ChoiceOne Financial Services (COFS) investor relations material

Executive summary

• Net income for Q1 2026 was $13.7M, up from a net loss of $13.9M in Q1 2025 and slightly down from $13.9M in Q4 2025.

• Diluted EPS was $0.91, compared to a loss of $1.29 in Q1 2025 and $0.92 in Q4 2025.

• Total assets reached $4.4B, an $89.2M increase year-over-year, driven by securities and mortgage warehouse advances.

• Asset quality remains strong, with minimal net charge-offs and stable nonperforming loan ratios.

Financial highlights

• Net interest income for Q1 2026 was $36.6M, up from $26.3M in Q1 2025.

• Net interest margin (GAAP) rose to 3.63% from 3.43% year-over-year.

• Noninterest income increased by $893K year-over-year, driven by higher service charges and commissions.

• Noninterest expense dropped by $9.9M year-over-year, mainly due to the absence of merger-related costs.

• Deposits excluding brokered deposits grew $68.9M sequentially but declined $20.4M year-over-year due to runoff of acquired CDs.

Outlook and guidance

• Management expects continued disciplined growth, focus on operational efficiency, and further investment in staff and technology.

• A new branch in Troy, MI is planned for later in 2026 to support market expansion.

• Estimated $5.8M in accretion income from purchased loans expected for the remainder of 2026, subject to prepayment speeds.