What changed in this filing

/stocks — the workspaceLOADING

Item 8. Financial Statements and Supplementary Data

2026-06-12 compared with 2025-06-12 · 261 added, 271 removed, 1072 unchanged (33% of the section changed)

2 unchanged sentences

AND SUBSIDIARY

Report of Independent Registered Public Accounting Firm ( Aprio, LLP , Lake Oswego, Oregon , PCAOB ID:

Report of Independent Registered Public Accounting Firm ( Delap LLP , Lake Oswego, Oregon , PCAOB ID:

Consolidated Balance Sheets as of March 31, 2026 and 2025

Consolidated Statements of Income for the Years Ended March 31, 2025, 2024 and 2023

Consolidated Statements of Comprehensive Income for the Years Ended March 31, 2025, 2024 and 2023

Consolidated Statements of Income (Loss) for the Years Ended March 31, 2026, 2025 and 2024

Consolidated Statements of Comprehensive Income (Loss) for the Years Ended March 31, 2026, 2025 and 2024

Consolidated Statements of Shareholders’ Equity for the Years Ended March 31, 2026, 2025 and 2024

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Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Riverview Bancorp, Inc.

and Subsidiary (collectively, “the Company”) as of March 31, 2025 and 2024, and the related consolidated statements of income, comprehensive income, shareholders’ equity, and cash flows for each of the years in the three-year period ended March 31, 2025, and the related notes (collectively, “the financial statements”).

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of March 31, 2025 and 2024, and the results of its operations and its cash flows for each of the years in the three-year period ended March 31, 2025, in conformity with accounting principles generally accepted in the United States of America (U.S.).

We have audited the accompanying consolidated balance sheet of Riverview Bancorp, Inc.

and Subsidiary (collectively, "the Company") as of March 31, 2026, and the related consolidated statements of income (loss), comprehensive income (loss), shareholders' equity, and cash flows for the year then ended, and the related notes (collectively, "the financial statements").

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of March 31, 2026, and the results of its operations and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America (U.S.).

Basis for Opinion

These financial statements are the responsibility of the Company's management.

Our responsibility is to express an opinion on the Company’s financial statements based on our audits.

Our responsibility is to express an opinion on the Company's financial statements based on our audit.

We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S.

federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB.

Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting.

As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting.

As part of our audit, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting.

Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks.

Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks.

Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.

Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that our audits provide a reasonable basis for our opinion.

Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that our audit provides a reasonable basis for our opinion.

Critical Audit Matter

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● We performed analytical procedures to evaluate the directional consistency of changes that occurred in the allowance for credit losses for loans.

We have served as the Company’s auditor since 2015.

/s/ Aprio, LLP

We have served as the Company's auditor since 2015 (such date takes into account the acquisition of the attest business of Delap LLP by Aprio, LLP effective January 1, 2026).

Lake Oswego, Oregon

June 12, 2026

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Shareholders of

Riverview Bancorp, Inc.

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheet of Riverview Bancorp, Inc.

and Subsidiary (collectively, "the Company") as of March 31, 2025, and the related consolidated statements of income, comprehensive income, shareholders' equity, and cash flows for each of the years in the two-year period ended March 31, 2025, and the related notes (collectively, "the financial statements").

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of March 31, 2025, and the results of its operations and its cash flows for each of the years in the two-year period ended March 31, 2025, in conformity with accounting principles generally accepted in the United States of America (U.S.).

Basis for Opinion

These financial statements are the responsibility of the Company's management.

Our responsibility is to express an opinion on the Company's financial statements based on our audit.

federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB.

Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting.

Accordingly, we express no such opinion.

Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.

Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that our audit provides a reasonable basis for our opinion.

/s/ Delap LLP

We served as the Company's auditor from 2015 through 2025.

Lake Oswego, Oregon

June 12, 2025

RIVERVIEW BANCORP, INC.

AND SUBSIDIARY

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Premises and equipment, net

Financing lease right-of-use ("ROU") assets

Financing lease right-of-use ("ROU") asset

Deferred income taxes, net

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AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF INCOME

CONSOLIDATED STATEMENTS OF INCOME (LOSS)

FOR THE YEARS ENDED MARCH 31, 2026, 2025 AND 2024

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Asset management fees

Loss on sales of available for sale investment securities

Loss on sales of investment securities available for sale

Income from BOLI

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Total non-interest expense

INCOME BEFORE INCOME TAXES

PROVISION FOR INCOME TAXES

Earnings per common share:

(LOSS) INCOME BEFORE INCOME TAXES

INCOME TAX (BENEFIT) PROVISION

NET (LOSS) INCOME

(Loss) earnings per common share:

Weighted average number of common shares outstanding:

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AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEARS ENDED MARCH 31, 2026, 2025 AND 2024

(In thousands)

Other comprehensive income (loss):

Net unrealized holding gains (losses) from available for sale investment securities arising during the period, net of tax (expense) benefit of ($ 892 ), ($ 34 ), and $ 2,641 , respectively

Net (loss) income

Other comprehensive (loss) income:

Net unrealized holding (losses) gains from available for sale investment securities arising during the period, net of tax benefit (expense) of $ 699 , ($ 892 ), and ($ 34 ), respectively

Reclassification adjustment of net loss from sales of available for sale investment securities included in net income, net of tax benefit of ($ 2,725 ), $ 0 , and ($ 655 ), respectively

Total other comprehensive income (loss), net

Total comprehensive income, net

Net unrealized losses on securities transferred from held to maturity to available for sale, net of tax benefit of $ 3,948 , $ 0 , and $ 0 , respectively.

Total other comprehensive (loss) income, net

Total comprehensive (loss) income, net

See accompanying notes to consolidated financial statements .

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(In thousands, except share and per share data)

Income (Loss)

Balance April 1, 2023

Adjustment to retained earnings, net of tax;

adoption of ASU 2016-13

Cash dividend on common stock ($ 0.24 per share)

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Stock-based compensation expense

Purchase of subsidiary shares from non-controlling interest

Other comprehensive loss, net

Other comprehensive income, net

Balance March 31, 2024

Adjustment to retained earnings, net of tax;

adoption of ASU 2016-13

Cash dividend on common stock ($ 0.08 per share)

Exercise of stock options

Common stock repurchased

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Stock-based compensation expense

Other comprehensive income, net

Other comprehensive loss, net

Balance March 31, 2026

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CASH FLOWS FROM OPERATING ACTIVITIES:

Adjustments to reconcile net income to net cash provided by operating activities:

Net (loss) income

Adjustments to reconcile net (loss) income to net cash provided by operating activities:

Depreciation and amortization

Purchased loans amortization , net

Purchased loans (accretion) amortization, net

Provision for credit losses

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Stock-based compensation expense

Write-down of real estate owned ("REO"), net

Increase (decrease) in deferred loan origination fees, net of amortization

Net loss on sales of investment securities available for sale

Net gain on sales of premises and equipment

Income from BOLI

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CASH FLOWS FROM INVESTING ACTIVITIES:

Loan (originations) repayments, net

Loan originations, net

Purchases of loans receivable

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Principal repayments on investment securities held to maturity

Purchases of investment securities held to maturity

Proceeds from calls and maturities of investment securities held to maturity

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Redemption of certificates of deposit held for investment

Redemption (purchase) of FHLB stock, net

Proceeds from sales of real estate owned ("REO") and premises and equipment

Net cash provided by (used in) investing activities

Redemption of FHLB stock, net

Proceeds from sales of REO and premises and equipment

Proceeds from death benefit on BOLI

Purchased BOLI

Net cash provided by investing activities

CASH FLOWS FROM FINANCING ACTIVITIES:

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Net cash used in financing activities

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

NET INCREASE IN CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD

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SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:

Cash paid during the period for:

Cash Inflows from Operating Activities:

Income taxes refund

Interest paid

Income taxes paid, net of refunds

NONCASH INVESTING AND FINANCING ACTIVITIES:

Dividends declared and accrued in other liabilities

Net unrealized holding gains (loss) from available for sale investment securities

Income tax effect related to other comprehensive income (loss)

Reclassification adjustment related to loss on sale of available for sale investment securities

Income tax effect related to loss on sale of available for sale investment securities

Transfer of loans to REO

Transfer of securities from held to maturity to available for sale prior to sale

Net unrealized holding (losses) gains from investment securities available for sale

Reclassification adjustment related to loss on sales of investment securities available for sale

Income tax effect related to other comprehensive (loss) income

Income tax effect related to loss on sales of investment securities available for sale

Operating lease ROU assets obtained in exchange for operating lease liabilities

Adjustment to retained earnings, net of deferred tax;

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its wholly-owned subsidiary, Riverview Bank (the “Bank”);

the Bank’s wholly-owned subsidiaries, Riverview Services, Inc.

and the Bank’s wholly-owned subsidiaries, Riverview Services, Inc.

and Riverview Trust Company (the “Trust Company”) (collectively referred to as the “Company”).

