STATEN ISLAND, N.Y., July 22, 2026 (GLOBE NEWSWIRE) -- ES Bancshares, Inc. (OTCQX: ESBS) (the "Company") the holding company for Empire State Bank, (the "Bank") today reported net income of $882 thousand, or $0.13 per diluted common share, for the quarter ended June 30, 2026, compared to a net income of $1.1 million, or $0.16 per diluted common share for the quarter ended March 31, 2026.
| Key Quarterly Financial Data | 2026 Highlights | ||||||||||||
| Performance Metrics | 2Q26 | 1Q26 | 4Q25 | • Total deposits grew by $4.2 million from year end 2025 inclusive of a $5.0 million decrease in brokered deposits. • The Cost of Funds for the three months ended June 30, 2026, dropped to 2.41% from 2.44% in the prior linked quarter. • For 3 months ended June 30, 2026, the Company's net interest margin increased to 3.10% compared to 3.06% for the 3 months ended March 31, 2026. • The Company repurchased 40,000 shares in the second quarter of 2026. • Book value for the quarter ended June 30, 2026, totaled $7.64 per share increasing for the ninth consecutive quarter. | |||||||||
| Return on average assets (%) | 0.57 | 0.71 | 0.42 | ||||||||||
| Return on average equity (%) | 6.72 | 8.91 | 5.31 | ||||||||||
| Return on average tangible equity (%) | 6.80 | 9.02 | 5.37 | ||||||||||
| Net interest margin (%) | 3.10 | 3.06 | 2.77 | ||||||||||
| Income Statement (a) | 2Q26 | 1Q26 | 4Q25 | ||||||||||
| Net interest income | - | 4,666 | - | 4,698 | - | 4,239 | |||||||
| Non-interest income | - | 317 | - | 366 | - | 403 | |||||||
| Net income | - | 882 | - | 1,108 | - | 659 | |||||||
| Earnings per diluted common share | - | 0.13 | - | 0.16 | - | 0.10 | |||||||
| Balance Sheet (a) | 2Q26 | 1Q26 | 4Q25 | ||||||||||
| Average total loans | - | 533,801 | - | 541,939 | - | 553,324 | |||||||
| Average total deposits | - | 503,839 | - | 515,419 | - | 512,918 | |||||||
| Book value per share | - | 7.64 | - | 7.50 | - | 7.34 | |||||||
| Tangible book value per share | - | 7.56 | - | 7.42 | - | 7.25 | |||||||
| (a) In thousands except for per share amounts | |||||||||||||
Phil Guarnieri, Director, and Chief Executive Officer of ES Bancshares said "We were able to repurchase 40,000 shares at a discount to our book value in the second quarter. We increased pre-tax income by $130 thousand as we continue to control our costs and expenses. We continue to deploy various strategic decisions to increase our stockholder value."
Selected Balance Sheet Information:
June 30, 2026 vs. December 31, 2025
As of June 30, 2026, total assets were $617.6 million, an increase of $952 thousand, or 0.2%, as compared to total assets of $616.7 million on December 31, 2025. The increase can be attributed to our growth in retail deposits that were partially offset by reductions in our borrowed funds and brokered deposits.
Loans receivable, net of Allowance for Credit Losses on Loans totaled $526.2 million, a decrease of $18.3 million or 3.4% from December 31, 2025. As of June 30, 2026, the Allowance for Credit Losses on Loans as a percentage of gross loans was 0.97%.
Nonperforming assets, which includes nonaccrual loans and foreclosed real estate were $5.0 million or 0.80% of total assets, as of June 30, 2026, decreasing since December 31, 2025. The ratio of nonaccrual loans to loans receivable was 0.94%, as of June 30, 2026, and 1.08% for December 31, 2025. The decrease from December 31, 2025, was primarily due to the payoff of one non-owner occupied commercial real estate loan in the first quarter of 2026.
Total liabilities decreased $860 thousand to $565.0 million at June 30, 2026, from $565.8 million at December 31, 2025. The decrease can be attributed to decrease in borrowed money of $3.4 million and a decrease in other liabilities of $757 thousand, partially offset by an increase in total deposits of $4.2 million.
