Bank First Corp 10-Q

ITEM 1. Financial Statements Continued: BANK FIRST CORPORATION Consolidated Statements of Cash Flows (Continued) (In thousands) (Unaudited) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ ​ ​ ​ ​ 2026 ​ ​ ​ 2025 ​ ​ ​ ​ ​ Cash flows from financing activities, net of effects of business combination: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net increase in deposits ​ $ 14,649 ​ $ 13,140 ​ Repayment of notes payable ​ ( 77,814 ) ​ ( 508 ) ​ Dividends paid ​ ( 5,611 ) ​ ( 4,491 ) ​ Proceeds from sales of common stock ​ 88 ​ 64 ​ Repurchase of common stock ​ ( 3,076 ) ​ ( 6,381 ) ​ Net cash (used in) provided by financing activities ​ ( 71,764 ) ​ 1,824 ​ Net increase in cash and cash equivalents ​ 155,431 ​ 39,533 ​ Cash and cash equivalents at beginning of period ​ 243,207 ​ 261,332 ​ Cash and cash equivalents at end of period ​ $ 398,638 ​ $ 300,865 ​ ​ ​ ​ ​ ​ ​ ​ ​ Supplemental disclosures of cash flow information: ​ ​ ​ ​ ​ Cash paid during the period for: ​ ​ ​ ​ ​ ​ ​ Interest ​ $ 19,316 ​ $ 18,724 ​ Income taxes ​ 56 ​ — ​ Supplemental schedule of noncash activities: ​ ​ ​ ​ ​ Closed branch buildings transferred to OREO ​ ​ 3,990 ​ ​ — ​ MSR resulting from sale of loans ​ 723 ​ 325 ​ Change in unrealized loss on investment securities available for sale, net of tax ​ ( 4,421 ) ​ 747 ​ ​ ​ ​ ​ ​ ​ ​ ​ Acquisition: ​ ​ ​ ​ ​ ​ ​ Fair value of assets acquired ​ $ 1,581,684 ​ $ — ​ Fair value of liabilities assumed ​ ​ 1,484,184 ​ ​ — ​ Net assets acquired ​ $ 97,500 ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​ Common stock issued in acquisition ​ $ 168,470 ​ $ — ​ ​ See accompanying notes to consolidated financial statements. ​ 8 Table of Contents ​ BANK FIRST CORPORATION NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (in thousands, except share and per share data) NOTE 1 – BASIS OF PRESENTATION Bank First Corporation (the “Company”) provides a variety of financial services to individual and corporate customers through its wholly-owned subsidiary, Bank First, N.A. (the “Bank”). The Bank operates as a full-service financial institution with a primary market area including, but not limited to, the counties in which the Bank’s branches are located. The Bank has thirty-eight locations located in Brown, Columbia, Dane, Door, Fond du Lac, Green, Jefferson, Manitowoc, Monroe, Outagamie, Ozaukee, Rock, Shawano, Sheboygan, Walworth, Waupaca, Waushara, and Winnebago counties in the State of Wisconsin and Winnebago county in the State of Illinois. The Company and Bank are subject to the regulations of certain federal agencies and undergo periodic examinations by those regulatory authorities. These interim unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information and with the instructions to Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and footnote disclosures required by GAAP have been omitted or abbreviated. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 (“Annual Report”). The unaudited consolidated financial statements include all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the results for the interim periods. The results for interim periods are not necessarily indicative of results for a full year. Critical Accounting Policies and Estimates The accounting and reporting policies of the Company conform to GAAP in the United States and general practices within the financial institution industry. To prepare financial statements in conformity with GAAP, management makes estimates, assumptions and judgments based on available information. These estimates, assumptions and judgments are based on information available as of the date of the financial statements and, as this information changes, actual results could differ from the estimates, assumptions and judgments reflected in the financial statement. As disclosed in the Company’s Annual Report, management has identified several accounting policies that, due to the estimates, assumptions and judgments inherent in those policies, are critical in understanding our financial statements. These include accounting for business combinations (primarily related to core deposit intangibles and acquired loans) and accounting for the ACL-Loans. ​ There have been no material changes or developments with respect to the assumptions or methodologies that the Company uses when applying what management believes are critical accounting policies and developing critical accounting estimates as previously disclosed in the Company’s Annual Report. Reclassifications Certain 2025 amounts have been reclassified to conform to the presentation used in 2026. These reclassifications had no effect on the operations, financial condition or cash flows of the Company. Updates to Significant Accounting Policies Effective January 1, 2026, the Company adopted Accounting Standards Update (“ASU”) 2025-08, Financial Instruments—Credit Losses (Topic 326): Purchased Financial Assets . Any financial assets purchased after January 1, 2026 (including those acquired as part of the acquisition of Centre 1 Bancorp. Inc. (“Centre”) on January 1, 2026) reflect the application of ASU 2025-08, while financial assets purchased prior to this date will continue to be reported in accordance with previously applicable accounting standards. 9 Table of Contents ​ Recently Issued Not Yet Effective Accounting Standards In October 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-06, Disclosure Improvements. This ASU modifies the disclosure or presentation requirements of a variety of Topics in the Codification. The amendments in this ASU are expected to clarify or improve disclosure and presentation requirements for certain codification topics. The effective date for each amendment will be the date on which the Security and Exchange Commission’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited. If, by June 30, 2027, the Securities and Exchange Commission has not removed the applicable requirement from Regulation S-X or Regulation S-K, the pending content of the related amendment will be removed from the Codification and will not become effective for any entity. The Company does not anticipate a significant impact to its financial statement disclosures as a result of this ASU. In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Topic 220): Disaggregation of Income Statement Expenses. This ASU is intended to improve the disclosures about a public entity’s income statement expense categories and addresses requests from investors and other decision makers for additional, more detailed information about income statement expense categories. The amendment applies to all public entities that are required to report income statement categories in accordance with Topic 280. The effective date for this update was amended by ASU 2025-01, Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the Effective Date, and is now effective for annual periods beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027. In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270) – Narrow Scope Improvements. This ASU is intended to better clarify interim disclosure requirements and the applicability of Topic 270 by improving the navigability of the required interim disclosures and clarifying what guidance is applicable. The amendments also provide additional guidance on what disclosures would be provided in interim reporting periods. This update is effective for annual periods beginning after December 15, 2027, with early adoption permitted. The Company anticipates that this standard may impact the specific disclosures it utilizes in interim reports but will not cause any change in the accounting for operational results. ​ ​ ​ NOTE 2 – ACQUISITION On January 1, 2026, the Company completed a merger with Centre, a bank holding company headquartered in Beloit, Wisconsin, pursuant to the merger agreement, dated as of July 17, 2025, by and between the Company and Centre, whereby Centre merged with and into the Company, and First National Bank and Trust, Centre’s wholly-owned banking subsidiary, merged with and into the Bank. Centre’s principal activity was the ownership and operation of First National Bank and Trust, a federal-chartered banking institution that operated seventeen ( 17 ) branches in Wisconsin and Illinois at the time of