Lake Shore Bancorp (NASDAQ: LSBK) boosts Q1 2026 earnings and margin
Rhea-AI Filing Summary
Lake Shore Bancorp, Inc. reported substantially stronger results for the first quarter of 2026, with unaudited net income of $1.9 million, or $0.26 per diluted share, up from $1.1 million, or $0.14 per share, a year earlier.
Performance benefited mainly from higher net interest income, which rose 21.9% year over year to $6.66 million as funding costs declined and net interest margin expanded to 4.02% from 3.49%. The efficiency ratio improved to 69.58% from 78.82%, while return on average assets increased to 1.07% from 0.62%.
Asset quality and capital remained strong. Non-performing assets were 0.22% of total assets, and the allowance for credit losses on loans covered more than three times non-performing loans. Total assets were $722.0 million and stockholders’ equity was $142.4 million at March 31, 2026.
Positive
- None.
Negative
- None.
Insights
Lake Shore delivered much stronger profitability with solid credit and capital.
Lake Shore Bancorp posted net income of $1.9 million for Q1 2026, up 81.9% year over year, on net interest income growth of 21.9%. A higher net interest margin of 4.02% and improved efficiency ratio of 69.58% drove better profitability metrics.
Credit quality appears stable, with non-performing assets at 0.22% of total assets and an allowance for credit losses on loans equal to 302.76% of non-performing loans. Management also recorded a $113,000 credit to provision, reflecting lower modeled loss rates.
Capital remains robust, with a Tier 1 leverage ratio of 17.54% and total risk-based capital ratio of 23.81% at the bank level as of March 31, 2026. Subsequent quarterly filings will show whether the stronger margin, lower deposit costs, and tight expense control can be sustained in changing rate conditions.
8-K Event Classification
Key Figures
Key Terms
net interest margin financial
efficiency ratio financial
allowance for credit losses financial
non-performing assets financial
Tier 1 Leverage ratio financial
total risk-based capital ratio financial
Earnings Snapshot
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): |
(Exact name of Registrant as Specified in Its Charter)
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Registrant’s Telephone Number, Including Area Code: |
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(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
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Trading |
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
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. ☐
Item 2.02 Results of Operations and Financial Condition.
Lake Shore Bancorp, Inc. (the “Company”) issued a press release on April 22, 2026 disclosing its results of operations and financial condition for the quarter ended March 31, 2026.
A copy of the press release is attached as Exhibit 99.1 hereto.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
99.1 Press release of Lake Shore Bancorp, Inc. dated April 22, 2026
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)
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 hereunto duly authorized.
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LAKE SHORE BANCORP, INC. |
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Date: |
April 22, 2026 |
By: |
/s/ Taylor M. Gilden |
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Taylor M. Gilden |
Lake Shore Announces
First Quarter 2026 Financial Results
DUNKIRK, N.Y. — April 22, 2026 — Lake Shore Bancorp, Inc. (the “Company”) (NASDAQ: LSBK), the holding company for Lake Shore Bank (the “Bank”), reported unaudited net income of $1.9 million, or $0.26 per diluted share, for the first quarter of 2026 compared to net income of $1.1 million, or $0.14 per diluted share, for the first quarter of 2025. The Company's financial performance for the first quarter of 2026 was positively impacted primarily by an increase in net interest income.
"The results from the first quarter reflected a typical beginning of the year for our company," stated Kim C. Liddell, President, CEO, and Director. "Despite intense competition and challenging loan pricing environments, we remain dedicated to optimizing our balance sheet and operational efficiencies to enhance the Company’s overall performance."
First Quarter 2026 Financial Highlights:
Net Interest Income
Net interest income for the first quarter of 2026 increased by $38,000, or 0.6%, to $6.7 million as compared to $6.6 million for the fourth quarter of 2025 and increased $1.2 million, or 21.9%, as compared to $5.5 million for the first quarter of 2025. Net interest margin and interest rate spread were 4.02% and 3.43%, respectively, for the
first quarter of 2026 as compared to 3.85% and 3.22%, respectively, for the fourth quarter of 2025 and 3.49% and 2.94%, respectively, for the first quarter of 2025.