As of June 30, 2026, the Bank's Tier 1 capital leverage ratio, common equity tier 1 capital ratio, Tier 1 capital ratio and total capital ratios were 10.13%, 15.07%, 15.07% and 16.32% respectively, all in excess of the ratios required to be deemed "well-capitalized." During the second quarter of 2026 the Company repurchased 40 thousand shares, or $237.4 thousand, under its stock repurchase program. We had announced a second stock repurchase plan for an addition $750,000. Book value per common share was $7.64 at June 30, 2026, compared to $7.34 at December 31, 2025. Tangible common book value per share (which represents common equity less goodwill, divided by the number of shares outstanding) was $7.56 at June 30, 2026, compared to $7.25 at December 31, 2025.
Financial Performance Overview:
Three Months Ended June 30, 2026, vs. March 31, 2026
For the three months ended June 30, 2026, the Company net income totaled $882 thousand, compared to a net income of $1.1 million for the three months ended March 31, 2026. The decrease can be attributed to higher income taxes, partially offset by lower non-interest expense.
Net interest income for the three months ended June 30, 2026 remained at $4.7 million despite the lower average loan balance during the current quarter. The Company's net interest margin increased by 4 basis points to 3.10% for the three months ended June 30, 2026, as compared to 3.06% for the three months ended March 31, 2026. The increase in margin can be attributed to a decrease in interest expense on deposits. Our subordinated debt repriced as of April 30, 2026, and adjusts quarterly at a margin of 579 basis points over the 3-month SOFR rate.
There was a $52 thousand reversal for credit losses taken for the three months ended June 30, 2026, compared to a $21 thousand reversal for credit losses for the three months ended March 31, 2026. The reversal for credit losses was due to a partial recovery of taxi medallion loan that was previously charged-off.
Non-interest income decreased $49 thousand, to $317 thousand for the three months ended June 30, 2026, compared with non-interest income of $366 thousand for the three months ended March 31, 2026. The majority of the decrease can be attributed to lower service charges and fees on loans in the second quarter of 2026. We have not yet received the remaining ERTC installments for the 2021 tax year.
Non-interest expenses totaled $3.9 million for the three months ended June 30, 2026, compared to $4.0 million for the three months ended March 31, 2026. The largest fluctuations quarter over quarter were due to a $212 thousand decrease in compensation and benefits, partially offset by an increase of $43 thousand in marketing.
About ES Bancshares Inc.
ES Bancshares, Inc. (the "Company") is incorporated under Maryland law and serves as the holding company for Empire State Bank (the "Bank"). The Company is subject to regulation by the Board of Governors of the Federal Reserve System while the Bank is primarily subject to regulation and supervision by the New York State Department of Financial Services. Currently, the Company does not transact any material business other than through the Bank, its subsidiary.
The Bank was organized under federal law in 2004 as a national bank regulated by the Office of the Comptroller of the Currency. The Bank's deposits are insured up to legal limits by the FDIC. In March 2009, the Bank converted its charter to a New York State commercial bank charter. The Bank's principal business is attracting commercial and retail deposits in New York and investing those deposits primarily in loans, consisting of commercial real estate loans, and other commercial loans including SBA and mortgage loans secured by one-to-four-family residences. In addition, the Bank invests in mortgage-backed securities, securities issued by the U.S. Government and agencies thereof, corporate securities and other investments permitted by applicable law and regulations.
We operate from our five Banking Center locations, a Loan Production Office and our Corporate Headquarters located in Staten Island, New York. The Company's website address is www.esbna.com. The Company's annual report, quarterly earnings releases and all press releases are available free of charge through its website, as soon as reasonably practicable.
Forward-Looking Statements
This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as "may", "will", "expect", "believe", "anticipate", "estimate" or "continue" or comparable terminology, are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within ES Bancshares, Inc's. control. The forward-looking statements included in this release are made only as of the date of this release. We have no intention, and do not assume any obligation, to update these forward-looking statements.
