RIVERVIEW BANCORP INC

Previous wording

As a progressive, community-oriented financial services business, the Company emphasizes local, personal service to residents of its primary market area. The Company considers Clark, Klickitat and Skamania counties of Washington, and Multnomah, Washington and Marion counties of Oregon as its primary market area. The Company is engaged predominantly in the business of attracting deposits from the general public and using such funds in its primary market area to originate commercial business, commercial real estate, multi-family real estate, land, real estate construction, residential real estate and other consumer loans. Additionally, the Company, from time to time, will purchase commercial business loans as a way to supplement loan originations and diversify the commercial loan portfolio. These loans are originated by a third-party located outside the Company’s primary market area. The Company also purchases the guaranteed portion of SBA loans to help loan portfolio diversification, supplement loan originations and generate a higher yield than overnight cash investments or short-term investments. These SBA loans are originated through another financial institution located outside the Company’s primary market area and are purchased with servicing retained by the seller. The Company’s loans receivable, net, totaled $1.03 billion at December 31, 2024 compared to $1.01 billion at March 31, 2024.

Current wording

The Company is engaged primarily in attracting deposits from the general public and using those funds within its primary market area to originate commercial business, commercial real estate, multi-family real estate, land, real estate construction, residential real estate and other consumer loans. In addition, the Company, periodically purchases commercial business loans originated by a third party located outside the Company’s primary market area to supplement loan originations and diversify the commercial loan portfolio. The Company also purchases the guaranteed portion of SBA loans, originated by another financial institution and serviced by the seller, to further diversify the loan portfolio, supplement originations, and achiever higher yields than short-term investments. These SBA loans are also originated outside the Company’s primary market area. The Company’s loans receivable, net, totaled $1.05 billion at both June 30, 2025 and March 31, 2025.

Previous wording

The Bank's subsidiary, Riverview Trust Company (the “Trust Company”), is a trust and financial services company with one office located in downtown Vancouver, Washington and one office in Lake Oswego, Oregon. The Trust Company provides full-service brokerage activities, trust and asset management services. The Bank’s Business and Professional Banking Division, with two lending offices in Vancouver and one in Portland, offers commercial and business banking services.

Current wording

The Bank's subsidiary, Riverview Trust Company (the “Trust Company”), is a trust and financial services company with offices located in downtown Vancouver, Washington, and Lake Oswego, Oregon. The Trust Company provides full-service brokerage, trust and asset management services. The Bank’s Business and Professional Banking Division, which operates out of two lending offices in Vancouver and one in Portland, offers commercial and business banking services.

Previous wording

The Company’s strategic plan includes targeting the commercial banking customer base in its primary market area for loan originations and deposit growth, specifically small and medium size businesses, professionals and wealth building individuals. In pursuit of these goals, the Company will seek to increase the loan portfolio consistent with its strategic plan and asset/liability and regulatory capital objectives, which includes maintaining a significant amount of commercial business and commercial real estate loans in its loan portfolio which typically carry adjustable rates, higher yields and shorter terms, as well as higher credit risk compared to traditional fixed-rate consumer real estate one-to-four family loans.

Current wording

The Company targets commercial banking clients, including businesses, professionals, and wealth-building individuals, for both loan originations and deposit growth within its primary market area. Consistent with its strategic, asset/liability, and capital management objectives, the Company seeks to increase its loan portfolio with an emphasis on commercial business and commercial real estate loans. These loans typically feature adjustable rates, higher yields, shorter terms, and higher credit risk, relative to traditional fixed-rate one-to-four family consumer real estate loans.

Previous wording

The strategic plan also stresses increased emphasis on non-interest income, including increased fees for asset management services through the Trust Company and deposit service charges. The strategic plan is designed to enhance earnings, reduce interest rate risk and provide a more complete range of financial services to customers and the local communities the Company serves. We believe we are well positioned to attract new customers and to increase our market share through our 17 branches, including, among others, ten in Clark County, three in the Portland metropolitan area and three lending centers.

Current wording

With 17 branch locations, 10 in Clark County, three in the Portland metropolitan area, and three lending centers, management believes the Company is well positioned to attract new clients and increase market share.

Previous wording

The Company’s goal is to deliver returns to shareholders by increasing higher-yielding assets (in particular, commercial real estate and commercial business loans), increasing core deposit balances, managing problem assets, reducing expenses, hiring experienced employees with a commercial lending focus and exploring expansion opportunities. The Company seeks to achieve these results by focusing on the following objectives.

Current wording

Fiscal year 2026 marks the 102 nd anniversary for Riverview Bank, which opened for business in 1923. Our primary business strategy is to provide comprehensive banking and related financial services within our primary market area. The Company’s goal is to deliver returns to shareholders by increasing higher-yielding assets (in particular, commercial real estate, commercial business and business banking loans), increasing core deposit balances, managing problem assets, reducing expenses, hiring experienced employees with a commercial lending focus and exploring expansion opportunities. The Company seeks to achieve these results by focusing on the following objectives:

Previous wording

Maintaining Strong Asset Quality. The Company believes that strong asset quality is a key to long-term financial success. The Company has actively managed delinquent loans and nonperforming assets by aggressively pursuing the collection of consumer debts, marketing saleable properties upon foreclosure or repossession, and through work-outs of classified assets and loan charge-offs. The Company’s approach to credit management uses well defined policies and procedures and disciplined underwriting criteria resulting in our strong asset quality and credit metrics. Although the Company intends to prudently increase the percentage of its assets consisting of higher-yielding commercial real estate, real estate construction and commercial business loans, which offer higher risk-adjusted returns, shorter maturities and more sensitivity to interest rate fluctuations, the Company intends to manage credit exposure using experienced bankers in these areas and a conservative approach to its lending.