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Business segments – The Company’s operations are managed along two operating segments, consisting of banking operations performed by the Bank and trust and investment services performed by the Trust Company.

While the chief operating decision maker uses financial information related to these segments to analyze business performance and allocate resources, the trust and investment services segment does not meet the quantitative threshold under GAAP to be considered a reportable segment.

The trust and investment services segment does not meet the quantitative threshold under GAAP to be considered a reportable segment.

As such, these operating segments are aggregated into a single reportable operating segment in the consolidated financial statements.

No revenues are derived from foreign countries.

The Company’s Chief Operating Decision Maker (CODM) is the Chief Executive Officer.

The CODM evaluates performance and makes decisions regarding the allocation of operating and capital based on consolidated net income (loss), as reported on the Consolidated Statements of Income (Loss).

The CODM also reviews total consolidated assets, as reported on the Consolidated Balance Sheets, as a measure of segment assets.

The CODM uses consolidated net income (loss) to evaluate income generated from segment assets in making decisions about the allocation of operating and capital resources.

Consolidated net income is also used by the CODM to monitor budget versus actual results and in competitive analysis by benchmarking to the Company's competitors.

The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment and in establishing management’s compensation.

The CODM is regularly provided with significant segment expense information at a level consistent with that disclosed in the Company's Consolidated Statements of Income (Loss).

Use of Estimates in the Preparation of Consolidated Financial Statements – The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of related revenue and expense during the reporting period.

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The Company’s investment portfolio consists of debt securities and does not include any equity securities.

During the year ended March 31, 2026, the Company reclassified its held to maturity investment securities to the available for sale category.

The Company then immediately sold a portion of its available for sale investment securities, resulting in an aggregate loss of $ 11.35 million.

Unrealized gains or losses on investment securities previously classified as held to maturity and transferred to available for sale were recorded in accumulated other comprehensive income (loss), net of tax, at the time of transfer.

The Company analyzes investments in debt securities to determine whether there have been any events or economic circumstances to indicate that a security has incurred a credit-related loss.

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Loan origination and commitment fees and certain direct loan origination costs are deferred and amortized as an adjustment of the yield of the related loan.

Acquired Loans – Purchased loans, including loans acquired in business combinations, are recorded at their estimated fair value at the acquisition date.

Credit discounts are included in the determination of fair value;

therefore, an ACL is not recorded at the acquisition date.

Acquired loans are evaluated upon acquisition and classified as either purchased credit-impaired (“PCI”) or purchased non-credit-impaired.

PCI loans reflect credit deterioration since origination such that it is probable at acquisition that the Company will be unable to collect all contractually required payments.

The excess of the cash flows expected to be collected over a PCI loan’s carrying value is considered to be the accretable yield and is recognized as interest income over the estimated life of the PCI loan using the effective yield method.

The excess of the undiscounted contractual balances due over the cash flows expected to be collected is considered to be the nonaccretable difference.

The nonaccretable difference represents the Company ’s estimate of the credit losses expected to occur and would be considered in determining the estimated fair value of the loans as of the acquisition date.

Subsequent to the acquisition date, any increases in expected cash flows over those expected at the purchase date in excess of fair value are adjusted through a change to the accretable yield on a prospective basis.

Any subsequent decreases in expected cash flows attributable to credit deterioration are recognized by recording an ACL.

The Company had no PCI loans as of March 31, 2025 and 2024.

For purchased non-credit-impaired loans, the difference between the fair value and unpaid principal balance of the loan at the acquisition date is amortized or accreted to interest income over the lives of the related loans.

Any subsequent deterioration in credit quality is recognized by recording an ACL.

ACL on Available for Sale Debt Securities - Each reporting period, the Company assesses each available for sale debt security that is in an unrealized loss position to determine whether the decline in fair value below the amortized cost basis results from a credit loss or other factors.

The Company did not record an ACL on available for sale debt securities at March 31, 2025 and 2024, or upon adoption of ASU 2016-13 on April 1, 2023.

The Company did not record an ACL on available for sale debt securities at March 31, 2026 and 2025.

As of both dates, the Company considered the unrealized losses across the classes of major security-type to be related to fluctuations in market conditions, primarily interest rates, and not reflective of a deterioration in credit value.

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If the Company does not intend to sell the security and it is not more likely than not that the Company will be required to sell the security, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors.

In making this assessment, management considers the extent to which fair value is less than amortized costs, any changes to the rating of the security by a rating agency and adverse conditions specifically related to the security, among other factors.

In making this assessment, management considers the

extent to which fair value is less than amortized costs, any changes to the rating of the security by a rating agency and adverse conditions specifically related to the security, among other factors.

If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security.

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The probability of default and loss given default are incorporated into the present value of expected cash flows and compared against amortized cost.

The Company did not record an ACL on held to maturity debt securities at March 31, 2025 and 2024, or upon adoption of ASU 2016-13 on April 1, 2023 as the impact was insignificant.

The Company did not record an ACL on held to maturity debt securities at March 31, 2026 and 2025.

ACL on Loans – The Company adopted the new accounting standard for the ACL (ASU 2016-13), commonly referred to as the current expected credit losses or CECL methodology, as of April 1, 2023.

All disclosures as of and for the years ended March 31, 2025 and 2024 are presented in accordance with ASU 2016-13.

The comparative financial periods prior to the adoption of this new accounting standard are presented and disclosed under previously applicable GAAP’s incurred loss methodology, which is not directly comparable to the recently adopted CECL methodology.

For further information regarding the ACL, see Note 4.

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The model uses statistical analysis to determine the life of loan default rates for the quantitative component and analyzes qualitative factors (Q-Factors) that assess the current loan portfolio conditions and forecasted economic environment and collateral values.

For loans that are individually

evaluated, an allowance is established when the discounted cash flows or collateral value (less estimated selling costs, if applicable) is lower than the carrying value of the loan.

For loans that are individually evaluated, an allowance is established when the discounted cash flows or collateral value (less estimated selling costs, if applicable) is lower than the carrying value of the loan.

When available information confirms that specific loans or portions thereof are uncollectible, identified amounts are charged against the ACL.

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ACL for Unfunded Loan Commitments – The allowance for unfunded loan commitments is maintained at a level believed by management to be sufficient to absorb estimated expected losses related to these unfunded credit facilities.

The determination of the adequacy of the allowance is based on periodic evaluations of the unfunded credit facilities including an assessment of the probability of commitment usage, credit risk factors for loans outstanding to these same clients, and the terms and expiration dates of the unfunded credit facilities.

terms and expiration dates of the unfunded credit facilities.

Changes in the allowance for credit losses – unfunded loan commitments are recognized as provision for (or recapture of) credit loss expense and added to the ACL– unfunded loan commitments, which is included in accrued expenses and other liabilities in the consolidated balance sheets.

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Costs relating to development and improvement of the properties or assets are capitalized, while costs relating to holding the properties or assets are expensed.

