regularly assesses performance of the aggregated single operating and reporting segment and decides how to allocate resources based on net income calculated on the same basis as is net income reported in the Company’s consolidated statements of income. The CODM is also regularly provided with expense information at a level consistent with that disclosed in the Company’s consolidated statements of income.

Reclassifications

Certain amounts in the prior year consolidated financial statements have been reclassified to conform to the current year’s presentation.

Recent Accounting Pronouncements Not Yet Adopted

ASU 2023-06, “Disclosure Improvements” amends disclosure or presentation requirements related to various subtopics in the FASB Accounting Standards Codification. The effective dates will depend, in part, on whether an entity is already subject to the SEC’s current disclosure requirements. This ASU is not expected to have a material impact on the Company’s consolidated financial statements.

ASU 2024-03, “Disaggregation of Income Statement Expenses,” requires the disclosure of further disaggregated detail of specific expense categories in the financial statement notes. The amendments are effective for fiscal years beginning after December 15, 2026, are applied prospectively, and early adoption is permitted. The Company is currently evaluating the impact and does not expect adoption to have a material impact on its consolidated financial statements.

ASU 2025-08, “Financial Instruments—Credit Losses: Purchased Loans,” expands the gross‑up approach for the allowance for credit losses to certain purchased seasoned loans. The amendments are effective for fiscal years beginning after December 15, 2026, are applied prospectively, and early adoption is permitted. The Company is currently evaluating the impact and does not expect adoption to have a material impact on its consolidated financial statements.

Note 2 – Earnings Per Share

Basic earnings per share (“EPS”) is calculated by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS is calculated by dividing net income by the weighted average number of common shares outstanding for the period adjusted to include the effect of outstanding stock options, if dilutive, using the treasury stock method. Shares issued during any period are weighted for the portion of the period they were outstanding.

9

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 2 – Earnings Per Share (concluded)

The following schedule presents earnings per share data for the three and nine months ended September 30, 2026 and 2025 (in thousands, except per share data):

		Three months ended September 30,								Nine months ended September 30,
		2026				2025				2026				2025
Net income applicable to common stock		$	1,019			$	6,466			$	14,329			$	12,532
Weighted average number of common shares outstanding			6,814				6,776				6,805				6,849
Basic earnings per share		$	0.15			$	0.95			$	2.11			$	1.83
Net income applicable to common stock		$	1,019			$	6,466			$	14,329			$	12,532
Weighted average number of common shares outstanding			6,814				6,776				6,805				6,849
Dilutive effect on common shares outstanding			28				19				20				35
Weighted average number of diluted common shares    outstanding			6,842				6,795				6,825				6,884
Diluted earnings per share		$	0.15			$	0.95			$	2.10			$	1.82

Restricted stock units and options to purchase 150,354 shares of common stock at a weighted average exercise price of $32.17 were included in the computation of diluted earnings per share for the three and nine months ended September 30, 2026. There were no antidilutive shares to be excluded from the computation of diluted earnings per share at September 30, 2026.

Restricted stock units and options to purchase 186,603 shares of common stock at a weighted average exercise price of $26.95 were included in the computation of diluted earnings per share for the three and nine months ended September 30, 2025. There were no antidilutive shares to be excluded from the computation of diluted earnings per share at September 30, 2025.

Note 3 – Investment Securities

The following summarizes the amortized cost and fair value of securities available-for-sale at September 30, 2026 and December 31, 2025 with gross unrealized gains and losses therein:

		September 30, 2026
		Amortized Cost				Gross Unrealized Gains				Gross Unrealized Losses				Fair Value
		(In thousands)
Available-for-sale
Mortgage-backed securities - U.S. government sponsored    enterprises (GSEs)		$	208,314			$	47			$	(13,064	)		$	195,297
U.S. government agency securities			11,260				—				(1,263	)			9,997
Obligations of state and political subdivisions			40,262				—				(5,098	)			35,164
Small business association (SBA) securities			752				5				(2	)			755
U.S. treasury securities			1,987				—				(2	)			1,985
Total		$	262,575			$	52			$	(19,429	)		$	243,198

10

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 3 – Investment Securities (continued)

		December 31, 2025
						Gross				Gross
		Amortized				Unrealized				Unrealized				Fair
		Cost				Gains				Losses				Value
						(In thousands)
Available -for-sale
Mortgage-backed securities - U.S. government sponsored    enterprises (GSEs)		$	132,040			$	688			$	(5,081	)		$	127,647
U.S. government agency securities			11,260				2				(750	)			10,512
Obligations of state and political subdivisions			42,423				8				(2,233	)			40,198
Small business association (SBA) securities			1,254				6				(1	)			1,259
U.S. treasury securities			2,947				6				—				2,953
Total		$	189,924			$	710			$	(8,065	)		$	182,569

The unrealized losses, categorized by the length of time in a continuous loss position, and the fair value of related securities available-for-sale at September 30, 2026 and December 31, 2025 are as follows:

		Less than 12 Months								More than 12 Months								Total
		Fair				Unrealized				Fair				Unrealized				Fair				Unrealized
		Value				Losses				Value				Losses				Value				Losses
		(In thousands)
September 30, 2026
Mortgage-backed securities - U.S. government    sponsored enterprises (GSEs)		$	163,928			$	(6,530	)		$	25,650			$	(6,534	)		$	189,578			$	(13,064	)
U.S. government agency securities			4,792				(208	)			5,205				(1,055	)			9,997				(1,263	)
Obligations of state and political subdivisions			12,066				(811	)			23,098				(4,287	)			35,164				(5,098	)
Small business association (SBA) securities			168				(1	)			27				(1	)			195				(2	)
U.S. treasury securities			1,985				(2	)			—				—				1,985				(2	)
Total		$	182,939			$	(7,552	)		$	53,980			$	(11,877	)		$	236,919			$	(19,429	)

		Less than 12 Months								More than 12 Months								Total
		Fair				Unrealized				Fair				Unrealized				Fair				Unrealized
		Value				Losses				Value				Losses				Value				Losses
		(In thousands)
December 31, 2025
Mortgage-backed securities - U.S. government    sponsored enterprises (GSEs)		$	22,206			$	(52	)		$	29,492			$	(5,029	)		$	51,698			$	(5,081	)
U.S. government agency securities			—				—				5,510				(750	)			5,510				(750	)
Obligations of state and political subdivisions			1,901				(3	)			31,025				(2,230	)			32,926				(2,233	)
Small business association (SBA) securities			381				—				223				(1	)			604				(1	)
		$	24,488			$	(55	)		$	66,250			$	(8,010	)		$	90,738			$	(8,065	)

11

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 3 – Investment Securities (concluded)

The amortized cost and fair value of securities available-for-sale at September 30, 2026 by contractual maturity are shown below. Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties:

		Amortized				Fair
		Cost				Value
		(In thousands)
Due in one year or less		$	3,292			$	3,279
Due after one year through five years			15,590				14,407
Due after five years through ten years			34,990				29,822
Due after ten years			389				393
Mortgage-backed securities (GSEs)			208,314				195,297
		$	262,575			$	243,198

The Company uses a defined methodology for allowance for credit losses on its investment securities available-for-sale. The Company did not have an allowance for credit losses on its investment securities available-for-sale as of September 30, 2026 or 2025.

The Company’s securities primarily consist of the following types of instruments; U.S. guaranteed mortgage-backed securities, U.S. guaranteed agency bonds, state and political subdivision issued bonds, mortgage related securities guaranteed by the SBA and U.S. treasury notes. We believe it is reasonable to expect that the securities with a credit guarantee of the U.S. government will have a zero-credit loss. Therefore, no reserve was recorded for U.S. guaranteed securities or bonds at September 30, 2026. The state and political subdivision securities carry a minimum investment rating of A by either Moody’s or Standard and Poor’s. Some of the smaller municipalities also have insurance to cover the Company in the event of default. Therefore, the Company did not project a credit loss and no reserve was recorded as of September 30, 2026.

At September 30, 2026, the Company’s available-for-sale securities portfolio consisted of approximately 277 securities, of which 135 available-for-sale securities were in an unrealized loss position for more than twelve months and 110 available-for-sale securities were in an unrealized loss position for less than twelve months. The available-for-sale securities in an unrealized loss position for more than twelve months consisted of 81 municipal securities aggregating $23.1 million with a loss of $4.3 million, 48 mortgage-backed securities-GSE aggregating $25.7 million with a loss of $6.5 million, 4 agency securities aggregating $5.2 million with a loss of $1.1 million and 2 SBA securities aggregating $27 thousand with a loss of $1 thousand. The Company does not intend to sell these securities, and it is not more likely than not that we will be required to sell these securities before recovery of their amortized cost basis. Unrealized losses primarily relate to interest rate fluctuations and not credit concerns.

Accrued interest receivable on investment securities represents interest earned but not yet collected on the Company’s available-for-sale and held-to-maturity securities portfolios. Accrued interest receivable related to investments, at September 30, 2026 and December 31, 2025 was $1.4 million and $1.1 million, respectively. Accrued interest receivable is generally written off when collection of the underlying interest is deemed uncollectible, which typically occurs when the related security is placed on nonaccrual status. When a security is placed on nonaccrual, previously accrued but uncollected interest is reversed from interest income. There were no investment securities on nonaccrual status and no write-offs of accrued interest receivable for the nine-month period ended September 30, 2026 and for the year ended December 31, 2025.

There are no securities pledged as of September 30, 2026 and December 31, 2025.

