CF BANKSHARES INC.

Previous wording

Most of our deposits and loans come from our market area. Our principal market area for deposits and loans includes the following counties in Ohio and Indiana: Franklin County, Ohio through our offices in Columbus, Ohio; Delaware County, Ohio through our Polaris office in Columbus, Ohio; Cuyahoga County, Ohio through our office in Orange Village, Ohio; Summit County, Ohio through our office in Fairlawn, Ohio; Hamilton County, Ohio through our offices in Blue Ash, Ohio and our Red Bank office in Cincinnati, Ohio; and Marion County, Indiana through our office in Indianapolis, Indiana. Because of CFBank’s concentration of business activities in Ohio, the Company’s financial condition and results of operations depend in large part upon economic conditions in Ohio.

Current wording

Most of our deposits and loans come from our market area. Our principal market area for deposits and loans includes the following counties in Ohio and Indiana: Franklin County, Ohio through our offices in Columbus, Ohio; Delaware County, Ohio through our Polaris office in Columbus, Ohio; Cuyahoga County, Ohio through our office in Orange Village, Ohio; Summit County, Ohio through our office in Fairlawn, Ohio; Hamilton County, Ohio through our office in Blue Ash, Ohio; and Marion County, Indiana through our office in Indianapolis, Indiana. Because of CFBank’s concentration of business activities in Ohio, the Company’s financial condition and results of operations depend in large part upon economic conditions in Ohio.

Previous wording

General. Assets totaled $2.17 billion at June 30, 2026 and increased $52.3 million, or 2.5%, from $2.12 billion at December 31, 2025. The increase was primarily due to a $59.7 million increase in net loans and leases, partially offset by a $5.9 million decrease in cash and cash equivalents.

Current wording

General. Assets totaled $2.21 billion at September 30, 2026 and increased $94.9 million, or 4.5%, from $2.12 billion at December 31, 2025. The increase was primarily due to a $99.4 million increase in net loans and leases and a $9.6 million increase in accrued interest receivable and other assets, partially offset by a $10.4 million decrease in cash and cash equivalents.

Previous wording

Cash and cash equivalents. Cash and cash equivalents totaled $253.1 million at June 30, 2026, and decreased $5.9 million, or 2.3%, from $259.0 million at December 31, 2025. The decrease in cash and cash equivalents was primarily attributed to a $59.7 million increase in net loans and leases, partially offset by a $48.0 million increase in deposits.

Current wording

Cash and cash equivalents. Cash and cash equivalents totaled $248.6 million at September 30, 2026, and decreased $10.4 million, or 4.0%, from $259.0 million at December 31, 2025. The decrease in cash and cash equivalents was primarily attributed to a $99.4 million increase in net loans and leases, partially offset by a $76.5 million increase in deposits.

Previous wording

Securities. Securities available for sale totaled $17.2 million at June 30, 2026, and decreased $273,000, or 1.6%, compared to $17.5 million at December 31, 2025.

Current wording

Securities. Securities available for sale totaled $16.5 million at September 30, 2026, and decreased $964,000, or 5.5%, compared to $17.5 million at December 31, 2025.

Previous wording

Loans held for sale. Loans held for sale totaled $4.4 million at June 30, 2026, and decreased $1.2 million, or 21.7%, from $5.6 million at December 31, 2025.

Current wording

Loans held for sale. Loans held for sale totaled $2.4 million at September 30, 2026, and decreased $3.2 million, or 56.7%, from $5.6 million at December 31, 2025 The decline was due primarily to the reduction in the holding period of loans held for sale (the time between loan funding and sale to the investor).

Previous wording

Loans and Leases. Net loans and leases totaled $1.80 billion at June 30, 2026, and increased $59.7 million, or 3.4%, from $1.74 billion at December 31, 2025. The increase in loans and leases balances was primarily due to a $69.9 million increase in commercial real estate loan balances, a $10.4 million increase in commercial and industrial (C&I) loan balances, and a $6.1 million increase in construction loan balances, partially offset by a $21.4 million decrease in single-family residential loan balances and a $3.7 million decrease in home equity lines of credit loan balances.

