Earnings release
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Provident Financial Holdings Reports First Quarter Of Fiscal2027 Results Company Release - 10/27/2026 6:00 AM ET Net Income of $1.57 Million in the September 2026 Quarter, Down 28% from the Sequential Quarter and 6% from the ComparableQuarter Last Year Net Interest Margin of 3.32% in the September 2026 Quarter, Up 11 Basis Points from the Sequential Quarter and 32 Basis Pointsfrom the Comparable Quarter Last Year Loans Held for Investment of $1.04 Billion at September 30, 2026, Compared to $1.03 Billion at June 30, 2026 Total Deposits of $897.7 Million at September 30, 2026, Down 1% from $910.4 Million at June 30, 2026 Non-Performing Assets to Total Assets Ratio of 0.04% at September 30, 2026, Unchanged from June 30, 2026 Allowance for Credit Losses of $6.59 Million at September 30, 2026, Up from $5.85 Million at June 30, 2026 RIVERSIDE, Calif., Oct. 27, 2026 (GLOBE NEWSWIRE) -- Provident Financial Holdings, Inc. (“Company”), NASDAQ GS: PROV, theholding company for Provident Savings Bank, F.S.B. (“Bank”), today announced earnings for the first quarter ended September 30, 2026. The Company reported net income of $1.57 million, or $0.25 per diluted share (on 6.29 million average diluted shares outstanding), for thequarter ended September 30, 2026, down 28 percent from $2.18 million, or $0.35 per diluted share (on 6.33 million average diluted sharesoutstanding), in the fourth quarter of fiscal 2026, and down six percent from net income of $1.68 million, or $0.25 per diluted share (on6.62 million average diluted shares outstanding), in the comparable period a year ago. The decrease compared to the sequential quarterprimarily reflected a $777,000 provision for credit losses, in contrast to a $95,000 recovery of credit losses, and a $479,000 decrease innon-interest income, partly offset by a $459,000 increase in net interest income and a $130,000 decrease in non-interest expenses. Thedecrease from the comparable quarter last year was due primarily to a $777,000 provision for credit losses, in contrast to a $626,000recovery of credit losses, partly offset by an $840,000 increase in net interest income. “Our results for the first quarter reflected a higher provision for credit losses to build our allowance for credit losses, as an increase ininterest rates extended the expected life of the loan portfolio. However, credit quality remains excellent,” said Donavon P. Ternes,President and Chief Executive Officer. “In a highly competitive environment, we maintained positive operating momentum, with increasednet interest income, an expanded net interest margin and well-managed operating expenses. Together with our opportunistic sharerepurchases at prices below book value and consistent cash dividend, we remain focused on delivering long-term shareholder value,”added Ternes. Return on average assets was 0.52 percent for the first quarter of fiscal 2027, compared to 0.73 percent for the fourth quarter of fiscal2026 and 0.55 percent for the same quarter last year. Return on average stockholders’ equity for the first quarter of fiscal 2027 was 4.93percent, compared to 6.85 percent for the fourth quarter of fiscal 2026 and 5.17 percent for the same quarter last year. In the first quarter of fiscal 2027, net interest income increased $840,000 or nine percent to $9.77 million from $8.93 million for the samequarter last year. The increase reflected the impact of a $581,000 increase in income from interest-earning assets and a $259,000decrease in funding costs. Net interest margin increased 32 basis points to 3.32 percent in the first quarter of fiscal 2027 from 3.00 percentin the same quarter last year, reflecting a higher average yield of interest-earning assets and lower funding costs. Interest income on loans receivable was $13.45 million in the first quarter of fiscal 2027, up $318,000 or two percent from $13.13 million inthe same quarter last year, primarily due to a higher average loan yield, which was partly offset by a lower average loan balance. The yieldon loans receivable increased 17 basis points to 5.22 percent from 5.05 percent in the same quarter last year. The increase in the loanyield was primarily due to the effect of adjustable rate loans repricing, partly offset by an $89,000 increase in net deferred loan costamortization to $429,000 in the first quarter of fiscal 2027 from $340,000 in the same quarter last year. During the last 12 months endedSeptember 30, 2026, approximately $270.6 million of