SAN FRANCISCO, CA / ACCESS Newswire / July 30, 2026 / Bank of San Francisco (“Bank”) (OTCQX:BSFO) today reported unaudited net income of $1.7 million, or $0.76 per diluted share for the three months ended June 30, 2026, compared to $2.0 million, or $0.94 per diluted share for the three months ended March 31, 2026, and $1.6 million, or $0.77 per diluted share for the three months ended June 30, 2025. For the six months ended June 30, 2026, the Bank reported net income of $3.7 million, or $1.70 per diluted share, compared to $2.7 million, or $1.28 per diluted share, for the six months ended June 30, 2025.
“We are pleased to report our sixth consecutive quarter of growth, reflecting ongoing demand for our personalized banking services and steady execution by our team. Momentum accelerated in the second quarter, resulting in year-to-date annualized growth of 23% in loans and 32% in deposits. Most notably, year-to-date net income increased by $939,000, or 34%, compared to the same period last year,” said William Keller, Chief Executive Officer. “While a plan to add duration to our liabilities and a seasonal shift in one of our deposit niches resulted in a modest contraction in our net interest margin, the increase in earning assets, especially loans that ended the quarter over $51 million above the year-to-date average, positions us well for increased earnings in the quarters ahead.”
“Our long-term strategy remains centered on disciplined growth. We continue to invest in the people, technology, and client-facing capabilities needed to support future expansion while strengthening our franchise across the Bay Area. The early success of our newest branch, which is already performing above our initial expectations, demonstrates the effectiveness of these investments and the strength of client demand in our markets. While we continue to invest in future growth, we remain committed to prudent expense management, safety and operational discipline, balancing strategic investments with sustainable profitability and long-term shareholder value,” said Bill Ward, President and Chief Operating Officer.
Financial Highlights
Total assets were $863.6 million at June 30, 2026, an increase of $96.0 million, or 13% from March 31, 2026, and an increase of $191.6 million, or 29% from June 30, 2025.
Total deposits were $740.7 million at June 30, 2026, an increase of $70.7 million, or 11% from March 31, 2026, and $158.5 million, or 27% from June 30, 2025.
Non-interest-bearing demand deposits were $243.6 million at June 30, 2026, a decrease of $32.7 million, or 12% from March 31, 2026, and an increase of $14.6 million, or 6% from June 30, 2025. Non-interest-bearing deposits accounted for 32.89% of total deposits at June 30, 2026, compared to 41.25% at March 31, 2026 and 39.34% at June 30, 2025.
Interest-bearing deposits were $497.1 million at June 30, 2026, an increase of $103.4 million, or 26% from March 31, 2026, and $143.9 million, or 41% from June 30, 2025. The total cost of deposits for the quarter ended June 30, 2026, was 1.39%, an increase of 0.24% from the quarter ended March 31, 2026, and an increase of 0.09% from the quarter ended June 30, 2025.
Total loans were $695.8 million at June 30, 2026, an increase of $58.8 million, or 9% from March 31, 2026, and an increase of $144.9 million, or 26% from June 30, 2025. Unused commitments in the current quarter increased $11.8 million from March 31, 2026 with new line originations during the quarter. The allowance for credit losses increased by $550,000 from outstanding loan balances and $130,000 related to the reserve for unfunded commitments for the quarter ended June 30, 2026.
At June 30, 2026, non-performing loans represented 0.07% of total assets, compared to 0.08% at March 31, 2026, and 0.17% at June 30, 2025. Credit quality remains strong as one loan representing 87% of the increase in 30-day past due loans returned to current status.
Net interest income for the quarter ended June 30, 2026, totaled $8.3 million, an increase of $76,000, or 1% from the quarter ended March 31, 2026, and an increase of $1.3 million, or 19% from the quarter ended June 30, 2025. Net interest income for the six months ended June 30, 2026, totaled $16.5 million, an increase of $3.2 million, or 24% from the six months ended June 30, 2025.