Interest income for the first quarter of 2026 was $9.1 million, a decrease of $402,000, or 4.3%, compared to $9.5 million for the fourth quarter of 2025, and an increase of $688,000, or 8.2%, compared to $8.4 million for the first quarter of 2025.
The decrease in interest income from the prior quarter was primarily due to a $26.1 million, or 3.8%, decrease in the average balance of interest-earning assets and a three basis point decrease in the average yield on interest-earning assets. Interest earned on interest-earning deposits decreased by $283,000, or 37.6%, due to a $23.1 million decrease in the average balance of interest-earning deposits and a 43 basis point decrease in average yield on interest-earning deposits during the first quarter of 2026 as compared to the prior quarter.
The increase in interest income from the prior year quarter was primarily due to a $35.3 million, or 5.6%, increase in the average balance of interest-earning assets and a 13 basis point increase in the average yield of interest-earning assets. During the first quarter of 2026 as compared to the same period in 2025, there was a $480,000 increase in interest income on loans due to a 29 basis point increase in the average yield earned on loans and a $5.6 million, or 1.0%, increase in the average balance of loans. Further, interest income on interest-earning deposits increased by $235,000, or 100.4%, primarily due to a $30.5 million, or 129.4%, increase in the average balance of interest-earning deposits. These increases were partially offset by a $27,000 decrease in interest income on securities due to a 16 basis point decrease in the average yield of securities and a $752,000 decrease in the average balance of the securities portfolio due to paydowns.
Interest expense for the first quarter of 2026 was $2.4 million, a decrease of $440,000, or 15.5%, from $2.8 million for the fourth quarter of 2025, and a decrease of $507,000, or 17.5%, from $2.9 million for the first quarter of 2025.
The decrease in interest expense when compared to the previous quarter was primarily due to a $26.1 million, or 5.3%, decrease in the average balance of interest-bearing liabilities. During the first quarter of 2026 as compared to the previous quarter, interest expense on interest-bearing deposits decreased by $422,000, or 15.1%, due to a 24 basis point decrease in the average interest rate paid on deposit accounts. The decrease in average interest rate paid on interest-bearing accounts was primarily due to the decrease in market interest rates and proactive management of deposit funding costs. Average interest-bearing deposit balances were $468.1 million, a 5.0% decrease during the first quarter of 2026 when compared to the previous quarter due to a decrease in the average balance of all deposit account types. Interest expense on borrowed funds and other interest-bearing liabilities decreased by $18,000 due to a $1.7 million, or 41.7%, decrease in the average balance of borrowed funds and other interest-bearing liabilities due to a decrease in the average balance of outstanding borrowings.
The decrease in interest expense when compared to the prior year quarter was primarily due to a 36 basis point decrease in average interest rate paid on interest-bearing liabilities, and a $13.6 million, or 2.8% decrease in the average balance of interest-bearing liabilities. During the first quarter of 2026 as compared to the first quarter of 2025, interest expense on interest-bearing deposits decreased by $470,000, or 16.5%, due to a 35 basis point decrease in the average interest rate paid on interest-bearing deposit accounts, along with a $9.7 million, or 2.0% decrease in the average balance of interest-bearing deposits. The decrease in average interest-bearing deposits accounts was due to a decrease in the average balance of all deposit account types except money market accounts. During the first quarter of 2026 as compared to the same period in 2025, there was a $337,000 decrease in interest paid on time deposit accounts due to a 48 basis point decrease in the average interest rate paid on time deposits. The decrease in the average interest rate paid on time deposit accounts was primarily due to the decrease in market interest rates and proactive management of deposit funding costs. During the first quarter of 2026, interest expense on borrowed funds and other interest-bearing liabilities decreased by $37,000, or 61.7%, compared to the first quarter of 2025, primarily due to a $3.9 million, or 62.4% decrease in average borrowed funds and other interest-bearing liabilities outstanding due to the repayment of our borrowings during 2025.
