{"url_path":"/sec/smbc/10-k/2026/item-1","section_key":"item-1","section_title":"Item 1 ​ ​Description of Business","topic":"sec","document":{"doc_type":"10-K","doc_date":"2026-09-11","source_url":"https://www.sec.gov/Archives/edgar/data/916907/0001104659-26-107119-index.html","accession_number":"0001104659-26-107119","cik":"0000916907","ticker":"SMBC","issuer_name":"SOUTHERN MISSOURI BANCORP, INC.","edgar_url":"https://www.sec.gov/Archives/edgar/data/916907/0001104659-26-107119-index.html","primary_entity_key":"0000916907","primary_entity_name":"SOUTHERN MISSOURI BANCORP, INC."},"word_count":24671,"has_tables":true,"body_markdown":"Item 1.​ ​Description of Business\n\nThe disclosures set forth in this Item 1. are qualified by Item 1A. Risk Factors and the section captioned “Forward Looking Statements” in this section and other cautionary statements set forth elsewhere in this report.\n\nGeneral\n\nSouthern Missouri Bancorp, Inc. (\"Company\") is a bank holding company and the parent company of Southern Bank (“Bank”). The Company changed its state of incorporation to Missouri on April 1, 1999, after originally incorporating in Delaware on December 30, 1993, for the purpose of becoming the holding company for the Bank, which was known as Southern Missouri Savings Bank upon completion of its conversion from a state chartered mutual savings and loan association to a state chartered stock savings bank. The Company’s common stock is quoted on the NASDAQ Global Market under the symbol \"SMBC\".\n\nThe Bank was originally chartered by the state of Missouri as a mutual savings and loan association in 1887. On June 4, 2004, Southern Missouri Bank & Trust Co. converted from a Missouri chartered stock savings bank to a Missouri chartered trust company with banking powers (\"Charter Conversion\"). On June 1, 2009, the institution changed its name to Southern Bank.\n\nThe primary regulator of the Bank is the Missouri Division of Finance. The Bank is a member of the Federal Reserve, and the Board of Governors of the Federal Reserve System (\"Federal Reserve Board\" or \"FRB\") is the Bank’s primary federal regulator. The Bank’s deposits continue to be insured up to applicable limits by the Deposit Insurance Fund (\"DIF\") of the Federal Deposit Insurance Corporation (\"FDIC\"). With the Bank’s conversion to a trust company with banking powers, the Company became a bank holding company regulated by the FRB.\n\nThe principal business of the Bank consists of attracting retail deposits from the general public and using such deposits along with wholesale funding from the Federal Home Loan Bank of Des Moines, (\"FHLB\"), and brokered deposits, to invest in one- to four-family residential mortgage loans, mortgage loans secured by commercial real estate, commercial non-mortgage business loans, construction loans, and consumer loans. These funds are also used to purchase mortgage-backed and related securities (\"MBS\"), municipal bonds, and other permissible investments.\n\nAt June 30, 2026, the Company had total assets of $5.2 billion, total deposits of $4.4 billion and stockholders’ equity of $590.7 million. The Company has not engaged in any significant activity other than holding the stock of the Bank. Accordingly, the information set forth in this report, including financial statements and related data, relates primarily to the Bank. The Company’s revenues are derived principally from interest earned on loans and investment securities, and, to a lesser extent, banking service charges, bank card interchange fees, gains on sales of loans and loan servicing income, wealth management fees, increases in the cash surrender value of bank owned life insurance, and other fee income.\n\n**Acquisitions During The Last Ten Years**\n\nOn January 20, 2023, the Company completed its acquisition of Citizens Bancshares, Co. (“Citizens”), the parent company of Citizens Bank & Trust Company (“Citizens Bank”). At closing, before purchase accounting adjustments, Citizens held total assets of $985.7 million, loans, net, of $456.0 million, and deposits of $851.0 million. The acquisition resulted in goodwill of $23.5 million, which was attributable to synergies and economies of scale expected to result from combining the operations of the Bank and Citizens Bank. Goodwill from this transaction was recorded at the Company level, and was not deductible for tax purposes.\n\nOn February 25, 2022, the Company completed its acquisition of Fortune Financial, Inc. (“Fortune”), the parent company of FortuneBank (“FB”) in a stock and cash transaction. At closing, before purchase accounting adjustments, Fortune held total assets of $253.0 million, loans, net, of $202.1 million, and deposits of $218.3 million. The acquisition resulted in goodwill of $12.8 million, which was attributable to synergies and economies of scale expected to result from\n\n3\n\n[Table of Contents](#TOC)\n\ncombining the operations of the Bank and FB. Goodwill from this transaction was recorded at the Company level, and was not deductible for tax purposes.\n\nOn December 15, 2021, the Company completed its acquisition of the Cairo, Illinois, branch (“Cairo”) of First National Bank, Oldham, South Dakota. The deal resulted in Southern Bank relocating its facility from its prior location in Cairo to the First National Bank location in Cairo. The Company views the acquisition and updates to the new facility as an expression of its continuing commitment to the Cairo community. The acquisition resulted in goodwill of $442,000, which was recorded at the Bank level, and was not deductible for tax purposes.\n\nOn May 22, 2020, the Company completed its acquisition of Central Federal Bancshares, Inc. (“Central”) and its wholly owned subsidiary, Central Federal Savings & Loan Association of Rolla (“Central Federal”), in an all-cash transaction. At closing, Central held total assets of $70.6 million, loans, net, of $51.4 million, and deposits of $46.7 million. The acquisition resulted in a bargain purchase gain of $123,000, while none of the purchase price was allocated to goodwill.\n\nOn November 21, 2018, the Company completed its acquisition of Gideon Bancshares Company (“Gideon”) and its wholly owned subsidiary, First Commercial Bank (“First Commercial”), in a stock and cash transaction. At closing, Gideon held total assets of $217 million, loans, net, of $144 million, and deposits of $171 million. The acquisition resulted in goodwill of $1.0 million, which was attributable to synergies and economies of scale expected to result from combining the operations of the Bank and First Commercial. Goodwill from this transaction was recorded at the Bank level, and was not deductible for tax purposes.\n\nOn February 23, 2018, the Company completed its acquisition of Southern Missouri Bancshares, Inc. (“Bancshares”), and its wholly owned subsidiary, Southern Missouri Bank of Marshfield (“SMB-Marshfield”), in a stock and cash transaction. SMB-Marshfield was merged into the Bank at acquisition. At closing, Bancshares held total assets of $86.2 million, loans, net, of $68.3 million, and deposits of $68.2 million. The acquisition resulted in goodwill of $4.4 million, which was attributable to synergies and economies of scale expected to result from combining the operations of the Bank and SMB-Marshfield. Goodwill from this transaction was recorded at the Company level, and was not deductible for tax purposes.\n\nOn June 16, 2017, the Company completed its acquisition of Tammcorp, Inc. (Tammcorp), and its subsidiary, Capaha Bank (Capaha), Tamms, Illinois, in a stock and cash transaction. Capaha was merged into the Bank at acquisition. At closing, Tammcorp held total assets of $187 million, loans, net, of $153 million, and deposits of $167 million. A Tammcorp note payable of $3.7 million was contractually required to be repaid in conjunction with the acquisition. The acquisition resulted in goodwill of $4.1 million, which was attributable to synergies and economies of scale expected to result from combining the operations of the Bank and Capaha. Goodwill from this transaction was recorded at the Company level, and was not deductible for tax purposes.\n\nThe Company completed each of the above whole bank acquisitions primarily for the purpose of expanding its commercial banking activities where it believes the Company’s business model will perform well and for the long-term value of its core deposit franchise.\n\nCapital Raising Transactions During the Last Ten Years\n\nOn June 20, 2017, the Company completed an at-the-market common stock issuance. A total of 794,762 shares of the Company’s common stock were sold at a weighted-average price of approximately $31.46 per share, representing gross proceeds to the Company of approximately $25.0 million. The proceeds from the transaction have been used for general corporate purposes, including working capital to support organic growth at Southern Bank, and to support acquisitions to the extent available.\n\n​\n\n4\n\n[Table of Contents](#TOC)\n\n**Forward Looking Statements**\n\nThis document contains statements about the Company and its subsidiaries which we believe are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to our financial condition, results of operations, and may include, without limitation, statements with respect to anticipated future operating and financial performance, growth opportunities, interest rates, cost savings and funding advantages expected or anticipated to be realized by management. Words such as \"may,\" \"could,\" \"should,\" \"would,\" \"believe,\" \"anticipate,\" \"estimate,\" \"expect,\" \"intend,\" \"plan\" and similar expressions are intended to identify these forward-looking statements. Forward-looking statements by the Company and its management are based on beliefs, plans, objectives, goals, expectations, anticipations, estimates and intentions of management and are not guarantees of future performance. The important factors we discuss below, as well as other factors discussed under the caption \"Management’s Discussion and Analysis of Financial Condition and Results of Operations\" and identified in the filing and in our other filings with the SEC and those presented elsewhere by our management from time to time, could cause actual results to differ materially from those indicated by the forward-looking statements made in this document:\n\n●expected cost savings, synergies and other benefits from our merger and acquisition activities, including our recently completed acquisitions, might not be realized within the anticipated time frames, to the extent anticipated, or at all, and costs or difficulties relating to integration matters, including but not limited to customer and employee retention and labor shortages, might be greater than expected and goodwill impairment charges might be incurred;\n\n●potential adverse impacts to economic conditions both nationally and in our local market areas, other markets where the Company has lending relationships, or other aspects of the Company’s business operations or financial markets, including, without limitation, as a result of employment levels, labor shortages and the effects of inflation, a potential recession or slowed economic growth;\n\n●the strength of the United States economy in general and the strength of the local economies in which we conduct operations;\n\n●fluctuations in interest rates and inflation, including the effects of a potential recession whether caused by Federal Reserve actions or otherwise or slowed economic growth caused by changes in oil prices or supply chain disruptions;\n\n●the impact of monetary and fiscal policies of the Board of Governors of the Federal Reserve System (the “Federal Reserve Board”) and the U.S. Government and other governmental initiatives affecting the financial services industry;\n\n●potential imposition of new or increased tariffs or changes to existing trade policies that could affect economic activity or specific industry sectors;\n\n●the impact of bank failures or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment;\n\n●the risks of lending and investing activities, including changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for credit losses (ACL) on loans;\n\n●our ability to access cost-effective funding and maintain sufficient liquidity;\n\n●the timely development of and acceptance of our new products and services and the perceived overall value of these products and services by users, including the features, pricing and quality compared to competitors’ products and services;\n\n5\n\n[Table of Contents](#TOC)\n\n●fluctuations in real estate values and both residential and commercial real estate markets, as well as agricultural business conditions;\n\n●fluctuations in the demand for loans and deposits, including our ability to attract and retain deposits;\n\n●the impact of a federal government shutdown;\n\n●legislative or regulatory changes that adversely affect our business;\n\n●the effects of climate change, severe weather events, other natural disasters, war, terrorist activities or civil unrest and their effects on economic and business environments in which the Company operates;\n\n●changes in accounting principles, policies, or guidelines;\n\n●results of examinations of us by our regulators, including the impact on FDIC insurance premiums and the possibility that our regulators may, among other things, require an increase in our reserve for credit losses on loans or a write-down of assets;\n\n●the impact of technological changes and an inability to keep pace with the rate of technological advances;\n\n●the inability of key third party providers to perform their obligations to us;\n\n●cyber threats, such as phishing, ransomware, and insider attacks, can lead to financial loss, reputational damage, and regulatory penalties if sensitive customer data and critical infrastructure are not adequately protected;\n\n●our ability to retain key members of our management team; and\n\n●our success at managing the risks involved in the foregoing.\n\nAny forward-looking statements are based upon management’s beliefs and assumptions at the time they are made. The Company wishes to advise readers that the factors listed above and other risks described in this Annual Report on Form 10-K, including, without limitation, those described under Item 1A. “Risk Factors,” and other documents filed or furnished from time to time by the Company with the SEC (and are available on our website at investors.bankwithsouthern.com and on the SEC’s website at www.sec.gov) could affect the Company’s financial performance and cause the Company’s actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. We undertake no obligation to publicly update or revise any forward-looking statements or to update the reasons why actual results could differ from those contained in such statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking statements discussed might not occur, and you should not put undue reliance on any forward-looking statements.\n\nMarket Area\n\nThe Bank provides its customers with a full array of community banking services and conducts its business from its headquarters in Poplar Bluff, as well as 63 full service branch offices, two limited service branch offices, and three loan production offices, as of June 30, 2026. The branch offices are located in Poplar Bluff (three and headquarters), Van Buren, Dexter (two), Kennett, Doniphan, Sikeston, Qulin, Springfield (three), Thayer (two), West Plains (two), Alton, Clever, Forsyth, Fremont Hills, Kimberling City, Ozark, Nixa, Rogersville, Marshfield, Cape Girardeau (two), Jackson, Gideon, Chaffee, Benton, Advance, Bloomfield, Essex, Rolla, Arnold, Oakville, Sunset Hills, Kansas City (two), Kearney, Lee’s Summit, Macon, Maryville, Boonville, Brookfield, Chillicothe (two), Smithville, St. Joseph (two), and Trenton, Missouri; Jonesboro (two), Paragould, Batesville, Searcy, Bald Knob, Bradford, and Cabot, Arkansas; Anna, Cairo, and Tamms, Illinois; and Leawood, Kansas.\n\n6\n\n[Table of Contents](#TOC)\n\nFor purposes of management and oversight of its operations, the Bank has organized its facilities into five regional markets. The Bank’s east region includes 24 of its facilities, one of which is limited service, which are situated in Butler, Cape Girardeau, Carter, New Madrid, Ripley, Scott, and Stoddard counties in Missouri, and Alexander and Union counties in Illinois. These counties have a total population of approximately 245,000, and included within this market area is the Cape Girardeau MSA, which has a population of approximately 99,000. The Bank’s south region includes 13 of its facilities, one of which is limited service, which are situated in Dunklin, Howell, and Oregon counties in Missouri, and Craighead, Greene, Independence, Lonoke, and White counties in Arkansas. These counties have a total population of approximately 436,000, and included within this market area is the Jonesboro MSA, which has a population of approximately 139,000. The Cabot, Arkansas, branch in Lonoke County, is located in the northeast corner of the Little Rock MSA, which has a population of approximately 778,000. The Bank’s west region includes 12 of its facilities, which are situated in Christian, Greene, Phelps, Stone, Taney, and Webster counties in Missouri. These counties have a total population of approximately 584,000, and included within this market area is the Springfield MSA, which has a population of approximately 501,000. The Bank’s north region includes four of its facilities, which are situated in Jefferson and St. Louis counties, and the City of St. Louis. The counties and the city have a total population of approximately 1.5 million. The north region market area is within the St. Louis MSA, which has a population of approximately 2.8 million. The Bank’s northwest region includes 15 of its facilities, one of which is limited service, which are situated in Buchanan, Clay, Cooper, Grundy, Jackson, Linn, Livingston, Macon, Nodaway, and Platte counties in Missouri, and Johnson County in Kansas. These counties have a total population of approximately 1.9 million, and some counties in this market area are located within the Kansas City MSA, or the St. Joseph MSA, which has a combined population of approximately 2.4 million. Each of these markets may also serve other communities just outside the area described, but without a notable impact on the demographics of the market area.\n\nThe Bank’s east and south regions, and part of the northwest region, are generally rural in nature with economies supported by manufacturing activity, agriculture (livestock, dairy, poultry, rice, timber, soybeans, wheat, melons, corn, and cotton), healthcare, and education. Large employers include hospitals, manufacturers, school districts, and colleges. In the west region, the Bank’s operations are generally more concentrated in the Springfield, Missouri, MSA, and major employers include healthcare providers, educational institutions, federal, local, and state governments, retailers, transportation and distribution firms, and leisure, entertainment, and hospitality interests. In the north region, major employers include aviation and transportation, healthcare providers, medical research, educational institutions, retailers, manufacturers, energy/utilities, and hospitality. In the portion of the northwest region within the Kansas City MSA, major employers include healthcare providers, manufacturers, medical research, educational institutions, retailers, and hospitality. For purposes of the Bank’s lending policy, the Bank’s primary lending area is considered to be the counties where the Bank has a branch facility, and any contiguous county.\n\nCompetition\n\nThe Bank faces strong competition in attracting deposits (its primary source of lendable funds) and originating loans. The most recent market share data by the FDIC reflected that the Bank was one of 261 bank or saving association groups located in Missouri competing for approximately $268.9 billion in deposits at FDIC-insured institutions. The Bank’s market share was approximately 1.38% in the state of Missouri, where the majority of our deposits reside amongst the 54 locations in the state.