Bar Harbor Bankshares Reports Second Quarter 2026 Results; Declares Dividend

Bar Harbor Bankshares Reports Second Quarter 2026 Results; Declares Dividend BAR HARBOR, ME / ACCESS Newswire / July 21, 2026 / Bar Harbor Bankshares (NYSE American:BHB) (the "Company") reported second quarter 2026 GAAP net income of $15.2 million, or $0.91 per diluted share, and core earnings (Non-GAAP) of $15.4 million, or $0.92 per diluted share, compared to GAAP net income of $13.5 million, or $0.81 per diluted share, and core earnings (Non-GAAP) of $14.7 million, or $0.88 per diluted share, in the first quarter of 2026.

SECOND QUARTER 2026 HIGHLIGHTS (all comparisons to first quarter 2026, unless otherwise noted)

Net interest margin of 3.61%, compared to 3.54%

1.31% return on assets; 1.33% core return on assets (Non-GAAP)

11.16% return on equity; 11.30% core return on equity (Non-GAAP)

55.76% efficiency ratio (Non-GAAP), compared to 56.92%

Bar Harbor Bankshares' President and Chief Executive Officer, Curtis C. Simard, stated, "During the quarter we affirmed our commitment to consistently delivering strong financial results and long-term shareholder value while remaining dedicated to our customers. This commitment is clear not only in our results, but has also gained us recognition by Forbes Magazine as one of America's "Best-in-State Banks" for the fifth consecutive year. We continue to grow capital organically and have essentially earned back our dilution from our acquisition last year within a year. Halfway through 2026, we are proud of what we have accomplished so far and are well-positioned for what's ahead."

DIVIDEND DECLARED

The Board of Directors of the Company voted to declare a cash dividend of $0.34 per share to shareholders of record at the close of business on August 20, 2026, payable on September 18, 2026. The dividend equates to a 3.60% annualized yield based on the $37.76 closing share price of the Company's common stock on June 30, 2026, the last trading day of the second quarter 2026.

FINANCIAL CONDITION (Quarter results for June 30, 2026 compared to March 31, 2026)

Total assets increased slightly to $4.7 billion at the end of the second quarter 2026, the 1% increase was primarily due to loan growth as well as increased interest-earning deposits with other banks.

Total cash and cash equivalents were $104.4 million at the end of the second quarter 2026, compared to $82.2 million at the end of the first quarter 2026. Interest-earning deposits with other banks increased to $58.1 million at the end of the second quarter 2026, compared to $46.6 million at the end of the first quarter 2026. While end of quarter balances were higher due to timing, averages remained consistent with a yield of 3.92% and 3.90%, respectively.

Available-for-sale debt securities were $601.8 million compared to $598.0 million at the end of the first quarter 2026. Portfolio unrealized losses were $45.0 million at quarter-end compared to $45.7 million at the end of the first quarter 2026. During the quarter there were purchases of $27.4 million, paydowns and calls of $21.0 million and net accretion of $429 thousand. The quarter-to-date weighted average yield of the securities portfolio was 4.06% compared to 4.05% at the end of the first quarter 2026. As of the second quarter 2026 and the first quarter 2026, our securities portfolio had an average life of 7.2 years and 7.6 years respectively, with an effective duration of 5.2 years and 5.4 years, respectively. At the end of the second quarter 2026, all securities remain classified as available for sale.

Federal Home Loan Bank stock increased $3.8 million to $13.4 million at the end of the second quarter 2026 compared to $9.6 million at the end of the first quarter 2026, primarily driven by the increase in wholesale borrowings.

Total loans increased $28.9 million to $3.6 billion in the second quarter 2026 compared to the first quarter 2026 driven primarily by an increase in commercial real estate loans. Commercial real estate loans increased $20.3 million driven by $59.0 million in originations during the quarter, partially offset by $18.3 million in loans that matured and paid off during the quarter. Commercial and industrial loans increased $15.7 million and included $33.4 million of originations during the quarter. Residential real estate loans decreased $10.4 million during the quarter due to $29.1 million in payoffs and $11.0 million in paydowns, partially offset by $29.7 million in originations. Loans held for sale were $10.2 million in the second quarter 2026 compared to $11.5 million in the first quarter 2026 as we originated $24.9 million in loans held for sale and sold $26.2 million in loans during the quarter.