Non-Interest Income
Non-interest income was $703,000 for the first quarter of 2026, an increase of $20,000, or 2.9%, as compared to $683,000 for the fourth quarter of 2025. The increase from the prior quarter was primarily due to the $40,000 loss on the sale of equity securities during the prior quarter, and a $27,000 increase in earnings on annuity assets. Non-interest income during the first quarter of 2026 decreased $21,000, or 2.9%, as compared to $724,000 for the first quarter of 2025. The decrease from the prior year quarter was primarily due to a $46,000 gain on equity securities during the first quarter of 2025, partially offset by a $26,000 increase in earnings on bank-owned life insurance when compared to the first quarter of 2025.
Non-Interest Expense
Non-interest expense was $5.1 million for the first quarter of 2026, an increase of $203,000, or 4.1%, as compared to $4.9 million for the fourth quarter of 2025 and an increase of $245,000, or 5.0%, as compared to $4.9 million for the first quarter of 2025. The increase from the previous quarter was primarily related to an increase in the cost of health insurance, taxes, and other non-salary benefits, of $322,000, or 33.3%, and an increase in occupancy and equipment expenses of $50,000, or 7.5%. These increases were partially offset by a $144,000 decrease in data processing costs as we renegotiated our primary data processing contract. The increase from the prior year quarter was also primarily related to an increase in the cost of health insurance, taxes, and other non-salary benefits, of $300,000, or 30.3%, and an increase in occupancy and equipment expenses of $43,000, or 6.4%. These increases were partially offset by a $98,000 decrease in data processing costs as we renegotiated our primary data processing contract, and a $53,000 decrease in professional services.
Income Tax Expense
Income tax expense was $430,000 for the first quarter of 2026, an increase of $19,000, or 4.6%, as compared to $411,000 for the fourth quarter of 2025, and an increase of $224,000, or 108.7%, as compared to $206,000 for the first quarter of 2025. The increase in income tax expense from the prior quarter and prior year quarter was primarily related to the increase in taxable income earned during the current quarter.
Credit Quality
The Company’s allowance for credit losses on loans was $4.8 million as of March 31, 2026 as compared to $4.9 million as of December 31, 2025. The Company’s allowance for credit losses on unfunded commitments was $325,000 as of March 31, 2026 as compared to $361,000 as of December 31, 2025. Non-performing assets as a percent of total assets decreased to 0.22% at March 31, 2026 as compared to 0.23% at December 31, 2025, due to a decrease in non-performing assets of $95,000, or 5.7%. The Company’s allowance for credit losses on loans as a percent of loans at amortized cost was 0.86% and 0.87% and its allowance for credit losses on loans as a percent of non-performing loans was 302.76% and 290.71%, at March 31, 2026, and December 31, 2025, respectively.
The Company recorded a credit to provision for credit losses of $113,000 for the first quarter of 2026, of which $77,000 related to the loan portfolio and $36,000 related to the reserve for unfunded commitments.
The decrease in the allowance for credit losses on loans and the corresponding credit to the provision for credit losses recognized during the first quarter of 2026 was the result of a decrease in the quantitative and qualitative loss rates, inclusive of forecasted economic trends, primarily for the commercial real estate and home equity loan pools.
Balance Sheet Summary
Total assets at March 31, 2026 were $722.0 million, a $5.3 million decrease, or 0.7%, as compared to $727.3 million at December 31, 2025. Cash and cash equivalents decreased by $2.7 million, or 4.2%, from $64.3 million
at December 31, 2025 to $61.6 million at March 31, 2026. The decrease in cash and cash equivalents was primarily due to a decrease in deposits of $6.7 million, or 1.2%, partially offset by a decrease in loans receivable of $1.6 million, or 0.3%. Securities available for sale were $54.2 million at March 31, 2026 as compared to $56.1 million at December 31, 2025, representing a decrease primarily due to a decrease in the market value of the portfolio and paydowns received during the first quarter of 2026. Net loans receivable at March 31, 2026 and December 31, 2025 were $553.9 million and $555.4 million, respectively. Total deposits at March 31, 2026 were $566.6 million, a decrease of $6.7 million, or 1.2%, compared to $573.3 million at December 31, 2025. The Company’s percentage of uninsured deposits to total deposits was 10.0% and 11.3%, at March 31, 2026 and December 31, 2025, respectively.