Current wording

Maintaining Strong Asset Quality. The Company believes that strong asset quality is a key to long-term financial success. The Company has actively managed delinquent loans and nonperforming assets by aggressively pursuing the collection of consumer debts, marketing saleable properties upon foreclosure or repossession, and through work-outs of classified assets and loan charge-offs. The Company’s approach to credit management uses well defined policies and procedures and disciplined underwriting criteria resulting in our strong asset quality and credit metrics in fiscal year 2026. Although the Company intends to prudently increase the percentage of its assets consisting of higher-yielding commercial real estate, real estate construction and commercial business and business banking loans, which offer higher risk-adjusted returns, shorter maturities and more sensitivity to interest rate fluctuations, the Company intends to manage credit exposure using experienced bankers in these areas and a conservative approach to its lending.

Previous wording

Introduction of New Products and Services. The Company continuously reviews new products and services to provide its customers with more financial options. All new technology and services are generally reviewed for business development and cost saving purposes. The Company continues to experience growth in customer use of its online banking services, where the Bank provides a full array of traditional cash management products as well as online banking products including mobile banking, mobile deposit, bill pay, e-statements, and text banking. The products are tailored to meet the needs of small to medium size businesses and households in the markets we serve. The Company intends to selectively add other products to further diversify revenue sources and to capture more of each customer’s banking relationship by

Current wording

Introduction of New Products and Services. The Company continuously reviews new products and services to provide its clients more financial options. All new technology and services are generally reviewed for business development and cost saving purposes. The Company continues to experience growth in client use of its online banking services, where the Bank provides a full array of traditional cash management products as well as online banking products including mobile banking, mobile deposit, bill pay, e-statements, and new deposit products. The products are tailored to meet the needs of businesses and households in the markets we serve. The Company intends to selectively add other products to further diversify revenue sources and to capture more of each client’s banking relationship by cross selling loan and deposit products and additional services, including services provided through the Trust Company to increase its fee income. Assets under management by the Trust Company totaled $900.1 million and $877.9 million at June 30, 2025 and March 31, 2025, respectively. The Company also offers a third-party identity theft product to its clients. The identity theft product assists our clients in monitoring their credit and includes an identity theft restoration service.

Previous wording

Recruiting and Retaining Highly Competent Personnel with a Focus on Commercial Lending**.** The Company’s ability to continue to attract and retain banking professionals with strong community relationships and significant knowledge of its markets will be a key to its success. The Company believes that it enhances its market position and adds profitable growth opportunities by focusing on hiring and retaining experienced bankers focused on owner occupied commercial real estate and commercial lending, and the deposit balances that accompany these relationships. The Company emphasizes to its employees the importance of delivering exemplary customer service and seeking opportunities to build further relationships with its customers. The goal is to compete with other financial service providers by relying on the strength of the Company’s customer service and relationship banking approach. The Company believes that one of its strengths is that its employees are also shareholders through the Company’s employee stock ownership (“ESOP”) and 401(k) plans.

Current wording

Recruiting and Retaining Highly Competent Personnel with a Focus on Commercial Lending**.** The Company’s ability to continue to attract and retain banking professionals with strong community relationships and significant knowledge of its markets will be a key to its success. The Company believes that it enhances its market position and adds profitable growth opportunities by focusing on hiring and retaining experienced bankers focused on owner occupied commercial real estate and commercial lending, and the deposit balances that accompany these relationships. The Company emphasizes to its employees the importance of delivering exemplary client service and seeking opportunities to build further relationships with its clients. The goal is to compete with other financial service providers by relying on the strength of the Company’s client service and relationship banking approach. The Company believes that one of its strengths is that its employees are also shareholders through the Company’s ESOP and 401(k) plans.

Previous wording

Cash and cash equivalents, including interest-earning deposits in other banks, totaled $25.3 million at December 31, 2024 compared to $23.6 million at March 31, 2024. The Company’s cash balances typically fluctuate based upon funding needs, deposit activity and investment securities activity. Based on the Company’s asset/liability management program and liquidity objectives, the Company may deploy excess cash to purchase investment securities depending on the rate environment and other considerations. As a part of this strategy, the Company may choose to invest in short-term certificates of deposit held for investment, all of which are fully insured by the Federal Deposit Insurance Corporation (the “FDIC”).

Current wording

Cash and cash equivalents, including interest-earning deposits in other banks, totaled $34.2 million at June 30, 2025 compared to $29.4 million at March 31, 2025. The Company’s cash balances typically fluctuate based on funding needs, deposit flows, and investment securities activity. In accordance with its asset/liability management and liquidity objectives, the Company may deploy excess liquidity into investment securities, depending on market conditions and expected returns. As part of this strategy, the Company may choose to invest in short-term certificates of deposit held for investment, all of which are fully insured by the Federal Deposit Insurance Corporation (the “FDIC”).

Previous wording

Investment securities totaled $337.2 million and $372.7 million at December 31, 2024 and March 31, 2024, respectively. The decrease was due to normal pay downs, calls and maturities. The Company had no sales of investment securities during the nine months ended December 31, 2024. The Company’s investment securities primarily consist of a combination of securities backed by government agencies (FHLMC, FNMA, SBA or GNMA). At December 31, 2024, the Company determined that none of its investment securities required an allowance for credit losses (“ACL”). For additional information on the Company’s investment securities, see Note 5 of the Notes to the Consolidated Financial Statements contained in Item 1 of this Form 10-Q.

