FB Bancorp (FBLA) investor relations material

Executive summary

• Net income from continuing operations was $1.2 million for the six months ended June 30, 2026, down from $2.4 million year-over-year, primarily due to higher non-interest expenses despite increased non-interest income.

• Net income for the six months ended June 30, 2026, was $49 thousand, down from $1.6 million year-over-year, reflecting a $1.1 million net loss from discontinued operations due to the sale of the mortgage banking segment.

• The sale of the NOLA Lending Group mortgage segment closed March 1, 2026, resulting in discontinued operations losses and a reduction in headcount by 108 employees.

• Total assets decreased to $1.23 billion at June 30, 2026, from $1.26 billion at year-end 2025, with increases in investment securities and borrowings, and decreases in cash, deposits, and equity.

• For the three months ended June 30, 2026, net loss was $70 thousand, compared to net income of $879 thousand in the prior year quarter.

Financial highlights

• Net interest income was $23.7 million for the six months, with a net interest margin of 4.34%, down from 4.63% year-over-year.

• Total interest and dividend income rose 2.1% year-over-year to $33.1 million, driven by a 46.2% increase in investment securities income.

• Non-interest income increased 66.7% to $3.3 million, mainly due to a $1.2 million gain on life insurance proceeds.

• Non-interest expense rose 12.8% to $24.9 million, primarily from higher salaries, benefits, and occupancy costs related to branch expansion and severance.

• Provision for credit losses was $965 thousand, up from $838 thousand year-over-year.

Outlook and guidance

• Remaining losses from discontinued operations are expected to be significantly less in the final months of 2026 as the mortgage banking segment is fully absorbed.

• Management expects to maintain sufficient liquidity and capital, with a focus on growing core deposits and commercial lending.

• Annual savings of $749 thousand are anticipated from reorganization changes.