The allowance for credit losses ("ACL") on loans was $32.2 million at the end of the second quarter 2026, compared to $34.3 million at the end of the first quarter 2026. The change in the allowance was primarily driven by a $3.3 million partial charge-off related to a previously non-accruing relationship that was moved into other real estate owned and that carried significant specific reserves at the end of the first quarter 2026.

Premises and equipment increased in the second quarter 2026 to $61.2 million compared to $58.9 million at the end of the first quarter 2026, driven by on-going renovation projects.

Bank owned life insurance decreased $1.1 million primarily reflecting the recognition of a death benefit during the quarter.

Total deposits remained consistent at $3.9 billion at the end of the second quarter 2026. During the quarter we witnessed a shift in our deposit mix from interest-bearing accounts to non-interest bearing demand deposits. Non-interest bearing demand deposits increased $26.8 million driven by 1,893 new account openings. Interest-bearing deposits decreased across all categories primarily driven by seasonality and tax payments.

Total borrowings increased $65.5 million in the second quarter 2026 to $281.2 million compared to $215.7 million in the first quarter 2026. The increase was driven by higher wholesale borrowings to fund loan originations.

The Company's book value per share was $32.80 at the end of the second quarter 2026 compared to $32.13 at the end of the first quarter 2026. Tangible book value per share (non-GAAP) was $23.43 at the end of the second quarter 2026, compared to $22.71 at the end of the first quarter 2026.

RESULTS OF OPERATIONS (Quarter results for June 30, 2026 compared to June 30, 2025)

The net interest margin was 3.61% in the second quarter 2026 compared to 3.23% in the same quarter 2025. As loan balances grew year-over-year the yield on loans expanded 4 basis points to 5.52% compared to 5.48% in the same period of 2025. Interest-bearing deposit costs decreased year-over-year to 1.88% compared to 2.28% in the same period of 2025.

Total interest and dividend income increased by 15% or $7.2 million to $55.9 million in the second quarter 2026 compared to $48.7 million in the second quarter 2025. Yields on earning assets grew to 5.29% in the second quarter 2026 compared to 5.23% in the second quarter 2025. The increase is driven by the securities yield expansion of 20 basis points to 4.06% in the second quarter 2026 compared to 3.86% in the same period of 2025. The increase is primarily due to $115.6 million in acquired investments from the acquisition of Woodsville Guaranty Savings Bank ("Woodsville"). The loan yield increased in part due to the acquisition of $413.4 million in loans from Woodsville but also includes $48.1 million in organic growth. Residential loan yield expansion was the primary driver as the yield increased to 4.62% for the second quarter 2026 from 4.14% in the second quarter of 2025. Total loan yield growth was partially offset by a decrease in the commercial and industrial yield to 6.17% for the second quarter 2026 from 6.41% in the second quarter 2025 driven by the decrease in rates of adjustable-rate loans.

Total interest expense decreased $806 thousand in the second quarter 2026 compared to the second quarter 2025. Deposit costs were down $873 thousand year-over-year as the cost of interest-bearing deposits decreased to 1.88% in the second quarter 2026 from 2.28% in the same period of 2025. Borrowing costs increased $67 thousand, or 2% year-over-year, driven by the subordinated debt acquired from Woodsville.

The provision for credit losses on loans in the second quarter 2026 was $1.3 million compared to $528 thousand in the same period of 2025. The allowance for credit losses to total loans coverage ratio for the second quarter 2026 remains well-funded and was 0.89% compared to 0.96% in the first quarter of 2026 and 0.92% in the second quarter of 2025.

