BNCCORP, Inc. Reports First Quarter Net Income Of $2.2 Million, Or $0.61 Per Diluted Share

Highlights

• Net income during the first quarter of 2026 increased $400 thousand, or 22.7%, to $2.2 million, or $0.61 per diluted share, from $1.8 million, or $0.50 per diluted share, in the 2025 period.
• Pre-provision, pre-tax operating income of $3.2 million in the first quarter of 2026 increased 32.8% from $2.4 million in the first quarter of 2025.
• Net interest income increased $1.4 million, or 17.4%, to $9.2 million in the first quarter of 2026 from $7.9 million in the first quarter of 2025.
• Net interest margin was 3.59% in the first quarter of 2026 compared to 3.49% in the first quarter of 2025.
• The efficiency ratio improved to 69.94% in the first quarter of 2026 versus 73.95% in the first quarter of 2025.
• Yield on loans held for investment improved to 6.15% for the first quarter of 2026 compared to 5.78% in the first quarter of 2025.
• Loans held for investment decreased $4.1 million, or 0.6%, to $734.6 million at March 31, 2026 from $738.7 million at December 31, 2025, and increased $35.4 million, or 5.1%, from $699.3 million at March 31, 2025.
• The ratio of loans held for investment-to-deposits increased to 78.8% at March 31, 2026 from 76.0% at December 31, 2025.
• Allowance for credit losses as of March 31, 2026, decreased to 1.18% of loans held for investment compared to 1.40% as of December 31, 2025.

BISMARCK, N.D., May 15, 2026 /PRNewswire/ -- BNCCORP, INC. (BNC or the Company) (OTCQX Markets: BNCC), which operates community banking and wealth management businesses in North Dakota and Arizona, today reported financial results for the first quarter ended March 31, 2026.

Management Commentary

"Our first-quarter results reflect the continued strength of our core banking franchise and the disciplined execution of our relationship-driven strategy," said Daniel J. Collins, BNC's President and Chief Executive Officer. "Compared to the first quarter of 2025, net interest income grew 17.4%, our net interest margin expanded 10 basis points to 3.59% and net income increased 22.7% to $2.2 million. We're pleased to report this level of year-over-year progress in a quarter that also included elevated professional services expense related to our recently announced agreement to be acquired by OppFi Inc.

"On a sequential basis, both loans and deposits declined modestly during the quarter. The deposit decrease reflects a familiar seasonal pattern, as our customers deploy funds during the first quarter, and the loan decline reflects an elevated level of payoffs and prepayments combined with a more typical pace of new originations in our North Dakota markets. Our balance sheet remains strong, with ample liquidity and a tangible common equity ratio that improved to 10.22% as of March 31.

"As we noted in our April 29 announcement, our proposed combination with OppFi represents a meaningful opportunity to extend our reach and capabilities while preserving the relationship-driven banking model that has defined the Company since 1987. As that transaction moves forward, our team remains focused on what we do best: serving our customers, supporting our communities and operating the bank with the same discipline that produced this quarter's results. We are confident in the overall quality of our loan portfolio, the strength of our balance sheet and our ability to navigate ongoing economic and geopolitical uncertainties."

2026 Versus 2025 First Quarter Comparison

The Company reported net income of $2.2 million, or $0.61 per diluted share, for the quarter compared to $1.8 million, or $0.50 per diluted share, in the first quarter of 2025.

First quarter interest income increased $1.9 million, or 15.9%, to $13.9 million in the first quarter of 2026 from $12.0 million in the first quarter of 2025. Average yield on interest-earning assets in the quarter improved to 5.41% from 5.34% in the first quarter of 2025 driven by a $41.8 million period-over-period increase in the average balance of loans held for investment and higher average balances of cash and cash equivalents. Those increases were partially offset by lower yields on cash and cash equivalents and a lower average balance of debt securities during the quarter.

Interest expense in the first quarter of 2026 was $4.7 million, an increase of $539 thousand from the 2025 period. The cost of core deposits in the first quarter of 2026 remained constant at 1.88% unchanged from the first quarter of 2025. The average balance of deposits increased by $119.6 million compared to the first quarter of 2025. The cost of interest-bearing liabilities was 2.35% during the first quarter of 2026, compared to 2.42% in the same period of 2025.

