Quaint Oak (QNTO) investor relations material

Executive summary

• Net income for Q1 2026 was $166,000 ($0.06 per share), reversing a net loss of $83,000 ($-0.03 per share) in Q1 2025, driven by improved operating trends and non-recurring expenses related to regulatory remediation and SBA loan adjustments.

• Regulatory consent order was lifted during the quarter after successful remediation, with related professional fees not expected to recur at comparable levels.

• Focus remains on disciplined balance sheet management, sustainable earnings growth, and operating efficiency.

Financial highlights

• Net income increased by $249,000 year-over-year, primarily due to a $580,000 decrease in interest expense, $345,000 decrease in provision for credit losses, and $53,000 increase in non-interest income.

• Non-interest expense rose by $580,000, mainly from higher salaries, professional fees, and SaaS expenses.

• Total assets at March 31, 2026 were $643.2 million, down $32.6 million (4.8%) from December 31, 2025, mainly due to declines in loans receivable, loans held for sale, and cash.

• Total deposits decreased by $31.9 million (5.3%) sequentially, reflecting lower checking and certificate of deposit balances.

• Stockholders' equity increased by $171,000 to $52.5 million, supported by net income and stock compensation, partially offset by dividends and treasury stock purchases.

Outlook and guidance

• Management expects improved profitability and continued focus on capital and liquidity strength, with non-recurring remediation expenses not anticipated to recur.