adjustable-rate loans repriced to a weighted average rate of 7.12 percent, up 99basis points from 6.13 percent prior to repricing. The average balance of loans receivable for the quarter ended September 30, 2026decreased $8.1 million, or one percent, to $1.03 billion compared to the same quarter last year. Interest income from investment securities decreased $74,000, or 17 percent, to $356,000 in the first quarter of fiscal 2027 from $430,000for the same quarter last year. This decrease was attributable to a lower average balance, partly offset by a higher average yield. Theaverage balance of investment securities totaled $88.4 million, a decrease of $20.3 million, or 19 percent, from the same quarter last year,reflecting the continued runoff of the investment security portfolio. The yield on investment securities increased three basis points to 1.61percent in the first quarter of fiscal 2027 from 1.58 percent for the same quarter last year, resulting from a lower premium amortization($46,000 vs. $74,000). In the first quarter of fiscal 2027 the Bank received $480,000 in cash dividends from the Federal Home Loan Bank (“FHLB”) – SanFrancisco stock and other equity investments, up $269,000 or 127 percent from $211,000 in the same quarter last year, primarily due to a$307,000 special cash dividend from FHLB – San Francisco stock. The average balance of FHLB – San Francisco stock and other equityinvestments increased $382,000 or four percent to $10.7 million from $10.3 million in the same quarter last year, due primarily to the Visastock conversion from class B2 to class C shares in May 2026 and an increase in the fair value of Visa class C shares. Interest income from interest-earning deposits, primarily cash deposited at the Federal Reserve Bank (“FRB”) of San Francisco, was$442,000 in the first quarter of fiscal 2027, up $68,000 or 18 percent from $374,000 in the same quarter last year. The increase was due toa higher average balance, partly offset by a lower average yield. The average balance increased $13.5 million, or 40 percent, to $47.0million in the first quarter of fiscal 2027 from $33.5 million in the same quarter last year. The yield decreased 69 basis points to 3.68percent from 4.37 percent in the same quarter last year, due to a lower average interest rate on FRB reserve balances.
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Interest expense on deposits for the first quarter of fiscal 2027 was $3.35 million, an increase of $364,000 or 12 percent from $2.99 millionfor the same period last year, reflecting higher average deposit balances of $905.9 million, compared to $885.0 million in the prior-yearquarter, and an increase in the average cost of deposits. The average cost of deposits increased 13 basis points to 1.47 percent from 1.34percent in the same quarter last year, primarily due to a greater proportion of time deposits, including brokered certificates of deposit. During the first quarter of fiscal 2027, transaction account balances (or “core deposits”) decreased $11.3 million, or two percent, to $545.9million, while time deposits decreased $1.4 million to $351.8 million. Brokered certificates of deposit totaled $158.0 million at September30, 2026, down $3.4 million, or two percent, from $161.4 million at June 30, 2026, while the weighted average cost of brokered certificatesof deposit increased one basis point to 3.94 percent at September 30, 2026 from 3.93 percent at June 30, 2026. Interest expense on borrowings, primarily comprised of FHLB – San Francisco advances, decreased $623,000, or 28 percent, to $1.61million during the first quarter of fiscal 2027 from $2.23 million for the same period last year. This decrease was due to a $33.8 million, or18 percent, decrease in average borrowings to $159.1 million from $192.9 million, as well as a 58 basis point decrease in the average costof borrowings to 4.01 percent from 4.59 percent, due primarily to maturities of higher-cost advances being replaced with lower-costadvances. At September 30, 2026, the Bank had approximately $239.1 million of remaining borrowing capacity with the FHLB – San Francisco, anadditional $175.1 million available through a borrowing facility with the FRB of San Francisco, and an unused unsecured federal fundsborrowing facility of $50.0 million with its correspondent bank. Total available borrowing capacity across all sources was approximately$464.2 million at September 30, 2026. The Bank also remained well capitalized under all applicable regulatory capital