12

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable

Loans receivable, net at September 30, 2026 and December 31, 2025 were comprised of the following:

		September 30, 2026				December 31, 2025
		(In thousands)
Commercial real estate		$	1,275,814			$	1,343,531
Commercial and industrial			98,357				76,557
Construction			222,304				209,483
Residential first-lien mortgage			195,044				163,813
Home equity/consumer			62,816				25,359
Total loans			1,854,335				1,818,743
Deferred fees and costs, net			(2,798	)			(2,327	)
Loans, net		$	1,851,537			$	1,816,416

The Company purchased $52.7 million in residential loans and $37.8 million in consumer loans during the nine months ended September 30, 2026. The Company purchased $108.2 million in residential loans and $8.7 million in consumer loans during the twelve months ended December 31, 2025.

The Company uses a discounted cash flow ("DCF") methodology in determining the allowance for credit losses (“ACL”), which projects future losses, based on historical and peer loss data. Qualitative adjustments to the DCF methodology include and consider changes in national, regional, and local economic and business conditions, an assessment of the lending environment, including underwriting standards, and other factors affecting credit quality. There were no significant changes to the Company’s ACL methodology for the quarter ended September 30, 2026.

The following table presents the components of the allowance for credit losses:

		September 30, 2026				December 31, 2025
		(In thousands)
Allowance for credit losses - loans		$	(19,365	)		$	(20,325	)
Allowance for credit losses - off balance sheet			(425	)			(399	)
		$	(19,790	)		$	(20,724	)

The following table presents nonaccrual loans by segment of the loan portfolio as of September 30, 2026 and December 31, 2025:

		September 30, 2026								December 31, 2025
		With a Related Allowance				Without a Related Allowance				With a Related Allowance				Without a Related Allowance
		(In thousands)
Commercial real estate		$	—			$	7,219			$	—			$	15,229
Commercial and industrial			—				289				—				1,257
Construction			—				—				—				92
Residential first-lien mortgage			—				709				—				—
Home equity/consumer			—				—				—				—
Total nonaccrual loans		$	—			$	8,217			$	—			$	16,578

13

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable (continued)

The calculation of the allowance for credit losses does not include any accrued interest receivable. The Company’s policy is to write off any interest not collected after 90 days past due, or earlier, when the ability to collect principal and interest according to the contractual terms is in doubt. During the nine months ended September 30, 2026, the Company wrote off $759 thousand in accrued interest receivable for loans, compared to $933 thousand for the nine months ended September 30, 2025. Accrued interest receivable related to loans, at September 30, 2026 and December 31, 2025, was $6.4 million and $6.7 million, respectively. The performance and credit quality of the loan portfolio is also monitored by analyzing the age of the loan receivables by the length of time a recorded payment is past due. The following table presents the segments of the loan portfolio, summarized by the past due status as of September 30, 2026:

		30-59 Days Past Due				60-89 Days Past Due				90 Days Or More Past Due				Total Past Due				Current				Total Loans Receivable				Loans Receivable >90 Days and Accruing
		(In thousands)
Commercial real estate		$	5,920			$	—			$	7,219			$	13,139			$	1,262,675			$	1,275,814			$	—
Commercial and industrial			200				—				289				489				97,868				98,357				—
Construction			—				—				—				—				222,304				222,304				—
Residential first-lien mortgage			605				333				709				1,647				193,397				195,044				—
Home equity/consumer			—				—				—				—				62,816				62,816				—
Total		$	6,725			$	333			$	8,217			$	15,275			$	1,839,060			$	1,854,335			$	—

The following table presents the segments of the loan portfolio summarized by the past due status as of December 31, 2025:

		30-59 Days Past Due				60-89 Days Past Due				90 Days Or More Past Due				Total Past Due				Current				Total Loans Receivable				Loans Receivable >90 Days and Accruing
		(In thousands)
Commercial real estate		$	7,523			$	—			$	15,229			$	22,752			$	1,320,779			$	1,343,531			$	—
Commercial and industrial			15				273				302				590				75,967				76,557				—
Construction			—				—				—				—				209,483				209,483				—
Residential first-lien mortgage			370				—				18				388				163,425				163,813				—
Home equity/consumer			180				—				—				180				25,179				25,359				—
Total		$	8,088			$	273			$	15,549			$	23,910			$	1,794,833			$	1,818,743			$	—

The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation and current economic trends, among other factors. The Company evaluates risk ratings on an ongoing basis and assigns one of the following ratings: pass, special mention, substandard and doubtful. The Company engages a third party to review its assessment on a semiannual basis. The Company classifies residential and consumer loans as either performing or nonperforming based on payment status.

14

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable (continued)

The following table summarizes total loans by year of origination, internally assigned credit grades and risk characteristics as of September 30, 2026. Gross charge-offs are included for the nine months ended September 30, 2026.

		2026				2025				2024				2023				2022				Prior				Revolving Loans				Total
		(Dollars in thousands)
Commercial real estate
Pass		$	59,199			$	57,449			$	105,114			$	156,619			$	263,394			$	604,760			$	5,472			$	1,252,007
Special mention			—				—				—				—				1,048				8,127				—				9,175
Substandard			—				—				—				—				—				14,632				—				14,632
Total commercial    real estate			59,199				57,449				105,114				156,619				264,442				627,519				5,472				1,275,814
Current period gross    charge-offs			—				—				—				—				—				8,338				—				8,338
Commercial and    industrial
Pass			6,693				8,015				362				5,782				8,819				21,268				46,639				97,578
Special mention			—				—				—				—				—				490				—				490
Substandard			—				—				—				—				—				289				—				289
Total commercial    and industrial			6,693				8,015				362				5,782				8,819				22,047				46,639				98,357
Current period gross    charge-offs			—				—				—				—				—				17				—				17
Construction
Pass			23,353				5,000				22,125				—				1,360				17,924				152,394				222,156
Special mention			—				—				—				—				—				—				—				—
Substandard			—				—				—				—				—				148				—				148
Total construction			23,353				5,000				22,125				—				1,360				18,072				152,394				222,304
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Residential first-lien    mortgage
Performing			17,926				41,234				58,418				23,280				6,146				47,331				—				194,335
Nonperforming			—				—				—				—				—				709				—				709
Total residential    first-lien mortgage			17,926				41,234				58,418				23,280				6,146				48,040				—				195,044
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Home equity/consumer
Performing			36,774				7,761				975				1,616				1,191				1,223				13,276				62,816
Nonperforming			—				—				—				—				—				—				—				—
Total home    equity/consumer			36,774				7,761				975				1,616				1,191				1,223				13,276				62,816
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Total
Pass			143,945				119,459				186,994				187,297				280,910				692,506				217,781				1,828,892
Special mention			—				—				—				—				1,048				8,617				—				9,665
Substandard			—				—				—				—				—				15,778				—				15,778
Total loans		$	143,945			$	119,459			$	186,994			$	187,297			$	281,958			$	716,901			$	217,781			$	1,854,335

15

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable (continued)

The following table summarizes total loans by year of origination, internally assigned credit grades and risk characteristics as of December 31, 2025. Gross charge-offs are included for the year ended December 31, 2025.

		2025				2024				2023				2022				2021				Prior				Revolving Loans				Total
		(Dollars in thousands)
Commercial real estate
Pass		$	63,586			$	128,257			$	161,317			$	299,041			$	129,951			$	529,896			$	5,962			$	1,318,010
Special mention			—				—				—				—				—				9,429				—				9,429
Substandard			—				—				—				—				—				16,092				—				16,092
Total commercial    real estate			63,586				128,257				161,317				299,041				129,951				555,417				5,962				1,343,531
Current period gross    charge-offs			—				—				—				—				—				10,181				—				10,181
Commercial and    industrial
Pass			8,251				1,077				6,197				8,958				11,074				15,706				23,532				74,795
Special mention			—				—				—				—				—				505				—				505
Substandard			—				—				—				—				—				1,257				—				1,257
Total commercial    and industrial			8,251				1,077				6,197				8,958				11,074				17,468				23,532				76,557
Current period gross    charge-offs			—				—				—				—				—				99				—				99
Construction
Pass			5,000				17,070				—				9,290				55,582				—				122,541				209,483
Total construction			5,000				17,070				—				9,290				55,582				—				122,541				209,483
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Residential first-lien    mortgage
Performing			28,071				58,909				17,605				6,408				5,903				46,825				—				163,721
Nonperforming			—				—				—				—				—				92				—				92
Total residential    first-lien mortgage			28,071				58,909				17,605				6,408				5,903				46,917				—				163,813
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Home equity/consumer
Performing			9,726				1,045				899				1,203				1,050				442				10,989				25,354
Nonperforming			—				—				—				—				—				5				—				5
Total home    equity/consumer			9,726				1,045				899				1,203				1,050				447				10,989				25,359
Current period gross    charge-offs			—				—				—				—				—				—				—				—
Total
Pass			114,634				206,358				186,018				324,900				203,560				592,869				163,024				1,791,363
Special mention			—				—				—				—				—				9,934				—				9,934
Substandard			—				—				—				—				—				17,446				—				17,446
Total loans		$	114,634			$	206,358			$	186,018			$	324,900			$	203,560			$	620,249			$	163,024			$	1,818,743

16

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable (continued)

The following table presents the allowance for credit losses on loans receivable at and for the three months ended September 30, 2026:

		Commercial real estate				Commercial and industrial				Construction				Residential first-lien mortgage				Home equity/ consumer				Total
		(In thousands)
Allowance for credit losses:
Beginning balance		$	16,195			$	850			$	397			$	2,042			$	479				19,963
Provision (reversal)1			7,191				147				203				(3	)			171				7,709
Charge-offs			(8,324	)			(13	)			—				—				—				(8,337	)
Recoveries			2				28				—				—				—				30
Total		$	15,064			$	1,012			$	600			$	2,039			$	650			$	19,365

1.The provision for credit losses on the Consolidated Statement of Income is $7.6 million comprising of an increase of $7.7 million to the allowance for credit loss on loans and a $69 thousand decrease to the reserve for unfunded liabilities.