Current wording

Loans and Leases. Net loans and leases totaled $1.84 billion at September 30, 2026, and increased $99.4 million, or 5.7%, from $1.74 billion at December 31, 2025. The increase in loans and leases balances was primarily due to a $101.9 million increase in commercial real estate loan balances, a $17.5 million increase in construction loan balances, and a $9.4 million increase in C&I loan balances, partially offset by a $25.5 million decrease in single-family residential loan balances and a $2.5 million decrease in consumer loan balances. The increase was primarily driven by the expansion of our commercial banking teams throughout our footprint.

Previous wording

Allowance for Credit Losses on Loans. The allowance for credit losses on loans (“ACL – Loans”) totaled $19.4 million at June 30, 2026, and increased 1.7 million, or 9.9%, from $17.7 million at December 31, 2025. The ratio of the ACL - Loans to total loans was 1.07% at June 30, 2026, compared to 1.01% at December 31, 2025.

Current wording

Allowance for Credit Losses on Loans. The allowance for credit losses on loans (“ACL – Loans”) totaled $19.0 million at September 30, 2026, and increased $1.3 million, or 7.7%, from $17.7 million at December 31, 2025. The ratio of the ACL - Loans to total loans was 1.03% at September 30, 2026, compared to 1.01% at December 31, 2025.

Previous wording

Individually evaluated loans totaled $18.1 million at June 30, 2026, and increased $5.7 million, or 46.1%, from $12.4 million at December 31, 2025. The amount of the ACL - Loans specifically calculated for individually evaluated loans totaled $3.4 million at June 30, 2026 and $2.8 million at December 31, 2025.

Current wording

Individually evaluated loans totaled $17.1 million at September 30, 2026, and increased $4.7 million, or 38.4%, from $12.4 million at December 31, 2025. The amount of the ACL - Loans specifically calculated for individually evaluated loans totaled $2.8 million at both September 30, 2026 and December 31, 2025.

Previous wording

Nonperforming loans, which include nonaccrual loans and loans at least 90 days past due but still accruing interest, totaled $20.8 million at June 30, 2026, and increased $5.5 million from $15.3 million at December 31, 2025. The increase in nonaccrual loans included the addition of one non-core (syndicated) commercial and industrial (C&I) loan for $5.0 million. The ratio of nonperforming loans to total loans was 1.15% at June 30, 2026 compared to 0.87% at December 31, 2025.

Current wording

Nonperforming loans, which include nonaccrual loans and loans at least 90 days past due but still accruing interest, totaled $20.4 million at September 30, 2026, and increased $5.1 million from $15.3 million at December 31, 2025. The increase in nonaccrual loans included the addition of one non-core (syndicated) commercial and industrial (C&I) loan for $5.0 million. The ratio of nonperforming loans to total loans was 1.10% at September 30, 2026 compared to 0.87% at December 31, 2025.

Previous wording

During the three and six months ended June 30, 2026 and 2025, the Company did not modify any loans where the borrower was experiencing financial difficulty.

Current wording

During the three and nine months ended September 30, 2026 and 2025, the Company did not modify any loans where the borrower was experiencing financial difficulty.

Previous wording

The level of total criticized and classified loans increased by $35.4 million, or 123.1%, during the six months ended June 30, 2026. The increase in criticized and classified loans was primarily the result of three relationships that were downgraded during the six months ended June 30, 2026. Loans designated as special mention increased $29.9 million, or 161.3%, and totaled $48.4 million at June 30, 2026, compared to $18.5 million at December 31, 2025. Loans classified as substandard increased $5.5 million, or 56.2%, and totaled $15.4 million at June 30, 2026, compared to $9.9 million at December 31, 2025. Loans designated as doubtful totaled $385,000 at both June 30, 2026 and December 31, 2025. See Note 4 -Loans and Leases to our Consolidated Financial Statements included in this Quarterly Report on Form 10-Q for additional information regarding risk classification of loans.