closing. The merger consideration totaled approximately $ 168.8 million. ​ Pursuant to the Merger Agreement, Centre shareholders were entitled to receive, for each share of Centre common stock that was outstanding immediately prior to the merger, 0.9200 shares of the Company’s common stock and cash in lieu of fractional shares. Company stock issued totaled 1,382,940 shares valued at approximately $ 168.5 million, with cash of $ 0.3 million comprising the remainder of merger consideration. After close the combined company had total assets of approximately $ 6.2 billion, loans of approximately $ 4.6 billion, and deposits of approximately $ 5.0 billion. ​ ​ 10 Table of Contents ​ The fair value of the assets acquired and liabilities assumed on January 1, 2026 was as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As Recorded by ​ ​ ​ Fair Value ​ As Recorded by ​ ​ Centre ​ ​ ​ Adjustments ​ ​ ​ the Company Cash, cash equivalents and securities ​ $ 508,129 ​ $ ( 2,493 ) ​ $ 505,636 Other investments ​ 6,660 ​ 64 ​ ​ 6,724 Loans, net ​ 987,951 ​ ( 19,247 ) ​ ​ 968,704 Premises and equipment, net ​ 17,672 ​ ( 2,689 ) ​ ​ 14,983 Core deposit intangible ​ 17 ​ 31,893 ​ ​ 31,910 Other assets ​ 80,754 ​ ( 27,027 ) ​ ​ 53,727 Total assets acquired ​ $ 1,601,183 ​ $ ( 19,499 ) ​ $ 1,581,684 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Deposits ​ $ 1,376,635 ​ $ ( 393 ) ​ $ 1,376,242 Other borrowings ​ 67,841 ​ 1,323 ​ 69,164 Subordinated debentures ​ ​ 4,500 ​ ​ 110 ​ ​ 4,610 Junior subordinated debentures ​ ​ 8,250 ​ ​ — ​ ​ 8,250 Other liabilities ​ 25,781 ​ 137 ​ 25,918 Total liabilities assumed ​ $ 1,483,007 ​ $ 1,177 ​ $ 1,484,184 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Excess of assets acquired over liabilities assumed ​ $ 118,176 ​ $ ( 20,676 ) ​ $ 97,500 Less: purchase price ​ ​ ​ ​ ​ 168,763 Goodwill ​ ​ ​ ​ ​ ​ ​ $ 71,263 ​ ​ The Company purchased loans through the acquisition of Centre for which there was, at the date of acquisition, more than insignificant deterioration of credit quality since origination (PCD Loans). The carrying amount of these loans at acquisition was as follows: ​ ​ ​ ​ ​ ​ January 1, 2026 Purchase price of PCD loans at acquisition ​ $ 55,284 Non-credit discount on PCD loans at acquisition ​ ​ 2,742 Allowance for credit losses on PCD loans at acquisition ​ ​ 4,971 Par value of PCD acquired loans at acquisition ​ $ 62,997 ​ All other loans purchased through this acquisition were classified as Purchased Seasoned Loans under the guidance of ASU 2025-08. ​ The following unaudited pro forma information is presented for illustrative purposes only. The pro forma information should not be relied upon as being indicative of the historical results of operations the Company would have had if the Centre merger had occurred before such periods or the future results of operations that the Company will experience as a result of the merger. The pro forma information, although helpful in illustrating the financial characteristics of the combined company under one set of assumptions, does not reflect the benefits of expected cost savings, opportunities to earn additional revenue, the impact of restructuring and merger-related expenses, or other factors that may result as a consequence of the merger and, accordingly, does not attempt to predict or suggest future results. The unaudited pro forma information set forth below gives effect to the merger as if it had occurred on January 1, 2025, the beginning of the earliest period presented. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended (in thousands, except per share data) ​ ​ ​ ​ ​ December 31, 2025 Total revenue, net of interest expense ​ ​ ​ ​ $ 233,694 Net income ​ ​ ​ ​ $ 72,250 Diluted earnings per common share ​ ​ ​ ​ $ 6.41 ​ The Company accounted for this transaction under the acquisition method of accounting, and thus, the financial position and results of operations of Centre prior to the consummation dates were not included in the accompanying consolidated financial statements. The accounting required assets purchased and liabilities assumed to be recorded at their respective fair values at the date of acquisition. The Company determined the fair value of core deposit intangibles, securities, premises and equipment, loans, other assets and liabilities and deposits with the assistance of third-party valuations, appraisals and third-party advisors. The acquisition accounting is provisional for up to one year after the acquisition and could be adjusted in subsequent quarters during 2026 if additional relevant information to the fair values listed above becomes available. 11 Table of Contents ​ ​ ​ NOTE 3 – EARNINGS PER SHARE The two-class method is used in the calculation of basic and diluted earnings per share. Under the two-class method, earnings available to common shareholders for the period are allocated between common shareholders and participating securities according to dividends declared (or accumulated) and participation rights in undistributed earnings. There were no anti-dilutive stock options for the three months ended March 31, 2026 or 2025. The following table presents the factors used in the earnings per share computations for the period indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended March 31, ​ ​ ​ ​ 2026 ​ ​ ​ 2025 Basic ​ ​ ​ ​ ​ ​ Net income available to common shareholders ​ $ 19,988 ​ $ 18,241 Less: Earnings allocated to participating securities ​ ​ ( 84 ) ​ ​ ( 91 ) Net income allocated to common shareholders ​ $ 19,904 ​ $ 18,150 ​ ​ ​ ​ ​ Weighted average common shares outstanding including participating securities ​ ​ 11,215,545 ​ ​ 10,001,009 Less: Participating securities (1) ​ ​ ( 47,210 ) ​ ​ ( 50,039 ) Average shares ​ ​ 11,168,335 ​ ​ 9,950,970 ​ ​ ​ ​ ​ ​ ​ Basic earnings per common share ​ $ 1.78 ​ $ 1.82 ​ ​ ​ ​ ​ ​ ​ Diluted ​ ​ ​ ​ ​ ​ Net income available to common shareholders ​ $ 19,988 ​ $ 18,241 ​ ​ ​ ​ ​ ​ ​ Weighted average common shares outstanding for basic earnings per common share ​ ​ 11,168,335 ​ ​ 9,950,970 Add: Dilutive effects of stock-based compensation awards ​ ​ 18,927 ​ ​ 21,182 Average shares and dilutive potential common shares ​ ​ 11,187,262 ​ ​ 9,972,152 ​ ​ ​ ​ ​ ​ ​ Diluted earnings per common share ​ $ 1.78 ​ $ 1.82 (1) Participating securities are restricted stock awards whereby the stock certificates have been issued, are included in outstanding shares, receive dividends and can be voted, but have not vested. ​ ​ 12 Table of Contents ​ NOTE 4 – SECURITIES The following is a summary of available for sale securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Gross ​ ​ ​ Gross ​ ​ ​ ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated ​ ​ ​ Cost ​ Gains ​ Losses ​ Fair Value ​ March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities ​ $ 92,557 ​ $ 7 ​ $ ( 1,104 ) ​ $ 91,460 ​ Obligations of U.S. Government sponsored agencies ​ ​ 157,969 ​ ​ — ​ ​ ( 3,701 ) ​ ​ 154,268 ​ Obligations of states and political subdivisions ​ ​ 85,189 ​ ​ 34 ​ ​ ( 5,507 ) ​ ​ 79,716 ​ Mortgage-backed securities ​ ​ 136,876 ​ ​ 5 ​ ​ ( 2,034 ) ​ ​ 134,847 ​ Corporate notes ​ 23,614 ​ — ​ ( 670 ) ​ 22,944 ​ Total available for sale securities ​ $ 496,205 ​ $ 46 ​ $ ( 13,016 ) ​ $ 483,235 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ ​ Obligations of U.S. Government sponsored agencies ​ $ 23,226 ​ $ — ​ $ ( 1,947 ) ​ $ 21,279 ​ Obligations of states and political subdivisions ​ ​ 61,511 ​ ​ 95 ​ ​ ( 4,187 ) ​ ​ 57,419 ​ Mortgage-backed securities ​ 71,384 ​ 337 ​ ( 965 ) ​ 70,756 ​ Corporate notes ​ 15,675 ​ — ​ ( 707 ) ​ 14,968 ​ Total available for sale securities ​ $ 171,796 ​ $ 432 ​ $ ( 7,806 ) ​ $ 164,422 ​ ​ The following is a summary of held to maturity securities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Gross ​ ​ ​ Gross ​ ​ ​ ​ ​ ​ ​ Amortized ​ Unrealized ​ Unrealized ​ Estimated ​ ​ Cost ​ Gains ​ Losses ​ Fair Value March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities ​ $ 113,629 ​ $ 611 ​ $ ( 950 ) ​ $ 113,290 Obligations of states and political subdivisions ​ ​ 4,300 ​ ​ — ​ ​ — ​ ​ 4,300 Total held to maturity securities ​ $ 117,929 ​ $ 611 ​ $ ( 950 ) ​ $ 117,590 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities ​ $ 101,331 ​ $ 1,590 ​ $ ( 170 ) ​ $ 102,751 