BAKERSFIELD, Calif., April 27, 2026 /PRNewswire/ -- Mission Bancorp ("Mission" or the "Company") (OTC Pink: MSBC), a bank holding company and parent of Mission Bank (the "Bank"), reported unaudited net income available to common shareholders of $7.7 million, or $2.58 per diluted common share, for the first quarter of 2026, compared to net income available to common shareholders of $7.2 million, or $2.41 per diluted common share, for the first quarter of 2025, and net income available to common shareholders of $8.2 million, or $2.74 per diluted common share, for the linked quarter.
"Mission Bank is proud to report solid first quarter results with net income of $7.7 million, a 7% increase year over year, and annual loan growth of 14.5%." says Mission Bank President and CEO A.J. Antongiovanni. "Our strategy of focusing on the highest quality of business in each of our markets continues to pay off with strong loan growth and modest deposit growth leading to moderate net interest margin expansion despite challenging times. We are excited for new opportunities in the second quarter as we open a lending and deposit production center in North San Luis Obispo County and a Business Banking Center in Westlake Village. Our superior service and relationship-driven business model has proved successful at scale, and we are looking forward to deepening our relationships in every community we serve."
First Quarter 2026 Financial Highlights
- Gross loans increased by $188.9 million, or 14.5%, to $1.49 billion as of March 31, 2026, compared to $1.30 billion as of March 31, 2025, and increased by $27.0 million, or 1.8%, compared to December 31, 2025, balances.
- Total deposits increased by $15.8 million, or 1.0%, to $1.67 billion as of March 31, 2026, compared to $1.65 billion a year earlier, and increased by $11.7 million, or 0.7%, from $1.66 billion as of December 31, 2025. Non-interest-bearing deposits were $647.0 million and represent 38.8% of total deposits as of March 31, 2026.
- The allowance for credit losses ("ACL") as a percentage of gross loans declined from 1.50% as of December 31, 2025, to 1.35% as of March 31, 2026.
- Credit quality remains strong with nonaccrual loans representing 0.01% of total gross loans as of March 31, 2026, down from 0.18% as of December 31, 2025.
- The Community Bank Leverage Ratio for the Bank as of March 31, 2026, was 12.19%, compared to 11.47% as of March 31, 2025.
Net Income Available to Common Shareholders
Net income available to common shareholders for the first quarter of 2026 was $7.7 million, or $2.58 per diluted common share, compared with $8.2 million, or $2.74 per diluted common share, for the linked quarter ended December 31, 2025. Net income available to common shareholders was $7.2 million, or $2.41 per diluted common share, for the first quarter of 2025. Net income available to common shareholders decreased $0.5 million, or 6.1%, compared to the linked quarter, and increased by $0.5 million, or 7.0%, compared to the same prior year period.
Notable variances compared to the linked quarter include an increase in non-interest expense and a decrease in net interest income, which were partially offset by decreases in credit loss expense and provision for income taxes. Compared to the first quarter of 2025, an increase in net interest income was partially offset by increases in non-interest expense and credit loss expense.
Net Interest Income
Net interest income was $19.8 million, or 4.39%, of average earning assets ("net interest margin"), for the first quarter of 2026, compared with $17.8 million, or a net interest margin of 4.06%, for the same prior year period, and $20.2 million, or a net interest margin of 4.31%, for the quarter ended December 31, 2025.
Net interest income increased by $1.9 million, or 10.8%, compared to the same prior year period, primarily due to growth in the Company's loan portfolio coupled with relatively stable loan yields, and lower funding costs. Loan interest income and fee accretion increased by $2.5 million compared to the first quarter of 2025, partially offset by $1.4 million lower interest income on interest earning deposits in other banks and $0.3 million lower interest income on investment securities. Additionally, interest expense declined $1.0 million compared to the same prior year period, primarily due to lower deposit costs, and lower average balances and rates paid for subordinated debentures.
