Loans and Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2026

Loans and Allowance for Credit Losses

Schedule of summary loan portfolio

A summary of the Company’s loan portfolio is as follows:

	June 30,		December 31,
	2026		2025
Commercial real estate loans:
Non-residential	$	417,065	$	417,808
Multi-family		99,582		107,938
Construction		6,462		8,982
Commercial and industrial loans		87,165		91,526
Residential real estate loans		106,824		100,086
Consumer loans:
Indirect automobile		188,112		213,802
Home equity		11,947		12,290
Other consumer		5,816		5,733
Total gross loans		922,973		958,165
Dealer reserves		3,199		3,573
Allowance for credit losses		(7,695)		(8,353)
Total net loans	$	918,477	$	953,385

Schedule of classes of the loan portfolio by the aging categories of performing loans and nonaccrual loans

The following tables present the classes of the loan portfolio summarized by the aging categories of performing loans and non-accrual loans:

	June 30, 2026
							Greater Than
			30-59 Days		60-89 Days		90 Days Past		Total Loans
	Current		Past Due		Past Due		Due		Receivable		Non-accrual
Commercial real estate:
Non-residential	$	415,365	$	—	$	16	$	1,684	$	417,065	$	1,684
Multifamily		99,582		—		—		—		99,582		—
Construction		6,462		—		—		—		6,462		—
Commercial and industrial		86,892		36		227		10		87,165		10
Residential real estate		106,130		325		—		369		106,824		1,176
Consumer:
Indirect automobile		181,600		5,126		979		407		188,112		506
Home equity		11,771		164		—		12		11,947		12
Other consumer		5,659		154		3		—		5,816		—
Total	$	913,461	$	5,805	$	1,225	$	2,482	$	922,973	$	3,388

	December 31, 2025
							Greater Than
			30-59 Days		60-89 Days		90 Days Past		Total Loans
	Current		Past Due		Past Due		Due		Receivable		Non-accrual
Commercial real estate:
Non-residential	$	415,286	$	837	$	17	$	1,668	$	417,808	$	1,668
Multifamily		107,938		—		—		—		107,938		—
Construction		8,982		—		—		—		8,982		—
Commercial and industrial		91,241		263		—		22		91,526		22
Residential real estate		98,355		1,157		184		390		100,086		1,255
Consumer:
Indirect automobile		204,192		7,831		1,072		707		213,802		740
Home equity		12,075		170		45		—		12,290		—
Other consumer		5,561		134		23		15		5,733		15
Total	$	943,630	$	10,392	$	1,341	$	2,802	$	958,165	$	3,700

Schedule of amortized cost basis of nonaccrual loans

The following table presents the Company’s amortized cost basis of non-accrual loans for which there is no related ACL:

	June 30, 2026		December 31, 2025
Commercial real estate:
Non-residential	$	1,684	$	1,668
Commercial and industrial		—		22
Residential real estate		1,176		1,255
Consumer:
Indirect automobile		97		110
Home equity		12		—
Total	$	2,969	$	3,055

The following table presents the Company’s amortized cost basis of only those non-accrual loans with a related ACL:

	June 30, 2026				December 31, 2025
	Non-accrual loans		Related ACL		Non-accrual loans		Related ACL
Commercial and industrial	$	10	$	10	$	—	$	—
Consumer:
Indirect automobile		409		146		630		226
Other consumer		—		7		15		14
Total	$	419	$	163	$	645	$	240

Schedule of loan balances by segment

Activity in the Company’s ACL for loans for the three and six months ended June 30, 2026 is summarized in the tables below:

	Three months ended June 30, 2026
	Balance at						Provision for		Balance at
	beginning of						(credit to)		end of
	period		Charge-offs		Recoveries		credit losses		period
Commercial real estate:
Non-residential	$	3,064	$	—	$	—	$	58	$	3,122
Multifamily		463		—		—		(43)		420
Construction		—		—		—		—		—
Commercial and industrial		737		(1)		—		(161)		575
Residential real estate		742		—		—		40		782
Consumer:
Indirect automobile		2,721		(495)		380		35		2,641
Home equity		87		—		—		—		87
Other consumer		74		(9)		22		(19)		68
Total	$	7,888	$	(505)	$	402	$	(90)	$	7,695
	Six months ended June 30, 2026
	Balance at						(Credit to)		Balance at
	beginning of						provision for		end of
	period		Charge-offs		Recoveries		credit losses		period
Commercial real estate:
Non-residential	$	3,142	$	—	$	—	$	(20)	$	3,122
Multifamily		490		—		—		(70)		420
Commercial and industrial		762		(1)		11		(197)		575
Residential real estate		739		—		—		43		782
Consumer:
Indirect automobile		3,050		(1,363)		714		240		2,641
Home equity		90		—		—		(3)		87
Other consumer		80		(40)		29		(1)		68
Total	$	8,353	$	(1,404)	$	754	$	(8)	$	7,695

Activity in the Company’s ACL for loans for the three and six months ended June 30, 2025 is summarized in the tables below.

	Three months ended June 30, 2025
	Balance at						Provision for		Balance at
	beginning of						(credit to)		end of
	period		Charge-offs		Recoveries		credit losses		period
Commercial real estate:
Non-residential	$	2,717	$	—	$	—	$	60	$	2,777
Multifamily		332		—		—		1		333
Construction		—		—		—		—		—
Commercial and industrial		673		—		—		(25)		648
Residential real estate		612		—		—		110		722
Consumer:
Indirect automobile		3,911		(476)		408		(267)		3,576
Home equity		87		—		—		1		88
Other consumer		74		(31)		8		36		87
Total	$	8,406	$	(507)	$	416	$	(84)	$	8,231
	Six months ended June 30, 2025
	Balance at						Provision for		Balance at
	beginning of						(credit to)		end of
	period		Charge-offs		Recoveries		credit losses		period
Commercial real estate:
Non-residential	$	2,675	$	—	$	—	$	102	$	2,777
Multifamily		313		—		—		20		333
Commercial and industrial		684		(175)		3		136		648
Residential real estate		575		—		—		147		722
Consumer:
Indirect automobile		4,133		(1,260)		834		(131)		3,576
Home equity		84		—		—		4		88
Other consumer		75		(31)		28		15		87
Total	$	8,539	$	(1,466)	$	865	$	293	$	8,231

Schedule of ACL for unfunded commitments

Activity in the Company’s ACL for unfunded commitments for the three and six months ended June 30, 2026 is summarized in the tables below.

	Three months ended June 30, 2026
	Balance at		Provision for		Balance at
	beginning of		(credit to)		end of
	period		credit losses		period
Commercial real estate:
Non-residential	$	19	$	82	$	101
Commercial and industrial		100		—		100
Residential real estate		3		(2)		1
Consumer:
Home equity		17		—		17
Other consumer		2		(1)		1
Total	$	141	$	79	$	220

	Six months ended June 30, 2026
	Balance at		Provision for		Balance at
	beginning of		(credit to)		end of
	period		credit losses		period
Commercial real estate:
Non-residential	$	19	$	82	$	101
Commercial and industrial		111		(11)		100
Residential real estate		3		(2)		1
Consumer:
Home equity		17		—		17
Other consumer		2		(1)		1
Total	$	152	$	68	$	220

Activity in the Company’s ACL for unfunded commitments for the three and six months ended June 30, 2025 is summarized in the tables below.

	Three months ended June 30, 2025
	Balance at		(Credit to)		Balance at
	beginning of		provision for		end of
	period		credit losses		period
Commercial real estate:
Non-residential	$	92	$	(19)	$	73
Commercial and industrial		103		4		107
Residential real estate		5		(2)		3
Consumer:
Home equity		18		—		18
Other consumer		2		—		2
Total	$	220	$	(17)	$	203

	Six months ended June 30, 2025
	Balance at		(Credit to)		Balance at
	beginning of		provision for		end of
	period		credit losses		period
Commercial real estate:
Non-residential	$	119	$	(46)	$	73
Commercial and industrial		104		3		107
Residential real estate		1		2		3
Consumer:
Home equity		18		—		18
Other consumer		2		—		2
Total	$	244	$	(41)	$	203