The following table presents the allowance for credit losses on loans receivable at and for the nine months ended September 30, 2026:

		Commercial real estate				Commercial and industrial				Construction				Residential first-lien mortgage				Home equity/ consumer				Total
		(In thousands)
Allowance for credit losses:
Beginning balance		$	16,848			$	900			$	376			$	2,004			$	197			$	20,325
Provision (reversal)1			6,548				(155	)			224				35				453				7,105
Charge-offs			(8,338	)			(17	)			—				—				—				(8,355	)
Recoveries			6				284				—				—				—				290
Total		$	15,064			$	1,012			$	600			$	2,039			$	650			$	19,365

1.The provision for credit losses on the Consolidated Statement of Income is $7.1 million comprising of an increase of $7.1 million to the allowance for credit loss on loans and a $26 thousand increase to the reserve for unfunded liabilities.

The following table presents the allowance for credit losses on loans receivable at and for the three months ended September 30, 2025:

		Commercial real estate				Commercial and industrial				Construction				Residential first-lien mortgage				Home equity/ consumer				Total
		(In thousands)
Allowance for credit losses:
Beginning balance		$	18,050			$	1,016			$	429			$	1,358			$	161			$	21,014
Provision (reversal)1			(1,057	)			(62	)			(65	)			514				12				(658	)
Charge-offs			—				0				—				—				—				—
Recoveries			62				23				—				—				—				85
Total		$	17,055			$	977			$	364			$	1,872			$	173			$	20,441

1.The reversal of credit losses on the Consolidated Statement of Income is $672 thousand comprising of a decrease of $658 thousand to the allowance for credit loss on loans and a $14 thousand decrease to the reserve for unfunded liabilities.

17

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

The following table presents the allowance for credit losses on loans receivable at and for the nine months ended September 30, 2025:

		Commercial real estate				Commercial and industrial				Construction				Residential first-lien mortgage				Home equity/ consumer				Total
		(In thousands)
Allowance for credit losses:
Beginning balance		$	20,821			$	1,173			$	609			$	893			$	161			$	23,657
Provision (reversal)1			6,105				(335	)			(245	)			979				12				6,516
Charge-offs			(9,950	)			(83	)			—				—				—				(10,033	)
Recoveries			79				222				—				—				—				301
Total		$	17,055			$	977			$	364			$	1,872			$	173			$	20,441

1.The provision for credit losses on the Consolidated Statement of Income is $6.6 million comprising of an increase of $6.5 million to the allowance for credit loss on loans and a $36 thousand increase to the reserve for unfunded liabilities.

18

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 4 – Loans Receivable (concluded)

As of September 30, 2026, the Company had nine loans totaling $8.2 million that were individually analyzed for potential credit loss. Eight of the loans aggregating $7.9 million were individually evaluated collateral dependent loans and one loan for $289 thousand used present value of future cash flows to determine if a write down was needed. As of December 31, 2025, the Company had nine loans totaling $16.6 million that were individually analyzed for potential credit loss. Eight of the loans aggregating $16.2 million were individually evaluated collateral dependent loans and one loan for $394 thousand used present value of future cash flows to determine if a write down was needed.

Occasionally, the Company will modify the contractual terms of loans to a borrower experiencing financial difficulties as a way to mitigate loss, proactively work with borrowers in financial difficulty, or to comply with regulations regarding the treatment of certain bankruptcy filing and discharge situations. Typically, such concessions may consist of a reduction in interest rate to a below market rate, taking into account the credit quality of the note, extension of additional credit based on receipt of adequate collateral, or a deferment or reduction of payments (principal or interest) which materially alters the Company’s position or significantly extends the note’s maturity date, such that the present value of cash flows to be received is materially less than those contractually established at the loan’s origination. When principal forgiveness is provided, the amount forgiven is charged off against the allowance for credit losses on loans. There were no modifications to borrowers with financial difficulties and no previously modified loans that defaulted during the nine months ended September 30, 2026, and the twelve-months ended December 31, 2025.

Note 5 – Deposits

The components of deposits were as follows:

		September 30, 2026								December 31, 2025
		(Dollars in thousands)
Demand, non-interest-bearing checking		$	309,100				15.42	%		$	286,013				14.47	%
Demand, interest-bearing checking			330,637				16.50	%			333,533				16.88	%
Savings			166,211				8.30	%			167,735				8.49	%
Money market			560,605				27.98	%			464,205				23.49	%
Time deposits, $250,000 and over			260,925				13.02	%			289,738				14.66	%
Time deposits, other			376,246				18.78	%			434,969				22.01	%
		$	2,003,724				100.00	%		$	1,976,193				100.00	%

Note 6 – Borrowings

The Company had no outstanding borrowings at September 30, 2026 and December 31, 2025.

19

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 7 – Fair Value Measurements and Disclosures

The Company follows the guidance on fair value measurements now codified as FASB ASC Topic 820, “Fair Value Measurement” (“Topic 820”). Fair value measurements are not adjusted for transaction costs. Topic 820 establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value.

Management uses its best judgment in estimating the fair value of the Company’s financial instruments, however, there are inherent weaknesses in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in sales transactions on the dates indicated. The estimated fair value amounts have been measured as of their respective period-end and have not been re-evaluated or updated for the purposes of these consolidated financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different from the amounts reported at each period-end.

The fair value measurement hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows:

Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.

Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability.

Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported with little or no market activity).

An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement.

For financial assets measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at September 30, 2026 were as follows:

Description		(Level 1) Quoted Price in Active Markets for Identical Assets				(Level 2) Significant Other Observable Inputs				(Level 3) Significant Unobservable Inputs				Total Fair Value September 30, 2026
		(In thousands)
Mortgage-backed securities -U.S. government sponsored    enterprise (GSEs)		$	—			$	195,297			$	—			$	195,297
U.S. government agency securities			—				9,997				—				9,997
Obligations of state and political subdivisions			—				35,164				—				35,164
Small Business Association (SBA) securities			—				755				—				755
U.S. treasury securities			1,985				—				—				1,985
Mortgage servicing rights			—				537				—				537

20

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 7 – Fair Value Measurements and Disclosures (continued)

For financial assets measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy, used at December 31, 2025 were as follows:

Description		(Level 1) Quoted Price in Active Markets for Identical Assets				(Level 2) Significant Other Observable Inputs				(Level 3) Significant Unobservable Inputs				Total Fair Value December 31, 2025
		(In thousands)
Mortgage-backed securities -U.S. government sponsored    enterprise (GSEs)		$	—			$	127,647			$	—			$	127,647
U.S. government agency securities			—				10,512				—				10,512
Obligations of state and political subdivisions			—				40,198				—				40,198
Small Business Association (SBA) securities			—				1,259				—				1,259
U.S. treasury securities			2,953				—				—				2,953
Mortgage servicing rights			—				622				—				622

There were no liabilities measured at fair value on a recurring basis, at September 30, 2026 or December 31, 2025.

Certain assets are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment).

There were no assets measured at fair value on a nonrecurring basis at September 30, 2026 or December 31, 2025.

There were no transfers between fair value hierarchy levels during the nine months ended September 30, 2026 or for the year ended December 31, 2025. The Company’s policy is to recognize transfers between levels as of the end of the reporting period.

The following methods and assumptions were used by the Company in estimating fair value disclosures:

Investment Securities

The fair value of securities available-for-sale (carried at fair value) and held-to-maturity (carried at amortized cost) are determined by obtaining quoted market prices on nationally recognized securities exchanges (Level 1), or matrix pricing (Level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted prices. Level 2 debt securities are valued by a third-party pricing service commonly used in the banking industry, and not adjusted by management. Level 2 fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. treasury yield curve, live trading levels, trade execution date, market consensus prepayment speeds, credit information and the security’s terms and conditions, among other things.

Individually evaluated loans

Individually evaluated loans carried at fair value are those loans in which the Company has measured for a reserve and are generally based on the fair value of the related loan’s collateral. Fair value is generally determined based upon independent third-party appraisals of the properties, or discounted cash flows based upon the expected proceeds, discounted for estimated selling costs or other factors the Company determines will impact collection of proceeds. These assets are included as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements.

21

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 7 – Fair Value Measurements and Disclosures (continued)

The carrying amounts and estimated fair value of financial instruments at September 30, 2026 are as follows:

		September 30, 2026
		Carrying Amount				Estimated Fair Value				Level 1				Level 2				Level 3
		(In thousands)
Financial Assets:
Cash and cash equivalents		$	57,821			$	57,821			$	57,821			$	—			$	—
Securities available-for-sale at fair value			243,198				243,198				1,985				241,213				—
Securities held-to-maturity			147				142				—				142				—
Loans receivable, net			1,832,172				1,864,501				—				—				1,864,501
Restricted investments in bank stock			2,339				2,339				—				2,339				—
Accrued interest receivable			7,726				7,726				—				7,726				—
Equity method investments			12,514				12,514				—				7,520				4,994
Mortgage servicing rights			537				537				—				537				—
Financial Liabilities:
Deposits		$	2,003,724				1,863,524			$	—			$	1,863,524			$	—
Accrued interest payable			5,171				5,171				—				5,171				—

The carrying amounts and estimated fair value of financial instruments at December 31, 2025 are as follows:

		December 31, 2025
		Carrying Amount				Estimated Fair Value				Level 1				Level 2				Level 3
		(In thousands)
Financial Assets:
Cash and cash equivalents		$	135,686			$	135,686			$	135,686			$	—			$	—
Securities available-for-sale at fair value			182,569				182,569				2,953				179,616				—
Securities held-to-maturity			153				154				—				154				—
Loans receivable, net			1,796,091				1,844,992				—				—				1,844,992
Restricted investments in bank stock			2,366				2,366				—				2,366				—
Accrued interest receivable			7,797				7,797				—				7,797				—
Equity method investments			11,832				11,832				—				7,520				4,312
Mortgage servicing rights			622				622				—				622				—
Financial Liabilities:
Deposits		$	1,976,193				1,904,904			$	—			$	1,904,904			$	—
Accrued interest payable			8,529				8,529				—				8,529				—

The fair value of cash and cash equivalents, restricted bank stock, accrued interest receivable, equity method investments, and accrued interest payable are measured at the Company’s carrying amount.

