Princeton, NJ, July 23, 2026 / - Princeton Bancorp, Inc. (the “Company”) (NASDAQ - BPRN), the bank holding company for The Bank of Princeton (the “Bank”), today reported its unaudited financial condition and results of operations for the quarter and six months ended June 30, 2026.
President/CEO Edward Dietzler spoke to the quarter results, "We are pleased with our strong second quarter performance, which reflects the continued execution of our strategic priorities and the resilience of our franchise. Net income totaled $7.1 million, or diluted earnings per share of $1.04, supported by a 6% increase in net interest income and continued expansion of our net interest margin compared to the first quarter of 2026.”
The Company reported net income of $7.1 million, or $1.04 per diluted common share, for the second quarter of 2026, compared to $6.2 million, or $0.91 per diluted common share, for the first quarter of 2026, and net income of $688 thousand, or $0.10 per diluted common share, for the second quarter of 2025. The increase in net income for the second quarter of 2026 when compared to the first quarter of 2026 was primarily due to an increase in net interest income of $1.2 million, and an increase in the reversal of credit losses of $197 thousand, partially offset by an increase in non-interest expense of $231 thousand, and an increase in income tax expense of $281 thousand. The increase in net income for the second quarter of 2026 when compared to the second quarter of 2025 was primarily due to a decrease in the provision for credit losses of $7.3 million, an increase in net interest income of $1.2 million, and an increase in non-interest income of $185 thousand, partially offset by increases of $2.2 million in income tax expenses and $137 thousand in non-interest expense.
Review of Statements of Financial Condition
Total assets were $2.25 billion at June 30, 2026, a decrease of $34.1 million, or 1.49% when compared to $2.28 billion at December 31, 2025. The primary reasons for the decrease in total assets were related to decreases in cash and cash equivalents of $69.5 million and net loans of $44.6 million, partially offset by an increase in investment securities of $78.9 million. The decrease in the Company’s net loans consisted of decreases of $69.7 million in commercial real estate loans and $15.3 million in construction loans, partially offset by increases of $25.4 million in home equity and consumer loans, and $15.1 million in residential mortgages.
Total deposits on June 30, 2026, decreased $40.5 million, or 2.05%, when compared to December 31, 2025. The decrease in the Company’s deposits consisted primarily of decreases in certificates of deposit of $97.0 million, interest-bearing checking deposits of $20.9 million, and savings deposits of $3.0 million, partially offset by increases in money market deposits of $57.1 million, and non-interest checking deposits of $23.2 million. The decrease in the certificates was strategically planned, including a reduction in brokered deposits of $11 million, implemented by a pricing structure designed to reduce the Bank’s cost of funds. On balance sheet liquidity remains strong at June 30, 2026.
Total stockholders’ equity at June 30, 2026, increased $9.2 million, or 3.40% when compared to December 31, 2025. The increase was primarily due to an increase in retained earnings of $8.7 million (which consisted of $13.3 million in net income, partially offset by $4.6 million of cash dividends recorded during the period), and an increase in paid-in capital from the exercise of stock options of $939 thousand. The ratio of equity to total assets at June 30, 2026, and at December 31, 2025, was 12.4% and 11.9%, respectively.
Asset Quality
At June 30, 2026, non-performing assets totaled $16.3 million, a decrease of $195 thousand when compared to the amount at December 31, 2025.
Review of Quarterly and Six-Month Financial Results
Net interest income was $20.0 million for the second quarter of 2026, an increase of $1.2 million over the first quarter of 2026, and an increase of $1.2 million compared to $18.8 million for the second quarter of 2025. Net interest margin for the second quarter of 2026 was 3.86%, an increase of 23 basis points when compared to the first quarter of 2026, and an increase of 32 basis points when compared to the second quarter of 2025. The increase in net interest income when compared with the first quarter of 2026 was primarily related to a decrease in interest expense of $597 thousand, or 4.9%, and an increase in interest income of $585 thousand, or
1.9%. The increase in net interest income when compared with the second quarter of 2025 was primarily due to a $2.3 million decrease in interest expense, partially offset by a decrease in interest income of $1.1 million. When comparing the second quarter of 2026 and the second quarter of 2025 periods, the decrease in interest expense and the increase in net interest margin were primarily associated with a decrease in total interest-bearing deposits of $68.8 million, as well as a decrease in the Company’s cost of funds of 40 basis points. The decrease in interest income for the second quarter of 2026 when compared to the second quarter of 2025 was due to a $46.6 million decrease in average interest-earning assets (caused mostly by a $50.4 million reduction in the average balance of loans, and a $39.7 million reduction in the average balance of total securities, partially offset by an increase of $43.5 million in the average balance of other interest-earning assets), and a 7-basis point decrease in the yield on interest-earning assets.
The Company recorded a reversal of credit losses of $353 thousand during the second quarter of 2026, which consisted of a $314 thousand decrease recorded to the allowance of credit losses on loans, and a $39 thousand decrease to the provision for credit losses related to unfunded commitments, which are recorded in other liabilities on the Company’s statements of financial condition. The current quarter's reversal of credit losses recorded on the Company’s statements of income was $197 thousand greater than the reversal of credit losses for the first quarter of 2026, and was $7.3 million lower when compared to the provision for credit losses for the second quarter of 2025. The coverage ratio of the allowance for credit losses to period end loans was 1.13% at June 30, 2026, and 1.12% at December 31, 2025.
