Avidbank Holdings, Inc. Announces Financial Results for the Second Quarter of 2025

SAN JOSE, CA / ACCESS Newswire / August 25, 2025 / Avidbank Holdings, Inc. (NASDAQ:AVBH) announced net income for the second quarter of 2025 of $5.8 million, or $0.75 per diluted share, compared to $5.4 million, or $0.71 per diluted share, for the first quarter of 2025 and $3.5 million, or $0.46 per diluted share, for the second quarter of 2024.

Initial Public Offering

Subsequent to the end of the second quarter, in August 2025 the Company completed an initial public offering of its common stock, issuing an aggregate total of 3,001,500 shares of common stock at the public offering price of $23.00 per share. After deductions for underwriting fees and commissions and estimated offering expenses, the Company's net proceeds from the initial public offering totaled approximately $62 million.

Second Quarter 2025 Highlights

Book value per share was $25.80 at June 30, 2025, an increase of $0.95, or 15% annualized, from March 31, 2025, and an increase of $4.03, or 19%, from June 30, 2024.

Net interest margin expanded to 3.60% in the second quarter of 2025, compared to 3.52% in the first quarter of 2025.

Return on average assets improved to 1.00% compared to 0.96% in the first quarter of 2025 and 0.62% in the second quarter of 2024.

Loans increased $70.5 million, or 15% annualized, from March 31, 2025 and $105.1 million, or 6%, from June 30, 2024.

Average deposits increased $86.2 million, or 18% annualized, from the first quarter of 2025 and $214.9 million, or 12%, from the second quarter of 2024.

Nonperforming assets to total assets totaled 0.06% as of June 30, 2025 and March 31, 2025.

"Our second quarter results reflect the continued strength of our business model, with solid loan and deposit growth, further expansion in our net interest margin, and improved profitability," said Mark D. Mordell, Chairman and Chief Executive Officer. "We are pleased to have successfully completed our initial public offering in August, which further strengthens our capital position to support our long-term strategy and provides the regulatory capital to potentially reposition a substantial portion of our available-for-sale securities portfolio. With a strong balance sheet, disciplined credit culture, and a growing client base, we believe we are well positioned to continue delivering value for our shareholders."

"Our results are a testament to the trust our clients place in us and the dedication of our employees, who deliver exceptional service every day. As we look ahead, we remain focused on maintaining our disciplined approach to growth while continuing to invest in the relationships, people, and innovative solutions that differentiate Avidbank in the marketplace," added Mr. Mordell.

Income Statement

Net income totaled $5.8 million for the second quarter of 2025, an increase of $361,000, or 27% annualized, from the first quarter of 2025, and an increase of $2.3 million, or 67%, from the second quarter of 2024. The primary contributors to the improvement in net income compared to the first quarter of 2025, were a $1.1 million increase in interest and fees on loans, an increase of $367,000 in noninterest income and a decrease in noninterest expense of $233,000. Partially offsetting this increase was $925,000 in provision for credit losses during the second quarter of 2025. This increase in provision for credit losses was primarily due to an increase in loans as of June 30, 2025 compared to March 31, 2025.

Net interest income totaled $20.3 million for the second quarter of 2025, an increase of $938,000, or 19% annualized, from the first quarter of 2025, and an increase of $1.8 million, or 10%, from the second quarter of 2024. Net interest margin was 3.60% in the second quarter of 2025, an increase of 8 basis points compared to the first quarter of 2025, and a 21-basis-point increase compared to the second quarter of 2024. The increase in net interest margin compared to the prior quarter was primarily driven by an increase in average loans and higher loan yields outpacing stable funding costs, which were driven by lower average short-term borrowings.

The yield on loans in the second quarter of 2025 was 7.01%, an increase of 5 basis points from the first quarter of 2025 and a decrease of 36 basis points from the second quarter of 2024. The increase in loan yields compared to the first quarter of 2025 was due to the increase in average loans during the second quarter of 2025 while the decrease in loan yields compared to the second quarter of 2024 was driven by a reduction in the Prime rate.