Obligations of states and political subdivisions ​ ​ 2,395 ​ ​ — ​ ​ — ​ ​ 2,395 Total held to maturity securities ​ $ 103,726 ​ $ 1,590 ​ $ ( 170 ) ​ $ 105,146 ​ 13 Table of Contents ​ The following table shows the fair value and gross unrealized losses of securities with unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Less Than 12 Months ​ Greater Than 12 Months ​ Total ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Number ​ Fair ​ ​ ​ Unrealized ​ ​ ​ Fair ​ ​ ​ Unrealized ​ ​ ​ Fair ​ Unrealized ​ of ​ Value ​ Losses ​ Value ​ Losses ​ Value ​ Losses ​ Securities ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2026 - Available for Sale ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities $ 84,206 ​ $ ( 1,104 ) ​ $ — ​ $ — ​ $ 84,206 ​ $ ( 1,104 ) ​ 9 Obligations of U.S. Government sponsored agencies ​ 135,120 ​ ​ ( 1,585 ) ​ ​ 19,147 ​ ​ ( 2,116 ) ​ ​ 154,267 ​ ​ ( 3,701 ) ​ 47 Obligations of states and political subdivisions ​ 33,355 ​ ​ ( 529 ) ​ ​ 37,402 ​ ​ ( 4,978 ) ​ ​ 70,757 ​ ​ ( 5,507 ) ​ 88 Mortgage-backed securities 105,700 ​ ( 846 ) ​ 24,113 ​ ( 1,188 ) ​ 129,813 ​ ( 2,034 ) 119 Corporate notes 3,026 ​ ( 4 ) ​ 13,838 ​ ( 666 ) ​ 16,864 ​ ( 670 ) 15 Totals $ 361,407 ​ $ ( 4,068 ) ​ $ 94,500 ​ $ ( 8,948 ) ​ $ 455,907 ​ $ ( 13,016 ) 278 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2026 - Held to Maturity ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities $ 53,840 ​ $ ( 675 ) ​ $ 16,116 ​ $ ( 275 ) ​ $ 69,956 ​ $ ( 950 ) ​ 28 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 - Available for Sale ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Obligations of U.S. Government sponsored agencies $ 929 ​ $ ( 8 ) ​ $ 20,350 ​ $ ( 1,939 ) ​ $ 21,279 ​ $ ( 1,947 ) ​ 24 Obligations of states and political subdivisions ​ — ​ ​ — ​ ​ 45,131 ​ ​ ( 4,187 ) ​ ​ 45,131 ​ ​ ( 4,187 ) ​ 55 Mortgage-backed securities 10,911 ​ ( 45 ) ​ 24,636 ​ ( 920 ) ​ 35,547 ​ ( 965 ) 92 Corporate notes — ​ — ​ 13,801 ​ ( 707 ) ​ 13,801 ​ ( 707 ) 9 Totals $ 11,840 ​ $ ( 53 ) ​ $ 103,918 ​ $ ( 7,753 ) ​ $ 115,758 ​ $ ( 7,806 ) ​ 180 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 - Held to Maturity ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities $ 997 ​ $ — ​ $ 22,156 ​ $ ( 170 ) ​ $ 23,153 ​ $ ( 170 ) ​ 12 ​ As of March 31, 2026, and December 31, 2025, no allowance for credit losses has been recognized on available for sale securities in an unrealized loss position as the Company does not believe any of the debt securities are credit impaired. This is based on the Company’s analysis of the risk characteristics, including credit ratings, and other qualitative factors related to these securities. The issuers of these securities continue to make timely principal and interest payments under the contractual terms of the securities. As of March 31, 2026, the Company did not intend to sell these securities and it was more likely than not that the Company would not be required to sell the debt securities before recovery of their amortized cost, which may be at maturity. The unrealized losses have occurred as a result of changes in interest rates, market spreads and market conditions subsequent to purchase, not credit deterioration. Furthermore, based on its analysis the Company has determined that held to maturity securities have zero expected credit losses. U.S. Treasury securities have the full faith and credit backing of the United States Government. 14 Table of Contents ​ The following is a summary of amortized cost and estimated fair value of securities by contractual maturity as of March 31, 2026. Contractual maturities will differ from expected maturities for mortgage-backed securities because borrowers may have the right to call or prepay obligations without penalties. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Available for Sale ​ Held to Maturity ​ ​ ​ ​ Amortized ​ ​ ​ Estimated ​ ​ ​ Amortized ​ ​ ​ Estimated ​ ​ Cost ​ Fair Value ​ Cost ​ Fair Value Due in one year or less ​ $ 33,019 ​ $ 32,975 ​ $ 23,247 ​ $ 23,226 Due after one year through 5 years ​ 199,914 ​ 197,408 ​ ​ 32,231 ​ ​ 32,108 Due after 5 years through 10 years ​ 89,573 ​ 84,880 ​ ​ 62,451 ​ ​ 62,256 Due after 10 years ​ 36,823 ​ 33,125 ​ ​ — ​ ​ — Subtotal ​ 359,329 ​ 348,388 ​ ​ 117,929 ​ ​ 117,590 Mortgage-backed securities ​ 136,876 ​ 134,847 ​ ​ — ​ ​ — Total ​ $ 496,205 ​ $ 483,235 ​ $ 117,929 ​ $ 117,590 ​ As of March 31, 2026 and December 31, 2025, the carrying values of securities pledged to secure public deposits and for other purposes required or permitted by law were approximately $ 268.1 million and $ 249.7 million, respectively. ​ Sales of securities available for sale produced $ 8.9 million in proceeds with immaterial gross gains and losses for the three months ended March 31, 2026. There were no sales of securities available for sale during the three months ended March 31, 2025. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2026 ​ ​ ​ 2025 Proceeds from sales of securities ​ $ 8,920 ​ $ — Gross gains on sales ​ 37 ​ — Gross losses on sales ​ ( 68 ) ​ — ​ ​ NOTE 5 – LOANS, ALLOWANCE FOR CREDIT LOSSES, AND CREDIT QUALITY The following table presents total loans by portfolio segment and class of loan as of March 31, 2026 and December 31, 2025: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2026 ​ ​ ​ 2025 Commercial/industrial ​ $ 821,721 ​ $ 647,552 Commercial real estate - owner occupied ​ 1,133,371 ​ 881,037 Commercial real estate - non-owner occupied ​ 660,465 ​ 492,635 Multi-family ​ ​ 456,898 ​ ​ 402,622 Construction and development ​ 259,510 ​ 215,599 Residential 1‑4 family ​ 1,101,151 ​ 894,633 Consumer ​ 61,181 ​ 54,618 Other ​ 22,356 ​ 16,941 Subtotals ​ 4,516,653 ​ 3,605,637 ACL - Loans ​ ( 57,067 ) ​ ( 44,374 ) Loans, net of ACL - Loans ​ 4,459,586 ​ 3,561,263 Deferred loan fees, net ​ ( 1,027 ) ​ ( 986 ) Loans, net ​ $ 4,458,559 ​ $ 3,560,277 ​ The ACL - Loans is based on the Company’s evaluation of historical default and loss experience, current and projected economic conditions, asset quality trends, known and inherent risks in the portfolio, adverse situations that may affect the borrowers’ ability to repay a loan, the estimated value of any underlying collateral, composition of the loan portfolio and other relevant factors. More information regarding the Company’s methodology related to the ACL-Loans can be found in the Company’s Annual Report. ​ The Company utilized the high-end range of the Federal Reserve Bank Open Market Committee forecast for national unemployment and the low-end range for national GDP growth at March 31, 2026 and December 31, 2025. As of March 31, 2026, the Company anticipates the national unemployment rate to rise during the forecast period and the national GDP growth rate to rise nominally. The Company utilized long-term averages for the remaining loss drivers. Due to increased geopolitical and economic uncertainty, the qualitative adjustment to individual loan pools related to risk from changes in economic conditions was increased during the first quarter of 2026. 15 Table of Contents ​ A roll forward of the ACL-Loans is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Year Ended ​ ​ March 31, 2026 ​ March 31, 2025 ​ December 31, 2025 ​ Beginning Balance $ 44,374 ​ $ 44,151 ​ $ 44,151 ​ ACL on loans acquired ​ 12,826 ​ ​ - ​ ​ - ​ Provision for credit losses ​ - ​ ​ 400 ​ ​ 1,200 ​ Charge-offs ​ ( 156 ) ​ ​ ( 836 ) ​ ​ ( 1,145 ) ​ Recoveries ​ 23 ​ ​ 34 ​ ​ 168 ​ Net charge-offs ​ ( 133 ) ​ ​ ( 802 ) ​ ​ ( 977 ) ​ Ending Balance $ 57,067 ​ $ 43,749 ​ $ 44,374 ​ ​ ​ A summary of the activity in the ACL - Loans by loan type for the three months ended March 31, 2026 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commercial ​ ​ ​ Commercial ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Real Estate - ​ Real Estate  - ​ ​ ​ ​ Construction ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commercial / ​ Owner ​ Non - Owner ​ Multi- ​ and ​ Residential ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Industrial ​ Occupied ​ Occupied ​ Family ​ Development ​ 1-4 Family ​ Consumer ​ Other ​ Total ACL - Loans - January 1, 2026 ​ $ 7,264 ​ $ 9,691 ​ $ 4,581 ​ $ 4,088 ​ $ 3,814 ​ $ 13,644 ​ $ 1,074 ​ $ 218 ​ $ 44,374 ACL - Loans on loans acquired ​ ​ 2,646 ​ ​ 2,346 ​ ​ 2,573 ​ ​ 