Net interest income for the first quarter of 2026 was $9.2 million, an increase of $1.4 million, or 17.4%, from the first quarter of 2025. Net interest margin was 3.59% in the first quarter of 2026 compared to 3.49% reported in the prior year period.

Non-interest income during the first quarter of 2026 was $1.4 million, compared to $1.4 million in the 2025 first quarter. Bank charges and service fees were $14 thousand higher quarter-over-quarter primarily due to higher servicing income and overdraft fees that were partially offset by lower non-use fees from lines of credit. Wealth management revenues increased by $54 thousand, or 10.4%, as the Company has benefitted from significant increases in the market value of financial assets year-over-year. Other income is $49 thousand lower than the prior year period due to the recognition of a $51 thousand gain on sale of repossessed assets in the 2025 period.

Non-interest expense during the first quarter of 2026 increased $604 thousand, or 8.8%, year-over-year, primarily due to a $558 thousand increase in professional services as the Company incurred additional expenses as a part of the recently announced definitive agreement to be acquired by OppFi Inc. The Company reported additional increases in data processing fees and occupancy expense. Core banking services, card processing charges and higher IT subscriptions provided the largest increases. Occupancy expense increased primarily due to higher expense for snow removal in the 2026 period.

In the first quarter of 2026, income tax expense was $646 thousand, compared to $542 thousand in the first quarter of 2025. The Company's effective tax rate was 23.0% and 23.5% for the first quarter of 2026 and 2025, respectively.

Tangible book value per common share on March 31, 2026 was $30.85, compared to $30.26 at December 31, 2025. The Company's tangible common equity capital ratio increased to 10.22% as of March 31, 2026, compared to 9.68% on December 31, 2025.

Assets and Liabilities

Total assets were $1.1 billion at March 31, 2026 versus $1.1 billion at December 31, 2025. Total loans held for investment decreased to $734.6 million on March 31, 2026 compared to $738.7 million on December 31, 2025. Debt securities decreased $3.6 million from year-end 2025, primarily due to normal amortization, while cash and cash equivalent balances totaled $179.7 million on March 31, 2026 compared to $211.5 million on December 31, 2025.

Total deposits decreased $39.3 million to $932.5 million as of March 31, 2026, from a balance of $971.8 million on December 31, 2025. The Company remains committed to cultivating new deposit relationships and prioritizing liquidity.

The following table provides additional detail on the Company's total deposit relationships:

		As of
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
Deposits:
Non-interest-bearing		$	174,630		$	177,618		$	169,503
Interest-bearing -
Savings, interest checking and money market			645,217			681,350			582,239
Time deposits			112,615			112,833			97,105
Total on balance sheet deposits			932,462			971,801			848,847
Off-balance sheet deposits (1)			-			-			18,133
Total available deposits		$	932,462		$	971,801		$	866,980

(1)

The off-balance sheet deposits above do not include off-balance sheet time deposits that can be brought back on the balance sheet at various future maturity dates. As of March 31, 2026, the Company managed off-balance sheet time deposit balances of $260 thousand, compared to $250 thousand time deposit balances as of December 31, 2025 and $6.2 million time deposit balances as of March 31, 2025.

The Company remains highly focused on meeting the needs of its customers and ensuring deposit rates reflect changing market conditions. The Company estimates that deposit insurance and other deposit protection programs secure approximately 69% of its customers' deposit balances. This fact, combined with the Company's strong balance sheet and management's sustained focus on fostering a relationship-focused culture, has allowed the Company to maintain a significant deposit base.

Trust assets under administration increased 0.9%, or $4.1 million, to $485.0 million at March 31, 2026, from $480.9 million at December 31, 2025. The Company has benefited from the addition of new assets under administration in 2026, but also experienced declines in the market value of financial assets attributable to declines in the broader financial markets.

Asset Quality

The allowance for credit losses was $8.6 million as of March 31, 2026, versus $10.3 million on December 31, 2025. The allowance for credit losses on loans as a percentage of loans held for investment on March 31, 2026 decreased to 1.18% from 1.40% as of December 31, 2025. The decrease in the allowance to loans ratio was largely due to write-downs of specific problem credits during the first quarter of 2026 that maintained specific reserves as of year-end 2025.