The cost of interest-bearing deposits in the second quarter of 2025 was 3.54%, an increase of 3 basis points compared to the first quarter of 2025 and a decrease of 57 basis points compared to the second quarter of 2024. The cost of deposits in the second quarter of 2025 was 2.78%, an increase of 2 basis points from the first quarter of 2025 and a decrease of 31 basis points from the second quarter of 2024.

The provision for credit losses was $925,000 in the second quarter of 2025, compared to $0 in the first quarter of 2025 and $3.0 million in the second quarter of 2024. The provision was higher in the second quarter of 2025 compared to the first quarter primarily due to higher loan balances.

Noninterest income was $1.5 million in the second quarter of 2025 compared to $1.2 million in the first quarter of 2025 and $1.1 million in the second quarter of 2024. The second quarter of 2025 included $273,000 from warrant and success fee income, partially offset by a decrease in other investments income due to fair value adjustments.

Noninterest expense totaled $12.6 million for the second quarter of 2025, compared to $12.8 million in the first quarter of 2025 and $11.8 million in the second quarter of 2024. The decrease from the first quarter was primarily due to lower salaries and benefits expense driven by the following: severance expense of $222,000 and seasonally higher payroll taxes during the first quarter of 2025, as well as higher capitalized loan origination costs during the second quarter of 2025, partially offset by an increase in incentives expense. Occupancy and equipment expense decreased due to lower rent expense in one of our loan production offices. There were 149 full-time equivalent employees on June 30, 2025, compared to 143 on March 31, 2025.

Balance Sheet

Total assets were $2.39 billion as of June 30, 2025, compared to $2.32 billion as of March 31, 2025, and $2.29 billion at June 30, 2024. Cash and cash equivalents were $129.9 million on June 30, 2025, compared to $125.0 million on March 31, 2025, and $111.7 million on June 30, 2024.

Loans on June 30, 2025, totaled $1.91 billion, an increase of $70.5 million, or 15% annualized, from March 31, 2025, and an increase of $105.1 million, or 6%, from June 30, 2024. The increase in loans during the second quarter of 2025 included an increase of $51.1 million in commercial and industrial loans, $25.6 million in owner occupied loans and $14.4 million in multi-family loans. Partially offsetting the increase in loans was a $21.7 million decrease in construction and land loans.

The allowance for credit losses on loans was $19.6 million on June 30, 2025, representing an increase of $902,000 from March 31, 2025 and a decrease of $2.8 million compared to June 30, 2024. The allowance for credit losses - loans and unfunded commitments to total loans was 1.15% on June 30, 2025, compared to 1.14% on March 31, 2025 and 1.36% as of June 30, 2024.

Nonperforming loans to total loans was 0.07% on June 30, 3025 unchanged from March 31, 2025 and down 10 basis points from June 30, 2024.

The available-for-sale securities portfolio totaled $292.8 million as of June 30, 2025, compared to $296.6 million on March 31, 2025, and $308.7 million as of June 30, 2024. The net unrealized loss for the available-for-sale portfolio totaled $63.4 million as of June 30, 2025, compared to $65.6 million at March 31, 2025 and $73.8 million as of June 30, 2024.

Deposits were $2.00 billion on June 30, 2025, an increase of $73.3 million, or 15% annualized, from March 31, 2025 and an increase of $264.3 million, or 15% from June 30, 2024. The change in deposits during the second quarter of 2025 included a $122.2 million increase in interest-bearing checking, offset by a $61.9 million decrease in non-reciprocal brokered deposits. Quarterly average deposits for the second quarter of 2025 were $1.97 billion, an increase of $86.2 million from the first quarter of 2025, and an increase of $214.9 million from the second quarter of 2024.