requirements. During the first quarter of fiscal 2027, the Company recorded a $777,000 provision for credit losses, which included a $36,000 provisionrelated to unfunded loan commitment reserves. This compares with a $626,000 recovery of credit losses in the same quarter last year anda $95,000 recovery of credit losses in the fourth quarter of fiscal 2026 (the sequential quarter). The provision for credit losses wasprimarily driven by an increase in the expected life of the loan portfolio attributable primarily to higher interest rates and a modest increasein the loan portfolio balance. The provision was partly offset by other favorable factors, including lower historical loss rates and improvedforward-looking economic indicators. Non-performing assets, comprised solely of non-accrual loans secured by properties located in California, decreased slightly to $504,000,representing 0.04 percent of total assets at September 30, 2026, compared to $505,000, or 0.04 percent of total assets, at June 30, 2026.At September 30, 2026, non-performing loans were comprised of three single-family loans and one multi-family loan, unchanged fromJune 30, 2026. At both dates, the Bank had no real estate owned and no loans 90 days or more past due that were still accruing interest.Additionally, no loan charge-offs occurred during the quarters ended September 30, 2026 and 2025. Classified assets were $4.1 million at September 30, 2026, consisting of $785,000 of loans in the special mention category and $3.3million of loans in the substandard category. This compares to $2.5 million at June 30, 2026, consisting of $792,000 of loans in the specialmention category and $1.7 million of loans in the substandard category. The allowance for credit losses on loans held for investment was $6.6 million, or 0.64 percent of gross loans held for investment, atSeptember 30, 2026, up from $5.9 million, or 0.57 percent of gross loans held for investment, at June 30, 2026. The increase in theallowance for credit losses was due primarily to a longer estimated average life of the loan portfolio attributable to an increase in mortgageinterest rates and a higher loan portfolio balance from June 30, 2026. Management believes, based on currently available information, theallowance for credit losses is sufficient to absorb expected losses inherent in loans held for investment at September 30, 2026. Non-interest income decreased $9,000, or one percent, to $804,000 in the first quarter of fiscal 2027 from $813,000 in the same periodlast year. The decrease was primarily due to a decrease in loan servicing and other fees, as well as decreases in deposit account fees andcard and processing fees. These decreases were partly offset by other non-interest income (mainly due to a higher gain on other equityinvestments). On a sequential quarter basis, non-interest income decreased $479,000, or 37 percent, primarily due to a lower gain onother equity investments resulting mainly from the Visa share conversion in the prior quarter. Non-interest expense decreased $15,000 to $7.62 million in the first quarter of fiscal 2027 from $7.63 million in the same quarter last year,primarily due to a $111,000 or two percent decrease in salaries and employee benefits (mainly lower compensation expenses andretirement expenses), partially offset by a $103,000 or 13 percent increase in other operating expenses. On a sequential quarter basis,non-interest expense decreased $130,000, or two percent, primarily due to decreases in salaries and employee benefits (mainly lowerretirement expenses and stock-based compensation expenses), partly offset by an increase in other operating expenses. The Company’s efficiency ratio, defined as non-interest expense divided by the sum of net interest income and non-interest income, in thefirst quarter of fiscal 2027 was 72 percent, an improvement from 78 percent in the same quarter last year. The ratio also improved from 73percent in the fourth quarter of fiscal 2026 (the sequential quarter). The improvement compared to both the sequential quarter and thesame quarter last year was driven by lower total non-interest expense and higher net interest income, partly offset by lower total non-interest income. The Company’s provision for income taxes was $605,000 for the first quarter of fiscal 2027, down 43 percent from $1.05 million in thesame quarter last year and down 20 percent from $756,000 in the fourth quarter of fiscal 2026 (the sequential quarter). The decreasecompared to the same quarter last year was due to a