The Company held no REO at March 31, 2025 and 2024.

The Company held one real estate owned property with a zero cost basis at March 31, 2026.

The Company had no other real estate owned or foreclosed assets at March 31, 2025.

At March 31, 2026, there were no mortgage loans secured by residential real estate for which formal foreclosure proceedings were in process.

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(1) the significance of any decline in net assets of the FHLB as compared to the capital stock amount of the FHLB and the length of time this situation has persisted, (2) commitments by the FHLB to make payments required by law or regulation and the level of such payments in relation to the operating performance of the FHLB, (3) the impact of legislative and regulatory changes on institutions and, accordingly, the client base of the FHLB, and (4) the liquidity position of the FHLB.

The Company has determined there is no impairment on the FHLB stock investment at March 31, 2025 and 2024.

The Company determined there was no impairment on the FHLB stock investment at March 31, 2026 and 2025.

Premises and Equipment – Premises and equipment are stated at cost less accumulated depreciation and amortization.

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At March 31, 2026 and 2025, accumulated amortization was $ 1.3 million and $ 1.2 million respectively.

The amortization expense for CDI in future years is estimated to be $ 93,000 and $ 78,000 , for the years ending March 31, 2026 and 2027, respectively.

The amortization expense for CDI in the fiscal year ending March 31, 2027 is estimated to be $ 77,000 .

Goodwill and certain other intangibles generally arise from business combinations.

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Assets totaling $ 908.1 million were held in trust as of March 31, 2026 compared to $ 877.9 million as of March 31, 2025.

Earnings Per Share – GAAP requires all companies whose capital structure includes dilutive potential common shares to make a dual presentation of basic and diluted earnings per share for all periods presented.

The Company’s basic earnings per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the period , without consideration of any dilutive items.

Nonvested shares of restricted stock are included in the computation of basic earnings per share because the holder has voting rights and shares in non-forfeitable dividends during the vesting period.

The Company’s diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised and has been computed after considering to the weighted average diluted effect of the Company’s stock options.

Earnings (Loss) Per Share – GAAP requires all companies whose capital structure includes dilutive potential common shares to make a dual presentation of basic and diluted earnings per share for all periods presented.

The Company’s basic earnings (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding for the period , without consideration of any dilutive items.

Nonvested shares of restricted stock are included in the computation of basic earnings (loss) per share because the holder has voting rights and shares in non-forfeitable dividends during the vesting period.

The Company’s diluted earnings (loss) per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised and has been computed after considering the weighted average diluted effect of the Company’s stock options.

Stock-Based Compensation – The Company measures compensation cost for all stock-based awards based on the grant-date fair value of the awards and recognizes compensation cost over the service period of stock-based awards.

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Accounting Pronouncements Recently Issued or Adopted –

Accounting Standards Update (“ASU”) No.

2016-13, Financial Instruments - Credit Losses (Topic 326) as amended by ASU 2018-19, ASU 2019-04 and ASU 2019-05, was originally issued by the Financial Accounting Standards Board (“FASB”) in June 2016.

This ASU replaces the incurred loss methodology that delays recognition until it is probable a loss has been incurred with an expected loss methodology that is referred to as the CECL methodology.

The amendments in this ASU require a financial asset that is measured at amortized cost to be presented at the net amount expected to be collected.

The income statement would then reflect the measurement of credit losses for newly recognized financial assets as well as changes to the expected credit losses that have taken place during the reporting period.

The measurement of expected credit losses will be based on historical information, current conditions, and reasonable and supportable forecasts that impact the collectability of the reported amount.

Available-for-sale securities will bifurcate the fair value mark and establish an ACL for available-for-sale securities through the income statement for the credit portion of that mark.

The adoption of CECL had an insignificant impact on the Company’s held to maturity and available for sale securities portfolios.

The interest portion will continue to be recognized through accumulated other comprehensive income or loss.

The change in the ACL recognized as a result of adoption will occur through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the ASU is adopted.

This ASU is effective for smaller reporting companies, such as the Company, for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted.

ASU 2019-05 issued in April 2019 further provides that entities that have certain financial instruments measured at amortized cost that has credit losses, to irrevocably elect the fair value option in Subtopic 825-10, upon adoption of ASU 2016-13.

The fair value option applies to available-for-sale debt securities.

This ASU is effective upon adoption of ASU 2016-13, and should be applied on a modified-retrospective basis as a cumulative-effect adjustment to the opening balance of retained earnings in the statement of financial condition as of the adoption date.

On April 1, 2023, the Company adopted

ASU 2016-13, which resulted in a net of tax charge of $ 53,000 to retained earnings, a $ 42,000 increase to ACL for loans, and a $ 28,000 increase to ACL on unfunded commitments for the cumulative effect of adopting this guidance.

In March 2022, the FASB issued ASU 2022-02, Financial Instruments – Credit Losses (Topic 326) :

Troubled Debt Restructurings and Vintage Disclosures.

This ASU eliminates the accounting guidance for TDRs by creditors while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty.

Additionally, the ASU requires public business entities to disclose current-period gross write offs by year of origination for financial receivables and net investments in leases.

This ASU is effective upon adoption of ASU 2016-13.

On April 1, 2023, the Company adopted this ASU at the same time ASU 2016-13 was adopted.

The Company had no loans modified to borrowers experiencing financial difficulty during the year ended March 31, 2024.

The Company had $ 13,000 in write offs and $ 26,000 in recoveries from other installment loans for the year ended March 31, 2024.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740) :

In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures .

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An entity should apply the amendments in this ASU on a prospective basis.

The Company expects this ASU to only impact its disclosure requirements and does not expect the adoption of this ASU to have a material impact on its business operations or the Company's consolidated financial statements.

This ASU only impacted the Company’s income tax disclosures and consequently, the adoption of this ASU did not have a material impact on the Company’s business operations or consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, Income Statement (Topic 220) :

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Early adoption of ASU 2025-01 is permitted.

In November 2025, the FASB issued ASU 2025-08, Financial Instruments—Credit Losses (Topic 326):

Purchased Loans.

The amendments in this ASU expand the population of acquired financial assets subject to the gross-up approach in Topic 326.

In accordance with the amendments in this update, loans (excluding credit cards) acquired without credit deterioration and deemed “seasoned” are purchased seasoned loans and accounted for using the gross-up approach at acquisition.

The new standard is effective for annual periods beginning after December 15, 2026, and interim periods within those annual reporting periods.

The Company does not expect this standard to have a material effect on its business operations or consolidated financial statements.

In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270):

Narrow-Scope Improvements.

The amendments in this ASU result in a comprehensive list of interim disclosures that are required by GAAP.

The objective of the amendments is to provide clarity about the current requirements, rather than evaluate whether to expand or reduce interim disclosure requirements.

The new standard is effective for interim reporting periods within annual reporting periods beginning after December 15, 2027.

The Company does not expect this standard to have a material effect on its business operations or consolidated financial statements.

Other accounting standards that have been issued by the FASB are not currently expected to have a material effect on the Company’s business operations or consolidated financial statements.

Reclassifications – Certain prior period amounts have been reclassified to conform to the current period presentation;

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RESTRICTED ASSETS

Regulations of the Federal Reserve require that the Bank maintain minimum reserve balances either on hand or on deposit with the Federal Reserve Bank of San Francisco (“FRB”) based on a percentage of deposits.

Effective March 26, 2020, the reserve requirement was reduced to zero and the Bank was not required to maintain any such reserve balances as of March 31, 2025 and 2024, respectively.

In March 2020, the Federal Reserve reduced reserve requirement ratios to zero percent for all depository institutions.

As a result, the Bank is no t subject to minimum reserve balance requirements with the Federal Reserve Bank of San Francisco and was not required to maintain any such reserve balances as of March 31, 2026 and 2025.

INVESTMENT SECURITIES

The Company did no t hold any held to maturity securities at March 31, 2026.