Short-term borrowings on June 30, 2025, totaled $145.0 million, a decrease of $10.0 million, or 26% annualized, compared to March 31, 2025, and a decrease of $185.0 million, or 56%, compared to June 30, 2024.

Book value per share was $25.80 on June 30, 2025, an increase of $0.95 compared to $24.85 on March 31, 2025 and $21.77 as of June 30, 2024. Total shareholders' equity was $204.4 million on June 30, 2025, an increase of $7.8 million compared to March 31, 2025 and an increase of $33.0 million from June 30, 2024. The change from March 31, 2025 to June 30, 2025 included an increase in retained earnings of $5.8 million and a decrease in accumulated other comprehensive loss of $1.2 million.

About Avidbank

Avidbank Holdings, Inc. (NASDAQ:AVBH), headquartered in San Jose, California, offers innovative financial solutions and services. We specialize in commercial & industrial lending, venture lending, structured finance, asset-based lending, sponsor finance, fund finance, and real estate construction and commercial real estate lending. Avidbank provides a different approach to banking. We do what we say.

Non-GAAP Financial Measures

This news release contains certain non-GAAP (Generally Accepted Accounting Principles) financial measures in addition to results presented in accordance with GAAP. Management has presented these non-GAAP financial measures because we believe that these measures provide useful information to management and investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with GAAP. Management believes that taxable equivalent net interest income and taxable equivalent net interest margin are reasonable measures to understand the Company's core operating performance and are important to many investors in the marketplace who are interested in understanding our profitability prospects from our core operations.

However, we acknowledge that our non-GAAP financial measures have a number of limitations. As such, you should not view these disclosures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable to non-GAAP financial measures that other banking companies use. Other banking companies may use names similar to those we use for the non-GAAP financial measures we disclose but may calculate them differently. You should understand how we and other companies each calculate their non-GAAP financial measures when making comparisons.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of U.S. federal securities laws, which involve risks and uncertainties. You should not place undue reliance on forward-looking statements because they are subject to numerous uncertainties and factors relating to our operations and business, all of which are difficult to predict and many of which are beyond our control. Forward-looking statements include information concerning our possible or assumed future results of operations, including descriptions of our business strategy and expectations. These forward-looking statements are generally identified by the use of forward-looking terminology, including the terms "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and, in each case, their negative or other variations or comparable terminology and expressions. The results, events and circumstances reflected in the forward-looking statements may not be achieved or occur, and actual results, events, or circumstances could differ materially from those described in the forward-looking statements. We caution that the forward-looking information and statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control. Such forward-looking statements are based on various assumptions (some of which may be beyond our control) and are subject to risks and uncertainties, which change over time, and other factors which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties include, but are not limited to: uncertain market conditions and economic trends nationally, regionally and particularly in the Bay Area and California; economic conditions affecting the venture capital and private equity industries, including any decline in overall portfolio company investment, merger and acquisition activity and other liquidity events affecting venture and private equity fund and their portfolio