Current wording

The level of total criticized and classified loans increased by $28.9 million, or 100.6%, during the nine months ended September 30, 2026. The increase in criticized and classified loans was primarily the result of three relationships that were downgraded during the nine months ended September 30, 2026. Loans designated as special mention increased $23.5 million, or 126.7%, and totaled $42.0 million at September 30, 2026, compared to $18.5 million at December 31, 2025. Loans classified as substandard increased $5.8 million, or 59.3%, and totaled $15.7 million at September 30, 2026, compared to $9.9 million at December 31, 2025. There were no loans designated as doubtful at September 30, 2026 compared to $385,000 at December 31, 2025. See Note 4 -Loans and Leases to our Consolidated Financial Statements included in this Quarterly Report on Form 10-Q for additional information regarding risk classification of loans.

Previous wording

Total past due loans increased $7.5 million and totaled $20.4 million at June 30, 2026, compared to $12.9 million at December 31, 2025. Past due loans totaled 1.1% of the loan portfolio at June 30, 2026, compared to 0.7% at December 31, 2025. See Note 4 -Loans and Leases to our Consolidated Financial Statements included in this Quarterly Report on Form 10-Q for additional information regarding loan delinquencies.

Current wording

Total past due loans increased $17.8 million and totaled $30.8 million at September 30, 2026, compared to $12.9 million at December 31, 2025. The increase in past due loans was primarily due to a $6.7 million C&I loan and a $5.9 million commercial real estate loan (one relationship). Subsequent to quarter end, both of these loans were brought current. Past due loans totaled 1.7% of the loan portfolio at September 30, 2026, compared to 0.7% at December 31, 2025. See Note 4 -Loans and Leases to our Consolidated Financial Statements included in this Quarterly Report on Form 10-Q for additional information regarding loan delinquencies.

Previous wording

Loans that contain interest only payments may present a higher risk than those loans with an amortizing payment that includes periodic principal reductions. Interest only loans are primarily commercial lines of credit secured by business assets and inventory, and consumer home equity lines of credit secured by the borrower’s primary residence. Due to the fluctuations in business assets and inventory of our commercial borrowers, CFBank has increased risk due to a potential decline in collateral values without a corresponding decrease in the outstanding principal. Interest only commercial lines of credit totaled $145.4 million, or 38.3%, of CFBank’s commercial portfolio at June 30, 2026, compared to $111.2 million, or 30.1%, at December 31, 2025. Interest only home equity lines of credit totaled $37.8 million, or 98.7%, of the total home equity lines of credit at June 30, 2026, compared to $41.1 million, or 98.5%, at December 31, 2025.

Current wording

Loans that contain interest only payments may present a higher risk than those loans with an amortizing payment that includes periodic principal reductions. Interest only loans are primarily commercial lines of credit secured by business assets and inventory, and consumer home equity lines of credit secured by the borrower’s primary residence. Due to the fluctuations in business assets and inventory of our commercial borrowers, CFBank has increased risk due to a potential decline in collateral values without a corresponding decrease in the outstanding principal. Interest only commercial lines of credit totaled $145.1 million, or 38.3%, of CFBank’s commercial portfolio at September 30, 2026, compared to $111.2 million, or 30.1%, at December 31, 2025. Interest only home equity lines of credit totaled $38.5 million, or 99.0%, of the total home equity lines of credit at September 30, 2026, compared to $41.1 million, or 98.5%, at December 31, 2025.

Previous wording

Deposits. Deposits totaled $1.83 billion at June 30, 2026, an increase of $48.0 million, or 2.7%, when compared to $1.78 billion at December 31, 2025. The increase when compared to December 31, 2025 was primarily due to a $59.9 million increase in interest-bearing account balances, partially offset by an $11.9 million decrease in noninterest-bearing accounts balances. The increase in interest-bearing account balances and the decrease in noninterest-bearing balances were primarily driven by new customer deposits, partially offset by customer movement between account types.