Current wording

Investment securities totaled $316.3 million and $322.5 million at June 30, 2025 and March 31, 2025, respectively. The decrease was due to normal pay downs, calls and maturities. The Company did not sell any investment securities during the three months ended June 30, 2025. The Company’s investment securities primarily consist of a combination of securities backed by government agencies (FHLMC, FNMA, SBA or GNMA). At June 30, 2025, the Company determined that none of its investment securities required an allowance for credit losses (“ACL”). For additional information on the Company’s investment securities, see Note 5 of the Notes to the Consolidated Financial Statements contained in Item 1 of this Form 10-Q.

Previous wording

While the Company no longer originates one-to-four family mortgage loans, it will from time to time, purchase these loans consistent with its asset/liability objectives. Additionally, the Company occasionally purchases commercial business loans and consumer loans to supplement loan originations and diversify the loan portfolio. These purchased loans are originated by third-parties located outside the Company’s primary market area. Purchased commercial business loans at December 31, 2024 totaled $23.8 million compared to $27.2 million at March 31, 2024. Purchased consumer loans at December 31, 2024 totaled $13.9 million compared to none at March 31, 2024. The Company also purchases the guaranteed portion of SBA loans to diversify its loan portfolio, supplement loan originations and generate higher yields than overnight cash investments or short-term investments. These SBA loans are originated through another financial institution located outside the Company’s primary market area and are purchased with servicing retained by the seller. At December 31, 2024, the Company’s purchased SBA loan portfolio was $49.0 million compared to $51.0 million at March 31, 2024.

Current wording

The Company also purchases the guaranteed portion of SBA loans to further diversify the loan portfolio, supplement loan originations, and generate higher yields relative to cash or other short-term investments. These SBA loans are originated through another financial institution located outside the Company’s primary market area and are purchased with servicing retained by the seller. At June 30, 2025, the Company’s purchased SBA loan portfolio was $47.0 million compared to $47.4 million at March 31, 2025.

Previous wording

Shareholders' equity increased $2.7 million to $158.3 million at December 31, 2024 compared to $155.6 million at March 31, 2024. The increase was mainly attributable to net income of $3.8 million and a decrease in the accumulated other comprehensive loss related to the change in unrealized holding losses on securities available for sale, net of tax, of $1.0 million for the nine months ended December 31, 2024. These increases were partially offset by the payment of cash dividends totaling $1.3 million and the repurchase of 200,073 shares of common stock totaling $1.1 million.

Current wording

Shareholders’ equity increased $2.0 million to $162.0 million at June 30, 2025 from $160.0 million at March 31, 2025. The increase was mainly attributable to net income of $1.2 million for the three months ended June 30, 2025 and an improvement in other comprehensive income of $1.1 million, which reflected a reduction in unrealized holding losses on securities available for sale, net of tax. The reduction in unrealized losses was due to favorable movements in market interest rates during the quarter. These increases were partially offset by cash dividend payments totaling $420,000.

Previous wording

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios of total and tier I capital to risk-weighted assets, core capital to total assets and tangible capital to tangible assets (set forth in the table below). Management believes the Bank met all capital adequacy requirements to which it was subject as of December 31, 2024.

Current wording

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios of total and tier I capital to risk-weighted assets, core capital to total assets and tangible capital to tangible assets

Previous wording

In addition to the minimum common equity tier 1 (“CET1”), Tier 1 and total capital ratios, the Bank is required to maintain a capital conservation buffer consisting of additional CET1 capital in order to avoid limitations on paying dividends, engaging in share repurchases, and paying discretionary bonuses based on percentages of eligible retained income that could be utilized for such actions. The capital conservation buffer is required to be an amount greater than 2.5% of risk-weighted assets. As of December 31, 2024, the Bank’s CET1 capital exceeded the required capital conservation buffer at an amount greater than 2.5%.

Current wording

In addition to the minimum common equity tier 1 (“CET1”), Tier 1 and total capital ratios, the Bank is required to maintain a capital conservation buffer consisting of additional CET1 capital greater than 2.5% of risk-weighted assets above the required minimum capital levels. Failure to maintain the required buffer could result in limitations on the Bank’s ability to pay dividends, repurchase shares, and pay discretionary bonuses, based on specified percentages of eligible retained income As of June 30, 2025, the Bank’s CET1 capital exceeded the required capital conservation buffer at an amount greater than 2.5%.

Previous wording

Liquidity is essential to the operation of our business. The objectives of the Bank’s liquidity management are to maintain ample cash flows to meet obligations for depositor withdrawals, to fund the borrowing needs of loan customers, and to fund ongoing operations. Core relationship deposits are the primary source of the Bank’s liquidity. As such, the Bank focuses on deposit relationships with local consumer and business clients who maintain multiple accounts and services at the Bank.

Current wording

Liquidity is essential to the operation of our business. The objectives of the Bank’s liquidity management are to maintain ample cash flows to meet obligations for depositor withdrawals, to fund the borrowing needs of loan clients, and to fund ongoing operations. Core relationship deposits are the primary source of the Bank’s liquidity. As such, the Bank focuses on deposit relationships with local consumer and business clients who maintain multiple accounts and services at the Bank.

Previous wording

program objectives. Excess liquidity is generally invested in interest-bearing overnight deposits and other short-term government and agency obligations. If the Company requires funds beyond its ability to generate them internally, it has additional diversified and reliable sources of funds with the FHLB, the FRB and other wholesale facilities. These sources of funds may be used on a long or short-term basis to compensate for a reduction in other sources of funds or on a long-term basis to support lending activities.

Current wording

Liquidity management is both a short and long-term responsibility of the Company's management. The Company adjusts its investments in liquid assets based upon management's assessment of (i) expected loan demand, (ii) projected loan sales, (iii) expected deposit flows, (iv) yields available on interest-bearing deposits and (v) its asset/liability management program objectives. Excess liquidity is generally invested in interest-bearing overnight deposits and other short-term government and agency obligations. If the Company requires funds beyond its ability to generate them internally, it has additional diversified and reliable sources of funds with the FHLB, the FRB and other wholesale facilities. These sources of funds may be used on a long or short-term basis to compensate for a reduction in other sources of funds or on a long-term basis to support lending activities.