Summary of provision for credit losses

The following table summarizes the (credit to) provision for credit losses for the three and six months ended June 30, 2026 and 2025:

	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(Credit to) provision for credit losses - loans	$	(90)	$	(84)	$	(8)	$	293
Provision for (credit to) credit losses - unfunded commitments		79		(17)		68		(41)
(Credit to) provision for credit losses	$	(11)	$	(101)	$	60	$	252

Schedule of loans by risk rating and portfolio segment

The following table presents the credit risk profile of the Company’s loan portfolio (excluding loans in process) based on rating category, as well as gross write-offs for the six months ended June 30, 2026, and by fiscal year of origination as of June 30, 2026.

													Revolving
	Loans by Origination Year												Loans
	2026		2025		2024		2023		2022		Prior		Amortized Cost		Total
Commercial construction
Pass	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
Watch		801		923		4,738		-		-		-		-		6,462
Total commercial construction		801		923		4,738		-		-		-		-		6,462
Commercial non-residential
Pass	$	18,605	$	52,456	$	42,907	$	31,049	$	33,521	$	90,807	$	-	$	269,345
Watch		498		16,444		16,334		14,799		21,123		48,998		-		118,196
Special mention		-		-		-		22,885		2,279		-		-		25,164
Substandard		-		-		-		-		2,304		2,056		-		4,360
Total commercial non-residential		19,103		68,900		59,241		68,733		59,227		141,861		-		417,065
Multifamily
Pass	$	-	$	10,892	$	733	$	582	$	17,708	$	27,584	$	-	$	57,499
Watch		-		989		5,600		10,197		10,616		14,681		-		42,083
Total multifamily		-		11,881		6,333		10,779		28,324		42,265		-		99,582
Residential
Performing	$	11,224	$	20,226	$	14,316	$	24,350	$	19,639	$	15,893	$	-	$	105,648
Non-performing		-		-		-		-		284		892		-		1,176
Total residential		11,224		20,226		14,316		24,350		19,923		16,785		-		106,824
Commercial and industrial
Pass	$	4,504	$	6,027	$	4,823	$	4,721	$	12,826	$	4,552	$	12,519	$	49,972
Watch		2,028		6,805		4,266		1,183		2,367		842		19,159		36,650
Special mention		-		-		82		46		-		-		374		502
Substandard		-		-		-		-		-		-		41		41
Total commercial and industrial		6,532		12,832		9,171		5,950		15,193		5,394		32,093		87,165
Current-period gross write-offs				-		-		-		-		1		-		1
Indirect automobile
Performing	$	28,678	$	38,401	$	31,219	$	35,684	$	40,254	$	13,370	$	-	$	187,606
Non-performing		-		75		113		77		113		128		-		506
Total indirect automobile		28,678		38,476		31,332		35,761		40,367		13,498		-		188,112
Current-period gross write-offs		-		142		342		447		275		157		-		1,363
Home equity
Performing	$	127	$	665	$	201	$	-	$	-	$	2,865	$	8,077	$	11,935
Non-performing		-		-		-		-		-		12		-		12
Total home equity		127		665		201		-		-		2,877		8,077		11,947
Other consumer
Performing	$	1,801	$	1,445	$	1,101	$	658	$	541	$	66	$	204	$	5,816
Total other consumer		1,801		1,445		1,101		658		541		66		204		5,816
Current-period gross write-offs		-		-		19		9		11		1		-		40
Total Loans
Pass/performing	$	64,939	$	130,112	$	95,300	$	97,044	$	124,489	$	155,137	$	20,800	$	687,821
Watch		3,327		25,161		30,938		26,179		34,106		64,521		19,159		203,391
Special mention		-		-		82		22,931		2,279		-		374		25,666
Substandard		-		-		-		-		2,304		2,056		41		4,401
Non-performing		-		75		113		77		397		1,032		-		1,694
Total Loans	$	68,266	$	155,348	$	126,433	$	146,231	$	163,575	$	222,746	$	40,374	$	922,973
Total Current-period gross write-offs	$	-	$	142	$	361	$	456	$	286	$	159	$	-	$	1,404

The following table presents the credit risk profile of the Company’s loan portfolio (excluding loans in process) based on rating category, as well as gross write-offs for the year ended December 31, 2025, and by fiscal year of origination as of December 31, 2025.