\n\nCompetitors for deposits include commercial banks, credit unions, digital payment applications, money market funds, and other investment alternatives, such as mutual funds, full service and discount broker-dealers, equity markets, brokerage accounts and government securities. The Bank’s competition for loans comes principally from other financial institutions, mortgage banking companies, mortgage brokers and life insurance companies. The Bank expects competition to continue to increase in the future as a result of legislative, regulatory and technological changes within the financial services industry. Technological advances, for example, have lowered barriers to market entry, allowed banks to expand their geographic reach by providing services over the Internet and made it possible for non-depository institutions to offer products and services that traditionally have been provided by banks. The Gramm-Leach-Bliley Act, which permits affiliation among banks, securities firms and insurance companies, also has changed the competitive environment in which the Bank conducts business.\n\n7\n\n[Table of Contents](#TOC)\n\nLending Activities\n\nGeneral. The Bank’s lending activities consist of originating loans secured by mortgages on one- to four-family and multi-family residential real estate, commercial and agricultural real estate, construction loans on residential and commercial properties, commercial and agricultural business loans, and consumer loans. The Bank has also occasionally purchased loan participation interests originated by other lenders. At June 30, 2026, the Bank had purchased participation interests in 62 loans with balances outstanding totaling $147.1 million.\n\nSupervision of the loan portfolio is the responsibility of our Chief Lending Officer, Rick Windes, Chief Banking Officer, Justin Cox, and our Chief Credit Officer, Mark Hecker (our “Senior Lending and Credit Officers”). The Chief Lending Officer and Chief Banking Officer are responsible for oversight of loan production. The Chief Credit Officer is responsible for oversight of underwriting, loan policy, and administration. Loan officers have varying amounts of lending authority depending upon experience and types of loans. Loans beyond their authority are presented to the next level of authority, which may include one of five Regional Loan Committees, the Senior Loan Committee, the Bank’s Agricultural Loan Committee, a Senior Agricultural Loan Committee, an SBA Loan Committee, or a Bank Executive Loan Committee.\n\nThe Regional Loan Committees each consists of one director appointed by the Board of Directors and lenders selected by our Senior Lending and Credit Officers, and is authorized to approve lending relationships up to $4.0 million. The Senior Loan Committee consists of our Senior Lending and Credit Officers and lenders selected by them that have a higher level of lending experience. The Senior Loan Committee is authorized to approve lending relationships up to $10.0 million. The Bank’s Agricultural Loan Committee consists of several lending officers with agricultural lending experience selected by our Senior Lending and Credit Officers, and is authorized to approve agricultural lending relationships up to $4.0 million. The Senior Agricultural Loan Committee is authorized to approve agricultural lending relationships up to $10.0 million and consists of our Chief Credit Officer, as well as several senior lending officers with agricultural lending experience selected by our Senior Lending and Credit Officers. The Bank Executive Loan Committee consists of our Senior Lending and Credit Officers, plus our Chairman/CEO, and our President/Chief Administrative Officer, and is authorized to approve lending relationships up to $10.0 million.\n\nIn addition to the approval of the Senior Loan Committee or the Bank Executive Loan Committee, lending relationships in excess of $10.0 million require the approval of the Directors’ Loan Committee, which is comprised of all Bank directors. All loans are subject to ratification by the full Board of Directors.\n\nThe aggregate amount of loans that the Bank is permitted to make under applicable federal regulations to any one borrower, including related entities, or the aggregate amount that the Bank could have invested in any one real estate project, is based on the Bank’s capital levels. At June 30, 2026, the maximum amount which the Bank could lend to any one borrower and the borrower’s related entities was approximately $150.4 million. At June 30, 2026, the Bank’s ten largest credit relationships, as defined by loan to one borrower limitations, ranged from $26.5 million to $75.8 million, net of participation interests sold. As of June 30, 2026, the majority of these credits were multi-family real estate, commercial real estate, agriculture, or commercial business loans, and all of these relationships were performing in accordance with their terms.\n\n8\n\n[Table of Contents](#TOC)\n\nLoan Portfolio Analysis. The following table sets forth the composition of the Bank’s loan portfolio by type of loan and type of security as of the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n \n\n​\n\n​\n\n**2026**\n\n​\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n**2023**\n\n​\n\n**2022**\n\n \n\n​\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n \n\n​\n\n​\n\n(Dollars in thousands)\n\n \n\nType of Loan:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nMortgage Loans:\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\nOne- to four-family residential\n\n​\n\n$\n\n1,085,512\n\n \n\n25.03\n\n%  \n\n$\n\n992,445\n\n \n\n24.51\n\n%  \n\n$\n\n925,397\n\n \n\n24.37\n\n%  \n\n$\n\n845,010\n\n \n\n23.66\n\n%  \n\n$\n\n661,703\n\n \n\n24.63\n\n%\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n924,144\n\n​\n\n21.31\n\n​\n\n​\n\n888,317\n\n​\n\n21.94\n\n​\n\n​\n\n899,770\n\n​\n\n23.70\n\n​\n\n​\n\n836,153\n\n​\n\n23.41\n\n​\n\n​\n\n603,316\n\n​\n\n22.46\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n471,990\n\n​\n\n10.88\n\n​\n\n​\n\n442,984\n\n​\n\n10.94\n\n​\n\n​\n\n427,476\n\n​\n\n11.26\n\n​\n\n​\n\n425,385\n\n​\n\n11.91\n\n​\n\n​\n\n276,885\n\n​\n\n10.31\n\n​\n\nMultifamily real estate\n\n​\n\n​\n\n469,968\n\n​\n\n10.84\n\n​\n\n​\n\n422,758\n\n​\n\n10.44\n\n​\n\n​\n\n384,564\n\n​\n\n10.13\n\n​\n\n​\n\n392,947\n\n​\n\n11.00\n\n​\n\n​\n\n307,958\n\n​\n\n11.46\n\n​\n\nConstruction and land development\n\n​\n\n \n\n310,006\n\n \n\n7.15\n\n​\n\n \n\n332,405\n\n \n\n8.21\n\n​\n\n \n\n290,541\n\n \n\n7.65\n\n​\n\n \n\n253,634\n\n \n\n7.10\n\n​\n\n \n\n187,801\n\n \n\n6.99\n\n​\n\nAgriculture real estate\n\n​\n\n \n\n295,803\n\n \n\n6.82\n\n​\n\n \n\n244,983\n\n \n\n6.05\n\n​\n\n \n\n232,520\n\n \n\n6.12\n\n​\n\n \n\n238,062\n\n \n\n6.67\n\n​\n\n \n\n213,088\n\n \n\n7.93\n\n​\n\nTotal mortgage loans\n\n​\n\n \n\n3,557,423\n\n \n\n82.03\n\n​\n\n \n\n3,323,892\n\n \n\n82.09\n\n​\n\n \n\n3,160,268\n\n \n\n83.23\n\n​\n\n \n\n2,991,191\n\n \n\n83.75\n\n​\n\n \n\n2,250,751\n\n \n\n83.78\n\n​\n\nOther Loans:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nCommercial and industrial (1)\n\n​\n\n \n\n552,557\n\n \n\n12.74\n\n​\n\n \n\n510,259\n\n \n\n12.60\n\n​\n\n \n\n450,147\n\n \n\n11.85\n\n​\n\n \n\n424,905\n\n \n\n11.90\n\n​\n\n \n\n308,873\n\n \n\n11.50\n\n​\n\nAgriculture production\n\n​\n\n \n\n219,155\n\n \n\n5.05\n\n​\n\n \n\n206,128\n\n \n\n5.09\n\n​\n\n \n\n175,968\n\n \n\n4.63\n\n​\n\n \n\n138,284\n\n \n\n3.87\n\n​\n\n \n\n110,266\n\n \n\n4.10\n\n​\n\nAutomobile Loans\n\n​\n\n \n\n22,248\n\n \n\n0.51\n\n​\n\n \n\n23,249\n\n \n\n0.57\n\n​\n\n \n\n22,517\n\n \n\n0.59\n\n​\n\n \n\n21,761\n\n \n\n0.61\n\n​\n\n \n\n17,328\n\n \n\n0.65\n\n​\n\nOther Loans:\n\n​\n\n \n\n40,425\n\n \n\n0.94\n\n​\n\n \n\n37,240\n\n \n\n0.93\n\n​\n\n \n\n41,135\n\n \n\n1.09\n\n​\n\n \n\n43,056\n\n \n\n1.22\n\n​\n\n \n\n32,625\n\n \n\n1.23\n\n​\n\nTotal other loans\n\n​\n\n \n\n834,385\n\n \n\n19.24\n\n​\n\n \n\n776,876\n\n \n\n19.19\n\n​\n\n \n\n689,767\n\n \n\n18.16\n\n​\n\n \n\n628,006\n\n \n\n17.60\n\n​\n\n \n\n469,092\n\n \n\n17.48\n\n​\n\nTotal loans\n\n​\n\n \n\n4,391,808\n\n \n\n101.27\n\n​\n\n \n\n4,100,768\n\n \n\n101.28\n\n​\n\n \n\n3,850,035\n\n \n\n101.39\n\n​\n\n \n\n3,619,197\n\n \n\n101.35\n\n​\n\n \n\n2,719,843\n\n \n\n101.26\n\n​\n\nLess:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nDeferred fees and discounts\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n178\n\n \n\n—\n\n​\n\n \n\n232\n\n \n\n0.01\n\n​\n\n \n\n299\n\n \n\n0.01\n\n​\n\n \n\n453\n\n \n\n0.02\n\n​\n\nAllowance for credit losses\n\n​\n\n \n\n54,912\n\n \n\n1.27\n\n​\n\n \n\n51,629\n\n \n\n1.28\n\n​\n\n \n\n52,516\n\n \n\n1.38\n\n​\n\n \n\n47,820\n\n \n\n1.34\n\n​\n\n \n\n33,192\n\n \n\n1.24\n\n​\n\nNet loans receivable\n\n​\n\n$\n\n4,336,896\n\n \n\n100.00\n\n%  \n\n$\n\n4,048,961\n\n \n\n100.00\n\n%  \n\n$\n\n3,797,287\n\n \n\n100.00\n\n%  \n\n$\n\n3,571,078\n\n \n\n100.00\n\n%  \n\n$\n\n2,686,198\n\n \n\n100.00\n\n%\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nType of Security:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nResidential real estate\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nOne-to four-family\n\n​\n\n$\n\n1,068,310\n\n \n\n24.63\n\n%  \n\n$\n\n970,022\n\n \n\n23.96\n\n%  \n\n$\n\n846,538\n\n \n\n22.29\n\n%  \n\n$\n\n791,747\n\n \n\n22.17\n\n%  \n\n$\n\n641,133\n\n \n\n23.87\n\n%\n\nMulti-family\n\n​\n\n \n\n578,491\n\n \n\n13.34\n\n​\n\n \n\n619,236\n\n \n\n15.29\n\n​\n\n \n\n507,683\n\n \n\n13.37\n\n​\n\n \n\n454,323\n\n \n\n12.72\n\n​\n\n \n\n342,276\n\n \n\n12.74\n\n​\n\nCommercial real estate\n\n​\n\n \n\n1,420,475\n\n \n\n32.75\n\n​\n\n \n\n1,412,984\n\n \n\n34.90\n\n​\n\n \n\n1,388,846\n\n \n\n36.57\n\n​\n\n \n\n1,339,741\n\n \n\n37.52\n\n​\n\n \n\n935,367\n\n \n\n34.82\n\n​\n\nLand\n\n​\n\n \n\n386,903\n\n \n\n8.92\n\n​\n\n \n\n324,539\n\n \n\n8.02\n\n​\n\n \n\n294,077\n\n \n\n7.74\n\n​\n\n \n\n300,841\n\n \n\n8.42\n\n​\n\n \n\n266,472\n\n \n\n9.92\n\n​\n\nCommercial\n\n​\n\n \n\n747,825\n\n \n\n17.24\n\n​\n\n \n\n510,259\n\n \n\n12.60\n\n​\n\n \n\n668,292\n\n \n\n17.60\n\n​\n\n \n\n599,030\n\n \n\n16.77\n\n​\n\n \n\n441,598\n\n \n\n16.44\n\n​\n\nConsumer and other\n\n​\n\n \n\n189,804\n\n \n\n4.39\n\n​\n\n \n\n263,728\n\n \n\n6.51\n\n​\n\n \n\n144,599\n\n \n\n3.82\n\n​\n\n \n\n133,515\n\n \n\n3.75\n\n​\n\n \n\n92,997\n\n \n\n3.47\n\n​\n\nTotal loans\n\n​\n\n \n\n4,391,808\n\n​\n\n101.27\n\n​\n\n​\n\n4,100,768\n\n​\n\n101.28\n\n​\n\n​\n\n3,850,035\n\n​\n\n101.39\n\n​\n\n​\n\n3,619,197\n\n​\n\n101.35\n\n​\n\n​\n\n2,719,843\n\n​\n\n101.26\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nLess:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nDeferred fees and discounts\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n178\n\n \n\n—\n\n​\n\n \n\n232\n\n \n\n0.01\n\n​\n\n \n\n299\n\n \n\n0.01\n\n​\n\n \n\n453\n\n \n\n0.02\n\n​\n\nAllowance for credit losses\n\n​\n\n \n\n54,912\n\n \n\n1.27\n\n​\n\n \n\n51,629\n\n \n\n1.28\n\n​\n\n \n\n52,516\n\n \n\n1.38\n\n​\n\n \n\n47,820\n\n \n\n1.34\n\n​\n\n \n\n33,192\n\n \n\n1.24\n\n​\n\nNet loans receivable\n\n​\n\n$\n\n4,336,896\n\n \n\n100.00\n\n%  \n\n$\n\n4,048,961\n\n \n\n100.00\n\n%  \n\n$\n\n3,797,287\n\n \n\n100.00\n\n%  \n\n$\n\n3,571,078\n\n \n\n100.00\n\n%  \n\n$\n\n2,686,198\n\n \n\n100.00\n\n%\n\n(1)Commercial business loan balances included PPP loans of $94,000, $264,000, $433,000, $601,000, and $6.1 million as of June 30, 2026, 2025, 2024, 2023, and 2022, respectively.\n\n9\n\n[Table of Contents](#TOC)\n\nThe following table shows the fixed and adjustable rate composition of the Bank’s loan portfolio at the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n \n\n​\n\n​\n\n**2026**\n\n​\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n**2023**\n\n​\n\n**2022**\n\n \n\n​\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n  ​ ​ ​\n\n**Amount**\n\n  ​ ​ ​\n\n**Percent**\n\n \n\n​\n\n \n\n(Dollars in thousands)\n\n​\n\nType of Loan:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nFixed-Rate Loans:\n\n \n\n​\n\n  ​\n\n \n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n  ​\n\n​\n\nOne- to four-family residential\n\n​\n\n$\n\n700,255\n\n \n\n16.15\n\n%\n\n$\n\n670,414\n\n \n\n16.56\n\n%\n\n$\n\n649,194\n\n \n\n17.10\n\n%  \n\n$\n\n611,292\n\n \n\n17.12\n\n%  \n\n$\n\n513,987\n\n \n\n19.13\n\n%  \n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n669,325\n\n​\n\n15.43\n\n​\n\n​\n\n720,863\n\n​\n\n17.80\n\n​\n\n​\n\n763,855\n\n​\n\n20.12\n\n​\n\n​\n\n716,470\n\n​\n\n20.06\n\n​\n\n​\n\n534,984\n\n​\n\n19.92\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n305,940\n\n​\n\n7.05\n\n​\n\n​\n\n289,558\n\n​\n\n7.15\n\n​\n\n​\n\n287,023\n\n​\n\n7.56\n\n​\n\n​\n\n307,187\n\n​\n\n8.60\n\n​\n\n​\n\n205,612\n\n​\n\n7.65\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n359,068\n\n​\n\n8.28\n\n​\n\n​\n\n330,576\n\n​\n\n8.16\n\n​\n\n​\n\n298,082\n\n​\n\n7.85\n\n​\n\n​\n\n336,632\n\n​\n\n9.43\n\n​\n\n​\n\n275,715\n\n​\n\n10.26\n\n​\n\nConstruction and land development\n\n​\n\n​\n\n204,845\n\n​\n\n4.72\n\n​\n\n​\n\n220,179\n\n​\n\n5.44\n\n​\n\n​\n\n207,233\n\n​\n\n5.46\n\n​\n\n​\n\n182,890\n\n​\n\n5.12\n\n​\n\n​\n\n165,838\n\n​\n\n6.17\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n242,099\n\n​\n\n5.58\n\n​\n\n​\n\n212,002\n\n​\n\n5.24\n\n​\n\n​\n\n206,550\n\n​\n\n5.44\n\n​\n\n​\n\n213,641\n\n​\n\n5.98\n\n​\n\n​\n\n197,269\n\n​\n\n7.34\n\n​\n\nCommercial and industrial\n\n​\n\n \n\n304,491\n\n \n\n7.02\n\n​\n\n \n\n281,912\n\n \n\n6.96\n\n​\n\n \n\n273,956\n\n \n\n7.21\n\n​\n\n \n\n254,321\n\n \n\n7.12\n\n​\n\n \n\n207,417\n\n \n\n7.72\n\n​\n\nAgriculture production\n\n​\n\n \n\n72,675\n\n \n\n1.68\n\n​\n\n \n\n65,433\n\n \n\n1.62\n\n​\n\n \n\n65,794\n\n \n\n1.73\n\n​\n\n \n\n61,818\n\n \n\n1.73\n\n​\n\n \n\n50,502\n\n \n\n1.88\n\n​\n\nConsumer\n\n​\n\n \n\n51,847\n\n \n\n1.20\n\n​\n\n \n\n54,099\n\n \n\n1.34\n\n​\n\n \n\n58,136\n\n \n\n1.53\n\n​\n\n \n\n57,007\n\n \n\n1.60\n\n​\n\n \n\n43,815\n\n \n\n1.64\n\n​\n\nAll other loans\n\n​\n\n \n\n9,529\n\n \n\n0.22\n\n​\n\n \n\n5,102\n\n \n\n0.13\n\n​\n\n \n\n3,981\n\n \n\n0.11\n\n​\n\n \n\n6,755\n\n \n\n0.20\n\n​\n\n \n\n5,037\n\n \n\n0.21\n\n​\n\nTotal fixed-rate loans\n\n​\n\n \n\n2,920,074\n\n \n\n67.33\n\n​\n\n \n\n2,850,138\n\n \n\n70.40\n\n​\n\n \n\n2,813,804\n\n \n\n74.11\n\n​\n\n \n\n2,748,013\n\n \n\n76.96\n\n​\n\n \n\n2,200,176\n\n \n\n81.92\n\n​\n\nAdjustable-Rate Loans:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nOne- to four-family residential\n\n​\n\n \n\n385,257\n\n \n\n8.88\n\n​\n\n \n\n322,031\n\n \n\n7.95\n\n​\n\n \n\n276,203\n\n \n\n7.27\n\n​\n\n \n\n233,718\n\n \n\n6.54\n\n​\n\n \n\n147,716\n\n \n\n5.50\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n \n\n254,819\n\n \n\n5.88\n\n​\n\n \n\n167,454\n\n \n\n4.14\n\n​\n\n \n\n135,915\n\n \n\n3.58\n\n​\n\n \n\n119,683\n\n \n\n3.35\n\n​\n\n \n\n68,332\n\n \n\n2.54\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n \n\n166,050\n\n \n\n3.83\n\n​\n\n \n\n153,426\n\n \n\n3.79\n\n​\n\n \n\n140,453\n\n \n\n3.70\n\n​\n\n \n\n118,198\n\n \n\n3.31\n\n​\n\n \n\n71,273\n\n \n\n2.65\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n110,900\n\n​\n\n2.56\n\n​\n\n​\n\n92,182\n\n​\n\n2.28\n\n​\n\n​\n\n86,482\n\n​\n\n2.28\n\n​\n\n​\n\n56,315\n\n​\n\n1.58\n\n​\n\n​\n\n32,243\n\n​\n\n1.20\n\n​\n\nConstruction and land development\n\n​\n\n​\n\n105,161\n\n​\n\n2.42\n\n​\n\n​\n\n112,226\n\n​\n\n2.77\n\n​\n\n​\n\n83,308\n\n​\n\n2.19\n\n​\n\n​\n\n70,744\n\n​\n\n1.98\n\n​\n\n​\n\n21,963\n\n​\n\n0.82\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n53,704\n\n​\n\n1.24\n\n​\n\n​\n\n32,981\n\n​\n\n0.81\n\n​\n\n​\n\n25,970\n\n​\n\n0.68\n\n​\n\n​\n\n24,421\n\n​\n\n0.68\n\n​\n\n​\n\n15,819\n\n​\n\n0.59\n\n​\n\nCommercial and industrial\n\n​\n\n​\n\n248,066\n\n​\n\n5.72\n\n​\n\n​\n\n228,347\n\n​\n\n5.64\n\n​\n\n​\n\n176,191\n\n​\n\n4.64\n\n​\n\n​\n\n170,584\n\n​\n\n4.78\n\n​\n\n​\n\n101,456\n\n​\n\n3.78\n\n​\n\nAgriculture production\n\n​\n\n​\n\n146,480\n\n​\n\n3.38\n\n​\n\n​\n\n140,695\n\n​\n\n3.47\n\n​\n\n​\n\n110,174\n\n​\n\n2.90\n\n​\n\n​\n\n76,466\n\n​\n\n2.14\n\n​\n\n​\n\n59,764\n\n​\n\n2.22\n\n​\n\nConsumer\n\n​\n\n \n\n1,297\n\n \n\n0.03\n\n​\n\n \n\n1,288\n\n \n\n0.03\n\n​\n\n \n\n1,535\n\n \n\n0.04\n\n​\n\n \n\n1,055\n\n \n\n0.03\n\n​\n\n \n\n1,101\n\n \n\n0.04\n\n​\n\nAll other loans\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\nTotal adjustable-rate loans\n\n​\n\n \n\n1,471,734\n\n \n\n33.94\n\n​\n\n \n\n1,250,630\n\n \n\n30.88\n\n​\n\n \n\n1,036,231\n\n \n\n27.28\n\n​\n\n \n\n871,184\n\n \n\n24.39\n\n​\n\n \n\n519,667\n\n \n\n19.34\n\n​\n\nTotal loans\n\n​\n\n \n\n4,391,808\n\n \n\n101.27\n\n​\n\n \n\n4,100,768\n\n \n\n101.28\n\n​\n\n \n\n3,850,035\n\n \n\n101.39\n\n​\n\n \n\n3,619,197\n\n \n\n101.35\n\n​\n\n \n\n2,719,843\n\n \n\n101.26\n\n​\n\nLess:\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n \n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n \n\n​\n\n​\n\nDeferred fees and discounts\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n178\n\n \n\n—\n\n​\n\n \n\n232\n\n \n\n0.01\n\n​\n\n \n\n299\n\n \n\n0.01\n\n​\n\n \n\n453\n\n \n\n0.02\n\n​\n\nAllowance for credit losses\n\n​\n\n \n\n54,912\n\n \n\n1.27\n\n​\n\n \n\n51,629\n\n \n\n1.28\n\n​\n\n \n\n52,516\n\n \n\n1.38\n\n​\n\n \n\n47,820\n\n \n\n1.34\n\n​\n\n \n\n33,192\n\n \n\n1.24\n\n​\n\nNet loans receivable\n\n​\n\n$\n\n4,336,896\n\n \n\n100.00\n\n%\n\n$\n\n4,048,961\n\n \n\n100.00\n\n%\n\n$\n\n3,797,287\n\n \n\n100.00\n\n%  \n\n$\n\n3,571,078\n\n \n\n100.00\n\n%  \n\n$\n\n2,686,198\n\n \n\n100.00\n\n%  \n\n​\n\nResidential Mortgage Lending. The Bank actively originates loans for the acquisition or refinance of one- to four-family residences. These loans are originated as a result of customer and real estate agent referrals, existing and walk-in customers, and from responses to the Bank’s marketing campaigns. At June 30, 2026, residential loans secured by one- to four-family residences totaled $1.1 billion, or 25.0% of net loans receivable.\n\nThe Bank currently offers both fixed-rate and adjustable-rate mortgage (“ARM”) loans. During the year ended June 30, 2026, the Bank originated $80.6 million of ARM loans and $142.6 million of fixed-rate loans that were secured by one- to four-family residences, for retention in the Bank’s portfolio. An additional $32.1 million in fixed-rate one- to four-family residential loans were originated for sale on the secondary market. Substantially all of the one- to four-family residential mortgage originations in the Bank’s portfolio are secured by property located within the Bank’s market area. Fixed rate one- to four- family loans represented 61.1% of the one- to four- family portfolio with a weighted average maturity of 12.5 years.\n\nThe Bank generally originates one- to four-family residential mortgage loans for retention in its portfolio in amounts up to 90% of the lower of the purchase price or appraised value of residential property. For loans originated in excess of 80% loan-to-value, the Bank generally charges an additional 25-75 basis points, but does not require private mortgage insurance. At June 30, 2026, the outstanding balance of loans originated with a loan-to-value ratio in excess of 80% was $172.6 million. For fiscal years ended June 30, 2026, 2025, 2024, 2023, and 2022, originations of one- to four-family loans in excess of 80% loan-to-value have totaled $39.4 million, $33.6 million, $28.3 million, $27.3 million, and $50.8 million, respectively, totaling $179.4 million. The outstanding balance of those loans originated in the last five years at June 30, 2026, was $129.1 million. Originating loans with higher loan-to-value ratios presents additional credit risk to the Bank. Consequently, the Bank limits this product to borrowers with a favorable credit history and a demonstrable ability to service the debt. The interest rates charged on these loans are competitively priced based on local\n\n10\n\n[Table of Contents](#TOC)\n\nmarket conditions, the availability of funding, and anticipated profit margins. Fixed and ARM loans originated by the Bank are amortized over periods as long as 30 years, but typically are repaid over shorter periods.\n\nFixed-rate loans secured by one- to four-family residences have contractual maturities up to 30 years, and are generally fully amortizing with payments due monthly. These loans normally remain outstanding for a substantially shorter period of time because of refinancing and other prepayments. A significant change in the interest rate environment can alter the average life of a residential loan portfolio. The one- to four-family fixed-rate loans do not contain prepayment penalties. At June 30, 2026, one- to four-family loans with a fixed rate totaled $700.3 million and had a weighted-average maturity of 150 months.