Stockholders’ equity at March 31, 2026 was $142.4 million, a $739,000 increase, or 0.5%, as compared to $141.6 million at December 31, 2025. The increase in stockholders’ equity was primarily attributed to net income of $1.9 million earned during the first quarter of 2026, partially offset by a $689,000 increase in accumulated other comprehensive losses and dividends declared and paid of $661,000.
About Lake Shore
Lake Shore Bancorp is the holding company of Lake Shore Bank, a New York chartered, community-oriented financial institution headquartered in Dunkirk, New York. The Bank has ten full-service branch locations in Western New York, including four in Chautauqua County and six in Erie County. The Bank offers a broad range of retail and commercial lending and deposit services. Lake Shore Bancorp’s common stock is traded on the NASDAQ Global Market as “LSBK”. Additional information about Lake Shore Bancorp is available at www.mylsbank.com.
Safe-Harbor
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, that are based on current expectations, estimates and projections about the Company’s and the Bank’s industry, and management’s beliefs and assumptions. Words such as anticipates, expects, intends, plans, believes, estimates and variations of such words and expressions are intended to identify forward-looking statements. Such statements reflect management’s current views of future events and operations. These forward-looking statements are based on information currently available to the Company as of the date of this release. It is important to note that these forward-looking statements are not guarantees of future performance and involve and are subject to significant risks, contingencies, and uncertainties, many of which are difficult to predict and are generally beyond our control including, but not limited to, data loss or other security breaches, including a breach of our operational or security systems, policies or procedures, including cyber-attacks on us or on our third party vendors or service providers, economic conditions, the effect of changes in monetary and fiscal policy, inflation, tariffs, unanticipated changes in our liquidity position, climate change, public health issues, geopolitical conflict, increased unemployment, deterioration in the credit quality of the loan portfolio and/or the value of the collateral securing repayment of loans, reduction in the value of investment securities, the cost and ability to attract and retain key employees, regulatory or legal developments, tax policy changes, dividend policy changes, and our ability to implement and execute our business plan and strategy and expand our operations. These factors should be considered in evaluating forward looking statements and undue reliance should not be placed on such statements, as our financial performance could differ materially due to various risks or uncertainties. We do not undertake to publicly update or revise our forward-looking statements if future changes make it clear that any projected results expressed or implied therein will not be realized.
# # # # #
Source: Lake Shore Bancorp, Inc.
Category: Financial
Investor Relations/Media Contact
Kim C. Liddell
President, CEO, and Director
Lake Shore Bancorp, Inc.
31 East Fourth Street
Dunkirk, New York 14048
(716) 366-4070 ext. 1012
Selected Financial Condition Data
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March 31, |
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December 31, |
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2026 |
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2025 |
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(Unaudited) |
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(Dollars in thousands) |
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Total assets |
$ |
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722,011 |
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$ |
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727,323 |
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Cash and cash equivalents |
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61,607 |
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64,280 |
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Securities available for sale, at fair value |
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54,179 |
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56,138 |
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Loans receivable, net |
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553,879 |
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555,441 |
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Deposits |
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566,620 |
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573,277 |
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Stockholders’ equity |
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142,378 |
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141,639 |
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Statements of Income
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Three Months Ended |
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March 31, |
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2026 |
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2025 |
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(Unaudited) |
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(Dollars in thousands, except per share amounts) |
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Interest income |
$ |
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9,055 |
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$ |
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8,367 |
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Interest expense |
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2,395 |
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2,902 |
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Net interest income |
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6,660 |
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5,465 |
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Provision for credit losses |
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(113 |
) |
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48 |
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Net interest income after provision for credit losses |
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6,773 |
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5,417 |
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Total non-interest income |
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703 |
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724 |
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Total non-interest expense |
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5,123 |
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4,878 |
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Income before income taxes |
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2,353 |
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1,263 |
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Income tax expense |
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430 |
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206 |
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Net income |
$ |
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1,923 |
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$ |
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1,057 |
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Basic and diluted earnings per share(1) |
$ |
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0.26 |
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$ |
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0.14 |
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Dividends declared and paid per share(1) |
$ |
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0.09 |
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$ |
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0.13 |
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Selected Financial Ratios |
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Return on average assets(2) |
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1.07 |
% |
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0.62 |
% |
Return on average equity(2) |
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5.38 |
% |
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4.65 |
% |
Average interest-earning assets to average interest-bearing liabilities |
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140.76 |
% |
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129.52 |
% |
Interest rate spread(2) |
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3.43 |
% |
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2.94 |
% |
Net interest margin(2) |
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4.02 |
% |
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3.49 |
% |
Efficiency ratio |
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69.58 |
% |
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78.82 |
% |
(1) Per share information reflects the effects of the Company's conversion and related stock offering for all periods presented, as applicable.