Current wording

Deposits. Deposits totaled $1.86 billion at September 30, 2026, an increase of $76.5 million, or 4.3%, when compared to $1.78 billion at December 31, 2025. The increase when compared to December 31, 2025 was primarily due to a $89.3 million increase in interest-bearing account balances, partially offset by a $12.8 million decrease in noninterest-bearing accounts balances. The increase in interest-bearing account balances and the decrease in noninterest-bearing balances were primarily driven by new and increased customer deposits, partially offset by customer movement between account types.

Previous wording

At June 30, 2026, approximately 32.0% of our deposit balances exceeded the FDIC insurance limit of $250,000, as compared to approximately 29.5% at December 31, 2025.

Current wording

At September 30, 2026, approximately 31.2% of our deposit balances exceeded the FDIC insurance limit of $250,000, as compared to approximately 29.5% at December 31, 2025.

Previous wording

CFBank is a participant in the Certificate of Deposit Account Registry Service® (CDARS) and Insured Cash Sweep (ICS) programs offered through IntraFi. IntraFi works with a network of banks to offer products that can provide FDIC insurance coverage in excess of $250,000 through these innovative products. Brokered deposits, including CDARS and ICS deposits that qualify as brokered, totaled $334.1 million at June 30, 2026, and decreased $66.5 million, or 16.5%, from $400.4 million at December 31, 2025. Customer balances in the CDARS reciprocal and ICS reciprocal programs, which do not qualify as brokered, totaled $298.7 million at June 30, 2026, and increased $20.0 million, or 7.1%, from $278.7 million at December 31, 2025.

Current wording

CFBank is a participant in the Certificate of Deposit Account Registry Service® (CDARS) and Insured Cash Sweep (ICS) programs offered through IntraFi. IntraFi works with a network of banks to offer products that can provide FDIC insurance coverage in excess of $250,000 through these innovative products. Brokered deposits, including CDARS and ICS deposits that qualify as brokered, totaled $383.7 million at September 30, 2026, and decreased $16.7 million, or 4.2%, from $400.4 million at December 31, 2025. Customer balances in the CDARS reciprocal and ICS reciprocal programs, which do not qualify as brokered, totaled $281.8 million at September 30, 2026, and increased $3.1 million, or 1.1%, from $278.7 million at December 31, 2025.

Previous wording

FHLB advances and other debt. FHLB advances and other debt totaled $99.2 million at June 30, 2026 and $101.0 million at December 31, 2025. The decrease was primarily due to a $1.8 million decrease in the outstanding balance on the Holding Company credit facility.

Current wording

FHLB advances and other debt. FHLB advances and other debt totaled $99.2 million at September 30, 2026 and $101.0 million at December 31, 2025. The decrease was primarily due to a $1.7 million decrease in the outstanding balance on the Holding Company credit facility.

Previous wording

Stockholders’ equity. Stockholders’ equity totaled $194.3 million at June 30, 2026, an increase of $9.9 million, or 5.4%, from $184.4 million at December 31, 2025. The increase in stockholders’ equity during the six months ended June 30, 2026 was primarily attributed to net income, partially offset by $1.2 million in dividend payments.

Current wording

Stockholders’ equity. Stockholders’ equity totaled $199.5 million at September 30, 2026, an increase of $15.1 million, or 8.2%, from $184.4 million at December 31, 2025. The increase in stockholders’ equity during the nine months ended September 30, 2026 was primarily attributed to net income, partially offset by $1.8 million in dividend payments.

Previous wording

General. Net income for the six months ended June 30, 2026 totaled $10.9 million (or $1.67 per diluted common share) compared to net income of $9.5 million (or $1.45 per diluted common share) for the six months ended June 30, 2025. The increase in net income was primarily the result of an increase in net interest income, a decrease in provision for credit losses expense and an increase in noninterest income, partially offset by an increase in noninterest expense.