Net interest income decreased by $0.5 million, or 2.4%, for the quarter ended March 31, 2026, compared to the linked quarter, primarily reflecting a lower number of days in the period, along with lower yields on certain interest earning assets, particularly interest earning deposits in other banks and investment securities, which were partially offset by a favorable shift in earning-asset mix toward higher yielding loans and reduced deposit costs. Interest income on interest earning deposits in other banks declined $0.8 million, primarily due to lower average balances and rates, and interest income on investment securities declined $0.2 million, reflecting lower yields, while interest income on loans rose $0.1 million, driven by higher average balances that offset lower loan yields. Interest expense declined $0.4 million compared to the linked quarter, primarily due to lower deposit costs and lower average balances on interest-bearing deposits.
The net interest margin was 4.39% for the quarter ended March 31, 2026, compared to 4.06% for the same prior year period, and 4.31% for the linked quarter ended December 31, 2025. During the past year, the cost of interest-bearing liabilities declined 43 basis points, while a continued shift in earning-asset mix toward higher yielding loans offset lower yields on other earning assets, resulting in relatively stable earning asset yield and a 33 basis point year-over-year expansion in the quarterly net interest margin. The Federal Reserve began lowering rates in the latter half of 2024, lowering the federal funds rate 175 basis points from its peak range, impacting the shorter end of the yield curve and reducing yields on interest-bearing deposits in other banks, as well as the Company's variable rate loans and investment securities. These rate reductions also resulted in lower deposit costs, which, combined with robust loan growth, supported earning asset yields resulting in net interest margin expansion.
The 8 basis point increase in the net interest margin for the first quarter of 2026, compared to the linked quarter, primarily reflects a modest increase in earning asset yields, combined with a continued favorable shift in the earning-asset mix toward higher yielding loans. These benefits were further supported by a decline in interest bearing deposit costs.
The yield on loans, interest earning deposits in other banks, and investment securities decreased by 4 basis points to 6.37%, 70 basis points to 3.70%, and 50 basis points to 3.42%, respectively, compared to the same prior year period. Additionally, average balances on loans increased $169.7 million, or 13.1%, average balances on interest earning deposits in other banks decreased $128.4 million, or 55.3%, and average balances on investment securities were relatively unchanged. The cost of interest-bearing deposits decreased 41 basis points to 2.59%, while the average balances of interest-bearing deposits increased $8.7 million, or 0.86%. The cost of subordinated debentures decreased 76 basis points to 4.19%, and average balances decreased $9.9 million, or 45.3%.
For the quarter ended March 31, 2026, the yield on loans, interest bearing deposits in other banks, and investment securities decreased by 6 basis points to 6.37%, 28 basis points to 3.70%, and 12 basis points to 3.42%, respectively, compared to the linked quarter. Average balances on loans increased $50.7 million, or 3.57%, average balances on interest earning deposits in other banks and investment securities decreased $82.0 million, or 44.2%, and $4.8 million, or 1.96%, respectively. The cost of interest-bearing deposits decreased 6 basis points to 2.59%, and average balances on interest-bearing deposits decreased $15.1 million, or 1.47%.
The cost of funds was 1.61% for the quarter ending March 31, 2026, a decrease of 28 basis points compared to 1.89%, for the same prior year period, and a 2 basis point decrease compared to 1.63%, for the linked quarter ending December 31, 2025. The decrease in the Company's cost of funds is generally attributable to recent Federal Reserve rate cuts, which has provided some relief in deposit cost pressures. The Bank has continued to grow its total deposit accounts through both new customer acquisition and the expansion of existing relationships over the past year. At the same time, some rate-sensitive clients have opted for higher yielding investment options.
The Company holds two pay-fixed, receive floating, interest rate swap contracts, with notional balances totaling $108 million, to hedge against rising rates on a portion of its fixed rate loan and investment securities portfolios. Combined, interest rate swap contracts contributed $0.1 million of interest expense for the first quarter of 2026, compared to a nominal amount for the linked quarter, and $0.1 million interest income for the first quarter of the prior year.