Total non-interest income of $2.4 million for the second quarter of 2026 decreased $15 thousand or 0.6% when compared to the first quarter of 2026 and increased $185 thousand or 8.2% when compared to the second quarter of 2025. The decrease in the second quarter of 2026 when compared to the first quarter of 2026 was due to a decrease in other non-interest income of $421 thousand, which is related to a gain recorded on an equity investment in the amount of $232 thousand in the first quarter of 2026, partially offset by an increase of $380 thousand in loan fees. The increase over the prior year’s second quarter was primarily due to an increase in loan fees of $205 thousand, and in fees and service charges of $46 thousand, partially offset by a decrease in other non-interest income of $88 thousand.
Total non-interest expense of $13.6 million for the second quarter of 2026 increased $231 thousand, or 1.7%, when compared to the first quarter of 2026. This increase over the prior quarter was primarily due to increases in professional fees of $214 thousand, in salaries and employee benefits expense of $128 thousand, and in other non-interest expense of $119 thousand, partially offset by decreases in occupancy and equipment of $140 thousand, and in data processing and communications expenses of $46 thousand. Total non-interest expense for the second quarter of 2026 increased $137 thousand or 1.0% when compared to the second quarter of 2025. This increase was primarily related to increases in professional fees of $253 thousand, occupancy and equipment expense of $105 thousand, and salaries and employee benefits expense of $60 thousand, partially offset by decreases in federal deposit insurance expense of $115 thousand, office expense of $102 thousand, and other non-interest expense of $53 thousand.
For the quarter ended June 30, 2026, the Company recorded an income tax expense of $2.1 million, resulting in an effective tax rate of 22.9%, compared to an income tax expense of $1.8 million resulting in an effective tax rate of 22.6% for the quarter ended March 31, 2026 and compared to an income tax benefit of ($92) thousand resulting in an effective tax rate of (15.4)% for the quarter ended June 30, 2025.
For the six-month period ended June 30, 2026, the Company recorded net income of $13.3 million, or $1.95 per diluted common share, compared to $6.1 million, or $0.88 per diluted common share, for the same period in 2025. The increase in net income was primarily due to a decrease of $7.7 million in the provision for credit losses, an increase in net interest income of $1.3 million, an increase in non-interest income of $446 thousand, and a decrease in non-interest expense of $240 thousand, partially offset by an increase in income tax expense of $2.5 million, when compared to the prior year period.
About Princeton Bancorp, Inc. and The Bank of Princeton
Princeton Bancorp, Inc. is the holding company for The Bank of Princeton, a community bank founded in 2007. The Bank is a New Jersey state-chartered commercial bank with 29 branches in New Jersey, including three in Princeton and others in Bordentown, Browns Mills, Burlington, Chesterfield, Cherry Hill, Cranbury, Cream Ridge, Deptford, Fort Lee, Hamilton, Kingston, Lakewood, Lambertville, Lawrenceville, Medford, Monroe, Moorestown, New Brunswick, Palisades Park, Pennington, Piscataway, Princeton Junction, Quakerbridge, Sicklerville, Voorhees, and Woodbury. There are also five branches in the Philadelphia, Pennsylvania area and two in the New York City metropolitan area. The Bank of Princeton is a member of the Federal Deposit Insurance Corporation.
Forward-Looking Statements
The Company may from time to time make written or oral “forward-looking statements,” including statements contained in the Company’s filings with the Securities and Exchange Commission, in its reports to shareholders and in other communications by the
2
Company (including this press release), which are made in good faith by the Company pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended.
These forward-looking statements involve risks and uncertainties, such as statements of the Company’s plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Company’s control). The most significant factors that could cause future results to differ materially from those anticipated by our forward-looking statements include the potential impact of the global impact of foreign military conflicts in Iran, the Middle East and elsewhere, any future Federal budget stalemates in Congress, higher tariffs imposed by the Trump administration, higher inflation levels, and general economic and recessionary concerns, all of which could impact economic growth and could cause an increase in loan delinquencies, a reduction in financial transactions and business activities including decreased deposits and reduced loan originations, difficulties in managing liquidity in a rapidly changing and unpredictable market, and supply chain disruptions. Other factors that could cause actual results to differ materially from those indicated by forward-looking statements include, but are not limited to, the following factors: the impact of any future pandemics or other natural disasters; civil unrest, rioting, acts or threats of terrorism, or actions taken by the local, state and Federal governments in response to such events, which could impact business and economic conditions in our market area; the strength of the United States economy in general and the strength of the local economies in which the Company and Bank conduct operations; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; market and monetary fluctuations; market volatility; the value of the Bank’s products and services as perceived by actual and prospective customers, including the features, pricing and quality compared to competitors’ products and services; the willingness of customers to substitute competitors’ products and services for the Bank’s products and services; credit risk associated with the Bank’s lending activities; risks relating to the real estate market and the Bank’s real estate collateral; the impact of changes in applicable laws and regulations and requirements arising out of our supervision by banking regulators; other regulatory requirements applicable to the Company and the Bank; the timing and nature of the regulatory response to any applications filed by the Company and the Bank; developments in technology, such as artificial intelligence, and our ability to incorporate innovative technologies in our business and provide products and services that satisfy our customers' expectations for convenience and security; other acquisitions; changes in consumer spending and saving habits; those risks under the heading “Risk Factors” set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025; and the success of the Company at managing the risks involved in the foregoing.