Non-interest income increased $7.1 million in the second quarter 2026 to $11.7 million compared to $4.6 million in the same quarter 2025. The increase was primarily driven by increases in customer service fees in the second quarter 2026 compared to the same period of 2025 and a loss on sales of securities of $25 thousand compared to $4.9 million for the same period of 2025. Trust management fee income increased $314 thousand driven by the 12%, or $330.0 million, increase in assets under management compared to the same period of 2025. Bank owned life insurance income increased $815 thousand in the second quarter of 2026 compared to the second quarter of 2025 primarily due to a death benefit during the quarter.

Non-interest expenses increased $2.7 million to $29.2 million in the second quarter 2026 compared to $26.5 million in the second quarter 2025. The increase was driven by higher salaries and employee benefits costs of $16.8 million in the second quarter 2026 compared to $14.3 million in the second quarter 2025 as full-time equivalents increased to 530 from 455 as of June 30, 2025. Occupancy and equipment increased $746 thousand driven primarily by higher maintenance contract costs from the acquisition of Woodsville. Amortization of intangible assets increased $349 thousand, reflecting incremental amortization associated with the Woodsville acquisition. Acquisition, conversion and other expenses decreased $1.2 million from the second quarter of 2025 as expenses related to the acquisition neared completion. Other expenses increased $896 thousand for the second quarter 2026 compared to the second quarter 2025 primarily due to expenses related to other real estate owned.

Income tax expense was $4.0 million for the second quarter 2026 compared to $1.4 million for the second quarter of 2025. Our GAAP effective tax rate for the second quarter 2026 was 20.8% and 18.5% in the second quarter 2025.

BACKGROUND

Bar Harbor Bankshares (NYSE American: BHB) is the parent company of its wholly-owned subsidiary, Bar Harbor Bank & Trust. Founded in 1887, Bar Harbor Bank & Trust is a true community bank serving the financial needs of its clients for over 135 years. Bar Harbor Bank & Trust provides full-service community banking with office locations in all three Northern New England states of Maine, New Hampshire and Vermont. For more information, visit www.barharbor.bank.

FORWARD-LOOKING STATEMENTS

All statements, other than statements of historical fact, included in this release that address activities, events, or developments that the Company expects, believes, or anticipates will or may occur in the future are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. When used in this release the words "believe," "anticipate," "expect," "may," "will," "assume," "should," "predict," "could," "would," "intend," "targets," "estimates," "projects," "plans," and "potential," and other similar words and expressions of the future, are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking, including statements relating to Company's balance sheet management, our credit trends, our overall credit performance, and the Company's strategic plans, objectives, and intentions. All forward-looking statements are subject to risks, uncertainties, and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from any results, performance, or achievements expressed or implied by such forward-looking statements. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from the statements, including, but not limited to: (1) changes in general business and economic conditions on a national basis and in our markets throughout Northern New England; (2) changes in consumer behavior due to political, business, and economic conditions, including ongoing armed conflicts, inflation, future United States government shutdowns, and concerns about liquidity; (3) the possibility that our asset quality could decline or that we experience greater loan losses than anticipated; (4) the impact of liquidity needs on our results of operations and financial condition; (5) changes in the size and nature of our competition; (6) the effect of interest rate increases on the cost of deposits; (7) unanticipated weakness in loan demand, pricing, or collectability; (8) the possibility that future credit losses are higher than currently expected due to changes in economic assumptions or adverse economic developments; (9) operational risks including, but not limited to, changes in information technology, cybersecurity incidents, fraud, natural disasters, climate change, war, terrorism, civil unrest, and future pandemics; (10) lack of strategic growth opportunities or our failure to execute on available opportunities, (11) our ability to effectively manage problem credits; (12) our ability to successfully develop new products and implement efficiency initiatives on time and with the results projected; (13) our ability to retain executive officers and key employees and their customer and community relationships; (14) regulatory, litigation, and reputational risks and the applicability of insurance coverage; (15) changes in the reliability of our vendors, internal control systems, or information systems; (16) changes in legislation or regulation and accounting principles, policies, and guidelines; (17) reductions in the market value or outflows of wealth management assets under management; (18) the impacts of tariffs, sanctions, and other trade policies of the United States and its global trading counterparts; and (19) changes in the assumptions used in making such forward-looking statements. Additional factors which could affect the forward-looking statements can be found in the Company's annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K filed with the Securities and Exchange Commission (the "SEC") and available on the SEC's website at http://www.sec.gov. The Company believes the forward-looking statements contained herein are reasonable; however, many of such risks, uncertainties, and other factors are beyond the Company's ability to control or predict and undue reliance should not be placed on any forward-looking statements, which are based on current expectations and speak only as of the date that they are made. Therefore, the Company can give no assurance that its future results will be as estimated. The Company does not intend to, and disclaims any obligation to, update or revise any forward-looking statement.