Provision for Credit Losses
A $0.7 million provision for credit losses was recorded for the quarter ended March 31, 2026, compared to $1.2 million for the linked quarter, and $0.2 million for the same prior year period. The Company's quarterly credit loss provisions over the past year have been recorded primarily to account for loan growth and changes in macro-economic conditions, which impact the calculated ACL under the current expected credit loss ("CECL") model, rather than in response to changing conditions in the Company's loan portfolio, which has remained stable, demonstrating a low credit risk profile during the past twelve months. During the first quarter, certain loans for which specific reserves were recorded in prior quarters were charged off, consistent with the Company's established credit risk management framework.
Non-Interest Income
Non-interest income increased $0.1 million, or 4.9%, to $1.6 million for the quarter ended March 31, 2026, compared to $1.5 million for the linked quarter, and was relatively unchanged compared to the same prior year period. Compared to the linked quarter, increases in SBA servicing fees and gain on sale of loans were partially offset by lower service charges, fees and other income, as well as a decline in Farmer Mac referral and servicing fee income. When compared to the same prior year period, increases in SBA servicing fees and gain on sale of loans and Farmer Mac referral and servicing fee income were largely offset by a decline in service charges, fees and other income. SBA sales activity during the prior quarter was partially impacted by the federal government shutdown.
Non-Interest Expense
Non-interest expense increased by $0.9 million, or 10.3%, to $10.0 million for the quarter ended March 31, 2026, compared to $9.1 million for the linked quarter, and increased by $0.8 million, or 8.6%, compared to $9.2 million for the quarter ended March 31, 2025.
The increase in non-interest expense for the first quarter of 2026, compared to the linked quarter, was primarily due to a $0.9 million increase in salaries and benefits expense, driven by higher beginning-of-year payroll taxes, increased stock-based compensation, and other compensation accruals. Additionally, base compensation and benefits costs attributable to new hires in our North San Luis Obispo County office, contributed to the increase in non-interest expense.
The increase in non-interest expense for the first quarter of 2026 compared to the same prior year period was primarily due to an $0.8 million increase in salaries and benefits expense attributable to new hires, including the North San Luis Obispo County team, net of terminations, along with higher incentive compensation, equity compensation, and related payroll taxes and benefit expenses.
Operating Efficiency
The Company's operating efficiency ratio decreased to 46.9% for the first quarter of 2026, compared to 47.5% for the first quarter of 2025, and increased compared to 41.8% for the linked quarter. Total non-interest expense as a percentage of average assets, another measure of the Company's efficiency, was 2.13% for the first quarter of 2026, compared to 2.01% for the first quarter of 2025, and 1.86% compared to the quarter ended December 31, 2025.
Income Taxes
Income tax expense was $3.0 million for the first quarter of 2026, compared to $2.9 million for the quarter ended March 31, 2025, and $3.4 million for the linked quarter ended December 31, 2025. The Company's effective tax rate for the first quarter of 2026 was 27.9%, compared to 28.8% for the same prior year period, and 29.1% for the quarter ending December 31, 2025.
Asset and Equity Returns
The return on average equity for the first quarter of 2026 was 13.8%, down from 15.0% for the same prior year period, and down from 14.9% for the linked quarter. The quarterly return on average assets for the first quarter of 2026 was 1.63%, up from 1.56% from the same prior year period, and down from 1.66% for the linked quarter.
The decline in the quarterly return on average equity for the quarter ended March 31, 2026, compared to the same prior year period, is primarily attributable to the growth in average equity outpacing the growth in quarterly net income, while the rise in quarterly return on average assets for the quarter ended March 31, 2026, is primarily attributable to growth in quarterly net income outpacing average asset growth. Compared to the same prior year period, average equity grew 16.7%, quarterly net income grew 7.0%, and average assets grew 2.11%.
The decline in quarterly returns on both average equity and average assets for the quarter ended March 31, 2026, compared to the linked quarter, is primarily attributable to the marginal decline in quarterly net income, combined with growth in quarterly average equity and a reduction in quarterly average assets.