The Company cautions that the foregoing list of important factors is not exclusive. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company, except as required by applicable law or regulation.
3
Princeton Bancorp, Inc.
Consolidated Statements of Financial Condition
(Unaudited)
(Dollars in thousands, except per share data)
June 30, 2026 vs
June 30, 2026 vs
June 30,
December 31,
June 30,
December 31, 2025
June 30, 2025
2026
2025
2025
$ Change
% Change
$ Change
% Change
ASSETS
Cash and cash equivalents
$
66,190
$
135,686
$
21,094
$
(69,496
)
(51.22
)%
$
45,096
213.79
%
Securities available-for-sale- taxable
222,906
142,817
185,177
80,089
56.08
%
37,729
20.37
%
Securities available-for-sale- tax-exempt
38,585
39,752
39,586
(1,167
)
(2.94
)%
(1,001
)
(2.53
)%
Securities held-to-maturity
149
153
157
(4
)
(2.61
)%
(8
)
(5.10
)%
Loans receivable, net of deferred loan fees
1,771,500
1,816,416
1,839,228
(44,916
)
(2.47
)%
(67,728
)
(3.68
)%
Allowance for credit losses on loans
(19,963
)
(20,325
)
(21,014
)
362
(1.78
)%
1,051
(5.00
)%
Goodwill
14,381
14,381
14,381
—
—
—
—
Core deposit intangible
2,394
2,776
3,185
(382
)
(13.76
)%
(791
)
(24.84
)%
Other assets
154,870
153,491
159,874
1,379
0.90
%
(5,004
)
(3.13
)%
TOTAL ASSETS
$
2,251,012
$
2,285,147
$
2,241,668
$
(34,135
)
(1.49
)%
$
9,344
0.42
%
LIABILITIES
Non-interest checking
$
309,244
$
286,013
$
299,902
$
23,231
8.12
%
$
9,342
3.12
%
Interest checking
312,640
333,533
282,656
(20,893
)
(6.26
)%
29,984
10.61
%
Savings
164,744
167,735
169,663
(2,991
)
(1.78
)%
(4,919
)
(2.90
)%
Money market
521,309
464,205
463,206
57,104
12.30
%
58,103
12.54
%
Time deposits over $250,000
236,109
256,929
220,474
(20,820
)
(8.10
)%
15,635
7.09
%
Other time deposits
391,646
467,778
496,471
(76,132
)
(16.28
)%
(104,825
)
(21.11
)%
Total deposits
1,935,692
1,976,193
1,932,372
(40,501
)
(2.05
)%
3,320
0.17
%
Borrowings
—
—
10,000
—
N/A
(10,000
)
(100.00
)%
Other liabilities
35,397
38,242
37,350
(2,845
)
(7.44
)%
(1,953
)
(5.23
)%
TOTAL LIABILITIES
1,971,089
2,014,435
1,979,722
(43,346
)
(2.15
)%
(8,633
)
(0.44
)%
STOCKHOLDERS’ EQUITY
Paid-in capital
123,893
122,954
121,684
939
0.76
%
2,209
1.82
%
Treasury stock
(9,034
)
(8,707
)
(6,413
)
(327
)
3.76
%
(2,621
)
40.87
%
Retained earnings
170,424
161,730
153,718
8,694
5.38
%
16,706
10.87
%
Accumulated other comprehensive income (loss)
(5,360
)
(5,265
)
(7,043
)
(95
)
1.80
%
1,683
(23.90
)%
TOTAL STOCKHOLDERS’ EQUITY
279,923
270,712
261,946
9,211
3.40
%
17,977
6.86
%
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
$
2,251,012
$
2,285,147
$
2,241,668
(34,135
)
(1.49
)%
9,344
0.42
%
Book value per common share
$
41.09
$
40.01
$
38.49
$
1.08
2.70
%
$
2.60
6.76
%
Tangible book value per common share 1
$
38.62
$
37.48
$
35.91
$
1.14
3.04
%
$
2.71
7.55
%
1
Tangible book value per common share is a non-GAAP measure.
For more information, see “Supplemental Information - Non-GAAP Financial Measures (Unaudited)” below.
4
Princeton Bancorp, Inc.
Loan and Deposit Tables
(Unaudited)
The components of loans receivable, net at June 30, 2026 and December 31, 2025 were as follows:
June 30,
December 31,
2026
2025
(In thousands)
Commercial real estate
$
1,273,815
$
1,343,531
Commercial and industrial
76,570
76,557
Construction
194,188
209,483
Residential first-lien mortgages
178,954
163,813
Home equity / consumer
50,754
25,359
Total loans
1,774,281
1,818,743
Deferred fees and costs
(2,781
)
(2,327
)
Allowance for credit losses on loans
(19,963
)
(20,325
)
Loans, net
$
1,751,537
$
1,796,091
The components of deposits at June 30, 2026 and December 31, 2025 were as follows:
June 30,
December 31,
2026
2025
(In thousands)
Non-interest checking
$
309,244
$
286,013
Interest checking
312,640
333,533
Savings
164,744
167,735
Money market
521,309
464,205
Time deposits
627,755
724,707
Total deposits
$
1,935,692
$
1,976,193
5
Princeton Bancorp, Inc.