companies; risks related to the concentration of our business in California, and specifically within the Bay Area, including risks associated with any downturn in the real estate sector; our inability to successfully reposition our available-for-sale securities portfolio utilizing the proceeds from our recent public offering; incurrence of any losses in connection with any repositioning of our available-for-sale securities portfolio utilizing the proceeds from our recently completed public offering; the occurrence of significant natural disasters, including fires and earthquakes, and acts of war or terrorism; our ability to conduct our business could be disrupted by natural or man-made disasters, including the effects of pandemic viruses; changes in market interest rates that affect the pricing of our loans and deposits and our net interest income; risks related to our strategic focus on lending to small to medium-sized businesses; the sufficiency of the assumptions and estimates we make in establishing reserves for potential loan losses and the value of loan collateral and securities; our ability to attract and retain executive officers and key employees and their customer and community relationships; adverse changes in the financial performance and/or condition of our borrowers and, as a result, increased loan delinquency rates, deterioration in asset quality and losses in our loan portfolio; the costs of and effects of legal and regulatory developments, including legal proceedings and lawsuits we are or may become subject to; the results of regulatory examinations or reviews and the effect of and our ability to comply with, any regulations or regulatory orders or actions we are or may become subject to; our level of nonperforming assets and the costs associated with resolving problem loans; our ability to maintain adequate liquidity and to raise necessary capital to fund our growth strategy and operations or to meet increased minimum regulatory capital levels; the effects of increased competition from a wide variety of local, regional, national and other providers of financial services; technological changes and developments; negative trends in our market capitalization and adverse changes in the price of our common stock; risks associated with unauthorized access, cyber-crime and other threats to data security; the effects of any acquisitions or dispositions we may make or evaluate, and the costs associated with any potential or actual acquisition or disposition; our ability to comply with various governmental and regulatory requirements applicable to financial institutions, including supervisory actions by federal and state banking agencies; the impact of recent and future legislative and regulatory changes, including changes in banking, accounting, securities and tax laws and regulations and their application by our regulators, and economic stimulus programs; governmental monetary and fiscal policies, including the policies of the Federal Reserve and policies related to tariffs; our ability to implement, maintain and improve effective internal controls; our use of the net proceeds from our recent public offering; and our success at managing any of the risks involved any of the foregoing items. Additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in the Company's filings with the SEC under the heading "Risk Factors" and available at the SEC's Internet site www.sec.gov. The foregoing factors should not be considered exhaustive. New risks and uncertainties may emerge from time to time, and it is not possible for us to predict their occurrence or how they will affect us. If one or more of the factors affecting our forward-looking information and statements proves incorrect, then our actual results, performance or achievements could differ materially from those expressed in, or implied by, forward-looking information. Therefore, we caution you not to place undue reliance on our forward-looking information and statements. We disclaim any duty to revise or update the forward-looking statements, whether written or oral, to reflect actual results or changes in the factors affecting the forward-looking statements, except as specifically required by law.

