PSB Holdings, Inc. Reports Quarterly Earnings of $0.81 Per Share

WAUSAU, Wis., July 27, 2026 (GLOBE NEWSWIRE) — PSB Holdings, Inc. (“PSB”) (OTCQX: PSBQ), the holding company for Peoples State Bank (“Peoples”) serving Northcentral and Southeastern Wisconsin reported earnings for the second quarter ending June 30, 2026 of $0.81 per diluted common share on net income of $3.3 million, which was similar to $0.82 per diluted common share on net income of $3.3 million during the first quarter ending March 31, 2026, and lower than $0.89 per diluted common share on net income of $3.6 million during the second quarter ending June 30, 2025.

PSB’s second quarter of 2026 operating results reflected the following changes from the first quarter of 2026: (1) an increase in net interest margin due to primarily a higher balance of loans; (2) lower provisions for loan credit loss due in part to stabilizing asset quality; (3) lower non-interest income; (4) lower non-interest expenses due to a decrease in salary and employee benefits; and (5) higher merger related expenses.

PSB announced on May 19, 2026 that it entered into an Agreement and Plan of Merger with Bank First Corporation (“Bank First”), under which Bank First will acquire 100% of the common stock of PSB in an all-stock transaction. Under the terms of the Agreement and Plan of Merger, each PSB shareholder will have the right to receive 0.3470 of a share of Bank First’s common stock in exchange for each share of PSB’s common stock. The aggregate consideration is valued at approximately $202.9 million, based on the closing price of Bank First common stock as of May 18, 2026, of $143.66 per share.

“We remain vigilant in our efforts to generate strong profitability for our shareholders. Operational efficiencies improved during the second quarter as we navigate our pending merger with Bank First. Our decision to merge with Bank First and the terms negotiated was greeted positively by shareholders, with an acquisition price 83% higher than the trading price the day before the merger announcement. Meanwhile, we continue to reward our shareholders with the payment of dividends,” stated Scott Cattanach, President and CEO. “We have filed all regulatory applications and are optimistic in attaining all regulatory and shareholder approvals in the third quarter with closing potentially extending into early fourth quarter.”

June 30, 2026, Highlights:

• Net income excluding merger related expenses was $3.8 million, or $0.94 per diluted common share. Additionally, the efficiency ratio excluding merger related expenses was 62.7% for the quarter ended June 30, 2026.
• Net interest income increased $259,000 to $12.1 million for the quarter ended June 30, 2026, from $11.9 million for the quarter ended March 31, 2026, due in part to higher loan balances with higher yields, repricing existing loans to higher rates and lower deposit and FHLB advance costs.
• Noninterest income decreased $200,000 to $2.1 million for the quarter ended June 30, 2026, compared to $2.3 million the prior quarter, partially due to lower investment and insurance sales commissions. The prior quarter reflected the receipt of life insurance benefits, elevated gains on sales of SBA 7A loans and other nominal revenues offset by losses on security sales.
• Noninterest expenses decreased $94,000 to $9.7 million during the quarter ended June 30, 2026 from $9.8 million for the quarter ended March 31, 2026, reflecting lower salary and benefit plan expenses related to lower incentive accruals for fiscal 2026 and staff reductions. Merger expenses were $671,000 for the second quarter ending June 30, 2026 compared to $120,000 for the quarter ended March 31, 2026.
• Net loans increased $17.6 million in the second quarter ended June 30, 2026, to $1.13 billion compared to $1.12 billion at March 31, 2026. Allowance for credit losses increased to 1.17% of gross loans.
• Non-performing assets decreased to 1.08% of total assets at June 30, 2026, compared to 1.09% the previous quarter.
• Total deposits decreased $8.8 million to $1.18 billion at June 30, 2026, from $1.19 billion at March 31, 2026. Core deposits decreased $2.5 million and brokered deposits decreased $4.4 million.
• Return on average tangible common equity was 10.62% for the quarter ended June 30, 2026 compared to 10.90% the prior quarter and 13.11% in the year ago quarter. Tangible book value per common share was up 12.6% over the past year to $31.27 at June 30, 2026, compared to $27.77 at June 30, 2025 and $30.55 at March 31, 2026.