Consolidated Statements of Income
(Unaudited)
(Amounts in thousands except per share data)
Three Months Ended June 30,
2026
2025
$ Change
% Change
Interest and dividend income
Loans and fees
$
28,681
$
29,620
$
(939
)
(3.2
)%
Available-for-sale debt securities:
Taxable
1,832
2,298
(466
)
(20.3
)%
Tax-exempt
264
279
(15
)
(5.4
)%
Held-to-maturity debt securities
2
2
—
—
Other interest and dividend income
877
557
320
57.5
%
Total interest and dividends
31,656
32,756
(1,100
)
(3.4
)%
Interest expense
Deposits
11,616
13,933
(2,317
)
(16.6
)%
Borrowings
—
13
(13
)
(100.0
)%
Total interest expense
11,616
13,946
(2,330
)
(16.7
)%
Net interest income
20,040
18,810
1,230
6.5
%
Provision for (reversal of) credit losses
(353
)
6,956
(7,309
)
(105.1
)%
Net interest income after provision for (reversal of) credit losses
20,393
11,854
8,539
72.0
%
Non-interest income
Income from bank-owned life insurance
516
494
22
4.5
%
Fees and service charges
597
551
46
8.3
%
Loan fees, including prepayment penalties
908
703
205
29.2
%
Other
415
503
(88
)
(17.5
)%
Total non-interest income
2,436
2,251
185
8.2
%
Non-interest expense
Salaries and employee benefits
7,153
7,093
60
0.8
%
Occupancy and equipment
2,252
2,147
105
4.9
%
Professional fees
974
721
253
35.1
%
Data processing and communications
1,581
1,543
38
2.5
%
Federal deposit insurance
300
415
(115
)
(27.7
)%
Advertising and promotion
136
152
(16
)
(10.5
)%
Office
136
238
(102
)
(42.9
)%
Core deposit intangible
186
219
(33
)
(15.1
)%
Other
928
981
(53
)
(5.4
)%
Total non-interest expense
13,646
13,509
137
1.0
%
Income before income tax expense (benefit)
9,183
596
8,587
1440.8
%
Income tax expense (benefit)
2,102
(92
)
2,194
(2384.8
)%
Net income
$
7,081
$
688
$
6,393
929.2
%
Net income per common share - basic
$
1.04
$
0.10
$
0.94
937.5
%
Net income per common share - diluted
$
1.04
$
0.10
$
0.94
940.1
%
Weighted average shares outstanding - basic
6,812
6,867
(55
)
(0.8
)%
Weighted average shares outstanding - diluted
6,823
6,895
(72
)
(1.0
)%
6
Princeton Bancorp, Inc.
Consolidated Statements of Income (Current Quarter vs Prior Quarter)
(Unaudited)
(Amounts in thousands, except per share data)
Three Months Ended
June 30,
March 31,
2026
2026
$ Change
% Change
Interest and dividend income
Loans and fees
$
28,681
$
28,066
$
615
2.2
%
Available-for-sale debt securities:
Taxable
1,832
1,519
313
20.6
%
Tax-exempt
264
274
(10
)
(3.6
)%
Held-to-maturity debt securities
2
2
—
0.0
%
Other interest and dividend income
877
1,210
(333
)
(27.5
)%
Total interest and dividends
31,656
31,071
585
1.9
%
Interest expense
Deposits
11,616
12,213
(597
)
(4.9
)%
Borrowings
—
—
—
N/A
Total interest expense
11,616
12,213
(597
)
(4.9
)%
Net interest income
20,040
18,858
1,182
6.3
%
Provision for (reversal of) credit losses
(353
)
(156
)
(197
)
126.3
%
Net interest income after provision for (reversal of) credit losses
20,393
19,014
1,379
7.3
%
Non-interest income
Income from bank-owned life insurance
516
507
9
1.8
%
Fees and service charges
597
580
17
2.9
%
Loan fees, including prepayment penalties
908
528
380
72.0
%
Other
415
836
(421
)
(50.4
)%
Total non-interest income
2,436
2,451
(15
)
(0.6
)%
Non-interest expense
Salaries and employee benefits
7,153
7,025
128
1.8
%
Occupancy and equipment
2,252
2,392
(140
)
(5.9
)%
Professional fees
974
760
214
28.2
%
Data processing and communications
1,581
1,627
(46
)
(2.8
)%
Federal deposit insurance
300
300
—
0.0
%
Advertising and promotion
136
175
(39
)
(22.3
)%
Office
136
131
5
3.8
%
Core deposit intangible
186
196
(10
)
(5.1
)%
Other
928
809
119
14.7
%
Total non-interest expense
13,646
13,415
231
1.7
%
Income before income tax expense
9,183
8,050
1,133
14.1
%
Income tax expense
2,102
1,821
281
15.4
%
Net income
$
7,081
$
6,229
$
852
13.7
%
Net income per common share - basic
$
1.04
$
0.92
$
0.12
13.0
%
Net income per common share - diluted
$
1.04
$
0.91
$
0.13
14.3
%
Weighted average shares outstanding - basic
6,812
6,788
24
0.4
%
Weighted average shares outstanding - diluted
6,823
6,808
15
0.2
%
7
Princeton Bancorp, Inc.