Previous wording

The Company's primary sources of funds are customer deposits, proceeds from principal and interest payments on loans, proceeds from the sale of loans, maturing securities, FHLB advances and FRB borrowings. While maturities and scheduled amortization of loans and securities are a predictable source of funds, deposit flows and prepayment of mortgage loans and mortgage-backed securities are greatly influenced by general interest rates, economic conditions and competition. Management believes that its focus on core relationship deposits coupled with access to borrowings through reliable counterparties provides reasonable and prudent assurance that ample liquidity is available. However, depositor or counterparty behavior could change in response to competition, economic or market situations or other unforeseen circumstances, which could have liquidity implications that may require different strategic or operational actions.

Current wording

The Company's primary sources of funds are client deposits, proceeds from principal and interest payments on loans, securities, the sale of loans, maturing securities, FHLB advances and FRB borrowings. While maturities and scheduled amortization of loans and securities are a predictable source of funds, deposit flows and prepayment of mortgage loans and mortgage-backed securities are greatly influenced by general interest rates, economic conditions and competition. Management believes that its focus on core relationship deposits coupled with access to borrowings through reliable counterparties provides reasonable and prudent assurance that ample liquidity is available. However, depositor or counterparty behavior could change in response to competition, economic or market situations or other unforeseen circumstances, which could have liquidity implications that may require different strategic or operational actions.

Previous wording

The Company must maintain an adequate level of liquidity to ensure the availability of sufficient funds for loan originations, deposit withdrawals, continuing operations, satisfaction other financial commitments, and to take advantage of investment opportunities. During the nine months ended December 31, 2024, the Bank used its sources of funds primarily to fund loan commitments. At December 31, 2024, cash and cash equivalents and available for sale investment securities totaled $150.2 million, or 10.0% of total assets. Management believes that the Company’s security portfolio is of high quality and therefore readily marketable. The levels of these assets are dependent on the Company’s operating, financing, lending, and investing activities during any given period. The Bank generally maintains sufficient cash and short-term investments to meet short-term liquidity needs; however, its primary liquidity management practice is to manage short-term borrowings, consistent with its asset/liability objectives. In addition to these primary sources of funds, the Bank has several secondary borrowing sources available to meet potential funding requirements, including FRB borrowings and FHLB advances. At December 31, 2024, the Bank had no outstanding advances from the FRB and maintains a credit facility with the FRB with an available borrowing capacity of $187.2 million, subject to sufficient collateral. At December 31, 2024, the Bank had advances totaling $84.2 million from the FHLB and had an additional borrowing capacity of $164.4 million with the FHLB, subject to sufficient collateral and stock investment. At December 31, 2024, the Bank had sufficient unpledged collateral to allow it to utilize its available borrowing capacity from the FRB and the FHLB. Borrowing capacity may, however, fluctuate based on acceptability and risk rating of loan collateral and counterparties could adjust discount rates applied to such collateral at their discretion.

Current wording

At June 30, 2025, cash and cash equivalents and available for sale investment securities totaled $152.9 million, or 10.0% of total assets. Management believes that the Company’s security portfolio is of high quality and generally marketable. The levels of these assets are dependent on the Company’s operating, financing, lending, and investing activities during any given period. The Bank generally maintains sufficient cash and short-term investments to meet short-term liquidity needs. Its primary liquidity management strategy is to manage short-term borrowings, consistent with its asset/liability objectives. In addition to these primary sources of funds, the Bank has several secondary borrowing sources available to meet potential funding requirements, including FRB borrowings and FHLB advances. At June 30, 2025, the Bank had no advances from the FRB and maintained a credit facility with an available borrowing capacity of $195.1 million, subject to sufficient collateral. At June 30, 2025, the Bank had advances totaling $102.5 million from the FHLB and had an additional borrowing capacity of $155.9 million with the FHLB, subject to sufficient collateral and stock investment. At June 30, 2025, the Bank had sufficient unpledged collateral to allow it to utilize its available borrowing capacity from the FRB and the FHLB. Borrowing capacity may, however, fluctuate based on the quality and risk rating of pledged loan collateral, and counterparties may adjust discount rates applied to such collateral at their discretion.

Previous wording

An additional source of wholesale funding includes brokered certificates of deposit. While the Company has utilized brokered deposits from time to time, historically it has not extensively relied on brokered deposits to fund its operations. At December 31, 2024 and March 31, 2024, the Bank had no wholesale brokered deposits. The Bank also participates in the Certificate of Deposit Account Registry Services (“CDARS”) and Insured Cash Sweep (“ICS”) deposit products, which allow the Company to accept deposits in excess of the FDIC insurance limit for depositors while obtaining “pass-through” insurance for total deposits. The Bank’s CDARS and ICS balances were $39.6 million, or 3.2% of total deposits at both December 31, 2024 and March 31, 2024. The combination of all the Bank’s funding sources gives the Bank available liquidity of $691.7 million, or 45.9% of total assets at December 31, 2024.

Current wording

An additional source of wholesale funding includes brokered certificates of deposit. While the Company has utilized brokered deposits from time to time, historically it has not extensively relied on brokered deposits to fund its operations. At June 30, 2025 and March 31, 2025, the Bank had no wholesale brokered deposits. The Bank also participates in the Certificate of Deposit Account Registry Services (“CDARS”) and Insured Cash Sweep (“ICS”) deposit products, which allow the Company to accept deposits in excess of the FDIC insurance limit for depositors while obtaining “pass-through” insurance for total deposits. The Bank’s CDARS and ICS balances were $34.0 million, or 2.81% of total deposits and $36.0 million, or 2.92% of total deposits, at June 30, 2025 and March 31, 2025 respectively. The combination of all the Bank’s funding sources gives the Bank available liquidity of $787.4 million, or 51.92% of total assets at June 30, 2025.