\n\nThe Bank also originates one- to four-family ARM loans, which adjust annually, after an initial period of one to seven years. Typically, originated ARM loans secured by owner occupied properties reprice at a margin of 2.75% to 3.00% over the weekly average yield on United States Treasury securities adjusted to a constant maturity of one year (“CMT”). Generally, ARM loans secured by non-owner occupied residential properties are tied to the Wall Street Journal prime rate. Owner occupied residential ARM loan originations are subject to annual and lifetime interest rate caps and floors. As a consequence of using interest rate caps, initial rates which may be at a premium or discount, and a CMT loan index, the interest earned on the Bank’s ARMs will react differently to changing interest rates than the Bank’s cost of funds. At June 30, 2026, one- to four-family loans tied to the CMT index totaled $151.1 million. One- to four-family loans tied to other indices totaled $229.3 million.\n\nIn underwriting one- to four-family residential real estate loans, the Bank evaluates the borrower’s ability to meet debt service requirements at current as well as fully indexed rates for ARM loans, and the value of the property securing the loan. Most properties securing real estate loans made by the Bank during fiscal 2026 had appraisals performed on them by independent fee appraisers approved and qualified by the Board of Directors. The Bank generally requires borrowers to obtain title insurance and fire, property and flood insurance (if indicated) in an amount not less than the amount of the loan. Real estate loans originated by the Bank generally contain a \"due on sale\" clause allowing the Bank to declare the unpaid principal balance due and payable upon the sale of the security property.\n\nHome equity loans totaled $97.6 million, or 2.3% of net loans receivable, and represented 9.0% of the Bank’s one- to four-family residential loan portfolio at June 30, 2026.\n\nHome equity lines of credit (HELOCs) are secured with a deed of trust or mortgage and are generally issued for up to 90% of the appraised or assessed value of the property securing the line of credit, less the outstanding balance on the first mortgage for a period of ten years. Interest rates on HELOCs are adjustable and are tied to the current prime interest rate, generally with an interest rate floor in the loan agreement. This rate is obtained from the Wall Street Journal and adjusts on a daily basis. Interest rates are based upon the loan-to-value ratio of the property with better rates given to borrowers with more equity. HELOCs are secured by residential properties, which is generally considered to be stronger collateral than that securing other consumer loans. In addition, because of the adjustable rate structure, HELOCs present less interest rate risk to the Bank, when compared to 30 year fixed rate mortgages.\n\nCommercial Real Estate Lending. The Bank actively originates loans secured by commercial real estate including single- and multi-tenant retail properties, restaurants, hotels, nursing homes and other healthcare related facilities, land (improved and unimproved), convenience stores, automobile dealerships, and other automotive-related services, warehouses and distribution centers, and other businesses generally located in the Bank’s market area. At June 30, 2026, the Bank had $1.9 billion in commercial real estate loans, which represented 43.0% of net loans receivable. Fixed rate commercial real estate loans represented 71.5% of the commercial real estate portfolio with a weighted average maturity of 3.3 years.\n\nThe Bank also originates loans secured by multi-family residential properties that are often located outside the Company’s primary market area, but made to borrowers who operate within the primary market area. The multi-family residential real estate loan portfolio typically includes loans secured by properties currently participating in the Low-Income Housing Tax Credit (LIHTC) program or those that have exited the program. The Company continues to closely monitor its commercial real estate concentration and the performance of individual segments to manage risk effectively. At June 30, 2026, the Bank had $470.0 million, or 10.8% of net loans receivable, secured by multi-family residential real\n\n11\n\n[Table of Contents](#TOC)\n\nestate. Fixed rate loans secured by multi-family residential properties represented 76.4% of the multi-family residential property portfolio with a weighted average maturity of 3.8 years.\n\nThe primary risk associated with multi-family loans is the ability of the income-producing property that collateralizes the loan to produce adequate cash flow to service the debt. High unemployment or generally weak economic conditions may result in borrowers having to provide rental rate concessions to achieve adequate occupancy rates. In an effort to reduce these risks, the Bank evaluates the guarantor’s ability to inject personal funds as a tertiary source of repayment.\n\nNon-owner occupied and owner occupied commercial real estate loans originated by the Bank are generally based on amortization schedules of up to 25 years with monthly principal and interest payments. Generally, these loans have fixed interest rates and maturities ranging up to ten years, with a balloon payment due at maturity. Alternatively, for some loans, the interest rate adjusts at least annually, based on the Wall Street Journal prime rate, after an initial fixed-rate period up to seven years. The Bank typically includes an interest rate \"floor\" in the loan agreement. The majority of the multi-family residential loans that are originated by the Bank are amortized over periods generally up to 25 years, with balloon maturities up to ten years. Both fixed and adjustable interest rates are offered and it is typical for the Bank to include an interest rate “floor” and “ceiling” in variable-rate loan agreements. Variable-rate loans typically adjust daily, monthly, quarterly or annually based on the Wall Street prime interest rate. Generally, loans for improved non-owner occupied and owner-occupied commercial properties do not exceed 80%, while multi-family loans do not exceed 85%, of the lower of the appraised value or the purchase price of the secured property.\n\nGenerally, loans secured by commercial real estate involve a greater degree of credit risk than one- to four-family residential mortgage loans. These loans typically involve large balances to single borrowers or groups of related borrowers. Because payments on loans secured by commercial real estate are often dependent on the successful operation or management of the secured property, repayment of such loans may be subject to adverse conditions in the real estate market or the economy. See \"Asset Quality.\"\n\nConstruction Lending. The Bank originates real estate loans secured by property or land that is under construction or development. At June 30, 2026, the Bank had $310.0 million, or 7.1% of net loans receivable in construction loans outstanding.\n\nConstruction loans originated by the Bank are generally secured by mortgage loans for the construction of owner occupied residential real estate or to finance speculative construction secured by residential real estate, land development, or owner-occupied or non-owner occupied commercial real estate. At June 30, 2026, $177.1 million of the Bank’s construction loans outstanding were secured by one- to four-family residential real estate, $108.5 million were secured by multi-family residential real estate, and $24.4 million were secured by commercial real estate. During construction, these loans typically require monthly interest-only payments with single-family residential construction loans maturing in nine to twelve months, while multi-family or commercial construction loans typically mature in 12 to 36 months. Once construction is completed, construction loans may be converted to permanent financing, generally with monthly payments using amortization schedules of up to 30 years on residential and up to 25 years on commercial real estate.\n\nSpeculative construction and land development lending generally affords the Bank an opportunity to receive higher interest rates and fees with shorter terms to maturity than those obtainable from residential lending. Nevertheless, construction and land development lending is generally considered to involve a higher level of credit risk than one- to four-family residential lending due to (i) the concentration of principal among relatively few borrowers and development projects, (ii) the increased difficulty at the time the loan is made of accurately estimating building or development costs and the selling price of the finished product, (iii) the increased difficulty and costs of monitoring and disbursing funds for the loan,  (iv) the higher degree of sensitivity to increases in market rates of interest and changes in local economic conditions, and (v) the increased difficulty of working out problem loans. Due in part to these risk factors, the Bank may be required from time to time to modify or extend the terms of some of these types of loans. In an effort to reduce these risks, the application process includes a submission to the Bank of accurate plans, specifications and costs of the project to be constructed. These items are also used as a basis to determine the appraised value of the subject property. Loan amounts are generally limited to 80% of the lesser of current appraised value and/or the cost of construction.\n\n12\n\n[Table of Contents](#TOC)\n\nAt June 30, 2026, construction loans outstanding included 55 loans, totaling $35.1 million, for which a modification had been agreed to. At June 30, 2025, construction loans outstanding included 59 loans, totaling $29.5 million, for which a modification had been agreed to. In general, these modifications were solely for the purpose of extending the maturity date due to conditions described above, pursuant to the Company’s normal underwriting and monitoring procedures. As these modifications were not executed due to financial difficulty on the part of the borrower, they were not accounted for as modifications to borrowers experiencing financial difficulty.\n\nAgricultural Real Estate Lending. Agricultural real estate loans are generally comprised of term loans to fund the purchase of equipment, farmland, or livestock. The Bank originates substantially all agricultural real estate lending to borrowers headquartered in the Bank’s primary lending area. Agricultural real estate terms generally have amortization schedules of up to 25 years with an 80% loan-to-value ratio, or 30 years with a 75% loan-to-value ratio. Agricultural real estate loans generally require annual, instead of monthly, payments. Before credit is extended, the Bank analyzes the financial condition of the borrower, the borrower’s credit history, and the reliability and predictability of the cash flow generated by the property and the value of the property itself. Generally, personal guarantees are obtained from the borrower in addition to obtaining the secured property as collateral for such loans. The Bank also generally requires appraisals on properties securing the real estate to be performed by a Board-approved independent certified fee appraiser. At June 30, 2026, agricultural real estate loans totaled $295.8 million, or 6.8% of net loans receivable.\n\nCommercial Business Lending. The Bank’s commercial business lending activities encompass loans with a variety of purposes and security, including loans to finance accounts receivable, inventory, equipment and operating lines of credit. At June 30, 2026, the Bank had $771.7 million in commercial business loans outstanding, or 17.8% of net loans receivable. Of this amount, $219.2 million were loans related to agriculture, including amortizing equipment loans and annual production lines. The Bank expects to maintain, and may increase, the percentage of commercial business loans in its total loan portfolio.\n\nThe Bank currently offers both fixed and adjustable rate commercial business loans. At fiscal year end, fixed rate commercial loans represented 48.9% of the commercial loan portfolio with a weighted average maturity of 2.6 years. The adjustable rate business loans typically reprice daily, monthly, quarterly, or annually, in accordance with the Wall Street prime rate of interest. The Bank typically includes an interest rate \"floor\" in the loan agreement.\n\nCommercial business loan terms vary according to the type and value of collateral, length of contract and creditworthiness of the borrower. Generally, commercial loans secured by fixed assets are amortized over periods up to five years, while commercial operating lines of credit or agricultural production lines are generally for a one year period. The Bank’s commercial business loans are evaluated based on the loan application, a determination of the applicant’s payment history on other debts, business stability and an assessment of ability to meet existing obligations and payments on the proposed loan. Although creditworthiness of the applicant is a primary consideration, the underwriting process also includes a comparison of the value of the collateral, if any, in relation to the proposed loan amount.\n\nUnlike residential mortgage loans, which generally are made on the basis of the borrower’s ability to make repayment from his or her employment and other income, and which are secured by real property whose value tends to be more easily ascertainable, commercial business loans are of higher risk and typically are made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial business loans may be substantially dependent on the success of the business itself. Further, the collateral securing the loans may depreciate over time, may be difficult to appraise and may fluctuate in value based on the success of the business.\n\nSmall Business Administration (SBA) Lending. The Bank’s commercial and construction business lending activity includes some loans guaranteed by the SBA. In fiscal 2026, $3.4 million in originations was guaranteed by the SBA, and as of June 30, 2026, the Company held balances of $18.3 million in its portfolio, of which $6.4 million was guaranteed. The Company had sold and was servicing $39.9 million of the guaranteed portion of SBA loans as of June 30, 2026.\n\nConsumer Lending. The Bank offers a variety of secured consumer loans, including automobile and deposit-secured loans. The Bank originates substantially all of its consumer loans in its primary market area. Generally,\n\n13\n\n[Table of Contents](#TOC)\n\nconsumer loans are originated with fixed rates for terms of up to approximately 66 months. At June 30, 2026, the Bank’s consumer loan portfolio totaled $53.1 million, or 1.2% of net loans receivable.\n\nConsumer loans for the purchase of automobiles represented 41.9% of the Bank’s consumer loan portfolio at June 30, 2026, and totaled $22.2 million, or 0.5% of net loans receivable. Of that total, an immaterial amount was originated by auto dealers. Typically, automobile loans are made for terms of up to 66 months for new and used vehicles. Loans secured by automobiles have fixed rates and are generally made in amounts up to 100% of the purchase price of the vehicle.\n\nConsumer loan rates and terms vary according to the type of collateral, length of contract and creditworthiness of the borrower, which is evaluated using credit scoring. Consumers with additional qualifying Bank products are eligible for additional pricing discounts. The underwriting standards employed for consumer loans include employment stability, a determination of the applicant’s payment history on other debts, and an assessment of ability to meet existing and proposed obligations. Although creditworthiness of the applicant is a primary consideration, the underwriting process also includes a comparison of the value of the security, if any, in relation to the proposed loan amount.\n\nConsumer loans may entail greater credit risk than do residential mortgage loans, because they are generally unsecured or are secured by rapidly depreciable or mobile assets, such as automobiles. In the event of repossession or default, there may be no secondary source of repayment or the underlying value of the collateral could be insufficient to repay the loan. In addition, consumer loan collections are dependent on the borrower’s continuing financial stability, and thus are more likely to be affected by adverse personal circumstances. Furthermore, the application of various federal and state laws, including bankruptcy and insolvency laws, may limit the amount which can be recovered on such loans. The Bank’s delinquency levels for these types of loans are reflective of these risks. See \"Asset Classification.\"\n\nContractual Obligations and Commitments, Including Off-Balance Sheet Arrangements. The following table discloses our fixed and determinable contractual obligations and commercial commitments by payment date as of June 30, 2026. Commitments to extend credit totaled $948.5 million at June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n  ​ ​ ​\n\n**Less Than**\n\n  ​ ​ ​\n\n​\n\n  ​ ​ ​\n\n​\n\n  ​ ​ ​\n\n**More Than**\n\n  ​ ​ ​\n\n​\n\n​\n\n​\n\n​\n\n**1 Year**\n\n​\n\n**1-3 Years**\n\n​\n\n**4-5 Years**\n\n​\n\n**5 Years**\n\n​\n\n**Total**\n\n​\n\n \n\n(Dollars in thousands)\n\nFederal Home Loan Bank advances\n\n​\n\n$\n\n65,424\n\n​\n\n$\n\n65,000\n\n​\n\n$\n\n—\n\n​\n\n$\n\n—\n\n​\n\n$\n\n130,424\n\nCertificates of deposit\n\n​\n\n \n\n1,442,684\n\n​\n\n \n\n247,154\n\n​\n\n \n\n50,329\n\n​\n\n \n\n—\n\n​\n\n \n\n1,740,167\n\nTotal\n\n​\n\n$\n\n1,508,108\n\n​\n\n$\n\n312,154\n\n​\n\n$\n\n50,329\n\n​\n\n$\n\n—\n\n​\n\n$\n\n1,870,591\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n  ​ ​ ​\n\n**Less Than**\n\n  ​ ​ ​\n\n​\n\n  ​ ​ ​\n\n​\n\n  ​ ​ ​\n\n**More Than**\n\n  ​ ​ ​\n\n​\n\n​\n\n​\n\n​\n\n**1 Year**\n\n​\n\n**1-3 Years**\n\n​\n\n**4-5 Years**\n\n​\n\n**5 Years**\n\n​\n\n**Total**\n\n​\n\n \n\n(Dollars in thousands)\n\nConstruction unfunded commitments\n\n​\n\n$\n\n43,070\n\n​\n\n$\n\n90,024\n\n​\n\n$\n\n68,730\n\n​\n\n$\n\n39,448\n\n​\n\n$\n\n241,272\n\nOther loan commitments\n\n​\n\n \n\n502,696\n\n​\n\n \n\n96,412\n\n​\n\n \n\n30,365\n\n​\n\n \n\n77,711\n\n​\n\n \n\n707,184\n\n​\n\n​\n\n$\n\n545,766\n\n​\n\n$\n\n186,436\n\n​\n\n$\n\n99,095\n\n​\n\n$\n\n117,159\n\n​\n\n$\n\n948,456\n\n​\n\nLoan Maturity and Repricing\n\nThe following table sets forth certain information at June 30, 2026, regarding the dollar amount of loans maturing or repricing in the Bank’s portfolio based on their contractual terms to maturity or repricing, but does not include scheduled payments or potential prepayments. Demand loans, loans having no stated schedule of repayments and no stated maturity, and overdrafts are reported as due in one year or less. Mortgage loans that have adjustable rates are shown as maturing at their next repricing date. Listed loan balances are shown before deductions for undisbursed loan proceeds, unearned discounts, unearned income and allowance for credit losses.\n\n​\n\n14\n\n[Table of Contents](#TOC)\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**After**\n\n​\n\n**After**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**One Year**\n\n​\n\n**5 Years**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n  ​ ​ ​\n\n**Within**\n\n  ​ ​ ​\n\n**Through**\n\n  ​ ​ ​\n\n**Through**\n\n  ​ ​ ​\n\n**After**\n\n  ​ ​ ​\n\n​\n\n​\n\n​\n\n​\n\n**One Year**\n\n​\n\n**5 Years**\n\n​\n\n**15 Years**\n\n​\n\n**15 Years**\n\n​\n\n**Total**\n\n​\n\n \n\n(Dollars in thousands)\n\nOne- to four-family residential\n\n​\n\n$\n\n369,771\n\n​\n\n$\n\n343,224\n\n​\n\n$\n\n111,888\n\n​\n\n$\n\n260,629\n\n​\n\n$\n\n1,085,512\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n376,043\n\n​\n\n \n\n405,592\n\n​\n\n \n\n139,235\n\n​\n\n \n\n3,274\n\n​\n\n​\n\n924,144\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n209,622\n\n​\n\n​\n\n221,570\n\n​\n\n​\n\n37,270\n\n​\n\n​\n\n3,528\n\n​\n\n​\n\n471,990\n\nMulti-family real estate\n\n​\n\n​\n\n153,724\n\n​\n\n​\n\n178,598\n\n​\n\n​\n\n137,096\n\n​\n\n​\n\n550\n\n​\n\n​\n\n469,968\n\nConstruction and land development\n\n​\n\n​\n\n208,135\n\n​\n\n​\n\n92,431\n\n​\n\n​\n\n9,368\n\n​\n\n​\n\n72\n\n​\n\n​\n\n310,006\n\nAgriculture real estate\n\n​\n\n​\n\n90,543\n\n​\n\n​\n\n170,280\n\n​\n\n​\n\n29,701\n\n​\n\n​\n\n5,279\n\n​\n\n​\n\n295,803\n\nCommercial and industrial\n\n​\n\n \n\n343,325\n\n​\n\n​\n\n186,609\n\n​\n\n​\n\n20,127\n\n​\n\n​\n\n2,496\n\n​\n\n \n\n552,557\n\nAgriculture production\n\n​\n\n​\n\n164,841\n\n​\n\n​\n\n49,923\n\n​\n\n​\n\n4,391\n\n​\n\n​\n\n—\n\n​\n\n​\n\n219,155\n\nConsumer\n\n​\n\n​\n\n10,920\n\n​\n\n​\n\n37,931\n\n​\n\n​\n\n4,050\n\n​\n\n​\n\n243\n\n​\n\n​\n\n53,144\n\nAll other loans\n\n​\n\n​\n\n6,125\n\n​\n\n​\n\n3,250\n\n​\n\n​\n\n154\n\n​\n\n​\n\n—\n\n​\n\n​\n\n9,529\n\nTotal loans\n\n​\n\n$\n\n1,933,049\n\n​\n\n$\n\n1,689,408\n\n​\n\n$\n\n493,280\n\n​\n\n$\n\n276,071\n\n​\n\n$\n\n4,391,808\n\n​\n\nAs of June 30, 2026, loans with a maturity date after June 30, 2027, with fixed interest rates totaled $2.2 billion, and fixed rate loans maturing within one year totaled $670.2 million at June 30, 2026.