Consolidated Statements of Income
(Unaudited)
(Amounts in thousands, except per share data)
Six Months Ended
June 30,
2026
2025
$ Change
% Change
Interest and dividend income
Loans and fees
$
56,747
$
59,244
$
(2,497
)
(4.2
)%
Available-for-sale debt securities:
Taxable
3,351
4,914
(1,563
)
(31.8
)%
Tax-exempt
538
563
(25
)
(4.4
)%
Held-to-maturity debt securities
4
4
—
—
Other interest and dividend income
2,087
1,326
761
57.4
%
Total interest and dividends
62,727
66,051
(3,324
)
(5.0
)%
Interest expense
Deposits
23,829
28,471
(4,642
)
(16.3
)%
Borrowings
—
13
(13
)
(100.0
)%
Total interest expense
23,829
28,484
(4,655
)
(16.3
)%
Net interest income
38,898
37,567
1,331
3.5
%
Provision for (reversal of) credit losses
(509
)
7,224
(7,733
)
(107.0
)%
Net interest income after provision for (reversal of) credit losses
39,407
30,343
9,064
29.9
%
Non-interest income
Income from bank-owned life insurance
1,023
965
58
6.0
%
Fees and service charges
1,177
1,062
115
10.8
%
Loan fees, including prepayment penalties
1,436
1,378
58
4.2
%
Other
1,251
1,036
215
20.8
%
Total non-interest income
4,887
4,441
446
10.0
%
Non-interest expense
Salaries and employee benefits
14,178
14,265
(87
)
(0.6
)%
Occupancy and equipment
4,644
4,432
212
4.8
%
Professional fees
1,734
1,482
252
17.0
%
Data processing and communications
3,208
3,169
39
1.2
%
Federal deposit insurance
600
948
(348
)
(36.7
)%
Advertising and promotion
311
323
(12
)
(3.7
)%
Office
267
348
(81
)
(23.3
)%
Other real estate owned
—
27
(27
)
(100.0
)%
Core deposit intangible
382
447
(65
)
(14.5
)%
Other
1,737
1,860
(123
)
(6.6
)%
Total non-interest expense
27,061
27,301
(240
)
(0.9
)%
Income before income tax expense
17,233
7,483
9,750
130.3
%
Income tax expense
3,923
1,417
2,506
176.9
%
Net income
$
13,310
$
6,066
$
7,244
119.4
%
Net income per common share - basic
$
1.96
$
0.88
$
1.08
122.7
%
Net income per common share - diluted
$
1.95
$
0.88
$
1.07
121.6
%
Weighted average shares outstanding - basic
6,800
6,886
(86
)
(1.3
)%
Weighted average shares outstanding - diluted
6,816
6,929
(113
)
(1.6
)%
8
Princeton Bancorp, Inc.
Consolidated Average Statement of Financial Condition
(Unaudited)
(Dollars in thousands)
For the Three Months Ended June 30,
2026
2025
Change in
Change in
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Earning assets
Loans
$
1,795,516
6.41
%
$
1,845,920
6.44
%
$
(50,404
)
(0.03
)%
Securities
Taxable available-for-sale
155,641
4.71
%
195,152
4.71
%
(39,511
)
—
Tax-exempt available-for-sale
38,806
2.72
%
39,025
2.86
%
(219
)
(0.14
)%
Held-to-maturity
150
5.33
%
158
5.33
%
(8
)
—
Total Securities
194,597
4.31
%
234,335
4.40
%
(39,738
)
(0.09
)%
Other interest earning assets
Federal funds sold
8,817
3.66
%
34,201
4.42
%
(25,384
)
(0.76
)%
Other interest-earning assets
83,676
3.82
%
14,790
4.91
%
68,886
(1.09
)%
Other interest-earning assets
92,493
3.80
%
48,991
4.57
%
43,502
(0.77
)%
Total interest-earning assets
2,082,606
6.10
%
2,129,246
6.17
%
(46,640
)
(0.07
)%
Total non-earning assets
167,339
165,803
Total assets
$
2,249,945
$
2,295,049
Interest-bearing liabilities
Checking
$
323,266
2.04
%
$
314,336
2.00
%
$
8,930
0.04
%
Savings
165,712
2.07
%
170,644
2.29
%
(4,932
)
(0.22
)%
Money market
495,284
2.92
%
464,917
3.14
%
30,367
(0.22
)%
Certificates of deposit
644,658
3.43
%
747,773
4.16
%
(103,115
)
(0.73
)%
Total interest-bearing deposits
1,628,920
2.86
%
1,697,670
3.29
%
(68,750
)
(0.43
)%
Non-interest checking
306,096
288,608
Total deposits
1,935,016
2.41
%
1,986,278
2.81
%
(51,262
)
(0.40
)%
Borrowings
—
N/A
1,259
4.18
%
(1,259
)
N/A
Total interest-bearing liabilities (excluding non-interest deposits)
1,628,920
2.86
%
1,698,929
3.29
%
(70,009
)
(0.43
)%
Non-interest-bearing deposits
306,096
288,608
Total cost of funds
1,935,016
2.41
%
1,987,537
2.81
%
(52,521
)
(0.40
)%
Accrued expenses and other liabilities
39,252
42,634
Stockholders’ equity
275,677
264,878
Total liabilities and stockholders’ equity
$
2,249,945
$
2,295,049
Net interest spread
3.24
%
2.88
%
Net interest margin
3.86
%
3.54
%
Net interest margin (FTE) 1, 2
3.90
%
3.58
%
1
Includes federal and state tax effect of tax-exempt securities and loans.