In the fourth quarter of fiscal year 2026, the Company completed a balance sheet optimization by selling securities with a book value of $ 149.3 million at a pre-tax loss of $ 11.35 million.

The amortized cost and approximate fair value of investment securities consisted of the following at the dates indicated (in thousands):

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Total available for sale

Held to maturity:

Municipal securities

Agency securities

Real estate mortgage investment conduits (1)

Residential mortgage-backed securities (1)

Other mortgage-backed securities (3)

Total held to maturity

March 31, 2025

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(3) Comprised of FHLMC and FNMA issued securities.

The contractual maturities of investment securities as of March 31, 2025 are as follows (in thousands):

The contractual maturities of investment securities as of March 31, 2026 were as follows (in thousands):

Available for Sale

Held to Maturity

Due in one year or less

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Expected maturities of investment securities may differ from contractual maturities because borrowers may have the right to prepay obligations with or without prepayment penalties.

The fair value of temporarily impaired investment securities, the amount of unrealized losses and the length of time these unrealized losses existed are as follows at the dates indicated (in thousands):

The sales proceeds and gross realized losses of investment securities were as follows for the years ended March 31, 2026, 2025, and 2024 (in thousands):

Year Ended March 31,

Available for sale

Sales proceeds

Gross realized losses

The fair value of securities in an unrealized loss position, the amount of unrealized losses and the length of time these unrealized losses existed were as follows at the dates indicated (in thousands):

Less than 12 months

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Total available for sale

Held to maturity:

Municipal securities

Agency securities

Real estate mortgage investment conduits (1)

Residential mortgage-backed securities (1)

Other mortgage-backed securities (3)

Total held to maturity

March 31, 2025

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(1) Comprised of FHLMC, FNMA and GNMA issued securities.

(2) Comprised of SBA and CRE secured securities issued by FHLMC and FNMA.

(3) Comprised of CRE secured securities issued by FHLMC and FNMA.

(2) Comprised of SBA and CRE secured securities issued by FNMA and FHLMC.

(3) Comprised of FHLMC and FNMA securities.

The Company does not believe that the unrealized losses at March 31, 2026 and 2025, were related to credit quality.

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As such, the Company determined that no ACL was required.

Based on management’s evaluation and intent, the unrealized losses related to the investment securities in the above tables are considered temporary.

Investment securities available for sale with an amortized cost of $ 2.1 million and $ 2.6 million and a fair value of $ 2.0 million and $ 2.4 million at March 31, 2025 and 2024, respectively, were pledged as collateral for government public funds held by the Bank.

Investment securities held to maturity with an amortized cost of $ 12.2 million and $ 11.2 million and a fair value of $ 10.4 million and $ 9.3 million at March 31, 2025 and 2024, respectively, were pledged as collateral for government public funds held by the Bank.

Investment securities held to maturity with an amortized cost of $ 141.3 million and $ 151.2 million and a fair value of $ 120.5 million and $ 126.1 million at March 31, 2025 and March 31, 2024, respectively, were pledged as collateral to the FRB.

Based on management’s evaluation and intent, the unrealized losses related to the investment securities in the above tables are not attributable to credit-related factors.

Investment securities available for sale with an amortized cost of $ 26.4 million and $ 2.1 million and a fair value of $ 22.2 million and $ 2.0 million at March 31, 2026 and March 31, 2025, respectively, were pledged as collateral for government public funds held by the Bank.

Investment securities held to maturity with an amortized cost of $ 12.2 million and a fair value of $ 10.4 million at March 31, 2025, were pledged as collateral for government public funds held by the Bank.

Investment securities available for sale with an amortized cost of $ 49.2 million and a fair value of $ 41.0 million at March 31, 2026, were pledged as collateral to the FRB.

Investment securities held to maturity with an amortized cost of $ 141.3 million and a fair value of $ 120.5 million at March 31, 2025, were pledged as collateral to the FRB.

LOANS AND ACL

Loans receivable are reported net of deferred loan fees and discounts, and inclusive of premiums.

At March 31, 2025, deferred loan fees totaled $ 4.3 million compared to $ 4.7 million at March 31, 2024.

Deferred loan fees totaled $ 4.3 million at both March 31, 2026 and 2025.

Loans receivable discounts and premiums totaled $ 1.0 million and $ 1.6 million as of March 31, 2026, compared to $ 1.2 million and $ 1.7 million as of March 31, 2025, respectively .

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Beginning balance

Originations/Additions

Principal repayments

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Although commercial business loans are often collateralized by equipment, inventory, accounts receivable or other business assets, the liquidation of collateral in the event of a borrower default is often an insufficient source of repayment, because accounts receivable may be uncollectible and inventories and equipment may be obsolete or of limited use.

Accordingly, the repayment of a commercial business loan depends primarily on the credit-worthiness of the borrower (and any guarantors), while the liquidation of collateral is a secondary and potentially insufficient source of repayment.

The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the management of the business and the credit-worthiness of the borrowers and the guarantors.

Accordingly, the repayment of a commercial business loan depends primarily on the creditworthiness of the borrower (and any guarantors), while the liquidation of collateral is a secondary and potentially insufficient source of repayment.

The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the management of the business and the creditworthiness of the borrowers and the guarantors.

Commercial real estate – The Company originates commercial real estate loans within its primary market areas secured by properties such as office buildings, warehouse/industrial, retail, assisted living, single purpose facilities, and other commercial properties.

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Commercial construction loans are originated to construct properties such as office buildings, retail rental space and mini-storage facilities, and assisted living facilities.

All construction loans are short-term and generally the rate is variable in nature.

All construction loans are short-term and generally the rate is

variable in nature.

Construction lending can involve a higher level of risk than other types of lending because funds are advanced based on a prospective value of the project at completion, the total estimated construction cost of the project, and the borrowers’ equity at risk.

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Home equity lines of credit and second mortgage loans have a greater credit risk than one-to-four family residential mortgage loans because they are secured by mortgages subordinated to the existing first mortgage on the property, which may or may not be held by the Company.

The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the credit-worthiness of the borrower.

The Company attempts to mitigate residential lending risks by adhering to its underwriting policies in evaluating the collateral and the creditworthiness of the borrower.

Other installment – The Company originates other consumer loans, which include automobile, boat, motorcycle, recreational vehicle, savings account and unsecured loans.

Other consumer loans generally have shorter terms to maturity than mortgage loans.

Other consumer loans generally involve a greater degree of risk than do residential mortgage loans, particularly in the case of consumer loans that are unsecured or secured by rapidly depreciating assets such as automobiles.

Other consumer loans generally involve a greater degree of risk than residential mortgage loans, particularly in the case of consumer loans that are unsecured or secured by rapidly depreciating assets such as automobiles.

In such cases, any repossessed collateral for a defaulted consumer loan may not provide an adequate source of repayment of the outstanding loan balance as a result of the greater likelihood of damage, loss or depreciation.

The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the credit-worthiness of the borrower.

The Company attempts to mitigate these risks by adhering to its underwriting policies in evaluating the creditworthiness of the borrower.

Troubled Loan Modifications (“TLM”) – Occasionally, the Company offers modifications of loans to borrowers experiencing financial difficulty by providing principal forgiveness, interest rate reductions, other-than-insignificant payment delays, term extensions or any combination of these.

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Once any other potential sources of repayment are exhausted, the impaired portion of the loan is charged off.

Regardless of whether a loan is unsecured or collateralized, once an amount is determined to be a confirmed loan loss it is promptly charged off.

Regardless of whether a loan is unsecured or collateralized, once an amount is determined to be a confirmed credit loss it is promptly charged off.

There were no loans modified related to borrowers experiencing financial difficulty during the fiscal year ended March 31, 2026.

There were no loans past due at March 31, 2026 that had been modified in the previous 12 months.

The following table presents the amortized cost basis and financial effect of loans at March 31, 2025, that were both experiencing financial difficulty and modified during the fiscal year ended March 31, 2025 (in thousands):

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Loss – These loans have a risk rating of 9 and are rated in accordance with regulatory guidelines.