(2) Annualized.
Average Balance Sheets, Interest, and Rates (Quarterly Comparison)
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For the Three Months Ended |
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For the Three Months Ended |
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March 31, 2026 |
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March 31, 2025 |
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Average |
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Interest Income/ |
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Yield/ |
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Average |
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Interest Income/ |
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Yield/ |
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Balance |
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Expense |
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Rate(2) |
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Balance |
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Expense |
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Rate(2) |
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(Unaudited) |
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(Dollars in thousands) |
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Interest-earning assets: |
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Interest-earning deposits |
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$ |
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54,061 |
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$ |
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469 |
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3.47 |
% |
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$ |
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23,562 |
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$ |
|
234 |
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|
3.97 |
% |
Securities(1) |
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57,052 |
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354 |
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2.48 |
% |
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57,804 |
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|
381 |
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|
2.64 |
% |
Loans, including fees |
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551,119 |
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8,232 |
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|
5.97 |
% |
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545,561 |
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7,752 |
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|
5.68 |
% |
Total interest-earning assets |
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|
662,232 |
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$ |
|
9,055 |
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5.47 |
% |
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|
626,927 |
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$ |
|
8,367 |
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5.34 |
% |
Other assets |
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53,328 |
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51,656 |
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Total assets |
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$ |
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715,560 |
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$ |
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678,583 |
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Interest-bearing liabilities: |
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Demand & NOW accounts |
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$ |
|
62,384 |
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$ |
|
15 |
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0.10 |
% |
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$ |
|
62,784 |
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|
$ |
|
15 |
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0.10 |
% |
Money market accounts |
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|
156,226 |
|
|
|
|
735 |
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|
1.88 |
% |
|
|
|
152,680 |
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|
|
|
867 |
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|
2.27 |
% |
Savings accounts |
|
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|
51,263 |
|
|
|
|
8 |
|
|
|
0.06 |
% |
|
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|
53,541 |
|
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|
9 |
|
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|
0.07 |
% |
Time deposits |
|
|
|
198,245 |
|
|
|
|
1,614 |
|
|
|
3.26 |
% |
|
|
|
208,804 |
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|
1,951 |
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|
3.74 |
% |
Total interest-bearing deposits |
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|
|
468,118 |
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|
|
|
2,372 |
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|
2.03 |
% |
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|
477,809 |
|
|
|
|
2,842 |
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|
|
2.38 |
% |
Borrowed funds & other interest-bearing liabilities |
|
|
|
2,342 |
|
|
|
|
23 |
|
|
|
3.93 |
% |
|
|
|
6,237 |
|
|
|
|
60 |
|
|
|
3.85 |
% |
Total interest-bearing liabilities |
|
|
|
470,460 |
|
|
$ |
|
2,395 |
|
|
|
2.04 |
% |
|
|
|
484,046 |
|
|
$ |
|
2,902 |
|
|
|
2.40 |
% |
Other non-interest bearing liabilities |
|
|
|
102,013 |
|
|
|
|
|
|
|
|
|
|
|
103,593 |
|
|
|
|
|
|
|
|
||||
Stockholders' equity |
|
|
|
143,087 |
|
|
|
|
|
|
|
|
|
|
|
90,944 |
|
|
|
|
|
|
|
|
||||
Total liabilities & stockholders' equity |
|
$ |
|
715,560 |
|
|
|
|
|
|
|
|
|
$ |
|
678,583 |
|
|
|
|
|
|
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|
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Net interest income |
|
|
|
|
|
$ |
|
6,660 |
|
|
|
|
|
|
|
|
|
$ |
|
5,465 |
|
|
|
|
||||
Interest rate spread |
|
|
|
|
|
|
|
|
|
|
3.43 |
% |
|
|
|
|
|
|
|
|
|
|
2.94 |
% |
||||
Net interest margin |
|
|
|
|
|
|
|
|
|
|
4.02 |
% |
|
|
|
|
|
|
|
|
|
|
3.49 |
% |
||||
(1) The tax equivalent adjustment for bank qualified tax exempt municipal securities, using a federal statutory rate of 21%, results in rates of 2.85% and 3.04% for the three months ended March 31, 2026 and March 31, 2025, respectively. Yields above are not presented on a tax equivalent basis.
