Investment Securities

3 Months Ended

Mar. 31, 2026

Investment Securities

Investment Securities

2.    Investment Securities

The amortized cost, gross unrealized gains and losses and fair values of available for sale securities are as follows:

	March 31, 2026
			Gross		Gross
			Unrealized		Unrealized
	Amortized Cost		Gains		Losses		Fair Value
U.S. Treasury securities	$	35,709	$	55	$	(127)	$	35,637
U.S. government agency mortgage-backed securities–residential		92,116		31		(7,373)		84,774
U.S. government agency securities		18,569		—		(188)		18,381
Municipal securities(1)		2,204		—		(130)		2,074
Corporate bonds		15,400		52		(530)		14,922
Other		587		—		(215)		372
Total	$	164,585	$	138	$	(8,563)	$	156,160

	December 31, 2025
			Gross		Gross
			Unrealized		Unrealized
	Amortized Cost		Gains		Losses		Fair Value
U.S. Treasury securities	$	35,692	$	147	$	(11)	$	35,828
U.S. government agency mortgage-backed securities–residential		95,787		80		(6,887)		88,980
U.S. government agency securities		18,541		9		(198)		18,352
Municipal securities(1)		2,205		—		(123)		2,082
Corporate bonds		17,309		38		(758)		16,589
Other		587		—		(215)		372
Total	$	170,121	$	274	$	(8,192)	$	162,203

⁽¹⁾ The issuers of municipal securities are all within New York State.

The following tables present the fair value and unrealized losses of the Company’s available for sale securities with gross unrealized losses aggregated by the length of time the individual securities have been in a continuous unrealized

loss position:

	March 31, 2026
	Less Than 12 Months				12 Months or Longer				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury securities	$	30,616	$	(127)	$	—	$	—	$	30,616	$	(127)
U.S. government agency mortgage-backed securities-residential		25,103		(218)		55,540		(7,155)		80,643		(7,373)
U.S. government agency securities		6,563		(5)		11,817		(183)		18,380		(188)
Municipal securities		520		(10)		1,470		(120)		1,990		(130)
Corporate bonds		1,992		(8)		9,882		(522)		11,874		(530)
Other		—		—		352		(215)		352		(215)
Total	$	64,794	$	(368)	$	79,061	$	(8,195)	$	143,855	$	(8,563)

	December 31, 2025
	Less Than 12 Months				12 Months or Longer				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury securities	$	12,909	$	(11)	$	—	$	—	$	12,909	$	(11)
U.S. government agency mortgage-backed securities-residential		9,846		(24)		64,740		(6,863)		74,586		(6,887)
U.S. government agency securities		—		—		11,803		(198)		11,803		(198)
Municipal securities		—		—		1,997		(123)		1,997		(123)
Corporate bonds		1,235		(14)		12,570		(744)		13,805		(758)
Other		352		(215)		—		—		352		(215)
Total	$	24,342	$	(264)	$	91,110	$	(7,928)	$	115,452	$	(8,192)

At March 31, 2026, the Company had 166 individual available for sale securities in an unrealized loss position with unrealized losses totaling $8,563 with an aggregate depreciation of 5.20% from the Company’s amortized cost.

The Company evaluates securities in an unrealized loss position for impairment related to credit losses on at least a quarterly basis. Securities in unrealized loss positions are first assessed as to whether we intend to sell, or if it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If one of the criteria is met, the security’s amortized cost basis is written down to fair value through current earnings. For securities that do not meet these criteria, the Company evaluates whether the decline in fair value resulted from credit losses or other factors. If this assessment indicates that a credit loss exists, we compare the present value of cash flows expected to be collected from the security with the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded, limited to the amount that the fair value of the security is less than its amortized cost basis. Unrealized losses on asset-backed securities, state and municipal securities, and corporate bonds have not been recognized into income because the issuers are of high credit quality, we do not intend to sell and it is likely that we will not be required to sell the securities prior to their anticipated recovery. The decline in fair value is largely due to changes in interest rates and other market conditions. The issuers continue to make timely principal and interest payments on the securities. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income, net of applicable taxes. No allowance for credit losses for available for sale securities was recorded as of March 31, 2026.

Federal agency obligations, residential mortgage-backed pass-through securities and commercial mortgage-backed pass-through securities are issued by U.S. Government agencies and U.S. Government sponsored enterprises. Although a government guarantee exists on these investments, these entities are not legally backed by the full faith and credit of the federal government. Nonetheless, at this time we do not foresee any set of circumstances in which the government would not fund its commitments on these investments.

The amortized cost and fair value of available for sale debt securities at March 31, 2026 and December 31, 2025, by contractual maturities, are presented below. Actual maturities of mortgage-backed securities may differ from contractual maturities because the mortgages underlying the securities may be called or repaid without any penalties. Because mortgage-backed securities are not due at a single maturity date, they are not included in the maturity categories in the following maturity summary:

	March 31, 2026				December 31, 2025
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Maturity:
Within 1 year	$	16,976	$	16,913	$	13,939	$	13,850
After 1 but within 5 years		42,023		41,722		45,425		45,358
After 5 but within 10 years		12,883		12,379		14,383		13,643
After 10 years		—		—		—		—
Total Maturities		71,882		71,014		73,747		72,851
Mortgage-backed securities		92,116		84,774		95,787		88,980
Other		587		372		587		372
Total	$	164,585	$	156,160	$	170,121	$	162,203

At March 31, 2026 and December 31, 2025, available for sale securities with a carrying value of $102,364 and $106,500, respectively, were pledged to secure Federal Home Loan Bank of New York (“FHLB”) borrowings. In addition, at March 31, 2026 and December 31, 2025, $970 and $978 of available for sale securities were pledged to secure borrowings at the Federal Reserve Bank of New York (“FRB”), respectively.

During the three months ended March 31, 2026, there were no sales of available for sale securities and no realized gains or losses.

The Company elected not to measure an allowance for credit losses for accrued interest receivable, because a timely write-off policy exists. A security is placed on non-accrual status at the time any principal or interest payments become more than 90 days delinquent or if full collection of interest or principal becomes uncertain. Accrued interest for a security placed on non-accrual status is reversed against interest income. There were no securities on non-accrual status and therefore there was no accrued interest related to securities reversed against interest income for the periods ended March 31, 2026 or December 31, 2025. Total accrued interest receivable on available for sale securities totaled $712 and $741 at March 31, 2026 and December 31, 2025, respectively, and was reported in accrued interest receivable on the consolidated statements of financial condition of this Quarterly Report on Form 10-Q.