Such loans are charged-off or charged-down when payment is acknowledged to be uncertain or when the timing or value of payments cannot be determined.

“Loss” is not intended to imply that the loan or some portion of it will never be paid, nor does it in any way imply that there has been a forgiveness of debt.

Such loans are charged-off, or partially charged-off, when payment is acknowledged to be uncertain or when the timing or value of payments cannot be determined.

Such loans are generally fully reserved in the allowance for credit losses prior to charge-off.

The following table sets forth the Company’s loan portfolio at March 31, 2026 and 2025 by risk attribute and year of origination as well as current period gross charge-offs (in thousands).

Revolving loans that are converted to term loans are treated as new originations in the table below and are presented by year of origination.

Term loans that are renewed or extended for periods longer than 90 days are presented as a new origination in the year of the most recent renewal or extension.

March 31, 2026

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Current YTD gross write-offs

Special Mention

Current YTD gross write-offs

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Real estate construction

Special Mention

Total real estate construction

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ACL on Loans –

The following tables detail activity in the ACL for loans for the fiscal years ended March 31, 2025 and 2024 under the CECL methodology, and in the allowance for loan losses under the incurred loss methodology for the fiscal year ended March 31, 2023, by loan category (in thousands):

The following tables detail activity in the ACL for loans for the fiscal years ended March 31, 2026, 2025 and 2024, by loan category (in thousands):

March 31, 2026

4 unchanged sentences

Beginning balance

Impact of adopting CECL (ASU 2016-13)

Provision for (recapture of) loan losses

Provision for (recapture of) credit losses

Ending balance

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Beginning balance

Provision for (recapture of) loan losses

Impact of adopting CECL (ASU 2016-13)

Provision for (recapture of) credit losses

Ending balance

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Non-accrual loans – Loans are reviewed regularly and it is the Company’s general policy that a loan is past due when it is 30 to 89 days delinquent.

In general, when a loan is 90 days or more delinquent or when collection of principal or interest appears doubtful, it is placed on non-accrual status, at which time the accrual of interest ceases and a reserve for unrecoverable accrued interest is established and charged against operations.

As a general practice, payments received on non-accrual loans are applied to reduce the outstanding principal balance on a cost recovery method.

Also, as a general practice, a loan is not removed from non-accrual status until all delinquent principal, interest and late fees have been brought current and the borrower has demonstrated a history of performance based upon the contractual terms of the note.

A history of repayment performance generally would be a minimum of six months.

In general, when a loan is 90 days or more delinquent or when collection of principal or interest appears doubtful, it is placed on non-accrual status, at which time the accrual of interest ceases, and previously accrued but uncollected interest is reversed against interest income.

As a general practice, payments received on non-accrual loans are applied to reduce the outstanding principal balance under the cost recovery method, whereby payments are not recognized as interest income until the principal balance has been fully recovered.

A loan is not removed from non-accrual status until all delinquent principal, interest and late fees have been brought current and the borrower has demonstrated a sustained history of performance in accordance with the contractual terms of the note, generally a minimum of six months.

Interest income foregone on non-accrual loans was $ 240,000 , $ 16,000 , and $ 10,000 for the years ended March 31, 2026, 2025 and 2024, respectively.

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Real estate construction

The increase in the 30-89 days past due loans was primarily related to two commercial loans totaling to $ 725,000 which are in the process of securing new contracts to improve revenue.

Included in the 30-89 days past due loans at March 31, 2025 and 2024 are $ 3.1 million and $ 1.8 million, respectively, of fully guaranteed SBA or USDA loans.

These government guaranteed loans are classified as pass rated loans and are not considered to be either nonaccrual or classified loans because based on the guarantee, the Company expects to receive all principal and interest according to the contractual terms of the loan agreement and there are no well-defined weaknesses or risk of loss.

As a result, these loans were omitted from the required calculation of the ACL for loans.

Interest income foregone on non-accrual loans was $ 16,000 and $ 10,000 for the year ended March 31, 2025 and 2024, respectively.

At March 31, 2025, the Company had $ 94,000 of non-accrual loans with no ACL and $ 61,000 of non-accrual loans with an ACL of $ 1,000 .

Loans 90 days or more past due are generally placed on non-accrual status and are therefore reflected in the non-accrual column rather than the 90 days and greater past due column in the table above.

The increase in non-accrual loans at March 31, 2026 was primarily driven by two commercial real estate relationships totaling approximately $ 7.1 million that were placed on non-accrual status during fiscal year 2026.

These relationships are collateral dependent, and the increase in collateral-dependent commercial real estate loans from $ 57,000 at March 31, 2025 to $ 7.0 million at March 31, 2026 primarily reflects these same relationships.

The Company is actively monitoring these loans and working with the respective borrowers to resolve the identified weaknesses.

The increase in 30-89 days past due loans at March 31, 2026 was primarily related to two commercial real estate loans totaling $ 3.9 million.

The Company continues to actively monitor and work with the borrowers to address performance issues.

Included in 30-89 days past due loans at March 31, 2026 and 2025 were $ 1.2 million and $ 3.1 million, respectively, of loans fully guaranteed by the SBA or USDA.

These government-guaranteed loans are classified as pass-rated and are excluded from the ACL calculation because the Company expects to receive all principal and interest in accordance with the contractual terms of the loans based on the applicable guarantees.

At March 31, 2026, the Company had $ 7.5 million of non-accrual loans with no ACL and $ 226,000 of non-accrual loans with an ACL of $ 5,000 .

At March 31, 2025, the Company had $ 94,000 of non-accrual loans with no ACL and $ 61,000 of non-accrual loans with an ACL of $ 1,000 .

The amortized cost of collateral dependent loans as of March 31, 2025, were $ 37,000 and $ 57,000 for commercial business and commercial real estate loans, respectively, compared to $ 58,000 and $ 79,000 for the prior fiscal year.

The amortized cost basis of collateral-dependent loans at March 31, 2026, was $ 519,000 and $ 7.0 million for commercial business and commercial real estate loans, respectively, compared to $ 37,000 and $ 57,000 , respectively, at March 31, 2025.

PREMISES AND EQUIPMENT

6 unchanged sentences

Depreciation and amortization expense was $ 2.0 million, $ 2.1 million and $ 2.0 million for the years ended March 31, 2026, 2025 and 2024, respectively .

Goodwill and certain other intangibles generally arise from business combinations accounted for under the purchase method of accounting.

Goodwill and other intangibles deemed to have indefinite lives generated from business combinations are not subject to amortization and are instead tested for impairment not less than annually.

The Company has two reporting units, the Bank and the Trust Company, for purposes of evaluating goodwill for impairment.

All of the Company’s goodwill has been allocated to the Bank reporting unit.

The Company performed its annual impairment assessment as of October 31, 2024 and determined that no impairment of goodwill exists.

The goodwill impairment test involves a two-step process.

The first step is a comparison of the reporting unit’s fair value to its carrying value.

If the reporting unit’s fair value is less than its carrying value, the Company would be required to progress to the second step.

In the second step, the Company calculates the implied fair value of goodwill and compares the implied fair value of goodwill to the carrying amount of goodwill in the Company’s consolidated balance sheet.

If the carrying amount of the goodwill is greater than the implied fair value of that goodwill, an impairment loss must be recognized in an amount equal to that excess.

The implied fair value of goodwill is determined in the same manner as goodwill recognized in a business combination.

The results of the Company’s step one test indicated that the reporting unit’s fair value was greater than its carrying value, and, therefore, a step two analysis was not required;

however, no assurance can be given that the Company’s goodwill will not be written down in future periods.

The Company completed a qualitative assessment of goodwill as of March 31, 2025, and concluded that it is more likely than not that the fair value of the Bank (the reporting unit), exceeds its carrying value.

If adverse economic conditions or decreases in the Company’s common stock price and market capitalization were deemed sustained in the future rather than temporary, it may significantly affect the fair value of the reporting unit and may trigger future goodwill impairment charges.