(2) Annualized.
Average Balance Sheets, Interest, and Rates (Prior Quarter Comparison)
|
|
For the Three Months Ended |
|
|
For the Three Months Ended |
|
||||||||||||||||||||||
|
|
March 31, 2026 |
|
|
December 31, 2025 |
|
||||||||||||||||||||||
|
|
Average |
|
|
Interest Income/ |
|
|
Yield/ |
|
|
Average |
|
|
Interest Income/ |
|
|
Yield/ |
|
||||||||||
|
|
Balance |
|
|
Expense |
|
|
Rate(2) |
|
|
Balance |
|
|
Expense |
|
|
Rate(2) |
|
||||||||||
|
|
(Unaudited) |
|
|||||||||||||||||||||||||
|
|
(Dollars in thousands) |
|
|||||||||||||||||||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-earning deposits |
|
$ |
|
54,061 |
|
|
$ |
|
469 |
|
|
|
3.47 |
% |
|
$ |
|
77,155 |
|
|
$ |
|
752 |
|
|
|
3.90 |
% |
Securities(1) |
|
|
|
57,052 |
|
|
|
|
354 |
|
|
|
2.48 |
% |
|
|
|
56,992 |
|
|
|
|
360 |
|
|
|
2.53 |
% |
Loans, including fees |
|
|
|
551,119 |
|
|
|
|
8,232 |
|
|
|
5.97 |
% |
|
|
|
554,172 |
|
|
|
|
8,345 |
|
|
|
6.02 |
% |
Total interest-earning assets |
|
|
|
662,232 |
|
|
$ |
|
9,055 |
|
|
|
5.47 |
% |
|
|
|
688,319 |
|
|
$ |
|
9,457 |
|
|
|
5.50 |
% |
Other assets |
|
|
|
53,328 |
|
|
|
|
|
|
|
|
|
|
|
52,773 |
|
|
|
|
|
|
|
|
||||
Total assets |
|
$ |
|
715,560 |
|
|
|
|
|
|
|
|
|
$ |
|
741,092 |
|
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Demand & NOW accounts |
|
$ |
|
62,384 |
|
|
$ |
|
15 |
|
|
|
0.10 |
% |
|
$ |
|
64,047 |
|
|
$ |
|
15 |
|
|
|
0.09 |
% |
Money market accounts |
|
|
|
156,226 |
|
|
|
|
735 |
|
|
|
1.88 |
% |
|
|
|
167,908 |
|
|
|
|
917 |
|
|
|
2.18 |
% |
Savings accounts |
|
|
|
51,263 |
|
|
|
|
8 |
|
|
|
0.06 |
% |
|
|
|
51,658 |
|
|
|
|
9 |
|
|
|
0.07 |
% |
Time deposits |
|
|
|
198,245 |
|
|
|
|
1,614 |
|
|
|
3.26 |
% |
|
|
|
208,982 |
|
|
|
|
1,853 |
|
|
|
3.55 |
% |
Total interest-bearing deposits |
|
|
|
468,118 |
|
|
|
|
2,372 |
|
|
|
2.03 |
% |
|
|
|
492,595 |
|
|
|
|
2,794 |
|
|
|
2.27 |
% |
Borrowed funds & other interest-bearing liabilities |
|
|
|
2,342 |
|
|
|
|
23 |
|
|
|
3.93 |
% |
|
|
|
4,014 |
|
|
|
|
41 |
|
|
|
4.09 |
% |
Total interest-bearing liabilities |
|
|
|
470,460 |
|
|
$ |
|
2,395 |
|
|
|
2.04 |
% |
|
|
|
496,609 |
|
|
$ |
|
2,835 |
|
|
|
2.28 |
% |
Other non-interest bearing liabilities |
|
|
|
102,013 |
|
|
|
|
|
|
|
|
|
|
|
103,679 |
|
|
|
|
|
|
|
|
||||
Stockholders' equity |
|
|
|
143,087 |
|
|
|
|
|
|
|
|
|
|
|
140,804 |
|
|
|
|
|
|
|
|
||||
Total liabilities & stockholders' equity |
|
$ |
|
715,560 |
|
|
|
|
|
|
|
|
|
$ |
|
741,092 |
|
|
|
|
|
|
|
|
||||
Net interest income |
|
|
|
|
|
$ |
|
6,660 |
|
|
|
|
|
|
|
|
|
$ |
|
6,622 |
|
|
|
|
||||
Interest rate spread |
|
|
|
|
|
|
|
|
|
