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Strategic Balance Sheet Management Yields a Healthy Net Interest MarginFAIRFAX, Va., Jan. 26, 2026 /PRNewswire/ -- MainStreet Bancshares, Inc. (NASDAQ:MNSB, MNSBP)), the financial holding company for MainStreet Bank, reported a net income of $15.6 million for the year-ended December 31, 2025, resulting in earnings per common share of $1.76. The Company executed a buyback of 209,000 shares during the fourth quarter as part of its share buyback plan. The Company and Bank remain strongly capitalized. "The team delivered quickly on our focused return to core banking," said Jeff W. Dick, Chairman and CEO of MainStreet Bancshares, Inc. and MainStreet Bank. "We are steadfast in increasing profitability and primed to go forward.""The net interest margin expanded to 3.46% for 2025, a 33-basis point increase from the previous year," said Alex Vari, Chief Financial Officer of MainStreet Bancshares, Inc. and MainStreet Bank. "We plan to preserve and grow this strong net interest margin and continue to control our expenses to enhance our future performance. We are laser-focused on building a strong balance sheet and our portfolio is well-positioned for the current and anticipated interest rate environment.""We continue to prove positive outcomes as we manage our asset quality and grow our loan portfolio," said Tom Floyd, Chief Lending Officer of MainStreet Bank. "Our team increased gross loans by $54 million in the fourth quarter, and we're encouraged by the momentum carrying into this year."About MainStreet Bank: MainStreet Bank is coming to Middleburg, Virginia in February 2026! Our newest branch will be located at 10 North Pendleton Street, Middleburg, Virginia 20118. In addition, MainStreet operates six branches in Herndon, Fairfax, McLean, Leesburg, Clarendon, and Washington, D.C. MainStreet Bank has over 55,000 free ATMs and a fully integrated online and mobile banking solution. The Bank is not restricted by a conventional branching system, as it can offer business customers the ability to Put Our Bank in Your Office®. With robust and easy-to-use online business banking technology, MainStreet has "put our bank" in thousands of businesses in the metropolitan area.MainStreet Bank has a robust line of business and professional lending products, including government contracting lines of credit, commercial lines and term loans, residential and commercial construction, and commercial real estate. MainStreet also works with the SBA to offer 7A and 504 lending solutions. From sophisticated cash management to enhanced mobile banking and instant-issue Debit cards, MainStreet Bank is always looking for ways to improve our customer's experience.MainStreet Bank was the first community bank in the Washington, D.C., metropolitan area to offer a full online business banking solution. MainStreet Bank was also the first bank headquartered in the Commonwealth of Virginia to offer CDARS – a solution that provides multi-million-dollar FDIC insurance. Further information on the Bank can be obtained by visiting its website at mstreetbank.com.This release contains forward-looking statements, including our expectations with respect to future events that are subject to various risks and uncertainties. The statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "estimate," "predict," "potential," "pursuant," "target," "continue," and similar expressions are intended to identify such forward-looking statements. Factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations include: fluctuation in market rates of interest and loan and deposit pricing, adverse changes in the overall national economy as well as adverse economic conditions in our specific market areas, future impacts of pandemic outbreaks, maintenance and development of well-established and valued client relationships and referral source relationships, and acquisition or loss of key production personnel. We caution readers that the list of factors above is not exclusive. The forward-looking statements are made as of the date of this release, and we may not undertake steps to update the forward-looking statements to reflect the impact of any circumstances or events that arise after the date the forward-looking statements are made. In addition, our past results of operations are not necessarily indicative of future performance. UNAUDITED CONSOLIDATED BALANCE SHEET