Net interest margin (NIM) for the quarter ended June 30, 2026, was 4.30%, compared to 4.47% for the quarter ended March 31, 2026, and 4.28% for the quarter ended June 30, 2025. NIM for the six months ended June 30, 2026, was 4.38%, compared to 4.12% for the six months ended June 30, 2025.
Non-interest expenses for the quarter ended June 30, 2026, totaled $5.5 million, an increase of $172,000, or 3% from the quarter ended March 31, 2026, and an increase of $1.0 million, or 23% from the quarter ended June 30, 2025. Non-interest expenses for the six months ended June 30, 2026, totaled $10.7 million, an increase of $1.7 million, or 19% from the six months ended June 30, 2025.
Net income for the quarter ended June 30, 2026, totaled $1.7 million, a decrease of $357,000, or 18% from the quarter ended March 31, 2026, and an increase of $23,000, or 1% from the quarter ended June 30, 2025. Net income for the six months ended June 30, 2026, totaled $3.7 million, an increase of $939,000, or 34% from the six months ended June 30, 2025.
Pre-tax, pre-provision income for the quarter ended June 30, 2026, totaled $2.9 million, a decrease of $122,000, or 4% from the quarter ended March 31, 2026, and an increase of $330,000, or 13% from the quarter ended June 30, 2025. Pre-tax, pre-provision income for the six months ended June 30, 2026, totaled $6.0 million, an increase of $1.5 million, or 34% from the six months ended June 30, 2025.
Total shareholders’ equity was $86.9 million at June 30, 2026, an increase of $1.7 million, or 2% from March 31, 2026, and an increase of $8.3 million, or 11% from June 30, 2025.
Book value per share was $39.21 at June 30, 2026, an increase of $0.27, or 1% from March 31, 2026, and an increase of $2.88, or 8% from June 30, 2025.
The Bank remained well-capitalized, with all capital ratios exceeding regulatory requirements, including a Tier 1 Leverage Ratio of 10.92%, Tier 1 Risk-Based Capital and Common Equity Tier 1 Ratios of 14.36%, and a Total Risk-Based Capital Ratio of 15.61%.
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Non-GAAP Financial Measure
To supplement our financial statements, which are prepared and presented in accordance with GAAP, we use pre-tax, pre-provision income as a non-GAAP financial measure. Our non-GAAP financial measure does have limitations as analytical tools, and you should not consider pre-tax, pre-provision income in isolation or as a substitute for an analysis of our results under GAAP.
We believe these non-GAAP financial measures provide management and investors with additional information about the financial performance of our business and enable comparison of financial results between periods where certain items may vary independently of business performance. We believe pre-tax, pre-provision income is an important measure because it reflects the financial performance of our business operations. Pre-tax, pre-provision income is a non-GAAP financial measure calculated by adding back the provision for credit losses and income tax expense to net income.
About Bank of San Francisco
Bank of San Francisco is an independent commercial and private bank built on personal relationships. Founded and headquartered in San Francisco since 2005, the Bank serves individuals, families, businesses, and nonprofits that value direct access to experienced bankers and a single point of contact across their financial lives.
With deep community roots and a broad reach, Bank of San Francisco delivers high-touch service and quick decisions, supporting clients wherever life and business take them. Growth is fueled by referrals and the long-term loyalty of clients, colleagues, and community partners. Bank of San Francisco is a member of the FDIC and is an Equal Housing Lender. NMLS ID: 403437. Learn more at www.bankbsf.com.
