Farmers & Merchants Bancorp (FMAO) AGM 2026 summary

Opening remarks and agenda

• Meeting called to order virtually, emphasizing inclusivity and digital access for shareholders.

• Corporate secretary and Inspector of Election roles established; agenda included three main proposals.

• Shareholders encouraged to submit questions via web portal, with responses to be posted online if not addressed live.

Board and executive committee updates

• Board introduced, including new and existing members; independent auditor and SEC counsel present.

• Ahmed Alomari appointed as director, bringing technology expertise; board leadership transitioned from Andrew Briggs to Kevin J. Sauder.

• Eight of eleven current directors added in the last seven years, reflecting ongoing board renewal.

• Several executive promotions and new hires to strengthen leadership and succession planning.

Financial performance review

• Net income for 2025 increased 28.4% over 2024, reaching a historic high.

• Net interest income after provision for credit losses rose 19.3% year-over-year; five-year CAGR for assets at 12.5%.

• Asset growth driven by a 6% increase in loans, especially in real estate, commercial, and agriculture.

• Net interest margin improved by 56 basis points, adding $17.8 million in revenue.

• Operating efficiency ratio improved from 68.4% in 2023 to 61.99% in 2025.

• Earnings per share rose 27.9% to $2.43; tangible book value increased 15%.

• Return on assets reached nearly 1%, the highest in three years.