Contact: Patrick Oakes

Executive Vice President and Chief Financial Officer

408-200-7390

IR@avidbank.com

AVIDBANK HOLDINGS, INC.

Selected Financial Data (Unaudited)

(In thousands, except share and per share amounts)

Quarter Ended

Year-to-Date

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

2025

2024

2025

2024

5,797

5,436

6,457

5,846

3,466

11,233

8,712

0.77

0.73

0.87

0.79

0.47

1.50

1.18

0.75

0.71

0.84

0.77

0.46

1.46

1.15

25.80

24.85

23.57

23.95

21.77

25.80

21.77

1.00

0.96

1.14

1.02

0.62

0.98

0.78

11.59

11.49

13.65

12.97

8.35

11.54

10.50

3.60

3.52

3.48

3.35

3.39

3.56

3.46

3.60

3.52

3.49

3.35

3.39

3.56

3.47

57.77

62.57

52.53

59.29

59.92

60.10

60.78

95.69

98.55

95.86

99.90

103.19

97.08

102.53

10.53

10.39

10.35

9.93

9.64

10.53

9.64

11.02

11.10

10.59

10.75

10.08

11.02

10.08

11.02

11.10

10.59

10.75

10.08

11.02

10.08

12.76

12.86

12.30

12.92

12.17

12.76

12.17

8.55

8.48

8.09

8.21

7.50

8.55

7.50

7,923,946

7,912,184

7,906,761

7,871,818

7,876,082

7,923,946

7,876,082

7,534,264

7,488,051

7,455,650

7,434,726

7,426,949

7,511,285

7,406,794

7,686,385

7,682,884

7,661,711

7,622,428

7,578,613

7,684,976

7,565,065

1.15

1.14

1.12

1.37

1.36

1.15

1.36

0.06

0.16

0.06

0.16

0.07

0.20

0.07

0.20

0.00

-0.01

0.93

0.02

0.00

-0.01

0.00

1,887,263

1,858,716

1,815,933

1,804,107

1,813,422

1,873,068

1,785,096

293,640

296,422

308,502

311,450

307,294

295,024

313,367

2,322,264

2,289,935

2,250,086

2,272,623

2,265,583

2,306,188

2,244,180

1,972,215

1,885,993

1,894,321

1,805,935

1,757,320

1,929,342

1,741,082

200,608

191,891

188,170

179,260

166,874

196,273

166,890

(1) Annualized

(2) A non-GAAP performance measure. We provide detailed reconciliations in the "Non-GAAP Performance and Financial Measures Reconciliation" table.

AVIDBANK HOLDINGS, INC.

Consolidated Balance Sheets (Unaudited)

(In thousands)

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

2025

2024

2,800

18,866

8,662

15,172

13,750

127,123

106,135

74,039

121,361

97,974

129,923

125,001

82,701

136,533

111,724

292,808

296,617

296,556

316,741

308,661

1,911,718

1,841,187

1,864,942

1,786,756

1,806,607

(19,624

)

(18,722

)

(18,679

)

(22,315

)

(22,410

)

1,892,094

1,822,465

1,846,263

1,764,441

1,784,197

12,857

12,764

12,674

12,580

12,490

1,927

2,118

2,331

2,549

2,810

62,520

60,957

63,963

62,625

67,139

2,392,129

2,319,922

2,304,488

2,295,469

2,287,021

443,540

419,823

414,327

405,528

405,644

1,087,621

965,467

993,219

1,026,898

840,839

399,849

399,010

338,578

336,166

312,162

46,770

58,273

74,468

75,033

99,239

25,001

86,915

70,763

57,903

80,608

2,002,781

1,929,488

1,891,355

1,901,528

1,738,492

22,000

21,982

21,957

145,000

155,000

185,000

160,000

330,000

17,929

16,815

19,771

23,438

25,123

2,187,710

2,123,303

2,118,126

2,106,948

2,115,572

107,608

106,839

106,997

106,169

105,487

141,936

136,139

130,703

124,246

118,400

(45,125

)

(46,359

)

(51,338

)

(41,894

)

(52,438

)

204,419

196,619

186,362

188,521

171,449

2,392,129

2,319,922

2,304,488

2,295,469

2,287,021

(1) FDIC regulations impose a general cap on reciprocal deposits that may be exempt from brokered deposits classification equal to 20% of the Bank's total liabilities. As of June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, an additional $495.4 million, $447.8 million, $470.0 million, $509.3 million and $440.6 million of our deposits were considered brokered deposits by the FDIC due to being in excess of the general cap, respectively.

AVIDBANK HOLDINGS, INC.

Consolidated Statements of Income (Unaudited)

(in thousands, except share and per share amounts)

Quarter Ended

Year-to-Date

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

2025

2024

2025

2024

32,967

31,885

32,308

33,488

33,255

64,852

65,083

1,703

1,749

1,770

1,767

1,801

3,452

3,624

181

185

183

193

366

384

793

706

681

1,198

951

1,499

1,770

35,644

34,525

34,944

36,636

36,200

70,169

70,861

13,669

12,827

14,015

14,602

13,494

26,496

25,528

1,242

1,911

1,437

3,121

3,880

3,153

7,322

443

435

293

300

878

601

15,354

15,173

15,745

18,023

17,674

30,527

33,451

20,290

19,352

19,199

18,613

18,526

39,642

37,410

925

779

2,998

925

3,317

19,365

19,352

18,420

18,613

15,528

38,717

34,093

840

762

649

675

658

1,602

1,275

196

220

191

246

208

416

460

137

183

324

273

(23

)