Past due loans of 31-89 days increased to $1.7 million as of March 31, 2026, compared to $664 thousand as of December 31, 2025. Nonperforming assets were $6.8 million on March 31, 2026, compared to $9.2 million on December 31, 2025. The ratio of nonperforming assets-to-total-assets was 0.64% at March 31, 2026 compared to 0.83% as of December 31, 2025. As of March 31, 2026, $4.8 million, or 71%, of the $6.8 million in nonperforming loans were SBA loans supported by material government guarantees. Excluding loan balances covered by government guarantees, the Company's nonperforming assets-to-total-assets ratio was 0.28% on March 31, 2026.

The Company continues to monitor the evolving macroeconomic and geopolitical environment for possible impacts to its loan portfolio. As of March 31, 2026, classified loans increased to $6.5 million from $5.7 million as of December 31, 2025. In recent periods, the Company experienced an increase in classified loans related to the transportation industry. As of March 31, 2026, the Company had $725 thousand of classified loan balances associated with the transportation industry. The Company's overall exposure to the transportation industry is estimated to be $8.2 million at March 31, 2026. As of March 31, 2026 and December 31, 2025, the Company had $1.2 million and $5.4 million, respectively, of potentially problematic loans, which are risk-rated as "special mention."

BNC's loans held for investment are geographically concentrated in North Dakota and Arizona, comprising 53% and 26%, respectively, of the Company's total loans held for investment portfolio.

The North Dakota economy is influenced by the energy and agriculture industries. Changes in energy supply and demand, along with market sentiment have recently caused a decrease in oil prices that, if prolonged, could have a negative impact on the oil industry and ancillary services. Potential risks to North Dakota's energy and agriculture industries include the possibility of adverse national legislation, potential effects of trade policy, and changes in economic conditions. Depending on the severity of their impact, these factors could present potential challenges to credit quality in North Dakota.

The Arizona economy continues to diversify but is still influenced by the leisure and travel industries. Positive trends in both industries have been noted, but an extended slowdown in these industries may negatively impact credit quality in Arizona. While the Company's portfolio includes various sized loans spread over a large number of industry sectors, it has meaningful concentrations of loans to the hospitality and commercial real estate industries.

The following table approximately describes the Company's concentrations by industry:

Loans Held for Investment by Industry Sector
(in thousands)	March 31, 2026						December 31, 2025
Non-owner Occupied Commercial Real estate - not otherwise categorized	$	203,972		28	%		$	200,887		27	%
Consumer, not otherwise categorized		94,152		13				94,999		13
Hotels		93,262		13				97,337		13
Healthcare and social assistance		38,084		5				37,270		5
Agriculture, forestry, fishing and hunting		34,977		5				37,328		5
Retail trade		30,223		4				30,110		4
Non-hotel accommodation and food service		28,205		4				28,469		4
Art, entertainment and recreation		27,202		4				27,821		4
Transportation and warehousing		24,353		3				27,329		4
Construction contractors		24,095		3				24,178		3
Manufacturing		20,931		3				20,127		3
Mining, oil and gas extraction		20,666		3				21,495		3
Real estate and rental and leasing support services		17,515		2				15,245		2
Other service		15,343		2				15,372		2
Utilities		14,540		2				14,510		2
Educational services		12,385		2				10,932		1
Professional, scientific, and technical services		10,906		1				11,406		2
Finance and insurance		8,561		1				8,573		1
Public administration		6,346		1				6,440		1
All other		8,346		1				8,268		1
Total gross loans held for investment	$	734,064		100	%		$	738,096		100	%

Capital

Banks and bank holding companies operate under separate regulatory capital requirements. As of March 31, 2026, the Company's capital ratios exceeded all regulatory capital thresholds, including the capital conservation buffer.

A summary of the Company's and the Bank's capital ratios is presented below:

		March 31, 2026		December 31, 2025
BNCCORP, INC. (Consolidated)
Tier 1 leverage		11.87 %		12.40 %
Common equity tier 1 risk based capital		13.19 %		13.01 %
Tier 1 risk based capital		14.97 %		14.81 %
Total risk based capital		15.99 %		16.02 %
Tangible common equity		10.22 %		9.68 %
BNC National Bank
Tier 1 leverage		11.28 %		11.71 %
Common equity tier 1 risk based capital		14.22 %		13.98 %
Tier 1 risk based capital		14.22 %		13.98 %
Total risk based capital		15.24 %		15.19 %
Tangible common equity		11.10 %		10.47 %

The Common Equity Tier 1 ratio, which is generally a comparison of a bank's core equity capital to its total risk weighted assets, is a measure of the current risk profile of the Bank's asset base from a regulatory perspective. The Tier 1 leverage ratio, which is based on average assets, does not consider the mix of risk-weighted assets.