2
This is a non-GAAP financial measure. For more information, see “Supplemental Information - Non-GAAP Financial Measures (Unaudited)” below.
9
Princeton Bancorp, Inc.
Consolidated Average Statement of Financial Condition
(Unaudited)
(Dollars in thousands)
For the Six Months Ended June 30,
2026
2025
Change in
Change in
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Earning assets
Loans
$
1,797,846
6.37
%
$
1,848,664
6.46
%
$
(50,818
)
(0.09
)%
Securities
Taxable available-for-sale
144,254
4.65
%
199,548
4.92
%
(55,294
)
(0.27
)%
Tax-exempt available-for-sale
39,427
2.73
%
39,499
2.85
%
(72
)
(0.12
)%
Held-to-maturity
151
5.33
%
159
5.33
%
(8
)
0.00
%
Securities
183,832
4.24
%
239,206
4.58
%
(55,374
)
(0.34
)%
Other interest earning assets
Federal funds sold
38,451
3.72
%
43,705
4.42
%
(5,254
)
(0.70
)%
Other interest-earning assets
73,246
3.80
%
15,406
4.82
%
57,840
(1.02
)%
Other interest-earning assets
111,697
3.77
%
59,111
4.53
%
52,586
(0.76
)%
Total interest-earning assets
2,093,375
6.04
%
2,146,981
6.20
%
(53,606
)
(0.16
)%
Total non-earning assets
165,963
168,359
Total assets
$
2,259,338
$
2,315,340
Interest-bearing liabilities
Checking
$
326,550
2.03
%
$
319,777
1.97
%
$
6,773
0.06
%
Savings
167,257
2.10
%
171,022
2.27
%
(3,765
)
(0.17
)%
Money market
482,882
2.92
%
470,596
3.12
%
12,286
(0.20
)%
Certificates of deposit
672,367
3.54
%
756,808
4.30
%
(84,441
)
(0.76
)%
Total interest-bearing deposits
1,649,056
2.91
%
1,718,203
3.34
%
(69,147
)
(0.43
)%
Non-interest checking
297,587
288,060
Total deposits
1,946,643
2.47
%
2,006,263
2.86
%
(59,620
)
(0.39
)%
Borrowings
—
N/A
639
4.19
%
(639
)
N/A
Total interest-bearing liabilities (excluding non interest deposits)
1,649,056
2.91
%
1,718,842
3.34
%
(69,786
)
(0.43
)%
Non-interest-bearing deposits
297,587
288,060
Total cost of funds
1,946,643
2.47
%
2,006,902
2.86
%
(60,259
)
(0.39
)%
Accrued expenses and other liabilities
38,688
43,979
Stockholders’ equity
274,007
264,459
Total liabilities and stockholders’ equity
$
2,259,338
$
2,315,340
Net interest spread
3.13
%
2.86
%
Net interest margin
3.75
%
3.53
%
Net interest margin (FTE) 1, 2
3.79
%
3.57
%
1
Includes federal and state tax effect of tax-exempt securities and loans.
2
This is a non-GAAP financial measure. For more information, see “Supplemental Information - Non-GAAP Financial Measures (Unaudited)” below.
10
Princeton Bancorp, Inc.
Consolidated Average Statement of Financial Condition
(Unaudited)
(Dollars in thousands)
For the Three Months Ended
June 30, 2026
March 31, 2026
Change in
Change in
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Average Balance
Yield/ Rate
Earning assets
Loans
$
1,795,516
6.41
%
$
1,800,201
6.32
%
$
(4,685
)
0.09
%
Securities
Taxable available-for-sale
155,641
4.71
%
132,740
4.58
%
22,901
0.13
%
Tax-exempt available-for-sale
38,806
2.72
%
40,054
2.73
%
(1,248
)
(0.01
)%
Held-to-maturity
150
5.33
%
152
5.33
%
(2
)
—
Total Securities
194,597
4.31
%
172,946
4.15
%
21,651
0.16
%
Other interest earning assets
Federal funds sold
8,817
3.66
%
68,415
3.72
%
(59,598
)
(0.06
)%
Other interest-earning assets
83,676
3.82
%
62,700
3.84
%
20,976
(0.02
)%
Other interest-earning assets
92,493
3.80
%
131,115
3.78
%
(38,622
)
0.02
%
Total interest-earning assets
2,082,606
6.10
%
2,104,262
5.99
%
(21,656
)
0.11
%
Total non-earning assets
167,339
164,573
Total assets
$
2,249,945
$
2,268,835
Interest-bearing liabilities
Checking
$
323,266
2.04
%
$
329,872
2.03
%
$
(6,606
)
0.01
%
Savings
165,712
2.07
%
168,820
2.13
%
(3,108
)
(0.06
)%
Money market
495,284
2.92
%
470,343
2.94
%
24,941
(0.02
)%
Certificates of deposit
644,658
3.43
%
700,384
3.63
%
(55,726
)
(0.20
)%
Total interest-bearing deposits
1,628,920
2.86
%
1,669,419
2.97
%
(40,499
)
(0.11
)%
Non-interest checking
306,096
288,984
17,112
Total deposits
1,935,016
2.41
%
1,958,403
2.53
%
(23,387
)
(0.12
)%
Borrowings
—
N/A
—
N/A
—
N/A
Total interest-bearing liabilities (excluding non-interest deposits)
1,628,920
2.86
%
1,669,419
2.97
%
(40,499
)
(0.11
)%
Non-interest-bearing deposits
306,096
288,984
17,112
—
Total cost of funds
1,935,016
2.41
%
1,958,403
2.53
%
(23,387
)
(0.12
)%
Accrued expenses and other liabilities
39,252
38,114
Stockholders’ equity
275,677
272,318
Total liabilities and stockholders’ equity
$
2,249,945
$
2,268,835
Net interest spread
3.24
%
3.02
%
Net interest margin
3.86
%
3.63
%
Net interest margin (FTE) 1, 2
3.90
%
3.67
%
1
Includes federal and state tax effect of tax-exempt securities and loans.