Current wording

General. Net income for the three months ended September 30, 2026 totaled $6.0 million (or $0.91 per diluted common share) compared to net income of $2.3 million (or $0.36 per diluted common share) for the three months ended September 30, 2025. The increase in net income was primarily the result of a $4.5 million decrease in provision for credit losses expense with additional factors including an increase in net interest income and noninterest income, partially offset by an increase in noninterest expense.

Previous wording

Net interest income totaled $14.8 million for the quarter ended June 30, 2026 and increased $843,000, or 6.0%, compared to net interest income of $14.0 million for the quarter ended June 30, 2025. The increase was primarily due to a $1.2 million, or 7.2%, decrease in interest expense, partially offset by a $337,000, or 1.1%, decrease in interest income. The decrease in interest expense was primarily attributed to a 37bps decrease in the average rate on interest-bearing liabilities, partially offset by a $30.6 million, or 2.0%, increase in average interest-bearing liabilities. The decrease in interest income was primarily attributed to a 21bps decrease in the average yield on interest-earning assets, partially offset by a $48.5 million, or 2.5%, increase in average interest-earning assets outstanding. The net interest margin of 2.93% for the quarter ended June 30, 2026 increased 10bps compared to the net interest margin of 2.83% for the second quarter of 2025.

Current wording

Net interest income totaled $14.9 million for the quarter ended September 30, 2026 and increased $1.1 million, or 8.4%, compared to net interest income of $13.8 million for the quarter ended September 30, 2025. The increase was primarily due to a $1.4 million, or 8.5%, decrease in interest expense, partially offset by a $255,000, or 0.8%, decrease in interest income. The decrease in interest expense was primarily attributed to a 40bps decrease in the average rate on interest-bearing liabilities, partially offset by a $20.5 million, or 1.3%, increase in average interest-bearing liabilities. The decrease in interest income was primarily attributed to a 11bps decrease in the average yield on interest-earning assets, partially offset by a $17.7 million, or 0.9%, increase in average interest-earning assets outstanding. The net interest margin of 2.96% for the quarter ended September 30, 2026 increased 20bps compared to the net interest margin of 2.76% for the third quarter of 2025.

Previous wording

Interest expense totaled $15.2 million for the quarter ended June 30, 2026, and decreased $1.2 million, or 7.2%, compared to $16.4 million for the quarter ended June 30, 2025. The decrease in interest expense was primarily attributed to a 44bps decrease in the average rate of interest-bearing deposits, partially offset by a $22.6 million, or 1.6%, increase in average interest-bearing deposits.

Current wording

Interest expense totaled $15.2 million for the quarter ended September 30, 2026, and decreased $1.4 million, or 8.5%, compared to $16.6 million for the quarter ended September 30, 2025. The decrease in interest expense was primarily attributed to a 44bps decrease in the average rate of interest-bearing deposits, partially offset by a $22.1million, or 1.5%, increase in average interest-bearing deposits.

Previous wording

Provision for credit losses. There was $944,000 in provision for credit losses expense for the quarter ended June 30, 2026, which reflected a decrease of $483,000, compared to $1.4 million in provision expense for the quarter ended June 30, 2025. Net recoveries for the quarter ended June 30, 2026 totaled $106,000 compared to net charge-offs of $51,000 for the quarter ended June 30, 2025.

Current wording

Provision for credit losses. There was $551,000 in provision for credit losses expense for the quarter ended September 30, 2026, which reflected a decrease of $4.5 million, compared to $5.1 million in provision expense for the quarter ended September 30, 2025. The decrease in provision expense was driven by the full charge-off of a non-customer loan, which resulted in a $3.7 million increase to provision expense for the quarter ended September 30, 2025. Net charge-offs for the quarter ended September 30, 2026 totaled $966,000 compared to net charge-offs of $7.1 million for the quarter ended September 30, 2025.

Previous wording

Noninterest income. Noninterest income for the quarter ended June 30, 2026 totaled $1.7 million and increased $121,000, or 7.7%, compared to $1.6 million for the quarter ended June 30, 2025. The increase was primarily related to a $196,000 increase in service charges on deposit accounts.