|
3.43 |
% |
|
|
|
|
|
|
|
|
|
|
3.22 |
% |
||||
Net interest margin |
|
|
|
|
|
|
|
|
|
|
4.02 |
% |
|
|
|
|
|
|
|
|
|
|
3.85 |
% |
||||
(1) The tax equivalent adjustment for bank qualified tax exempt municipal securities, using a federal statutory rate of 21%, results in rates of 2.85% and 2.90% for the three months ended March 31, 2026 and December 31, 2025, respectively. Yields above are not presented on a tax equivalent basis.
(2) Annualized.
Selected Quarterly Financial Data
|
|
As of or For the Three Months Ended |
|
|||||||||||||||||
|
|
March 31, 2026 |
|
|
December 31, 2025 |
|
|
September 30, 2025 |
|
|
June 30, 2025 |
|
|
March 31, 2025 |
|
|||||
|
|
(Unaudited) |
|
|||||||||||||||||
|
|
(Dollars in thousands, except per share amounts) |
|
|||||||||||||||||
Selected Financial Condition Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total assets |
|
$ |
722,011 |
|
|
$ |
727,323 |
|
|
$ |
742,802 |
|
|
$ |
734,838 |
|
|
$ |
688,996 |
|
Cash and cash equivalents |
|
|
61,607 |
|
|
|
64,280 |
|
|
|
83,638 |
|
|
|
75,367 |
|
|
|
30,428 |
|
Securities, at fair value |
|
|
54,179 |
|
|
|
56,138 |
|
|
|
56,049 |
|
|
|
55,323 |
|
|
|
55,801 |
|
Loans receivable, net |
|
|
553,879 |
|
|
|
555,441 |
|
|
|
552,611 |
|
|
|
552,389 |
|
|
|
551,640 |
|
Deposits |
|
|
566,620 |
|
|
|
573,277 |
|
|
|
590,345 |
|
|
|
627,499 |
|
|
|
582,730 |
|
Long-term debt |
|
|
— |
|
|
|
— |
|
|
|
2,000 |
|
|
|
2,000 |
|
|
|
4,000 |
|
Stockholders’ equity |
|
|
142,378 |
|
|
|
141,639 |
|
|
|
139,306 |
|
|
|
92,884 |
|
|
|
90,662 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Condensed Statements of Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest income |
|
$ |
9,055 |
|
|
$ |
9,457 |
|
|
$ |
9,351 |
|
|
$ |
9,107 |
|
|
$ |
8,367 |
|
Interest expense |
|
|
2,395 |
|
|
|
2,835 |
|
|
|
2,996 |
|
|
|
2,985 |
|
|
|
2,902 |
|
Net interest income |
|
|
6,660 |
|
|
|
6,622 |
|
|
|
6,355 |
|
|
|
6,122 |
|
|
|
5,465 |
|
Provision for credit losses |
|
|
(113 |
) |
|
|
40 |
|
|
|
(269 |
) |
|
|
— |
|
|
|
48 |
|
Net interest income after provision for credit losses |
|
|
6,773 |
|
|
|
6,582 |
|
|
|
6,624 |
|
|
|
6,122 |
|
|
|
5,417 |
|
Total non-interest income |
|
|
703 |
|
|
|
683 |
|
|
|
1,065 |
|
|
|
800 |
|
|
|
724 |
|
Total non-interest expense |
|
|
5,123 |
|
|
|
4,920 |
|
|
|
4,843 |
|
|
|
4,625 |
|
|
|
4,878 |
|
Income before income taxes |
|
|
2,353 |
|
|
|
2,345 |
|
|
|
2,846 |
|
|
|
2,297 |
|
|
|
1,263 |
|
Income tax expense |
|
|
430 |
|
|
|
411 |
|
|
|
487 |
|
|
|
378 |
|
|
|
206 |
|
Net income |
|
$ |
1,923 |
|
|
$ |
1,934 |
|
|
$ |
2,359 |
|
|
$ |
1,919 |
|
|
$ |
