MainStreet Bancshares, Inc.: MainStreet Bancshares Inc. Reports Another Profitable Quarter

Net Income and Earnings Per Share Exceed Market Expectations

FAIRFAX, Va., Oct. 27, 2025 /PRNewswire/ -- MainStreet Bancshares, Inc. (Nasdaq: MNSB & MNSBP), the financial holding company for MainStreet Bank, reported a net income of $4.52 million and earnings per common share of $0.52 outperforming expectations of $4.48 million and $0.51 respectively for the quarter-ended September 30, 2025.

"Our core net interest margin is a healthy 3.54% for the third quarter of 2025. Our balance sheet is well-structured for current and anticipated rate changes to continue producing good results," said Alex Vari, Chief Financial Officer of MainStreet Bank. "The outlook for the Bank remains strong, as our team continues to focus on core revenue generation and expense control."

"We continue to see quality opportunities to lend in the government contracting, commercial real estate, construction and owner-occupied space," said Tom Floyd, Chief Lending Officer of MainStreet Bank. "We've worked with a few of our borrowers to improve their credit relationship, and as a result I'm happy to report that we continue to show strong asset quality. Finally, we've been talking with our customers regularly about the shutdown, and they know we stand ready to help them with their financial needs."

On October 16, 2025, the Board of Directors of MainStreet Bancshares, Inc. authorized a new stock repurchase program authorizing the Company to repurchase up to $10.0 million of the Company's common stock. This new stock repurchase program will replace and supersede the Company's existing stock repurchase program which was originally announced on May 19, 2022. The Company and Bank remain well capitalized.

About MainStreet Bank: MainStreet operates six branches in Herndon, Fairfax, McLean, Leesburg, Clarendon, and Washington, D.C. MainStreet Bank has over 55,000 free ATMs and a fully integrated online and mobile banking solution. The Bank is not restricted by a conventional branching system, as it can offer business customers the ability to Put Our Bank in Your Office®. With robust and easy-to-use online business banking technology, MainStreet has "put our bank" in thousands of businesses in the metropolitan area.

MainStreet Bank has a robust line of business and professional lending products, including government contracting lines of credit, commercial lines and term loans, residential and commercial construction, and commercial real estate. MainStreet also works with the SBA to offer 7A and 504 lending solutions. From sophisticated cash management to enhanced mobile banking and instant-issue Debit cards, MainStreet Bank is always looking for ways to improve our customer's experience.

MainStreet Bank was the first community bank in the Washington, D.C., metropolitan area to offer a full online business banking solution. MainStreet Bank was also the first bank headquartered in the Commonwealth of Virginia to offer CDARS - a solution that provides multi-million-dollar FDIC insurance. Further information on the Bank can be obtained by visiting its website at mstreetbank.com.

This release contains forward-looking statements, including our expectations with respect to future events that are subject to various risks and uncertainties. The statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "estimate," "predict," "potential," "pursuant," "target," "continue," and similar expressions are intended to identify such forward-looking statements. Factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations include: fluctuation in market rates of interest and loan and deposit pricing, adverse changes in the overall national economy as well as adverse economic conditions in our specific market areas, future impacts of pandemic outbreaks, maintenance and development of well-established and valued client relationships and referral source relationships, and acquisition or loss of key production personnel. We caution readers that the list of factors above is not exclusive. The forward-looking statements are made as of the date of this release, and we may not undertake steps to update the forward-looking statements to reflect the impact of any circumstances or events that arise after the date the forward-looking statements are made. In addition, our past results of operations are not necessarily indicative of future performance.