Balance Sheet
Total assets increased by $37.0 million, or 2.0%, to $1.92 billion as of March 31, 2026, compared to March 31, 2025, and increased by $20.8 million, or 1.1%, compared to December 31, 2025. Cash and cash equivalents decreased by $150.9 million, or 50.2%, to $149.7 million as of March 31, 2026, compared to the same prior year period, and decreased by $3.6 million, or 2.4%, compared to December 31, 2025.
The decrease in the Company's cash position over the past year reflects robust loan growth, which outpaced deposit growth, along with the repayment of subordinated debentures. The decrease in the Company's cash position over the past quarter reflects continued strong lending activity, which outpaced deposit growth.
Investment securities decreased by $3.2 million or 1.3%, to $238.7 million as of March 31, 2026, compared to $241.9 million as of March 31, 2025, and decreased by $3.9 million, or 1.6%, compared to $242.7 million as of December 31, 2025. The decline in the investment securities portfolio over the past year primarily reflects normal repayment and amortization of the bond portfolio, net of a decline in unrealized losses on the investment securities portfolio attributable to market rate changes. During the year, the Company continued to selectively deploy excess liquidity into higher yielding investment securities. The decrease in the investment portfolio during the first quarter of 2026, compared to the linked quarter, reflected normal repayment and amortization of the bond portfolio and a marginal decline in unrealized losses on the investment securities portfolio attributable to market rate changes during the quarter.
Loans increased by $188.9 million, or 14.5%, to $1.49 billion as of March 31, 2026, compared to March 31, 2025, and increased by $27.0 million, or 1.8%, compared to December 31, 2025. Loan growth during the last year reflected a diversified mix across almost every loan category, offset only by contraction in agricultural production loans. Loan growth during the last quarter was concentrated in construction and land development, commercial real estate, and loans secured by farmland, with notable contractions in agricultural production and residential 1 to 4 family loans.
Total deposits increased by $15.8 million, or 1.0%, to $1.67 billion as of March 31, 2026, from $1.65 billion as of March 31, 2025, and increased by $11.7 million, or 0.7%, compared to December 31, 2025. Non-interest-bearing deposits increased by $20.3 million, or 3.2%, during the last year, and decreased by $15.8 million, or 2.4%, since December 31, 2025. The increase in deposits over the past year reflects an increase in average balances among existing customers, a declining account closure ratio, and stable new account openings. Non-interest-bearing deposits represented 38.8% of total deposits on March 31, 2026.
During the quarter ended June 30, 2025, the Company repaid $10 million of subordinated debentures at the end of their fixed term, resulting in a year over year decline in subordinated debentures.
Total shareholders' equity was $228.9 million as of March 31, 2026, an increase of $31.2 million, or 15.8%, compared to March 31, 2025, and an increase of $8.6 million, or 3.9%, compared to December 31, 2025, primarily due to quarterly earnings, net of changes in accumulated other comprehensive loss. The accumulated other comprehensive loss component of equity decreased by $3.7 million during the year, primarily reflecting a $5.3 million decline in unrealized losses on the investment securities portfolio. The accumulated other comprehensive loss component of equity decreased by $0.4 million during the quarter due to a decline in the unrealized losses on the interest rate swap contracts.
Allowance for Credit Losses and Credit Quality
The ACL as a percentage of gross loans decreased to 1.35% as of March 31, 2026, from 1.50% as of December 31, 2025, and 1.51% from March 31, 2025. The ACL as a percentage of gross loans decreased during the quarter, due to charge-offs of previously established specific reserves on individually analyzed loans, while the overall credit profile of the loan portfolio has remained stable over the past twelve months.
Nonperforming assets were $0.1 million as of March 31, 2026, down from $2.6 million as of December 31, 2025, and down from $0.9 million as of March 31, 2025. Nonperforming assets as a percentage of total assets were 0.01% as of March 31, 2026, down from 0.14% as of December 31, 2025, and down from 0.05% as of March 31, 2025.