Current wording

Noninterest income. Noninterest income for the quarter ended September 30, 2026 totaled $1.8 million and increased $41,000, or 2.4%, compared to $1.7 million for the quarter ended September 30, 2025.

Previous wording

Income tax expense. Income tax expense was $1.4 million for the quarter ended June 30, 2026, a decrease of $14,000, or 1.0%, compared to $1.4 million for the quarter ended June 30, 2025. The effective tax rate for the quarter ended June 30, 2026 was approximately 18.6%, as compared to approximately 21.3% for the quarter ended June 30, 2025. The decline in the effective tax rate for the quarter ended June 30, 2026 was driven by the impact of low-income housing and historic tax credit investments.

Current wording

Income tax expense. Income tax expense was $1.4 million for the quarter ended September 30, 2026, an increase of $987,000 compared to $373,000 for the quarter ended September 30, 2025. The effective tax rate for the quarter ended September 30, 2026 was approximately 18.4%, as compared to approximately 13.8% for the quarter ended September 30, 2025. The increase in the effective tax rate for the quarter ended September 30, 2026 was driven by a reduction in the impact of our low-income housing and historic tax credit investments.

Previous wording

Comparison of the Results of Operations for the Six Months Ended June 30, 2026 and 2025.

Current wording

Comparison of the Results of Operations for the Nine Months Ended September 30, 2026 and 2025.

Previous wording

General. Net income for the three months ended June 30, 2026 totaled $5.9 million (or $0.90 per diluted common share) compared to net income of $5.0 million (or $0.77 per diluted common share) for the three months ended June 30, 2025. The increase in net income was primarily the result of an increase in net interest income, a decrease in provision for credit losses expense and an increase in noninterest income, partially offset by an increase in noninterest expense.

Current wording

General. Net income for the nine months ended September 30, 2026 totaled $17.0 million (or $2.59 per diluted common share) compared to net income of $11.8 million (or $1.81 per diluted common share) for the nine months ended September 30, 2025. The increase in net income was primarily the result of a $5.0 million decrease in provision for credit losses expense coupled with additional factors including an increase in net interest income and an increase in noninterest income, partially offset by an increase in noninterest expense.

Previous wording

Net interest income totaled $28.2 million for the six months ended June 30, 2026 and increased $1.3 million, or 4.7%, compared to net interest income of $26.9 million for the six months ended June 30, 2025. The increase was primarily due to a $2.6 million, or 8.2%, decrease in interest expense, partially offset by a $1.4 million, or 2.4%, decrease in interest income. The decrease in interest expense was attributed to a 38bps decrease in the average cost of funds on interest-bearing liabilities, partially offset by a $19.6 million, or 1.3%, increase in average interest-bearing liabilities outstanding. The decrease in interest income was primarily attributed to a 25bps decrease in the average yield on interest-earning assets, partially offset by a $38.5 million, or 2.0%, increase in average interest-earning assets outstanding. The net interest margin of 2.81% for the six months ended June 30, 2026 increased 7bps compared to the net interest margin of 2.74% for the six months ended June 30, 2025.

Current wording

Net interest income totaled $43.1 million for the nine months ended September 30, 2026 and increased $2.4 million, or 5.9%, compared to net interest income of $40.7 million for the nine months ended September 30, 2025. The increase was primarily due to a $4.0 million, or 8.3%, decrease in interest expense, partially offset by a $1.6 million, or 1.8%, decrease in interest income. The decrease in interest expense was attributed to a 47bps decrease in the average cost of funds on interest-bearing liabilities, partially offset by a $54.9 million, or 3.5%, increase in average interest-bearing liabilities outstanding. The decrease in interest income was primarily attributed to a 20bps decrease in the average yield on interest-earning assets, partially offset by a $31.4 million, or 1.6%, increase in average interest-earning assets outstanding. The net interest margin of 2.86% for the nine months ended September 30, 2026 increased 12bps compared to the net interest margin of 2.74% for the nine months ended September 30, 2025.