The Company regularly evaluates the sufficiency of its capital to ensure compliance with regulatory capital standards and to serve as a source of strength for the Bank. The Company manages capital by assessing the composition of capital and the amounts available for growth, risk, or other purposes.

The Company made an election at the adoption of BASEL III to exclude changes in accumulated other comprehensive income from the calculation of regulatory ratios.

Share Repurchases

In December 2020, the Company's Board of Directors approved a share repurchase program authorizing the repurchase of up to 175,000 shares of BNCCORP, INC. outstanding common stock. During the first quarter of 2024, the Company repurchased 50,000 shares of common stock for a total cost of $1.2 million, or approximately $23.25 per share. The Company has made no other share repurchases of common stock. As of March 31, 2026, there were 125,000 shares remaining under the current authorized share repurchase program.

OppFi Transaction Announced

On April 29, 2026, the Company issued a press release announcing that it had entered into a definitive agreement to be acquired by OppFi Inc., a tech-enabled digital finance platform, in a stock and cash transaction valued at approximately $130 million.

About BNCCORP, INC.

BNCCORP, INC., headquartered in Bismarck, ND, is a registered bank holding company dedicated to providing banking and wealth management services to businesses and consumers in its local markets. The Company operates community banking and wealth management businesses in North Dakota and Arizona from 11 locations.

This news release may contain "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of BNC. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management are generally identifiable by the use of words such as "expect", "believe", "anticipate", "at the present time", "plan", "optimistic", "intend", "estimate", "may", "will", "would", "could", "should", "future" and other expressions relating to future periods. Examples of forward-looking statements include, among others, statements we make regarding our expectations regarding future market conditions and our ability to capture opportunities and pursue growth strategies, our expected operating results such as revenue growth and earnings and our expectations of the effects of the regulatory environment or future pandemics on our earnings for the foreseeable future. Forward-looking statements are neither historical facts nor assurances of future performance. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, but are not limited to: the impact of current and future regulation; the risks of loans and investments, including dependence on local and regional economic conditions; competition for our customers from other providers of financial services; possible adverse effects of changes in interest rates; risks associated with our acquisition and growth strategies; and other risks, including the potential impact of the imposition of tariffs or retaliatory tariffs, which are difficult to predict and many of which are beyond our control. In addition, all statements in this news release, including forward-looking statements, speak only of the date they are made, and the Company undertakes no obligation to update any statement in light of new information or future events.

This press release contains references to financial measures, which are not defined in GAAP. Such non-GAAP financial measures include tangible common equity to total period end assets ratio. These non-GAAP financial measures have been included as the Company believes they are helpful for investors to analyze and evaluate the Company's financial condition.

(Financial tables attached)

BNCCORP, INC.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
		For the Quarter Ended,
(In thousands, except per share data)		March 31, 2026			December 31, 2025			March 31, 2025
INCOME STATEMENT
Interest income		$	13,906		$	13,575		$	12,000
Interest expense			4,688			4,589			4,149
Net interest income			9,218			8,986			7,851
Provision for credit losses			385			1,105			100
Net interest income after provision for credit losses			8,833			7,881			7,751
Non-interest income
Bank charges and service fees			682			690			668
Wealth management revenues			575			557			521
Gains on sales of loans, net			6			-			(1)
Other			147			247			196
Total non-interest income			1,410			1,494			1,384
Non-interest expense
Salaries and employee benefits			3,989			3,802			4,088
Professional services			820			268			262
Data processing fees			924			887			823
Marketing and promotion			140			220			183
Occupancy			452			405			399
Regulatory costs			131			126			132
Depreciation and amortization			269			273			273
Office supplies and postage			101			87			93
Other			607			472			576
Total non-interest expense			7,433			6,540			6,829
Income before taxes			2,810			2,835			2,306
Income tax expense			646			645			542
Net income		$	2,164		$	2,190		$	1,764
WEIGHTED AVERAGE SHARES
Common shares outstanding (a)			3,541,774			3,541,774			3,540,080
Dilutive effect of share-based compensation			-			-			969
Adjusted weighted average shares (b)			3,541,774			3,541,774			3,541,049
EARNINGS PER SHARE DATA
Basic earnings per common share		$	0.61		$	0.62		$	0.50
Diluted earnings per common share		$	0.61		$	0.62		$	0.50

