SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2025

SEGMENT INFORMATION

SEGMENT INFORMATION

15. SEGMENT INFORMATION

The Company has two primary business segments, its community banking franchise, and its wealth management agency.

The community banking segment provides financial services to consumers and businesses principally in the Greater Syracuse Area and Onondaga County of New York State. These services include providing various types of loans to customers, accepting deposits, mortgage banking, and other traditional banking services. Parent company income is included in the community-banking segment, as the majority of effort for these functions is related to this segment. Major revenue sources include net interest income and service fees on deposit accounts. Expenses include personnel and branch-network support charges. The wealth management agency segment offers individual investment management for individuals in the Greater Syracuse Area. The primary revenue source is commissions from 401(k) management and brokered accounts.

The Company’s Chief Financial Officer is the chief operating decision maker (“CODM”). The CODM evaluates the financial performance of the Company’s components such as evaluating revenue streams, significant expenses, and budget to actual results in assessing the performance of the Company’s segments in the determination of allocating resources. Financial information regarding each significant segment expense outlined below is regularly provided (at least monthly) to the CODM. For the community banking segment, interest expense is a significant segment expense. Additionally, for each of the two reportable segments, compensation and employee benefits are significant segment expenses.

Information about the segments is presented in the following table as of and for the years ended (in thousands):

Reconciliation of Assets	June 30, 2025		December 31, 2024
	Unaudited
Total assets for Seneca Savings	$	298,210	$	280,030
Total assets for Financial Quest		1,123		1,183
Elimination of intercompany receivables		(273)		(274)
Total consolidated assets	$	299,060	$	280,939

	Three Months Ended June 30,
	2025						2024
	Seneca Savings		Financial Quest		Total		Seneca Savings		Financial Quest		Total
	Unaudited
INTEREST INCOME
Total interest income	$	3,595	$	—	$	3,595	$	3,336	$	—	$	3,336
INTEREST EXPENSE
Total interest expense		1,364		—		1,364		1,365		—		1,365
Net Interest Income		2,231		—		2,231		1,971		—		1,971
Provision for credit losses available-for-sale securities		—		—		—		—		—		—
Provision for credit losses loans receivable		511		—		511		—		—		—
Net interest income after provision for credit losses		1,720		—		1,720		1,971		—		1,971
NONINTEREST INCOME
Service fees		33		—		33		30		—		30
Income from financial services		—		240		240		—		218		218
Fee income		218		8		226		186		9		195
Net gains on sale of residential mortgage loans		32		—		32		20		—		20
Total noninterest income		283		248		531		236		227		463
NONINTEREST EXPENSE
Compensation and employee benefits		1,268		119		1,387		1,075		105		1,180
Core processing		375		—		375		366		—		366
Premises and equipment		216		6		222		167		6		173
Professional fees		106		—		106		109		—		109
Postage & office supplies		29		—		29		19		1		20
FDIC premiums		34		—		34		31		—		31
Advertising		82		3		85		88		5		93
Director fees		37		—		37		38		2		40
Other		155		52		207		158		51		209
Total noninterest expense		2,302		180		2,482		2,051		170		2,221
Income before provision for income taxes		(299)		68		(231)		156		57		213
PROVISION FOR INCOME TAXES		(35)		—		(35)		37		—		37
Net income	$	(264)	$	68	$	(196)	$	119	$	57	$	176

	Six Months Ended June 30,
	2025						2024
	Seneca Savings		Financial Quest		Total		Seneca Savings		Financial Quest		Total
INTEREST INCOME
Total interest income	$	7,032	$	—	$	7,032	$	6,475	$	—	$	6,475
INTEREST EXPENSE
Total interest expense		2,673		—		2,673		2,610		—		2,610
Net interest income		4,359		—		4,359		3,865		—		3,865
Provision for credit losses available-for-sale securities		—		—		—		—		—		—
Provision for credit losses loans receivable		621		—		621		15		—		15
Net interest income after provision for credit losses		3,738		—		3,738		3,850		—		3,850
NONINTEREST INCOME
Service fees		65		—		65		61		—		61
Income from financial services		—		464		464		—		423		423
Fee income		354		16		370		325		16		341
Gain on sale of fixed assets		—		—		—		6		—		6
Earnings on bank-owned life insurance		52		—		52		22				22
Net gain/(loss) on sales of available-for-sale securities		1		—		1		—		—		—
Net gains on sale of residential mortgage loans		65		—		65		22		—		22
Total noninterest income		537		480		1,017		436		439		875
NONINTEREST EXPENSE
Compensation and employee benefits		2,438		235		2,673		2,188		207		2,395
Core processing		711		—		711		730		—		730
Premises and equipment		433		12		445		369		12		381
Professional fees		163		—		163		131		—		131
Postage & office supplies		57		1		58		55		1		56
FDIC premiums		67		—		67		60		—		60
Advertising		179		4		183		175		5		180
Director fees		84		1		85		85		3		88
Other		322		102		424		273		99		372
Total noninterest expense		4,454		355		4,809		4,066		327		4,393
Income before provision for income taxes		(179)		125		(54)		220		112		332
PROVISION FOR INCOME TAXES		(6)		—		(6)		50		—		50
Net income	$	(173)	$	125	$	(48)	$	170	$	112	$	282