lower pre-tax income and a reduction in the effective tax rate to 27.8 percent from38.5 percent. The decrease compared to the sequential quarter similarly reflected lower pre-tax income, partly offset by a higher effectivetax rate from 25.7 percent in the prior quarter. The lower effective tax rate was due primarily to tax benefits related to stock-basedcompensation. The Company repurchased 86,431 shares of its common stock at an average cost of $18.30 per share during the quarter endedSeptember 30, 2026, and paid a quarterly cash dividend of $0.14 per share. As of September 30, 2026, a total of 88,174 shares remainedavailable for future purchase under the Company’s current repurchase program. The Bank currently operates 13 retail/business banking offices in Riverside County and San Bernardino County (collectively referred to asthe Inland Empire). The Company will host a conference call for institutional investors and bank analysts on Wednesday, October 28, 2026 at 9:00 a.m.(Pacific) to discuss its financial results. The conference call can be accessed by dialing 1-833-461-5787 and referencing Conference IDnumber 692023312. An audio replay of the conference call will be available through Wednesday, November 4, 2026 by dialing 1-833-309-1852 and referencing Conference ID number 692023312. For more financial information about the Company please visit the website at www.myprovident.com and click on the “Investor Relations”section. Safe-Harbor Statement
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This press release contains statements that the Company believes are “forward-looking statements” within the meaning of the PrivateSecurities Litigation Reform Act of 1995. These statements relate to the Company’s financial condition, liquidity, results of operations,plans, objectives, future performance or business. You should not place undue reliance on these statements as they are subject to variousrisks and uncertainties. When considering these forward-looking statements, you should keep in mind these risks and uncertainties, aswell as any cautionary statements the Company may make. Moreover, you should treat these statements as speaking only as of the datethey are made and based only on information then actually known to the Company. There are a number of important factors that could cause actual results to differ materially from those expressed or implied by theseforward-looking statements and from historical performance. Factors that could cause actual results to differ materially include, but are notlimited to: adverse economic conditions in the Company’s local market areas or other markets in which it has lending relationships;changes in employment levels, labor shortages, persistent inflation, recessionary pressures, or slowing economic growth; changes ininterest rate levels and volatility, and the timing and pace of such changes, including actions by the Board of Governors of the FederalReserve System (the “Federal Reserve”), which could adversely affect the Company’s revenues and expenses, the value of its assets andobligations, and the availability and cost of capital and liquidity; the impact of inflation and related monetary and fiscal policy responses,and their effect on consumer and business behavior; the effects of a federal government shutdown, debt ceiling standoff, or other fiscalpolicy uncertainty; credit risks associated with lending activities, including loan delinquencies, charge-offs, changes in the allowance forcredit losses (“ACL”), and the provision for credit losses; increased competitive pressures, including repricing and competitors’ pricinginitiatives, and their impact on the Company’s market position and loan and deposit products; the quality and composition of theCompany’s securities portfolio and the impact of adverse changes in the securities markets; fluctuations in deposits; secondary marketconditions for loans and the Company’s ability to sell loans in the secondary market; liquidity risks, including the Company’s ability toborrow funds or raise additional capital, if necessary; the Company’s ability to successfully implement key growth initiatives and strategicpriorities; the impact of bank failures or adverse developments at other banks and related negative publicity about the banking industry oninvestor and depositor sentiment; results of examinations by regulatory authorities, including the possibility that a regulatory authority may,among other things, institute a formal or informal enforcement action against the Company