2,104 ​ ​ 137 ​ ​ 2,930 ​ ​ 51 ​ ​ 39 ​ ​ 12,826 Charge-offs ​ — ​ ​ — ​ ​ — ​ ​ — ​ — ​ — ​ ( 32 ) ​ ( 124 ) ​ ( 156 ) Recoveries ​ 1 ​ ​ — ​ ​ — ​ ​ — ​ — ​ 2 ​ — ​ ​ 20 ​ 23 Provision ​ 81 ​ ​ 589 ​ ​ ( 70 ) ​ ​ ( 970 ) ​ 427 ​ ( 240 ) ​ 51 ​ 132 ​ — ACL - Loans - March 31, 2026 ​ $ 9,992 ​ $ 12,626 ​ $ 7,084 ​ $ 5,222 ​ $ 4,378 ​ $ 16,336 ​ $ 1,144 ​ $ 285 ​ $ 57,067 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ A summary of the activity in the ACL – Loans by loan type for the three months ended March 31, 2025 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commercial ​ ​ ​ Commercial ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Real Estate - ​ Real Estate - ​ ​ ​ ​ Construction ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Commercial / ​ Owner ​ Non - Owner ​ Multi- ​ and ​ Residential ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Industrial ​ Occupied ​ Occupied ​ Family ​ Development ​ 1-4 Family ​ Consumer ​ Other ​ Total ACL - Loans - January 1, 2025 ​ $ 6,737 ​ $ 9,334 ​ $ 5,213 ​ $ 3,739 ​ $ 5,223 ​ $ 12,684 ​ $ 1,084 ​ $ 137 ​ $ 44,151 Charge-offs ​ — ​ ​ ( 802 ) ​ ​ — ​ ​ — ​ — ​ ( 1 ) ​ ( 21 ) ​ ( 12 ) ​ ( 836 ) Recoveries ​ — ​ ​ — ​ ​ — ​ ​ — ​ — ​ 30 ​ — ​ 4 ​ 34 Provision ​ ( 455 ) ​ ​ 439 ​ ​ 42 ​ ​ 435 ​ 96 ​ ( 172 ) ​ 10 ​ 5 ​ 400 ACL - Loans - March 31, 2025 ​ $ 6,282 ​ $ 8,971 ​ $ 5,255 ​ $ 4,174 ​ $ 5,319 ​ $ 12,541 ​ $ 1,073 ​ $ 134 ​ $ 43,749 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ In addition to the ACL-Loans, the Company has established an allowance for credit losses on unfunded commitments (“ACL-Unfunded Commitments”), classified in other liabilities on the consolidated balance sheets. This allowance is maintained to absorb losses arising from unfunded loan commitments, and is determined quarterly based on methodology similar to the methodology for determining the ACL-Loans. The ACL - Unfunded Commitments was $ 4.0 million and $ 3.0 million at March 31, 2026 and December 31, 2025, respectively. See Note 11 for further information on commitments. ​ The provision for credit losses is determined by the Company as the amount to be added to the ACL accounts for various types of financial instruments including loans, investment securities, and off-balance sheet credit exposures after net charge-offs have been deducted to bring the ACL to a level that, in management’s judgment, is necessary to absorb expected credit losses over the lives of the respective financial instruments. The following table presents the components of the provision for credit losses. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ Year Ended ​ ​ ​ March 31, 2026 ​ March 31, 2025 ​ December 31, 2025 ​ Provision for credit losses on: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Loans ​ $ — ​ $ 400 ​ $ 1,200 ​ Unfunded Commitments ​ ​ — ​ ​ — ​ ​ 50 ​ Total provision for credit losses ​ $ — ​ $ 400 ​ $ 1,250 ​ ​ 16 Table of Contents ​ The Company’s past due and non-accrual loans as of March 31, 2026 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 90 Days ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Non-Accrual ​ ​ 30-89 Days ​ or more ​ ​ ​ ​ ​ ​ ​ with no ​ ​ Past Due ​ Past Due ​ Non- ​ ​ ​ ​ related ​ ​ Accruing ​ and Accruing ​ Accrual ​ Total ​ allowance Commercial/industrial ​ $ 952 ​ $ 43 ​ $ 2,589 ​ $ 3,584 ​ $ 236 Commercial real estate - owner occupied ​ 1,245 ​ 4,324 ​ 4,566 ​ 10,135 ​ — Commercial real estate - non-owner occupied ​ 555 ​ 351 ​ — ​ 906 ​ — Multi-family ​ ​ — ​ ​ — ​ ​ 12,943 ​ ​ 12,943 ​ ​ — Construction and development ​ 292 ​ 1 ​ — ​ 293 ​ — Residential 1‑4 family ​ 5,395 ​ 132 ​ 1,788 ​ 7,315 ​ 1,788 Consumer ​ 207 ​ 6 ​ 147 ​ 360 ​ 147 Other ​ — ​ — ​ — ​ — ​ — ​ ​ $ 8,646 ​ $ 4,857 ​ $ 22,033 ​ $ 35,536 ​ $ 2,171 ​ The Company’s past due and non-accrual loans as of December 31, 2025 is summarized as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 90 Days ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Non-Accrual ​ ​ 30-89 Days ​ or more ​ ​ ​ ​ ​ ​ ​ with no ​ ​ Past Due ​ Past Due ​ Non- ​ ​ ​ ​ related ​ ​ Accruing ​ and Accruing ​ Accrual ​ Total ​ allowance Commercial/industrial ​ $ 894 ​ $ — ​ $ 1,754 ​ $ 2,648 ​ $ 137 Commercial real estate - owner occupied ​ 337 ​ 2,791 ​ 2,330 ​ 5,458 ​ — Commercial real estate - non-owner occupied ​ 974 ​ — ​ — ​ 974 ​ — Multi-family ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — Construction and development ​ 719 ​ 1 ​ — ​ 720 ​ — Residential 1‑4 family ​ 3,198 ​ 425 ​ 1,643 ​ 5,266 ​ 1,642 Consumer ​ 277 ​ 25 ​ 79 ​ 381 ​ 79 Other ​ — ​ — ​ — ​ — ​ — ​ ​ $ 6,399 ​ $ 3,242 ​ $ 5,806 ​ $ 15,447 ​ $ 1,858 ​ Interest recognized on non-accrual loans is considered immaterial to the consolidated financial statements for the three months ended March 31, 2026 and 2025. ​ A loan is considered to be collateral dependent when, based upon management’s assessment, the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. For collateral dependent loans, expected credit losses are based on amortized cost of the loan less the estimated fair value of the collateral at the balance sheet date, with consideration for estimated selling costs if satisfaction of the loan depends on the sale of the collateral. ​ ​ 17 Table of Contents ​ The following tables present collateral dependent loans by portfolio segment and collateral type, including those loans with and without a related allowance allocation. Real estate collateral primarily consists of operating facilities of the underlying borrowers. Other business assets collateral primarily consists of equipment, receivables and inventory of the underlying borrowers. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Collateral Type ​ ​ ​ ​ ​ ​ ​ ​ ​ As of March 31, 2026 ​ ​ ​ ​ Other ​ ​ ​ ​ Without an ​ With an ​ Allowance ​ ​ Real Estate ​ Business Assets ​ Total ​ Allowance ​ Allowance ​ Allocation Commercial/industrial ​ $ — ​ $ 3,345 ​ $ 3,345 ​ $ — ​ $ 3,345 ​ $ 2,965 Commercial real estate - owner occupied ​ 8,107 ​ — ​ 8,107 ​ 2,786 ​ 5,321 ​ 865 Commercial real estate - non-owner occupied ​ 2,181 ​ — ​ 2,181 ​ — ​ 2,181 ​ 865 Multi-family ​ ​ 12,943 ​ ​ — ​ ​ 12,943 ​ ​ — ​ ​ 12,943 ​ ​ 787 Construction and development ​ — ​ — ​ — ​ — ​ — ​ — Residential 1‑4 family ​ — ​ — ​ — ​ — ​ — ​ — Consumer ​ — ​ — ​ — ​ — ​ — ​ — Other ​ — ​ — ​ — ​ — ​ — ​ — Total Loans ​ $ 23,231 ​ $ 3,345 ​ $ 26,576 ​ $ 2,786 ​ $ 23,790 ​ $ 5,482 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Collateral Type ​ ​ ​ ​ ​ ​ ​ ​ ​ As of December 31, 2025 ​ ​ ​ ​ Other ​ ​ ​ ​ Without an ​ With an ​ Allowance ​ ​ Real Estate ​ Business Assets ​ Total ​ Allowance ​ Allowance ​ Allocation Commercial/industrial ​ $ — ​ $ 1,618 ​ $ 1,618 ​ $ — ​ $ 1,618 ​ $ 1,611 Commercial real estate - owner occupied ​ 5,121 ​ — ​ 5,121 ​ 2,791 ​ 2,330 ​ 594 Commercial real estate - non-owner occupied ​ — ​ — ​ — ​ — ​ — ​ — Multi-family ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — ​ ​ — Construction and development ​ — ​ — ​ — ​ — ​ — ​ — Residential 1‑4 family ​ — ​ — ​ — ​ — ​ — ​ — Consumer ​ — ​ — ​ — ​ — ​ — ​ — Other ​ — ​ — ​ — ​ — ​ — ​ — Total Loans ​ $ 5,121 ​ $ 1,618 ​ $ 6,739 ​ $ 2,791 ​ $ 3,948 ​ $ 2,205 ​ The Company utilizes a numerical risk rating system for commercial relationships. All other types of relationships (ex: residential, consumer, other) are assigned a “Pass” rating, unless they have fallen 90 days past due or more, at which time they are assessed for a rating of 5, 6 or 7. The Company uses split ratings for government guaranties on loans. The portion of a loan that is supported by a government guaranty is included with other Pass credits. The determination of a commercial loan risk rating begins with completion of a matrix, which assigns scores based on the strength of the borrower’s debt service coverage, collateral coverage, balance sheet leverage, industry outlook, and customer concentration. A weighted average is taken of these individual scores to arrive at the overall rating. This rating is subject to adjustment by the loan officer based on facts and circumstances pertaining to the borrower. Risk ratings are subject to independent review. Commercial borrowers with ratings between 1 and 5 are considered Pass credits, with 1 being most acceptable and 5 being just above the minimum level of acceptance. Commercial borrowers rated 6 have potential weaknesses which may jeopardize repayment ability. Borrowers rated 7 have a well-defined weakness or weaknesses such as the inability to demonstrate significant cash flow for debt service based on analysis of the company’s financial information. These loans remain on accrual status provided full collection of principal and interest is reasonably expected. Otherwise they are deemed impaired and placed on nonaccrual status. Borrowers rated 8 are the same as 7 rated credits with one exception: collection or liquidation in full is not probable. 