UNAUDITED CONSOLIDATED BALANCE SHEET INFORMATION
(In thousands)
		September 30, 2025				June 30, 2025				March 31, 2025				December 31, 2024*				September 30, 2024
ASSETS
Cash and cash equivalents
Cash and due from banks		$	23,940			$	20,888			$	18,384			$	21,351			$	15,319
Interest-bearing deposits at other financial institutions			1,315				864				735				1,711				478
Federal funds sold			102,039				111,532				183,521				184,646				216,317
Total cash and cash equivalents			127,294				133,284				202,640				207,708				232,114
Investment securities available for sale (AFS), at fair value			58,338				56,138				55,935				55,747				58,489
Investment securities held to maturity (HTM), at amortized cost, net of allowance for credit losses of $0 for all periods			14,293				14,846				15,657				16,078				16,016
Restricted securities, at amortized cost			7,005				7,005				7,005				6,873				6,873
Loans, net of allowance for credit losses of $18,831, $19,057, $19,460, $19,450, and $18,327, respectively			1,788,243				1,767,432				1,811,789				1,810,556				1,775,558
Premises and equipment, net			13,212				13,344				13,020				13,287				13,571
Property held for sale, at fair value			3,225				3,225				-				-				-
Accrued interest and other receivables			13,622				15,023				9,607				11,311				11,077
Computer software, net of amortization			-				-				-				-				18,881
Bank owned life insurance			40,433				40,117				39,809				39,507				39,203
Other assets			59,124				64,367				67,383				67,031				52,817
Total Assets		$	2,124,789			$	2,114,781			$	2,222,845			$	2,228,098			$	2,224,599
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Non-interest bearing deposits		$	324,717			$	330,045			$	345,319			$	324,307			$	347,575
Interest-bearing demand deposits			123,231				124,090				106,033				139,780				197,527
Savings and NOW deposits			125,214				116,069				124,049				64,337				61,893
Money market deposits			458,946				463,904				511,925				560,082				451,936
Time deposits			778,727				764,439				820,999				819,288				834,738
Total deposits			1,810,835				1,798,547				1,908,325				1,907,794				1,893,669
Subordinated debt, net			69,837				71,238				72,138				73,039				72,940
Other liabilities			25,754				31,526				32,764				39,274				31,939
Total Liabilities			1,906,426				1,901,311				2,013,227				2,020,107				1,998,548
Stockholders' Equity:
Preferred stock			27,263				27,263				27,263				27,263				27,263
Common stock			29,833				29,825				29,810				29,466				29,463
Capital surplus			68,895				68,261				67,612				67,823				67,083
Retained earnings			98,793				95,585				92,305				91,150				108,616
Accumulated other comprehensive loss			(6,421)				(7,464)				(7,372)				(7,711)				(6,374)
Total Stockholders' Equity			218,363				213,470				209,618				207,991				226,051
Total Liabilities and Stockholders' Equity		$	2,124,789			$	2,114,781			$	2,222,845			$	2,228,098			$	2,224,599