INFORMATION(In thousands)December31, 2025September30, 2025June 30,2025March 31,2025December31, 2024*ASSETSCash and due from banks$25,179$23,940$20,888$18,384$21,351Interest-bearing deposits at other financial institutions1,2761,3158647351,711Federal funds sold136,301102,039111,532183,521184,646Total cash and cash equivalents162,756127,294133,284202,640207,708Investment securities available for sale (AFS), at fairvalue56,45458,33856,13855,93555,747Investment securities held to maturity (HTM), atamortized cost, net of allowance for credit losses of $0 for all periods15,29814,29314,84615,65716,078Restricted securities, at amortized cost7,0057,0057,0057,0056,873Loans, net of allowance for credit losses of $19,308,$18,831, $19,057, $19,460, and $19,450, respectively1,841,8331,788,2431,767,4321,811,7891,810,556Premises and equipment, net13,53013,21213,34413,02013,287Other real estate owned, net1,697————Property held for sale, at fair value2,8063,2253,225——Accrued interest and other receivables14,51813,62215,0239,60711,311Bank owned life insurance40,75240,43340,11739,80939,507Other assets56,02059,12464,36767,38367,031Total Assets$2,212,669$2,124,789$2,114,781$2,222,845$2,228,098LIABILITIES AND STOCKHOLDERS' EQUITYLiabilities:Non-interest bearing deposits$378,694$324,717$330,045$345,319$324,307Interest-bearing demand deposits119,407123,231124,090106,033139,780Savings and NOW deposits121,905125,214116,069124,04964,337Money market deposits499,334458,946463,904511,925560,082Time deposits779,844778,727764,439820,999819,288Total deposits1,899,1841,810,8351,798,5471,908,3251,907,794Subordinated debt, net69,93669,83771,23872,13873,039Other liabilities24,95825,75431,52632,76439,274Total Liabilities1,994,0781,906,4261,901,3112,013,2272,020,107Stockholders' Equity:Preferred stock27,26327,26327,26327,26327,263Common stock29,00829,83329,82529,81029,466Capital surplus66,53168,89568,26167,61267,823Retained earnings101,55798,79395,58592,30591,150Accumulated other comprehensive loss(5,768)(6,421)(7,464)(7,372)(7,711)Total Stockholders' Equity218,591218,363213,470209,618207,991Total Liabilities and Stockholders' Equity$2,212,669$2,124,789$2,114,781$2,222,845$2,228,098*Derived from audited financial statements UNAUDITED CONSOLIDATED STATEMENTS OF INCOME (LOSS) INFORMATION(In thousands, except share and per share data)Year-to-DateThree Months EndedDecember31, 2025December31, 2024*December31, 2025September30, 2025June 30,2025March 31,2025December31, 2024INTEREST INCOME:Interest and fees on loans$124,211$125,177$29,969$30,688$32,443$31,111$31,323Interest on investment securitiesTaxable securities1,7071,693421435431420431Tax-exempt securities1,0761,093276270267263262Interest on interest-bearing deposits at other financial institutions54411011102215Interest on federal funds sold4,5406,6111,1981,0601,1351,1473,088Total interest income131,588134,61531,87432,46434,28632,96335,119INTEREST EXPENSE:Interest on interest-bearing demand deposits4,1878,6611,0641,0711,0041,0482,612Interest on savings and NOW deposits1,469754390467391221201Interest on money market deposits18,85221,3864,2464,6234,7075,2765,475Interest on time deposits34,23937,3648,2448,3698,5959,03110,003Interest on federal funds purchased93575—28—65—Interest on Federal Home Loan Bank advances—46—————Interest on subordinated debt3,2033,255788804799812787Total interest expense62,04372,04114,73215,36215,49616,45319,078Net interest income69,54562,57417,14217,10218,79016,51016,041Provision for credit losses(70)6,763328144(543)—3,407Net interest income after provision for credit losses69,61555,81116,81416,95819,33316,51012,634NON-INTEREST INCOME:Deposit account service charges2,1841,996559557538530481Bank owned life insurance income1,2451,189319316308302304Gain on retirement of subordinated debt273——1456860—Gain on equity securities103———103——Net loss on securities called or matured—(48)—————Other non-interest income22211522104494722Total non-interest income4,0273,2529001,1221,066939807NON-INTEREST EXPENSES:Salaries and employee benefits31,58730,4757,5577,3668,2798,3858,253Furniture and equipment expenses3,8403,6368847991,1411,016830Advertising and marketing2,0512,199469571530481600Occupancy expenses1,4071,614293400318396358Outside services3,7763,6276886251,2901,1731,168Administrative expenses996929238259270229243Computer software intangible impairment—19,721————19,721Other operating expensesFull story available on Benzinga.com