													Revolving
	Loans by Origination Year												Loans
	2025		2024		2023		2022		2021		Prior		Amortized Cost		Total
Commercial construction
Pass	$	2,037	$	-	$	-	$	-	$	-	$	-	$	-	$	2,037
Watch		775		6,170		-		-		-		-		-		6,945
Total commercial construction		2,812		6,170		-		-		-		-		-		8,982
Commercial non-residential
Pass	$	63,489	$	44,835	$	36,178	$	34,652	$	25,438	$	74,392	$	-	$	278,984
Watch		16,602		11,894		10,164		23,344		3,343		46,157		-		111,504
Special mention		-		-		22,921		-		-		-		-		22,921
Substandard		-		-		-		2,315		-		2,084		-		4,399
Total commercial non-residential		80,091		56,729		69,263		60,311		28,781		122,633		-		417,808
Current-period gross write-offs		-		-		-		629		-		-		-		629
Multifamily
Pass	$	10,986	$	738	$	590	$	18,086	$	27,949	$	7,063	$	-	$	65,412
Watch		996		5,627		10,210		10,756		5,514		9,423		-		42,526
Total multifamily		11,982		6,365		10,800		28,842		33,463		16,486		-		107,938
Residential
Performing	$	21,114	$	14,402	$	25,795	$	20,184	$	1,720	$	15,616	$	-	$	98,831
Non-performing		-		-		-		292		-		963		-		1,255
Total residential		21,114		14,402		25,795		20,476		1,720		16,579		-		100,086
Commercial and industrial
Pass	$	8,011	$	6,937	$	6,533	$	14,284	$	5,559	$	512	$	18,818	$	60,654
Watch		6,305		3,014		783		4,689		190		939		14,186		30,106
Special mention		-		-		-		455		-		-		250		705
Substandard		-		-		-		-		22		-		39		61
Total commercial and industrial		14,316		9,951		7,316		19,428		5,771		1,451		33,293		91,526
Current-period gross write-offs				11		151		8		-		165		-		335
Indirect automobile
Performing	$	44,776	$	38,583	$	47,088	$	58,044	$	19,391	$	5,180	$	-	$	213,062
Non-performing		41		104		120		320		87		68		-		740
Total indirect automobile		44,817		38,687		47,208		58,364		19,478		5,248		-		213,802
Current-period gross write-offs		86		428		500		1,026		463		129		-		2,632
Home equity
Performing	$	680	$	206	$	-	$	-	$	-	$	3,213	$	8,191	$	12,290
Total home equity		680		206		-		-		-		3,213		8,191		12,290
Other consumer
Performing	$	1,987	$	1,483	$	975	$	907	$	139	$	7	$	220	$	5,718
Non-performing		-		5		10		-		-		-		-		15
Total other consumer		1,987		1,488		985		907		139		7		220		5,733
Current-period gross write-offs		33		18		15		24		-		-		-		90
Total Loans
Pass/performing	$	153,080	$	107,184	$	117,159	$	146,157	$	80,196	$	105,983	$	27,229	$	736,988
Watch		24,678		26,705		21,157		38,789		9,047		56,519		14,186		191,081
Special mention		-		-		22,921		455		-		-		250		23,626
Substandard		-		-		-		2,315		22		2,084		39		4,460
Non-performing		41		109		130		612		87		1,031		-		2,010
Total Loans	$	177,799	$	133,998	$	161,367	$	188,328	$	89,352	$	165,617	$	41,704	$	958,165
Total Current-period gross write-offs	$	119	$	457	$	666	$	1,687	$	463	$	294	$	-	$	3,686