637

240

214

159

205

539

211

108

1,538

1,171

1,840

1,790

1,098

2,709

2,381

8,978

9,097

7,389

8,336

7,980

18,075

16,774

759

996

919

1,033

1,039

1,755

2,067

759

615

613

638

597

1,374

1,161

420

544

541

528

568

964

1,014

715

511

452

534

541

1,226

1,152

978

1,079

1,138

1,028

1,033

2,057

2,016

12,609

12,842

11,052

12,097

11,758

25,451

24,184

8,294

7,681

9,208

8,306

4,868

15,975

12,290

2,497

2,245

2,751

2,460

1,402

4,742

3,578

5,797

5,436

6,457

5,846

3,466

11,233

8,712

0.77

0.73

0.87

0.79

0.47

1.50

1.18

0.75

0.71

0.84

0.77

0.46

1.46

1.15

7,534,264

7,488,051

7,455,650

7,434,726

7,426,949

7,511,285

7,406,794

7,686,385

7,682,884

7,661,711

7,622,428

7,578,613

7,684,976

7,565,065

AVIDBANK HOLDINGS, INC.

Average Balance Sheets and Net Interest Margin Analysis (Unaudited)

(In thousands)

Quarter Ended

June 30, 2025

March 31, 2025

Interest

Yields

Interest

Yields

Average

Income/

Average

Income/

Balance

Expense

Rates (5)

Balance

Expense

Rates (5)

1,887,263

32,967

7.01

1,858,716

31,885

6.96

73,552

793

4.32

64,376

706

4.45

291,074

1,672

2.30

293,736

1,718

2.37

2,566

6.10

2,686

5.84

293,640

1,711

2.34

296,422

1,757

2.40

8,409

181

8.63

8,409

185

8.92

2,262,864

35,652

6.32

2,227,923

34,533

6.29

10,120

12,851

49,280

49,161

2,322,264

2,289,935

1,038,372

9,483

3.66

956,994

8,530

3.61

398,438

3,094

3.11

385,434

2,871

3.02

47,398

400

3.38

60,282

558

3.75

62,853

692

4.42

77,537

868

4.54

1,547,061

13,669

3.54

1,480,247

12,827

3.51

108,374

1,242

4.60

170,111

1,911

4.56

22,000

443

8.08

22,000

435

8.02

1,677,435

15,354

3.67

1,672,358

15,173

3.68

425,154

405,746

19,067

19,940

200,608

191,891

2,322,264

2,289,935

2.65

2.61

20,298

3.60

19,360

3.52

3.60

3.52

1,972,215

13,669

2.78

1,885,993

12,827

2.76

(1) Nonperforming loans are included in average loan balances. No adjustment has been made for these loans in the calculation of yields. Interest income on loans includes net amortization of deferred loan fees / (costs) of $314 thousand and $496 thousand, respectively.

(2) Interest income on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21%, reflecting the statutory federal income tax rate.

(3) Including negative balance on average allowance for credit losses on loans of $ million and $18.8 million, respectively.

(4) Net interest margin is net interest income divided by total interest-earning assets.

(5) Annualized

AVIDBANK HOLDINGS, INC.

Average Balance Sheets and Net Interest Margin Analysis (Unaudited)

(In thousands)

Quarter Ended

June 30, 2025

June 30, 2024

Interest

Yields

Interest

Yields

Average

Income/

Average

Income/

Balance

Expense

Rates (5)

Balance

Expense

Rates (5)