The fair value of loans, deposits and borrowings are measured on a discounted cash flow basis using current rates and terms.

Mortgage servicing rights are carried at estimated fair value. The estimated fair value is obtained through independent third-party valuations.

22

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 7 – Fair Value Measurements and Disclosures (concluded)

Limitations

The fair value estimates are made at a discrete point in time based on relevant market information and information about the financial instruments. Fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors.

These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Further, the foregoing estimates may not reflect the actual amount that could be realized if all or substantially all the financial instruments were offered for sale. This is due to the fact that no market exists for a sizable portion of the loan, deposit and off-balance sheet instruments.

In addition, the fair value estimates are based on existing on and off-balance sheet financial instruments without attempting to value anticipated future business and the value of assets and liabilities that are not considered financial instruments. In addition, the tax ramifications related to the realization of unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in any of the estimates.

Finally, reasonable comparability between financial institutions may not be practical due to the wide range of permitted valuation techniques and numerous estimates which must be made given the absence of active secondary markets for many of the financial instruments. This lack of uniform valuation methodologies introduces a greater degree of subjectivity to these estimated fair values.

23

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 8 – Leases

Leases (ASC Topic 842) establishes a right-of-use model that requires a lessee to record a right-of-use asset (“ROU”) and a lease liability for all leases with terms longer than 12 months. The Company is obligated under 30 operating lease agreements for 28 branches and its corporate offices with terms extending through 2042. The Company’s lease agreements include options to renew at the Company’s discretion. The extensions are reasonably certain to be exercised, therefore they were considered in the calculations of the ROU asset and lease liability.

The following table represents the classification of the Company’s right-of-use asset and lease liability.

		Statement of Financial		Nine Months Ended				Year Ended
		Condition Location		September 30, 2026				December 31, 2025
				(In thousands)
Operating Lease Right-of-Use    Asset:
Gross carrying amount beginning    of year				$	20,121			$	21,903
Increased asset from new leases					860				1,165
Accumulated amortization					(2,286	)			(2,947	)
Net book value		Operating lease right-of-use asset		$	18,695			$	20,121
Operating Lease Liability:
Lease liability		Operating lease liability		$	19,761			$	21,194

As of September 30, 2026, the weighted-average remaining lease term for operating leases was 9.7 years and the weighted-average discount rate used in the measurement of operating lease liabilities was 3.55%. The Company used the Federal Home Loan Bank (“FHLB”) fixed-rate advance rate in effect at the time the lease was placed in service for the term most closely aligning with remaining lease term.

Future minimum payments under operating leases with terms longer than 12 months are as follows at September 30, 2026 (in thousands):

		Amount
		(In thousands)
Twelve months ended September 30,
2027		$	3,689
2028			3,505
2029			3,023
2030			2,817
2031			2,023
Thereafter			10,774
Total future operating lease payments			25,831
Amounts representing interest			(6,070	)
Present value of net future lease payments		$	19,761

		Three Months Ended September 30,								Nine Months Ended September 30,
		2026				2025				2026				2025
		(In thousands)								(In thousands)
Lease cost:
Operating lease		$	1,034			$	1,009			$	3,119			$	3,049
Short-term lease cost			35				24				120				101
Total lease cost		$	1,069			$	1,033			$	3,239			$	3,150
Other information:
Cash paid for amounts included in the measurement of    lease liabilities		$	970			$	949			$	2,902			$	2,836

24

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 9 – Goodwill and Core Deposit Intangible

In accordance with ASC 805, the Company has recorded goodwill and core deposit intangible (“CDI”) assets related to prior acquisitions. CDI assets are amortized over a 10-year period using the sum-of-the-years’-digits method. In accordance with GAAP, goodwill is evaluated for impairment annually, or more frequently if events or changes in circumstances indicate potential impairment. The Company performs its annual goodwill impairment assessment as of May 31. Management has determined that the Company’s community banking operations constitute a single reporting unit, which is also the Company’s only operating segment.

ASC Topic 350-20 guidance requires an annual review of the fair value of a Reporting Unit that has goodwill in order to determine if it is more likely than not (that is, a likelihood of more than 50%) that the fair value of a Reporting Unit is less than its carrying amount, including goodwill. A qualitative factor test can be performed to determine whether it is necessary to perform a quantitative goodwill impairment test. If this qualitative test determines it is not more likely than not (less than 50% probability) that the fair value of the Reporting Unit is less than the Carrying Value, then the Company does not have to perform a quantitative test and goodwill can be considered not impaired. After performing the qualitative factor test, the result was the Company determined that a quantitative test would be performed at May 31, 2026, primarily due to the Company’s common stock trading at 80.0% of book value. This was a possible indication that a goodwill impairment may exist. The result of this quantitative test indicates that fair value is greater than book value and that no Reporting Unit goodwill impairment exists. Management noted no events or changes in circumstances subsequent to the May 31, 2026 annual impairment assessment that would indicate a potential impairment of goodwill.

The changes in the carrying amount of goodwill and core deposit intangible assets are summarized as follows:

						Core Deposit
		Goodwill				Intangible
		(In thousands)
Balance at December 31, 2025		$	14,381			$	2,776
Amortization expense			—				(554	)
Balance at September 30, 2026		$	14,381			$	2,222

As of September 30, 2026, the remaining current fiscal year and future fiscal periods amortization for the core deposit intangible is (in thousands):

		Amount
		(In thousands)
2026			163
2027			587
2028			457
2029			320
2030			245
Thereafter			450
Total		$	2,222

Note 10 – Subsequent Events

On October 28, 2026, the Board of Directors declared a cash dividend of $0.40 per share of common stock to shareholders of record on November 11, 2026, payable on November 25, 2026.

25

PRINCETON BANCORP, INC.

Notes to Consolidated Financial Statements (unaudited)

Note 11 – Risk and Uncertainties

The occurrence of events which adversely affect the global, national, and regional economies may have a negative impact on our business. Like other financial institutions, our business relies upon the ability and willingness of our customers to transact business with us, including banking, borrowing and other financial transactions. A strong and stable economy at each of the local, federal, and global levels is often a critical component of consumer confidence and typically correlates positively with our customers’ ability and willingness to transact certain types of business with us. Local and global events outside of our control which disrupt the New Jersey, Pennsylvania, New York, United States and/or global economy may therefore negatively impact our business and financial condition.

Government economic programs intended to backstop and bolster the economy through the pandemic have ended, and the nation’s economy has entered an inflationary phase. The Consumer Price Index has risen to levels not experienced since the 1980s while the labor market remains very tight, contributing additional inflationary pressure. To address the inflation problem, the Federal Reserve has reversed course on its previously accommodative monetary policies with modest increases in short-term interest rates. These recent actions are intended to slow overall economic activity and risk entering the economy into a recession.

Regional conflicts around the world, including between the United States and Iran and between Russia and Ukraine, tensions involving Iran and Israel, and broad instability in the Middle East, have substantially increased fuel costs, exacerbated supply chain disruptions, contributed to volatility in energy and commodity markets, and increased geopolitical and economic uncertainty. Escalation of these conflicts, including potential disruptions to global energy supplies and international trade routes, could adversely affect financial markets, inflation, interest rates, and overall economic conditions. Any or all could have negative downstream effects on the Company’s operating results, the extent of which is indeterminable at this time.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

You should read the following discussion and analysis in conjunction with the unaudited consolidated interim financial statements contained in Part I, Item 1 of this report, and with our audited consolidated financial statements and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” presented in our Form 10-K as of and for the year ended December 31, 2025.

Cautionary Statement Regarding Forward-Looking Statements

The Company may from time to time make written or oral “forward-looking statements,” including statements contained in the Company’s filings with the Securities and Exchange Commission, in its reports to stockholders and in other communications by the Company (including this press release), which are made in good faith by the Company pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended.