Regulatory Capital
The Bank's reported regulatory capital ratio exceeded the ratio generally required to be considered a "well capitalized" financial institution for regulatory purposes. The Community Bank Leverage Ratio for the Bank was 12.19%, as of March 31, 2026, compared with the requirement of 9.00% to generally be considered a "well capitalized" financial institution for regulatory purposes. The Bank's Community Bank Leverage ratio has increased by 72 and 58 basis points, from 11.47% and 11.61%, as of the periods ended March 31, 2025, and December 31, 2025, respectively. During the past year, earnings growth outpaced the combined impact of growth in average assets and dividends paid by the Bank to the Company, resulting in an increase in the Bank's Community Bank Leverage ratio compared to the prior year.
Stock Repurchase Program and Stock Dividend
On October 27, 2025, the Company announced the extension of its plan Rule 10b5-1 (the "2022 10b5-1 Plan") to facilitate the repurchase of its common stock. Pursuant to the 2022 10b5-1 Plan, a maximum of $3.0 million of the Company's common stock may be repurchased by the Company. The 2022 10b5-1 Plan was set to expire on April 23, 2026, and has been extended for an additional 6 months through October 22, 2026. In connection with the extension, the Company has increased the Plan's authorized common stock repurchase amount by $1.95 million, bringing the total authorized repurchase to a maximum of $4.95 million. Remaining funds associated with the prior authorization will be removed from the Plan and the Company may suspend or discontinue the Plan at any time. Hilltop Securities, Inc. is acting as the Company's agent to purchase its shares on pre-arranged terms pursuant to the 2022 10b5-1 Plan. During the first quarter of 2026 the Company repurchased 1,650 shares under the 2022 10b5-1 Plan at an average price of $94.50. Since Plan inception the Company has repurchased 34,576 shares at an average price of $92.28.
Recognizing another year of strong performance and execution, the Company has declared a 5.00% stock dividend, which will be issued on June 1, 2026 ("the Effective Date"), to shareholders of record as of May 18, 2026 ("the Record Date"). The financial results, including earnings per share, and book value per share, reported in this press release have been adjusted to reflect the impact of the 5% stock dividend.
About Mission Bancorp and Mission Bank
With $1.9 billion in assets, Mission Bancorp is headquartered in Bakersfield, California and is the holding company of three wholly owned subsidiaries, Mission Bank, Mission 1031 Exchange, LLC, and Mission Community Development, LLC. Mission Bank has seven Business Banking Centers, serving the greater areas of Bakersfield, Lancaster, San Luis Obispo, Ventura, and Visalia, California. Visit Mission Bank online at www.missionbank.bank. By including the foregoing website address, Mission Bancorp does not intend to and shall not be deemed to incorporate by reference any material contained therein.
Forward Looking Statements
This press release includes "forward-looking statements," as such term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on the current beliefs of the Company's directors and executive officers (collectively, "Management"), as well as assumptions made by and information currently available to the Company's Management. All statements regarding the Company's business strategy and plans and objectives of Management of the Company for future operations, are forward-looking statements. When used in this press release, the words "anticipate," "believe," "estimate," "expect" and "intend" and words or phrases of similar meaning, as they relate to the Company or the Company's Management, are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from the Company's expectations ("cautionary statements") are loan losses, rapid and unanticipated deposit withdrawals, unavailability of sources of liquidity, additional regulatory requirements that may be imposed on community banks or banks generally, changes in interest rates, loss of key personnel, lower lending limits and capital than competitors, regulatory restrictions and oversight of the Company, the secure and effective implementation of technology, risks related to the local and national economy, changes in real estate values, the Company's implementation of its business plans and management of growth, loan performance, interest rates, and regulatory matters, the effects of trade, monetary and fiscal policies, inflation, and changes in accounting policies and practices. Based upon changing conditions, if any one or more of these risks or uncertainties materialize, or if any underlying assumptions prove incorrect, actual results may vary materially from those described as anticipated, believed, estimated, expected, or intended. The Company does not intend to update these forward-looking statements.