1,887,263

32,967

7.01

1,813,422

33,255

7.38

73,552

793

4.32

70,491

951

5.43

291,074

1,672

2.30

305,492

1,778

2.34

2,566

6.10

1,802

6.25

293,640

1,711

2.34

307,294

1,806

2.36

8,409

181

8.63

8,409

193

9.23

2,262,864

35,652

6.32

2,199,616

36,205

6.62

10,120

12,188

49,280

53,779

2,322,264

2,265,583

1,038,372

9,483

3.66

783,048

8,031

4.12

398,438

3,094

3.11

304,392

2,598

3.43

47,398

400

3.38

97,430

1,035

4.27

62,853

692

4.42

135,952

1,830

5.41

1,547,061

13,669

3.54

1,320,822

13,494

4.11

108,374

1,242

4.60

295,220

3,880

5.29

22,000

443

8.08

21,944

300

5.50

1,677,435

15,354

3.67

1,637,986

17,674

4.34

425,154

436,498

19,067

24,225

200,608

166,874

2,322,264

2,265,583

2.65

2.28

20,298

3.60

18,531

3.39

3.60

3.39

1,972,215

13,669

2.78

1,757,320

13,494

3.09

(2) Interest income on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21%, reflecting the statutory federal income tax rate.

(3) Including negative balance on average allowance for credit losses on loans of $19.1 million and $19.8 million, respectively.

(4) Net interest margin is net interest income divided by total interest-earning assets.

(5) Annualized

AVIDBANK HOLDINGS, INC.

Average Balance Sheets and Net Interest Margin Analysis (Unaudited)

(In thousands)

Year-to-Date

June 30, 2025

June 30, 2024

Interest

Yields

Interest

Yields

Average

Income/

Average

Income/

Balance

Expense

Rates (5)

Balance

Expense

Rates (5)

1,873,068

64,852

6.98

1,785,096

65,083

7.33

68,989

1,499

4.38

64,941

1,770

5.48

292,398

3,391

2.34

311,532

3,580

2.31

2,626

5.91

1,835

6.14

295,024

3,468

2.37

313,367

3,636

2.33

8,409

366

8.78

8,409

384

9.18

2,245,490

70,185

6.30

2,171,813

70,873

6.56

11,478

12,613

49,220

59,754

2,306,188

2,244,180

997,907

18,013

3.64

764,981

15,470

4.07

391,972

5,965

3.07

303,992

4,868

3.22

53,805

958

3.59

77,107

1,590

4.15

70,154

1,560

4.48

135,203

3,600

5.35

1,513,838

26,496

3.53

1,281,283

25,528

4.01

139,072

3,153

4.57

288,643

7,322

5.10

22,000

878

8.05

21,931

601

5.51

1,674,910

30,527

3.68

1,591,857

33,451

4.23

415,504

459,799

19,501

25,634

196,273

166,890

2,306,188

2,244,180

2.62

2.33

39,658

3.56

37,422

3.47

3.56

3.46

1,929,342

26,496

2.77

1,741,082

25,528

2.95

(1) Nonperforming loans are included in average loan balances. No adjustment has been made for these loans in the calculation of yields. Interest income on loans includes amortization of deferred loan fees / (costs) of $810 thousand and $864 thousand, respectively.

(2) Interest income on tax-exempt securities has been increased to reflect comparable interest on taxable securities. The rate used was 21%, reflecting the statutory federal income tax rate.

(3) Including negative balance on average allowance for credit losses on loans of million and $19.5 million, respectively.

(4) Net interest margin is net interest income divided by total interest-earning assets.

(5) Annualized

AVIDBANK HOLDINGS, INC.

Asset Quality Data (Unaudited)

(In thousands)

As of/For the Year-to-Date

Period Ended June 30,

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

2025

2024

2025

2024

18,722

18,679

22,315

22,410

19,342

18,679

19,131

891

630

3,068

891

3,279

(4,266

)

(95

)

19,624

18,722

18,679

22,315

22,410

19,624

22,410

2,247

2,098

2,168

2,247

2,060

149

(70

)

2,281

2,247

2,098

2,281

2,098

21,905

20,969

20,926

24,413

24,508

21,905

24,508

891

630

3,068

891

3,279

149

(70

)