These forward-looking statements involve risks and uncertainties, such as statements of the Company’s plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Company’s control). The most significant factors that could cause future results to differ materially from those anticipated by our forward-looking statements include the global impact of foreign military conflicts in Iran, the Middle East and elsewhere, including substantially higher fuel costs, and the impact of future Federal budget stalemates in Congress, higher tariffs imposed by the Trump administration, higher inflation levels, and general economic and recessionary concerns, all of which could impact economic growth and could cause an increase in loan delinquencies, a reduction in financial transactions and business activities including decreased deposits and reduced loan originations, difficulties in managing liquidity in a rapidly changing and unpredictable market, and supply chain disruptions. Other factors that could cause actual results to differ materially from those indicated by forward-looking statements include, but are not limited to, the following factors: the impact of any future pandemics or other natural disasters; civil unrest, rioting, acts or threats of terrorism, or actions taken by the local, state and Federal governments in response to such events, which could impact business and economic conditions in our market area; the strength of the United States economy in general and the strength of the local economies in which the Company and Bank conduct operations; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; market and monetary fluctuations; market volatility; the value of the Bank’s products and services as perceived by actual and prospective customers, including the features, pricing and quality compared to competitors’ products and services; the willingness of customers to substitute competitors’ products and services for the Bank’s products and services; credit risk associated with the Bank’s lending activities; risks relating to the real estate market and the Bank’s real estate collateral; the impact of changes in applicable laws and regulations and requirements arising out of our supervision by banking regulators; other regulatory requirements applicable to the Company and the Bank; the timing and nature of the regulatory response to any applications filed by the Company and the Bank; developments in technology, such as artificial intelligence, and our ability to incorporate innovative technologies in our business and provide products and services that satisfy our customers' expectations for convenience and security; other acquisitions; changes in consumer spending and saving habits; those risks under the heading “Risk Factors” set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025; and the success of the Company at managing the risks involved in the foregoing.

The Company cautions that the foregoing list of important factors is not exclusive. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company, except as required by applicable law or regulation.

Throughout this document, references to “we,” “us,” or “our” refer to the Company and the Bank.

Executive Overview

The Company is the holding company for The Bank of Princeton (the “Bank”), a community bank founded in 2007. The Bank is a New Jersey state-chartered commercial bank with 29 branches in New Jersey, including three in Princeton and others in Bordentown, Browns Mills, Burlington, Chesterfield, Cherry Hill, Cranbury, Cream Ridge, Deptford, Fort Lee, Hamilton, Kingston, Lakewood, Lambertville, Lawrenceville, Medford, Monroe, Moorestown, New Brunswick, Palisades Park, Pennington, Piscataway, Princeton Junction, Quakerbridge, Sicklerville, Voorhees, and Woodbury. There are also five branches in the Philadelphia, Pennsylvania area and two in the New York City metropolitan area. The Bank is a member of the Federal Deposit Insurance Corporation (“FDIC”).

The Company’s common stock trades on the “Nasdaq Global Select Market” under ticker symbol, “BPRN.”

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Critical Accounting Policies and Estimates

The Company has chosen accounting policies that it believes are appropriate to accurately and fairly report its operating results and financial position, and the Company applies those accounting policies in a consistent manner. The Significant Accounting Policies are summarized in Note 1 to the consolidated financial statements included in the 2025 Annual Report on Form 10-K. There have been no changes to the Critical Accounting Estimates since the Company filed its Annual Report on Form 10-K for the year ended December 31, 2025.

New Accounting Pronouncements

Refer to Note 1 to the consolidated financial statements included in the 2025 Annual Report on Form 10-K and Note 1- Summary of Significant Accounting Policies in this document.

Economy

Economic conditions during the third quarter of 2026 reflected growth, driven by accelerated investment, resilient consumer spending, and an increase in government expenditure, even as increased imports widened the goods trade deficit. Consumer spending continued to support economic activity but showed signs of softening amid elevated interest rates and reduced excess savings, while business investment remained constrained by tighter financial conditions. The Federal Reserve raised its benchmark rate by 25 basis points in September 2026, the first increase since 2023, contributing to higher borrowing costs, modest tightening in credit availability, and continued pressure on interest-sensitive sectors, including commercial real estate. Looking ahead, economic conditions remain uncertain, with risks dependent on the trajectory of inflation, labor market conditions, and the timing of potential monetary policy adjustments. Most economists expect the Federal Reserve to increase rates again in December 2026.

Comparison of Financial Condition at September 30, 2026 and December 31, 2025

General

Total assets were $2.31 billion at September 30, 2026, an increase of $23.1 million, or 1.01% when compared to $2.29 billion at the end of 2025. The primary reasons for the increase in total assets were related to increases in investment securities of $60.6 million, and net loans of $35.1 million, partially offset by a decrease in cash and cash equivalents of $77.9 million.

Cash and cash equivalents

Cash and cash equivalents decreased $77.9 million, or 57.4%, to $57.8 million at September 30, 2026 compared to December 31, 2025.

Investment securities

Total available-for-sale investment securities increased $60.6 million, or 33.2%, to $243.2 million at September 30, 2026 compared to December 31, 2025. This increase was related to the purchase of $129.8 million in mortgage-backed securities of U.S. government sponsored enterprises, partially offset by payoffs of mortgage-backed securities of U.S. government sponsored enterprises and U.S government agency securities during the nine months ended September 30, 2026.

Loans

Loans, net of deferred loan fees and costs, increased $35.1 million, or 1.93%, to $1.85 billion at September 30, 2026 compared to December 31, 2025. The increase in the Company’s net loans consisted of increases of $37.5 million in home equity and consumer loans, $31.2 million in residential mortgages, $21.8 million in commercial and industrial loans, and $12.8 million in construction loans, partially offset by a decrease of $67.7 million in commercial real estate loans.

The Company’s CRE loan portfolio, which includes multi-family, land, owner-occupied and non-owner-occupied CRE loans, was $1.28 billion or 68.8% of total loans of $1.85 billion at September 30, 2026. There were 705 loans in the Company’s CRE portfolio with an average and median loan size of $1.8 million and $0.6 million, respectively. Loan to Value (“LTV”) estimates are less than 70% for $1.17 billion or 90.8% of the CRE portfolio and less than 80% for $1.28 billion or 99.4% of the CRE portfolio.

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The following table presents the commercial real estate portfolio by property type along with the weighted average loan to value for the periods presented (dollars in thousands):

		September 30, 2026												December 31, 2025
		Balance				% of portfolio				Weighted Average LTV				Balance				% of portfolio				Weighted Average LTV
Commercial Real Estate
Multi Family		$	466,738				36.6	%			52.0	%		$	505,267				37.6	%			52.5	%
Owner Occupied			357,136				28.0	%			34.7	%			394,281				29.3	%			34.9	%
Land			38,837				3.0	%			57.9	%			27,514				2.1	%			70.7	%
Non Owner Occupied
Retail			107,922				8.5	%			41.8	%			108,367				8.1	%			41.0	%
Office Building			80,096				6.3	%			40.6	%			93,027				6.9	%			42.4	%
Industrial/Warehousing			79,542				6.2	%			43.4	%			80,244				6.0	%			44.5	%
Mixed Use			46,747				3.7	%			42.0	%			44,198				3.3	%			41.4	%
Restaurants			16,231				1.3	%			34.1	%			20,284				1.5	%			38.0	%
Healthcare			9,438				0.7	%			48.7	%			9,829				0.7	%			50.9	%
Other			73,127				5.7	%			43.7	%			60,520				4.5	%			43.0	%
Total non owner occupied			413,103				32.4	%							416,469				31.0	%
Total Commercial Real Estate		$	1,275,814				100.0	%						$	1,343,531				100.0	%

The following table presents the geographic markets of the commercial real estate portfolio for the periods presented (dollars in thousands):

		September 30, 2026								December 31, 2025
		Balance				% of portfolio				Balance				% of portfolio
Geographical Market
New York		$	609,699				47.8	%		$	629,314				46.8	%
New Jersey			492,056				38.6	%			504,206				37.5	%
Pennsylvania			157,143				12.3	%			186,268				13.9	%
Other			16,916				1.3	%			23,743				1.8	%
		$	1,275,814				100.00	%		$	1,343,531				100.00	%

For the three and nine months ended September 30, 2026, charge-offs were $8.3 million and $8.4 million and recoveries were $30 thousand and $290 thousand, respectively. The coverage ratio of the allowance for credit losses to period end loans was 1.05% at September 30, 2026 and 1.12% at December 31, 2025.

At September 30, 2026, non-performing assets decreased to $8.2 million due to charge offs of $8.3 million during the third quarter compared to $16.6 million at December 31, 2025. Non-performing assets as a percentage of total loans, net of deferred fees and costs, decreased to 0.44% at September 30, 2026 compared to 0.91% at December 31, 2025.

Deposits

Total deposits at September 30, 2026, increased $27.5 million, or 1.39%, when compared to December 31, 2025. The increase in the Company’s deposits consisted primarily of increases in money market deposits of $96.4 million, and non-interest checking deposits of $23.1 million, partially offset by decreases in certificates of deposit of $87.5 million, interest-bearing checking deposits of $2.9 million, and savings deposits of $1.5 million. On balance sheet liquidity remains strong at September 30, 2026.

At September 30, 2026, the Company had approximately $723.2 million in uninsured deposits, consisting of $56.0 million in non-interest-bearing demand deposits, $230.1 million in interest-bearing demand deposits, $277.1 million in money market accounts, $28.4 million in savings deposits and $131.6 million in certificates of deposit.

Borrowings

The Company had no outstanding borrowings at September 30, 2026 and December 31, 2025.

29

Stockholders’ equity

Total stockholders’ equity at September 30, 2026 decreased $0.3 million, or 0.10%, when compared to December 31, 2025. The decrease was primarily due to an increase in other comprehensive loss of $8.6 million driven by unrealized market value declines within the available-for-sale securities portfolio and an increase in treasury stock repurchases of $327 thousand, partially offset by an increase in retained earnings of $7.3 million (which consisted of $14.3 million in net income, partially offset by $7.0 million of cash dividends recorded during the period), and an increase in paid-in capital of $1.3 million. The ratio of equity to total assets at September 30, 2026 and December 31, 2025 was 11.7% and 11.9%, respectively.