Forward-Looking Statements
This press release contains certain forward-looking statements that involve risks and uncertainties, including statements relating to new products and anticipated growth. Forward-looking statements are those that are not statements of historical fact and may be identifiable by use of the words “believe,” “expect,” “intend,” “anticipate,” “plan,” “estimate,” “project,” or similar expressions. These statements are based on current expectations, estimates and projections about Bank of San Francisco’s business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties may affect the operations, performance, development, growth, capital needs and results of operations of Bank of San Francisco, and include, but are not limited to, local and national economic conditions; interest rate changes; inflation and monetary policy; changes in the financial performance and/or condition of our loan and deposit clients; changes in the levels of performing and nonperforming assets and charge-offs; timely implementation by Bank of San Francisco of new products and technology enhancements; the impact of competitive products, services and pricing; acts of war, terrorism or civil unrest; the soundness or failure of other financial institutions that may directly or indirectly affect the Bank; potential deposit withdrawals triggered by client concerns following the failures of or risks at other depository institutions; the effect of the COVID-19 pandemic and other infectious illness outbreaks that may arise in the future; natural disasters, such as earthquakes; clients’ requirements and preferences; federal, state and local legislation and regulatory developments; the ability to retain or increase market share, retain or grow client relationships and control expenses; changes in regulatory or generally accepted accounting principles and other similar matters. Readers are cautioned not to place undue reliance on forward-looking statements, which are subject to influence by the foregoing risk factors and unanticipated future events. Actual results, accordingly, may differ materially from management’s expectations. Bank of San Francisco undertakes no obligation to update such forward-looking statements except as required by law.
Bank of San Francisco
Balance Sheets (Unaudited)
($000, except share and per share amounts)
For the Periods Ended
Year Over Year Change
6/30/2026
3/31/2026
12/31/2025
9/30/2025
6/30/2025
$
%
Assets
Cash and due from banks
$
5,502
$
7,129
$
10,899
$
6,604
$
8,754
$
(3,252
)
-37
%
Interest bearing deposits in banks
118,488
84,997
60,827
74,188
78,541
39,947
51
%
Total cash and cash equivalents
123,990
92,126
71,726
80,792
87,295
36,695
42
%
Securities available-for-sale, at fair value
30,043
25,887
26,025
25,038
21,859
8,184
37
%
Loans, net of deferred costs/fees
695,805
637,010
623,030
581,443
550,910
144,895
26
%
Allowance for credit losses
(8,299
)
(7,749
)
(7,659
)
(7,518
)
(7,258
)
(1,041
)
14
%
Loans, net of allowance for credit losses
687,506
629,261
615,371
573,925
543,652
143,854
26
%
Premises and equipment, net
2,935
3,036
2,590
1,632
1,501
1,434
96
%
Accrued interest receivable & other assets
19,078
17,200
17,342
17,021
17,608
1,470
8
%
Total Assets
$
863,552
$
767,510
$
733,054
$
698,408
$
671,915
$
191,637
29
%
Liabilities & Shareholders’ Equity
Non-interest bearing deposits