Any impairment charge could have a material adverse effect on our results of operations and financial condition.

The Company performed an impairment assessment as of October 31, 2025 and determined that no impairment of goodwill exists.

The quantitative goodwill impairment test is used to identify the existence of impairment and the amount of impairment loss and compares the reporting unit’s estimated fair value, including goodwill, to its carrying amount.

If the fair value exceeds the carrying amount, then goodwill is not considered impaired.

If the carrying amount exceeds its fair value, an impairment loss would be recognized equal to the amount of excess, limited to the amount of total goodwill allocated to that reporting unit.

The Company completed a qualitative assessment of goodwill as of March 31, 2026, and concluded that it is more likely than not that the fair value of the Bank (the reporting unit), exceeds its carrying value at that date.

No assurances can be given that the Company’s goodwill will not be written down in future periods.

If adverse economic conditions or any decreases in the Company’s common stock price and market capitalization were deemed to be other than temporary, it may significantly affect the fair value of the reporting unit and may trigger future goodwill impairment charges.

Any impairment charge could have a material adverse effect on the Company’s results of operations and financial condition.

Deposit accounts consisted of the following at the dates indicated (in thousands):

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FEDERAL HOME LOAN BANK ADVANCES

The Company has overnight borrowings through FHLB which are renewed every 90 days until paid.

The interest rate of our FHLB overnight borrowings was 3.91 % at March 31, 2026.

FHLB advances are summarized at the dates indicated (dollars in thousands):

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The Debentures issued by the Company to the grantor trusts, totaling $ 27.2 million and $ 27.1 million at March 31, 2026 and 2025, respectively, are reported as “junior subordinated debentures” in the consolidated balance sheets.

The common securities issued by the grantor trusts were purchased by the Company, and the Company’s investment in the common securities of $ 836,000 at both March 31, 2025 and 2024, is included in prepaid expenses and other assets in the consolidated balance sheets.

The Company records interest expense on the Debentures in the consolidated statements of income.

securities issued by the grantor trusts were purchased by the Company, and the Company’s investment in the common securities of $ 836,000 at both March 31, 2026 and 2025, is included in prepaid expenses and other assets in the consolidated balance sheets.

The Company records interest expense on the Debentures in the consolidated statements of income (loss).

The following table is a summary of the terms and the amounts outstanding of the Debentures at March 31, 2026 (dollars in thousands):

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Year Ended March 31

All pretax income from continuing operations for the periods presented was generated in domestic jurisdictions ;

the Company did not earn any foreign pretax income.

As such, the Company has no foreign income tax expense from continuing operations.

The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities are as follows at the dates indicated (in thousands):

Deferred tax assets:

Deferred compensation

Accrued expenses

Accumulated depreciation and amortization

Deferred gain on sale

Deferred income

Net operating loss - federal

Net unrealized loss on investment securities available for sale

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Year Ended March 31,

Statutory federal income tax rate

State and local income tax rate

Employee Stock Ownership Plan ("ESOP") market value adjustment

Effective federal income tax rate

Statutory federal income (loss) tax rate

State and local income tax (benefit), net of federal income tax effect (1)

Nontaxable or nondeductible item

Effective federal income (loss) tax rate

(1) State taxes in Oregon contributed to the majority of the tax effect in this category.

The following table presents the cash paid for income taxes, net of refunds received, by jurisdiction for the fiscal years ended March 31, 2026, 2025, and 2024:

For the fiscal years ended March 31, 2026 and 2025, the Company utilized a federal corporate income tax rate of 21.0 % .

4 unchanged sentences

Management does not expect this temporary difference to reverse in the foreseeable future.

As of March 31, 2026, the Bank had net operating loss carryforwards (“NOL”) for federal income tax purposes of $ 1.3 million.

This NOL is carried forward indefinitely but is limited to 80% of taxable income.

At March 31, 2026 and 2025, the Company had no unrecognized tax benefits or uncertain tax positions.

In addition, the Company had no accrued interest or penalties related to income tax matters as of March 31, 2026 and 2025.

It is the Company’s policy to recognize potential accrued interest and penalties related to income tax matters as a component of the provision for

income taxes.

It is the Company’s policy to recognize potential accrued interest and penalties related to income tax matters as a component of the provision for income taxes.

The Company is subject to U.S federal and State of Oregon income taxes.

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At March 31, 2026 and 2025, the Company’s aggregate liability under the Deferred Compensation Plan was $ 116,000 and $ 90,000 , respectively, which is recorded in accrued expenses and other liabilities in the accompanying consolidated balance sheets.

Stock Option Plans – In July 2003, shareholders of the Company approved the adoption of the 2003 Stock Option Plan (“2003 Plan”).

The 2003 Plan was effective in July 2003 and expired in July 2013.

Accordingly, no further option awards may be granted under the 2003 Plan;

however, any awards granted prior to their respective expiration dates remain outstanding subject to their terms.

Each option granted under the 2003 Plan has an exercise price equal to the fair market value of the Company’s common stock on the date of the grant, a maximum term of ten years and a vesting period from zero to five years .

In July 2017, the shareholders of the Company approved the Riverview Bancorp, Inc.

Stock Option Plan – In July 2017, the shareholders of the Company approved the Riverview Bancorp, Inc.

2017 Equity Incentive Plan (“2017 Plan”).

The 2017 Plan provides for the grant of incentive stock options, non-qualified stock options, restricted stock and restricted stock units.

The Company has reserved 1,800,000 shares of its common stock for issuance under the 2017 Plan.

The Company reserved 1,800,000 shares of its common stock for issuance under the 2017 Plan.

At March 31, 2026, there were 1,205,687 shares available for grant under the 2017 Plan.

The 2003 Plan and the 2017 Plan are collectively referred to as “the Stock Option Plans.”

The fair value of each stock option granted is estimated on the date of grant using the Black-Scholes stock option valuation model.

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Expected volatility is estimated at the date of grant based on the historical volatility of the Company’s common stock.

Expected dividends are based on dividend trends and the market value of the Company’s common stock at the time of grant.

Expected dividends are based on dividend trends and the market value of the Company’s common

stock at the time of grant.

The risk-free interest rate for periods within the contractual life of the options is based on the U.S.

Treasury yield curve in effect at the time of the grant.

There were no stock options granted during the years ended March 31, 2025, 2024 and 2023 under the Stock Option Plans.

As of March 31, 2025, all outstanding stock options were fully vested and there was no remaining unrecognized compensation expense related to stock options granted under the Stock Option Plans.

There was no stock-based compensation expense related to stock options for the years ended March 31, 2025, 2024 and 2023 under the Stock Option Plans.

There was no activity related to stock options for the year ended March 31, 2025.

The following table presents the activity related to stock options under the Stock Option Plans for the years ended March 31, 2024 and 2023:

Balance, beginning of period

Options exercised

Options expired

Balance, end of period

There were no stock options outstanding as of March 31, 2025 and 2024.

There was no intrinsic value of stock options exercised for the fiscal year ended March 31, 2025.

The total intrinsic value of stock options exercised was $ 28,000 and $ 7,000 for the years ended March 31, 2024 and 2023, respectively, under the Stock Options Plans.

The Company may grant restricted stock pursuant to the 2017 Plan for which vesting can either be time based or performance based.

Performance based awards are subject to attaining certain performance metrics and all, or a portion of, the performance based awards can subsequently be cancelled for not attaining the predetermined performance metrics.

The fair value of restricted stock awards is equal to the fair value of the Company’s stock price on the date of grant.

The related stock-based compensation expense is recorded over the requisite service period.

Stock-based compensation related to restricted stock was $ 384,000 , $ 34,000 , and $ 390,000 for the years ended March 31, 2025, 2024, and 2023, respectively.

The unrecognized stock-based compensation related to restricted stock was $ 1.1 million and $ 245,000 at March 31, 2025 and 2024, respectively.