Previous wording

At December 31, 2024, the Company had total commitments of $106.6 million, which includes commitments to extend credit of $3.0 million, unused lines of credit totaling $84.7 million, undisbursed real estate construction loans totaling $17.3 million, and standby letters of credit totaling $1.6 million. The Company anticipates that it will have sufficient funds available to meet current loan commitments. Certificates of deposit that are scheduled to mature in less than one year from December 31, 2024 totaled $235.3 million. Historically, the Bank has been able to retain a significant amount of its deposits as they mature. Offsetting these cash outflows are scheduled loan and investment securities maturities of less than one year totaling $45.0 million and $21.1 million, respectively, at December 31, 2024.

Current wording

At June 30, 2025, the Company had total commitments of $100.9 million, which included commitments to extend credit of $14.1 million, unused lines of credit totaling $73.5 million, undisbursed real estate construction loans totaling $11.7 million, and standby letters of credit totaling $1.6 million. The Company anticipates that it will have sufficient funds available to meet current loan commitments. Certificates of deposit that are scheduled to mature in less than one year from June 30, 2025 totaled $227.5 million. Historically, the Bank has been able to retain a significant amount of its deposits as they mature. Offsetting these cash outflows are scheduled loan and investment securities maturities of less than one year totaling $26.0 million and $12.4 million, respectively, at June 30, 2025.

Previous wording

The Company incurs capital expenditures on an ongoing basis to expand and improve our product offerings, enhance and modernize our technology infrastructure, and to introduce new technology-based products to compete effectively in our markets. We evaluate capital expenditure projects based on a variety of factors, including expected strategic impacts (such as forecasted impact on revenue growth, productivity, expenses, service levels and customer retention) and our expected

Current wording

The Company incurs capital expenditures on an ongoing basis to expand and improve our product offerings, enhance and modernize our technology infrastructure, and to introduce new technology-based products to compete effectively in our markets. We evaluate capital expenditure projects based on a variety of factors, including expected strategic impacts (such as forecasted impact on revenue growth, productivity, expenses, service levels and client retention) and our expected return on investment. The amount of capital investment is influenced by, among other things, current and projected demand for our services and products, cash flow generated by operating activities, cash required for other purposes and regulatory considerations. Based on our current capital allocation objectives, during the remainder of fiscal 2026 we expect cash expenditures of approximately $1.3 million for capital investment in premises and equipment.

Previous wording

Riverview Bancorp, Inc., as a separate legal entity from the Bank, must provide for its own liquidity. Sources of capital and liquidity for Riverview Bancorp, Inc. include distributions from the Bank and the issuance of debt or equity securities. Dividends and other capital distributions from the Bank are subject to regulatory notice. Management currently expects to continue the Company’s current practice of paying quarterly cash dividends on its common stock subject to the Board of Directors’ discretion to modify or terminate this practice at any time and for any reason without prior notice. The current quarterly common stock dividend rate is $0.02 per share, as approved by the Board of Directors, which management believes is a dividend rate per share that will enable the Company to balance multiple objectives of managing and investing in the Bank, and returning a substantial portion of the Company’s cash to its shareholders. Assuming continued payment during fiscal 2025 at this rate of $0.02 per share, average total dividends paid each quarter would be approximately $423,000 based on the number of the Company’s outstanding shares as of December 31, 2024. At December 31, 2024, Riverview Bancorp, Inc. had $6.6 million in cash to meet its liquidity needs.

Current wording

Riverview Bancorp, Inc., as a separate legal entity from the Bank, must provide for its own liquidity. Sources of capital and liquidity for Riverview Bancorp, Inc. include dividends from the Bank, as well as the potential issuance of debt or equity securities. Dividends and other capital distributions from the Bank are subject to regulatory notice and may be subject to additional limitations depending on the Bank’s financial condition and applicable regulations. Management currently expects to continue the Company’s current practice of paying quarterly cash dividends on its common stock subject to the Board of Directors’ discretion to modify or terminate this practice at any time and for any reason without prior notice. As of June 30, 2025, the quarterly common stock dividend rate was $0.02 per share, as approved by the Board of Directors. Management believes this dividend rate appropriately balances the Company’s objectives of supporting investment in the Bank, while returning capital to shareholders. Assuming continued payment during fiscal 2026 at this rate of $0.02 per share, average total dividends paid each quarter would be approximately $420,000 based on the number of the Company’s outstanding shares as of June 30, 2025. At June 30, 2025, Riverview Bancorp, Inc. had $5.2 million in cash to meet its liquidity needs.

Previous wording

Nonperforming assets were $469,000 or 0.03% of total assets at December 31, 2024, compared to $178,000 or 0.01% of total assets at March 31, 2024. At December 31, 2024, SBA and United States Department of Agriculture (“USDA”) government guaranteed loans that were 90 days or more past due and still accruing interest included in nonperforming assets totaled $301,000 compared to $5,000 at March 31, 2024. The Company expects to receive all principal and interest since the Company purchased the guaranteed portion of these loans which is backed by government guaranteed interest certificates. The Company had no other real estate owned or foreclosed assets at December 31, 2024 or March 31, 2024.

Current wording

Nonperforming assets were $143,000 or 0.01% of total assets at June 30, 2025, compared to $155,000 or 0.01% of total assets at March 31, 2025. The Company had net recoveries totaling $52,000 for the three months ended June 30, 2025 compared to net charge-offs of $90,000 during fiscal 2025. The Company had no other real estate owned or foreclosed assets at June 30, 2025 and March 31, 2025.