$
243,621
$
276,352
$
265,492
$
238,330
$
229,036
$
14,585
6
%
Interest bearing deposits
497,078
393,651
372,073
367,669
353,188
143,890
41
%
Total deposits
740,699
670,003
637,565
605,999
582,224
158,475
27
%
FHLB advances
24,000
–
–
–
–
24,000
n/m
Accrued interest payable and other liabilities
11,990
12,389
12,432
11,795
11,171
819
7
%
Total Liabilities
776,689
682,392
649,997
617,794
593,395
183,294
31
%
Common stock
29,869
29,614
29,490
29,261
29,075
794
3
%
Retained earnings
57,191
55,534
53,521
51,309
49,475
7,716
16
%
Accumulated other comprehensive (loss) income
(197
)
(30
)
46
44
(30
)
(167
)
557
%
Total Shareholders’ Equity
86,863
85,118
83,057
80,614
78,520
8,343
11
%
Total Liabilities & Shareholders’ Equity
$
863,552
$
767,510
$
733,054
$
698,408
$
671,915
$
191,637
29
%
Book Value per Common Share
$
39.21
$
38.94
$
37.94
$
37.17
$
36.33
$
2.88
8
%
Total Common Shares Outstanding
2,215,113
2,185,966
2,188,985
2,168,841
2,161,024
54,089
3
%
Capital Ratios
Tier 1 Leverage ratio
10.92
%
11.27
%
11.16
%
11.54
%
11.83
%
-0.91
%
-8
%
Tier 1 RBC ratio
14.36
%
15.59
%
16.14
%
17.08
%
17.68
%
-3.32
%
-19
%
Common Equity Tier 1 RBC ratio
14.36
%
15.59
%
16.14
%
17.08
%
17.68
%
-3.32
%
-19
%
Total Risk-Based Capital (RBC) ratio
15.61
%
16.84
%
17.39
%
18.34
%
18.93
%
-3.32
%
-18
%
Other Ratios
Non-interest bearing to Total Deposits
32.89
%
41.25
%
41.64
%
39.33
%
39.34
%
-6.45
%
-16
%
Loan to Deposit ratio
93.94
%
95.08
%
97.72
%
95.95
%
94.62
%
-0.68
%
-1
%
Loan to Funding ratio
90.99
%
95.08
%
97.72
%
95.95
%
94.62
%
-3.63
%
-4
%
Allowance for Credit Losses to Total Loans
1.19
%
1.22
%
1.23
%
1.29
%
1.32
%
-0.13
%
-10
%
ACL to Nonperforming Loans
1319.08
%
1190.05
%
1099.23
%
868.68
%
642.31
%
676.77
%
105
%
Nonperforming Assets to Total Assets
0.07
%
0.08
%
0.09
%
0.12
%
0.17
%
-0.10
%
-59
%
n/m – Not meaningful
Bank of San Francisco
Statement of Income (Unaudited)
($000, except share and per share amounts)
Three Months Ended
Year Over Year Change
6/30/2026
3/31/2026
12/31/2025
9/30/2025
6/30/2025
$
%
Interest Income
Interest on loans, including fees
$
9,632
$
8,874
$
8,904
$
8,048
$
7,596
$
2,036
27
%
Interest on deposits in banks
771
751
968
1,021
928
(157
)
-17
%
Interest on investment securities
331
246
247
208
210
121
58
%
Other interest income
43
181
79
77
72
(29
)
-40
%
Total interest income
10,777
10,052
10,198
9,354
8,806
1,971
22
%
Interest Expense
Deposits interest expense
2,385
1,858
2,054
1,936
1,868
517
28
%
Other interest expense
122
–
–
–
–
122
n/m
Total interest expense
2,507
1,858
2,054
1,936
1,868
639
34
%
Net interest income
8,270
8,194
8,144
7,418
6,938
1,332
19
%
Provision for credit losses
680
200
300
330
290
390
134
%
Net interest income after provision
7,590
7,994
7,844
7,088
6,648
942
14
%
Non-Interest Income
Service charges on deposits
99
103
129
111
108
(9
)
-8
%
Other non-interest income
27
49
80
15
(5
)
32
-640
%
Total non-interest income
126
152
209
126
103
23
22
%
Non-Interest Expense
Salaries and employee benefits expense
3,439
3,345
3,258
2,720
2,885
554
19
%
Occupancy
437
402
372
366
336
101
30
%
Information Technology and Equipment
428
391
342
340
324
104
32
%
Other operating expense
1,146
1,140
1,087
1,181
880
266
30
%
Total non-interest expense
5,450
5,278
5,059
4,607
4,425
1,025
23
%
Income before income taxes
2,266
2,868
2,994
2,607
2,326
(60
)
-3
%
Income tax expense
