Benefit Plans

9 Months Ended

Sep. 30, 2025

Retirement Benefits [Abstract]

Benefit Plans

Benefit Plans

401(k)

The Company has a retirement savings 401(k) plan, in which substantially all employees may participate. The Company matches employees' contributions at the rate of 50 percent for the first six percent of base salary contributed by participants. The Company’s expense for the plan was $61,000 and $192,000 for the three and nine months ended September 30, 2025, respectively, and $76,000 and $214,000 for the three and nine months ended September 30, 2024, respectively.

Employee Stock Ownership Plan

As part of the reorganization and related stock offering, the Company established an Employee Stock Ownership Plan, or ESOP, covering substantially all employees. The ESOP acquired 1,082,130 shares of Company common stock at an average price of $13.59 per share on the open market with funds provided by a loan from the Company. Dividends on unallocated shares used to repay the loan for the Company are recorded as a reduction of the loan or accrued interest, as applicable. Dividends on allocated shares paid to participants are reported as compensation expense. Unearned ESOP shares which have not yet been allocated to ESOP participants are excluded from the computation of average shares outstanding for earnings per share calculation. Accordingly, 748,456 and 789,035 shares of common stock acquired by the ESOP were shown as a reduction of stockholders’ equity at September 30, 2025 and December 31, 2024, respectively. Shares are released to participants proportionately as the loan is repaid.

ESOP expense for the three and nine months ended September 30, 2025 was $193,000 and $552,000, respectively, and was $167,000 and $476,000 for the three and nine months ended September 30, 2024, respectively.

	September 30, 2025		December 31, 2024
Earned ESOP shares	333,674		293,095
Unearned ESOP shares	748,456		789,035
Total ESOP shares	1,082,130		1,082,130
Quoted per share price	$	14.21	$	14.15
Fair value of earned shares (in thousands)	$	4,742	$	4,147
Fair value of unearned shares (in thousands)	$	10,636	$	11,165

Richmond Mutual Bancorporation, Inc. 2020 Equity Incentive Plan

On September 15, 2020, the Company's stockholders approved the Richmond Mutual Bancorporation, Inc. 2020 Equity Incentive Plan ("2020 EIP") which provides for the grant to eligible participants of up to (i) 1,352,662 shares of Company common stock to be issued upon the exercise of stock options and stock appreciation rights and (ii) 541,065 shares of Company common stock to participants as restricted stock awards (which may be in the form of shares of common stock or share units giving the participant the right to receive shares of common stock at a specified future date).

Restricted Stock Awards. On October 1, 2020, the Company awarded 449,086 shares of common stock under the 2020 EIP with a grant date fair value of $10.53 per share (total fair value of $4.7 million at issuance) to eligible participants. On April 1, 2021, the Company awarded an additional 4,000 shares of common stock under the 2020 EIP with a grant date fair value of $13.86 (total fair value of $55,000 at issuance) to eligible participants. These awards vested in five equal annual installments with the first vesting having occurred on June 30, 2021. As of September 30, 2025, these awards were fully vested.

On July 15, 2025, the Company awarded 37,126 shares of common stock under the 2020 EIP with a grant date fair value of $13.37 per share (total fair value of $496,000 at issuance) to eligible participants. These awards vest in five equal installments with the first vesting occurring on June 30, 2026. Forfeited shares may be awarded to other eligible recipients in future grants until the 2020 EIP terminates in September 2030.

The following table summarizes the restricted stock award activity in the 2020 EIP during the nine months ended September 30, 2025.

	Nine Months Ended September 30, 2025
	Number of Restricted Shares	Weighted Average Grant Date Fair Value
Non-vested, beginning of period	83,379	$	10.55
Granted	37,126	13.37
Vested	(83,379)	10.55
Forfeited	—	—
Non-vested, September 30, 2025	37,126	13.37

Total compensation cost recognized in the Condensed Consolidated Statements of Income for restricted stock awards during the three and nine months ended September 30, 2025 was $22,000 and $456,000, and the related tax benefit recognized was $5,000 and $96,000, respectively. As of September 30, 2025, there was $474,000 of unrecognized compensation expense related to restricted stock awards.

Stock Option Plan. On October 1, 2020, the Company awarded options to purchase 1,095,657 shares of common stock under the 2020 EIP with an exercise price of $10.53 per share, the fair value of a share of the Company's common stock on the date of

grant, to eligible participants. On April 1, 2021, the Company awarded options to purchase 8,000 shares of common stock under the 2020 EIP with an exercise price of $13.86 per share, the fair value of a share of the Company's common stock on the date of the grant, to eligible participants. These awards vested in five equal annual installments with the first vesting having occurred on June 30, 2021. As of September 30, 2025, these awards were fully vested.

On July 15, 2025, the Company awarded options to purchase 55,467 shares of common stock under the 2020 EIP with an exercise price of $13.37 per share, the fair value of a share of the Company's common stock on the date of grant, to eligible participants. These awards vest in five equal annual installments with the first vesting occurring on June 30, 2026. Forfeited options are available to be awarded in future grants until the 2020 EIP terminates in September 2030.

The following table summarizes the stock option activity in the 2020 EIP during the nine months ended September 30, 2025.

	Nine Months Ended September 30, 2025
	Number of Shares	Weighted-Average Exercise Price
Balance at beginning of period	1,016,497	$	10.55
Granted	55,467	13.37
Exercised	—	—
Forfeited/expired	—	—
Balance, September 30, 2025	1,071,964	10.55
Exercisable at end of period	1,016,497	$	10.55

The fair value of options granted is estimated on the date of the grant using a Black Scholes model with the following assumptions:

	July 15, 2025
Dividend yields	4.49	%
Volatility factors of expected market price of common stock	30.00	%
Risk-free interest rates	4.16	%
Expected life of options	6.5 years

A summary of the status of the Company stock option shares as of September 30, 2025 is presented below.

	Shares	Weighted Average Grant Date Fair Value
Non-vested, beginning of year	204,096	$	2.91
Vested	(204,096)	2.91
Granted	55,467	3.00
Forfeited	—	—
Non-vested, September 30, 2025	55,467	$	3.00

Total compensation cost recognized in the Condensed Consolidated Statements of Income for option-based payment arrangements for the three and nine months ended September 30, 2025 was $7,000 and $300,000, and the related tax benefit recognized was $0 and $31,000, respectively. As of September 30, 2025, there was $154,000 in unrecognized compensation expense related to the stock option awards.