Previous wording

The following table sets forth information regarding the Company’s nonperforming loans, consisting of nonaccrual loans and accruing loans 90 days or more delinquent, at the dates indicated (dollars in thousands):

Current wording

The following table sets forth information regarding the Company’s nonperforming loans, consisting of nonaccrual loans at the dates indicated (dollars in thousands):

Previous wording

The ACL for loans was $15.4 million or 1.47% of total loans at December 31, 2024 and $15.4 million or 1.50% of total loans at March 31, 2024. For the nine months ended December 31, 2024, the Company recorded a provision for credit losses of $100,000 compared to none for the same period in the prior fiscal year. The coverage ratio of the ACL for loans to nonperforming loans was 3273.35% at December 31, 2024 compared to 8631.46% at March 31, 2024. The Company’s general valuation allowance to pooled or “collectively evaluated” loans was 1.47% at December 31, 2024 and 1.50% at March 31, 2024.

Current wording

The ACL for loans was $15.4 million or 1.44% of total loans at June 30, 2025 and $15.4 million or 1.45% of total loans at March 31, 2025. The Company did not record a provision for credit losses for either the three months ended June 30, 2025 or 2024. At June 30, 2025, the ACL provided coverage of more than 10,800% of nonperforming loans, compared to approximately 9,900% at March 31, 2025, reflecting continued asset quality strength and conservative reserve levels. The general valuation allowance on pooled, or collectively evaluated, loans was 1.42% at June 30, 2025 and 1.45% at March 31, 2025.

Previous wording

Management considers the ACL for loans and unfunded loan commitments to be adequate at December 31, 2024 based on an evaluation of various factors affecting the loan portfolio. The Company believes it has established its current ACL in accordance with GAAP, however, a material increase in the ACL may be required if there is a deterioration in national or local economic conditions (including those driven by inflation or recession), results of regulatory examinations, or other

Current wording

Management considers the ACL for loans and unfunded loan commitments to be adequate at June 30, 2025 based on an evaluation of various factors affecting the loan portfolio. The Company believes the ACL has been established in accordance with GAAP, however, material increases may be required if economic conditions worsen, regulatory outcomes change, or other relevant factors emerge. Significant increases in the ACL may also be necessary if borrower credit quality

Previous wording

relevant factors. Such an increase could negatively impact the Company’s future financial condition and results of operations. In addition, since future events affecting borrowers and collateral values cannot be predicted with certainty, there is no guarantee that the current ACL will remain adequate. Significant increases in the ACL may be necessary if the quality of loans decline or if collateral values decrease, as discussed elsewhere in this document. For further information regarding the Company’s individually evaluated loans and ACL for loans and unfunded loan commitments, see Note 6 of the Notes to Consolidated Financial Statements contained in Item 1 of this Form 10-Q.

Current wording

deteriorates or collateral values decline. Such an increase could negatively impact the Company’s future financial condition and results of operations. For further information regarding the Company’s individually evaluated loans and ACL for loans and unfunded loan commitments, see Note 6 of the Notes to Consolidated Financial Statements contained in Item 1 of this Form 10-Q.

Previous wording

At December 31, 2024, loans delinquent 30-89 days totaled $5.6 million or 0.53% of total loans, up from $1.8 million or 0.17% of total loans at March 31, 2024. The increase in loans delinquent 30-89 days was primarily attributable to one real estate construction loan totaling $2.1 million and one consumer loan totaling $1.0 million. At December 31, 2024, CRE loans represented the largest portion of the loan portfolio at 54.97% of total loans and commercial business represented 21.48% of total loans.

Current wording

At June 30, 2025, CRE loans represented the largest portion of the loan portfolio at 56.14% of total loans and commercial business represented 21.70% of total loans.

Previous wording

Goodwill is initially recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. Goodwill is presumed to have an indefinite useful life and is tested, at least annually, for impairment at the reporting unit level. The Company has two reporting units, the Bank and the Trust Company, for purposes of evaluating goodwill for impairment. All the Company’s goodwill has been allocated to the Bank reporting unit. The Company performs an annual review in the third quarter of each fiscal year, or more frequently if indications of potential impairment exist, to determine if the recorded goodwill is impaired. If the fair value exceeds the carrying value, goodwill at the reporting unit level is not considered impaired and no additional analysis is necessary. If the carrying value of the reporting unit is greater than its fair value, there is an indication that impairment may exist and additional analysis must be performed to measure the amount of impairment loss, if any. The amount of impairment is determined by comparing the implied fair value of the reporting unit’s goodwill to the carrying value of the goodwill in the same manner as if the reporting unit was being acquired in a business combination. Specifically, the Company would allocate the fair value to all the assets and liabilities of the reporting unit, including unrecognized intangible assets, in a hypothetical analysis that would calculate the implied fair value of goodwill. If the implied fair value of goodwill is less than the recorded goodwill, the Company would record an impairment charge for the difference.

Current wording

Goodwill is initially recorded when the purchase price paid for an acquisition exceeds the estimated fair value of the net identified tangible and intangible assets acquired. Goodwill is presumed to have an indefinite useful life and is tested, at least annually, for impairment at the reporting unit level. The Company has two reporting units, the Bank and the Trust Company, for purposes of evaluating goodwill for impairment. All the Company’s goodwill has been allocated to the Bank reporting unit. The Company performs an annual review in the third quarter of each fiscal year, or more frequently if indications of potential impairment exist, to determine if the recorded goodwill is impaired. If the fair value exceeds the carrying amount, then goodwill is not considered impaired. If the carrying amount exceeds its fair value, an impairment loss would be recognized equal to the amount of excess, limited to the amount of total goodwill allocated to that reporting unit.