1,057 |
|
Basic and diluted earnings per share(1) |
|
$ |
0.26 |
|
|
$ |
0.26 |
|
|
$ |
0.32 |
|
|
$ |
0.25 |
|
|
$ |
0.14 |
|
Dividends declared and paid per share(1) |
|
$ |
0.09 |
|
|
$ |
0.09 |
|
|
$ |
0.09 |
|
|
$ |
— |
|
|
$ |
0.13 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Selected Financial Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Return on average assets(2) |
|
|
1.07 |
% |
|
|
1.04 |
% |
|
|
1.28 |
% |
|
|
1.11 |
% |
|
|
0.62 |
% |
Return on average equity(2) |
|
|
5.38 |
% |
|
|
5.49 |
% |
|
|
7.31 |
% |
|
|
8.37 |
% |
|
|
4.65 |
% |
Average interest-earning assets to average interest-bearing liabilities |
|
|
140.76 |
% |
|
|
138.60 |
% |
|
|
139.79 |
% |
|
|
128.12 |
% |
|
|
129.52 |
% |
Interest rate spread(2) |
|
|
3.43 |
% |
|
|
3.22 |
% |
|
|
3.02 |
% |
|
|
3.32 |
% |
|
|
2.94 |
% |
Net interest margin(2) |
|
|
4.02 |
% |
|
|
3.85 |
% |
|
|
3.72 |
% |
|
|
3.84 |
% |
|
|
3.49 |
% |
Efficiency ratio |
|
|
69.58 |
% |
|
|
67.35 |
% |
|
|
65.26 |
% |
|
|
66.82 |
% |
|
|
78.82 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Asset Quality Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Non-performing loans as a percent of loans at amortized cost |
|
|
0.28 |
% |
|
|
0.30 |
% |
|
|
0.33 |
% |
|
|
0.32 |
% |
|
|
0.62 |
% |
Non-performing assets as a percent of total assets |
|
|
0.22 |
% |
|
|
0.23 |
% |
|
|
0.25 |
% |
|
|
0.24 |
% |
|
|
0.50 |
% |
Allowance for credit losses on loans as a percent of loans at amortized cost |
|
|
0.86 |
% |
|
|
0.87 |
% |
|
|
0.87 |
% |
|
|
0.93 |
% |
|
|
0.93 |
% |
Allowance for credit losses on loans as a percent of non-performing loans |
|
|
302.76 |
% |
|
|
290.71 |
% |
|
|
265.57 |
% |
|
|
290.53 |
% |
|
|
148.89 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Share Information: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common stock, number of shares outstanding(1) |
|
|
7,863,388 |
|
|
|
7,825,388 |
|
|
|
7,825,501 |
|
|
|
7,803,102 |
|
|
|
7,804,593 |
|
Treasury stock, number of shares held(1) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,459,691 |
|
|
|
1,458,200 |
|
Book value per share(1) |
|
$ |
18.11 |
|
|
$ |
18.10 |
|
|
$ |
17.80 |
|
|
$ |
11.90 |
|
|
$ |
11.62 |
|
Tier 1 leverage ratio (Bank-only) |
|
|
17.54 |
% |
|
|
16.65 |
% |
|
|
16.34 |
% |
|
|
14.37 |
% |
|
|
14.31 |
% |
Total risk-based capital ratio (Bank-only) |
|
|
23.81 |
% |
|
|
23.51 |
% |
|
|
22.76 |
% |
|
|
18.94 |
% |
|
|
18.67 |
% |
(1) Share and per share information reflects the effects of the Company's conversion and related stock offering for all periods presented, as applicable.
(2) Annualized.