Merchants and Farmers Bank

Dumas, AR · Cert 8735 · M&F Financial Corp.

State charter, Fed member · FED · 3 branches

Q2 2026

$297.6MAssets

$233.9MLoans

$255.9MDeposits

$29.3MEquity

Loan mix

Deposit mix

NIM

Market Position · Little Rock-North Little Rock-Conway, AR · 2026 SOD (annual) · 0.2% share · #29 of 42 inst. · $0.1B of $36.9B

36.1% Desha

3.2% Saline

Earnings: ROA of 1.22%, down 38 bps year over year; NIM at 4.40%.
Asset quality: problem loans at 2.40% of loans (+197 bps YoY), with net charge-offs at 0.11%.

Return on Assets (YTD, annualized)

1.22%-38 bps YoY

Net Interest Margin (YTD, annualized)

4.40%-27 bps YoY

Efficiency Ratio (YTD, annualized)

65.32%+757 bps YoY

Tier 1 Leverage Ratio

10.74%-18 bps YoY

Year to date, annualized, through each quarter.

Metric	Q2 2025	Q3 2025	Q4 2025	Q1 2026	Q2 2026	YoY Δ
Earnings
Return on Assets	1.60%	1.53%	1.48%	1.17%	1.22%	-38 bps
Return on Equity	15.64%	14.82%	14.42%	11.50%	12.17%	-348 bps
Net Interest Margin	4.67%	4.52%	4.59%	4.30%	4.40%	-27 bps
Efficiency Ratio	57.75%	59.64%	60.16%	67.16%	65.32%	+757 bps
Non-Interest Burden	2.50%	2.51%	2.56%	2.74%	2.71%	+21 bps
Growth
Asset Growth (YoY)	9.49%	9.27%	6.42%	8.40%	9.23%	-27 bps
Loan Growth (YoY)	10.31%	9.34%	5.93%	7.96%	6.75%	-355 bps
Deposit Growth (YoY)	9.92%	9.78%	6.73%	13.81%	10.37%	+45 bps
Asset Quality
Nonperforming Loans / Loans	0.43%	0.71%	1.50%	3.42%	2.40%	+197 bps
Net Charge-Offs / Loans	0.08%	0.07%	0.18%	0.07%	0.11%	+3 bps
Allowance / Loans	1.31%	1.31%	1.37%	1.26%	1.27%	-4 bps
Allowance Coverage of NPLs	3.1x	1.9x	0.9x	0.4x	0.5x	-2.6x
Capital
Tier 1 Leverage Ratio	10.92%	10.79%	10.20%	10.62%	10.74%	-18 bps
Total Risk-Based Capital	14.18%	14.19%	13.89%	13.60%	13.58%	-60 bps
Equity / Assets	10.28%	10.45%	10.25%	10.07%	9.86%	-42 bps
Liquidity & Funding
Loans / Deposits	94.52%	95.23%	95.69%	88.78%	91.42%	-310 bps
Liquid Assets / Assets	0.59%	0.55%	0.53%	0.31%	0.35%	-24 bps
CRE / Total Capital	n/a	327%	334%	362%	n/a	n/a