Loans HFI, at fair value, includes SBA 7(a) loans originated by NSBF. On occasion, NSBF has distributed loans to NewtekOne that were originated as SBA 7(a) loans by NSBF where the SBA guarantee has been subsequently repurchased by NSBF. The following table shows the Company’s loan portfolio by collateral type for loans HFI, at fair value:


	Loans HFI, at Fair Value
	December 31, 2025				December 31, 2024
	Cost		Fair Value		Cost		Fair Value
CRE	$	131,015	$	138,110	$	162,894	$	175,353
Residential Real Estate	52,229		50,539		69,667		67,474
Machinery and Equipment¹	46,552		43,266		60,460		56,454
Accounts Receivable and Inventory	43,944		38,670		59,449		54,267
Unsecured	4,295		4,259		5,643		5,644
Other²	8,619		6,354		13,033		10,554
Total	$	286,654	$	281,198	$	371,146	$	369,746

Loans HFI, at amortized cost, net of deferred fees and costs, includes unguaranteed portions of SBA 7(a) loans, guaranteed portions of SBA 7(a) loans repurchased from the secondary market, CRE, and C&I loans originated and held by Newtek Bank. The following table shows the Company’s loan portfolio by loan type for loans HFI, at amortized cost:


	Loans HFI, at Amortized Cost
	December 31, 2025		December 31, 2024
SBA	$	539,746	$	380,981
CRE	274,194		191,831
C&I	80,380		47,558
Total Loans	894,320		620,370
Deferred fees and costs, net	2,369		1,281
Loans held for investment, at amortized cost, net of deferred fees and costs	$	896,689	$	621,651


	As of December 31, 2025
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Accounted for Under the FV Option
	30-59 Days		60-89 Days		90+ Days
SBA, at fair value	$	10,843	$	5,903	$	2,732	$	72,543	$	92,021	$	189,177	$	281,198

	As of December 31, 2024
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Accounted for Under the FV Option
	30-59 Days		60-89 Days		90+ Days
SBA, at fair value	$	23,158	$	18,400	$	9,268	$	67,304	$	118,130	$	251,616	$	369,746


	As of December 31, 2025
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Carried at Amortized Cost
	30-59 Days		60-89 Days		90+ Days
At amortized cost
SBA	$	9,740	$	5,628	$	—	$	74,008	$	89,376	$	450,370	$	539,746
CRE	—		—		—		2,976		2,976		271,218		274,194
C&I	5,089		98		—		1,830		7,017		73,363		80,380
Total, at amortized cost	$	14,829	$	5,726	$	—	$	78,814	$	99,369	$	794,951	$	894,320
Deferred fees and costs													2,369
Total, at amortized cost net of deferred fees and costs													$	896,689
Allowance for credit losses													(45,226)
Total, at amortized cost, net													$	851,463


	As of December 31, 2024
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Carried at Amortized Cost
	30-59 Days		60-89 Days		90+ Days
At amortized cost
SBA	$	11,264	$	9,046	$	—	$	21,706	$	42,016	$	338,965	$	380,981
CRE	—		—		—		2,635		2,635		189,196		191,831
C&I	275		—		—		—		275		47,283		47,558
Total, at amortized cost	$	11,539	$	9,046	$	—	$	24,341	$	44,926	$	575,444	$	620,370
Deferred fees and costs													1,281
Total, at amortized cost net of deferred fees and costs													$	621,651
Allowance for credit losses													(30,233)
Total, at amortized cost, net													$	591,418

The Company uses internal loan reviews to assess the performance of individual loans. In addition, an independent review of the loan portfolio is performed annually by an external firm. The goal of the Company’s annual review of each borrower’s financial performance is to validate the adequacy of the risk grade assigned.