Investor Contact:
Peggy Edwards, Corporate Secretary
(845) 451-7825
| ES Bancshares, Inc. Consolidated Statement of Financial Condition (in thousands) | ||||||||
| June 30, 2026 | December 31, 2025 | |||||||
| |------(unaudited)------| | ||||||||
| Assets | ||||||||
| Cash and cash equivalents | - | 59,163 | - | 36,645 | ||||
| Securities, net | 9,640 | 11,915 | ||||||
| Loans receivable, net: | ||||||||
| Real estate mortgage loans | 515,019 | 528,158 | ||||||
| Commercial and Lines of Credit | 12,640 | 17,648 | ||||||
| Home Equity and Consumer Loans | 342 | 379 | ||||||
| Deferred costs | 3,378 | 3,544 | ||||||
| Allowance for Loan Credit Losses | (5,140 | - | (5,142 | - | ||||
| Total loans receivable, net | 526,239 | 544,586 | ||||||
| Accrued interest receivable | 2,613 | 2,649 | ||||||
| Investment in restricted stock, at cost | 3,672 | 3,846 | ||||||
| Goodwill | 581 | 581 | ||||||
| Bank premises and equipment, net | 3,862 | 4,128 | ||||||
| Repossessed assets | - | - | ||||||
| Right of use lease asset | 4,571 | 5,019 | ||||||
| Bank Owned Life Insurance | 5,739 | 5,653 | ||||||
| Other Assets | 1,539 | 1,645 | ||||||
| Total Assets | - | 617,619 | - | 616,667 | ||||
| Liabilities & Stockholders' Equity | ||||||||
| Non-Interest-Bearing Deposits | - | 108,470 | - | 105,966 | ||||
| Interest-Bearing Deposits | 388,240 | 381,531 | ||||||
| Brokered Deposits | 10,041 | 15,040 | ||||||
| Total Deposits | 506,751 | 502,537 | ||||||
| Bond Issue, net of costs | 11,350 | 11,823 | ||||||
| Borrowed Money | 35,936 | 39,328 | ||||||
| Lease liability | 4,855 | 5,307 | ||||||
| Other Liabilities | 6,082 | 6,839 | ||||||
| Total Liabilities | 564,974 | 565,834 | ||||||
| Stockholders' equity | 52,645 | 50,833 | ||||||
| Total liabilities and stockholders' equity | - | 617,619 | - | 616,667 | ||||
| ES Bancshares, Inc. Consolidated Statement of Income (in thousands) | |||||||||||
| Three Months Ended, | |||||||||||
| June 30, 2026 | March 31, 2026 | December 31, 2025 | |||||||||
| |----------------(unaudited)----------------| | |||||||||||
| Interest income | |||||||||||
| Loans | - | 7,383 | - | 7,510 | - | 7,401 | |||||
| Securities | 149 | 181 | 126 | ||||||||
| Other interest-earning assets | 463 | 464 | 432 | ||||||||
| Total Interest Income | 7,995 | 8,155 | 7,959 | ||||||||
| Interest expense | |||||||||||
| Deposits | 2,602 | 2,721 | 2,985 | ||||||||
| Borrowings | 727 | 736 | 735 | ||||||||
| Total Interest Expense | 3,329 | 3,457 | 3,720 | ||||||||
| Net Interest Income | 4,666 | 4,698 | 4,239 | ||||||||
| Reversal of Credit Losses | (52 | - | (21 | - | (10 | - | |||||
| Net Interest Income after Provision for Credit Losses | 4,718 | 4,719 | 4,249 | ||||||||
| Non-interest income | |||||||||||
| Service charges and fees | 270 | 301 | 357 | ||||||||
| Other | 47 | 65 | 46 | ||||||||
| Total non-interest income | 317 | 366 | 403 | ||||||||
| Non-interest expenses | |||||||||||
| Compensation and benefits | 1,900 | 2,112 | 1,779 | ||||||||
| Occupancy and equipment | 615 | 624 | 614 | ||||||||
