Bank7 (BSVN) investor relations material

Executive summary

• Achieved strong Q3 2025 results with net income of $10.8M and diluted EPS of $1.13, driven by core earnings and no share repurchases.

• Return on average assets (ROAA) was 2.33% and return on average tangible common equity (ROATCE) was 19.07%, maintaining top-tier performance.

• Total assets grew to $1.9B, up 3% from Q2 2025, with pre-provision pre-tax earnings (PPE) of $14.9M, up 1.29% quarter-over-quarter.

• Maintained strong capital ratios and abundant liquidity, supporting growth in dynamic markets.

• All key elements—liquidity, capital, earnings, and margin—are performing well, positioning the institution favorably.

Financial highlights

• Net interest margin for Q3 2025 was 5.07%, with core NIM at 4.67% excluding loan fees; some compression expected in Q4 due to rate cuts.

• Total loans reached $1.53B, up 2.5% sequentially; total deposits increased to $1.64B, up 2.7% from Q2 2025.

• Pre-provision pre-tax earnings (PPE) were $14.9M, up 1.3% sequentially.

• Loan fee income contributed about 40 basis points to margin, but is expected to normalize.

• Core fee income and non-interest expense are anticipated to remain at Q3 levels, with $1M in core fee and $9–9.5M in non-interest expense.

Outlook and guidance

• Expecting high single-digit year-over-year loan growth to continue into Q4 and 2026.

• Net interest margin projected to compress slightly to 4.50%–4.47% if further rate cuts occur.

• Positioned to benefit from future rate cuts, with 60.32% of floating rate deposits able to capture most of the next 25 bps rate reduction.

• Mortgage business expected to remain slow but may improve in 2026 if market conditions change.

• Management remains focused on organic growth and selective branch expansion.