The Company uses a grading system to rank the quality of each loan. The grade is periodically evaluated and adjusted as performance dictates. Loan grades 1 through 4 are passing grades and grade 5 is special mention. Collectively, grades 6 through 7 represent classified loans in Newtek Bank’s portfolio. The following guidelines govern the assignment of these risk grades:

Exceptional (1 Rated): These loans are of the highest quality, with strong, well-documented sources of repayment. These loans will typically have multiple demonstrated sources of repayment with no significant identifiable risk to collection, exhibit well-qualified management, and have liquid financial statements relative to both direct and indirect obligations.

Quality (2 Rated): These loans are of very high credit quality, with strong, well-documented sources of repayment. These loans exhibit very strong, well defined primary and secondary sources of repayment, with no significant identifiable risk of collection and have internally generated cash flow that more than adequately covers current maturities of long-term debt.

Satisfactory (3 Rated): These loans exhibit satisfactory credit risk and have excellent sources of repayment, with no significant identifiable risk of collection. These loans have documented historical cash flow that meets or exceeds required minimum Bank guidelines, or that can be supplemented with verifiable cash flow from other sources. They have adequate secondary sources to liquidate the debt, including combinations of liquidity, liquidation of collateral, or liquidation value to the net worth of the borrower or guarantor.

Acceptable (4 Rated): These loans show signs of weakness in either adequate sources of repayment or collateral but have demonstrated mitigating factors that minimize the risk of delinquency or loss. These loans may have unproved, insufficient or marginal primary sources of repayment that appear sufficient to service the debt at this time. These loans also include loans underwritten using projected and/or proforma financial information provided by the borrower. Repayment weaknesses may be due to minor operational issues, financial trends, or reliance on projected performance. They may also contain marginal or unproven secondary sources to liquidate the debt, including combinations of liquidation of collateral and

Special mention (5 Rated): These loans show signs of weaknesses in either adequate sources of repayment or collateral. These loans may contain underwriting guideline tolerances and/or exceptions with no mitigating factors; and/or instances where adverse economic conditions develop subsequent to origination that do not jeopardize liquidation of the debt but substantially increase the level of risk.

Substandard (6 Rated): Loans graded Substandard are inadequately protected by current sound net worth, paying capacity of the obligor, or pledged collateral. Loans classified as Substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt; are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These loans are consistently not meeting the repayment schedule.

Doubtful (7 Rated): Loans graded Doubtful have all the weaknesses inherent in those classified as Substandard, plus the added characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions, and values highly questionable and improbable. The ability of the borrower to service the debt is extremely weak, overdue status is constant, the debt has been placed on non-accrual status, and no definite repayment schedule exists. Once the loss position is determined, the amount is charged off.

Loss (8 Rated): Loss rated loans are considered uncollectible and of such little value that their continuance as assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this credit even though partial recovery may be affected in the future.


December 31, 2025	Term Loans HFI by Origination Year
	2025		2024		2023		2022		2021		Prior		Total
SBA, at fair value
Risk Grades 1-4	$	—	$	—	$	17,823	$	78,437	$	27,409	$	82,954	$	206,623
Risk Grades 5-6	—		—		3,861		19,677		7,498		43,431		74,467
Risk Grade 7	—		—		33		50		—		—		83
Risk Grade 8	—		—		—		25		—		—		25
Total	$	—	$	—	$	21,717	$	98,189	$	34,907	$	126,385	$	281,198
SBA, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	189,147	$	168,558	$	74,500	$	—	$	—	$	—	$	432,205
Risk Grades 5-6	3,454		39,769		35,032		—		—		—		78,255
Risk Grade 7	332		11,069		10,205		—		—		—		21,606
Risk Grade 8	46		2,371		5,263		—		—		—		7,680
Total	$	192,979	$	221,767	$	125,000	$	—	$	—	$	—	$	539,746
CRE, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	100,724	$	52,167	$	25,429	$	30,508	$	15,753	$	42,090	$	266,671
Risk Grades 5-6	1,800		885		—		1,742		—		3,096		7,523
Risk Grade 7	—		—		—		—		—		—		—
Total	$	102,524	$	53,052	$	25,429	$	32,250	$	15,753	$	45,186	$	274,194
C&I, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	58,284	$	12,367	$	3,315	$	—	$	—	$	—	$	73,966
Risk Grades 5-6	711		5,383		36		—		—		—		6,130
Risk Grade 7	—		284		—		—		—		—		284
Total	$	58,995	$	18,034	$	3,351	$	—	$	—	$	—	$	80,380
Total	$	354,498	$	292,853	$	175,497	$	130,439	$	50,660	$	171,571	$	1,175,518