Balance Sheet and Asset Quality Review

Total assets increased $7.23 million during the second quarter to $1.50 billion at June 30, 2026. Cash and cash equivalents decreased $1.83 million to $57.7 million at June 30, 2026, from $59.5 million at March 31, 2026, as funds were used for loan originations. Investment securities available for sale decreased $6.1 million to $165.0 million at June 30, 2026, from $171.1 million one quarter earlier.

Gross loans receivable increased $22.6 million to $1.17 billion at June 30, 2026, compared to three months earlier. Commercial real estate loans increased $11.4 million to $590.0 million at June 30, 2026, compared to three months earlier while commercial & industrial loans increased $14.3 million to $157.9 million over the same time period. Residential real estate loans increased $1.2 million from the prior quarter to $331.6 million while agricultural loans decreased $2.0 million to $7.2 million at June 30, 2026, compared to three months earlier and municipal loans decreased $223,000 over the same period. The loan portfolio remains well diversified with commercial real estate and construction loans totaling 56.3% of gross loans, followed by residential real estate loans at 28.4% of gross loans, commercial non-real estate loans at 14.8% and consumer loans at 0.5%.

The allowance for credit losses increased to 1.17% of gross loans at June 30, 2026 while annualized net charge-offs to average loans were 0.00% for the quarter ended June 30, 2026. Non-performing assets decreased to 1.08% of total assets at June 30, 2026, down from 1.09% at March 31, 2026. Approximately 73% of all non-performing assets consisted of five lending relationships.

Total deposits decreased $8.8 million from the prior quarter to $1.18 billion. The largest decrease in deposits was in interest-bearing demand and savings deposits, which decreased $8.1 million during the second quarter followed by a decline in time deposits of $5.5 million and brokered deposits of $4.4 million. Non-interest bearing deposits increased $8.7 million and money market deposits increased $0.5 million.

FHLB advances increased by $14.5 million to $151.5 million at June 30, 2026 from $137.0 million at March 31, 2026. The increase in FHLB advances offset a decline in deposits and liquid investments and helped fund new loan originations.

Tangible stockholder equity as a percentage of total tangible assets was 8.87% at June 30, 2026, compared to 8.72% at March 31, 2026, and 7.95% at June 30, 2025, respectively.

Tangible net book value per common share increased $3.50 to $31.27 at June 30, 2026, compared to $27.77 one year earlier, an increase of 12.6% after dividends totaling $0.70 were paid to shareholders. Relative to the prior quarter’s tangible book value per common share of $30.55, tangible net book value per common share increased primarily due to earnings. The accumulated other comprehensive loss on the investment portfolio decreased slightly to $13.0 million at June 30, 2026 compared to $13.3 million one quarter earlier and $15.8 million at June 30, 2025.

Operations Review

Net interest income increased to $12.1 million (on a net margin of 3.44%) for the second quarter of 2026, from $11.9 million (on a net margin of 3.45%) for the first quarter of 2026, and increased from $10.7 million (on a net margin of 3.09%) for the second quarter of 2025. The higher net interest income in the current period primarily relates to an increase in loan yields and loan balances during the quarter and a decrease in funding costs during the second quarter. Overall loan yields increased 1 basis point to 6.13% during the second quarter of 2026 from 6.12% the prior period and the cost of funds decreased 6 basis points to 2.86% compared to 2.92% during the first quarter of 2026. Relative to one year earlier, loan yields were up 22 basis points while the overall cost of funds declined 20 basis points.

Overall earning-asset yields declined due to lower yields on investment securities. Taxable security yields were 3.22% for the quarter ended June 30, 2026, compared to 3.39% for the quarter ended March 31, 2026, while a smaller balance of tax-exempt security yields decreased to 3.34% for the quarter ended June 30, 2026 from 3.38% the prior quarter.

The decrease in funding costs was due to lower deposit costs and lower costs related to FHLB advances. Deposits costs decreased 3 basis points to 2.00% for the quarter ended June 30, 2026, from 2.03% the prior quarter. FHLB advance costs declined 18 basis points to 4.06% for the second quarter from 4.24% the prior quarter.

Total noninterest income decreased $200,000 during the second quarter of 2026 to $2.1 million from $2.3 million in the first quarter. The first quarter was elevated due to the recognition of a delayed sale of SBA 7A loans related to the government shutdown in the fourth quarter of 2025. The second quarter reflects more normalized revenue levels, though investment and insurance sales commissions were slightly lower than the preceding two quarters.