2
This is a non-GAAP financial measure. For more information, see “Supplemental Information - Non-GAAP Financial Measures (Unaudited)” below.
11
Princeton Bancorp, Inc.
Quarterly Financial Highlights
(Unaudited)
2026
2026
2025
2025
2025
June
March
December
September
June
Return on average assets
1.26
%
1.11
%
1.06
%
1.15
%
0.12
%
Return on average equity
10.30
%
9.28
%
9.00
%
9.75
%
1.04
%
Return on average tangible equity1
10.97
%
9.90
%
9.62
%
10.45
%
1.12
%
Net interest margin
3.86
%
3.63
%
3.51
%
3.77
%
3.54
%
Net interest margin (FTE)1
3.90
%
3.67
%
3.54
%
3.81
%
3.58
%
Adjusted efficiency ratio1
59.89
%
62.03
%
60.38
%
63.68
%
63.10
%
COMMON STOCK DATA
Market value at period end
$
37.95
$
33.77
$
34.69
$
31.84
$
30.54
Market range:
High
$
38.35
$
37.84
$
36.69
$
34.84
$
32.97
Low
$
34.04
$
32.98
$
29.75
$
29.95
$
27.69
Book value per common share at period end
$
41.09
$
40.26
$
40.01
$
39.48
$
38.49
Tangible book value per common share1
$
38.62
$
37.76
$
37.48
$
36.80
$
35.91
Shares of common stock outstanding (in thousands)
6,813
6,796
6,766
6,773
6,806
CAPITAL RATIOS
Total capital (to risk-weighted assets)2
14.67
%
13.98
%
14.01
%
13.78
%
13.05
%
Tier 1 capital (to risk-weighted assets)2
13.60
%
12.93
%
12.95
%
12.73
%
12.01
%
Tier 1 capital (to average assets)2
11.69
%
11.35
%
11.12
%
11.15
%
10.63
%
Equity to assets
12.44
%
12.14
%
11.86
%
11.96
%
11.69
%
Tangible equity to tangible assets1
11.78
%
11.47
%
11.19
%
11.27
%
10.99
%
CREDIT QUALITY DATA (Dollars in thousands)
Net charge-offs (recoveries)
$
(244
)
$
1
$
235
$
(86
)
$
9,859
Annualized net charge-offs (recoveries) to average loans
(0.05
)%
0.00
%
(0.00
)%
(0.02
)%
2.14
%
Nonperforming loans
$
16,320
$
16,478
$
16,529
$
16,710
$
16,530
Other real estate owned
—
—
—
—
—
Total nonperforming assets
$
16,320
$
16,478
$
16,529
$
16,710
$
16,530
Allowance for credit losses as a percent of:
Period-end loans, net of deferred fees and costs
1.13
%
1.10
%
1.12
%
1.14
%
1.14
%
Nonperforming loans
122.22
%
121.58
%
122.97
%
122.33
%
127.13
%
Nonperforming assets
122.22
%
121.58
%
122.97
%
122.33
%
127.13
%
Nonaccrual loans as a percent of total loans, net of deferred fees and costs
0.92
%
0.91
%
0.91
%
0.93
%
0.90
%
1
This is a non-GAAP financial measure. For more information, see “Supplemental Information - Non-GAAP Financial Measures (Unaudited)” below.
2
Capital ratios presented herein are derived from the Call Report of The Bank of Princeton
12
Princeton Bancorp, Inc
Supplemental Information – Non-GAAP Financial Measures
(Unaudited)
This press release contains certain supplemental financial information, described in the table below, which has been determined by methods other than U.S. Generally Accepted Accounting Principles (“GAAP”) that management uses in its analysis of its performance. These non-GAAP financial measures are “tangible book value per common share,” “return on average tangible equity,” “efficiency ratio,” “adjusted efficiency ratio,” “tangible equity to tangible assets,” and “net interest margin on a fully taxable equivalent.” For the purpose of calculating return on average tangible equity, net income for such period is annualized and divided by average tangible equity during such period. Average tangible equity equals average shareholders’ equity during the applicable period less average goodwill and other intangible assets during the applicable period. For the purpose of calculating tangible equity to tangible assets, tangible equity is divided by tangible assets. Tangible equity equals total shareholders’ equity less goodwill and other intangible assets, in each case at period end. Tangible assets equal total assets less goodwill and other intangible assets, in each case at period end. For the purpose of calculating tangible book value per common share, tangible equity is divided by the number of common shares outstanding, in each case at period end. For the purpose of calculating efficiency ratio, total operating expense is divided by total revenue for the period. For the purpose of calculating adjusted efficiency ratio, total operating expense minus core deposit intangible amortization is divided by total revenue for the period. For the purpose of calculating net interest margin on a fully taxable equivalent, fully taxable equivalent adjustments are added to net interest income for the period, net interest income fully taxable equivalent for such period is annualized and divided by average interest earning assets during such period.