NON-GAAP FINANCIAL MEASURES

This document contains certain non-GAAP financial measures in addition to results presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"). These non-GAAP measures are intended to provide the reader with additional supplemental perspectives on operating results, performance trends, and financial condition. Non-GAAP financial measures are not a substitute for GAAP measures; they should be read and used in conjunction with the Company's GAAP financial information. Because non-GAAP financial measures presented in this document are not measurements determined in accordance with GAAP and are susceptible to varying calculations, these non-GAAP financial measures, as presented, may not be comparable to other similarly titled measures presented by other companies. A reconciliation of non-GAAP financial measures to GAAP measures is provided below. In all cases, it should be understood that non-GAAP measures do not depict amounts that accrue directly to the benefit of shareholders. An item which management excludes when computing non-GAAP core earnings can be of substantial importance to the Company's results for any particular quarter or year. Each non-GAAP measure used by the Company in this report as supplemental financial data should be considered in conjunction with the Company's GAAP financial information.

The Company utilizes the non-GAAP measure of core earnings in evaluating operating trends, including components for core revenue and expense. These measures exclude amounts which the Company views as unrelated to its normalized operations, including gains/losses on securities, premises, equipment and other real estate owned, acquisition costs, restructuring costs, legal settlements, and systems conversion costs. Non-GAAP adjustments are presented net of an adjustment for income tax expense.

The Company also calculates core earnings per share based on its measure of core earnings. The Company views these amounts as important to understanding its operating trends, particularly due to the impact of accounting standards related to acquisition activity. Analysts also rely on these measures in estimating and evaluating the Company's performance. Management also believes that the computation of non-GAAP core earnings and core earnings per share may facilitate the comparison of the Company to other companies in the financial services industry. The Company also adjusts certain equity related measures to exclude intangible assets due to the importance of these measures to the investment community.

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CONTACTS

Josephine Iannelli; EVP, Chief Financial Officer & Treasurer; (207) 288-3314

TABLE

INDEX

CONSOLIDATED FINANCIAL SCHEDULES (UNAUDITED)

Selected Financial Highlights

Balance Sheets

Loan and Deposit Analysis

Statements of Income

Statements of Income (Five Quarter Trend)

Average Yields and Costs

Average Balances

Asset Quality Analysis

I-J

Reconciliation of Non-GAAP Financial Measures (Five Quarter Trend) and Supplementary Data