or its bank subsidiary that could require theCompany to increase its ACL, write down assets, alter its regulatory capital position, affect its ability to borrow funds or maintain orincrease deposits, or impose additional requirements or restrictions, any of which could adversely affect its liquidity and earnings; theCompany’s ability to adapt to rapid technological changes, including advancements related to artificial intelligence, digital bankingplatforms, and cybersecurity; legislative or regulatory changes, including but not limited to changes in capital requirements, bankingregulation, tax laws, or consumer protection laws; the use of estimates in determining the fair value of assets, which may prove inaccurate;vulnerabilities in information systems or third-party service providers, including disruptions, breaches, or cyberattacks; geopoliticaldevelopments and international conflicts, including but not limited to tensions or instability in Eastern Europe, the Middle East, SouthAmerica and Asia, or the imposition of new or increased tariffs or trade restrictions, which could disrupt financial markets, global supplychains, commodity prices, or economic activity; staffing fluctuations in response to changes in product demand or corporateimplementation strategies; the Company’s ability to pay dividends on its common stock; environmental, social and governance matters;effects of climate change, severe weather events, natural disasters, pandemics, epidemics and other public health crises, acts of war orterrorism, domestic political unrest, and other external events; and other factors described in the Company’s latest Annual Report on Form10-K and Quarterly Reports on Form 10-Q and other reports filed with or furnished to the Securities and Exchange Commission (“SEC”),which are available on the Company’s website at www.myprovident.com and on the SEC’s website at www.sec.gov. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence ofanticipated or unanticipated events or circumstances after the date of such statements, whether as a result of new information, futureevents or otherwise. These risks could cause our actual results for fiscal 2027 and beyond to differ materially from those expressed in anyforward-looking statements by, or on behalf of us, and could negatively affect our operating and stock price performance. Contacts:Donavon P. Ternes Peter C. Fan President andChief Executive OfficerSenior Vice President andChief Financial Officer (951) 686-6060 PROVIDENT FINANCIAL HOLDINGS, INC.Condensed Consolidated Statements of Financial Condition(Unaudited –In Thousands, Except Share and Per Share Information) September 30, June 30, March 31, December 31, September 30, 2026 2026 2026 2025 2025 Assets Cash and cash equivalents $ 53,245 $ 49,210 $ 57,126 $ 54,370 $ 49,407 Investment securities - held tomaturity, at cost with no allowance forcredit losses 84,086 89,251 93,997 98,899 103,877 Investment securities - available forsale, at fair value 1,163 1,272 1,346 1,404 1,544 Loans held for investment, net ofallowance for credit losses of $6,591,$5,850, $5,934, $5,634 and $5,780,respectively; includes $902, $978,$997, $1,006 and $1,010 of loans heldat fair value, respectively 1,036,695 1,032,682 1,029,644 1,037,655 1,041,776 Accrued interest receivable 4,422 4,285 4,196 4,106 4,180
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FHLB - San Francisco stock and otherequity investments, includes $1,090,$1,041, $622, $721 and $702 of otherequity investments at fair value,respectively 10,658 10,609 10,190 10,289 10,270 Premises and equipment, net 8,998 9,231 9,551 9,836 8,992 Prepaid expenses and other assets 10,673 11,621 11,574 11,333 10,761 Total assets $ 1,209,940 $ 1,208,161 $ 1,217,624 $ 1,227,892 $ 1,230,807 Liabilities and Stockholders’ Equity Liabilities: Noninterest-bearing deposits $ 85,351 $ 86,859 $ 84,628 $ 75,316 $ 79,007 Interest-bearing deposits 812,377 823,524 808,257 797,118 795,832 Total deposits 897,728 910,383 892,885 872,434 874,839 Borrowings 172,039 157,046 184,053 213,060 213,066 Accounts payable, accrued interestand other liabilities 14,736 14,512 14,113 14,907 14,532 Total liabilities 1,084,503 1,081,941 1,091,051 1,100,401 1,102,437 Stockholders’ equity: Preferred stock, $.01 par value(2,000,000 shares authorized; noneissued and outstanding) — — — — — Common stock, $.01 par value;(40,000,000 shares authorized;18,236,615, 18,229,615, 18,229,615,18,229,615 and 18,229,615 sharesissued respectively; 6,197,727,6,264,035, 6,323,219, 6,414,751 