*	Derived from audited financial statements

UNAUDITED CONSOLIDATED STATEMENTS OF INCOME (LOSS) INFORMATION
(In thousands, except share and per share data)
		Year-to-Date								Three Months Ended
		September 30, 2025				September 30, 2024				September 30, 2025				June 30, 2025				March 31, 2025				December 31, 2024				September 30, 2024
INTEREST INCOME:
Interest and fees on loans		$	94,242			$	93,852			$	30,688			$	32,443			$	31,111			$	31,323			$	31,615
Interest on investment securities
Taxable securities			1,285				1,262				435				431				420				431				397
Tax-exempt securities			800				832				270				267				263				262				294
Interest on interest-bearing deposits at other financial institutions			44				27				11				10				22				15				10
Interest on federal funds sold			3,342				3,523				1,060				1,135				1,147				3,088				1,275
Total interest income			99,713				99,496				32,464				34,286				32,963				35,119				33,591
INTEREST EXPENSE:
Interest on interest-bearing demand deposits			3,123				6,049				1,071				1,004				1,048				2,612				2,117
Interest on savings and NOW deposits			1,079				553				467				391				221				201				206
Interest on money market deposits			14,606				15,911				4,623				4,707				5,276				5,475				5,277
Interest on time deposits			25,994				27,361				8,369				8,595				9,031				10,003				9,543
Interest on federal funds purchased			93				575				28				-				65				-				277
Interest on Federal Home Loan Bank advances			-				46				-				-				-				-				-
Interest on subordinated debt			2,415				2,468				804				799				812				787				828
Total interest expense			47,310				52,963				15,362				15,496				16,453				19,078				18,248
Net interest income			52,403				46,533				17,102				18,790				16,510				16,041				15,343
Provision for credit losses			(398)				3,356				144				(543)				-				3,407				2,913
Net interest income after provision for credit losses			52,801				43,177				16,958				19,333				16,510				12,634				12,430
NON-INTEREST INCOME:
Deposit account service charges			1,625				1,516				557				538				530				481				557
Bank owned life insurance income			926				885				316				308				302				304				302
Gain on retirement of subordinated debt			273				-				145				68				60				-				-
Gain on equity securities			103				-				-				103				-				-				-
Net loss on securities called or matured			-				(48)				-				-				-				-				-
Other non-interest income			199				93				104				49				47				22				27
Total non-interest income			3,126				2,446				1,122				1,066				939				807				886
NON-INTEREST EXPENSES:
Salaries and employee benefits			24,030				22,222				7,366				8,279				8,385				8,253				7,250
Furniture and equipment expenses			2,957				2,806				799				1,141				1,016				830				931
Advertising and marketing			1,582				1,599				571				530				481				600				579
Occupancy expenses			1,114				1,257				400				318				396				358				407
Outside services			3,088				2,458				625				1,290				1,173				1,168				845
Administrative expenses			757				686				259				270				229				243				215
Computer software intangible impairment			-				-				-				-				-				19,721				-
Other operating expenses			8,198				7,508				2,647				2,917				2,634				3,258				2,992
Total non-interest expenses			41,726				38,536				12,667				14,745				14,314				34,431				13,219
Income (loss) before income tax expense (benefit)			14,201				7,087				5,413				5,654				3,135				(20,990)				97
Income tax expense (benefit)			2,641				900				896				1,064				682				(4,823)				(168)
Net income (loss)			11,560				6,187				4,517				4,590				2,453				(16,167)				265
Preferred stock dividends			1,617				1,617				539				539				539				539				539
Net income (loss) available to common shareholders		$	9,943			$	4,570			$	3,978			$	4,051			$	1,914			$	(16,706)			$	(274)
Earnings (loss) per common share, basic and diluted		$	1.29			$	0.60			$	0.52			$	0.53			$	0.25			$	(2.20)			$	(0.04)
Weighted average number of common shares, basic and diluted			7,682,086				7,607,431				7,704,639				7,704,677				7,636,191				7,603,318				7,601,925

UNAUDITED LOAN, DEPOSIT AND BORROWING DETAIL
(In thousands)
		September 30, 2025								June 30, 2025								September 30, 2024								Percentage Change
		$ Amount				% of Total				$ Amount				% of Total				$ Amount				% of Total				Last 3 Mos				Last 12 Mos
LOANS:
Construction and land development loans		$	312,318				17.2	%		$	328,351				18.3	%		$	373,486				20.8	%			-4.9	%			-16.4	%
Residential real estate loans			411,592				22.7	%			452,458				25.3	%			446,109				24.8	%			-9.0	%			-7.7	%
Commercial real estate loans			981,091				54.2	%			911,390				50.9	%			871,280				48.4	%			7.6	%			12.6	%
Commercial and industrial loans			105,217				5.8	%			97,699				5.5	%			106,249				5.9	%			7.7	%			-1.0	%
Consumer loans			1,204				0.1	%			1,075				0.1	%			1,977				0.1	%			12.0	%			-39.1	%
Total Gross Loans		$	1,811,422				100.0	%		$	1,790,973				100.0	%		$	1,799,101				100.0	%			1.1	%			0.7	%
Less: Allowance for credit losses			(18,831)								(19,057)								(18,327)
Net deferred loan fees			(4,348)								(4,484)								(5,216)
Net Loans		$	1,788,243							$	1,767,432							$	1,775,558
DEPOSITS:
Non-interest bearing deposits		$	324,717				17.9	%		$	330,045				18.4	%		$	347,575				18.4	%			-1.6	%			-6.6	%
Interest-bearing deposits:
Demand deposits			123,231				6.8	%			124,090				6.9	%			197,527				10.4	%			-0.7	%			-37.6	%
Savings and NOW deposits			125,214				6.9	%			116,069				6.5	%			61,893				3.3	%			7.9	%			102.3	%
Money market deposits			458,946				25.3	%			463,904				25.8	%			451,936				23.9	%			-1.1	%			1.6	%
Time deposit $250,000 or more			501,332				27.7	%			490,692				27.2	%			532,201				28.0	%			2.2	%			-5.8	%
Time deposit less than $250,000			277,395				15.3	%			273,747				15.2	%			302,537				16.0	%			1.3	%			-8.3	%
Total Deposits		$	1,810,835				100.0	%		$	1,798,547				100.0	%		$	1,893,669				100.0	%			0.7	%			-4.4	%
BORROWINGS:
Subordinated debt, net			69,837				100.0	%			71,238				100.0	%			72,940				100.0	%			-2.0	%			-4.3	%
Total Borrowings		$	69,837				100.0	%		$	71,238				100.0	%		$	72,940				100.0	%			-2.0	%			-4.3	%
Total Deposits and Borrowings		$	1,880,672							$	1,869,785							$	1,966,609								0.6	%			-4.4	%
Core customer funding sources (1)		$	1,289,952				68.6	%		$	1,329,804				71.1	%		$	1,471,350				74.8	%			-3.0	%			-12.3	%
Brokered and listing service sources (2)			520,883				27.7	%			468,743				25.1	%			422,319				21.5	%			11.1	%			23.3	%
Subordinated debt, net (3)			69,837				3.7	%			71,238				3.8	%			72,940				3.7	%			-2.0	%			-4.3	%
Total Funding Sources		$	1,880,672				100.0	%		$	1,869,785				100.0	%		$	1,966,609				100.0	%			0.6	%			-4.4	%