Previous wording

Interest income totaled $58.2 million for the six months ended June 30, 2026, and decreased $1.4 million, or 2.4%, compared to $59.6 million for the six months ended June 30, 2025. The decrease in interest income was primarily attributed to an 82bps decrease in the average rate of other earning assets, which consist of interest-bearing cash balances in other financial institutions, partially offset by a $34.8 million, or 18.1%, increase in average other earning asset balances.

Current wording

Interest income totaled $88.3 million for the nine months ended September 30, 2026, and decreased $1.6 million, or 1.8%, compared to $89.9 million for the nine months ended September 30, 2025. The decrease in interest income was primarily attributed to a 78bps decrease in the average rate of other earning assets, which consist of interest-bearing cash balances in other financial institutions, partially offset by a $3.6 million, or 1.7%, increase in average other earning asset balances.

Previous wording

Provision for credit losses. There was $1.5 million in provision for credit losses expense for the six months ended June 30, 2026, which reflected a decrease of $461,000, compared to a $2.0 million provision for the six months ended June 30, 2025. The decrease was primarily the result of a $407,000 decline in the provision for credit losses on unfunded commitments. The decline in the provision for credit losses on unfunded commitments was driven by a $59.7 million decline in unfunded commitments in construction loan categories during the six months ended June 30, 2026 compared to a $24.5 million decline in those categories during the six months ended June 30, 2025. Net recoveries for the six months ended June 30, 2026 totaled $90,000 compared to net charge-offs of $74,000 for the six months ended June 30, 2025.

Current wording

Provision for credit losses. There was $2.1 million in provision for credit losses expense for the nine months ended September 30, 2026, which reflected a decrease of $5.0 million, compared to a $7.1 million provision for the nine months ended September 30, 2025. The decrease was primarily due to a full charge-off of a non-customer loan during the third quarter of 2025, which resulted in a $3.7 million increase to provision expense. Net charge-offs for the nine months ended September 30, 2026 totaled $876,000 compared to net charge-offs of $7.2 million for the nine months ended September 30, 2025.

Previous wording

The following table presents information regarding net charge-offs (recoveries) for the six months ended June 30, 2026 and 2025:

Current wording

The following table presents information regarding net charge-offs (recoveries) for the nine months ended September 30, 2026 and 2025:

Previous wording

Noninterest income. Noninterest income for the six months ended June 30, 2026 totaled $3.2 million and increased $402,000, or 14.4%, compared to $2.8 million for the six months ended June 30, 2025. The increase was primarily due to a $368,000 increase in service charges on deposit accounts, which was driven by pricing increases implemented in the fourth quarter of 2025.

Current wording

Noninterest income. Noninterest income for the nine months ended September 30, 2026 totaled $4.9 million and increased $443,000, or 9.8%, compared to $4.5 million for the nine months ended September 30, 2025. The increase was primarily due to a $660,000 increase in service charges on deposit accounts, which was driven by pricing increases implemented in the fourth quarter of 2025.

Previous wording

Noninterest expense. Noninterest expense for the six months ended June 30, 2026 totaled $16.6 million and increased $941,000, or 6.0%, compared to $15.7 million for the six months ended June 30, 2025. The increase in noninterest expense was primarily due to a $516,000 increase in salaries and employee benefits and a $335,000 increase in advertising and marketing expense. The increase in salaries and employee benefits was primarily driven by higher payroll and related tax expense from the expansion of our commercial banking regional teams throughout our footprint, coupled with higher stock-based compensation expense. The increase in advertising and marketing expense was predominantly due to some additional marketing campaigns during the first quarter of 2026.

Current wording

Noninterest expense. Noninterest expense for the nine months ended September 30, 2026 totaled $25.4 million and increased $2.0 million, or 8.4%, compared to $23.4 million for the nine months ended September 30, 2025. The increase in noninterest expense was primarily due to a $1.3 million increase in salaries and employee benefits. The increase in salaries and employee benefits was primarily driven by higher payroll and related tax expense from the expansion of our commercial banking regional teams throughout our footprint, coupled with higher stock-based compensation expense.