Liquidity

Our liquidity, represented by cash and cash equivalents, is a product of our operating, investing and financing activities. Our primary sources of funds are deposits, principal repayments of securities and outstanding loans, and funds provided from operations. In addition, we invest excess funds in short-term interest-earnings assets such as overnight deposits or U.S. agency securities, which provide liquidity to meet lending requirements. While scheduled payments from the amortization of loans and securities and short-term investments are relatively predictable sources of funds, general interest rates, economic conditions and competition greatly influence deposit flows and repayments on loans and mortgage-backed securities.

As a member of the FHLB we are eligible to borrow funds in an aggregate amount of up to 50% of the Company’s total assets, subject to its collateral requirements. The Company maintained a $95.0 million letter of credit with the FHLB supporting municipal deposits as of September 30, 2026. Based on available eligible securities and qualified real estate loan collateral, the Company had the ability to borrow an additional $506.8 million as of September 30, 2026.

As of September 30, 2026, the Bank was eligible to use the Federal Reserve discount window for borrowings, based on assets pledged as collateral as of the applicable date. As of September 30, 2026, the Company had no outstanding advances from the discount window.

The Company is also a shareholder of Atlantic Community Bancshares, Inc., the parent company of Atlantic Community Bankers Bank (“ACBB”). As of September 30, 2026, the Company had available borrowing capacity with ACBB of $10.0 million to provide short-term liquidity generally for a period of not more than fourteen days. No amounts were outstanding under our line of credit with ACBB at September 30, 2026.

We believe that our current sources of funds provide adequate liquidity for our current cash flow needs.

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Capital Resources

Regulatory Capital Requirements. Because the Company qualifies as a “small bank holding company” under the Federal Reserve’s Small Bank Holding Company Policy Statement, it is exempt from the Federal Reserve’s risk-based capital and leverage rules. With respect to the Bank, Federally insured, state-chartered non-member banks such as the Bank are required to maintain minimum levels of regulatory capital. Current FDIC capital standards require these institutions to satisfy a common equity Tier 1 capital requirement and a Tier 1 capital requirement, a leverage capital requirement and a risk-based capital requirement.

In addition, in order to make capital distributions and pay discretionary bonuses to executive officers without restriction, an institution must also maintain additional common equity in excess of the minimum requirements. This excess is referred to as a capital conservation buffer. At September 30, 2026, the required capital conservation buffer is 2.50%.

Under the risk-based capital requirements, “total” capital (a combination of core and “supplementary” capital) must equal at least 8.0% of “risk-weighted” assets. The FDIC also is authorized to impose capital requirements in excess of these standards on individual institutions on a case-by-case basis. Management believes, as of September 30, 2026, that the Bank meets all capital adequacy requirements to which it is subject and is “well capitalized” under applicable regulations.

The Bank’s actual capital amounts and ratios and the regulatory requirements at September 30, 2026 and December 31, 2025 are presented below:

		Actual								For capital conservation buffer requirement								To be well capitalized under prompt corrective action provision
		Amount				Ratio				Amount				Ratio				Amount				Ratio
		(Dollars in thousands)
September 30, 2026
Total capital (to risk-weighted assets)		$	279,419				14.12	%		$	207,833				10.50	%		$	197,937				10.00	%
Tier 1 capital (to risk-weighted assets)		$	259,629				13.12	%		$	168,246				8.50	%		$	158,349				8.00	%
Common equity tier 1 capital (to    risk-weighted assets)		$	259,629				13.12	%		$	138,556				7.00	%		$	128,659				6.50	%
Tier 1 leverage capital (to average    assets)		$	259,629				11.46	%		$	147,281				6.50	%		$	113,293				5.00	%
December 31, 2025:
Total capital (to risk-weighted assets)		$	271,337				13.99	%		$	203,588				10.50	%		$	193,894				10.00	%
Tier 1 capital (to risk-weighted assets)		$	251,012				12.95	%		$	164,810				8.50	%		$	155,115				8.00	%
Common equity tier 1 capital (to    risk- weighted assets)		$	251,012				12.95	%		$	135,726				7.00	%		$	126,031				6.50	%
Tier 1 leverage capital (to average    assets)		$	251,012				11.13	%		$	146,646				6.50	%		$	112,805				5.00	%

31

Comparison of Operating Results for the three months ended September 30, 2026 and 2025

General

The Company reported net income of $1.0 million, or $0.15 per diluted common share, for the three months ended September 30, 2026, compared to net income of $6.5 million, or $0.95 per diluted common share, for the third quarter of 2025. The decrease in net income for the third quarter of 2026 when compared to the third quarter of 2025 was primarily due to an increase in the provision for credit losses of $8.3 million, partially offset by an increase in net interest income of $390 thousand, an increase in non-interest income of $551 thousand, a decrease in non-interest expense of $376 thousand, and a decrease in income tax expense of $1.5 million.

Interest income

Interest income decreased $758 thousand for the three months ended September 30, 2026, compared to the same period in 2025. Interest income on loans decreased $1.3 million due to a decrease of $21.5 million in the average balance of loans, and a decrease of 20 basis points in the yield on loans. Interest income on taxable available-for-sale securities increased $228 thousand due to a $38.0 million increase in the average balance of taxable available-for-sale securities, offset by a decrease of 45 basis points in the yield. Other interest and dividend income increased $321 thousand due to an increase of $39.5 million in average balances, partially offset by a decrease of 80 basis points in the yield.

Interest expense

Interest expense decreased $1.1 million to $12.0 million for the three months ended September 30, 2026, compared to the same period in 2025. Interest expense decreased primarily due to a decrease of 31 basis points in the rate paid on interest-bearing deposits, offset by an increase of $18.0 million in the average balance of interest-bearing deposits over the same prior year period.

Provision for credit losses

The Company recorded a provision for credit losses of $7.6 million during the three months ended September 30, 2026, which consisted of a $7.7 million increase recorded to the allowance of credit losses on loans, partially offset by a $69 thousand decrease to the provision for credit losses related to unfunded commitments, which are recorded in other liabilities on the Company’s statements of financial condition. This provision represented an increase in the provision for credit losses of $8.3 million from the three-months ended September 30, 2025. There were charge-offs of $8.3 million recorded, and recoveries were $30 thousand, for the three months ended September 30, 2026.

Non-interest income

Total non-interest income was $2.5 million for the three months ended September 30, 2026, an increase of $551 thousand or 28.9% when compared to the same prior year period. The increase over the prior year’s third quarter was primarily due to an increase in other non-interest income of $896 thousand, partially offset by a decrease in loan fees of $418 thousand.

Non-interest expense

Total non-interest expense was $13.5 million for the three months ended September 30, 2026, a decrease of $376 thousand or 2.7% when compared to the same prior year period. This decrease was primarily related to decreases in salaries and employee benefits expense of $434 thousand, in data processing and communications expenses of $286 thousand, in professional fees of $281 thousand, and in other non-interest expense of $221 thousand, partially offset by an increase in occupancy and equipment expense of $1.1 million.

Provision for income taxes

For the three months ended September 30, 2026, the Company recorded an income tax expense of $268 thousand, resulting in an effective tax rate of 20.8%, compared to an income tax expense of $1.8 million resulting in an effective tax rate of 21.9% for the three months ended September 30, 2025.

32

Average Balances, Net Interest Income, and Yields Earned and Rates Paid

The following table shows for the three-month period indicated the total dollar amount of interest earned from average interest-earning assets and the resulting yields, as well as the interest expense on average interest-bearing liabilities and the resulting costs, expressed both in dollars and rates. Average loan receivables balances include non-accrual loans. Average yields have been annualized. Tax-exempt incomes and yields have not been adjusted to a tax-equivalent basis.

		Three Months Ended September 30,
		2026												2025												Change 2026 vs 2025
		Average Balances				Income/ Expense				Yield Rates				Average Balances				Income/ Expense				Yield Rates				Average Balances				Yield Rates
		(Dollars in thousands)
Interest-earning assets:
Loans receivable		$	1,796,026			$	28,643				6.33	%		$	1,817,551			$	29,927				6.53	%		$	(21,525	)			(0.20	)%
Securities
Taxable available-for-sale			216,994				2,442				4.50	%			178,947				2,214				4.95	%			38,047				(0.45	)%
Tax-exempt available-for-sale			37,282				255				2.74	%			39,269				278				2.83	%			(1,987	)			(0.09	)%
Held-to-maturity			148				2				5.33	%			156				2				5.33	%			(8	)			(0.00	)%
Federal funds sold			6,845				64				3.70	%			15,911				174				4.33	%			(9,066	)			(0.63	)%
Other interest-earning assets			60,755				581				3.79	%			12,156				150				4.92	%			48,599				(1.13	)%
Total interest-earning assets			2,118,050			$	31,987				5.99	%			2,063,990			$	32,745				6.29	%			54,060				(0.30	)%
Other non-earning assets			168,298												170,260												(1,962	)
Total assets		$	2,286,348											$	2,234,250											$	52,098
Interest-bearing liabilities
Checking		$	327,747			$	1,704				2.06	%		$	297,455			$	1,547				2.06	%		$	30,292				0.00	%
Savings			165,036				878				2.11	%			168,940				982				2.31	%			(3,904	)			(0.20	)%
Money markets			543,871				4,041				2.95	%			466,459				3,715				3.16	%			77,412				(0.21	)%
Certificates of deposit			620,924				5,355				3.42	%			702,996				6,837				3.86	%			(82,072	)			(0.44	)%
Total deposit			1,657,578				11,978				2.87	%			1,635,850				13,081				3.17	%			21,728				(0.30	)%
Borrowings			—				—			N/A					3,749				45				4.72	%			(3,749	)		N/A
Total interest-bearing liabilities			1,657,578			$	11,978				2.87	%			1,639,599			$	13,126				3.18	%			17,979				(0.31	)%
Non-interest-bearing deposits			312,057												294,652												17,405
Other liabilities			36,807												36,911												(104	)
Total liabilities			2,006,442												1,971,162												35,280
Stockholders’ equity			279,906												263,088												16,818
Total liabilities and stockholder’s equity		$	2,286,348											$	2,234,250											$	52,098
Net interest-earnings assets		$	460,472											$	424,391											$	36,081
Net interest income; interest rate spread						$	20,009				3.12	%						$	19,619				3.11	%		$	390				0.01	%
Net interest margin											3.75	%											3.77	%							(0.02	)%

33

Rate/Volume Analysis

The following table reflects the changes in our interest income and interest expense segregated into amounts attributable to changes in volume and in yields on interest-earning assets and interest-bearing liabilities during the periods indicated.