18 Table of Contents ​ The following tables present total loans by risk ratings and year of origination. Loans acquired from other previously acquired institutions have been included in the table based upon the actual origination date. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Amortized Cost Basis by Origination Year ​ ​ ​ ​ ​ ​ As of March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revolving ​ ​ ​ ​ 2026 ​ 2025 ​ 2024 ​ 2023 ​ 2022 ​ Prior ​ Revolving ​ to Term ​ Total Commercial/industrial ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 47,512 $ 112,334 $ 53,717 $ 43,065 $ 50,286 $ 95,684 $ 192,699 $ - $ 595,297 Grade 5 ​ 5,051 ​ 37,923 ​ 8,666 ​ 7,135 ​ 3,060 ​ 12,086 ​ 75,075 ​ - ​ 148,996 Grade 6 ​ - ​ 5,006 ​ 6,387 ​ 149 ​ 40,270 ​ 150 ​ 3,069 ​ - ​ 55,031 Grade 7 ​ - ​ 225 ​ 553 ​ 1,631 ​ 1,337 ​ 10,150 ​ 8,501 ​ - ​ 22,397 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 52,563 $ 155,488 $ 69,323 $ 51,980 $ 94,953 $ 118,070 $ 279,344 $ - $ 821,721 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - owner occupied ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 32,581 $ 109,178 $ 121,211 $ 68,282 $ 112,243 $ 397,792 $ 22,585 $ - $ 863,872 Grade 5 ​ 1,327 ​ 42,721 ​ 46,203 ​ 20,294 ​ 20,632 ​ 56,298 ​ 812 ​ - ​ 188,287 Grade 6 ​ - ​ 1,938 ​ 1,326 ​ 604 ​ 4,014 ​ 14,386 ​ - ​ - ​ 22,268 Grade 7 ​ - ​ 6,271 ​ 3,976 ​ 3,863 ​ 13,822 ​ 30,253 ​ 759 ​ - ​ 58,944 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 33,908 $ 160,108 $ 172,716 $ 93,043 $ 150,711 $ 498,729 $ 24,156 $ - $ 1,133,371 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 10,300 $ 61,912 $ 39,767 $ 50,004 $ 80,651 $ 297,202 $ 14,589 $ - $ 554,425 Grade 5 ​ 1,820 ​ 7,895 ​ 19,108 ​ 2,616 ​ 6,514 ​ 30,070 ​ 179 ​ - ​ 68,202 Grade 6 ​ - ​ - ​ 199 ​ 6,471 ​ 989 ​ 21,082 ​ 363 ​ - ​ 29,104 Grade 7 ​ - ​ - ​ - ​ 401 ​ - ​ 8,333 ​ - ​ - ​ 8,734 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 12,120 $ 69,807 $ 59,074 $ 59,492 $ 88,154 $ 356,687 $ 15,131 $ - $ 660,465 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Multi-family ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 9,355 $ 25,143 $ 4,332 $ 40,390 $ 72,020 $ 261,883 $ 3,687 $ - $ 416,810 Grade 5 ​ - ​ - ​ 763 ​ 21,854 ​ 751 ​ 3,777 ​ - ​ - ​ 27,145 Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ - ​ - ​ 12,943 ​ - ​ - ​ - ​ - ​ - ​ 12,943 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 9,355 $ 25,143 $ 18,038 $ 62,244 $ 72,771 $ 265,660 $ 3,687 $ - $ 456,898 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Construction and development ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 6,626 $ 95,945 $ 21,390 $ 39,605 $ 26,961 $ 15,919 $ 2,846 $ - $ 209,292 Grade 5 ​ 914 ​ 17,197 ​ 18,163 ​ 11,948 ​ - ​ 133 ​ 130 ​ - ​ 48,485 Grade 6 ​ - ​ 1,024 ​ - ​ - ​ - ​ - ​ - ​ - ​ 1,024 Grade 7 ​ - ​ - ​ - ​ - ​ - ​ 709 ​ - ​ - ​ 709 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 7,540 $ 114,166 $ 39,553 $ 51,553 $ 26,961 $ 16,761 $ 2,976 $ - $ 259,510 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Residential 1 ‑ 4 family ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 11,986 $ 98,656 $ 82,333 $ 103,917 $ 194,038 $ 432,499 $ 152,233 $ - $ 1,075,662 Grade 5 ​ - ​ 5,329 ​ 2,041 ​ 1,902 ​ 1,954 ​ 1,781 ​ 1,997 ​ - ​ 15,004 Grade 6 ​ - ​ - ​ - ​ 177 ​ 1,592 ​ - ​ 1,278 ​ - ​ 3,047 Grade 7 ​ - ​ 107 ​ 113 ​ 169 ​ 1,274 ​ 4,393 ​ 1,382 ​ - ​ 7,438 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 11,986 $ 104,092 $ 84,487 $ 106,165 $ 198,858 $ 438,673 $ 156,890 $ - $ 1,101,151 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Consumer ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 9,049 $ 18,306 $ 14,998 $ 8,173 $ 3,809 $ 5,888 $ 727 $ - $ 60,950 Grade 5 ​ - ​ - ​ - ​ - ​ 1 ​ - ​ - ​ - ​ 1 Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ - ​ 7 ​ 70 ​ 14 ​ 5 ​ 134 ​ - ​ - ​ 230 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 9,049 $ 18,313 $ 15,068 $ 8,187 $ 3,815 $ 6,022 $ 727 $ - $ 61,181 Current-period gross charge-offs $ - $ - $ 32 $ - $ - $ - $ - $ - $ 32 Other ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 1,562 $ 1,010 $ 2,481 $ 541 $ 364 $ 9,747 $ 566 $ - $ 16,271 Grade 5 ​ 611 ​ 3,749 ​ - ​ - ​ - ​ 407 ​ 721 ​ - ​ 5,488 Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ - ​ - ​ - ​ 119 ​ 17 ​ - ​ 461 ​ - ​ 597 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 2,173 $ 4,759 $ 2,481 $ 660 $ 381 $ 10,154 $ 1,748 $ - $ 22,356 Current-period gross charge-offs $ - $ 2 $ - $ 11 $ - $ - $ 111 $ - $ 124 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total Loans $ 138,694 $ 651,876 $ 460,740 $ 433,324 $ 636,604 $ 1,710,756 $ 484,659 $ - $ 4,516,653 Total current-period gross charge-offs $ - $ 2 $ 32 $ 11 $ - $ - $ 111 $ - $ 156 ​ ​ 19 Table of Contents ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Amortized Cost Basis by Origination Year ​ ​ ​ ​ ​ ​ As of December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Revolving ​ ​ ​ ​ 2025 ​ 2024 ​ 2023 ​ 2022 ​ 2021 ​ Prior ​ Revolving ​ to Term ​ Total Commercial/industrial ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 114,479 $ 62,065 $ 42,402 $ 48,707 $ 38,384 $ 46,256 $ 116,076 $ - $ 468,369 Grade 5 ​ 36,459 ​ 7,301 ​ 7,241 ​ 3,059 ​ 4,538 ​ 3,282 ​ 46,643 ​ - ​ 108,523 Grade 6 ​ 4,919 ​ 6,622 ​ 435 ​ 40,958 ​ - ​ - ​ 3,236 ​ - ​ 56,170 Grade 7 ​ 180 ​ 94 ​ 644 ​ 215 ​ 4,772 ​ 4,147 ​ 4,438 ​ - ​ 14,490 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 156,037 $ 76,082 $ 50,722 $ 92,939 $ 47,694 $ 53,685 $ 170,393 $ - $ 647,552 Current-period gross charge-offs $ - $ - $ 222 $ 21 $ - $ - $ - $ - $ 243 Commercial real estate - owner occupied ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 56,839 $ 88,734 $ 47,080 $ 93,492 $ 121,105 $ 203,633 $ 25,080 $ - $ 635,963 Grade 5 ​ 54,267 ​ 47,403 ​ 20,150 ​ 14,008 ​ 29,065 ​ 33,682 ​ 768 ​ - ​ 199,343 Grade 6 ​ 1,963 ​ 1,336 ​ - ​ 4,042 ​ 2,078 ​ 1,772 ​ - ​ - ​ 11,191 Grade 7 ​ 6,167 ​ 960 ​ 1,443 ​ 988 ​ 5,454 ​ 19,328 ​ 200 ​ - ​ 34,540 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 119,236 $ 138,433 $ 68,673 $ 112,530 $ 157,702 $ 258,415 $ 26,048 $ - $ 881,037 Current-period gross charge-offs $ - $ 802 $ - $ - $ - $ - $ - $ - $ 802 Commercial real estate - non-owner occupied ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 50,036 $ 31,783 $ 51,896 $ 57,947 $ 110,640 $ 110,192 $ 8,464 $ - $ 420,958 Grade 5 ​ 7,466 ​ 19,428 ​ 3,502 ​ 3,878 ​ 13,134 ​ 16,677 ​ 685 ​ - ​ 64,770 Grade 6 ​ - ​ - ​ - ​ 425 ​ 393 ​ - ​ - ​ - ​ 818 Grade 7 ​ - ​ - ​ - ​ - ​ 5,753 ​ 336 ​ - ​ - ​ 6,089 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 57,502 $ 51,211 $ 55,398 $ 62,250 $ 129,920 $ 127,205 $ 9,149 $ - $ 492,635 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - multi-family ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 23,407 $ 3,101 $ 37,493 $ 61,885 $ 97,100 $ 142,757 $ 479 $ - $ 366,222 Grade 5 ​ - ​ 767 ​ 21,924 ​ 758 ​ - ​ - ​ - ​ - ​ 23,449 Grade 6 ​ - ​ 12,951 ​ - ​ - ​ - ​ - ​ - ​ - ​ 12,951 Grade 7 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 23,407 $ 16,819 $ 59,417 $ 62,643 $ 97,100 $ 142,757 $ 479 $ - $ 402,622 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Construction and development ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 78,556 $ 25,539 $ 18,880 $ 27,815 $ 8,407 $ 6,877 $ 2,419 $ - $ 168,493 Grade 5 ​ 16,830 ​ 16,849 ​ 12,449 ​ - ​ - ​ 136 ​ 120 ​ - ​ 46,384 Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ - ​ - ​ - ​ - ​ - ​ 722 ​ - ​ - ​ 722 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 95,386 $ 42,388 $ 31,329 $ 27,815 $ 8,407 $ 7,735 $ 2,539 $ - $ 215,599 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ - $ - $ - Residential 1 ‑ 