MISSION BANCORP
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(Dollars in thousands)
Variance
March 31, 2026 December 31, 2025 September 30, 2025 March 31, 2025 03/26 -12/25 03/26 -03/25
Assets
Cash and due from banks $49,126 $45,285 $45,853 $50,339 $3,841 $(1,213)
Interest earning deposits in other banks 100,536 107,983 207,788 250,205 (7,447) (149,669)
Total cash and cash equivalents 149,662 153,268 253,641 300,544 (3,606) (150,882)
Interest earning deposits maturing over
ninety days 245 490 490 490 (245) (245)
Investment securities available-for-sale,
at fair value 238,742 242,660 248,109 241,925 (3,918) (3,183)
Loans 1,487,673 1,460,676 1,416,607 1,298,780 26,997 188,893
Allowance for credit losses (20,122) (21,909) (20,799) (19,580) 1,787 (542)
Loans, net 1,467,551 1,438,767 1,395,808 1,279,200 28,784 188,351
Premises and equipment, net 2,632 2,636 2,762 2,855 (4) (223)
Bank owned life insurance 22,694 22,534 22,372 22,054 160 640
Deferred tax asset, net 15,187 15,346 15,027 16,046 (159) (859)
Interest receivable and other assets 27,493 27,754 28,575 24,119 (261) 3,374
Total Assets $1,924,206 $1,903,455 $1,966,784 $1,887,233 $20,751 $36,973
Liabilities and Shareholders' Equity
Deposits
Noninterest-bearing demand $647,042 $662,809 $671,285 $626,723 $(15,767) $20,319
Interest bearing 1,021,068 993,554 1,057,847 1,025,549 27,514 (4,481)
Total deposits 1,668,110 1,656,363 1,729,132 1,652,272 11,747 15,838
Subordinated debentures, net of
issuance costs 11,999 11,988 11,977 21,952 11 (9,953)
Interest payable and other
liabilities 15,199 14,800 13,929 15,282 399 (83)
Total Liabilities 1,695,308 1,683,151 1,755,038 1,689,506 12,157 5,802
Shareholders' Equity
Common stock 101,404 100,846 101,495 89,829 558 11,575
Retained earnings 141,250 133,594 125,444 125,400 7,656 15,850
Accumulated other comprehensive loss (13,756) (14,136) (15,193) (17,502) 380 3,746
Total shareholders' equity 228,898 220,304 211,746 197,727 8,594 31,171
Total Liabilities and Shareholders' Equity $1,924,206 $1,903,455 $1,966,784 $1,887,233 $20,751 $36,973
SBA Paycheck Protection Program Loans 81 257 306 414 (176) (333)
MISSION BANCORP
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(Dollars in thousands)
For the Three Months Ended
Variance
March 31, 2026 December 31, 2025 March 31, 2025 03/26 -12/25 03/26 -03/25
Interest and Dividend Income
Loans $23,069 $22,969 $20,533 $100 $2,536
Investment securities 2,034 2,200 2,334 (166) (300)
Other 1,262 2,075 2,673 (813) (1,411)
Total interest and dividend
income 26,365 27,244 25,540 (879) 825
Interest Expense
Other deposits 6,180 6,534 6,587 (354) (407)
Time deposits 303 350 859 (47) (556)
Total interest expense on
deposits 6,483 6,884 7,446 (401) (963)
Subordinated debentures 124 124 268 (144)