		Three Months Ended September 30, 2026 vs. 2025 Increase (Decrease) Due to
		Rate				Volume				Net
		(In thousands)
Interest and dividend income:
Loans receivable, including fees		$	(926	)		$	(357	)		$	(1,283	)
Securities available-for-sale
Taxable			(168	)			396				228
Tax-exempt			(9	)			(14	)			(23	)
Securities held-to-maturity			—				—				—
Federal funds sold			(22	)			(89	)			(111	)
Other interest and dividend income			(26	)			457				431
Total interest and dividend income		$	(1,151	)		$	393			$	(758	)
Interest expense
Demand		$	2			$	155			$	157
Savings			(82	)			(22	)			(104	)
Money markets			(220	)			546				326
Certificates of deposit			(731	)			(751	)			(1,482	)
Borrowings			—				(45	)			(45	)
Total interest expense		$	(1,031	)		$	(117	)		$	(1,148	)
Change in net interest income		$	(120	)		$	510			$	390

34

Comparison of Operating Results for the nine months ended September 30, 2026 and 2025

General

The Company reported net income of $14.3 million, or $2.10 per diluted common share, for the nine months ended September 30, 2026, compared to net income of $12.5 million, or $1.82 per diluted common share, for the nine months ended September 30, 2025. The increase in net income was primarily due to an increase in net interest income of $1.7 million, an increase in non-interest income of $1.0 million, and a decrease in non-interest expense of $616 thousand, partially offset by an increase of $579 thousand in the provision for credit losses, and an increase in income tax expense of $958 thousand, when compared to the prior year period.

Interest income

Interest income decreased $4.1 million for the nine months ended September 30, 2026, compared to the same period in 2025. Interest income on loans decreased $3.8 million due to a decrease of $40.9 million in the average balance of loans, and a decrease of 14 basis points in the yield on loans. Interest income on taxable available-for-sale securities decreased $1.3 million due to a 35 basis point decrease in yield and a $23.8 million decrease in the average balance of taxable available-for-sale securities. Other interest and dividend income increased $1.1 million due to an increase of $48.2 million in average balances, partially offset by a decrease of 77 basis points in the yield.

Interest expense

Interest expense decreased $5.8 million to $35.8 million for the nine months ended September 30, 2026, compared to the same period in 2025. Interest expense decreased primarily due to a decrease of $40.2 million in the average balance of interest-bearing deposits and a decrease of 39 basis points in the rate paid on interest-bearing deposits, over the same prior year period.

Provision for credit losses

The Company recorded a provision for credit losses of $7.1 million during the nine months ended September 30, 2026, and recorded a $6.6 million provision for credit losses for the nine-month period ended September 30, 2025. The increase for the nine-month period ended September 30, 2026, compared with the same prior year period, is primarily associated with a charge-off recorded during the current period, in the amount of $8.3 million. There were charge-offs of $8.4 million recorded, and recoveries were $290 thousand, for the nine months ended September 30, 2026.

Non-interest income

Total non-interest income was $7.3 million for the nine months ended September 30, 2026, an increase of $1.0 million or 15.7% when compared to the same prior year period. The increase over the prior year period was primarily due to increases in other non-interest income of $1.1 million, fees and service charges of $169 thousand, and in income from bank-owned life insurance of $77 thousand, and offset by a decrease in loan fees of $360 thousand.

Non-interest expense

Total non-interest expense was $40.6 million for the nine months ended September 30, 2026 , a decrease of $616 thousand or 1.5% when compared to the same prior year period. This decrease was primarily related to a decrease in salaries and employee benefits of $521 thousand, a decrease in federal deposit insurance expense of $468 thousand, a decrease in other non-interest expense of $344 thousand, and a decrease in data processing and communications of $247 thousand, partially offset by an increase in occupancy and equipment of $1.3 million.

Provision for income taxes

For the nine months ended September 30, 2026, the Company recorded an income tax expense of $4.2 million, resulting in an effective tax rate of 22.6%, compared to an income tax expense of $3.2 million resulting in an effective tax rate of 20.5% for the nine months ended September 30, 2025.

35

Average Balances, Net Interest Income, and Yields Earned and Rates Paid

The following table shows for the nine-month period indicated the total dollar amount of interest earned from average interest earning assets and the resulting yields, as well as the interest expense on average interest-bearing liabilities and the resulting costs, expressed both in dollars and rates. Average loan receivables balances include non-accrual loans. Average yields have been annualized. Tax-exempt incomes and yields have not been adjusted to a tax-equivalent basis.

		Nine Months Ended September 30,
		2026												2025												Change 2026 vs 2025
		Average Balances				Income/ Expense				Yield Rates				Average Balances				Income/ Expense				Yield Rates				Average Balances				Yield Rates
		(Dollars in thousands)
Interest-earning assets:
Loans receivable		$	1,797,233			$	85,390				6.35	%		$	1,838,179			$	89,171				6.49	%		$	(40,946	)			(0.14	)%
Securities
Taxable available-for-sale			168,767				5,793				4.58	%			192,605				7,128				4.95	%			(23,838	)			(0.37	)%
Tax-exempt available-for-sale			38,704				793				2.73	%			39,421				841				2.85	%			(717	)			(0.12	)%
Held-to-maturity			150				6				5.33	%			158				6				5.08	%			(8	)			0.25	%
Federal funds sold			27,800				773				3.72	%			34,339				1,132				4.41	%			(6,539	)			(0.69	)%
Other interest-earning assets			69,037				1,959				3.80	%			14,311				518				4.85	%			54,726				(1.05	)%
Total interest-earning assets			2,101,691			$	94,714				6.03	%			2,119,013			$	98,796				6.23	%			(17,322	)			(0.20	)%
Other non-earning assets			166,748												169,000												(2,252	)
Total assets		$	2,268,439											$	2,288,013											$	(19,574	)
Interest-bearing liabilities
Checking		$	326,954			$	4,998				2.04	%		$	312,254			$	4,670				2.00	%		$	14,700				0.04	%
Savings			166,509				2,616				2.10	%			170,320				2,905				2.28	%			(3,811	)			(0.18	)%
Money markets			503,435				11,041				2.93	%			469,202				10,990				3.13	%			34,233				(0.20	)%
Certificates of deposit			655,031				17,152				3.50	%			738,673				22,987				4.16	%			(83,642	)			(0.66	)%
Total deposit			1,651,929				35,807				2.90	%			1,690,449				41,552				3.29	%			(38,520	)			(0.39	)%
Borrowings			—				—			N/A					1,687				58				4.59	%			(1,687	)		N/A
Total interest-bearing liabilities			1,651,929			$	35,807				2.90	%			1,692,136			$	41,610				3.29	%			(40,207	)			(0.39	)%
Non-interest-bearing deposits			302,464												290,281												12,183
Other liabilities			38,054												41,599												(3,545	)
Total liabilities			1,992,447												2,024,016												(31,569	)
Stockholders’ equity			275,992												263,997												11,995
Total liabilities and stockholder’s equity		$	2,268,439											$	2,288,013											$	(19,574	)
Net interest-earnings assets		$	449,762											$	426,877											$	22,885
Net interest income; interest rate spread						$	58,907				3.13	%						$	57,186				2.94	%		$	1,721				0.19	%
Net interest margin											3.75	%											3.61	%							0.14	%

36

Rate/Volume Analysis

The following table reflects the changes in our interest income and interest expense segregated into amounts attributable to changes in volume and in yields on interest-earning assets and interest-bearing liabilities during the periods indicated.

		Nine Months Ended September 30, 2026 vs. 2025 Increase (Decrease) Due to
		Rate				Volume				Net
		(In thousands)
Interest and dividend income:
Loans receivable, including fees		$	(1,860	)		$	(1,921	)		$	(3,781	)
Securities available-for-sale
Taxable			(505	)			(830	)			(1,335	)
Tax-exempt			(33	)			(15	)			(48	)
Securities held-to-maturity			—				—				—
Federal funds sold			(162	)			(197	)			(359	)
Other interest and dividend income			(87	)			1,528				1,441
Total interest and dividend income		$	(2,647	)		$	(1,435	)		$	(4,082	)
Interest expense:
Demand		$	104			$	224			$	328
Savings			(225	)			(64	)			(289	)
Money market			(329	)			380				51
Certificates of deposit			(3,403	)			(2,432	)			(5,835	)
Borrowings			—				(58	)			(58	)
Total interest expense		$	(3,853	)		$	(1,950	)		$	(5,803	)
Change in net interest income		$	1,206			$	515			$	1,721

37

How We Manage Market Risk

Market risk is the risk of loss from adverse changes in market prices and rates. Our market risk arises primarily from interest rate risk which is inherent in our lending, investment and deposit gathering activities. To that end, management actively monitors and manages interest rate risk exposure. In addition to market risk, our primary risk is credit risk on our loan portfolio and our investment security portfolio. We attempt to manage credit risk through our loan underwriting and oversight policies.