BAR HARBOR BANKSHARES

SELECTED FINANCIAL HIGHLIGHTS - UNAUDITED

At or for the Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

0.91

0.81

0.70

0.54

0.40

0.92

0.88

0.93

0.95

0.70

32.80

32.13

31.88

31.22

30.60

23.43

22.71

22.41

21.70

22.58

37.76

32.45

31.05

30.46

29.96

0.34

0.32

1.31

1.18

1.00

0.78

0.60

1.33

1.28

1.32

1.35

1.06

1.76

1.52

1.29

1.30

0.79

1.79

1.65

1.71

1.39

11.16

10.13

8.76

6.99

5.21

11.30

11.03

11.55

12.16

9.19

16.11

14.77

12.94

10.07

7.26

16.31

16.03

16.91

17.23

12.66

3.61

3.54

3.62

3.56

3.23

55.76

56.92

57.24

56.70

62.10

4,743

4,676

4,684

4,717

4,112

4,343

4,297

4,336

3,789

602

598

597

598

529

3,614

3,585

3,606

3,584

3,153

157

158

159

123

3,854

3,868

3,821

3,948

3,292

550

538

533

521

469

0.38

0.03

0.04

0.03

0.89

0.96

0.94

0.95

0.92

11.59

11.50

11.37

11.04

11.40

8.56

8.42

8.27

7.94

8.67

(1) Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in tables I-J for additional information.

(2) All performance ratios are based on average balance sheet amounts, where applicable.

(3) Fully taxable equivalent considers the impact of tax-advantaged investment securities and loans.

(4) Earning assets includes non-accruing loans and interest-bearing deposits with other banks. Securities are valued at amortized cost.

(5) Current quarter annualized.

BAR HARBOR BANKSHARES

CONSOLIDATED BALANCE SHEETS - UNAUDITED

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

46,270

35,595

44,947

42,743

50,948

58,118

46,620

35,890

93,971

36,087

104,388

82,215

80,837

136,714

87,035

601,772

597,977

597,424

597,810

528,690

13,423

9,567

11,308

8,560

12,695

10,203

11,534

5,283

5,545

2,829

3,614,180

3,585,248

3,605,859

3,583,716

3,152,664

(32,231

)

(34,315

)

(34,052

)

(33,940

)

(28,885

)

3,581,949

3,550,933

3,571,807

3,549,776

3,123,779

61,170

58,914

58,188

58,828

52,647

8,170

141,819

119,477

15,242

15,824

16,407

16,989

3,472

88,728

89,817

96,250

95,554

83,074

28,859

30,298

29,926

31,721

23,290

86,779

87,330

74,642

73,936

75,017

4,742,502

4,676,228

4,683,891

4,717,252

4,112,005

678,081

651,282

670,786

692,780

552,074

1,141,043

1,152,888

1,137,730

1,137,362

931,854

635,316

649,302

635,329

647,428

542,579

481,815

493,432

464,843

488,633

370,709

917,694

920,811

912,594

981,993

894,772

3,853,949

3,867,715

3,821,282

3,948,196

3,291,988

227,541

162,297

216,818

139,956

256,441

53,620

53,420

52,825

52,229

40,620

281,161

215,717

269,643

192,185

297,061

57,840

54,859

60,425

55,916

54,096

4,192,950

4,138,291

4,151,350

4,196,297

3,643,145

549,552

537,937

532,541

520,955

468,860

4,742,502

4,676,228

4,683,891

4,717,252

4,112,005

16,754

16,742

16,702

16,689

15,322

BAR HARBOR BANKSHARES

CONSOLIDATED LOAN & DEPOSIT ANALYSIS - UNAUDITED

LOAN ANALYSIS

Organic Annualized

Growth %

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Acquired WGSB

Jun 30,

Quarter

Year

2026

2025

Balances (1)

2025

to Date

1,988,695

1,968,403

1,998,603

1,942,659

117,832

1,767,206

433,371

417,657

393,851

405,759

25,651

400,908

2,422,066

2,386,060

2,392,454

2,348,418

143,483

2,168,114

983,274

993,636

1,001,769

1,025,266

248,484

796,184

)

132,570

127,681

128,029

126,345

16,215

111,036

76,270

77,871

83,607

83,687

5,226

77,330

)

(18

)

3,614,180

3,585,248

3,605,859

3,583,716

413,408

3,152,664

Acquired Woodsville Guaranty Savings Bank (WGSB) Balances are as of August 1, 2025.