Previous wording

The Company performed its annual goodwill impairment test as of October 31, 2024. The goodwill impairment test involves a two-step process. Step one of the goodwill impairment test estimates the fair value of the reporting unit utilizing the allocation of corporate value approach, the income approach, the whole bank transaction approach and the market approach in order to derive an enterprise value of the Company. The results of the Company’s step one test indicated that the reporting unit’s fair value was greater than its carrying value and therefore no impairment of goodwill exists.

Current wording

The Company performed its annual goodwill impairment test as of October 31, 2024 and determined that no impairment of goodwill exists.

Previous wording

The Company also completed a qualitative assessment of goodwill as of December 31, 2024 and concluded that it is more likely than not that the fair value of the Bank (the reporting unit), exceeds its carrying value at that date. Even though the Company determined that there was no goodwill impairment, a sustained decline in the value of its stock price as well as values of other financial institutions, declines in revenue for the Company beyond our current forecasts, significant adverse changes in the operating environment for the financial industry or an increase in the value of our assets without an increase in the value of the reporting unit may result in a future impairment charge.

Current wording

The Company also completed a qualitative assessment of goodwill as of June 30, 2025 and concluded that it is more likely than not that the fair value of the Bank (the reporting unit), exceeds its carrying value at that date. Accordingly, no goodwill impairment was recognized. However, future impairment charges could occur if adverse events or changes in circumstances arise, including, but not limited to: (i) a sustained decline in the Company’s stock price or that of peer institutions, (ii) revenue declines beyond current forecasts, (iii) significant adverse changes in the operating environment for the financial industry, or (iv) increases in the value of the Company’s assets without a corresponding increase in the value of the reporting unit.

Previous wording

It is also possible that changes in circumstances existing at the measurement date or at other times in the future, or in the numerous estimates associated with management’s judgments, assumptions and estimates made in assessing the fair value of our goodwill, could result in an impairment charge of a portion or all of our goodwill. If the Company recorded an impairment charge, its financial position and results of operations would be adversely affected; however, such an impairment charge would have no impact on our liquidity, operations or regulatory capital.

Current wording

Additionally, changes in circumstances at or after the measurement date, or changes in the assumptions and estimates used in assessing goodwill, could result in a partial or full impairment of our goodwill. While any such impairment charge would adversely affect the Company’s financial condition and results of operations, it would not impact the Company’s liquidity, operations, or regulatory capital ratios.

Previous wording

Comparison of Operating Results for the Three and Nine Months Ended December 31, 2024 and 2023

Current wording

Comparison of Operating Results for the Three Months Ended June 30, 2025 and 2024

Previous wording

The average yield on loans increased to 4.97% and 4.83% for the three and nine months ended December 31, 2024, compared to 4.56% and 4.53% for the comparable periods in 2023. The average yield on mortgage related loans increased to 5.00% and 4.83% for the three and nine months ended December 31, 2024, respectively, compared to 4.57% and 4.51% for the same periods in the prior year, respectively. The average balance of net loans increased to $1.05 billion and $1.04 billion for the three and nine months ended December 31, 2024, respectively, from $1.02 billion and $1.01 billion for the comparable periods in the prior year, respectively. The average balance of mortgage loans increased $21.9 million and $25.8 million to $787.4 million and $781.4 million for the three and nine months ended December 31, 2024, respectively, from $765.4 million and $755.6 million for the same periods in the prior year.

Current wording

Interest and fees earned on net loans increased by $1.3 million for the three months ended June 30, 2025, compared to the same period in the prior year, due to increases in the yield earned on and the average outstanding balance of net loans. The average yield on loans increased 32 basis points to 5.02% for the three months ended June 30, 2025 compared to 4.70% for the comparable period in 2024. The average yield on mortgage related loans increased 30 basis points to 5.02%, and the yield on non-mortgage related loans increased 38 basis points to 5.03% for the three months ended June 30, 2025. The average balance of net loans increased $38.9 million to $1.07 billion for the three months ended June 30, 2025 from $1.03 billion for the same period in the prior year, with the average balance of mortgage related loans increasing $22.0 million and the non-mortgage related loans increasing $16.9 million.

Previous wording

Interest Expense. Interest expense totaled $5.7 million and $17.3 million for the three and nine months ended December 31, 2024, compared to $4.9 million and $12.7 million for the three and nine months ended December 31, 2023, respectively. Interest expense on deposits increased $2.0 million and $6.1 million for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year primarily due to the increase in the average rates paid on certificates of deposits, interest checking accounts and money market accounts, and to a lesser extent, the average balance of interest checking accounts. The average rate paid on certificates of deposit increased 97 basis points and 115 basis points to 3.88% and 3.81% for the three and nine months ended December 31, 2024, respectively, compared to the same periods for the prior year. The average balance of certificates of deposit increased $77.2 million and $68.0 million for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year. The average rate paid on interest checking accounts increased 84 basis points and 99 basis points to 0.94% and 1.04% for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year. The average balance of interest checking accounts increased $33.2 million and $26.4 million for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year. The average rate paid on money market accounts increased 57 basis points and 66 basis points to 1.92% and 1.82% for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year. These increases were partially offset by a $2.9 million and $19.1 million decrease in the average balance of money market accounts for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year.

Current wording

Interest Expense. Interest expense totaled $5.5 million for the three months ended June 30, 2025, a decrease of $44,000 from $5.6 million for the three months ended June 30, 2024. Interest expense on deposits increased $327,000 for the three months ended June 30, 2025 compared to the same period in the prior year, primarily due to a 37 basis point increase in the average rate paid on money market accounts and an increase in the average balance of certificates of deposit and money market accounts. The average balance of certificates of deposit increased $9.4 million and the average balance of money market accounts increased $20.1 million compared to the same period in the prior year. These increases were partially offset by a 23 basis point decline in the average rate paid on certificates of deposit and a 12 basis point decline in the rate paid on interest checking accounts. The average balance of total interest-bearing deposits increased $22.8 million to $882.1 million for the three months ended June 30, 2025, from $859.3 million for the same period in 2024, and the average rate paid increased 11 basis points to 1.72% during that same period.