Previous wording

Income tax expense. Income tax expense was $2.2 million for the six months ended June 30, 2026, a decrease of $295,000, or 11.7%, compared to $2.5 million for the six months ended June 30, 2025. The effective tax rate for the six months ended June 30, 2026 was approximately 16.9%, as compared to approximately 21% for the six months ended June 30, 2025. The decline in the effective tax rate for the six months ended June 30, 2026 was driven by the impact of low-income housing and historic tax credit investments.

Current wording

Income tax expense. Income tax expense was $3.6 million for the nine months ended September 30, 2026, an increase of $692,000, or 24.0%, compared to $2.9 million for the nine months ended September 30, 2025. The effective tax rate for the nine months ended September 30, 2026 was approximately 17.4%, as compared to approximately 19.7% for the nine months ended September 30, 2025. The decline in the effective tax rate for the nine months ended September 30, 2026 was driven by a reduction in the impact of our low-income housing and historic tax credit investments.

Previous wording

We believe there have been no significant changes during the six months ended June 30, 2026 to the items that we disclosed as our critical accounting policies and estimates in Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025.

Current wording

We believe there have been no significant changes during the nine months ended September 30, 2026 to the items that we disclosed as our critical accounting policies and estimates in Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the year ended December 31, 2025.

Previous wording

Cash, unpledged securities and deposits in other financial institutions decreased $6.1 million, or 2.3%, to $267.2 million at June 30, 2026, compared to $273.3 million at December 31, 2025.

Current wording

Cash, unpledged securities and deposits in other financial institutions decreased $11.2 million, or 4.1%, to $262.2 million at September 30, 2026, compared to $273.3 million at December 31, 2025.

Previous wording

CFBank’s additional borrowing capacity with the FHLB decreased $6.6 million, or 3.6%, to $177.8 million at June 30, 2026, compared to $184.4 million at December 31, 2025.

Current wording

CFBank’s additional borrowing capacity with the FHLB increased $3.6 million, or 2.0%, to $188.0 million at September 30, 2026, compared to $184.4 million at December 31, 2025.

Previous wording

CFBank’s additional borrowing capacity at the FRB increased $21.5 million, or 17.6%, to $143.9 million at June 30, 2026 from $122.4 million at December 31, 2025. CFBank is eligible to participate in the FRB’s primary credit program, providing CFBank access to short-term funds at any time, for any reason, based on the collateral pledged.

Current wording

CFBank’s additional borrowing capacity at the FRB increased $58.4 million, or 47.8%, to $180.8 million at September 30, 2026 from $122.4 million at December 31, 2025. CFBank is eligible to participate in the FRB’s primary credit program, providing CFBank access to short-term funds at any time, for any reason, based on the collateral pledged.

Previous wording

Currently, annual debt service on the subordinated debentures underlying the Company’s trust preferred securities is approximately $355,000. The rate of interest on the subordinated debentures resets quarterly to the three-month Secured Overnight Financing Rate (SOFR) plus 3.112%, which was 6.84% at June 30, 2026.

Current wording

Currently, annual debt service on the subordinated debentures underlying the Company’s trust preferred securities is approximately $370,000. The rate of interest on the subordinated debentures resets quarterly to the three-month Secured Overnight Financing Rate (SOFR) plus 3.112%, which was 7.19% at September 30, 2026.

Previous wording

Currently, the annual debt service on the Company’s $10 million of fixed-to-floating rate subordinated notes is approximately $815,000. The subordinated notes initially bore a fixed rate of 7.00% until December 2023, and now the interest rate resets quarterly to a rate equal to the current three-month SOFR plus 4.402%, which was 8.13% at June 30, 2026.

Current wording

Currently, the annual debt service on the Company’s $10 million of fixed-to-floating rate subordinated notes is approximately $848,000. The subordinated notes initially bore a fixed rate of 7.00% until December 2023, and now the interest rate resets quarterly to a rate equal to the current three-month SOFR plus 4.402%, which was 8.48% at September 30, 2026.