Total interest expense 6,607 7,008 7,714 (401) (1,107)
Net Interest Income 19,758 20,236 17,826 (478) 1,932
Credit Loss Expense 709 1,166 155 (457) 554
Net Interest Income After Provision
for Credit Losses 19,049 19,070 17,671 (21) 1,378
Non-Interest Income
Gain on sale of premises and
equipment - 2 (2)
Service charges, fees and
other income 947 1,073 1,065 (126) (118)
Farmer Mac referral and
servicing fees 305 390 287 (85) 18
SBA servicing fees and gain
on sale of loans 343 57 240 286 103
Total non-interest income 1,595 1,520 1,594 75 1
Non-Interest Expense
Salaries and benefits 6,701 5,835 5,935 866 766
Professional services 1,019 1,109 1,039 (90) (20)
Occupancy and equipment 579 591 576 (12) 3
Data processing and
communication 401 441 367 (40) 34
Other 1,322 1,112 1,310 210 12
Total non-interest expense 10,022 9,088 9,227 934 795
Net Income Before Provision for Income Taxes 10,622 11,502 10,038 (880) 584
Provision for Income Taxes 2,966 3,352 2,886 (386) 80
Net Income $7,656 $8,150 $7,152 $(494) $504
MISSION BANCORP
FINANCIAL HIGHLIGHTS
(Unaudited)
(Dollars in thousands, except per share data)
As of or for the Three Months Ended
March 31, 2026 December 31, 2025 September 30, 2025 March 31, 2025
Ratio of total loans to total deposits 89.18 % 88.19 % 81.93 % 78.61 %
Return on average assets 1.63 % 1.66 % 1.77 % 1.56 %
Return on average equity 13.75 % 14.88 % 16.71 % 14.99 %
Net interest margin 4.39 % 4.31 % 4.27 % 4.06 %
Efficiency ratio 46.93 % 41.77 % 41.68 % 47.51 %
Non-interest expense as a percent of average assets 2.13 % 1.86 % 1.86 % 2.01 %
Non-interest income as a percent of average assets 0.34 % 0.31 % 0.38 % 0.35 %
Community Bank Leverage Ratio 12.19 % 11.61 % 11.29 % 11.47 %
Weighted average shares outstanding - basic* 2,915,833 2,915,960 2,919,226 2,915,337
Weighted average shares outstanding - diluted* 2,973,018 2,974,207 2,977,021 2,965,721
Shares outstanding at period end - basic* 2,924,017 2,908,717 2,917,759 2,925,878
Earnings per share - basic $2.63 $2.80 $2.96 $2.45
Earnings per share - diluted $2.58 $2.74 $2.90 $2.41
Total assets $1,924,206 $1,903,455 $1,966,784 $1,887,233
Loans and leases net of deferred fees $1,487,673 $1,460,676 $1,416,607 $1,298,780
Noninterest-bearing demand deposits $647,042 $662,809 $671,285 $626,723
Total deposits $1,668,110 $1,656,363 $1,729,132 $1,652,272
Noninterest-bearing deposits as a percentage total deposits 38.79 % 40.02 % 38.82 % 37.93 %
Average total assets $1,904,171 $1,942,161 $1,940,923 $1,864,899
Average total equity $225,734 $217,268 $205,128 $193,498
Shareholders' equity / total assets 11.90 % 11.57 % 10.77 % 10.48 %
Book value per share $78.28 $75.74 $72.57 $67.58
*Outstanding shares adjusted for 5% dividend declared on April 23, 2026.