Previous wording

Interest expense on borrowings decreased $1.3 million and $1.6 million for the three and nine months ended December 31, 2024, respectively, compared to the same periods in the prior year primarily due to a decrease in the average balance of FHLB advances. The average balance of FHLB advances was $90.4 million and $105.5 million for the three and nine months ended December 31, 2024, respectively, compared to $167.9 million and $143.0 million for the same periods in the prior year. The average rate paid on FHLB advances was 4.83% and 5.32% for the three and nine months ended December 31, 2024, respectively, compared to 5.47% and 5.37% for the same periods in the prior year.

Current wording

Interest expense on borrowings decreased $371,000 for the three months ended June 30, 2025 compared to the same period in the prior year, primarily due to a decline in the average rate paid on FHLB advances. The average rate paid on FHLB advances decreased 133 basis points to 3.20%, while the average balance of FHLB advances remained relatively stable at $110.3 million for the three months ended June 30, 2025, compared to $111.7 million for the same period in the prior year.

Previous wording

The following table sets forth the effects of changing rates and volumes on net interest income of the Company for the three and nine months ended December 31, 2024 compared to the three and nine months ended December 31, 2023. Variances that were insignificant have been allocated based upon the percentage relationship of changes in volume and changes in rate to the total net change (in thousands).

Current wording

The following table sets forth the effects of changing rates and volumes on net interest income of the Company for the three months ended June 30, 2025 compared to the three months ended June 30, 2024. Variances that were insignificant have been allocated based upon the percentage relationship of changes in volume and changes in rate to the total net change (in thousands).

Previous wording

**Provision for Credit Losses.**There was no provision for credit losses for the three months ended December 31, 2024 and 2023. The Company recorded a provision for credit losses of $100,000 for the nine months ended December 31, 2024, compared to no provision for credit losses for the nine months ended December 31, 2023. The increase in the provision for credit losses for the nine months ended December 31, 2024 was primarily due to the overall increase in the loan portfolio. The lack of provision for credit losses for the three and nine months ended December 31, 2023 reflects assumptions related to our forecast concerning the economic environment as a result of local, national and global events. In addition, expected loss estimates consider various factors, including customer-specific information, changes in risk ratings, projected delinquencies, and the impact of economic conditions on borrowers' ability to repay. Net charge-offs totaled $114,000 for the three months ended December 31, 2024, compared to net recoveries of $15,000 for the same period in the prior year. Net charge-offs totaled $112,000 for the nine months ended December 31, 2024, compared to net recoveries of $10,000 for the same period in the prior year. Annualized net charge-offs/recoveries were $452,000 and $149,000 for the three and nine months ended December 31, 2024. Annualized net charge-offs/recoveries were insignificant for both the three and nine months ended December 31, 2023.

Current wording

**Provision for Credit Losses.**The Company recorded no provision for credit losses for the three months ended June 30, 2025 and 2024. The lack of provision for credit losses for the three months ended June 30, 2025 reflects assumptions used in the Company’s forecast of the economic environment, including the effects of local, national, and global events. In addition, expected loss estimates considered various borrower and portfolio-level factors, such as client-specific information, changes in risk ratings, projected delinquencies, and the potential impact of economic conditions on borrowers' ability to repay. For the three months ended June 30, 2025, net recoveries totaled $52,000 compared to insignificant net recoveries for the three months ended June 30, 2024.

Previous wording

While we believe the estimates and assumptions used in our determination of the adequacy of the allowance for credit losses are reasonable, there can be no assurance that such estimates and assumptions will not be proven incorrect in the future, or that the actual amount of future provisions will not exceed the amount of past provisions or that any increased provisions that may be required will not have a material adverse impact on our financial condition and results of operations. A further decline in national and local economic conditions, as a result of the effects of inflation, and a potential recession or slowed economic growth, among other factors, could result in a material increase in the allowance for credit losses and have a material adverse impact on our financial condition and results of operations. In addition, the determination of the amount of our allowance for credit losses is subject to review by bank regulators as part of the routine examination process, which may result in the adjustment of reserves based upon their judgment of information available to them at the time of their examination and have a material adverse impact on our financial condition and results of operations.

Current wording

While we believe the estimates and assumptions used in determining of the adequacy of the ACL are reasonable, there can be no assurance that such estimates and assumptions will not prove to be incorrect, or that future provisions will not exceed historical levels. Any increase in the ACL could have a material adverse effect on our financial condition and results of operations. A further deterioration in national or local economic conditions, such as those driven by inflation, recession, or slowed economic growth, could result in a material increase in the ACL. In addition, the ACL is subject to periodic regulatory review as part of the routine examination process. Examiners may require adjustment to the allowance based on information available to them at the time, which could also have a material adverse impact on the Company’s financial condition and results of operations.

Previous wording

The ratio of the ACL for loans to nonperforming loans was 3273.35% at December 31, 2024 compared to 8631.46% at March 31, 2024. See “Asset Quality” above for additional information related to asset quality that management considers in determining the appropriate level of the ACL.

Current wording

Nonperforming loans were $143,000 at June 30, 2025, compared to $155,000 at March 31, 2025. The ratio of the ACL for loans to nonperforming loans was approximately 10,800% at June 30, 2025 compared to approximately 9,900% at March 31, 2025. See “Asset Quality” above for additional information considered by management in determining the appropriate level of the ACL.