The weighted average vesting period for the restricted stock was 2.46 years and 1.31 years at March 31, 2025 and 2024, respectively.

There were no stock options granted under the 2017 Plan during the years ended March 31, 2026, 2025 and 2024.

As of March 31, 2026 and 2025, there were no stock options outstanding.

The Company may grant restricted stock awards pursuant to the 2017 Plan on either a time-based or performance-based vesting schedule.

Performance-based awards are subject to the attainment of predetermined performance metrics, and all or a portion of such awards may be cancelled if the applicable performance metrics are not achieved.

For performance-based awards, stock-based compensation expense is recognized based on the probability of achieving the performance conditions over the requisite service period and is adjusted in subsequent periods if the probability assessment changes.

The fair value of restricted stock awards is measured as the closing market price of the Company’s common stock on the grant date.

Stock-based compensation expense is recognized on a straight-line basis over the requisite service period.

Stock-based compensation expense related to restricted stock awards was $ 431,000 , $ 384,000 , and $ 34,000 for the years ended March 31, 2026, 2025, and 2024, respectively.

Unrecognized stock-based compensation expense related to unvested restricted stock awards was $ 754,000 and $ 1.1 million at March 31, 2026 and 2025, respectively, and is expected to be recognized over a weighted average remaining vesting period of 2.26 years and 2.46 years, respectively.

The following table presents the activity related to restricted stock for the years ended March 31, 2026 and 2025:

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Employee Stock Ownership Plan - The Company sponsors an ESOP that covers all employees with at least one year and 1,000 hours of service who are over the age of 21.

For each of the years ended March 31, 2025, 2024 and 2023, the Bank purchased 25,000 shares of common stock, on the open market and contributed such shares to the ESOP as a discretionary

employer contribution.

For each of the years ended March 31, 2026, 2025 and 2024, the Bank purchased 25,000 shares of common stock, on the open market and contributed such shares to the ESOP as a discretionary employer contribution.

As of March 31, 2026, 2025 and 2024, all shares of common stock purchased for the ESOP have been allocated to participant accounts.

4 unchanged sentences

Failure to meet minimum capital requirements can result in the initiation of certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements .

Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices.

sheet items as calculated under regulatory accounting practices.

The Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors.

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In addition to the minimum common equity tier 1 (“CET1”), Tier 1 and total capital ratios, the Bank is required to maintain a capital conservation buffer consisting of additional CET1 capital in order to avoid limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses based on percentages of eligible retained income that could be utilized for such actions.

The capital conservation buffer is required to be an amount greater than 2.5% of risk-weighted assets.

The capital conservation buffer is required to be an amount greater than 2.5% of risk-weighted assets above the required minimum capital levels.

As of March 31, 2026, the Bank’s CET1 capital exceeded the required capital conservation buffer at an amount greater than 2.5%.

6 unchanged sentences

A future examination could include a review of certain transactions or other amounts reported in the Company’s 2026 consolidated financial statements .

EARNINGS PER SHARE

EARNINGS (LOSS) PER SHARE

Basic earnings per share (“EPS”) is computed by dividing net income or loss applicable to common stock by the weighted average number of common shares outstanding during the period, without considering any dilutive items.

Nonvested shares of restricted stock are included in the computation of basic EPS because the holder has voting rights and shares in non-forfeitable dividends during the vesting period.

Diluted EPS is computed by dividing net income or loss applicable to common stock by the weighted average number of common shares and common stock equivalents for items that are dilutive, net of shares assumed to be repurchased using the treasury stock method at the average share price for the Company’s common

stock during the period.

Common stock equivalents arise from the assumed exercise of outstanding stock options.

4 unchanged sentences

Basic EPS computation:

Numerator-net income

Numerator-net (loss) income

Denominator-weighted average common shares outstanding

Diluted EPS computation:

Numerator-net income

Numerator-net (loss) income

Denominator-weighted average common shares outstanding

1 unchanged sentence

Weighted average common shares and common stock equivalents

On March 9, 2022, the Company announced that its Board of Directors authorized a stock repurchase program (the “March 2022 repurchase program”).

Under the March 2022 repurchase program, the Company was authorized to repurchase up to $ 5.0 million of the Company’s outstanding shares of common stock, in the open market, based on prevailing market prices, or in private negotiated transactions, over a period beginning on March 21, 2022 and continuing until the earlier of the completion of the stock repurchase program or September 9, 2022.

The Company completed the March 2022 repurchase program on September 8, 2022, repurchasing 718,734 shares at an average price of $ 6.96 per share and at a total cost of $ 5.0 million.

All shares repurchased under the March 2022 repurchase program were retired as of September 30, 2022.

On November 17, 2022, the Company announced that its Board of Directors authorized a stock repurchase programs (the “November 2022 repurchase program”).

Under the November 2022 repurchase program, the Company was authorized to repurchase up to $ 2.5 million of the Company’s outstanding shares of common stock, in the open market or in privately negotiated transactions, over a period beginning on November 28, 2022 and continuing until the earlier of the completion of the authorized level of repurchases or May 28, 2023, depending upon market conditions.

The Company completed the November 2022 repurchase program on May 5, 2023, repurchasing 394,334 shares at an average price of $ 6.34 per share and at a total cost of $ 2.5 million.

Shares repurchased under the November 2022 repurchase program were retired as settled.

On September 26, 2024, the Company’s Board of Directors announced the adoption of a stock repurchase program (the “September 2024 repurchase program”), authorizing the Company to purchase up to $ 2.0 million of the Company’s outstanding shares of common stock, in the open market, based on prevailing market prices, or in privately negotiated transactions.

1 unchanged sentence

The Company completed the September 2024 repurchase program on February 5, 2025, having repurchased a total of 358,631 shares at an average price of $ 5.58 per share and at a total cost of $ 2.0 million.

All shares repurchased under the September 2024 repurchase program were retired as settled .

All shares repurchased under the September 2024 repurchase program were retired and settled .

On April 29, 2025, the Company’s Board of Directors announced the adoption of a stock repurchase program (the “April 2025 repurchase program”), authorizing the Company to purchase up to $ 2.0 million of the Company’s outstanding shares of common stock, in the open market, based on prevailing market prices, or in privately negotiated transactions.

The Company completed the April 2025 repurchase program on November 17, 2025, repurchasing 383,950 shares at an average price of $ 5.26 per share for a total cost of $ 2.0 million.

All shares repurchased under the April 2025 were retired and settled.

On January 28, 2026, the Company’s Board of Directors announced the adoption of a stock repurchase program (the “January 2026 repurchase program”), authorizing the Company to purchase up to $ 4.0 million of the Company’s outstanding shares of common stock, in the open market, based on prevailing market prices, or in privately negotiated transactions.

The January 2026 repurchase program became effective on February 18, 2026 and will continue until the earlier of the completion of the repurchase limit or 12 months after the effective date, depending upon market conditions.

As of March 31, 2026, the Company had repurchased 130,059 shares at a total cost of $ 697,000 under the January 2026 repurchase program at an average price of $ 5.36 per share .

FAIR VALUE MEASUREMENTS

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GAAP requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs.

GAAP also establishes a fair value hierarchy which prioritizes the valuation inputs into three broad levels.

GAAP also establishes a fair value hierarchy which prioritizes the valuation inputs

into three broad levels.

Based on the underlying inputs, each fair value measurement in its entirety is reported in one of three levels.

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There were no assets measured at estimated fair value on a nonrecurring basis at March 31, 2026 and 2025.

For information regarding the Company’s method for estimating the fair value of individually evaluated loans, see Note 1 – Summary of Significant Accounting Policies – ACL on Loans.

In determining the estimated net realizable value of the underlying collateral, the Company primarily uses third-party appraisals which may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach.

Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available and include consideration of variations in location, size, and income production capacity of the property.