925

779

2,998

925

3,317

1,332

1,340

1,347

3,621

3,686

1,332

3,686

1,332

1,340

1,347

3,621

3,686

1,332

3,686

1,332

1,340

1,347

3,621

3,686

1,332

3,686

1,332

1,340

1,347

3,621

3,686

1,332

3,686

1,332

1,340

1,347

3,621

3,686

1,332

3,686

1.03

1.02

1.00

1.25

1.24

1.03

1.24

1.15

1.14

1.12

1.37

1.36

1.15

1.36

1473.27

1397.16

1386.71

616.27

607.98

1473.27

607.98

0.06

0.16

0.06

0.16

0.07

0.20

0.07

0.20

0.00

-0.01

0.93

0.02

0.00

-0.01

0.00

1.87

1.43

2.27

1.62

1.49

1.87

1.49

0.38

0.20

0.22

0.51

0.52

0.38

0.52

(1) Charge-off ratios are annualized for the quarterly presentation.

AVIDBANK HOLDINGS, INC.

Loans and Deposits (Unaudited)

(In thousands)

Current

Year

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

Quarter

Over Year

2025

2024

Change

855,049

803,920

816,963

759,492

774,666

51,129

80,383

241,399

227,003

216,018

199,929

202,292

14,396

39,107

168,393

142,764

142,650

141,139

157,376

25,629

11,017

407,955

405,788

414,551

406,007

412,473

2,167

(4,518

)

204,973

226,641

246,301

253,325

242,966

(21,668

)

(37,993

)

31,560

32,985

27,494

25,799

15,717

(1,425

)

15,843

1,054,280

1,035,181

1,047,014

1,026,199

1,030,824

19,099

23,456

2,389

2,086

965

1,065

1,117

303

1,272

1,911,718

1,841,187

1,864,942

1,786,756

1,806,607

70,531

105,111

443,540

419,823

414,327

405,528

405,644

23,717

37,896

1,087,621

965,467

993,219

1,026,898

840,839

122,154

246,782

399,849

399,010

338,578

336,166

312,162

839

87,687

46,770

58,273

74,468

75,033

99,239

(11,503

)

(52,469

)

25,001

86,915

70,763

57,903

80,608

(61,914

)

(55,607

)

2,002,781

1,929,488

1,891,355

1,901,528

1,738,492

73,293

264,289

425,154

405,746

422,807

408,626

436,498

19,408

(11,344

)

1,038,372

956,994

994,121

903,542

783,048

81,378

255,324

398,438

385,434

351,126

348,125

304,392

13,004

94,046

47,398

60,282

77,203

75,972

97,430

(12,884

)

(50,032

)

62,853

77,537

49,064

69,670

135,952

(14,684

)

(73,099

)

1,972,215

1,885,993

1,894,321

1,805,935

1,757,320

86,222

214,895

(1) FDIC regulations impose a general cap on reciprocal deposits that may be exempt from brokered deposits classification equal to 20% of the Bank's total liabilities. As of June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024 and June 30, 2024, an additional $495.4 million, $447.8 million, $470.0 million, $509.3 million and $440.6 million of our deposits were considered brokered deposits by the FDIC due to being in excess of the general cap, respectively.

AVIDBANK HOLDINGS, INC.

Non-GAAP Performance and Financial Measures Reconciliation (Unaudited)

(In thousands)

Management reviews yields on certain asset categories and the net interest margin of the Company on a fully taxable equivalent basis.

The non-GAAP taxable equivalent net interest income and net interest margin adjustments facilitate performance comparisons between taxable and tax-free assets by increasing the tax-free income by an amount equivalent to the Federal income taxes that would have been paid if this income were taxable at the Company's 21% Federal statutory rate.

Quarter Ended

Year-to-Date

June 30,

March 31,

Dec. 31,

Sept. 30,

June 30,

2025

2024

2025

2024

20,290

19,352

19,199

18,613

18,526

39,642

37,410

20,298

19,360

19,206

18,619

18,531

39,658

37,422

3.60

3.52

3.48

3.35

3.39

3.56

3.46

0.01

3.60

3.52

3.49

3.35

3.39

3.56

3.47

SOURCE: Avidbank Holdings, Inc.