and6,511,011 shares outstanding,respectively) 183 183 183 183 183 Additional paid-in capital 99,978 99,782 99,553 99,434 99,306 Retained earnings 216,159 215,466 214,156 213,693 213,163 Treasury stock at cost (12,038,888,11,965,580, 11,906,396, 11,814,864,and 11,718,604 shares, respectively) (190,891) (189,224) (187,333) (185,836) (184,300)Accumulated other comprehensiveincome, net of tax 8 13 14 17 18 Total stockholders’ equity 125,437 126,220 126,573 127,491 128,370 Total liabilities and stockholders’equity $ 1,209,940 $ 1,208,161 $ 1,217,624 $ 1,227,892 $ 1,230,807 PROVIDENT FINANCIAL HOLDINGS, INC.Condensed Consolidated Statements of Operations(Unaudited - In Thousands, Except Per Share Information) For the Quarter Ended September 30, 2026 2025 Interest income: Loans receivable, net $ 13,449 $ 13,131 Investment securities 356 430 FHLB - San Francisco stock and other equity investments 480 211 Interest-earning deposits 442 374 Total interest income 14,727 14,146 Interest expense: Checking and money market deposits 58 51 Savings deposits 279 171 Time deposits 3,013 2,764 Borrowings 1,607 2,230 Total interest expense 4,957 5,216 Net interest income 9,770 8,930 Provision for (recovery of) credit losses 777 (626)Net interest income, after provision for (recovery of) credit losses 8,993 9,556
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Non-interest income: Loan servicing and other fees 74 146 Deposit account fees 234 265 Card and processing fees 290 302 Other 206 100 Total non-interest income 804 813 Non-interest expense: Salaries and employee benefits 4,659 4,770 Premises and occupancy 887 947 Equipment 414 406 Professional 407 414 Sales and marketing 204 148 Deposit insurance premiums and regulatory assessments 161 165 Other 887 784 Total non-interest expense 7,619 7,634 Income before income taxes 2,178 2,735 Provision for income taxes 605 1,054 Net income $ 1,573 $ 1,681 Basic earnings per share $ 0.25 $ 0.26 Diluted earnings per share $ 0.25 $ 0.25 Cash dividends per share $ 0.14 $ 0.14 PROVIDENT FINANCIAL HOLDINGS, INC.Condensed Consolidated Statements of Operations – Sequential Quarters(Unaudited – In Thousands, Except Per Share Information) For the Quarter Ended September 30, June 30, March 31, December 31, September 30, 2026 2026 2026 2025 2025 Interest income: Loans receivable, net $ 13,449 $ 13,116 $ 12,705 $ 13,072 $ 13,131 Investment securities 356 376 395 411 430 FHLB - San Francisco stock and otherequity investments 480 177 488 214 211 Interest-earning deposits 442 264 272 253 374 Total interest income 14,727 13,933 13,860 13,950 14,146 Interest expense: Checking and money market deposits 58 46 54 56 51 Savings deposits 279 249 219 197 171 Time deposits 3,013 2,733 2,609 2,672 2,764 Borrowings 1,607 1,594 1,815 2,101 2,230 Total interest expense 4,957 4,622 4,697 5,026 5,216 Net interest income 9,770 9,311 9,163 8,924 8,930 Provision for (recovery of) credit losses 777 (95) 326 (158) (626)Net interest income, after provision for(recovery of) credit losses 8,993 9,406 8,837 9,082 9,556 Non-interest income: Loan servicing and other fees 74 136 125 176 146 Deposit account fees 234 258 271 273 265 Card and processing fees 290 335 280 286 302 Other 206 554 37 182 100 Total non-interest income 804 1,283 713 917 813 Non-interest expense: Salaries and employee benefits 4,659 4,897 4,813 4,783 4,770 Premises and occupancy 887 878 884 851 947 Equipment 414 428 444 479 406
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Professional 407 370 325 442 414 Sales and marketing 204 227 179 158 148 Deposit insurance premiums andregulatory assessments 161 162 157 177 165 Other 887 787 837 1,059 784 Total non-interest expense 7,619 7,749 7,639 7,949 7,634 Income before income taxes 2,178 2,940 1,911 2,050 2,735 Provision for income taxes 605 756 557 614 1,054 Net income $ 1,573 $ 2,184 $ 1,354 $ 1,436 $ 1,681 Basic earnings per share $ 0.25 $ 0.35 $ 0.21 $ 0.22 $ 0.26 Diluted earnings per share $ 0.25 $ 0.35 $ 0.21 $ 0.22 $ 0.25 Cash dividends per share $ 0.14 $ 0.14 $ 0.14 $ 0.14 $ 0.14 PROVIDENT FINANCIAL HOLDINGS, INC.Financial Highlights(Unaudited - Dollars in Thousands, Except Share and Per Share Information) As of and For the Quarter Ended September 30, 2026 2025 SELECTED FINANCIAL RATIOS: Return on average assets 0.52% 0.55% Return on average stockholders' equity 4.93% 5.17% Stockholders’ equity to total assets 10.37% 10.43% Net interest spread 3.15% 2.83% Net interest margin 3.32% 3.00% Efficiency ratio 72.05% 78.35% Average interest-earning assets to