\n\nLoan Originations, Sales and Purchases\n\nGenerally, loans are originated by the Bank’s staff, who are salaried loan officers. All loan officers are eligible for bonuses based on production, market performance, and credit quality. Certain lenders, in particular those originating higher volume of residential loans for sale on the secondary market, may earn a relatively higher percentage of their total compensation through bonuses. Loans are originated both to be held for investment and to be sold into the secondary market. Loan applications are generally taken and processed at each of the Bank’s full-service locations and online for single-family residential loans.\n\nWhile the Bank originates both adjustable-rate and fixed-rate loans, the ability to originate loans is dependent upon the relative customer demand for loans in its market. In fiscal 2026, the Bank originated $1.2 billion of loans, compared to $988.3 million and $917.3 million, respectively, in fiscal 2025 and 2024. Of these loans, mortgage loan originations were $929.2 million, $774.6 million, and $691.5 million in fiscal 2026, 2025, and 2024, respectively. Increases in originations over recent periods are attributed to increased lending activity, borrower refinancing, and an expanded market area and customer base following recent mergers.\n\nFrom time to time, the Bank has purchased loan participations consistent with its loan underwriting standards. During fiscal 2026, the Bank committed to purchase $53.0 million of new loan participations. At June 30, 2026, outstanding balances on loan participations purchased totaled $147.1 million, or 3.4% of net loans receivable. An additional $58.0 million is available to be drawn on these purchased participation loans. At June 30, 2026, all of these participations were performing in accordance with their respective terms. The Bank evaluates additional loan participations on an ongoing basis, based in part on local loan demand, liquidity, portfolio and capital levels.\n\n​\n\n15\n\n[Table of Contents](#TOC)\n\nThe following table shows total loans originated, purchased, sold and repaid during the periods indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Year Ended June 30, **\n\n​\n\n  ​ ​ ​\n\n**2026**\n\n  ​ ​ ​\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n​\n\n(Dollars in thousands)\n\nTotal loans at beginning of period\n\n​\n\n$\n\n4,100,768\n\n​\n\n$\n\n3,850,035\n\n​\n\n$\n\n3,619,197\n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\nLoans originated:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOne- to four-family residential\n\n​\n\n​\n\n255,327\n\n​\n\n​\n\n199,754\n\n​\n\n​\n\n181,184\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n161,180\n\n​\n\n​\n\n81,267\n\n​\n\n​\n\n91,541\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n90,099\n\n​\n\n​\n\n48,261\n\n​\n\n​\n\n45,166\n\nMulti-family real estate\n\n​\n\n​\n\n53,170\n\n​\n\n​\n\n78,247\n\n​\n\n​\n\n35,785\n\nConstruction and land development\n\n​\n\n​\n\n269,288\n\n​\n\n​\n\n317,324\n\n​\n\n​\n\n319,348\n\nAgriculture real estate\n\n​\n\n​\n\n100,110\n\n​\n\n​\n\n49,762\n\n​\n\n​\n\n30,888\n\nCommercial and industrial\n\n​\n\n​\n\n202,760\n\n​\n\n​\n\n129,887\n\n​\n\n​\n\n121,209\n\nAgriculture production\n\n​\n\n​\n\n60,275\n\n​\n\n​\n\n47,600\n\n​\n\n​\n\n54,519\n\nConsumer\n\n​\n\n​\n\n37,489\n\n​\n\n​\n\n33,853\n\n​\n\n​\n\n36,000\n\nAll other loans\n\n​\n\n​\n\n5,667\n\n​\n\n​\n\n2,362\n\n​\n\n​\n\n1,707\n\nTotal loans originated\n\n​\n\n​\n\n1,235,365\n\n​\n\n​\n\n988,317\n\n​\n\n​\n\n917,347\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nLoans purchased:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal loans purchased\n\n​\n\n​\n\n81,771\n\n​\n\n​\n\n126,320\n\n​\n\n​\n\n126,192\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nLoans sold:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal loans sold\n\n​\n\n​\n\n(52,818)\n\n​\n\n​\n\n(42,638)\n\n​\n\n​\n\n(61,605)\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nPrincipal repayments\n\n​\n\n​\n\n(846,051)\n\n​\n\n​\n\n(695,641)\n\n​\n\n​\n\n(642,518)\n\nParticipation principal repayments\n\n​\n\n​\n\n(120,482)\n\n​\n\n​\n\n(125,000)\n\n​\n\n​\n\n(107,203)\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nForeclosures\n\n​\n\n​\n\n(6,745)\n\n​\n\n​\n\n(625)\n\n​\n\n​\n\n(1,376)\n\nNet loan activity\n\n​\n\n​\n\n291,040\n\n​\n\n​\n\n250,733\n\n​\n\n​\n\n230,838\n\nTotal loans at end of period\n\n​\n\n$\n\n4,391,808\n\n​\n\n$\n\n4,100,768\n\n​\n\n$\n\n3,850,035\n\n​\n\n​\n\nLoan Commitments\n\nThe Bank issues commitments for single- and multi-family residential mortgage loans, commercial real estate loans, operating or working capital lines of credit, and standby letters-of-credit. Such commitments may be oral or in writing with specified terms, conditions and at a specified rate of interest. The Bank had outstanding net loan commitments of approximately $948.5 million at June 30, 2026. See Note 13 of Notes to the Consolidated Financial Statements contained in Item 8.\n\nLoan Fees\n\nIn addition to interest earned on loans, the Bank receives income from fees in connection with loan originations, loan modifications, late payments and for miscellaneous services related to its loans. Income from these activities varies from period to period depending upon the volume and type of loans made and competitive conditions.\n\nAsset Quality\n\nDelinquent Loans. Generally, when a borrower fails to make a required payment, the Bank begins the collection process by mailing a computer generated notice to the customer. If the delinquency is not cured promptly, the customer is contacted again by notice or telephone. After an account secured by real estate becomes over 60 days past due, the Bank will typically send a demand notice to the customer which, if not cured within the time provided or unless satisfactory arrangements have been made, will lead to foreclosure. Foreclosure may not begin until the loan reaches\n\n16\n\n[Table of Contents](#TOC)\n\n120 days delinquency in the case of consumer residential loans. For consumer loans, the Missouri Right-To-Cure Statute is followed, which requires issuance of specifically worded notices at specific time intervals prior to repossession or further collection efforts.\n\nThe following table sets forth the Bank’s loan delinquencies by type and by amount at June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Loans Delinquent For:**\n\n​\n\n**Total Loans**\n\n​\n\n​\n\n​\n\n​\n\n**Delinquent 60 Days**\n\n​\n\n​\n\n**60-89 Days**\n\n​\n\n**90 Days and Over**\n\n​\n\n**or More**\n\n​\n\n**  ​ ​ ​**\n\n**Numbers**\n\n**  ​ ​ ​**\n\n**Amounts**\n\n**  ​ ​ ​**\n\n**Numbers**\n\n**  ​ ​ ​**\n\n**Amounts**\n\n**  ​ ​ ​**\n\n**Numbers**\n\n**  ​ ​ ​**\n\n**Amounts**\n\n​\n\n​\n\n(Dollars in thousands)\n\nOne- to four-family residential\n\n​\n\n​\n\n27\n\n​\n\n$\n\n2,232\n\n​\n\n​\n\n22\n\n​\n\n$\n\n2,475\n\n​\n\n​\n\n49\n\n​\n\n$\n\n4,707\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n2\n\n​\n\n​\n\n292\n\n​\n\n​\n\n5\n\n​\n\n​\n\n889\n\n​\n\n​\n\n7\n\n​\n\n​\n\n1,181\n\nMulti-family real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\nConstruction and land development\n\n​\n\n​\n\n1\n\n​\n\n​\n\n101\n\n​\n\n​\n\n2\n\n​\n\n​\n\n5,933\n\n​\n\n​\n\n3\n\n​\n\n​\n\n6,034\n\nAgriculture real estate\n\n​\n\n​\n\n2\n\n​\n\n​\n\n408\n\n​\n\n​\n\n3\n\n​\n\n​\n\n1,708\n\n​\n\n​\n\n5\n\n​\n\n​\n\n2,116\n\nCommercial and industrial\n\n​\n\n​\n\n7\n\n​\n\n​\n\n635\n\n​\n\n​\n\n42\n\n​\n\n​\n\n1,066\n\n​\n\n​\n\n49\n\n​\n\n​\n\n1,701\n\nAgriculture production\n\n​\n\n​\n\n3\n\n​\n\n \n\n5,302\n\n​\n\n​\n\n3\n\n​\n\n \n\n2,192\n\n​\n\n​\n\n6\n\n​\n\n \n\n7,494\n\nConsumer\n\n​\n\n​\n\n16\n\n​\n\n \n\n96\n\n​\n\n​\n\n7\n\n​\n\n \n\n32\n\n​\n\n​\n\n23\n\n​\n\n \n\n128\n\nAll other loans\n\n​\n\n​\n\n—\n\n​\n\n \n\n—\n\n​\n\n​\n\n—\n\n​\n\n \n\n—\n\n​\n\n​\n\n—\n\n​\n\n \n\n—\n\nTotals\n\n​\n\n​\n\n58\n\n​\n\n$\n\n9,066\n\n​\n\n​\n\n84\n\n​\n\n$\n\n14,295\n\n​\n\n​\n\n142\n\n​\n\n$\n\n23,361\n\n​\n\nNon-Performing Assets. The table below sets forth the amounts and categories of non-performing assets in the Bank’s loan portfolio. Loans are placed on non-accrual status when the collection of principal and/or interest becomes doubtful, and as a result, previously accrued interest income on the loan is removed from current income. The Bank has no reserves for uncollected interest and does not accrue interest on non-accrual loans. A loan may be transferred back to accrual status once a satisfactory repayment history has been restored. Foreclosed assets held for sale include assets acquired in settlement of loans and are shown net of reserves.\n\nThe increase in nonperforming assets in fiscal 2026 was attributable to increases in both nonaccrual loans and other real estate owned (OREO). The year-over-year increase in nonaccrual loans was primarily attributable to three borrower relationships: one commercial relationship with a total loan balance of $6.5 million consisting of multiple related loans collateralized by commercial real estate and equipment; a second consisting of two related agricultural production loans totaling $2.2 million secured by crops and equipment; and the third, which was added during the quarter ended June 30, 2026, consisting of several related agricultural production loans totaling $5.9 million secured by crop insurance claims, restricted cash, crops, and equipment. The increase in OREO was primarily due to the foreclosure of a previously reported nonaccrual commercial loan relationship consisting of multiple loans collateralized by commercial real estate and equipment totaling $3.6 million, net of charge-offs. For information regarding accrual of interest on loans, see Note 1 of Notes to the Consolidated Financial Statements contained in Item 8.\n\n​\n\nThe Company may treat purchased credit deteriorated loans as an accruing asset because these loans are recorded at acquisition at fair value, which includes an accretable discount recorded as interest income over the expected life of the obligation.\n\n​\n\n17\n\n[Table of Contents](#TOC)\n\nThe following table sets forth information with respect to the Bank’s non-performing assets as of the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n \n\n​\n\n​\n\n**2026**\n\n​\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n**2023**\n\n​\n\n**2022**\n\n \n\n​\n\n​\n\n(Dollars in thousands)\n\n​\n\nNonaccruing loans:\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n1-4 Family residential real estate\n\n​\n\n$\n\n3,402\n\n​\n\n$\n\n2,847\n\n​\n\n$\n\n1,391\n\n​\n\n$\n\n1,153\n\n​\n\n$\n\n1,688\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n \n\n3,575\n\n​\n\n \n\n5,784\n\n​\n\n \n\n—\n\n​\n\n \n\n1,518\n\n​\n\n \n\n137\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n \n\n1,071\n\n​\n\n \n\n1,309\n\n​\n\n \n\n1,102\n\n​\n\n \n\n141\n\n​\n\n \n\n664\n\n​\n\nMulti-family real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nConstruction and land development\n\n​\n\n \n\n5,974\n\n​\n\n \n\n5,789\n\n​\n\n \n\n108\n\n​\n\n \n\n753\n\n​\n\n \n\n408\n\n​\n\nAgriculture real estate\n\n​\n\n \n\n1,989\n\n​\n\n \n\n3,268\n\n​\n\n \n\n1,896\n\n​\n\n \n\n2,850\n\n​\n\n \n\n1,049\n\n​\n\nCommercial and industrial\n\n​\n\n \n\n3,688\n\n​\n\n \n\n3,442\n\n​\n\n \n\n1,703\n\n​\n\n \n\n703\n\n​\n\n \n\n97\n\n​\n\nAgriculture production\n\n​\n\n \n\n7,898\n\n​\n\n \n\n505\n\n​\n\n \n\n461\n\n​\n\n \n\n388\n\n​\n\n \n\n42\n\n​\n\nConsumer\n\n​\n\n \n\n58\n\n​\n\n \n\n96\n\n​\n\n \n\n19\n\n​\n\n \n\n37\n\n​\n\n \n\n33\n\n​\n\nAll other loans\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nTotal\n\n​\n\n \n\n27,655\n\n​\n\n \n\n23,040\n\n​\n\n \n\n6,680\n\n​\n\n \n\n7,543\n\n​\n\n \n\n4,118\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nLoans 90 days past due accruing interest:\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n1-4 Family residential real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n109\n\n​\n\n \n\n—\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nMulti-family real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nConstruction and land development\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nAgriculture real estate\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nCommercial and industrial\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nAgriculture production\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nConsumer\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nAll other loans\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\nTotal\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n109\n\n​\n\n \n\n—\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal nonperforming loans\n\n​\n\n \n\n27,655\n\n​\n\n \n\n23,040\n\n​\n\n \n\n6,680\n\n​\n\n \n\n7,652\n\n​\n\n \n\n4,118\n\n​\n\nNonperforming investments\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\nForeclosed assets held for sale:\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\nReal estate owned\n\n​\n\n \n\n5,631\n\n​\n\n \n\n625\n\n​\n\n \n\n3,865\n\n​\n\n \n\n3,606\n\n​\n\n \n\n2,180\n\n​\n\nOther nonperforming assets\n\n​\n\n \n\n209\n\n​\n\n \n\n32\n\n​\n\n \n\n23\n\n​\n\n \n\n32\n\n​\n\n \n\n11\n\n​\n\nTotal nonperforming assets\n\n​\n\n$\n\n33,495\n\n​\n\n$\n\n23,697\n\n​\n\n$\n\n10,568\n\n​\n\n$\n\n11,290\n\n​\n\n$\n\n6,309\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal nonperforming loans to net loans\n\n​\n\n​\n\n0.64\n\n%\n\n​\n\n0.57\n\n%\n\n​\n\n0.18\n\n%\n\n​\n\n0.21\n\n%\n\n​\n\n0.15\n\n%\n\nTotal nonperforming loans to total assets\n\n​\n\n​\n\n0.53\n\n%\n\n​\n\n0.46\n\n%\n\n​\n\n0.15\n\n%\n\n​\n\n0.17\n\n%\n\n​\n\n0.13\n\n%\n\nTotal nonperforming assets to total assets\n\n​\n\n​\n\n0.64\n\n%\n\n​\n\n0.47\n\n%\n\n​\n\n0.23\n\n%\n\n​\n\n0.26\n\n%\n\n​\n\n0.20\n\n%\n\n​\n\nThe Company adopted ASU 2022-02, “Financial Instruments – Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures,” effective July 1, 2023. The amendments in ASU 2022-02 eliminated the recognition and measurement of TDRs and enhanced disclosures for loan modifications to borrowers experiencing financial difficulty. At June 30, 2026, modifications totaled $31.8 million. Modifications made during the year ended June 30, 2026, totaled $5.8 million, of which none were considered nonperforming. Of the remaining $26.0 million in modifications, two loans totaling $769,000 were considered nonperforming and were included in the nonaccrual loan total above. At June 30, 2025, modifications totaled $28.2 million. Modifications made during the year ended June 30, 2025, totaled $25.7 million, of which one loan totaling $24,000 was considered nonperforming and included in the nonaccrual loan total above. The remaining $25.6 million in modifications as of June 30, 2025, complied with the modified terms for a reasonable period of time and were therefore considered by the Company to be accrual status loans at that date.\n\n18\n\n[Table of Contents](#TOC)\n\nReal Estate Owned. Real estate properties acquired through foreclosure or by deed in lieu of foreclosure are recorded at the lower of cost or fair value, less estimated disposition costs, which establishes a new cost basis. If fair value at the date of foreclosure is lower than the balance of the related loan, the difference will be charged-off to the ACL at the time of transfer. Management periodically updates real estate valuations and if the value declines, a specific provision for losses on such property is established by a charge to noninterest expense. At June 30, 2026, the Company’s balance of real estate owned totaled $5.6 million, of which $5.5 million was in non-residential properties.\n\nAsset Classification. Applicable regulations require that each insured institution review and classify its assets on a regular basis. In addition, in connection with examinations of insured institutions, regulatory examiners have authority to identify problem assets and, if appropriate, require them to be classified. There are three classifications for problem assets: substandard, doubtful and loss. Substandard assets must have one or more defined weaknesses and are characterized by the distinct possibility that the insured institution will sustain some loss if the deficiencies are not corrected. Doubtful assets have the weaknesses of substandard assets with the additional characteristic that the weaknesses make collection or liquidation in full on the basis of currently existing facts, conditions and values questionable, and there is a high possibility of loss. An asset classified loss is considered uncollectible and of such little value that continuance as an asset of the institution is not warranted. When an insured institution classifies problem assets as loss, it charges off the balance of the assets. Assets which do not currently expose the Bank to sufficient risk to warrant classification in one of the aforementioned categories but possess weaknesses, may be designated as special mention. The Bank’s determination as to the classification of its assets and the amount of its valuation allowances is subject to review by the FRB and the Missouri Division of Finance, which can order the establishment of additional loss allowances.\n\nOn the basis of management’s review of the assets of the Company, at June 30, 2026, adversely classified assets totaled $59.5 million, or 1.14% of total assets as compared to $50.3 million, or 1.00% of total assets at June 30, 2025. Of the amount adversely classified as of June 30, 2026, $53.7 million was considered substandard, and none was considered doubtful. Included in adversely classified assets at June 30, 2026, were various loans totaling $53.7 million (see Note 3 of Notes to the Consolidated Financial Statements contained in Item 8 for more information on adversely classified loans) and foreclosed real estate and repossessed assets totaling $5.8 million. Adversely classified loans are so designated due to concerns regarding the borrower’s ability to generate sufficient cash flows to service the debt. Adversely classified loans totaling $24.8 million had been placed on nonaccrual status at June 30, 2026, of which $18.5 million were more than 30 days delinquent. Of the remaining $28.9 million of adversely classified loans, $1.2 million was more than 30 days delinquent.\n\nOther Loans of Concern. In addition to the adversely classified assets above, there were also other loans with respect to which management has concerns as to the ability of the borrowers to continue to comply with present loan terms, which may ultimately result in the adverse classification of such assets. These loans continued to perform according to contractual terms as of June 30, 2026, but were identified as having elevated risk due to concerns regarding the borrower’s ability to continue to generate sufficient cash flows to service the debt. At June 30, 2026, these other loans of concern totaled $105.7 million, as compared to $77.0 million at June 30, 2025. This increase was primarily from 41 loans, mostly secured by agriculture real estate, agriculture production, owner-occupied commercial real estate, and commercial and industrial loans, which properties were experiencing decreases in cashflow. Agricultural real estate and production lending borrowers continue to experience financial pressure from lower commodity prices and elevated input costs.