The principal objective of our interest rate risk management function is to evaluate the interest rate risk embedded in certain balance sheet accounts, determine the level of risk appropriate given our business strategy, operating environment, capital and liquidity requirements and performance objectives, and manage the risk consistent with approved guidelines. We seek to manage our exposure to risks from changes in interest rates while at the same time trying to improve our net interest spread. We monitor interest rate risk as such risk relates to our operating strategies. We have established an Asset/Liability Committee which is comprised of both Management and members of the Board of Directors. The Asset/Liability Committee meets on a regular basis and is responsible for reviewing our asset/liability policies and interest rate risk position. Both the extent and direction of shifts in interest rates are uncertainties that could have a negative impact on future earnings.

Gap Analysis. The matching of assets and liabilities may be analyzed by examining the extent to which such assets and liabilities are “interest-rate-sensitive” and by monitoring the Company’s interest rate sensitivity “gap.” An asset or liability is said to be interest-rate-sensitive within a specific time period if it will mature or reprice within that time period. The interest-rate-sensitivity gap is defined as the difference between the amount of interest-earning assets maturing or repricing within a specific time period and the amount of interest-bearing liabilities maturing or repricing within that same time period. A gap is considered positive when the amount of interest-rate-sensitive assets exceeds the amount of interest-rate-sensitive liabilities. A gap is considered negative when the amount of interest-rate-sensitive liabilities exceeds the amount of interest-rate-sensitive assets. During a period of rising interest rates, a negative gap would tend to affect adversely net interest income while a positive gap would tend to result in an increase in net interest income. Conversely, during a period of falling interest rates, a negative gap would tend to result in an increase in net interest income while a positive gap would tend to affect adversely net interest income.

38

The table below sets forth the amounts of our interest-earning assets and interest-bearing liabilities outstanding at September 30, 2026, which we expect, based upon certain assumptions, to reprice or mature in each of the future time periods shown (the “GAP Table”). Except as stated below, the amounts of assets and liabilities shown which reprice or mature during a particular period were determined in accordance with the earlier of term to repricing or the contractual maturity of the asset or liability. The table sets forth an approximation of the projected repricing of assets and liabilities at September 30, 2026, based on contractual maturities, anticipated prepayments, and scheduled rate adjustments within a three-month period and subsequent selected time intervals. The loan amounts in the table reflect principal balances expected to be redeployed and/or repriced as a result of contractual amortization and anticipated prepayments of adjustable-rate loans and fixed-rate loans, and as a result of contractual rate adjustments on adjustable-rate loans.

		3 Months or Less				More than 3 Months to 1 Year				More than 1 Year to 3 Years				More than 3 Years to 5 Years				More than 5 Years				Non-Rate Sensitive				Total Amount
		(In thousands)
Interest-earning assets: (1)
Investment securities		$	14,051			$	20,789			$	49,599			$	42,414			$	135,868			$	(19,376	)		$	243,345
Loans receivable			401,723				328,373				631,395				354,690				138,887				(22,896	)			1,832,172
Other interest-earnings assets (2)			30,553				—				—				—				—				—				30,553
Total interest-earning assets		$	446,327			$	349,162			$	680,994			$	397,104			$	274,755			$	(42,272	)		$	2,106,070
Interest-bearing liabilities:
Checking and savings accounts		$	496,848							$	—			$	—			$	—			$	—			$	496,848
Money market accounts			560,605				—				—				—				—				—				560,605
Certificate accounts			160,475				455,562				19,463				1,671				—				—				637,171
Borrowings			—				—				—				—				—				—				—
Total interest-bearing liabilities		$	1,217,928			$	455,562			$	19,463			$	1,671			$	—			$	—			$	1,694,624
Interest-earning assets less    interest-bearing liabilities		$	(771,601	)		$	(106,400	)		$	661,531			$	395,433			$	274,755			$	(42,272	)		$	411,446
Cumulative interest-rate    sensitivity gap (3)		$	(771,601	)		$	(878,001	)		$	(216,470	)		$	178,963			$	453,718
Cumulative interest-rate gap as a    percentage of total assets at
September 30, 2026			(33.43	)%			(38.04	)%			(9.38	)%			7.75	%			19.66	%
Cumulative interest-earning assets    as a percentage of cumulative    interest-bearing liabilities at    September 30, 2026			36.65	%			47.53	%			87.21	%			110.56	%			126.77	%

(1)Interest-earnings assets are included in the period in which the balances are expected to be redeployed and/or repriced as a result of anticipated prepayments, scheduled rate adjustments and contractual maturities.

(2)Includes interest-bearing bank balances, FHLB Stock and Federal Funds Sold.

(3)Interest-rate sensitivity gap represents the difference between total interest-earning assets and total interest-bearing liabilities.

Certain shortcomings are inherent in the method of analysis presented in the foregoing table. For example, although certain assets and liabilities may have similar maturities or periods to repricing, they may react in different degrees to changes in market interest rates. Also, the interest rates on certain types of assets and liabilities may fluctuate in advance of changes in market interest rates, while interest rates on other types may lag behind changes in market rates. Additionally, certain assets, such as adjustable-rate loans, have features which restrict changes in interest rates both on a short-term basis and over the life of the asset. Further, in the event of a change in interest rates, prepayment and early withdrawal levels would likely deviate significantly from those assumed in calculating the table. Finally, the ability of many borrowers to service their adjustable-rate loans may decrease in the event of an interest rate increase.

39

Net Portfolio Value Analysis. Our interest rate sensitivity is also monitored by management through the use of a model which generates estimates of the changes in our net portfolio value (“NPV”) over a range of interest rate scenarios. NPV is the present value of expected cash flows from assets, liabilities, and off-balance sheet contracts. The NPV ratio, under any interest rate scenario, is defined as the NPV in that scenario divided by the market value of assets in the same scenario. The following table sets forth our NPV as of September 30, 2026, and reflects the changes to NPV as a result of immediate and sustained changes in interest rates as indicated.

Change in Interest Rates		Net Portfolio Value												NPV as % of Portfolio Value of Assets
In Basis Points (Rate Shock)		Amounts				$ Change				% Change				EVE/EVA1				Change
		(Dollars in thousands)
300		$	387,403			$	(45,421	)			(10.49	)%			17.66	%			(0.92	)
200		$	408,436			$	(24,388	)			(5.63	)%			18.24	%			(0.34	)
100		$	424,292			$	(8,532	)			(1.97	)%			18.57	%			(0.01	)
Static		$	432,824			$	—								18.58	%
(100)		$	439,465			$	6,641				1.53	%			18.50	%			(0.08	)
(200)		$	445,618			$	12,794				2.96	%			18.36	%			(0.22	)
(300)		$	445,926			$	13,102				3.03	%			17.99	%			(0.59	)

1.Economic Value of Equity (EVE) divided by Economic Value of Assets (EVA)

As is the case with the Gap Table above, certain shortcomings are inherent in the methodology used in the above interest rate risk measurements. Modeling changes in NPV require the making of certain assumptions which may or may not reflect the manner in which actual yields and costs respond to changes in market interest rates. In this regard, the models presented assume that the composition of our interest sensitive assets and liabilities existing at the beginning of a period remains constant over the period being measured and assumes that a particular change in interest rates is reflected uniformly across the yield curve regardless of the duration to maturity or repricing of specific assets and liabilities. Accordingly, although the NPV model provides an indication of interest rate risk exposure at a particular point in time, such model is not intended to and does not provide a precise forecast of the effect of changes in market interest rates on net interest income and will differ from actual results.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

A smaller reporting company, such as the Company, is not required to provide the information by this Item. Certain market risk disclosure is set forth in Item 2 above under “How We Manage Market Risk.”

Item 4. Controls and Procedures

Disclosure Controls and Procedures

Management, with the participation of the Company’s Chief Executive Officer and its Chief Financial Officer, evaluated the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rule l3a-l5 (e) promulgated under the Exchange Act) as of September 30, 2026. Based on this evaluation, the Company’s Chief Executive Officer and Chief Financial Officer have concluded that the Company’s disclosure controls and procedures are effective as of September 30, 2026 to ensure that the information required to be disclosed by the Company in the reports that the Company files or submits under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in SEC rules and forms.

Changes in Internal Control Over Financial Reporting

There was no change in the Company’s internal control over financial reporting identified during the quarter ended September 30, 2026, that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

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PART II–OTHER INFORMATION

Item 1. Legal Proceedings

None.

Item 1A. Risk Factors

There have been no material changes to the risk factors set forth under the Part I, Item 1.A. Risk Factors as set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025. Additional risks not presently known to the Company, or that the Company currently deems immaterial, may also adversely affect the business, financial condition or results of operations.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

During the three months ended September 30, 2026, none of the Company’s directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of Company securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any “non-Rule 10b5-1 trading arrangement”.

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Item 6. Exhibits

Exhibit Number		Description
31.1		Rule 13a-14(a) Certification on the Principal Executive Officer 
31.2		Rule 13a-14(a) Certification on the Principal Financial Officer 
32		Section 1350 Certifications 
101.INS		Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document
101.SCH		Inline XBRL Taxonomy Extension Schema With Embedded Linkbase Documents
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		Princeton Bancorp, Inc.
Date: November 6, 2026	By:	/s/ Edward Dietzler
		Edward Dietzler
		Chief Executive Officer and President
		(Principal Executive Officer)
	By:	/s/ George Rapp
		George Rapp
		Executive Vice President and Chief Financial Officer
		(Principal Financial Officer)

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