609
854
783
772
692
(83
)
-12
%
Net income
$
1,657
$
2,014
$
2,211
$
1,835
$
1,634
$
23
1
%
Basic Earnings per Share
$
0.78
$
0.95
$
1.05
$
0.87
$
0.78
$
–
0
%
Average Shares Outstanding
2,131,354
2,117,290
2,109,522
2,108,663
2,097,194
34,160
2
%
Diluted Earnings per Share
$
0.76
$
0.94
$
1.03
$
0.86
$
0.77
$
(0.01
)
-1
%
Average Shares Outstanding
2,170,340
2,132,083
2,136,558
2,134,102
2,124,402
45,938
2
%
Annualized Performance Ratios
Return on Average Assets
0.85
%
1.07
%
1.19
%
1.05
%
0.98
%
-0.13
%
-13
%
Return on Average Common Equity
7.71
%
9.58
%
10.81
%
9.22
%
8.32
%
-0.61
%
-7
%
Net Interest Margin
4.30
%
4.47
%
4.44
%
4.33
%
4.28
%
0.02
%
0
%
Cost of Deposits
1.39
%
1.15
%
1.26
%
1.27
%
1.30
%
0.09
%
7
%
Cost of Funds
1.44
%
1.15
%
1.26
%
1.27
%
1.30
%
0.14
%
11
%
Efficiency Ratio
64.91
%
63.24
%
60.57
%
61.07
%
62.85
%
2.06
%
3
%
Reconciliation of GAAP to Non-GAAP Financial Measures
Net income
$
1,657
$
2,014
$
2,211
$
1,835
$
1,634
$
23
1
%
Provision for credit losses
680
200
300
330
290
390
134
%
Income tax expense
609
854
783
772
692
(83
)
-12
%
Pre-tax, pre-provision income
$
2,946
$
3,068
$
3,294
$
2,937
$
2,616
$
330
13
%
n/m – Not meaningful
Bank of San Francisco
Statement of Income (Unaudited)
($000, except share and per share amounts)
Six Months Ended
Year Over Year Change
6/30/2026
6/30/2025
$
%
Interest Income
Interest on loans, including fees
$
18,506
$
14,667
$
3,839
26
%
Interest on deposits in banks
1,522
1,605
(83
)
-5
%
Interest on investment securities
577
431
146
34
%
Other interest income
224
146
78
53
%
Total interest income
20,829
16,849
3,980
24
%
Interest Expense
Deposits interest expense
4,243
3,587
656
18
%
Other interest expense
122
–
122
n/m
Total interest expense
4,365
3,587
778
22
%
Net interest income
16,464
13,262
3,202
24
%
Provision for credit losses
880
590
290
49
%
Net interest income after provision
15,584
12,672
2,912
23
%
Non-Interest Income
Service charges on deposits
202
210
(8
)
-4
%
Other non-interest income
76
56
20
36
%
Total non-interest income
278
266
12
5
%
Non-Interest Expense
Salaries and employee benefits expense
6,784
5,918
866
15
%
Occupancy
839
627
212
34
%
Information Technology and Equipment
819
639
180
28
%
Other operating expense
2,286
1,864
422
23
%
Total non-interest expense
10,728
9,048
1,680
19
%
Income before income taxes
5,134
3,890
1,244
32
%
Income tax expense
1,463
1,158
305
26
%
Net income
$
3,671
$
2,732
$
939
34
%
Basic Earnings per Share
$
1.73
$
1.30
$
0.43
33
%
Average Shares Outstanding
2,124,335
2,097,194
27,141
1
%
Diluted Earnings per Share
$
1.70
$
1.28
$
0.42
33
%
Average Shares Outstanding
2,157,492
2,132,030
25,462
1
%
Annualized Performance Ratios
Return on Average Assets
0.95
%
0.82
%
0.13
%
16
%
Return on Average Common Equity
8.65
%
7.04
%
1.61
%
23
%
Net Interest Margin
4.38
%
4.12
%
0.26
%
6
%
Cost of Deposits
1.27
%
1.30
%
-0.03
%
-2
%
Cost of Funds
1.30
%
1.30
%
0.00
%
0
%
Efficiency Ratio
64.08
%
66.88
%
-2.80
%
-4
%
Reconciliation of GAAP to Non-GAAP Financial Measures
Net income
$
3,671
$
2,732
$
939
34
%
Provision for credit losses
880
590
290
49
%
Income tax expense
1,463
1,158
305
26
%
Pre-tax, pre-provision income
$
6,014
$
4,480
$
1,534
34
%
n/m – Not meaningful
MEDIA CONTACT:
Leslie Katter
media@bankbsf.com
SOURCE: Bank of San Francisco
View the original press release on ACCESS Newswire