(1)	Includes ICS, CDARS, and reciprocal deposits maintained by customers, which represent sweep accounts tied to customer operating accounts.
(2)	Consists of certificates of deposit (CD) through multiple listing services and multiple brokered deposit services, as well as ICS and CDARS one-way certificates of deposit and regional money market accounts. Excludes $114.9 million in core deposits placed in reciprocal networks for FDIC insurance coverage that will be classified as brokered deposits on the call report in pursuant to rule 12 CFR 337.6(e) as of September 30, 2025.
(3)	Subordinated debt obligation qualifies as Tier 2 capital at the holding company and Tier 1 capital at the Bank.

UNAUDITED AVERAGE BALANCE SHEETS, INTEREST AND RATES
(In thousands)
		For the three months ended September 30, 2025												For the three months ended September 30, 2024
		Average Balance				Interest Income/ Expense (3)(4)				Average Yields/ Rate (annualized) (3)(4)				Average Balance				Interest Income/ Expense (3)(4)				Average Yields/ Rate (annualized) (3)(4)
ASSETS:
Interest-earning assets:
Loans (1)(2)		$	1,805,016			$	30,688				6.75	%		$	1,807,882			$	31,615				6.94	%
Securities:
Taxable			52,680				435				3.28	%			54,523				397				2.89	%
Tax-exempt			35,260				342				3.85	%			35,881				372				4.11	%
Interest-bearing deposits at other financial institutions			1,037				11				4.21	%			692				10				5.73	%
Federal funds sold			99,896				1,060				4.21	%			105,949				1,275				4.77	%
Total interest-earning assets		$	1,993,889			$	32,536				6.47	%		$	2,004,927			$	33,669				6.66	%
Other assets			125,605												121,201
Total assets		$	2,119,494											$	2,126,128
Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Interest-bearing demand deposits		$	120,112			$	1,071				3.54	%		$	173,996			$	2,117				4.83	%
Savings and NOW deposits			119,467				467				1.55	%			61,259				206				1.33	%
Money market deposits			463,948				4,623				3.95	%			445,730				5,277				4.70	%
Time deposits			772,176				8,369				4.30	%			759,247				9,543				4.99	%
Total interest-bearing deposits		$	1,475,703			$	14,530				3.91	%		$	1,440,232			$	17,143				4.72	%
Federal funds purchased			2,338				28				4.75	%			19,001				277				5.78	%
Subordinated debt, net			70,793				804				4.51	%			72,901				828				4.51	%
Total interest-bearing liabilities		$	1,548,834			$	15,362				3.94	%		$	1,532,134			$	18,248				4.73	%
Demand deposits and other liabilities			355,621												368,349
Total liabilities		$	1,904,455											$	1,900,483
Stockholders' Equity			215,039												225,645
Total Liabilities and Stockholders' Equity		$	2,119,494											$	2,126,128
Interest Rate Spread											2.53	%											1.94	%
Net Interest Income						$	17,174											$	15,421
Net Interest Margin											3.42	%											3.05	%