average interest-bearing liabilities 110.56% 110.60% SELECTED FINANCIAL DATA: Basic earnings per share $ 0.25 $ 0.26 Diluted earnings per share $ 0.25 $ 0.25 Book value per share $ 20.24 $ 19.72 Shares used for basic EPS computation 6,243,542 6,565,592 Shares used for diluted EPS computation 6,294,268 6,624,787 Total shares issued and outstanding 6,197,727 6,511,011 LOANS ORIGINATED FOR INVESTMENT: Mortgage loans: Single-family $ 32,721 $ 19,124 Multi-family 8,605 8,504 Commercial real estate 4,090 2,012 Total loans originated for investment $ 45,416 $ 29,640 PROVIDENT FINANCIAL HOLDINGS, INC.Financial Highlights(Unaudited - Dollars in Thousands, Except Share and Per Share Information) As of and For the Quarter Quarter Quarter Quarter Quarter Ended Ended Ended Ended Ended 09/30/26 06/30/26 03/31/26 12/31/25 09/30/25 SELECTED FINANCIAL RATIOS: Return on average assets 0.52% 0.73% 0.45% 0.47% 0.55%Return on average stockholders' equity 4.93% 6.85% 4.21% 4.44% 5.17%Stockholders’ equity to total assets 10.37% 10.45% 10.40% 10.38% 10.43%Net interest spread 3.15% 3.04% 2.93% 2.86% 2.83%Net interest margin 3.32% 3.21% 3.13% 3.03% 3.00%
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Efficiency ratio 72.05% 73.15% 77.35% 80.77% 78.35%Average interest-earning assets to average interest-bearing liabilities 110.56% 110.59% 110.59% 110.66% 110.60% SELECTED FINANCIAL DATA: Basic earnings per share $ 0.25 $ 0.35 $ 0.21 $ 0.22 $ 0.26 Diluted earnings per share $ 0.25 $ 0.35 $ 0.21 $ 0.22 $ 0.25 Book value per share $ 20.24 $ 20.15 $ 20.02 $ 19.87 $ 19.72 Average shares used for basic EPS 6,243,542 6,264,665 6,367,057 6,462,230 6,565,592 Average shares used for diluted EPS 6,294,268 6,333,590 6,442,894 6,527,569 6,624,787 Total shares issued and outstanding 6,197,727 6,264,035 6,323,219 6,414,751 6,511,011 LOANS ORIGINATED FOR INVESTMENT: Mortgage loans: Single-family $ 32,721 $ 37,180 $ 28,828 $ 30,415 $ 19,124 Multi-family 8,605 9,186 13,813 9,925 8,504 Commercial real estate 4,090 — 1,540 1,782 2,012 Total loans originated for investment $ 45,416 $ 46,366 $ 44,181 $ 42,122 $ 29,640 PROVIDENT FINANCIAL HOLDINGS, INC.Financial Highlights(Unaudited - Dollars in Thousands) As of As of As of As of As of 09/30/26 06/30/26 03/31/26 12/31/25 09/30/25 ASSET QUALITY RATIOS AND DELINQUENTLOANS: Recourse reserve for loans sold $ 17 $ 17 $ 23 $ 23 $ 23 Allowance for credit losses on loans held forinvestment $ 6,591 $ 5,850 $ 5,934 $ 5,634 $ 5,780 Non-performing loans to loans held for investment,net 0.05% 0.05% 0.09% 0.10% 0.18%Non-performing assets to total assets 0.04% 0.04% 0.08% 0.08% 0.15%Allowance for credit losses on loans to gross loansheld for investment 0.64% 0.57% 0.58% 0.55% 0.56%Net loan charge-offs (recoveries) to average loansreceivable (annualized) —% —% —% —% —%Non-performing loans $ 504 $ 505 $ 978 $ 990 $ 1,888 Loans 30 to 89 days delinquent $ 2 $ 1 $ 1 $ 1 $ — Quarter Quarter Quarter Quarter Quarter Ended Ended Ended Ended Ended 09/30/26 06/30/26 03/31/26 12/31/25 09/30/25(Recovery of) recourse provision for loans sold $ — $ (6) $ — $ — $ — Provision for (recovery of) credit losses $ 777 $ (95) $ 326 $ (158) $ (626)Net loan charge-offs (recoveries) $ — $ — $ — $ — $ — As of As of As of As of As of 09/30/26 06/30/26 03/31/26 12/31/25 09/30/25 REGULATORY CAPITAL RATIOS (BANK): Tier 1 leverage ratio 9.25% 10.30% 9.98% 9.79% 9.55%Common equity tier 1 capital ratio 17.36% 19.41% 19.01% 18.67% 18.19%Tier 1 risk-based capital ratio 17.36% 19.41% 19.01% 18.67% 18.19%
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Total risk-based capital ratio 18.40% 20.34% 19.96% 19.56% 19.09% As of September 30, 2026 2025 Balance Rate Balance Rate INVESTMENT SECURITIES: Held to maturity (at cost): U.S. SBA securities $ 105 4.10%$ 257 4.85%U.S. government sponsored enterprise MBS 80,169 1.62 99,154 1.60 U.S. government sponsored enterprise CMO 3,812 2.80 4,466 2.72 Total investment securities held to maturity $ 84,086 1.67%$ 103,877 1.66% Available for sale (at fair value): U.S. government agency MBS $ 805 5.21%$ 1,038 5.10%U.S. government sponsored enterprise MBS 302 5.94 431 6.44 Private issue CMO 56 5.36 75 5.77 Total investment securities available for sale $ 1,163 5.41%$ 1,544 5.51%Total investment securities $ 85,249 1.72%$ 105,421 1.72% Weighted-average yield earned on all instruments included in the balance of the respective line item.Small Business Administration (“SBA”)Mortgage-Backed Securities (“MBS”)Collateralized Mortgage Obligations (“CMO”) PROVIDENT FINANCIAL