DEPOSIT ANALYSIS

Organic Annualized

Growth %

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Acquired WGSB

Jun 30,

Quarter

Year

2026

2025

Balances (1)

2025

to Date

678,081

651,282

670,786

692,780

89,274

552,074

1,141,043

1,152,888

1,137,730

1,137,362

185,802

931,854

)

635,316

649,302

635,329

647,428

104,792

542,579

)

481,815

493,432

464,843

488,633

52,470

370,709

)

2,936,255

2,946,904

2,908,688

2,966,203

432,338

2,397,216

)

917,694

920,811

912,594

981,993

98,951

894,772

)

3,853,949

3,867,715

3,821,282

3,948,196

531,289

3,291,988

Acquired Woodsville Guaranty Savings Bank (WGSB) Balances are as of August 1, 2025.

BAR HARBOR BANKSHARES

CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED

Three Months Ended

Six Months Ended

June 30,

2026

2025

2026

2025

49,151

42,726

97,809

84,530

6,319

5,474

12,523

10,757

183

212

338

349

253

276

486

590

55,906

48,688

111,156

96,226

14,638

15,511

29,527

31,023

3,349

3,282

6,838

6,301

17,987

18,793

36,365

37,324

37,919

29,895

74,791

58,902

636

1,250

528

1,555

471

36,669

29,367

73,236

57,795

4,577

4,263

8,692

8,179

4,715

3,589

8,817

7,114

(25

)

(4,942

)

(1,033

)

(4,942

)

741

605

1,423

1,061

1,417

602

3,404

1,216

104

405

316

231

425

438

620

11,732

4,646

22,146

13,564

16,833

14,274

32,606

28,007

4,292

3,546

8,328

6,871

1,088

1,023

2,222

2,072

134

528

457

992

939

388

514

737

1,106

211

194

459

360

570

682

1,175

1,200

582

233

1,164

466

537

464

1,114

920

(36

)

1,205

1,419

1,444

(650

)

(876

)

(74

)

4,839

3,943

9,535

7,785

29,182

26,538

59,009

51,189

19,219

7,475

36,373

20,170

3,998

1,383

7,615

3,867

15,221

6,092

28,758

16,303

0.91

0.40

1.72

1.06

0.91

0.40

1.71

1.06

16,751

15,321

16,740

15,312

16,808

15,372

16,806

15,382

BAR HARBOR BANKSHARES

CONSOLIDATED STATEMENTS OF INCOME (5 Quarter Trend) - UNAUDITED

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

49,151

48,658

50,164

48,426

42,726

6,319

6,204

6,327

6,355

5,474

183

155

235

217

212

253

233

645

924

276

55,906

55,250

57,371

55,922

48,688

14,638

14,889

16,083

16,419

15,511

3,349

3,489

2,671

2,544

3,282

17,987

18,378

18,754

18,963

18,793

37,919

36,872

38,617

36,959

29,895

1,250

305

416

3,749

528

36,669

36,567

38,201

33,210

29,367

4,577

4,115

3,984

3,903

4,263

4,715

4,102

4,528

4,311

3,589

(25

)

(1,008

)

(428

)

(4,942

)

741

682

485

423

605

1,417

1,987

695

665

602

329

735

962

104

231

207

326

262

425

11,732

10,414

10,325

10,567

4,646

16,833

15,773

16,588

15,939

14,274

4,292

4,036

3,780

3,879

3,546

1,088

1,134

1,153

1,078

1,023

134

370

(206

)

528

464

564

514

457

388

349

407

296

514

211

248

271

246

194

570

605

181

655

682

582

466

233

537

577

539

462

464

(36

)

1,455

4,170

4,978

1,205

(650

)

(226

)

725

145

4,839

4,696

4,469

4,287

3,943

29,182

29,827

33,799

32,739

26,538

19,219

17,154

14,727

11,038

7,475

3,998

3,617

2,966

2,183

1,383

15,221

13,537

11,761

8,855

6,092

0.91

0.81

0.70

0.55

0.40

0.91

0.81

0.70

0.54

0.40

16,751

16,728

16,696

16,231

15,321

16,808

16,804

16,757

16,284

15,372

(1) The $4.9 million loss in June 2025 includes a $4.5 million loss on corporate debt securities and $549 thousand on a matured debt security.