Management believes that these non-GAAP financial measures provide valuable insights into understanding our financial results by excluding certain items that can distort our core business results. This allows investors to better understand our ongoing operations and assess our future potential, while still being transparent about the adjustments made to arrive at these non-GAAP figures. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results and the Company strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.
In addition to the items noted above, defined footnotes are included in the Supplemental Information – Non-GAAP Financial Measures table below. Income annualized is calculated using income for the period divided by the number of days in the period, then multiplied by total days in the year. Average equity is calculated using the sum of daily equity balance for the period, divided by the number of days in the period. Fully taxable equivalent adjustment is calculated using tax exempt loan income plus tax exempt securities income for the period, multiplied by a tax rate of 28%.
13
Princeton Bancorp, Inc.
Supplemental Information - Non-GAAP Financial Measures
(Unaudited)
(Dollars in thousands)
Three months ended
2026
2026
2025
2025
2025
June
March
December
September
June
Net income (annualized)1
$
28,402
$
25,262
$
24,122
$
25,653
$
2,760
Average equity2
275,677
272,318
267,971
263,088
264,878
Less: average intangible assets3
(16,890
)
(17,084
)
(17,280
)
(17,493
)
(17,701
)
Average Tangible Equity
$
258,787
$
255,234
$
250,691
$
245,595
$
247,177
Return on average tangible equity
10.97
%
9.90
%
9.62
%
10.45
%
1.12
%
Net interest income
$
20,040
$
18,858
$
18,630
$
19,619
$
18,810
Other income
2,436
2,451
2,119
1,908
2,251
Total revenue
22,476
21,309
20,749
21,527
21,061
Non-interest expenses
$
13,646
$
13,415
$
12,729
$
13,917
$
13,509
Less: core deposit intangible amortization
(186
)
(196
)
(200
)
(209
)
(219
)
Total operating expenses
$
13,460
$
13,219
$
12,529
$
13,708
$
13,290
Adjusted efficiency ratio
59.89
%
62.03
%
60.38
%
63.68
%
63.10
%
Total Assets
$
2,251,012
$
2,253,767
$
2,285,147
$
2,229,090
$
2,241,668
Less: intangible assets
(16,775
)
(16,961
)
(17,157
)
(17,357
)
(17,566
)
Tangible assets
$
2,234,237
$
2,236,806
$
2,267,990
$
2,211,733
$
2,224,102
Stockholders’ equity
$
279,923
$
273,599
$
270,712
$
266,607
$
261,946
Less: intangible assets
(16,775
)
(16,961
)
(17,157
)
(17,357
)
(17,566
)
Tangible equity
$
263,148
$
256,638
$
253,555
$
249,250
$
244,380
Tangible equity to tangible assets
11.78
%
11.47
%
11.18
%
11.27
%
10.99
%
Tangible equity
$
263,125
$
256,638
$
253,555
$
249,250
$
244,380
Shares outstanding (in thousands)
6,813
6,796
6,766
6,773
6,806
Tangible book value per share
$
38.62
$
37.76
$
37.48
$
36.80
$
35.91
1
Income annualized is calculated using income for the period divided by the number of days in the period, then multiplied by total days in the year.
2
Average equity is calculated using the sum of daily equity balance for the period, divided by the number of days in the period.
3
Average intangible assets is calculated using the sum of daily intangible assets balance for the period, divided by the number of days in the period.
Three months ended
2026
2026
2025
2025
2025
June
March
December
September
June
Net interest income
$
20,040
$
18,858
$
18,630
$
19,619
$
18,810
FTE adjustment3
203
207
209
211
212
Net interest income FTE
$
20,243
$
19,065
$
18,839
$
19,830
$
19,022
Net interest income FTE (annualized)1
$
81,194
$
77,318
$
74,743
$
78,675
$
76,297
Average interest earning assets
2,082,606
2,104,262
2,108,657
2,063,990
2,129,246
Net interest margin FTE
3.90
%
3.67
%
3.54
%
3.81
%
3.58
%
1
Income annualized is calculated using income for the period divided by the number of days in the period, then multiplied by total days in the year.
3
Fully taxable equivalent adjustment is calculated using tax exempt loan income plus tax exempt securities income for the period, multiplied by a tax rate of 28%.
14
Six Months Ended
2026
2025
June
June
Net interest income
$
38,898
$
37,567
FTE adjustment3
410
462
Net interest income FTE
$
39,308
$
38,029
Net interest income FTE (annualized)1
$
79,268
$
76,688
Average interest earning assets
2,093,375
2,146,981
Net interest margin FTE
3.79
%
3.57
%
1
Income annualized is calculated using income for the period divided by the number of days in the period, then multiplied by total days in the year.
3
Fully taxable equivalent adjustment is calculated using tax exempt loan income plus tax exempt securities income for the period, multiplied by a tax rate of 28%.