HOLDINGS, INC.Financial Highlights(Unaudited - Dollars in Thousands) As of September 30, 2026 2025 Balance Rate Balance Rate LOANS HELD FOR INVESTMENT: Mortgage loans: Single-family (1 to 4 units) $ 582,442 4.83%$ 549,535 4.72%Multi-family (5 or more units) 381,555 6.12 415,175 5.57 Commercial real estate 69,075 6.73 71,010 6.59 Construction — — 632 8.15 Other — — 88 5.25 Commercial business loans — — 1,324 9.43 Consumer loans 65 16.80 61 17.50 Total loans held for investment, gross 1,033,137 5.43% 1,037,825 5.20% Advance payments of escrows 179 184 Deferred loan costs, net 9,970 9,547 Allowance for credit losses on loans (6,591) (5,780) Total loans held for investment, net $ 1,036,695 $ 1,041,776 Purchased loans serviced by others included above $ 1,507 5.72%$ 1,626 5.72% Weighted-average yield earned on all instruments included in the balance of the respective line item. As of September 30, (1) (1) (2) (3) (4) (3) (3) (4) (1) (2) (3) (4) (1) (1) (1)
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2026 2025 Balance Rate Balance Rate DEPOSITS: Checking accounts – noninterest-bearing $ 85,351 —%$ 79,007 —%Checking accounts – interest-bearing 222,911 0.05 234,038 0.05 Savings accounts 215,695 0.52 228,616 0.31 Money market accounts 21,927 0.58 24,165 0.47 Time deposits 351,844 3.38 309,013 3.42 Total deposits $ 897,728 1.47%$ 874,839 1.32% Brokered CDs included in time deposits above $ 158,043 3.94%$ 123,821 4.10% BORROWINGS: Overnight $ — —%$ 25,000 4.49%Three months or less 40,000 4.16 54,000 5.03 Over three to six months 8,000 3.94 54,000 4.26 Over six months to one year 79,000 3.75 45,000 4.66 Over one year to two years 45,039 4.39 20,000 4.03 Over two years to three years — — 15,066 4.41 Over three years to four years — — — — Over four years to five years — — — — Over five years — — — — Total borrowings $ 172,039 4.02%$ 213,066 4.55% Weighted-average rate paid on all instruments included in the balance of the respective line item.Includes uninsured deposits of approximately $188.6 million (of which, $60.3 million are collateralized) and $169.7 million (of which,$52.4 million are collateralized) at September 30, 2026 and 2025, respectively.The average balance of deposit accounts was approximately $40 thousand and $37 thousand at September 30, 2026 and 2025,respectively.The Bank had approximately $239.1 million and $279.0 million of remaining borrowing capacity at the FHLB – San Francisco,approximately $175.1 million and $143.3 million of borrowing capacity at the FRB of San Francisco and $50.0 million and $50.0 million ofborrowing capacity with its correspondent bank at September 30, 2026 and 2025, respectively. PROVIDENT FINANCIAL HOLDINGS, INC.Financial Highlights(Unaudited - Dollars in Thousands) For the Quarter Ended For the Quarter Ended September 30, 2026 September 30, 2025 Balance Rate Balance Rate SELECTED AVERAGE BALANCE SHEETS: Loans receivable, net $ 1,031,417 5.22%$ 1,039,533 5.05%Investment securities 88,395 1.61 108,699 1.58 FHLB - San Francisco stock and other equity investments 10,668 18.00 10,286 8.21 Interest-earning deposits 46,971 3.68 33,512 4.37 Total interest-earning assets $ 1,177,451 5.00%$ 1,192,030 4.75%Total assets $ 1,207,580 $ 1,222,396 Deposits $ 905,931 1.47%$ 884,951 1.34%Borrowings 159,054 4.01 192,853 4.59 Total interest-bearing liabilities $ 1,064,985 1.85%$ 1,077,804 1.92%Total stockholders’ equity $ 127,712 $ 130,013 Weighted-average yield earned or rate paid on all instruments included in the balance of the respective line item.Includes the average balance of noninterest-bearing checking accounts of $82.7 million and $81.3 million and the average balance ofuninsured deposits of $175.7 million and $144.5 million during the quarters ended September 30, 2026 and 2025, respectively. (1) (1) (2)(3) (4) (1) (2) (3) (4) (1) (1) (2) (2) (1) (2)
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ASSET QUALITY: As of As of As of As of As of 09/30/26 06/30/26 03/31/26 12/31/25 09/30/25Loans on non-accrual status Mortgage loans: Single-family $ 50 $ 50 $ 520 $ 529 $ 568Multi-family 454 455 458 461 1,320Total 504 505 978 990 1,888 Accruing loans past due 90 days or more: — — — — —Total — — — — — Total non-performing loans 504 505 978 990 1,888 Real estate owned, net — — — — — Total non-performing assets $ 504 $ 505 $ 978 $ 990 $ 1,888 The non-performing loan balances are net of individually evaluated or collectively evaluated allowances, specifically attached to theindividual loans. Source: Provident Financial Holdings, Inc. (1) (1)