(1)	Includes loans classified as non-accrual
(2)	Total loan interest income includes amortization of deferred loan fees, net of deferred loan costs
(3)	Income and yields for all periods presented are reported on a tax-equivalent basis using the federal statutory rate of 21%
(4)	Refer to "Unaudited Reconciliation of Certain Non-GAAP Financial Measures" for reconciliation of non-GAAP measures

UNAUDITED AVERAGE BALANCE SHEETS, INTEREST AND RATES
(In thousands)
		For the nine months ended September 30, 2025												For the nine months ended September 30, 2024
		Average Balance				Interest Income/ Expense (3)(4)				Average Yields/ Rate (annualized) (3)(4)				Average Balance				Interest Income/ Expense (3)(4)				Average Yields/ Rate (annualized) (3)(4)
ASSETS:
Interest-earning assets:
Loans (1)(2)		$	1,820,771			$	94,242			6.92		%		$	1,773,050			$	93,852			7.08		%
Securities:
Taxable			52,926				1,285			3.25		%			55,478				1,262			3.04		%
Tax-exempt			35,298				1,013			3.84		%			36,670				1,053			3.84		%
Interest-bearing deposits at other financial institutions			1,274				44			4.62		%			662				27			5.45		%
Federal funds sold			105,674				3,342			4.23		%			93,931				3,523			5.01		%
Total interest-earning assets		$	2,015,943			$	99,926			6.63		%		$	1,959,791			$	99,717			6.80		%
Other assets			119,819												125,068
Total assets		$	2,135,762											$	2,084,859
Liabilities and Stockholders' Equity:
Interest-bearing liabilities:
Interest-bearing demand deposits		$	113,969			$	3,123			3.66		%		$	164,192			$	6,049			4.93		%
Savings and NOW deposits			102,349				1,079			1.41		%			51,119				553			1.45		%
Money market deposit			493,366				14,606			3.96		%			447,668				15,911			4.75		%
Time deposits			785,685				25,994			4.42		%			728,459				27,361			5.02		%
Total interest-bearing deposits		$	1,495,369			$	44,802			4.01		%		$	1,391,438			$	49,874			4.79		%
Federal funds purchased			2,638				93			4.71		%			13,279				575			5.79		%
FHLB advances			-				-			-					1,095				46			5.62		%
Subordinated debt, net			71,670				2,415			4.51		%			72,802				2,468			4.53		%
Total interest-bearing liabilities		$	1,569,677			$	47,310			4.03		%		$	1,478,614			$	52,963			4.79		%
Demand deposits and other liabilities			354,635												382,591
Total liabilities		$	1,924,312											$	1,861,205
Stockholders' Equity			211,450												223,654
Total Liabilities and Stockholders' Equity		$	2,135,762											$	2,084,859
Interest Rate Spread											2.60	%											2.01	%
Net Interest Income						$	52,616											$	46,754
Net Interest Margin										3.49		%										3.19		%

(1)	Includes loans classified as non-accrual
(2)	Total loan interest income includes amortization of deferred loan fees, net of deferred loan costs
(3)	Income and yields for all periods presented are reported on a tax-equivalent basis using the federal statutory rate of 21%
(4)	Refer to "Unaudited Reconciliation of Certain Non-GAAP Financial Measures" for reconciliation of non-GAAP measures