BAR HARBOR BANKSHARES

AVERAGE YIELDS AND COSTS (Fully Taxable Equivalent (Non-GAAP) - Annualized) - UNAUDITED

Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

3.92

3.90

4.53

4.49

4.68

4.06

4.05

4.03

4.14

3.86

6.33

5.68

10.72

7.71

7.20

5.72

5.68

5.74

5.88

5.76

6.17

6.13

6.34

6.45

6.41

4.62

4.64

4.75

4.42

4.14

7.05

6.90

7.27

7.23

6.98

5.52

5.50

5.59

5.60

5.48

5.29

5.27

5.36

5.23

1.32

1.30

1.39

1.42

1.44

0.50

0.56

0.54

0.64

0.71

2.33

2.28

2.43

2.59

2.75

3.32

3.41

3.53

3.64

3.91

1.88

1.91

2.01

2.12

2.28

5.05

5.62

5.43

4.04

4.85

2.13

2.19

2.20

2.27

2.51

3.16

3.08

3.16

3.09

2.72

3.61

3.54

3.62

3.56

3.23

(1) Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in tables I-J for additional information.

BAR HARBOR BANKSHARES

AVERAGE BALANCES - UNAUDITED

Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

25,896

24,230

56,502

81,709

23,643

647,755

643,647

644,929

631,572

591,462

11,592

11,062

8,696

11,168

11,804

1,975,080

2,001,851

1,954,841

1,887,267

1,766,720

492,195

486,295

480,529

483,380

469,816

993,933

998,862

1,021,309

963,311

804,469

130,890

127,693

126,953

120,941

109,023

3,592,098

3,614,701

3,583,632

3,454,899

3,150,028

4,277,341

4,293,640

4,293,759

4,179,348

3,776,937

37,089

36,278

40,291

38,709

29,861

(33,242

)

(34,195

)

(33,905

)

(31,246

)

(28,786

)

157,345

157,921

158,507

139,822

123,062

215,460

215,852

211,317

191,446

169,540

4,653,993

4,669,496

4,669,969

4,518,079

4,070,614

1,119,195

1,121,021

1,127,456

1,059,214

906,557

640,852

642,717

640,577

617,314

545,304

463,296

469,496

473,574

432,952

392,034

902,363

922,180

939,353

961,054

883,491

3,125,706

3,155,414

3,180,960

3,070,534

2,727,386

265,929

251,985

195,139

250,110

271,410

3,391,635

3,407,399

3,376,099

3,320,644

2,998,796

657,470

659,506

705,245

647,981

545,308

57,702

60,814

56,025

46,962

57,268

4,106,807

4,127,719

4,137,369

4,015,587

3,601,372

547,186

541,777

532,600

502,492

469,242

4,653,993

4,669,496

4,669,969

4,518,079

4,070,614

(1) Total average interest-bearing deposits with other banks is net of Federal Reserve daily cash letter.

(2) Average balances for available-for-sale debt securities are based on amortized cost.

(3) Total average loans include non-accruing loans and loans held for sale.

BAR HARBOR BANKSHARES

ASSET QUALITY ANALYSIS - UNAUDITED

At or for the Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

902

12,620

1,497

697

1,033

1,003

1,139

1,113

1,221

1,344

8,314

8,206

7,719

6,541

6,411

1,199

1,176

1,265

1,051

944

11,418

23,141

11,594

9,510

9,732

1,329

2,203

2,403

8,170

20,917

24,470

13,797

11,713

12,135

0.32

0.65

0.32

0.27

0.31

0.44

0.52

0.29

0.25

0.30

34,315

34,052

33,940

28,885

28,614

(3,463

)

(97

)

(318

)

(353

)

(266

)

(3,406

)

(42

)

(304

)

(316

)

(257

)

1,622

1,250

305

416

3,749

528

32,231

34,315

34,052

33,940

28,885

0.89

0.96

0.94

0.95

0.92

282

148

294

357

297

(3,283

)