| Data processing service fees | 326 | 315 | 317 | ||||||||
| Professional fees | 305 | 272 | 316 | ||||||||
| FDIC & NYS Banking Premiums | 96 | 101 | 102 | ||||||||
| Marketing | 122 | 79 | 85 | ||||||||
| Insurance | 48 | 49 | 47 | ||||||||
| Other | 451 | 491 | 490 | ||||||||
| Total non-interest expense | 3,863 | 4,043 | 3,750 | ||||||||
| Income(loss) prior to tax expense | 1,172 | 1,042 | 902 | ||||||||
| Income taxes | 290 | (66 | - | 243 | |||||||
| Net Profit | - | 882 | - | 1,108 | - | 659 | |||||
| ES Bancshares, Inc. | |||||||||||||||||||||||||
| Average Balance Sheet Data | |||||||||||||||||||||||||
| For the Three Months Ended (dollars in thousands) | |||||||||||||||||||||||||
| June 30, 2026 | March 31, 2026 | December 31, 2025 | |||||||||||||||||||||||
| Avg Bal | Interest | Average | Avg Bal | Interest | Average | Avg Bal | Interest | Average | |||||||||||||||||
| Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | Rolling 3 Mos. | Rolling 3 Mos. | Yield/Cost | |||||||||||||||||
| Assets | |||||||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||||||
| Loans receivable | - | 533,801 | - | 7,383 | 5.53 | - | - | 541,939 | - | 7,510 | 5.54 | - | - | 553,324 | - | 7,401 | 5.35 | - | |||||||
| Investment securities | 18,079 | 149 | 3.29 | - | 21,053 | 181 | 3.43 | - | 14,638 | 126 | 3.43 | - | |||||||||||||
| Other interest earning assets | 49,961 | 463 | 3.76 | - | 50,677 | 464 | 3.71 | - | 43,364 | 432 | 3.94 | - | |||||||||||||
| Total interest-earning assets | 601,841 | 7,995 | 5.31 | - | 613,669 | 8,155 | 5.32 | - | 611,326 | 7,959 | 5.21 | - | |||||||||||||
| Non-interest earning assets | 14,932 | 28,474 | 14,542 | ||||||||||||||||||||||
| Total assets | - | 616,773 | - | 642,143 | - | 625,868 | |||||||||||||||||||
| Liabilities and Stockholders' Equity | |||||||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||||||
| Demand Deposit accounts | - | 36,234 | - | 35 | 0.38 | - | - | 39,363 | - | 36 | 0.37 | - | - | 34,442 | - | 32 | 0.37 | - | |||||||
| Savings accounts | 214,768 | 1,282 | 2.39 | - | 221,971 | 1,360 | 2.48 | - | 221,921 | 1,533 | 2.74 | - | |||||||||||||
| Certificates of deposit | 146,949 | 1,285 | 3.51 | - | 149,160 | 1,235 | 3.36 | - | 153,046 | 1,420 | 3.68 | - | |||||||||||||
| Total interest-bearing deposits | 397,951 | 2,602 | 2.62 | - | 410,494 | 2,721 | 2.69 | - | 409,408 | 2,985 | 2.89 | - | |||||||||||||
| Borrowings | 38,002 | 444 | 4.69 | - | 39,200 | 454 | 4.69 | - | 39,393 | 463 | 4.66 | - | |||||||||||||
| Subordinated debenture | 11,346 | 283 | 9.97 | - | 11,337 | 282 | 9.95 | - | 11,820 | 272 | 9.20 | - | |||||||||||||
| Total interest-bearing liabilities | 447,299 | 3,329 | 2.98 | - | 461,031 | 3,457 | 3.04 | - | 460,622 | 3,719 | 3.20 | - | |||||||||||||
| Non-interest-bearing demand deposits | 105,270 | 104,925 | 103,510 | ||||||||||||||||||||||
| Other liabilities | 11,717 | 11,118 | 11,118 | ||||||||||||||||||||||
| Total non-interest-bearing liabilities | 116,987 | 116,043 | 114,628 | ||||||||||||||||||||||
| Stockholders' equity | 52,487 | 51,610 | 50,619 | ||||||||||||||||||||||
