Bogota Financial (BSBK) investor relations material

Executive summary

• Net income for Q1 2026 was $706,000 ($0.06 per share), down from $731,000 in Q1 2025, mainly due to lower non-interest income and higher income tax expense, partially offset by higher net interest income and lower non-interest expense.

• Core operating earnings improved year-over-year, with a 23% increase in net interest income and a net interest margin expansion from 1.66% to 2.20%.

• Total assets decreased by $27.7 million (3.1%) to $877.2 million as of March 31, 2026, mainly from declines in cash, loans, and securities.

• Deposits fell by $51.6 million (7.9%) to $600.9 million, mainly from a $65.4 million drop in certificates of deposit, while borrowings increased by $22.6 million to $115.9 million, reflecting funding shifts.

Financial highlights

• Net interest income rose by $833,000 (23.2%) year-over-year to $4.4 million, driven by improved net interest margin (2.20% vs. 1.66%) and a 48-basis point increase in net interest spread.

• Interest expense declined by $1.3 million (17.3%) due to lower deposit and borrowing costs.

• Non-interest income dropped by $568,000 (63.9%) to $321,000, mainly due to a prior-year death benefit.

• Non-interest expense decreased by $80,000 (2.1%) to $3.78 million, with reductions in salaries, FDIC premiums, and advertising, partially offset by higher professional and occupancy costs.

• Provision for credit losses was $50,000, compared to an $80,000 recovery in Q1 2025, reflecting higher delinquent commercial loans.

Outlook and guidance

• Management expects sufficient liquidity and capital to meet obligations, with ample borrowing capacity and strong regulatory capital ratios.

• Interest rate risk is actively managed, with simulation models indicating exposure within policy limits.

• Management remains focused on sustainable long-term growth, maintaining strong capital and credit quality, and delivering shareholder value.