(224

)

(15

)

(256

)

(204

)

(21

)

(112

)

(87

)

(85

)

(56

)

(59

)

(3,406

)

(42

)

(304

)

(316

)

(257

)

0.38

0.03

0.04

0.03

0.19

0.03

0.02

1,204

(1,204

)

BAR HARBOR BANKSHARES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTARY DATA - UNAUDITED

At or for the Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

15,221

13,537

11,761

8,855

6,092

428

(41

)

4,942

134

370

(206

)

273

3,954

(36

)

1,455

4,170

4,978

1,205

(65

)

(392

)

(1,225

)

(2,141

)

(1,492

)

197

1,197

3,743

6,544

4,658

15,418

14,734

15,504

15,399

10,750

37,919

36,872

38,617

36,959

29,895

11,732

10,414

10,325

10,567

4,646

49,651

47,286

48,942

47,526

34,541

428

(41

)

4,942

49,676

47,286

49,370

47,485

39,483

29,182

29,827

33,799

32,739

26,538

(134

)

(370

)

206

)

(273

)

(1,455

)

(4,170

)

(4,978

)

(1,205

)

(237

)

(1,589

)

(4,540

)

(4,772

)

(1,208

)

28,945

28,238

29,259

27,967

25,330

49,651

47,286

48,942

47,526

34,541

29,182

29,827

33,799

32,739

26,538

20,469

17,459

15,143

14,787

8,003

49,676

47,286

49,370

47,485

39,483

28,945

28,238

29,259

27,967

25,330

20,731

19,048

20,111

19,518

14,153

4,277

4,294

4,179

3,777

4,654

4,669

4,670

4,518

4,071

547

542

533

502

469

390

384

374

360

346

392

380

374

362

346

4,585

4,519

4,526

4,563

3,989

BAR HARBOR BANKSHARES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES AND SUPPLEMENTARY DATA - UNAUDITED

At or for the Quarters Ended

Jun 30,

Mar 31,

Dec 31,

Sept 30,

Jun 30,

2026

2025

(K)

16,754

16,742

16,702

16,689

15,322

(L)

16,808

16,804

16,757

16,284

15,372

(A/L)

0.92

0.88

0.93

0.95

0.70

(I/K)

23.43

22.71

22.41

21.70

22.58

(I/J)

8.56

8.42

8.27

7.94

8.67

1.31

1.18

1.00

0.78

0.60

(A/F)

1.33

1.28

1.32

1.35

1.06

(S/F)

1.76

1.52

1.29

1.30

0.79

(U/F)

1.79

1.65

1.71

1.39

11.16

10.13

8.76

6.99

5.21

(A/G)

11.30

11.03

11.55

12.16

9.19

(R+Q)/H

16.11

14.77

12.94

10.07

7.26

(A+Q)/H

16.31

16.03

16.91

17.23

12.66

(D-OQ)/

(C+N)

55.76

56.92

57.24

56.70

62.10

(B+P)/E

3.61

3.54

3.62

3.56

3.23

(N)

905

1,044

766

738

706

(O)

159

146

(22

)

158

141

(P)

556

554

595

574

560

(Q)

582

466

233

(1) Assumes a marginal tax rate of 24.65% for the first and second quarters of 2026 and third and fourth quarters of 2025 and 24.26% in the second quarter of 2025.

(2) Non-GAAP financial measure.

(3) Tangible shareholders' equity is computed by taking total shareholders' equity less the intangible assets at period-end. Tangible assets is computed by taking total assets less the intangible assets at period-end.

(4) All performance ratios are based on average balance sheet amounts, where applicable.

(5) Efficiency ratio is computed by dividing core non-interest expense net of franchise taxes and intangible amortization divided by core revenue on a fully taxable equivalent basis.

(6) The $4.9 million loss in the second quarter 2025 includes a $4.5 million loss on corporate debt securities and $549 thousand on a matured debt security.

SOURCE: Bar Harbor Bank & Trust