UNAUDITED SUMMARY FINANCIAL DATA
(Dollars in thousands except share and per share data)
		At or For the Three Months Ended								At or For the Nine Months Ended
		September 30,								September 30,
		2025				2024				2025				2024
Per share Data and Shares Outstanding
Earnings (loss) per common share (basic and diluted)		$	0.52			$	(0.04)			$	1.29			$	0.60
Book value per common share		$	24.81			$	26.15			$	24.81			$	26.15
Tangible book value per common share(2)		$	24.81			$	23.66			$	24.81			$	23.66
Weighted average common shares (basic and diluted)			7,704,639				7,601,925				7,682,086				7,607,431
Common shares outstanding at end of period			7,703,579				7,602,783				7,703,579				7,602,783
Performance Ratios
Return on average assets (annualized)			0.85	%			0.05	%			0.72	%			0.40	%
Return on average equity (annualized)			8.33	%			0.47	%			7.31	%			3.70	%
Return on average common equity (annualized)			8.40	%			(0.55)	%			7.22	%			3.11	%
Yield on earning assets (FTE) (2) (annualized)			6.47	%			6.66	%			6.63	%			6.80	%
Cost of interest bearing liabilities (annualized)			3.94	%			4.73	%			4.03	%			4.79	%
Net interest spread (FTE)(2) (annualized)			2.53	%			1.94	%			2.60	%			2.01	%
Net interest margin (FTE)(2) (annualized)			3.42	%			3.05	%			3.49	%			3.19	%
Non-interest income as a percentage of average assets (annualized)			0.21	%			0.17	%			0.20	%			0.16	%
Non-interest expense to average assets (annualized)			2.37	%			2.47	%			2.62	%			2.47	%
Efficiency ratio(3)			69.50	%			81.45	%			75.18	%			78.68	%
Allowance for Credit Losses
Allowance for credit losses (ACL)
Beginning balance, ACL - loans		$	19,057			$	17,098			$	19,450			$	16,506
Add: recoveries			75				11				831				19
Less: charge-offs			(235)				(1,907)				(857)				(2,418)
Add: provision for credit losses - loans			(66)				3,125				(593)				4,220
Ending balance, ACL - loans		$	18,831			$	18,327			$	18,831			$	18,327
Beginning balance, reserve for unfunded commitment (RUC)		$	272			$	357			$	287			$	1,009
Provision for unfunded commitments, net			210				(212)				195				(864)
Ending balance, RUC		$	482			$	145			$	482			$	145
Total allowance for credit losses		$	19,313			$	18,472			$	19,313			$	18,472
Allowance for credit losses on loans to total gross loans			1.04	%			1.02	%			1.04	%			1.02	%
Allowance for credit losses on loans to non-performing loans			80.52	%			64.84	%			80.52	%			64.84	%
Net charge-offs to average gross loans (annualized)			0.04	%			0.42	%			NM				0.18	%
Concentration Ratios
Commercial real estate loans to total capital (4)			356.02	%			360.26	%			356.02	%			360.26	%
Construction loans to total capital (5)			102.61	%			118.15	%			102.61	%			118.15	%
Past due and Non-performing Assets
Loans 30-89 days past due and accruing to total gross loans			1.40	%			0.61	%			1.40	%			0.61	%
Loans 90 days past due and accruing to total gross loans			0.00	%			0.00	%			0.00	%			0.00	%
Non-accrual loans to total gross loans			1.29	%			1.57	%			1.29	%			1.57	%
Other real estate owned		$	-			$	-			$	-			$	-
Non-performing loans		$	23,386			$	28,264			$	23,386			$	28,264
Non-performing assets to total assets			1.10	%			1.27	%			1.10	%			1.27	%
Regulatory Capital Ratios (Bank only) (1)
Total risk-based capital ratio			16.18	%			16.96	%			16.18	%			16.96	%
Tier 1 risk-based capital ratio			15.16	%			15.97	%			15.16	%			15.97	%
Leverage ratio			13.42	%			13.98	%			13.42	%			13.98	%
Common equity tier 1 ratio			15.16	%			15.97	%			15.16	%			15.97	%
Other information
Common shares closing stock price		$	20.83			$	18.45			$	20.83			$	18.45
Tangible equity / tangible assets (2)			10.28	%			9.39	%			10.28	%			9.39	%
Average tangible equity / average tangible assets (2)			10.15	%			9.86	%			9.90	%			10.02	%
Number of full time equivalent employees			174				201				174				201
Number of full service branch offices			6				6				6				6

(1)	Regulatory capital ratios as of September 30, 2025 are preliminary
(2)	Refer to "Unaudited Reconciliation of Certain Non-GAAP Financial Measures" for reconciliation of non-GAAP measures
(3)	Efficiency ratio is calculated as non-interest expense as a percentage of net interest income and non-interest income
(4)	Commercial real estate includes only non-owner occupied, multifamily, and construction loans as a percentage of Bank capital
(5)	Construction loans as a percentage of Bank capital