4 family ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 87,038 $ 82,270 $ 75,340 $ 151,412 $ 146,848 $ 200,686 $ 125,733 $ - $ 869,327 Grade 5 ​ 4,750 ​ 2,508 ​ 1,935 ​ 3,042 ​ 685 ​ 1,152 ​ 725 ​ - ​ 14,797 Grade 6 ​ - ​ - ​ 178 ​ 1,610 ​ - ​ 171 ​ 1,250 ​ - ​ 3,209 Grade 7 ​ 108 ​ 113 ​ 170 ​ 1,069 ​ 617 ​ 3,690 ​ 1,533 ​ - ​ 7,300 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 91,896 $ 84,891 $ 77,623 $ 157,133 $ 148,150 $ 205,699 $ 129,241 $ - $ 894,633 Current-period gross charge-offs $ - $ - $ - $ - $ - $ 1 $ - $ - $ 1 Consumer ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 22,082 $ 14,613 $ 8,133 $ 4,344 $ 1,935 $ 2,930 $ 439 $ - $ 54,476 Grade 5 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ 9 ​ 80 ​ 16 ​ 3 ​ 4 ​ 30 ​ - ​ - ​ 142 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 22,091 $ 14,693 $ 8,149 $ 4,347 $ 1,939 $ 2,960 $ 439 $ - $ 54,618 Current-period gross charge-offs $ - $ 8 $ 21 $ 13 $ - $ - $ - $ - $ 42 Other ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Grades 1-4 $ 347 $ 950 $ 91 $ 309 $ 20 $ 9,797 $ 642 $ - $ 12,156 Grade 5 ​ 3,818 ​ - ​ - ​ - ​ 412 ​ - ​ 408 ​ - ​ 4,638 Grade 6 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Grade 7 ​ - ​ - ​ 127 ​ 20 ​ - ​ - ​ - ​ - ​ 147 Grade 8 ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - ​ - Total $ 4,165 $ 950 $ 218 $ 329 $ 432 $ 9,797 $ 1,050 $ - $ 16,941 Current-period gross charge-offs $ - $ - $ - $ - $ - $ - $ 57 $ - $ 57 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total Loans $ 569,720 $ 425,467 $ 351,529 $ 519,986 $ 591,344 $ 808,253 $ 339,338 $ - $ 3,605,637 Total current-period gross charge-offs $ - $ 810 $ 243 $ 34 $ - $ 1 $ 57 $ - $ 1,145 ​ Loans that were both experiencing financial difficulty and were modified during the three months ended March 31, 2026 and 2025, were insignificant to these consolidated financial statements. ​ ​ ​ 20 Table of Contents ​ NOTE 6 – MORTGAGE SERVICING RIGHTS Loans serviced for others are not included in the accompanying consolidated balance sheets. MSRs are recognized as separate assets when loans sold in the secondary market are sold with servicing retained. The Company utilizes a third-party consulting firm to assist with determining an accurate assessment of the MSRs fair value. The third-party firm collects relevant data points from numerous sources. Some of these data points relate directly to the pricing level or relative value of the mortgage servicing while other data points relate to the assumptions used to derive fair value. In addition, the valuation evaluates specific collateral types, and current and historical performance of the collateral in question. The valuation process focuses on the non-distressed secondary servicing market, common industry practices and current regulatory standards. The primary determinants of the fair value of MSRs are servicing fee percentage, ancillary income, expected loan life or prepayment speeds, discount rates, costs to service, delinquency rates, foreclosure losses and recourse obligations. The valuation data also contains interest rate shock analyses for monitoring fair value changes in differing interest rate environments. Following is an analysis of activity in the MSR asset: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended ​ ​ ​ Year Ended ​ ​ March 31, 2026 ​ December 31, 2025 Fair value at beginning of period ​ $ 13,650 ​ $ 13,369 ​ ​ ​ ​ ​ ​ ​ Servicing asset additions ​ 723 ​ 1,954 Loan payments and payoffs ​ ( 769 ) ​ ( 2,071 ) Changes in valuation inputs and assumptions used in the valuation model ​ 127 ​ 398 Amount recognized through earnings ​ ​ 81 ​ ​ 281 MSR asset acquired ​ ​ 3,753 ​ ​ — Fair value at end of period ​ $ 17,484 ​ $ 13,650 ​ ​ ​ ​ ​ ​ ​ Unpaid principal balance of loans serviced for others ​ $ 1,541,914 ​ $ 1,202,991 Mortgage servicing rights as a percent of loans serviced for others ​ 1.13 ​ 1.13 ​ The primary economic assumptions utilized by the Company in measuring the value of MSRs were constant prepayment speeds of 9.0 % and 8.5 % and discount rates of 10.14 % and 10.17 % as of March 31, 2026 and December 31, 2025, respectively. The constant prepayment speeds are obtained from publicly available sources for each of the loan programs the Company originates under. NOTE 7 – NOTES PAYABLE The Company utilizes FHLB advances to fund liquidity. The Company had outstanding balances borrowed from the FHLB of $ 100.0 million and $ 110.0 million at March 31, 2026 and December 31, 2025, respectively. The advances, rate, and maturities of FHLB advances were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ ​ ​ December 31, ​ ​ Maturity ​ Rate ​ 2026 ​ 2025 Fixed rate, fixed term ​ 03/23/2026 ​ 4.02 % ​ ​ — ​ ​ 10,000 Fixed rate, fixed term ​ 05/26/2026 ​ 1.95 % ​ ​ 5,000 ​ ​ 5,000 Fixed rate, fixed term ​ 06/29/2026 ​ 4.77 % ​ ​ 15,000 ​ ​ 15,000 Fixed rate, fixed term ​ 03/23/2027 ​ 3.91 % ​ ​ 10,000 ​ ​ 10,000 Fixed rate, fixed term ​ 06/28/2027 ​ 4.57 % ​ ​ 15,000 ​ ​ 15,000 Fixed rate, fixed term ​ 03/23/2028 ​ 3.85 % ​ ​ 10,000 ​ ​ 10,000 Fixed rate, fixed term ​ 07/05/2028 ​ 4.41 % ​ ​ 20,000 ​ ​ 20,000 Fixed rate, fixed term ​ 07/09/2029 ​ 4.31 % ​ ​ 25,000 ​ ​ 25,000 ​ ​ ​ ​ ​ ​ ​ 100,000 ​ ​ 110,000 Adjustment due to purchase accounting ​ ​ ​ ​ ​ ​ ( 8 ) ​ ​ ( 34 ) ​ ​ ​ ​ ​ ​ $ 99,992 ​ $ 109,966 ​ 21 Table of Contents ​ Future maturities of borrowings were as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, ​ ​ ​ December 31, ​ ​ 2026 ​ 2025 1 year or less ​ $ 30,000 ​ $ 30,000 1 to 2 years ​ 25,000 ​ 25,000 2 to 3 years ​ 20,000 ​ 30,000 3 to 4 years ​ 25,000 ​ 25,000 4 to 5 years ​ — ​ — Over 5 years ​ ​ — ​ ​ — ​ ​ $ 100,000 ​ $ 110,000 ​ As of March 31, 2026, the Company had borrowing availability at the FHLB totaling $ 226.4 million in addition to the existing borrowings noted in the tables above. The Company has also issued $ 102.8 million in letters of credit through the FHLB with expiration dates through November 2026. ​ The Company assumed $ 65.0 million of FHLB borrowings as part of the Centre acquisition on January 1, 2026. The Company repaid these borrowings in full on January 23, 2026, prior to the contractual maturity. As a result, the Company recognized $ 1.3 million of purchase accounting fair value adjustment related to the borrowings, which reduced interest expense from borrowed funds, and incurred a $ 1.1 million prepayment penalty paid to the FHLB which is reflected in other noninterest expense. ​ NOTE 8 – SUBORDINATED NOTES AND JUNIOR SUBORDINATED DEBENTURES During July 2020, the Company entered into subordinated note agreements with two separate commercial banks. The Company had through December 31, 2020, to borrow funds up to a maximum availability of $ 6.0 million under each agreement, or $ 12.0 million total. These notes were issued with 10 -year maturities, carried interest at a fixed rate of 5.0 % through June 30, 2025, and carry a variable rate thereafter, payable quarterly. These notes became callable by the Company on January 1, 2026 and qualify for Tier 2 capital for regulatory purposes. The Company had outstanding balances of $ 6.0 million under these agreements at March 31, 2026 and December 31, 2025. ​ During August 2022, the Company entered into subordinated note agreements with an individual. The Company had outstanding balances of $ 6.0 million under these agreements as of March 31, 2026 and December 31, 2025. These notes were issued with 10 -year maturities, carry interest at a fixed rate of 5.25 % through August 6, 2027, and at a variable rate thereafter, payable quarterly. These notes are callable on or after August 6, 2027 and qualify for Tier 2 capital for regulatory purposes. ​ The Company assumed $ 4.5 million in subordinated note agreements with an individual as part of the Centre acquisition January 1, 2026. These notes were entered into by Centre during January 2025. They contain 10 -year maturities and carry interest at a fixed rate of 6.75 % through January 1, 2030, and at a variable rate thereafter, payable quarterly. These notes are callable on or after January 2030 and qualify for Tier 2 capital for regulatory purposes. ​ As a result of the acquisition of Centre on January 1, 2026, the Company acquired all of the common securities of Centre’s wholly-owned subsidiary, Centre 