Additionally, the appraisals are periodically further adjusted by the Company in consideration of charges that may be incurred in the event of foreclosure and are based on management’s historical knowledge, changes in business factors and changes in market conditions.

Individually evaluated loans are reviewed and evaluated quarterly for additional reserve and adjusted accordingly based on the same factors identified above.

Because of the high degree of judgment required in estimating the fair value of collateral underlying individually evaluated loans and because of the relationship between fair value and general economic conditions, the Company considers the fair value of individually evaluated loans to be highly sensitive to changes in market conditions.

The following disclosure of the estimated fair value of financial instruments is made in accordance with GAAP.

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Investment securities available for sale

Investment securities held to maturity

Loans receivable, net

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The Company believes that the potential for loss under these arrangements is remote.

At March 31, 2025, the Company had an allowance for FHLMC-serviced loans of $ 12,000 .

At March 31, 2026, the Company had an ACL for FHLMC-serviced loans of $ 12,000 .

The Bank is a public depository and, accordingly, accepts deposit and other public funds belonging to, or held for the benefit of, Washington and Oregon states, political subdivisions thereof, and municipal corporations.

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Litigation –The Company is periodically party to litigation arising in the ordinary course of business, some of which involve claims for substantial or uncertain amounts.

At least quarterly, we assess liabilities and contingencies in connection with all outstanding or new legal matters, utilizing the most recent information available.

At least quarterly, management assesses liabilities and contingencies in connection with all outstanding or new legal matters, utilizing the most recent information available.

For matters where a loss is not probable, or the amount of the loss cannot be estimated, no accrual is established.

If we determine that a loss from a matter is probable and the amount of the loss can be reasonably estimated, we will establish an accrual for the loss.

If management determines that a loss from a matter is probable and the amount of the loss can be reasonably estimated, the Company will establish an accrual for the loss.

Once established, an accrual is adjusted as appropriate to reflect any subsequent developments in the specific legal matter.

It is inherently difficult to estimate

the amount of loss and there may be matters for which a loss is probable or reasonably possible but not currently estimable.

It is inherently difficult to estimate the amount of loss and there may be matters for which a loss is probable or reasonably possible but not currently estimable.

Actual losses may be in excess of any established accrual or the range of reasonably possible loss.

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Any estimate or determination relating to the future resolution of legal matters is uncertain and involves significant judgment.

We usually are unable to determine whether a favorable or unfavorable outcome is remote, reasonably likely, or probable, or to estimate the amount or range of a probable or reasonably likely loss, until relatively late in the process.

The Company was involved in litigation with a former business client concerning real estate investments offered by a business owned by that client.

In May 2023, the parties participated in mediation, after which a stay of proceedings was issued to facilitate continued settlement discussions.

As of March 31, 2024, based on available information, including the likelihood of a proposed global settlement, management determined that a loss was probable and could be reasonably estimated.

Consequently, the Company recorded a $ 2.3 million expense in other non-interest expense for the three months ended March 31, 2024.

This amount reflected the Company’s estimate of litigation costs exceeding its insurance coverage.

In July 2024, the settlement was approved by all relevant courts, and in August 2024, the Company made the final settlement payment of $ 2.3 million.

Management usually is unable to determine whether a favorable or unfavorable outcome is remote, reasonably likely, or probable, or to estimate the amount or range of a probable or reasonably likely loss, until relatively late in the process.

In fiscal year 2024, the Company was involved in litigation with a former business client concerning real estate investments.

Based on the likelihood of a proposed global settlement, management determined that a loss was probable and reasonably estimable as of March 31, 2024, and recorded a $ 2.3 million charge to non-interest expense during the three months ended March 31, 2024, representing the Company’s estimate of litigation costs in excess of applicable insurance coverage.

In July 2024, the settlement was approved by all relevant courts, and in August 2024, the Company made a final settlement payment of $ 2.3 million.

The settlement fully released the Company from all claims related to the litigation.

Following the settlement, the Company received approximately $ 930,000 in legal expense recoveries.

Of this amount, approximately $ 844,000 was recognized in non-interest income, and approximately $ 86,000 was recorded as a reduction of professional fees within non-interest expense.

Subsequently, the Company received approximately $ 930,000 in legal expense recoveries, of which approximately $ 844,000 was recognized in non-interest income, and approximately $ 86,000 was recorded as a reduction of professional fees within non-interest expense, both during the fiscal year ended March 31, 2025.

The matter is fully resolved and the Company has no further liability or exposure related to this litigation.

The Company has a finance lease for the shell of the building constructed as the Company’s operations center which expires in November 2039.

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Certain operating leases contain various provisions for increases in rental rates, based either on changes in the published Consumer Price Index or a predetermined escalation schedule.

Certain operating leases provide the Company with the option to extend the lease term one or more times following expiration of the initial term.

Certain operating leases provide the Company with the option to extend the lease term one or more times

following expiration of the initial term.

Lease extensions are not reasonably certain and the Company generally does not include payments occurring during option periods in the calculation of its operating lease ROU assets and operating lease liabilities.

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consolidated balance sheets

Finance lease ROU assets

Financing lease ROU assets

Finance lease ROU asset

Financing lease ROU asset

Finance lease liability

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Finance lease discount rate

Operating lease ROU assets

Operating lease ROU asset

Prepaid expenses and other assets

Operating lease liabilities

Operating lease liability

Accrued expenses and other liabilities

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Operating lease weighted-average discount rate

The table below presents certain information related to the lease costs for operating leases, which are recorded in occupancy and depreciation in the accompanying consolidated statements of income at the dates indicated (in thousands):

The table below presents certain information related to the lease costs for financing and operating leases, which are recorded in occupancy and depreciation in the accompanying consolidated statements of income (loss) at the dates indicated (in thousands):

March 31, 2026

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Supplemental cash flow information – Operating cash flows paid for operating lease amounts included in the measurement of lease liabilities was $ 1.2 million, $ 1.3 million and $ 1.4 million for the years ended March 31, 2026, 2025 and 2024, respectively.

During the years ended March 31, 2025, 2024 and 2023, the Company did not record any ROU assets that were exchanged for operating lease liabilities.

The following table reconciles the undiscounted cash flows for the periods presented related to the Company’s lease liabilities as of March 31, 2026 (in thousands):

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TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

STATEMENTS OF INCOME

STATEMENTS OF INCOME (LOSS)

FOR THE YEARS ENDED MARCH 31, 2026, 2025 AND 2024

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LOSS OF PARENT COMPANY

EQUITY IN UNDISTRIBUTED INCOME OF THE BANK

EQUITY IN UNDISTRIBUTED (LOSS) INCOME OF THE BANK

NET (LOSS) INCOME

There were no items of other comprehensive income that were solely attributable to the parent company.

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CASH FLOWS FROM OPERATING ACTIVITIES:

Adjustments to reconcile net income to net cash used in operating activities:

Equity in undistributed income of the Bank

Net (loss) income

Adjustments to reconcile net (loss) income to net cash used in operating activities:

Equity in undistributed loss (income) of the Bank

Amortization expense

Provision (benefit) for deferred income taxes

Provision for deferred income taxes

Stock-based compensation expense

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Net cash used in financing activities

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR

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Provision for credit losses

Non-interest income, net

Non-interest income (loss), net

Non-interest expense

Income before income taxes

Provision for income taxes

Basic earnings per common share (1)

Diluted earnings per common share (1)

Income (loss) before income taxes

Provision (benefit) for income taxes

Net income (loss)

Basic earnings (loss) per common share (1)

Diluted earnings (loss) per common share (1)

Interest and dividend income

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Non-interest expense

Income (loss) before income taxes

Provision (benefit) for income taxes

Net (loss) income

Basic earnings (loss) per common share (1)

Diluted earnings (loss) per common share (1)

Income before income taxes

Provision for income taxes

Basic earnings per common share (1)

Diluted earnings per common share (1)

(1) Quarterly earnings per common share may vary from annual earnings per common share due to rounding .

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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 8. Financial Statements and Supplementary Data