December 31, 2024	Term Loans HFI by Origination Year
	2024		2023		2022		2021		2020		Prior		Total
SBA, at fair value
Risk Grades 1-4	$	—	$	24,061	$	112,058	$	40,641	$	20,379	$	102,569	$	299,708
Risk Grades 5-6	—		3,469		18,592		5,365		3,188		39,225		69,839
Risk Grade 7	—		—		—		—		—		—		—
Risk Grade 8	—		—		144		17		22		16		199
Total	$	—	$	27,530	$	130,794	$	46,023	$	23,589	$	141,810	$	369,746
SBA, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	224,958	$	110,735	$	—	$	—	$	—	$	—	$	335,693
Risk Grades 5-6	7,475		32,753		—		—		—		—		40,228
Risk Grade 7	588		4,132		—		—		—		—		4,720
Risk Grade 8	85		255		—		—		—		—		340
Total	$	233,106	$	147,875	$	—	$	—	$	—	$	—	$	380,981
CRE, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	51,889	$	25,697	$	33,235	$	15,763	$	395	$	60,614	$	187,593
Risk Grades 5-6	—		—		—		—		883		3,355		4,238
Risk Grade 7	—		—		—		—		—		—		—
Total	$	51,889	$	25,697	$	33,235	$	15,763	$	1,278	$	63,969	$	191,831
C&I, at amortized cost, net of deferred fees and costs
Risk Grades 1-4	$	44,251	$	1,532	$	—	$	—	$	—	$	1,500	$	47,283
Risk Grades 5-6	—		275		—		—		—		—		275
Risk Grade 7	—		—		—		—		—		—		—
Total	$	44,251	$	1,807	$	—	$	—	$	—	$	1,500	$	47,558
Total	$	329,246	$	202,909	$	164,029	$	61,786	$	24,867	$	207,279	$	990,116


	December 31, 2025								December 31, 2024
	CRE		C&I		SBA		Total		CRE		C&I		SBA		Total
Beginning balance	$	1,430	$	315	$	28,488	$	30,233	$	1,408	$	314	$	10,852	$	12,574

Charge offs	(299)		(1,775)		(21,735)		(23,809)		(236)		—		(7,836)		(8,072)
Recoveries	—		—		199		199		—		—		—		—
Provision for credit losses1	742		4,742		33,119		38,603		258		1		25,472		25,731
Ending balance	$	1,873	$	3,282	$	40,071	$	45,226	$	1,430	$	315	$	28,488	$	30,233

1 Excludes $126 thousand and $0.5 million of Provision for credit losses relating to unfunded commitments for the year ended December 31, 2025 and December 31, 2024, respectively, which is recorded within Accounts payable, accrued expenses and other liabilities in accordance with ASC 326.

The Company identified 445 and 145 loans as of December 31, 2025 and December 31, 2024, respectively, that did not share similar risk characteristics with the loan segments identified in NOTE 2—SIGNIFICANT ACCOUNTING POLICIES and evaluated them for impairment individually.