\n\n​\n\nAllowance for Credit Losses. The Bank’s ACL is established through a provision for credit losses based on management’s expectation of lifetime credit losses on financial assets held at amortized cost. Management estimates the ACL using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Adjustments may be made to historical loss information for differences identified in current loan-specific risk characteristics, such as differences in underwriting standards or terms; lending review systems; experience, ability, or depth of lending management and staff; portfolio growth and mix; delinquency levels and trends; as well as for changes in environmental conditions, such as changes in economic activity or employment, agricultural economic conditions, property values, or other relevant factors. These provisions for credit losses are charged against earnings in the year they are established. The Bank had an ACL at June 30, 2026, of $54.9 million, which represented 164% of nonperforming assets as compared to an allowance of $51.6 million, which represented 218% of nonperforming assets at June 30, 2025.\n\n19\n\n[Table of Contents](#TOC)\n\nAt June 30, 2026, the Bank also had an ACL for off-balance sheet credit exposures of $4.4 million, as compared to $3.9 million at June 30, 2025. This amount is maintained as a separate liability account to cover estimated credit losses associated with off-balance sheet credit instruments such as off-balance sheet loan commitments, standby letters of credit, and guarantees. The increase was attributable primarily to an increase in unfunded commitments.\n\nAlthough management believes that it uses the best information available to determine the allowance, unforeseen market conditions could result in adjustments and net earnings could be significantly affected if circumstances differ substantially from assumptions used in making the final determination. Future additions to the allowance will likely be the result of periodic loan, property and collateral reviews and thus cannot be predicted with certainty in advance. Further discussion of the methodology used in establishing the allowance is provided in Note 1 and Note 3 of the Notes to the Consolidated Financial Statements contained in Item 8, and in the “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Critical Accounting Policies and Estimates – Allowance for Credit Losses” section of Item 7 of this Form 10-K.\n\n​\n\n20\n\n[Table of Contents](#TOC)\n\nThe following table sets forth an analysis of the Bank’s ACL for the periods indicated. Where specific loan loss reserves have been established, any difference between the loss reserve and the amount of loss realized has been charged or credited to current income.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n \n\n**Year Ended June 30, **\n\n​\n\n​\n\n  ​ ​ ​\n\n**2026**\n\n**  ​ ​ ​**\n\n​\n\n**2025**\n\n**  ​ ​ ​**\n\n​\n\n​\n\n(Dollars in thousands)\n\n​\n\nAllowance at beginning of period\n\n​\n\n$\n\n51,629\n\n​\n\n​\n\n$\n\n52,516\n\n​\n\nRecoveries:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOne- to four-family residential\n\n​\n\n​\n\n1\n\n​\n\n​\n\n​\n\n46\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n2,000\n\n​\n\n​\n\n​\n\n—\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n122\n\n​\n\n​\n\n​\n\n—\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n​\n\n47\n\n​\n\nConstruction and land development\n\n​\n\n​\n\n1\n\n​\n\n​\n\n​\n\n—\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n​\n\n—\n\n​\n\nCommercial and industrial\n\n​\n\n​\n\n69\n\n​\n\n​\n\n​\n\n67\n\n​\n\nAgriculture production\n\n​\n\n​\n\n66\n\n​\n\n​\n\n​\n\n2\n\n​\n\nConsumer\n\n​\n\n​\n\n389\n\n​\n\n​\n\n​\n\n87\n\n​\n\nAll other loans\n\n​\n\n​\n\n2\n\n​\n\n​\n\n​\n\n—\n\n​\n\nTotal recoveries\n\n​\n\n​\n\n2,650\n\n​\n\n​\n\n​\n\n249\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nCharge offs:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOne- to four-family residential\n\n​\n\n​\n\n813\n\n​\n\n​\n\n​\n\n89\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n2,986\n\n​\n\n​\n\n​\n\n3,800\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n81\n\n​\n\n​\n\n​\n\n122\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n​\n\n—\n\n​\n\nConstruction and land development\n\n​\n\n​\n\n192\n\n​\n\n​\n\n​\n\n1\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n—\n\n​\n\n​\n\n​\n\n—\n\n​\n\nCommercial and industrial\n\n​\n\n​\n\n2,467\n\n​\n\n​\n\n​\n\n1,508\n\n​\n\nAgriculture production\n\n​\n\n​\n\n2,696\n\n​\n\n​\n\n​\n\n1,052\n\n​\n\nConsumer\n\n​\n\n​\n\n1,103\n\n​\n\n​\n\n​\n\n411\n\n​\n\nAll other loans\n\n​\n\n​\n\n—\n\n​\n\n​\n\n​\n\n—\n\n​\n\nTotal charge offs\n\n​\n\n​\n\n10,338\n\n​\n\n​\n\n​\n\n6,983\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nNet charge offs\n\n​\n\n​\n\n(7,688)\n\n​\n\n​\n\n​\n\n(6,734)\n\n​\n\nProvision for credit losses\n\n​\n\n​\n\n10,971\n\n​\n\n​\n\n​\n\n5,847\n\n​\n\nBalance at end of period\n\n​\n\n$\n\n54,912\n\n​\n\n​\n\n$\n\n51,629\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nRatio of ACL to total loans outstanding at the end of the period\n\n​\n\n​\n\n1.25\n\n%\n\n​\n\n​\n\n1.26\n\n%\n\nRatio of nonaccrual loans to total loans outstanding at the end of the period\n\n​\n\n​\n\n0.69\n\n%\n\n​\n\n​\n\n0.56\n\n%\n\nRatio of ACL to nonaccrual loans\n\n​\n\n​\n\n198.56\n\n%\n\n​\n\n​\n\n224.08\n\n%\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nAverage loans outstanding by loan category:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOne- to four-family residential\n\n​\n\n$\n\n1,042,989\n\n​\n\n​\n\n$\n\n962,110\n\n​\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n887,942\n\n​\n\n​\n\n​\n\n861,165\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n453,501\n\n​\n\n​\n\n​\n\n429,444\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n451,558\n\n​\n\n​\n\n​\n\n409,836\n\n​\n\nConstruction and land development\n\n​\n\n​\n\n297,862\n\n​\n\n​\n\n​\n\n322,245\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n284,215\n\n​\n\n​\n\n​\n\n237,495\n\n​\n\nCommercial and industrial\n\n​\n\n​\n\n530,912\n\n​\n\n​\n\n​\n\n494,663\n\n​\n\nAgriculture production\n\n​\n\n​\n\n210,570\n\n​\n\n​\n\n​\n\n199,828\n\n​\n\nConsumer\n\n​\n\n​\n\n51,062\n\n​\n\n​\n\n​\n\n53,694\n\n​\n\nAll other loans\n\n​\n\n​\n\n9,156\n\n​\n\n​\n\n​\n\n4,946\n\n​\n\nTotal average loans outstanding by loan category\n\n​\n\n$\n\n4,219,767\n\n​\n\n​\n\n$\n\n3,975,426\n\n​\n\n21\n\n[Table of Contents](#TOC)\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nRatio of net charge offs to average loans outstanding by loan category:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOne- to four-family residential\n\n​\n\n​\n\n0.08\n\n%\n\n​\n\n​\n\n0.00\n\n%\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n0.11\n\n%\n\n​\n\n​\n\n0.44\n\n%\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n(0.01)\n\n%\n\n​\n\n​\n\n0.03\n\n%\n\nMulti-family real estate\n\n​\n\n​\n\n—\n\n%\n\n​\n\n​\n\n(0.01)\n\n%\n\nConstruction and land development\n\n​\n\n​\n\n0.06\n\n%\n\n​\n\n​\n\n0.00\n\n%\n\nAgriculture real estate\n\n​\n\n​\n\n—\n\n%\n\n​\n\n​\n\n—\n\n%\n\nCommercial and industrial\n\n​\n\n​\n\n0.45\n\n%\n\n​\n\n​\n\n0.29\n\n%\n\nAgriculture production\n\n​\n\n​\n\n1.25\n\n%\n\n​\n\n​\n\n0.53\n\n%\n\nConsumer\n\n​\n\n​\n\n1.40\n\n%\n\n​\n\n​\n\n0.60\n\n%\n\nAll other loans\n\n​\n\n​\n\n(0.02)\n\n%\n\n​\n\n​\n\n—\n\n%\n\nRatio of net charge offs to average loans outstanding during the period\n\n​\n\n​\n\n0.18\n\n%\n\n​\n\n​\n\n0.17\n\n%\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nThe following table sets forth the breakdown of the ACL by loan category for the periods indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n​\n\n​\n\n**2026**\n\n​\n\n​\n\n**2025**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Percent of**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Percent of**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Loans in**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Loans in**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Each**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Each**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Category**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Category**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**to Total**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**to Total**\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Loans**\n\n​\n\n​\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Loans**\n\n​\n\n​\n\n​\n\n(Dollars in thousands)\n\nOne- to four-family residential\n\n​\n\n$\n\n12,085\n\n​\n\n​\n\n24.72\n\n%\n\n​\n\n$\n\n10,274\n\n​\n\n​\n\n24.20\n\n%\n\nNon-owner occupied commercial real estate\n\n​\n\n​\n\n10,952\n\n​\n\n​\n\n21.04\n\n​\n\n​\n\n​\n\n12,241\n\n​\n\n​\n\n21.66\n\n​\n\nOwner occupied commercial real estate\n\n​\n\n​\n\n5,265\n\n​\n\n​\n\n10.75\n\n​\n\n​\n\n​\n\n4,521\n\n​\n\n​\n\n10.80\n\n​\n\nMulti-family real estate\n\n​\n\n​\n\n3,095\n\n​\n\n​\n\n10.70\n\n​\n\n​\n\n​\n\n4,329\n\n​\n\n​\n\n10.31\n\n​\n\nConstruction and land development\n\n​\n\n \n\n3,202\n\n​\n\n​\n\n7.06\n\n​\n\n​\n\n \n\n4,788\n\n​\n\n​\n\n8.11\n\n​\n\nAgriculture real estate\n\n​\n\n​\n\n6,388\n\n​\n\n​\n\n6.74\n\n​\n\n​\n\n​\n\n4,194\n\n​\n\n​\n\n5.97\n\n​\n\nCommercial and industrial\n\n​\n\n \n\n6,604\n\n​\n\n​\n\n12.58\n\n​\n\n​\n\n \n\n6,952\n\n​\n\n​\n\n12.44\n\n​\n\nAgriculture production\n\n​\n\n​\n\n6,275\n\n​\n\n​\n\n4.99\n\n​\n\n​\n\n​\n\n3,374\n\n​\n\n​\n\n5.03\n\n​\n\nConsumer\n\n​\n\n \n\n1,043\n\n​\n\n​\n\n1.21\n\n​\n\n​\n\n \n\n952\n\n​\n\n​\n\n1.35\n\n​\n\nAll other loans\n\n​\n\n​\n\n3\n\n​\n\n​\n\n0.21\n\n​\n\n​\n\n​\n\n4\n\n​\n\n​\n\n0.13\n\n​\n\nTotal allowance for credit losses\n\n​\n\n$\n\n54,912\n\n​\n\n​\n\n100.00\n\n%\n\n​\n\n$\n\n51,629\n\n​\n\n​\n\n100.00\n\n%\n\n​\n\nFor additional information regarding our allowance for credit losses, see Note 3 “Loans and Allowance for Credit Losses” of the Notes to Consolidated Financial Statements contained in Item 8 of this Form 10-K.\n\nInvestment Activities\n\nGeneral. Under Missouri law, the Bank is permitted to invest in various types of liquid assets, including U.S. Government and State of Missouri obligations, securities of various federal agencies, certain certificates of deposit of insured banks and savings institutions, banker’s acceptances, repurchase agreements, federal funds, commercial paper, investment grade corporate debt securities and obligations of States and their political sub-divisions. Generally, the investment policy of the Company is to invest funds among various categories of investments and repricing characteristics based upon the Bank’s need for liquidity, to provide collateral for borrowings and public unit deposits, to help reach financial performance targets and to help maintain asset/liability management objectives.\n\nThe Company’s investment portfolio is managed in accordance with the Bank’s investment policy which was adopted by the Board of Directors of the Bank and is implemented by members of the asset/liability management committee which consists of the Chairman of the Board, the President/Chief Administrative Officer, the Chief Financial Officer, the Chief Operations Officer, the Chief Lending Officer, and four outside directors.\n\n22\n\n[Table of Contents](#TOC)\n\nInvestment purchases and/or sales must be authorized by the asset/liability management committee or an authorized executive officer, depending on the aggregate size of the investment transaction, prior to any investment transaction. The Board of Directors of the Bank reviews all investment transactions. All investment purchases are identified as available-for-sale (\"AFS\") at the time of purchase. The Company has not classified any investment securities as held-to-maturity over the last five years. Securities classified as AFS must be reported at fair value with unrealized gains and losses, net of tax, recorded as a separate component of stockholders’ equity. At June 30, 2026, AFS securities totaled $450.8 million (not including FHLB and Federal Reserve Bank membership stock, or other equity securities without readily-determinable fair values). For information regarding the amortized cost and market values of the Company’s investments, see Note 2 of Notes to the Consolidated Financial Statements contained in Item 8.\n\nDuring fiscal 2025, the Company entered into derivative financial instruments, primarily interest rate swaps, to convert certain long term fixed rate loans to floating rates to manage interest rate risk, facilitate asset/liability management strategies and manage other exposures. As of June 30, 2026, the Company had executed four interest rate swaps, designated as fair value hedges, with original notional amounts totaling $60.0 million.\n\nDuring fiscal 2026, the Company entered into two interest rate swap contracts that are not designated as hedging instruments. These derivative contracts relate to transactions in which the Company enters into interest rate swap contracts with customers to assist them in managing their interest rate risk while executing offsetting interest rate swaps with an upstream counterparty.\n\nDebt and Other Securities. At June 30, 2026, the Company’s debt and other securities portfolio totaled $96.7 million, or 1.8% of total assets as compared to $101.4 million, or 2.0% of total assets at June 30, 2025. During fiscal 2026, the Bank had $11.5 million in maturities, no sales, and $14.0 million in purchases of these securities. Of the securities that matured, $10.3 million was called for early redemption. At June 30, 2026, the investment securities portfolio included $23.4 million in obligations of states and political subdivisions, and $28.1 million in corporate obligations. All of the obligations of states and political subdivisions and corporate obligations are subject to early redemption at the option of the issuer. The investment portfolio also included $42.3 million of asset-backed securities at June 30, 2026, all of which are subject to early redemption. The remaining portfolio consists of $3.0 million in other securities, primarily SBA pools. Based on projected maturities, the weighted average life of the debt and other securities portfolio at June 30, 2026, was 49 months. Membership stock held in the FHLB of Des Moines, totaling $10.9 million, and in the Federal Reserve Bank of St. Louis, totaling $9.2 million, along with equity stock of $929,000 in various correspondent (bankers’) banks, was not included in the above totals.\n\nMortgage-Backed Securities. At June 30, 2026, mortgage-backed securities (“MBS”) totaled $354.1 million, or 6.8%, of total assets, as compared to $359.5 million, or 7.2%, of total assets at June 30, 2025. During fiscal 2026, the Bank had maturities and prepayments of $61.8 million, no sales, and $46.3 million in purchases of MBS. At June 30, 2026, the MBS portfolio included $146.0 million in fixed-rate residential MBS issued by government-sponsored enterprises (GSEs), $98.9 million in fixed-rate commercial MBS issued by GSEs, and $109.2 million in fixed rate collateralized mortgage obligations (“CMOs”) issued by GSEs generally consisting of underlying residential property loans, all of which passed the Federal Financial Institutions Examination Council’s sensitivity test. Based on projected prepayment rates, the weighted average life of the fixed rate MBS and CMOs at June 30, 2026, was 56 months. Actual prepayment rates experienced, which often vary due to changes in market interest rates, may cause the anticipated average life of MBS portfolio to extend or shorten as compared to prepayment rates anticipated.\n\n​\n\n23\n\n[Table of Contents](#TOC)\n\nInvestment Securities Analysis\n\nThe following table sets forth the Company’s debt and other securities portfolio, at carrying value, at the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n​\n\n​\n\n​\n\n**2026**\n\n​\n\n**2025**\n\n​\n\n​\n\n**2024**\n\n​\n\n​\n\n​\n\n**Fair**\n\n​\n\n**Percent of**\n\n​\n\n**Fair**\n\n​\n\n**Percent of**\n\n​\n\n​\n\n**Fair**\n\n​\n\n**Percent of**\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**Value**\n\n**  ​ ​ ​**\n\n**Portfolio**\n\n​\n\n**Value**\n\n**  ​ ​ ​**\n\n**Portfolio**\n\n​\n\n​\n\n**Value**\n\n**  ​ ​ ​**\n\n**Portfolio**\n\n​\n\n​\n\n​\n\n(Dollars in thousands)\n\n​\n\nObligations of states and political subdivisions\n\n​\n\n$\n\n23,384\n\n​\n\n​\n\n24.18\n\n%\n\n​\n\n$\n\n24,263\n\n​\n\n​\n\n23.94\n\n%\n\n​\n\n$\n\n27,753\n\n​\n\n​\n\n22.56\n\n%\n\nCorporate obligations\n\n​\n\n​\n\n28,072\n\n​\n\n​\n\n29.02\n\n​\n\n​\n\n​\n\n30,642\n\n​\n\n​\n\n30.23\n\n​\n\n​\n\n​\n\n31,277\n\n​\n\n​\n\n25.42\n\n​\n\nAsset-backed securities\n\n​\n\n​\n\n42,306\n\n​\n\n​\n\n43.74\n\n​\n\n​\n\n​\n\n42,481\n\n​\n\n​\n\n41.92\n\n​\n\n​\n\n​\n\n58,679\n\n​\n\n​\n\n47.69\n\n​\n\nOther securities\n\n​\n\n \n\n2,955\n\n​\n\n​\n\n3.06\n\n​\n\n​\n\n \n\n3,964\n\n​\n\n​\n\n3.91\n\n​\n\n​\n\n \n\n5,333\n\n​\n\n​\n\n4.33\n\n​\n\nTotal\n\n​\n\n$\n\n96,717\n\n​\n\n​\n\n100.00\n\n%\n\n​\n\n$\n\n101,350\n\n​\n\n​\n\n100.00\n\n%\n\n​\n\n$\n\n123,042\n\n​\n\n​\n\n100.00\n\n%\n\nAt June 30, 2026, the Company had no debt securities that were not carried at fair value.\n\n​\n\nThe following table sets forth the maturities and weighted average yields of AFS debt securities in the Company’s investment securities portfolio at June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Available for Sale Securities**\n\n \n\n​\n\n​\n\n**June 30, 2026**\n\n \n\n​\n\n​\n\n**Amortized**\n\n​\n\n**Fair**\n\n​\n\n**Tax-Equiv.**\n\n \n\n​\n\n  ​ ​ ​\n\n**Cost**\n\n  ​ ​ ​\n\n**Value**\n\n  ​ ​ ​\n\n**Wtd.-Avg. Yield**\n\n \n\n​\n\n​\n\n(Dollars in thousands)\n\n \n\nObligations of states and political subdivisions:\n\n​\n\n​\n\n  ​\n\n​\n\n​\n\n  ​\n\n​\n\n  ​\n\n​\n\nDue within 1 year\n\n​\n\n$\n\n1,433\n\n​\n\n$\n\n1,430\n\n \n\n2.27\n\n%\n\nDue after 1 year but within 5 years\n\n​\n\n \n\n7,505\n\n​\n\n \n\n7,232\n\n \n\n2.09\n\n​\n\nDue after 5 years but within 10 years\n\n​\n\n \n\n14,303\n\n​\n\n \n\n13,506\n\n \n\n2.64\n\n​\n\nDue over 10 years\n\n​\n\n \n\n1,305\n\n​\n\n \n\n1,216\n\n \n\n3.21\n\n​\n\nTotal\n\n​\n\n \n\n24,546\n\n​\n\n \n\n23,384\n\n \n\n2.48\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nCorporate obligations:\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nDue within 1 year\n\n​\n\n \n\n7,061\n\n​\n\n \n\n7,066\n\n \n\n1.64\n\n​\n\nDue after 1 year but within 5 years\n\n​\n\n \n\n11,241\n\n​\n\n \n\n11,316\n\n \n\n3.21\n\n​\n\nDue after 5 years but within 10 years\n\n​\n\n \n\n9,926\n\n​\n\n \n\n9,690\n\n \n\n2.64\n\n​\n\nDue over 10 years\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\nTotal\n\n​\n\n \n\n28,228\n\n​\n\n \n\n28,072\n\n \n\n2.64\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nAsset-backed securities:\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nDue within 1 year\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\nDue after 1 year but within 5 years\n\n​\n\n \n\n5,420\n\n​\n\n \n\n5,504\n\n \n\n3.74\n\n​\n\nDue after 5 years but within 10 years\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\nDue over 10 years\n\n​\n\n \n\n36,591\n\n​\n\n \n\n36,802\n\n \n\n4.00\n\n​\n\nTotal\n\n​\n\n \n\n42,011\n\n​\n\n \n\n42,306\n\n \n\n3.97\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nOther securities:\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\nDue within 1 year\n\n​\n\n \n\n5\n\n​\n\n \n\n5\n\n \n\n6.99\n\n​\n\nDue after 1 year but within 5 years\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\nDue after 5 years but within 10 years\n\n​\n\n \n\n2,758\n\n​\n\n \n\n2,711\n\n \n\n5.56\n\n​\n\nDue over 10 years\n\n​\n\n \n\n230\n\n​\n\n \n\n239\n\n \n\n7.58\n\n​\n\nTotal\n\n​\n\n \n\n2,993\n\n​\n\n \n\n2,955\n\n \n\n5.72\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal debt and other securities\n\n​\n\n$\n\n97,778\n\n​\n\n$\n\n96,717\n\n \n\n3.75\n\n%\n\n​\n\n24\n\n[Table of Contents](#TOC)\n\nThe following table sets forth certain information at June 30, 2026 regarding the dollar amount of MBS and CMOs at amortized cost due, based on their contractual terms to maturity, but does not include scheduled payments or potential prepayments. MBS and CMOs that have adjustable rates are shown at amortized cost as maturing at their next repricing date.