Unaudited Reconciliation of Certain Non-GAAP Financial Measures
(Dollars In thousands)
		For the three months ended September 30,								For the nine months ended September 30,
		2025				2024				2025				2024
Core net interest margin (FTE)
Net interest income (GAAP)		$	17,102			$	15,343			$	52,403			$	46,533
FTE adjustment on tax-exempt securities			72				78				213				221
Net interest income (FTE) (non-GAAP)			17,174				15,421				52,616				46,754
Nonrecurring interest income adjustment from nonaccrual loans.			595				984				827				1,848
Core net interest income (FTE) (non-GAAP)			17,769				16,405				53,443				48,602
Average interest earning assets			1,993,889				2,004,927				2,015,943				1,959,791
Net interest margin (GAAP)			3.40	%			3.06	%			3.48	%			3.17	%
Net interest margin (FTE) (non-GAAP)			3.42	%			3.05	%			3.49	%			3.19	%
Core net interest margin (FTE) (non-GAAP)			3.54	%			3.25	%			3.54	%			3.32	%
		For the three months ended September 30,								For the nine months ended September 30,
		2025				2024				2025				2024
Yield on earning assets (FTE)
Total interest income (GAAP)		$	32,464			$	33,591			$	99,713			$	99,496
FTE adjustment on tax-exempt securities			72				78				213				221
Total interest income (FTE) (non-GAAP)			32,536				33,669				99,926				99,717
Average interest earning assets			1,993,889				2,004,927				2,015,943				1,959,791
Yield on earning assets (GAAP)			6.46	%			6.65	%			6.61	%			6.79	%
Yield on earning assets (FTE) (non-GAAP)			6.47	%			6.66	%			6.63	%			6.80	%
		For the three months ended September 30,								For the nine months ended September 30,
		2025				2024				2025				2024
Net interest spread (FTE)
Yield on earning assets (GAAP)			6.46	%			6.65	%			6.61	%		6.79		%
Yield on earning assets (FTE) (non-GAAP)			6.47	%			6.66	%		6.63		%		6.80		%
Yield on interest-bearing liabilities (GAAP)			3.94	%			4.73	%		4.03		%		4.79		%
Net interest spread (GAAP)			2.52	%			1.92	%		2.58		%			2.00	%
Net interest spread (FTE) (non-GAAP)			2.53	%			1.94	%		2.60		%			2.01	%
		As of September 30,								As of September 30,
		2025				2024				2025				2024
Tangible common stockholders' equity
Total stockholders equity (GAAP)		$	218,363			$	226,051			$	218,363			$	226,051
Less: intangible assets			-				(18,881)				-				(18,881)
Tangible stockholders' equity (non-GAAP)			218,363				207,170			$	218,363				207,170
Less: preferred stock			(27,263)				(27,263)				(27,263)				(27,263)
Tangible common stockholders' equity (non-GAAP)			191,100				179,907				191,100				179,907
Common shares outstanding			7,703,579				7,602,783				7,703,579				7,602,783
Tangible book value per common share (non-GAAP)		$	24.81			$	23.66			$	24.81			$	23.66
		As of September 30,								As of September 30,
		2025				2024				2025				2024
Stockholders equity, adjusted
Total stockholders equity (GAAP)		$	218,363			$	226,051			$	218,363			$	226,051
Less: intangible assets			-				(18,881)				-				(18,881)
Total tangible stockholders equity (non-GAAP)			218,363				207,170				218,363				207,170
		As of September 30,								As of September 30,
		2025				2024				2025				2024
Total tangible assets
Total assets (GAAP)		$	2,124,789			$	2,224,599			$	2,124,789			$	2,224,599
Less: intangible assets			-				(18,881)				-				(18,881)
Total tangible assets (non-GAAP)			2,124,789				2,205,718				2,124,789				2,205,718
		For the three months ended September 30,								For the nine months ended September 30,
		2025				2024				2025				2024
Average tangible stockholders' equity
Total average stockholders' equity (GAAP)		$	215,039			$	225,645			$	211,450			$	223,654
Less: average intangible assets			-				(17,738)				-				(16,405)
Total average tangible stockholders' equity (non-GAAP)			215,039				207,907				211,450				207,249
		For the three months ended September 30,								For the nine months ended September 30,
		2025				2024				2025				2024
Average tangible assets
Total average assets (GAAP)		$	2,119,494			$	2,126,128			$	2,135,762			$	2,084,859
Less: average intangible assets			-				(17,738)				-				(16,405)
Total average tangible assets (non-GAAP)			2,119,494				2,108,390				2,135,762				2,068,454

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SOURCE MainStreet Bancshares, Inc.