(a)	Denominator for basic earnings per common share
(b)	Denominator for diluted earnings per common share

BNCCORP, INC.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
		As of
(In thousands, except share, per-share and full-time equivalent data)		March 31, 2026			December 31, 2025			March 31, 2025
BALANCE SHEET DATA
Cash and cash equivalents		$	179,736		$	211,451		$	102,854
Debt securities available for sale			111,054			114,670			127,824
FRB and FHLB stock			2,466			2,386			2,386
Loans held for investment			734,622			738,700			699,266
Allowance for credit losses			(8,635)			(10,318)			(9,311)
Net loans held for investment			725,987			728,382			689,955
Premises and equipment, net			9,870			10,120			10,624
Operating lease right of use asset			606			514			527
Accrued interest receivable			4,059			4,395			3,979
Other			29,078			28,288			28,426
Total assets		$	1,062,856		$	1,100,206		$	966,575
Deposits:
Non-interest-bearing		$	174,630		$	177,618		$	169,503
Interest-bearing -
Savings, interest checking and money market			645,217			681,350			582,239
Time deposits			112,615			112,833			97,105
Total deposits			932,462			971,801			848,847
Guaranteed preferred beneficial interest in Company's subordinated debentures			15,464			15,464			15,464
Accrued interest payable			1,626			1,638			1,336
Accrued expenses			1,976			2,877			1,481
Operating lease liabilities			653			571			600
Other			2,083			1,348			1,531
Total liabilities			954,264			993,699			869,259
Common stock			37			37			37
Capital surplus - common stock			27,246			27,230			27,103
Retained earnings			89,602			87,438			80,431
Treasury stock			(2,753)			(2,753)			(2,667)
Accumulated other comprehensive income, net			(5,540)			(5,445)			(7,588)
Total stockholders' equity			108,592			106,507			97,316
Total liabilities and stockholders' equity		$	1,062,856		$	1,100,206		$	966,575
OTHER SELECTED DATA
Trust assets under administration		$	485,035		$	480,944		$	422,887
Core deposits (1)		$	932,462		$	971,801		$	848,847
Tangible book value per common share (2)		$	30.85		$	30.26		$	27.62
Tangible book value per common share excluding accumulated other comprehensive income, net		$	32.42		$	31.80		$	29.77
Full time equivalent employees			125			132			138
Common shares outstanding			3,520,125			3,520,125			3,523,875

(1)	Core deposits consist of all deposits with customers.
(2)	Tangible book value per common share is equal to book value per common share.

BNCCORP, INC.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
AVERAGE BALANCE, YIELD EARNED, AND COST PAID		For the Quarter Ended March 31, 2026								For the Quarter Ended March 31, 2025								Quarter-Over-Quarter Comparison
(dollars in thousands)		Average Balance			Interest Earned or Paid			Average Yield or Cost		Average Balance			Interest Earned or Paid			Average Yield or Cost		Change Due to
																		Rate			Volume			Total
Assets
Interest-bearing due from banks		$	198,576		$	1,814		3.71 %		$	94,497		$	1,039		4.46 %		$	(202)		$	977		$	775
FRB and FHLB stock			2,391			36		6.11 %			2,387			35		6.00 %			1			-			1
Debt securities available for sale			113,051			870		3.12 %			128,144			1,014		3.21 %			(27)			(117)			(144)
Loans held for investment			737,328			11,186		6.15 %			695,519			9,912		5.78 %			670			604			1,274
Allowance for credit losses			(8,814)			-		0.00 %			(9,218)			-		0.00 %			-			-			-
Total		$	1,042,532		$	13,906		5.41 %		$	911,329		$	12,000		5.34 %		$	442		$	1,464		$	1,906
Liabilities
Interest checking and money market		$	637,093		$	3,557		2.26 %		$	544,016		$	3,119		2.33 %		$	(243)		$	681		$	438
Savings			42,193			11		0.11 %			43,967			11		0.11 %			-			-			-
Time deposits			112,661			923		3.32 %			92,870			797		3.48 %			(39)			165			126
Short-term borrowings			2			-		4.21 %			-			-		0.00 %			-			-			-
Subordinated debentures			15,464			197		5.18 %			15,464			222		5.81 %			(25)			-			(25)
Total		$	807,413		$	4,688		2.35 %		$	696,317		$	4,149		2.42 %		$	(307)		$	846		$	539
Net Interest Income					$	9,218							$	7,851
Net Interest Spread								3.05 %								2.92 %
Net Interest Margin								3.59 %								3.49 %