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n  ​ ​ ​\n\n**At June 30, 2026**\n\n​\n\n​\n\n(Dollars in thousands)\n\nAmounts due:\n\n​\n\n​\n\n  ​\n\nWithin 1 year\n\n​\n\n$\n\n3,847\n\nAfter 1 year through 3 years\n\n​\n\n \n\n19,503\n\nAfter 3 years through 5 years\n\n​\n\n \n\n25,014\n\nAfter 5 years\n\n​\n\n \n\n317,126\n\nTotal\n\n​\n\n$\n\n365,490\n\n​\n\nThe following table sets forth the dollar amount of all MBS and CMOs at amortized cost due, based on their contractual terms to maturity, one year after June 30, 2026, which have fixed, floating, or adjustable interest rates.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**At June 30, 2026**\n\n​\n\n \n\n(Dollars in thousands)\n\nInterest rate terms on amounts due after 1 year:\n\n​\n\n \n\n  ​\n\nFixed\n\n \n\n$\n\n201,078\n\nAdjustable\n\n​\n\n​\n\n164,412\n\nTotal\n\n \n\n$\n\n365,490\n\n​\n\nThe following table sets forth certain information with respect to each MBS and CMO security at the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**At June 30, **\n\n​\n\n​\n\n**2026**\n\n​\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n​\n\n**Amortized**\n\n​\n\n**Fair**\n\n​\n\n**Amortized**\n\n​\n\n**Fair**\n\n​\n\n**Amortized**\n\n​\n\n**Fair**\n\n​\n\n  ​ ​ ​\n\n**Cost**\n\n  ​ ​ ​\n\n**Value**\n\n  ​ ​ ​\n\n**Cost**\n\n  ​ ​ ​\n\n**Value**\n\n  ​ ​ ​\n\n**Cost**\n\n  ​ ​ ​\n\n**Value**\n\n​\n\n \n\n​\n\n(Dollars in thousands)\n\nResidential MBS issued by GSEs\n\n​\n\n$\n\n148,840\n\n​\n\n$\n\n146,007\n\n​\n\n$\n\n138,377\n\n​\n\n$\n\n134,995\n\n​\n\n$\n\n110,918\n\n​\n\n$\n\n104,755\n\nCommercial MBS issued by GSEs\n\n​\n\n \n\n103,148\n\n​\n\n \n\n98,886\n\n​\n\n \n\n96,377\n\n​\n\n \n\n92,002\n\n​\n\n \n\n65,195\n\n​\n\n \n\n59,746\n\nCMOs issued by GSEs\n\n​\n\n \n\n113,502\n\n​\n\n \n\n109,165\n\n​\n\n \n\n137,346\n\n​\n\n \n\n132,497\n\n​\n\n \n\n148,382\n\n​\n\n \n\n140,360\n\nTotal\n\n​\n\n$\n\n365,490\n\n​\n\n$\n\n354,058\n\n​\n\n$\n\n372,100\n\n​\n\n$\n\n359,494\n\n​\n\n$\n\n324,495\n\n​\n\n$\n\n304,861\n\n​\n\nDeposit Activities and Other Sources of Funds\n\nGeneral. The Company’s primary sources of funds are deposits, borrowings, payments of principal and interest on loans, MBS and CMOs, interest and principal received on investment securities and other short-term investments, and funds provided from operating results. Loan repayments are a relatively stable source of funds, while deposit inflows and outflows and loan prepayments are significantly influenced by general market interest rates and overall economic conditions.\n\nBorrowings, including FHLB advances, have been used at times to provide additional liquidity. Borrowings are used on an overnight or short-term basis to compensate for periodic fluctuations in cash flows, and are used on a longer term basis to fund loan growth and to help manage the Company’s sensitivity to fluctuating interest rates.\n\nDeposits. The Bank’s depositors are generally residents and entities located in the States of Missouri, Arkansas, Illinois, or Kansas. Deposits are attracted from within the Bank’s market area through the offering of a broad selection of deposit instruments, including interest-bearing and noninterest-bearing transaction accounts, money market deposit accounts, saving accounts, certificates of deposit and retirement savings plans. At times, the Company will utilize brokered deposits in lieu of borrowings, subject to market pricing and availability. For larger depositors, such as public units, the Company often utilizes a reciprocal deposit program to provide additional FDIC coverage to our customer\n\n25\n\n[Table of Contents](#TOC)\n\nthrough other financial institutions while conveniently allowing management of the deposit relationship through our institution. Deposit account terms vary according to the minimum balance required, the time periods the funds may remain on deposit and the interest rate, among other factors. In determining the terms of its deposit accounts, the Bank considers current market interest rates, profitability to the Bank, managing interest rate sensitivity and its customer preferences and concerns. The Bank’s Asset/Liability Committee regularly reviews its deposit mix and pricing.\n\nThe Bank will periodically promote a particular deposit product as part of its overall marketing plan. Deposit products have been promoted through various mediums, which include digital and social media, television, radio and newspaper advertisements, as well as “grassroots” marketing techniques, such as sponsorship of – or activity at – community events. The emphasis of these campaigns is to increase consumer awareness and market share of the Bank.\n\nThe flow of deposits is influenced significantly by general economic conditions, changes in prevailing interest rates, and competition. Based on its experience, the Bank believes that its deposits are relatively stable sources of funds. However, the ability of the Bank to attract and maintain money market deposit accounts, savings accounts, and certificates of deposit, and the rates paid on these deposits, has been and will continue to be significantly affected by market conditions. The following table depicts the composition of the Bank’s deposits as of June 30, 2026:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**As of June 30, 2026**\n\n​\n\n**Weighted**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n \n\n​\n\n**Average**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Percentage**\n\n​\n\n**Interest**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Minimum**\n\n​\n\n​\n\n​\n\n​\n\n**of Total**\n\n​\n\n**Rate**\n\n**  ​ ​ ​**\n\n​\n\n**Term**\n\n**  ​ ​ ​**\n\n**Category**\n\n**  ​ ​ ​**\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Balance**\n\n**  ​ ​ ​**\n\n**Deposits**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n(Dollars in thousands)\n\n​\n\n​\n\n​\n\n0.00\n\n%\n\n​\n\nNone\n\n​\n\nNon-interest Bearing\n\n​\n\n$\n\n100\n\n​\n\n$\n\n560,704\n\n​\n\n12.72\n\n%\n\n1.76\n\n​\n\n​\n\nNone\n\n​\n\nNOW Accounts\n\n​\n\n \n\n100\n\n​\n\n \n\n1,074,489\n\n​\n\n24.38\n\n​\n\n2.33\n\n​\n\n​\n\nNone\n\n​\n\nSavings Accounts\n\n​\n\n \n\n100\n\n​\n\n \n\n707,482\n\n​\n\n16.05\n\n​\n\n2.59\n\n​\n\n​\n\nNone\n\n​\n\nMoney Market Deposit Accounts\n\n​\n\n \n\n1,000\n\n​\n\n \n\n325,004\n\n​\n\n7.37\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n \n\n​\n\nCertificates of Deposit\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n3.82\n\n​\n\n​\n\n6 months or less\n\n​\n\nFixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n345,815\n\n​\n\n7.85\n\n​\n\n3.51\n\n​\n\n​\n\n6 months or less\n\n​\n\nIRA Fixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n11,208\n\n​\n\n0.25\n\n​\n\n3.76\n\n​\n\n​\n\n7-12 months\n\n​\n\nFixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n751,837\n\n​\n\n17.06\n\n​\n\n3.56\n\n​\n\n​\n\n7-12 months\n\n​\n\nIRA Fixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n47,338\n\n​\n\n1.07\n\n​\n\n4.00\n\n​\n\n​\n\n13-24 months\n\n​\n\nFixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n394,344\n\n​\n\n8.95\n\n​\n\n3.88\n\n​\n\n​\n\n13-24 months\n\n​\n\nIRA Fixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n42,814\n\n​\n\n0.97\n\n​\n\n3.49\n\n​\n\n​\n\n13-24 months\n\n​\n\nVariable Rate/Term\n\n​\n\n​\n\n1,000\n\n​\n\n​\n\n1,794\n\n​\n\n0.04\n\n​\n\n2.77\n\n​\n\n​\n\n13-24 months\n\n​\n\nIRA Variable Rate/Term\n\n​\n\n​\n\n1,000\n\n​\n\n​\n\n2,713\n\n​\n\n0.06\n\n​\n\n4.05\n\n​\n\n​\n\n25-36 months\n\n​\n\nFixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n57,782\n\n​\n\n1.31\n\n​\n\n3.38\n\n​\n\n​\n\n25-36 months\n\n​\n\nIRA Fixed Rate/Term\n\n​\n\n​\n\n1,000\n\n​\n\n​\n\n3,742\n\n​\n\n0.08\n\n​\n\n3.49\n\n​\n\n​\n\n48 months and more\n\n​\n\nFixed Rate/Term\n\n​\n\n​\n\n1,000\n\n​\n\n​\n\n70,840\n\n​\n\n1.61\n\n​\n\n2.95\n\n​\n\n​\n\n48 months and more\n\n​\n\nIRA Fixed Rate/Term\n\n​\n\n \n\n1,000\n\n​\n\n \n\n9,940\n\n​\n\n0.23\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n \n\n​\n\n​\n\n$\n\n4,407,846\n\n​\n\n100.00\n\n%\n\n​\n\nAs of June 30, 2026 and 2025, an estimated $835.1 million and $834.9 million respectively, of our deposit portfolio was uninsured. At June 30, 2026, $254.9 million of the uninsured amount was collateralized and at June 30, 2025, $294.3 million of the uninsured amount was collateralized. The uninsured amounts are estimates based on the methodologies and assumptions used for Southern Bank’s regulatory reporting requirements.\n\n​\n\n26\n\n[Table of Contents](#TOC)\n\nThe following table sets forth the portion of our time deposits that are in denominations in excess of $250,000, by remaining time until maturity, as of June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Maturity Period**\n\n**  ​ ​ ​**\n\n**Amount**\n\n​\n\n​\n\n(Dollars in thousands)\n\nThree months or less\n\n​\n\n$\n\n175,296\n\nOver three through six months\n\n​\n\n \n\n142,645\n\nOver six through twelve months\n\n​\n\n \n\n195,414\n\nOver 12 months\n\n​\n\n \n\n172,207\n\nTotal\n\n​\n\n$\n\n685,562\n\n​\n\nFor additional information regarding our deposits, see Note 5, “Deposits” of the Notes to Consolidated Financial Statements contained in Item 8 of this Form 10-K.\n\nTime Deposits by Rates\n\nThe following table sets forth the time deposits in the Bank classified by rates at the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**At June 30, **\n\n​\n\n**  ​ ​ ​**\n\n**2026**\n\n**  ​ ​ ​**\n\n**2025**\n\n**  ​ ​ ​**\n\n**2024**\n\n​\n\n \n\n(Dollars in thousands)\n\n0.00 - 0.99%\n\n​\n\n$\n\n1,932\n\n​\n\n$\n\n6,211\n\n​\n\n$\n\n17,862\n\n1.00 - 1.99%\n\n​\n\n \n\n7,915\n\n​\n\n \n\n14,021\n\n​\n\n \n\n33,395\n\n2.00 - 2.99%\n\n​\n\n \n\n36,413\n\n​\n\n \n\n8,314\n\n​\n\n \n\n46,195\n\n3.00 - 3.99%\n\n​\n\n \n\n1,186,394\n\n​\n\n \n\n240,321\n\n​\n\n \n\n149,095\n\n4.00 - 4.99%\n\n​\n\n \n\n507,413\n\n​\n\n \n\n1,347,081\n\n​\n\n \n\n671,562\n\n5.00 - 5.99%\n\n​\n\n​\n\n100\n\n​\n\n​\n\n32,646\n\n​\n\n​\n\n412,418\n\n6.00% and above\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n4,879\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal\n\n​\n\n$\n\n1,740,167\n\n​\n\n$\n\n1,648,594\n\n​\n\n$\n\n1,335,406\n\n​\n\nThe following table sets forth the amount and maturities of all time deposits at June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**Amount Due**\n\n \n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**Percent**\n\n** **\n\n​\n\n​\n\n**Less**\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**of Total**\n\n** **\n\n​\n\n​\n\n**Than One**\n\n​\n\n**1-2**\n\n​\n\n**2-3**\n\n​\n\n**3-4**\n\n​\n\n**After**\n\n​\n\n​\n\n​\n\n​\n\n**Certificate**\n\n** **\n\n​\n\n**  ​ ​ ​**\n\n**Year**\n\n**  ​ ​ ​**\n\n**Years**\n\n**  ​ ​ ​**\n\n**Years**\n\n**  ​ ​ ​**\n\n**Years**\n\n**  ​ ​ ​**\n\n**4 Years**\n\n**  ​ ​ ​**\n\n**Total**\n\n**  ​ ​ ​**\n\n**Accounts**\n\n** **\n\n​\n\n \n\n(Dollars in thousands)\n\n​\n\n0.00 – 0.99%  \n\n​\n\n$\n\n1,832\n\n​\n\n$\n\n100\n\n​\n\n$\n\n—\n\n​\n\n$\n\n—\n\n​\n\n$\n\n—\n\n​\n\n$\n\n1,932\n\n \n\n0.11\n\n%\n\n1.00 – 1.99%  \n\n​\n\n \n\n6,737\n\n​\n\n \n\n1,007\n\n​\n\n \n\n85\n\n​\n\n \n\n86\n\n​\n\n \n\n—\n\n​\n\n \n\n7,915\n\n \n\n0.45\n\n​\n\n2.00 - 2.99%  \n\n​\n\n \n\n33,912\n\n​\n\n \n\n2,501\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n36,413\n\n \n\n2.09\n\n​\n\n3.00 - 3.99%  \n\n​\n\n \n\n1,023,378\n\n​\n\n \n\n112,857\n\n​\n\n \n\n15,027\n\n​\n\n \n\n16,910\n\n​\n\n \n\n18,222\n\n​\n\n \n\n1,186,394\n\n \n\n68.18\n\n​\n\n4.00 - 4.99%  \n\n​\n\n \n\n376,725\n\n​\n\n \n\n68,852\n\n​\n\n \n\n46,725\n\n​\n\n \n\n9,944\n\n​\n\n \n\n5,167\n\n​\n\n \n\n507,413\n\n \n\n29.16\n\n​\n\n5.00 - 5.99%\n\n​\n\n​\n\n100\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n—\n\n​\n\n​\n\n100\n\n​\n\n0.01\n\n​\n\n6.00% and above\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nTotal\n\n​\n\n$\n\n1,442,684\n\n​\n\n$\n\n185,317\n\n​\n\n$\n\n61,837\n\n​\n\n$\n\n26,940\n\n​\n\n$\n\n23,389\n\n​\n\n$\n\n1,740,167\n\n \n\n100.00\n\n%\n\n​\n\n27\n\n[Table of Contents](#TOC)\n\nDeposit Flow\n\nThe following table sets forth the balance of deposits in the various types of accounts offered by the Bank at the dates indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**At June 30, **\n\n​\n\n​\n\n**2026**\n\n**  ​ ​**\n\n**2025**\n\n​\n\n**2024**\n\n​\n\n​\n\n​\n\n​\n\n**  ​**\n\n**Percent of**\n\n​\n\n**Increase**\n\n​\n\n​\n\n​\n\n**  ​**\n\n**Percent of**\n\n​\n\n**Increase**\n\n  ​\n\n​\n\n​\n\n**  ​**\n\n**Percent of**\n\n​\n\n**Increase**\n\n​\n\n**  ​ ​ ​**\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Total**\n\n**  ​ ​ ​**\n\n**(Decrease)**\n\n**  ​ ​ ​**\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Total**\n\n**  ​ ​ ​**\n\n**(Decrease)**\n\n**  ​ ​ ​**\n\n**Amount**\n\n**  ​ ​ ​**\n\n**Total**\n\n**  ​ ​ ​**\n\n**(Decrease)**\n\n​\n\n​\n\n(Dollars in thousands)\n\nNoninterest bearing\n\n​\n\n$\n\n560,704\n\n \n\n12.72\n\n%  \n\n$\n\n52,594\n\n​\n\n$\n\n508,110\n\n \n\n11.87\n\n%  \n\n$\n\n(5,997)\n\n​\n\n$\n\n514,107\n\n \n\n13.01\n\n%  \n\n$\n\n(83,493)\n\nNOW checking\n\n​\n\n \n\n1,074,489\n\n \n\n24.38\n\n​\n\n \n\n(57,809)\n\n​\n\n \n\n1,132,298\n\n \n\n26.45\n\n​\n\n \n\n(107,365)\n\n​\n\n \n\n1,239,663\n\n \n\n31.36\n\n​\n\n \n\n(88,760)\n\nSavings accounts\n\n​\n\n \n\n707,482\n\n \n\n16.05\n\n​\n\n \n\n46,367\n\n​\n\n \n\n661,115\n\n \n\n15.44\n\n​\n\n \n\n144,031\n\n​\n\n \n\n517,084\n\n \n\n13.08\n\n​\n\n \n\n234,331\n\nMoney market deposit\n\n​\n\n \n\n325,004\n\n \n\n7.37\n\n​\n\n \n\n(6,247)\n\n​\n\n \n\n331,251\n\n \n\n7.74\n\n​\n\n \n\n(5,548)\n\n​\n\n \n\n336,799\n\n \n\n8.52\n\n​\n\n \n\n(115,929)\n\nFixed-rate certificates which mature(1):\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n​\n\nWithin one year\n\n​\n\n \n\n1,442,684\n\n \n\n32.73\n\n​\n\n \n\n218,212\n\n​\n\n \n\n1,224,472\n\n \n\n28.60\n\n​\n\n \n\n141,901\n\n​\n\n \n\n1,082,571\n\n \n\n27.39\n\n​\n\n \n\n392,071\n\nWithin three years\n\n​\n\n \n\n233,161\n\n \n\n5.29\n\n​\n\n \n\n(126,087)\n\n​\n\n \n\n359,248\n\n \n\n8.39\n\n​\n\n \n\n209,639\n\n​\n\n \n\n149,609\n\n \n\n4.02\n\n​\n\n \n\n(128,305)\n\nAfter three years\n\n​\n\n \n\n50,329\n\n \n\n1.14\n\n​\n\n \n\n(552)\n\n​\n\n \n\n50,881\n\n \n\n1.19\n\n​\n\n \n\n(45,135)\n\n​\n\n \n\n96,016\n\n \n\n2.43\n\n​\n\n \n\n394\n\nVariable-rate certificates which mature:\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n​\n\n \n\n  ​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n  ​\n\n \n\n  ​\n\n​\n\n \n\n​\n\nWithin one year\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n—\n\n​\n\n \n\n—\n\n \n\n—\n\n​\n\n \n\n​\n\nWithin three years\n\n​\n\n \n\n13,993\n\n \n\n0.32\n\n​\n\n \n\n—\n\n​\n\n \n\n13,993\n\n \n\n0.33\n\n​\n\n \n\n6,783\n\n​\n\n \n\n7,210\n\n \n\n0.18\n\n​\n\n \n\n7,210\n\nTotal\n\n​\n\n$\n\n4,407,846\n\n \n\n100.00\n\n%  \n\n$\n\n126,478\n\n​\n\n$\n\n4,281,368\n\n \n\n100.00\n\n%  \n\n$\n\n338,309\n\n​\n\n$\n\n3,943,059\n\n \n\n100.00\n\n%  \n\n$\n\n217,519\n\n(1)At June 30, 2026, 2025, and 2024, certificates in excess of $100,000 totaled $1.2 billion, $1.2 billion, and $887.9 million, respectively.\n\nThe following table sets forth the deposit activities of the Bank for the periods indicated.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**At June 30, **\n\n​\n\n**  ​ ​ ​**\n\n**2026**\n\n**  ​ ​ ​**\n\n**2025**\n\n**  ​ ​ ​**\n\n**2024**\n\n​\n\n \n\n(Dollars in thousands)\n\nBeginning Balance\n\n​\n\n$\n\n4,281,368\n\n​\n\n$\n\n3,943,059\n\n​\n\n$\n\n3,725,540\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nNet increase before interest credited\n\n​\n\n \n\n17,269\n\n​\n\n \n\n222,536\n\n​\n\n \n\n115,813\n\nInterest credited\n\n​\n\n \n\n109,209\n\n​\n\n \n\n115,773\n\n​\n\n \n\n101,706\n\nNet increase in deposits\n\n​\n\n \n\n126,478\n\n​\n\n \n\n338,309\n\n​\n\n \n\n217,519\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nEnding balance\n\n​\n\n$\n\n4,407,846\n\n​\n\n$\n\n4,281,368\n\n​\n\n$\n\n3,943,059\n\n​\n\nIn the unlikely event the Bank is liquidated, depositors will be entitled to payment of their deposit accounts prior to any payment being made to the Company as the sole stockholder of the Bank.\n\nBorrowings. As a member of the FHLB of Des Moines, the Bank has the ability to apply for FHLB advances. These advances are available under various credit programs, each of which has its own maturity, interest rate and repricing characteristics. Additionally, FHLB advances have prepayment penalties as well as limitations on size or term. In order to utilize FHLB advances, the Bank must be a member of the FHLB system, have sufficient collateral to secure the requested advance and own stock in the FHLB equal to 4.00% of the amount borrowed and 0.10% for letters of credit. See \"REGULATION – The Bank – Federal Home Loan Bank System.\"\n\nAlthough deposits are the Bank’s primary and preferred source of funds, the Bank has actively used FHLB advances as a source of funds as well. The Bank’s general policy has been to utilize borrowings to meet short-term liquidity needs, or to provide a longer-term source of funding loan growth when other cheaper funding sources are unavailable or to aide in asset/liability management. As of June 30, 2026, the Bank had $130.4 million in outstanding FHLB advances, including $102.0 million in fixed-rate long term advances, and $28.4 million in daily reset borrowings. In order for the Bank to borrow from the FHLB, it has reported $1.6 billion of its residential, multi-family, and commercial real estate loans to the FHLB as eligible collateral for available credit of approximately $1.0 billion, and has purchased $10.9 million in membership stock in the FHLB of Des Moines. Of the available credit, in addition to the\n\n28\n\n[Table of Contents](#TOC)\n\namount advanced, $656,000 is encumbered in relation to residential real estate loans sold onto the secondary market through the FHLB, while there were no letters of credit issued to secure public unit deposits. At June 30, 2026, the Bank had additional borrowing capacity on its reported residential and commercial real estate loans pledged to the FHLB of approximately $918.4 million, as compared to $752.6 million at June 30, 2025.\n\nAdditionally, the Bank is approved to borrow from the Federal Reserve Bank’s discount window on a primary credit basis. Primary credit is available to approved institutions on a generally short-term basis at the “discount rate” set by the FOMC. The Bank has pledged agricultural real estate and other loans to farmers as collateral for any amounts borrowed through the discount window. As of June 30, 2026, the Bank was approved to borrow up to $355.4 million through the discount window, but no balance was outstanding.\n\nSouthern Missouri Statutory Trust I, a Delaware business trust subsidiary of the Company, issued $7.0 million in Floating Rate Capital Securities (the \"Trust Preferred Securities\") with a liquidation value of $1,000 per share in March, 2004. The securities are due in 30 years, were redeemable after five years and bear interest at a floating rate based on SOFR. At June 30, 2026, the current rate was 6.68%. The securities represent undivided beneficial interests in the trust, which was established by Southern Missouri Bancorp for the purpose of issuing the securities. The Trust Preferred Securities were sold in a private transaction exempt from registration under the Securities Act of 1933, as amended (the \"Act\") and have not been registered under the Act. The securities may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.\n\nSouthern Missouri Statutory Trust I used the proceeds of the sale of the Trust Preferred Securities to purchase Junior Subordinated Debentures of Southern Missouri Bancorp. Southern Missouri Bancorp is using the net proceeds for working capital and investment in its subsidiaries. Trust Preferred Securities currently qualify as Tier I Capital for regulatory purposes. See \"Regulation\" for further discussion on the treatment of the trust-preferred securities.\n\nIn its October 2013 acquisition of Ozarks Legacy, the Company assumed $3.1 million in floating rate junior subordinated debt securities. The securities had been issued in June 2005 by Ozarks Legacy in connection with the sale of trust preferred securities, bear interest at a floating rate based on SOFR, are now redeemable at par, and mature in 2035. At June 30, 2026, the carrying value was $2.8 million, and bore interest at a current coupon rate of 6.38% and an effective rate of 7.97%.\n\nIn the Peoples Acquisition, the Company assumed $6.5 million in floating rate junior subordinated debt securities. The debt securities had been issued in 2005 by PBC in connection with the sale of trust preferred securities, bear interest at a floating rate based on SOFR, are now redeemable at par, and mature in 2035. At June 30, 2026, the carrying value was $5.7 million and bore interest at a current coupon rate of 5.73% and an effective rate of 7.91%.