MISSION BANCORP
AVERAGE BALANCES AND RATES
(Unaudited)
(Dollars in thousands)
For the Quarter Ended For the Quarter Ended For the Quarter Ended
March 31, 2026 December 31, 2025
March 31, 2025
Average Income / Yield / Average Income / Yield / Average Income / Yield /
Balance Expense Rate Balance Expense Rate Balance Expense Rate
Assets
Interest earning deposits in other banks $103,689 $945 3.70 % $185,641 $1,862 3.98 % $232,078 $2,519 4.40 %
Investment
securities 241,475 2,034 3.42 % 246,307 2,200 3.54 % 241,737 2,334 3.92 %
Loans 1,468,635 23,069 6.37 % 1,417,946 22,969 6.43 % 1,298,947 20,533 6.41 %
Other earning
assets 11,047 317 11.64 % 11,039 213 7.66 % 9,026 154 6.92 %
Total Earning Assets 1,824,846 26,365 5.86 % 1,860,933 27,244 5.81 % 1,781,788 25,540 5.81 %
Non-interest earning assets 79,325 81,228 83,111
Total
Assets $1,904,171 $1,942,161 $1,864,899
Liabilities and Capital
Interest-bearing deposits
Interest-bearing transaction
accounts $939,521 $6,128 2.65 % $952,088 $6,504 2.71 % $878,043 $6,541 3.02 %
Time deposits 47,374 303 2.59 % 49,906 350 2.78 % 92,409 859 3.77 %
1031 Exchange deposits 28,630 52 0.74 % 28,630 30 0.42 % 36,369 46 0.51 %
Total interest-bearing
deposits 1,015,525 6,483 2.59 % 1,030,624 6,884 2.65 % 1,006,821 7,446 3.00 %
Borrowed funds
Subordinated debt 11,992 124 4.19 % 11,982 124 4.11 % 21,941 268 4.95 %
Total interest-bearing
liabilities 1,027,517 6,607 2.61 % 1,042,606 7,008 2.67 % 1,028,762 7,714 3.04 %
Noninterest-bearing deposits 634,081 666,460 625,981
Total Funding 1,661,598 6,607 1.61 % 1,709,066 7,008 1.63 % 1,654,743 7,714 1.89 %
Other noninterest-bearing liabilities 16,839 15,827 16,658
Total Liabilities 1,678,437 1,724,893 1,671,401
Total Capital 225,734 217,268 193,498
Total Liabilities and
Capital $1,904,171 $1,942,161 $1,864,899
Net Interest
Margin 4.39 % 4.31 % 4.06 %
Net Interest
Spread 4.25 % 4.18 % 3.92 %
MISSION BANCORP
LOAN DETAIL
(Unaudited)
(Dollars in thousands)
Variance
March 31, 2026 December 31, 2025 September 30, 2025 March 31, 2025 03/26 -12/25 03/26 -03/25
Loans
Construction and land
development $85,555 $66,699 $63,454 $64,330 $18,856 $21,225
Secured by farmland 174,088 169,321 155,882 138,903 4,767 35,185
Residential 1 to 4 units 63,520 67,567 67,517 60,385 (4,047) 3,135
Multi-family 80,771 78,342 72,470 57,367 2,429 23,404
Owner occupied commercial
real estate 532,534 525,130 515,348 498,524 7,404 34,010
Non-owner occupied
commercial real estate 265,092 256,052 257,864 217,358 9,040 47,734
Commercial and industrial 200,915 203,716 194,741 172,577 (2,801) 28,338
Agricultural production 88,053 95,964 92,042 91,585 (7,911) (3,532)
Other loans 194 934 240 328 (740) (134)
Net deferred
fees-costs (3,049) (3,049) (2,951) (2,577) (472)
Total Loans $1,487,673 $1,460,676 $1,416,607 $1,298,780 $26,997 $188,893
MISSION BANCORP
Credit Quality
(Unaudited)
(Dollars in thousands)
March 31, 2026 December 31, 2025 September 30, 2025 March 31, 2025
Asset quality
Loans past due 90 days or more and accruing interest
$ -
$ -
$ -
$ -
Nonaccrual loans $130 $2,624 $717 $871
Restructured loans
Nonperforming restructured
loans
$ -
$ -
$ -
$ -
Performing restructured loans
$ -
$ -
$ -
$ -
Other real estate owned
$ -
$ -
$ -
$ -
Total nonperforming assets $130 $2,624 $717 $871
Allowance for credit losses to total loans 1.35 % 1.50 % 1.47 % 1.51 %
Allowance for credit losses to nonperforming loans 15478.46 % 834.95 % 2901.06 % 2247.99 %
Nonaccrual loans to total loans 0.01 % 0.18 % 0.05 % 0.07 %
Nonperforming assets to total assets 0.01 % 0.14 % 0.04 % 0.05 %
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SOURCE Mission Bank
A.J. Antongiovanni, President, and Chief Executive Officer, 661.859.2517; Jason Castle, Chief Operating Officer, and Chief Financial Officer, 661.437.4418