		For the Quarter Ended
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
OTHER AVERAGE BALANCES
Total assets		$	1,096,911		$	1,032,882		$	965,440
Core deposits			966,623			905,171			846,986
Total equity			108,264			105,817			95,335
KEY RATIOS
Return on average common stockholders' equity (a)			7.72 %			7.79 %			6.85 %
Return on average assets (b)			0.80 %			0.84 %			0.74 %
Efficiency ratio (Consolidated)			69.94 %			62.40 %			73.95 %
Efficiency ratio (Bank)			62.96 %			60.83 %			70.92 %

(a)	Return on average common stockholders' equity is calculated by using net income as the numerator and average common equity (less accumulated other comprehensive income (loss)) as the denominator.
(b)	Return on average assets is calculated by using net income as the numerator and average total assets as the denominator.

BNCCORP, INC.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
		As of
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
ASSET QUALITY
Loans 90 days or more delinquent and accruing interest		$	-		$	-		$	871
Non-accrual loans			6,785			9,169			6,383
Total nonperforming loans		$	6,785		$	9,169		$	7,254
Repossessed assets, net			-			-			-
Total nonperforming assets		$	6,785		$	9,169		$	7,254
Allowance for credit losses		$	8,635		$	10,318		$	9,311
Ratio of total nonperforming loans to total loans			0.92 %			1.24 %			1.04 %
Ratio of total nonperforming assets to total assets			0.64 %			0.83 %			0.75 %
Ratio of nonperforming loans to total assets			0.64 %			0.83 %			0.75 %
Ratio of allowance for credit losses to total loans			1.18 %			1.40 %			1.33 %
Ratio of allowance for credit losses to nonperforming loans			127 %			113 %			128 %
		For the Quarter Ended
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
CHANGES IN NONPERFORMING LOANS
Balance, beginning of period		$	9,169		$	8,061		$	6,275
Additions to nonperforming			556			1,640			1,035
Charge-offs			(2,010)			(126)			-
Reclassified back to performing			-			-			(8)
Principal payments received			(930)			(367)			(24)
Transferred to repossessed assets			-			(39)			(24)
Balance, end of period		$	6,785		$	9,169		$	7,254

BNCCORP, INC.
CONSOLIDATED FINANCIAL DATA
(Unaudited)
		For the Quarter Ended
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
CHANGES IN ALLOWANCE FOR CREDIT LOSSES
Balance, beginning of period		$	10,433		$	9,433		$	9,388
Provision			385			1,105			100
Loans charged off			(2,065)			(142)			(47)
Loan recoveries			10			37			5
Balance, end of period		$	8,763		$	10,433		$	9,446
Components:
Allowance for loan losses		$	8,635		$	10,318		$	9,311
Allowance for unfunded commitments		$	128		$	115		$	135
Ratio of net charge-offs to average total loans			(0.279) %			(0.014) %			(0.006) %
Ratio of net charge-offs to average total loans, annualized			(1.115) %			(0.057) %			(0.024) %
		As of
(In thousands)		March 31, 2026			December 31, 2025			March 31, 2025
CREDIT CONCENTRATIONS
North Dakota
Commercial and industrial		$	78,881		$	79,455		$	66,274
Construction			2,854			2,826			1,177
Agricultural			36,713			39,238			33,320
Land and land development			8,149			8,115			7,986
Owner-occupied commercial real estate			36,126			37,284			39,033
Commercial real estate			115,116			114,009			118,240
Small business administration			18,754			17,581			19,425
Consumer			90,876			92,728			91,573
Subtotal gross loans held for investment		$	387,469		$	391,236		$	377,028
Consolidated
Commercial and industrial		$	125,683		$	124,595		$	105,369
Construction			11,826			8,955			11,615
Agricultural			39,399			41,931			36,115
Land and land development			9,626			9,601			9,374
Owner-occupied commercial real estate			82,321			84,810			85,673
Commercial real estate			256,000			260,059			243,820
Small business administration			92,976			90,621			87,432
Consumer			116,233			117,524			118,934
Total gross loans held for investment		$	734,064		$	738,096		$	698,332

SOURCE BNCCORP, INC.