	December 31, 2025								December 31, 2024
ACL	CRE		C&I		SBA		Total		CRE		C&I		SBA		Total
Individually Evaluated	$	—	$	1,328	$	12,311	$	13,639	$	—	$	—	$	7,019	$	7,019
Collectively Evaluated	1,873		1,954		27,760		31,587		1,430		315		21,469		23,214
Total	$	1,873	$	3,282	$	40,071	$	45,226	$	1,430	$	315	$	28,488	$	30,233


	December 31, 2025								December 31, 2024
Recorded Investment	CRE		C&I		SBA		Total		CRE		C&I		SBA		Total
Individually Evaluated	$	18,487	$	1,827	$	74,008	$	94,322	$	2,635	$	—	$	21,706	$	24,341
Collectively Evaluated	255,707		78,553		465,738		799,998		189,196		47,558		359,275		596,029
Total	$	274,194	$	80,380	$	539,746	$	894,320	$	191,831	$	47,558	$	380,981	$	620,370


	December 31, 2025						December 31, 2024
	Nonaccrual without Allowance		Nonaccrual with Allowance		ACL		Nonaccrual without Allowance		Nonaccrual with Allowance		ACL
SBA	$	34,058	$	39,950	$	12,311	$	7,264	$	14,442	$	7,019
CRE	2,979		—		—		2,635		—		—

C&I	419		1,408		1,328		—		—		—






Total	$	37,456	$	41,358	$	13,639	$	9,899	$	14,442	$	7,019


	December 31, 2025				December 31, 2024

	Real Estate Collateral		Non-Real Estate Collateral		Total		ACL		Real Estate Collateral		Non-Real Estate Collateral		Total		ACL
SBA	$	44,066	$	29,942	$	74,008	$	12,311	$	19,586	$	2,120	$	21,706	$	7,019
CRE	18,487		—		18,487		—		2,635		—		2,635		—

C&I	419		1,408		1,827		1,328		—		—		—		—





Total	$	62,972	$	31,350	$	94,322	$	13,639	$	22,221	$	2,120	$	24,341	$	7,019

Accrued interest on loans totaled $22.4 million and $15.5 million as of December 31, 2025 and December 31, 2024, respectively, and is excluded from the estimate of credit losses. The Company writes off accrued interest receivable by reversing interest income and typically occurs upon loans becoming 90 to 120 days past due.

During the year ended December 31, 2025, the Company executed 3 loan modifications involving borrowers experiencing financial difficulty. No loan modifications to borrowers experiencing financial difficulty were executed during the years ended 2024 and 2023. The following table summarizes the amortized cost basis of loans that were modified:


	Year Ended December 31, 2025
	Other-Than-Insignificant Payment Delay		Term Extension		Interest Rate Reduction		Principal Forgiveness		% of Total Class of Financing Receivable
SBA	$	458	$	—	$	—	$	—	$	—
CRE	—		—		—		—		—
C&I	—		—		—		—		—
Total Modifications	$	458	$	—	$	—	$	—	$	—


	Year Ended December 31, 2025
	Other-Than-Insignificant Payment Delay		Term Extension		Interest Rate Reduction		Principal Forgiveness		% of Total Class of Financing Receivable
SBA	$	299	$	—	$	—	$	—	$	—
CRE	—		—		—		—		—
C&I	—		—		—		—		—
Total Defaults	$	299	$	—	$	—	$	—	$	—


	As of December 31, 2025
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Accounted for Under the FV Option
	30-59 Days		60-89 Days		90+ Days1
SBA, at fair value	$	21,441	$	5,018	$	8,713	$	12,580	$	47,752	$	508,937	$	556,689
ALP, at fair value	9,049		—		—		11,634		20,683		394,465		415,148
Total	$	30,490	$	5,018	$	8,713	$	24,214	$	68,435	$	903,402	$	971,837


	As of December 31, 2024
	Past Due and Accruing						Non- accrual		Total Past Due and Non-accrual		Current		Total Accounted for Under the FV Option
	30-59 Days		60-89 Days		90+ Days
SBA, at fair value	$	29,119	$	13,367	$	—	$	250	$	42,736	$	117,052	$	159,788
ALP, at fair value	—		2,492		—		—		2,492		210,006		212,498
Total	$	29,119	$	15,859	$	—	$	250	$	45,228	$	327,058	$	372,286