| Total liabilities and stockholders' equity | - | 616,773 | - | 642,143 | - | 625,868 | |||||||||||||||||||
| Net interest income | - | 4,666 | - | 4,698 | - | 4,239 | |||||||||||||||||||
| Average interest rate spread (1) | 2.33 | - | 2.27 | - | 2.01 | - | |||||||||||||||||||
| Net interest margin (2) | 3.10 | - | 3.06 | - | 2.77 | - | |||||||||||||||||||
| (1) Average interest rate spread represents the difference between the yield on average interest-earning assets and and the cost of average interest-bearing liabilities. | |||||||||||||||||||||||||
| (2) Net interest margin represents net interest income divided by average total interest-earning assets. | |||||||||||||||||||||||||
| ES Bancshares, Inc. | ||||||||||||||||
| Five Quarter Performance Ratio Highlights | Three Months Ended | |||||||||||||||
| June 30, 2026 | March 31, 2026 | December 31, 2025 | September 30, 2025 | June 30, 2025 | ||||||||||||
| Performance Ratios (%) - annualized | ||||||||||||||||
| Return on Average Assets | 0.57 | - | 0.71 | - | 0.42 | - | 0.41 | - | 0.66 | - | ||||||
| Return on Average Equity | 6.72 | - | 8.91 | - | 5.31 | - | 5.12 | - | 8.44 | - | ||||||
| Return on Average Tangible Equity | 6.80 | - | 9.02 | - | 5.37 | - | 5.18 | - | 8.55 | - | ||||||
| Efficiency Ratio | 77.52 | - | 79.84 | - | 80.84 | - | 81.71 | - | 73.30 | - | ||||||
| Yields / Costs (%) | ||||||||||||||||
| Average Yield - Interest Earning Assets | 5.31 | - | 5.31 | - | 5.21 | - | 5.25 | - | 5.17 | - | ||||||
| Average Cost - Interest-bearing Liabilities | 2.98 | - | 3.04 | - | 3.20 | - | 3.22 | - | 3.36 | - | ||||||
| Net Interest Margin | 3.10 | - | 3.06 | - | 2.77 | - | 2.79 | - | 2.66 | - | ||||||
| Capital Ratios (%) | ||||||||||||||||
| Equity / Assets | 8.52 | - | 8.07 | - | 8.25 | - | 8.07 | - | 7.66 | - | ||||||
| Tangible Equity / Assets | 8.44 | - | 7.99 | - | 8.16 | - | 7.98 | - | 7.58 | - | ||||||
| Tier I leverage ratio (a) | 10.13 | - | 10.01 | - | 10.00 | - | 9.91 | - | 9.78 | - | ||||||
| Common equity Tier I capital ratio (a) | 15.07 | - | 15.10 | - | 14.91 | - | 14.51 | - | 14.35 | - | ||||||
| Tier 1 Risk-based capital ratio (a) | 15.07 | - | 15.10 | - | 14.91 | - | 14.51 | - | 14.35 | - | ||||||
| Total Risk-based capital ratio (a) | 16.32 | - | 16.35 | - | 16.16 | - | 15.76 | - | 15.60 | - | ||||||
| Stock Valuation | ||||||||||||||||
| Book Value (c) | - | 7.64 | - | 7.50 | - | 7.34 | - | 7.24 | - | 7.13 | ||||||
| Tangible Book Value (c) | - | 7.56 | - | 7.42 | - | 7.25 | - | 7.15 | - | 7.05 | ||||||
| Shares Outstanding (b) | 6,887 | 6,927 | 6,926 | 6,926 | 6,927 | |||||||||||
| Asset Quality (%) | ||||||||||||||||
| ACL / Total Loans | 0.97 | - | 0.95 | - | 0.94 | - | 0.93 | - | 0.93 | - | ||||||
| Non Performing Loans / Total Loans | 0.93 | - | 0.92 | - | 1.08 | - | 1.10 | - | 1.13 | - | ||||||
| Non Performing Assets / Total Assets | 0.80 | - | 0.78 | - | 0.96 | - | 0.98 | - | 0.98 | - | ||||||
| (a) Ratios at Bank level (b) Shares information presented in thousands (c) Share value is in dollars | ||||||||||||||||