1 Capital Trust I (“Trust I”). The Company also assumed an adjustable rate junior subordinated note agreement with this trust. The junior subordinated debenture issued to Trust I totals $ 8.3 million, carries interest at a floating rate resetting on each quarterly payment date, and is due in January 2039. The junior subordinated debenture is redeemable by the Company, subject to prior approval by the Federal Reserve Bank, on any quarterly payment date. The junior subordinated debenture represents the sole asset of Trust I. The trust is not included in the consolidated financial statements. The net effect of all agreements assumed with respect to Trust I is that the Company, through payments on its debenture, is liable for the distributions and other payments required on the trust’s preferred securities. Trust I also provides the Company with $ 8.0 million in Tier 1 capital for regulatory capital purposes. ​ 22 Table of Contents ​ NOTE 9 – REGULATORY MATTERS Banks and certain bank holding companies are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet capital requirements can initiate regulatory action. Under regulatory guidance for non-advanced approaches institutions, the Bank and Company are required to maintain minimum amounts and ratios of common equity Tier I capital to risk-weighted assets, including an additional conservation buffer determined by banking regulators. As of March 31, 2026 and December 31, 2025, this buffer was 2.5 %. The Bank met all capital adequacy requirements to which they are subject as of March 31, 2026 and December 31, 2025. Actual and required capital amounts and ratios are presented below at period-end: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ To Be Well ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Minimum Capital ​ Capitalized Under ​ ​ ​ ​ ​ ​ ​ For Capital ​ Adequacy with ​ Prompt Corrective ​ ​ Actual ​ Adequacy Purposes ​ Capital Buffer ​ Action Provisions ​ ​ ​ ​ Amount ​ ​ ​ Ratio ​ ​ ​ Amount ​ ​ ​ Ratio ​ ​ ​ Amount ​ ​ ​ Ratio ​ ​ ​ Amount ​ ​ ​ Ratio ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 609,288 12.90 % $ 377,788 8.00 % $ 495,847 10.50 % ​ NA NA ​ Bank ​ $ 564,303 11.96 % $ 377,439 8.00 % $ 495,388 10.50 % $ 471,798 10.00 % Tier 1 capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 544,890 11.54 % $ 283,341 6.00 % $ 401,400 8.50 % ​ NA NA ​ Bank ​ $ 516,508 10.95 % $ 283,079 6.00 % $ 401,029 8.50 % $ 377,439 8.00 % Common Equity Tier 1 capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 537,390 11.38 % $ 212,506 4.50 % $ 330,565 7.00 % ​ NA NA ​ Bank ​ $ 516,508 10.95 % $ 212,309 4.50 % $ 330,259 7.00 % $ 306,669 6.50 % Tier 1 capital (to average assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 544,890 9.46 % $ 230,351 4.00 % $ 230,351 4.00 % ​ NA NA ​ Bank ​ $ 516,508 9.00 % $ 229,450 4.00 % $ 229,450 4.00 % $ 286,812 5.00 % December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 515,461 13.80 % $ 298,764 8.00 % $ 392,128 10.50 % ​ NA NA ​ Bank ​ $ 460,199 12.33 % $ 298,541 8.00 % $ 391,835 10.50 % $ 373,177 10.00 % Tier 1 capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 460,067 12.32 % $ 224,073 6.00 % $ 317,437 8.50 % ​ NA NA ​ Bank ​ $ 416,805 11.17 % $ 223,906 6.00 % $ 317,200 8.50 % $ 298,541 8.00 % Common Equity Tier 1 capital (to risk-weighted assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 460,067 12.32 % $ 168,055 4.50 % $ 261,419 7.00 % ​ NA NA ​ Bank ​ $ 416,805 11.17 % $ 167,929 4.50 % $ 261,224 7.00 % $ 242,565 6.50 % Tier 1 capital (to average assets): ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Company ​ $ 460,067 10.87 % $ 169,339 4.00 % $ 169,339 4.00 % ​ NA NA ​ Bank ​ $ 416,805 9.85 % $ 169,277 4.00 % $ 169,277 4.00 % $ 211,597 5.00 % ​ ​ ​ ​ 23 Table of Contents ​ NOTE 10 – SEGMENT INFORMATION The Company’s single reportable segment is determined by the Chief Executive Officer, who is the designated chief operating decision maker, based upon information provided by the Company’s products and services offered, primarily banking operations. The segment is also distinguished by the level of information provided to the chief operating decision maker, who uses such information to review the performance of various components of the business such as branches, which are then aggregated as operating performance, products and services, and customers are similar. The chief operating decision maker will then evaluate the financial performance of the Company’s business components such as by evaluating significant revenues and expenses and budget to actual results in assessing the Company’s segment and in the determination of allocating resources. The chief decision maker uses revenue streams to evaluate product pricing and significant expenses to assess performance and evaluate return on assets. The chief decision maker uses consolidated net income and return on assets to benchmark the Company against its competitors. The benchmarking analysis, coupled with monitoring of budget to actual results, are used in the assessment of performance and in establishing compensation. Loans, investments, service charges, and deposits in other banks provide the significant revenues in the banking operation. Interest expense, provisions for credit losses, data processing and payroll provide the significant expenses in the banking operation. All operations are domestic. Information reported internally for performance assessment by the chief operating decision maker is identical to that which is shown in the Consolidated Statements of Income. NOTE 11 – COMMITMENTS AND CONTINGENCIES The Company enters into commitments to originate loans whereby the interest rate on the loan is determined prior to funding (rate-lock commitments). Rate-lock commitments on mortgage loans that are intended to be sold are considered to be derivatives. Accordingly, such commitments, along with any related fees received from potential borrowers, are recorded at fair value in derivative assets or liabilities, with changes in fair value recorded in the net gain or loss on sale of mortgage loans. Fair value is based on fees currently charged to enter into similar agreements and for fixed rate commitments also considers the difference between current levels of interest rates and committed rates. The notional amount of rate-lock commitments at March 31, 2026 and December 31, 2025 was approximately $ 24.8 million and $ 16.9 million, respectively. The fair value of these rate-lock commitments are not material to these financial statements. The Company is party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated balance sheets. The Company’s exposure to credit loss is represented by the contractual or notional amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance-sheet instruments. Since some of the commitments are expected to expire without being drawn upon and some of the commitments may not be drawn upon to the total extent of the commitment, the notional amount of these commitments does not necessarily represent future cash requirements. The following commitments were outstanding: ​ ​ ​ ​ ​ ​ ​ ​ ​ Notional Amount ​ ​ ​ ​ March 31, 2026 ​ December 31, 2025 ​ ​ ​ ​ ​ ​ ​ Commitments to extend credit: ​ ​ ​ ​ Fixed ​ $ 57,586 ​ $ 41,721 Variable ​ 916,701 ​ 723,821 Credit card arrangements ​ 31,532 ​ 26,217 Letters of credit ​ 15,142 ​ 11,708 ​ ​ 24 Table of Contents ​ NOTE 12 – FAIR VALUE MEASUREMENTS Accounting guidance establishes a fair value hierarchy to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value. Level 1: Quoted prices (unadjusted) or identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. ​ Information regarding the fair value of assets measured at fair value on a recurring basis is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Instruments ​ ​ ​ Markets ​ ​ ​ Other ​ ​ ​ Significant ​ ​ Measured ​ for Identical ​ Observable ​ Unobservable ​ ​ At Fair ​ Assets ​ Inputs ​ Inputs ​ ​ Value ​ (Level 1) ​ (Level 2) ​ (Level 3) March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ Assets ​ ​ ​ ​ ​ ​ ​ ​ Securities available for sale ​ ​ ​ ​ ​ ​ ​ ​ U.S. Treasury securities ​ $ 91,460 ​ $ 91,460 ​ $ — ​ $ — Obligations of U.S. Government sponsored agencies ​ ​ 154,268 ​ ​ — ​ ​ 154,268 ​ ​ — Obligations of states and political subdivisions ​ 79,716 ​ — ​ 79,716 ​ — Mortgage-backed securities ​ ​ 134,847 ​ ​ — ​ ​ 134,847 ​ ​ — Corporate notes ​ 22,944 ​ — ​ 22,944 ​ — Mortgage servicing rights ​ 17,484 ​ — ​ 17,484 ​ — ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ Assets ​ ​ ​ ​ ​ ​ ​ ​ Securities available for sale ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Obligations of U.S. Government sponsored agencies ​ $ 21,279 ​ $ — ​ $ 21,279 ​ $ — Obligations of states and political subdivisions ​ 57,419 ​ — ​ 57,419 ​ — Mortgage-backed securities ​ ​ 70,756 ​ ​ — ​ ​ 70,756 ​ ​ — Corporate notes ​ 14,968 ​ — ​ 14,968 ​ — Mortgage servicing rights ​ 13,650 ​ — ​ 13,650 ​ — ​ There were no assets measured on a recurring basis using significant unobservable inputs (Level 3) during these periods. Furthermore, there were no liabilities measured on a recurring basis during the periods. ​ 25 Table of Contents ​ Information regarding the fair value of assets measured at fair value on a non-recurring basis is as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Quoted Prices ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ In Active ​ Significant ​ ​ ​ ​ ​ Assets ​ Markets ​ Other ​ Significant ​ ​ Measured ​ for Identical ​ Observable ​ Unobservable ​ ​ At Fair ​ Assets ​ Inputs ​ Inputs ​ ​ Value ​ (Level 1) ​ (Level 2) ​ (Level 3) March 31, 2026 ​ ​ ​ ​ ​ ​ ​ ​ OREO ​ $ 3,190 ​ $ — ​ $ — ​ $ 3,190 Loans individually evaluated, net of reserve ​ ​ 18,308 ​ ​ — ​ ​ — ​ ​ 18,308 ​ ​ $ 21,498 ​ $ — ​ $ — ​ $ 21,498 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ Loans individually evaluated, net of reserve ​ $ 1,743 ​ $ — ​ $ — ​ $ 1,743 ​ The following is a description of the valuation methodologies used by the Company for the items noted in the table above, including the general classification of such instruments in the fair value hierarchy. For loans individually evaluated, the amount of reserve is based upon the present value of expected future cash flows discounted at the loan’s effective interest rate, the estimated fair value of the underlying collateral for collateral-dependent loans, or the estimated liquidity of the note. For OREO, the fair value is based upon the estimated fair value of the underlying collateral adjusted for the expected costs to sell. The following table shows significant unobservable inputs used in the fair value measurement of Level 3 assets: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted ​ ​ ​ ​ Unobservable ​ Range of ​ Average ​ ​ Valuation Technique ​ Inputs ​ Discounts Discount ​ As of March 31, 2026 ​ ​ ​ ​ ​ OREO Third party appraisals, sales contracts or brokered price options Collateral discounts and estimated costs to sell 0 % 0 % Loans individually evaluated Third party appraisals and discounted cash flows Collateral discounts and discount rates 0 % - 99 % 21 % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ As of December 31, 2025 ​ ​ ​ ​ ​ Loans individually evaluated Third party appraisals and discounted cash flows Collateral discounts and discount rates 0 % - 99 % 33 % ​ 26 Table of Contents ​ The carrying value and estimated fair value of financial instruments not measured and reported at fair value on a recurring or non-recurring basis at March 31, 2026 and December 31, 2025 are as follows: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Carrying ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ March 31, 2026 ​ ​ ​ amount ​ ​ ​ Level 1 ​ ​ ​ Level 2 ​ ​ ​ Level 3 ​ ​ ​ Total ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Financial assets: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 398,638 ​ $ 398,638 ​ $ — ​ $ — ​ $ 398,638 Securities held to maturity ​ 117,929 ​ 113,290 ​ 4,300 ​ — ​ 117,590 Loans held for sale ​ 9,751 ​ — ​ 9,751 ​ — ​ 9,751 Loans, net ​ 4,458,559 ​ — ​ — ​ 4,336,573 ​ 4,336,573 Other investments ​ 30,674 ​ — ​ — ​ 30,674 ​ 30,674 Financial liabilities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Deposits ​ $ 5,086,816 ​ $ — ​ $ — ​ $ 4,632,373 ​ $ 4,632,373 Notes payable ​ ​ 99,992 ​ ​ — ​ ​ 99,992 ​ ​ — ​ ​ 99,992 Subordinated notes ​ 16,603 ​ ​ — ​ ​ 16,603 ​ ​ — ​ ​ 16,603 Junior subordinated debentures ​ ​ 8,250 ​ ​ — ​ ​ 8,250 ​ ​ — ​ ​ 8,250 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Carrying ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ December 31, 2025 ​ amount ​ Level 1 ​ Level 2 ​ Level 3 ​ Total Financial assets: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ $ 243,207 ​ $ 243,207 ​ $ — ​ $ — ​ $ 243,207 Securities held to maturity ​ 103,726 ​ 102,751 ​ 2,395 ​ — ​ 105,146 Loans held for sale ​ 6,243 ​ — ​ 6,243 ​ — ​ 6,243 Loans, net ​ 3,560,277 ​ — ​ — ​ 3,447,489 ​ 3,447,489 Other investments ​ 23,613 ​ — ​ — ​ 23,613 ​ 23,613 Financial liabilities: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Deposits ​ $ 3,695,787 ​ $ — ​ $ — ​ $ 3,466,151 ​ $ 3,466,151 Notes payable ​ 109,966 ​ ​ — ​ ​ 109,966 ​ ​ — ​ ​ 109,966 Subordinated notes ​ 12,000 ​ ​ — ​ ​ 12,000 ​ ​ — ​ ​ 12,000 ​ The fair value of a financial instrument is the current amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. Consequently, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company. Fair value estimates are made at a specific point in time based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular instrument. Because no market exists for a significant portion of the Company’s 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 that could affect the estimates. Fair value estimates are based on existing on- and off-balance-sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Deposits with no stated maturities are defined as having a fair value equivalent to the amount payable on demand. This prohibits adjusting fair value derived from retaining those deposits for an expected future period of time. This component, commonly referred to as a deposit base intangible, is neither considered in the above amounts nor is it recorded as an intangible asset on the consolidated balance sheet. Significant assets and liabilities that are not considered financial assets and liabilities include premises and equipment. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. ​ 27 Table of Contents ​ NOTE 13 – STOCK BASED COMPENSATION The Company has made restricted share grants pursuant to the Bank First Corporation 2011 Equity Plan and the Bank First Corporation 2020 Equity Plan, which replaced the 2011 Plan. The purpose of the Plan is to provide financial incentives for selected employees and for the non-employee Directors of the Company, thereby promoting the long-term growth and financial success of the Company. The number of shares of Company stock that may be issued pursuant to awards under the 2020 Plan shall not exceed, in the aggregate, 700,000 . As of March 31, 2026, 150,499 shares of Company stock have been awarded under the 2020 Plan. Compensation expense for restricted stock is based on the fair value of the awards of Bank First Corporation common stock at the time of grant. The value of restricted stock grants that are expected to vest is amortized into expense over the vesting periods. For the three months ended March 31, 2026 and 2025, compensation expense of $ 0.6 million and $ 0.6 million, respectively, was recognized related to restricted stock awards. As of March 31, 2026, there was $ 5.1 million of unrecognized compensation cost related to non-vested restricted stock awards granted under the plan. That cost is expected to be recognized over a weighted average period of 2.4 years. The aggregate grant date fair value of restricted stock awards that vested during the three months ended March 31, 2026, was approximately $ 2.2 million. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ For the period ended ​ For the period ended ​ ​ March 31, 2026 ​ March 31, 2025 ​ ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ ​ ​ ​ ​ ​ Weighted- ​ ​ ​ ​ Average Grant- ​ ​ ​ Average Grant- ​ ​ Shares ​ Date Fair Value ​ Shares ​ Date Fair Value Restricted Stock ​ ​ ​ ​ ​ ​ Outstanding at beginning of period 46,727 ​ $ 94.77 52,634 ​ $ 79.27 Granted 25,929 ​ 135.23 23,100 ​ 105.96 Vested ( 24,406 ) ​ 91.96 ( 28,290 ) ​ 75.74 Forfeited or cancelled ( 557 ) ​ 97.55 — ​ — Outstanding at end of period 47,693 ​ $ 118.18 47,444 ​ $ 94.37 ​ ​ ​ ​ re ​ 28 Table of Contents ​