\n\nIn the February 2022 acquisition of Fortune Financial Corporation (Fortune), the Company assumed $7.5 million in fixed-to-floating rate subordinated notes. The notes had been issued in May 2021 by Fortune to a multi-lender group, bore interest through May 2026 at a fixed rate of 4.5% and were to bear interest thereafter at SOFR plus 3.77%. The Company retired this debt in May, 2026 when the notes became redeemable.\n\n​\n\n29\n\n[Table of Contents](#TOC)\n\nThe following table sets forth certain information regarding short-term borrowings by the Bank at the end of the periods indicated:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**Year Ended June 30, **\n\n \n\n​\n\n**  ​ ​ ​**\n\n**2026**\n\n**  ​ ​ ​**\n\n**2025**\n\n**  ​ ​ ​**\n\n**2024**\n\n** **\n\n​\n\n​\n\n(Dollars in thousands)\n\n \n\nYear end balances\n\n \n\n​\n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n​\n\n  ​\n\n​\n\nShort-term FHLB advances\n\n​\n\n$\n\n28,400\n\n​\n\n$\n\n—\n\n​\n\n$\n\n—\n\n​\n\nSecurities sold under agreements to repurchase\n\n​\n\n \n\n20,000\n\n​\n\n \n\n15,000\n\n​\n\n \n\n9,398\n\n​\n\n​\n\n​\n\n$\n\n48,400\n\n​\n\n$\n\n15,000\n\n​\n\n$\n\n9,398\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nWeighted average rate at year end\n\n​\n\n \n\n4.01\n\n%\n\n \n\n5.35\n\n%\n\n \n\n4.80\n\n%\n\n​\n\nThe following table presents the maturity of term borrowings, along with associated weighted average rates as of June 30, 2026.\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**June 30, 2026**\n\n​\n\n**Wtd-Avg**\n\n​\n\n**FHLB Advance Maturities by Fiscal Year**\n\n  ​ ​ ​\n\n(dollars in thousands)\n\n​\n\n**Rate**\n\n​\n\n2027\n\n​\n\n$\n\n65,424\n\n​\n\n3.99\n\n%\n\n2028\n\n​\n\n​\n\n45,000\n\n​\n\n4.08\n\n​\n\n2029\n\n​\n\n​\n\n20,000\n\n​\n\n4.12\n\n​\n\n2030\n\n​\n\n​\n\n—\n\n​\n\n—\n\n​\n\n2031\n\n​\n\n​\n\n—\n\n​\n\n—\n\n​\n\nThereafter\n\n​\n\n​\n\n—\n\n​\n\n—\n\n​\n\nTotal\n\n​\n\n$\n\n130,424\n\n​\n\n4.04\n\n%\n\n​\n\nThe following table sets forth certain information as to the Bank’s borrowings for the periods indicated:\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n**  ​ ​ ​**\n\n**Year Ended June 30, **\n\n \n\n​\n\n**  ​ ​ ​**\n\n**2026**\n\n**  ​ ​ ​**\n\n**2025**\n\n**  ​ ​ ​**\n\n**2024**\n\n** **\n\n​\n\n \n\n(Dollars in thousands)\n\n​\n\nFHLB advances\n\n \n\n​\n\n  ​\n\n \n\n​\n\n  ​\n\n \n\n​\n\n  ​\n\n​\n\nDaily average balance\n\n​\n\n$\n\n112,026\n\n​\n\n$\n\n110,254\n\n​\n\n$\n\n123,986\n\n​\n\nWeighted average interest rate\n\n​\n\n \n\n4.16\n\n%\n\n \n\n4.16\n\n%\n\n \n\n4.03\n\n%\n\nMaximum outstanding at any month end\n\n​\n\n$\n\n168,327\n\n​\n\n$\n\n134,352\n\n​\n\n$\n\n247,286\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\n​\n\nSubordinated Debt\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\n \n\n​\n\n​\n\nDaily average balance\n\n​\n\n$\n\n22,298\n\n​\n\n$\n\n23,182\n\n​\n\n$\n\n23,130\n\n​\n\nWeighted average interest rate\n\n​\n\n \n\n6.53\n\n%\n\n \n\n7.02\n\n%\n\n \n\n7.53\n\n%\n\nMaximum outstanding at month end\n\n​\n\n$\n\n23,253\n\n​\n\n$\n\n23,208\n\n​\n\n$\n\n23,156\n\n​\n\n​\n\nOther Services\n\nThe Bank offers fiduciary and investment management services through its Southern Wealth Management division. The division has traditionally offered investment management services, and in fiscal 2023, as part of the Citizens merger, added fiduciary services including trust management and employee benefits. Assets under management were $818.7 million at June 30, 2026, as compared to $645.8 million at June 30, 2025. The Bank offers commercial and consumer insurance products through Southern Insurance Services, LLC, an independent insurance agency. Commission revenue was $1.4 million for fiscal 2026, compared to $1.3 million for fiscal 2025.\n\n**Subsidiary Activities**\n\nThe Bank has three active subsidiaries, SB Corning, LLC, SB Real Estate Investments, LLC, and Southern Insurance Services, LLC. In addition, the Bank has four inactive subsidiaries, Fortune Investment Group, LLC, Fortune Insurance Group, LLC, Fortune SBA, LLC, and SMS Financial Services, Inc. SB Corning, LLC represents investment in\n\n30\n\n[Table of Contents](#TOC)\n\na limited partnership formed for the purpose of generating low income housing tax credits. The initial investment in this subsidiary was $1.5 million, and at June 30, 2026, the carrying value of the investment was $24,000. SB Real Estate Investments, LLC is a wholly owned subsidiary of the Bank formed to hold Southern Bank Real Estate Investments, LLC. Southern Bank Real Estate Investments, LLC is a REIT which is majority-owned by the investment subsidiary, but has other preferred shareholders in order to meet the requirements to be a REIT. At June 30, 2026, SB Real Estate Investments, LLC held assets of approximately $1.7 billion. Southern Bank Real Estate Investments, LLC held assets of approximately $1.5 billion. Southern Insurance Services, LLC is an entity acquired in the Gideon acquisition, and is engaged in the brokerage of commercial and consumer insurance products. Assets held by this subsidiary are immaterial. Fortune Investment Group, LLC is an entity acquired in the Fortune acquisition that was engaged in the brokerage of wealth management products, with no assets or liabilities at June 30, 2026, and is currently inactive. Fortune Insurance Group, LLC is an entity acquired in the Fortune acquisition that was engaged in the sale of commercial and consumer insurance products, and is currently inactive. Fortune SBA, LLC is an entity acquired in the Fortune acquisition, and was engaged in the origination of SBA guaranteed loans, sale of the guaranteed portion of the loan, and servicing of loans. At June 30, 2026, Fortune SBA, LLC held no assets or liabilities and is currently inactive. SMS Financial Services, Inc. is a wholly owned subsidiary of the Bank, which had no assets or liabilities at June 30, 2026, and is currently inactive.\n\n**Employees and Human Capital Resources**\n\nAs of June 30, 2026, the Company had 711 full-time employees and 28 part-time employees for a total of 739 employees (collectively, our “Team Members”). The Company believes that our Team Members play the most important role in the success of a service company like the Bank, and that the Company’s relationship with its Team Members is good. None of the Company’s Team Members are represented by a collective bargaining unit.\n\nOur human capital objectives include attracting, developing, and retaining the best available talent from a diverse pool of candidates for our team. To do so, we maintain competitive pay and benefits, regularly updating our compensation structure and periodically working with outside consultants to review our compensation and benefit programs. Additionally, the Company’s training committee identifies opportunities and paths for development of our staff, and our Company seeks to, whenever possible, fill positions by promotion from within. Among our senior leadership and leadership teams, 38% of these leaders have been promoted to their position from within. Training opportunities include Team Member-directed pursuits, internally developed training programs, professional development conferences and seminars, as well as other programs or studies that are appropriate for Team Members based on their current position and career path.\n\nWe recognize the importance of our Team Members’ financial health, and offer benefits such as a 401(K) retirement savings plan and make both matching and profit-sharing contributions to that plan, which also includes the Company’s stock as an investment option. Our health benefit options include PPO and HSA-eligible coverage at affordable cost to participants.\n\nOur talent acquisition practices are designed to attract top talent and foster an inclusive and respectful workplace. We recruit, hire, and promote employees based on their individual ability and experience and in accordance with laws and regulations. Our policy is that we do not discriminate on the basis of race, color, religion, sex, gender, sexual orientation, ancestry, pregnancy, medical condition, age, marital status, national origin, citizenship status, disability, veteran status, gender identity, genetic information, or any other status protected by law. We believe that a sense of belonging is essential for providing a work environment where everyone can perform their very best. We are committed to fostering an environment that encourages diverse viewpoints, backgrounds and experiences.\n\nWe are committed to serving the communities where our Team Members live, work and play, believing that by strengthening our communities and demonstrating our commitment to them, we build relationships with existing and potential customers and with the larger community. We support our communities through a variety of sponsorships and financial contributions to non-profit agencies across our footprint. We also make Team Member involvement in our communities a priority, encourage Team Members to spend time supporting local organizations, and specifically budget funds each year to support local programs. We are proud of the efforts Team Members make to invest their time in their communities, and we appreciate the impact of that investment on the health of our communities and our organization.\n\n​\n\n31\n\n[Table of Contents](#TOC)\n\nGOVERNMENT SUPERVISION AND REGULATION\n\nThe following is a brief description of certain laws and regulations applicable to the supervision and regulation of the Company and the Bank. Descriptions of laws and regulations here and elsewhere in this report do not purport to be complete and are qualified in their entirety by reference to the actual laws and regulations. Legislation is introduced from time to time in the United States Congress or the Missouri state legislature that may affect the operations of the Company and the Bank. In addition, the regulations governing us may be amended from time to time. Any such legislation or regulatory changes in the future could adversely affect our operations and financial condition.\n\nThe Bank\n\nGeneral. As a state-chartered, federally insured trust company with banking powers, the Bank is subject to extensive regulation. Lending activities and other investments must comply with various statutory and regulatory requirements, including prescribed minimum capital standards. The Bank is regularly examined by the FRB and the Missouri Division of Finance and files periodic reports concerning the Bank’s activities and financial condition with its regulators. The Bank’s relationship with depositors and borrowers also is regulated to a great extent by both federal law and the laws of Missouri, especially in such matters as the ownership of deposit accounts and the form and content of mortgage documents.\n\nFederal and state banking laws and regulations govern all areas of the operation of the Bank, including reserves, loans, mortgages, capital, trust services issuance of securities, payment of dividends, and establishment of branches. Federal and state bank regulatory agencies also have the general authority to limit the dividends paid by insured banks and bank holding companies if such payments should be deemed to constitute an unsafe and unsound practice, and in other circumstances. The FRB, as the primary federal regulator of the Company and the Bank, has authority to impose penalties, initiate civil and administrative actions and take other steps intended to prevent banks from engaging in unsafe or unsound practices.\n\nState Regulation and Supervision. As a state-chartered trust company with banking powers, the Bank is subject to applicable provisions of Missouri law and the regulations of the Missouri Division of Finance. Missouri law and regulations govern the Bank’s ability to take deposits and pay interest thereon, to make loans on or invest in residential and other real estate, to make consumer loans, to invest in securities, to offer various banking services to its customers, and to establish branch offices.\n\nFederal Reserve System. Depository institutions like the Bank are subject to reserve requirements established by the FRB. These reserves may be in the form of cash or deposits with the institution’s regional Federal Reserve Bank. In March, 2020, the FRB reduced the reserve requirement ratio to 0% for all account types, eliminating reserve requirements for all depository institutions, to support lending to households and businesses. At June 30, 2026, the reserve requirement continued to be 0%.\n\nThe Bank is authorized to borrow from the Federal Reserve Bank \"discount window.\" The purpose of the discount window is to provide an additional backstop funding option for eligible depository institutions seeking to supplement their funding sources, particularly to meet unexpected short-term funding needs. Depository institutions like the Bank would typically utilize FHLB borrowings before borrowing from the Federal Reserve Bank’s discount window.\n\nFederal Home Loan Bank System. The Bank is a member of the FHLB of Des Moines, which is one of 11 regional FHLBs that provide home financing credit. Each FHLB serves as a reserve or central bank for its members within its assigned region. It is funded primarily from proceeds derived from the sale of consolidated obligations of the FHLB System and makes loans or advances to members in accordance with policies and procedures established by the Board of Directors of the FHLB of Des Moines, which are subject to the oversight of the Federal Housing Finance Agency. All advances from the FHLB are required to be fully secured by sufficient collateral as determined by the FHLB. In addition, all long-term advances are required to provide funds for residential home financing. See Business - Deposit Activities and Other Sources of Funds - Borrowings.\n\n32\n\n[Table of Contents](#TOC)\n\nAs a member, the Bank is required to purchase and maintain stock in the FHLB of Des Moines. At June 30, 2026, the Bank had $10.9 million in FHLB stock, which was in compliance with this requirement. The Bank received $841,000 and $795,000 in dividends from the FHLB of Des Moines for the years ended June 30, 2026 and 2025, respectively.\n\nFederal Deposit Insurance Corporation*.* The Bank’s deposits are insured up to applicable limits by the Deposit Insurance Fund (“DIF”) of the FDIC. The general insurance limit is $250,000 per account relationship. As insurer, the FDIC imposes deposit insurance premiums and is authorized to conduct examinations of and to require reporting by FDIC-insured institutions. It also may prohibit any FDIC-insured institution from engaging in any activity the FDIC determines by regulation or order to pose a serious risk to the DIF. The FDIC also has the authority to initiate enforcement actions against a member bank of the FRB after giving the FRB an opportunity to take such action. In accordance with the Dodd-Frank Act, the FDIC has issued regulations setting insurance premium assessments based on an institution’s total assets minus its Tier 1 capital instead of its deposits. The Bank’s FDIC premiums are based on its supervisory ratings and certain financial ratios.\n\nThe FDIC has authority to increase insurance assessments and any significant increases would have an adverse effect on the operating expenses and results of operations of the Bank. We cannot predict what assessment rates will be in the future.\n\nInsurance of deposits may be terminated by the FDIC upon a finding that the institution has engaged in unsafe or unsound practices, is in an unsafe or unsound condition to continue operations or has violated any applicable law, regulation, rule, order or condition imposed by the FDIC. Management of the Bank is not aware of any practice, condition or violation that might lead to termination of the Bank’s deposit insurance.\n\nStandards for Safety and Soundness. The federal banking regulatory agencies have prescribed, by regulation, standards for all insured depository institutions relating to: (i) internal controls, information systems and internal audit systems; (ii) loan documentation; (iii) credit underwriting; (iv) interest rate risk exposure; (v) asset growth; (vi) asset quality; (vii) earnings; and (viii) compensation, fees and benefits (\"Guidelines\"). The Guidelines set forth the safety and soundness standards that the federal banking agencies use to identify and address problems at insured depository institutions before capital becomes impaired. If the FRB determines that the Bank fails to meet any standard prescribed by the Guidelines, the agency may require the Bank to submit to the agency an acceptable plan to achieve compliance with the standard.\n\nGuidance on Subprime Mortgage Lending. The federal banking agencies have issued guidance on subprime mortgage lending to address issues related to certain mortgage products marketed to subprime borrowers, particularly adjustable rate mortgage products that can involve \"payment shock\" and other risky characteristics. Although the guidance focuses on subprime borrowers, the banking agencies note that institutions should look to the principles contained in the guidance when offering such adjustable rate mortgages to non-subprime borrowers. The guidance prohibits predatory lending programs; provides that institutions should underwrite a mortgage loan on the borrower’s ability to repay the debt by its final maturity at the fully-indexed rate, assuming a fully amortizing repayment schedule; encourages reasonable workout arrangements with borrowers who are in default; mandates clear and balanced advertisements and other communications; encourages arrangements for the escrowing of real estate taxes and insurance; and states that institutions should develop strong control and monitoring systems.\n\nThe federal banking agencies have announced their intention to carefully review the risk management and consumer compliance processes, policies and procedures of their supervised financial institutions and their intention to take action against institutions that engage in predatory lending practices, violate consumer protection laws or fair lending laws, engage in unfair or deceptive acts or practices, or otherwise engage in unsafe or unsound lending practices.\n\nGuidance on Commercial Real Estate Concentrations*.*The federal banking agencies have issued guidance on sound risk management practices for concentrations in commercial real estate lending. The particular focus is on exposure to commercial real estate loans that are dependent on the cash flow from the real estate held as collateral and that are likely to be sensitive to conditions in the commercial real estate market (as opposed to real estate collateral held as a secondary source of repayment or as an abundance of caution). The purpose of the guidance is not to limit a bank’s\n\n33\n\n[Table of Contents](#TOC)\n\ncommercial real estate lending but to guide banks in developing risk management practices and maintaining capital levels commensurate with the level and nature of real estate concentrations. A bank that has experienced rapid growth in commercial real estate lending, has notable exposure to a specific type of commercial real estate loan, or is approaching or exceeding the following supervisory criteria may be identified for further supervisory analysis with respect to real estate concentration risk: total loans for construction, land development, and other land represent 100% or more of the bank’s total capital; or total commercial real estate loans (as defined in the guidance) greater than 300% of the Bank’s total capital and an increase in the bank’s commercial real estate portfolio of 50% or more during the prior 36 months. See also, “Risk Factors- We currently exceed thresholds defined in interagency guidance on commercial real estate concentrations, and as such, we may incur additional expense or slow the growth of certain categories of commercial real estate lending.”\n\nRegulatory Capital Requirements*.*The Bank is required to maintain specified levels of regulatory capital under federal banking regulations. The capital adequacy requirements are quantitative measures established by regulation that require the Bank to maintain minimum amounts and ratios of capital to risk-weighted assets and, in the case of the leverage ratio, to average assets. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by bank regulators that, if undertaken, could have a direct material effect on the Company’s financial statements.\n\nUnder applicable capital regulations, the minimum capital ratios to be considered adequately capitalized are: (1) a Common Equity Tier 1 (“CET1”) capital ratio of 4.5% of risk-weighted assets; (2) a Tier 1 capital ratio of 6.0% of risk-weighted assets; (3) a total capital ratio of 8.0% of risk-weighted assets; and (4) a leverage ratio (the ratio of Tier 1 capital to average total adjusted assets) of 4.0%. In addition to the minimum CET1, Tier 1 and total capital ratios, the capital regulations require a capital conservation buffer consisting of additional CET1 capital greater than 2.5% of risk-weighted assets above the required minimum risk-based 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. At June 30, 2026, the Bank reported risk-based capital ratios meeting the capital conservation buffer.\n\nCET1 generally consists of common stock; retained earnings; accumulated other comprehensive income (“AOCI”) except in the case of banking organizations that have elected to exclude AOCI from regulatory capital, as discussed below; and certain minority interests; all subject to applicable regulatory adjustments and deductions. Regulatory capital is also subject to adjustments and deductions relating to certain items, including deferred tax assets, mortgage servicing assets and other specified assets, depending upon applicable regulatory thresholds.\n\nIn addition to the capital requirements, the Bank is subject to the prompt corrective action (PCA) standards of the FRB, in order to be considered well-capitalized, the Bank must have a ratio of CET1 capital to risk-weighted assets of at least 6.5%, a ratio of Tier 1 capital to risk-weighted assets of at least 8%, a ratio of total capital to risk-weighted assets of at least 10%, and a leverage ratio of at least 5%; and in order to be considered adequately capitalized, it must have the minimum capital ratios described above. At June 30, 2026, the Bank was categorized as “well capitalized” under these prompt corrective action standards. Although only the Bank is subject to the PCA guidelines, the Company is subject to, and exceeds, the following minimum regulatory capital requirements: a common equity tier 1 capital ratio of 4.5 percent, a tier 1 capital ratio of 6 percent, a total capital ratio of 8 percent of risk-weighted assets, and a leverage ratio of 4 percent. For additional information regarding regulatory capital, see Note 12 of Notes to the Consolidated Financial Statements contained in Item 8.\n\nActivities and Investments of Insured State-Chartered Banks. Subject to certain regulatory exceptions, the FDIA and FDIC regulations provide that an insured state-chartered bank may not, directly, or indirectly through a subsidiary, engage as \"principal\" in any activity that is not permissible for a national bank unless the FDIC has determined that such activities would pose no risk to the Deposit Insurance Fund and that the bank is in compliance with applicable regulatory capital requirements.\n\nUnder regulations dealing with equity investments, an insured state bank generally may not directly or indirectly acquire or retain any equity investment of a type, or in an amount, that is not permissible for a national bank. An insured state bank is not prohibited from, among other things, (i) acquiring or retaining a majority interest in a\n\n34\n\n[Table of Contents](#TOC)\n\nsubsidiary, (ii) investing as a limited partner in a partnership the sole purpose of which is direct or indirect investment in the acquisition, rehabilitation or new construction of a qualified housing project, provided that such limited partnership investments may not exceed 2% of the bank’s total assets, (iii) acquiring up to 10% of the voting stock of a company that solely provides or reinsures directors’, trustees’ and officers’ liability insurance coverage or bankers’ blanket bond group insurance coverage for insured depository institutions, and (iv) acquiring or retaining the voting shares of a depository institution if certain requirements are met.\n\nAffiliate Transactions. The Company and the Bank are separate and distinct legal entities. Various legal limitations restrict the Bank from lending to or otherwise engaging in transactions with the Company (or any other affiliate), generally limiting such transactions with an affiliate to 10% of the Bank’s capital and surplus and limiting all such transactions with all affiliates to 20% of the Bank’s capital and surplus. Such transactions, including extensions of credit, sales of securities or assets and provision of services, also must be on terms and conditions consistent with safe and sound banking practices, including credit standards, that are substantially the same or at least as favorable to the Bank as those prevailing at the time for transactions with unaffiliated companies.\n\nFederally insured banks are subject, with certain exceptions, to certain additional restrictions (including collateralization) on extensions of credit to their parent holding companies or other affiliates, on investments in the stock or other securities of affiliates and on the taking of such stock or securities as collateral from any borrower. In addition, such banks are prohibited from engaging in certain tying arrangements in connection with any extension of credit or the providing of any property or service.\n\nCommunity Reinvestment Act. Banks are also subject to the provisions of the Community Reinvestment Act of 1977 (\"CRA\"), which requires the appropriate federal bank regulatory agency, in connection with its regular examination of a bank, to assess the bank’s record in meeting the credit needs of the community serviced by the bank, including low and moderate income neighborhoods. The regulatory agency’s assessment of the bank’s record is made available to the public. Further, such assessment is required of any bank which has applied, among other things, to establish a new branch office that will accept deposits, relocate an existing office or merge or consolidate with, or acquire the assets or assume the liabilities of, a financial institution. The Bank received a “satisfactory” rating during its most recent CRA examination.\n\nIn 2024, the federal banking regulators adopted a final rule that was intended to modernize the CRA. The final rule was subsequently challenged in litigation, and its implementation was enjoined. In July 2025, in consideration of the court’s injunction, the federal banking regulators proposed a rule that would rescind the final rule and replace it with the 1995 CRA regulations with some conforming changes.\n\nIn July 2026, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation proposed additional amendments to the CRA regulations that would, among other things, modify the standards applicable to certain banks and change certain CRA evaluation and reporting requirements. The Federal Reserve did not join that proposal. As a state-chartered Federal Reserve member bank, the Bank remains subject to the CRA regulations administered by the Federal Reserve. The Company cannot predict whether the proposed changes will be adopted, whether additional CRA rulemaking will be undertaken, or what effect any future changes to the CRA regulatory framework may have on the Bank.\n\nDividends. Dividends from the Bank constitute the major source of funds that may be paid by the Company. The amount of dividends payable by the Bank to the Company depends upon the Bank’s earnings and capital position, and is limited by federal and state laws, regulations and policies.\n\nThe amount of dividends actually paid by the Bank during any one period will be strongly affected by the Bank’s management policy of maintaining a strong capital position. Dividends can be restricted if the capital conservation buffer is not maintained as described under “Capital Rules” above.\n\nA bank holding company is required to give the FRB prior written notice of any purchase or redemption of its outstanding equity securities if the gross consideration for the purchase or redemption, when combined with the net consideration paid for all such purchases or redemptions during the preceding 12 months, is equal to 10% or more of the\n\n35\n\n[Table of Contents](#TOC)\n\ncompany’s consolidated net worth. The FRB may disapprove such a purchase or redemption if it determines that the proposal would constitute an unsafe or unsound practice or would violate any law, regulation, FRB order, or any condition imposed by, or written agreement with, the FRB. This notification requirement does not apply to any company that meets the well-capitalized standard for bank holding companies, is well-managed, and is not subject to any unresolved supervisory issues.\n\nUnder Missouri law, the Bank may pay dividends from certain undivided profits and may not pay dividends if its capital is impaired.\n\nBank Secrecy Act / Anti-Money Laundering Laws. The Bank is subject to the Bank Secrecy Act, as amended, and other federal anti-money laundering and countering the financing of terrorism laws and regulations, including provisions of the USA PATRIOT Act of 2001. These laws and regulations require the Bank to implement policies, procedures, and controls to detect, prevent, and report money laundering and terrorist financing and to verify the identity of their customers. Violations of these requirements can result in substantial civil and criminal sanctions. In addition, provisions of the USA PATRIOT Act require the federal financial institution regulatory agencies to consider the effectiveness of a financial institution's anti-money laundering activities when reviewing mergers and acquisitions.\n\nPrivacy Standards and Cybersecurity. The Bank is subject to federal regulations implementing the privacy protection provisions of the Gramm-Leach-Bliley Financial Services Modernization Act of 1999. These regulations require the Bank to disclose its privacy policy, including informing consumers of their information sharing practices and informing consumers of their rights to opt out of certain practices. In addition, on November 18, 2021, the federal banking agencies announced the adoption of a final rule providing for new notification requirements for banking organizations and their service providers for significant cybersecurity incidents. Specifically, the new rule requires a banking organization to notify its primary federal regulator as soon as possible, and no later than 36 hours after, the banking organization determines that a “computer-security incident” rising to the level of a “notification incident” has occurred. Notification is required for incidents that have materially affected or are reasonably likely to materially affect the viability of a banking organization’s operations, its ability to deliver banking products and services, or the stability of the financial sector. Service providers are required under the rule to notify affected banking organization customers as soon as possible when the provider determines that it has experienced a computer-security incident that has materially affected or is reasonably likely to materially affect the banking organization’s customers for four or more hours.\n\nFurther, on July 26, 2023, the SEC adopted final rules that require public companies to promptly disclose material cybersecurity incidents on Form 8-K and detailed information regarding their cybersecurity risk management and governance on an annual basis on Form 10-K. Companies will be required to report on Form 8-K any cybersecurity incident they determine to be material within four business days of making that determination. In addition to incident reporting, the new rules will also require companies to describe their cybersecurity processes and governance.\n\nThe Company\n\nFederal Securities Law. The stock of the Company is registered with the SEC under the Securities Exchange Act of 1934, as amended (the \"Exchange Act\"). As such, the Company is subject to the information, proxy solicitation, insider trading restrictions and other requirements of the SEC under the Exchange Act.\n\nThe Company’s stock held by persons who are affiliates (generally officers, directors and principal stockholders) of the Company may not be resold without registration or unless sold in accordance with certain resale restrictions. If the Company meets specified current public information requirements, each affiliate of the Company is able to sell in the public market, without registration, a limited number of shares in any three-month period.\n\nBank Holding Company Regulation. Bank holding companies are subject to comprehensive regulation by the FRB under the Bank Holding Company Act (“BHCA”). As a bank holding company, the Company is required to file reports with the FRB and such additional information as the FRB may require, and the Company and its non-banking affiliates are subject to examination by the FRB. Under FRB policy, a bank holding company must serve as a source of financial strength for its subsidiary banks. Under this policy the FRB may require, and has required in the past, a holding company to contribute additional capital to an undercapitalized subsidiary bank. Under the Dodd-Frank Act, this policy\n\n36\n\n[Table of Contents](#TOC)\n\nis codified and rules to implement it are to be established. Under the BHCA, a bank holding company must obtain FRB approval before: (i) acquiring, directly or indirectly, ownership or control of any voting shares of another bank or bank holding company if, after such acquisition, it would own or control more than 5% of such shares (unless it already owns or controls the majority of such shares); (ii) acquiring all or substantially all of the assets of another bank or bank holding company; or (iii) merging or consolidating with another bank holding company.\n\nThe Company is subject to the activity limitations imposed on bank holding companies that are not financial holding companies. The BHCA prohibits a bank holding company, with certain exceptions, from acquiring direct or indirect ownership or control of more than 5% of the voting shares of any company which is not a bank or bank holding company, or from engaging directly or indirectly in activities other than those of banking, managing or controlling banks, or providing services for its subsidiaries. The principal exceptions to these prohibitions involve certain activities which are permitted, by statute or by FRB regulation or order, have been identified as activities closely related to the business of banking or managing or controlling banks. The list of activities permitted by the FRB includes, among other things, operating a savings institution, mortgage company, finance company, credit card company or factoring company; performing certain data processing operations; providing certain investment and financial advice; underwriting and acting as an insurance agent for certain types of credit-related insurance; leasing property on a full-payout, non-operating basis; selling money orders, travelers’ checks and United States Savings Bonds; real estate and personal property appraising; providing tax planning and preparation services; and, subject to certain limitations, providing securities brokerage services for customers.\n\nTAXATION\n\nFederal Taxation\n\nGeneral. The Company and the Bank report their income on a fiscal year basis using the accrual method of accounting and are subject to federal income taxation in the same manner as other corporations with some exceptions, including particularly the Bank’s reserve for bad debts discussed below. The following discussion of tax matters is intended only as a summary and does not purport to be a comprehensive description of the tax rules applicable to the Bank or the Company.\n\nBad Debt Reserve. The Bank’s average assets for the current year exceeded $500 million, thus classifying it as a large bank for purposes of IRC Section 585. Under IRC Section 585(c)(3), a bank that becomes a large bank must change its method of accounting from the reserve method to a specific charge-off method under IRC Section 166. The Bank is required to follow the specific charge-off method which only allows a bad debt deduction equal to actual charge-offs, net of recoveries, experienced during the fiscal year of the deduction. In a year where recoveries exceed charge-offs, the Bank would be required to include the net recoveries in taxable income.\n\nDividends-Received Deduction. The Company may exclude from its income 100% of dividends received from the Bank as a member of the same affiliated group of corporations. The corporate dividends-received deduction is generally 50% in the case of dividends received from unaffiliated corporations with which the Company and the Bank will not file a consolidated tax return, except that if the Company or the Bank owns more than 20% of the stock of a corporation distributing a dividend, then 65% of any dividends received may be deducted.\n\nMissouri Taxation\n\nGeneral. Missouri-based banks, such as the Bank, are subject to a Missouri bank franchise and income tax.\n\nBank Franchise Tax. The Missouri bank franchise tax is imposed on the bank’s taxable income at the rate of 4.48%, less credits for certain Missouri taxes, including income taxes. However, the credits exclude taxes paid for real estate, unemployment taxes, bank tax, and taxes on tangible personal property owned by the Bank and held for lease or rentals to others - income-based calculation.\n\nIncome Tax. The Bank and its holding company and related subsidiaries are subject to an income tax that is imposed on the consolidated taxable income apportioned to Missouri at the rate of 4.0%. The return is filed on a consolidated basis by all members of the consolidated group including the Bank.\n\n37\n\n[Table of Contents](#TOC)\n\nEarnings Tax. Due to its loan activity and the acquisition of Kansas City banks in fiscal 2023, the Bank is subject to a Kansas City earnings tax. The tax is imposed on the Bank’s apportioned taxable income at a rate of 1.0%.\n\nArkansas Taxation\n\nGeneral. Due to its loan activity and the acquisitions of Arkansas banks in recent periods, the Bank is subject to an Arkansas income tax. The tax is imposed on the Bank’s apportioned taxable income at a rate of 4.3%.\n\nIllinois Taxation\n\nGeneral. Due to its loan activity and the acquisitions of Illinois banks in recent periods, the Bank and its holding company and related subsidiaries are subject to an income tax that is imposed on the consolidated taxable income apportioned to Illinois at the rate of 9.5%.\n\n**Kansas Taxation**\n\nPrivilege Tax. Due to its loan activity and the acquisitions of Kansas banks in the most recent period, the Bank is subject to a Kansas privilege tax. The tax is imposed on the Bank’s apportioned taxable income at a rate of 4.065%.\n\n**Texas Taxation**\n\nFranchise Tax.** Due to its loan activity and employees located in Texas, the Bank is subject to the Texas franchise tax. The tax is imposed on the Bank’s taxable margin apportioned to Texas based on Texas gross receipts at a rate of 0.75%.\n\n​\n\n**Audits**\n\nThe Company’s Missouri income tax returns for the fiscal years ending June 30, 2016 through 2018 are under audit by the Missouri Department of Revenue. There have been no IRS or other state audits of the Company’s federal or state income tax returns during the past five years.\n\nFor additional information regarding taxation, see Note 10 of Notes to the Consolidated Financial Statements contained in Item 8.\n\nINTERNET WEBSITE\n\nWe maintain a website with the address of www.bankwithsouthern.com. The information contained on our website is not included as a part of, or incorporated by reference into, this Annual Report on Form 10-K. This Annual Report on Form 10-K and our other reports, proxy statements and other information, including earnings press releases, filed with the SEC are available at http://investors.bankwithsouthern.com. For more information regarding access to these filings on our website, please contact our Corporate Secretary, Southern Missouri Bancorp, Inc., 2991 Oak Grove Road, Poplar Bluff, Missouri, 63901; telephone number (573) 778-1800.\n\n​"}