Noninterest expenses decreased $0.1 million to $9.7 million for the second quarter of 2026, compared to $9.8 million for the first quarter, and increased $1.5 million from $8.2 million for the second quarter of 2025. The second quarter noninterest expense levels were lower than the prior quarter despite an increase in merger related expense of $0.6 million. Salary and benefits expenses decreased $341,000 due to lower incentive accruals and staff reductions. The first quarter of 2026 expenses were also elevated due to a non-recurring true-up for historical FDIC insurance premiums.

Income taxes increased $339,000 during the second quarter to $834,000 from $495,000 one quarter earlier. The lower first quarter of 2026 taxes reflected tax exempt life insurance benefits and benefits from the sale of available for sale securities that had a stranded deferred tax asset that resulted from the change in the Wisconsin tax law in 2023. The effective tax rate for the quarter ended June 30, 2026 was 19.7% compared to 12.6% for the first quarter ended March 31, 2026 and 16.6% for the prior year quarter ended June 30, 2025.

About PSB Holdings, Inc.

PSB Holdings, Inc. is the parent company of Peoples State Bank. Peoples is a community bank headquartered in Wausau, Wisconsin, serving northcentral and southeastern Wisconsin from twelve full-service banking locations in Marathon, Oneida, Vilas, Portage, Milwaukee and Waukesha counties. Peoples also provides investment and insurance products, along with retirement planning services, through Peoples Wealth Management, a division of Peoples. PSB Holdings, Inc. is traded under the stock symbol PSBQ on the OTCQX Market. More information about PSB, its management, and its financial performance may be found at www.psbholdingsinc.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current expectations, estimates and projections about PSB’s business based, in part, on assumptions made by management and include, without limitation, statements with respect to the potential growth of PSB, its future profits, expected stock repurchase levels, future dividend rates, future interest rates, and the adequacy of its capital position. Forward-looking statements can be affected by known and unknown risks, uncertainties, and other factors, including, but not limited to, strength of the economy, the effects of government policies, including interest rate policies, risks associated with the execution of PSB’s vision and growth strategy, including with respect to current and future M&A activity, and risks associated with global economic instability. The forward-looking statements in this press release speak only as of the date on which they are made and PSB does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release.

PSB Holdings, Inc.
Consolidated Balance Sheets
June 30, and March 31, 2026, September 30, and June 30, 2025, unaudited, December 31, 2025 derived from audited financial statements
	Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,
(dollars in thousands, except per share data)		2026			2026			2025			2025			2025
Assets
Cash and due from banks	$	17,321		$	28,053		$	19,697		$	14,221		$	23,022
Interest-bearing deposits		3,283			1,703			2,262			3,630			2,890
Federal funds sold		37,073			29,755			7,916			19,641			31,624
Cash and cash equivalents		57,677			59,511			29,875			37,492			57,536
Securities available for sale (at fair value)		165,006			171,107			184,265			190,709			184,320
Securities held to maturity (fair values of $71,765, $72,485, $76,671, $76,104 and
$75,016 respectively)		76,718			78,826			81,511			82,195			83,123
Equity securities		2,913			2,904			2,892			2,885			2,885
Loans held for sale		–			652			180			145			349
Loans receivable, net (allowance for credit losses of $13,447, $13,131, $12,605,
$12,686 and $12,553 respectively)		1,134,370			1,116,089			1,096,035			1,115,137			1,109,296
Accrued interest receivable		4,885			5,094			5,035			5,023			5,006
Foreclosed assets		138			–			–			–			–
Premises and equipment, net		12,887			13,160			12,972			13,355			13,397
Mortgage servicing rights, net		1,974			1,978			1,689			1,685			1,684
Federal Home Loan Bank stock (at cost)		8,374			7,995			8,090			8,641			9,297
Cash surrender value of bank-owned life insurance		24,139			24,453			25,425			25,242			25,067
Core deposit intangible		247			266			287			309			330
Goodwill		3,565			3,565			3,495			3,495			3,495
Other assets		9,725			9,784			9,721			10,420			10,832
TOTAL ASSETS	$	1,502,618		$	1,495,384		$	1,461,472		$	1,496,733		$	1,506,617
Liabilities
Non-interest-bearing deposits	$	290,604		$	281,947		$	278,302		$	278,615		$	277,239
Interest-bearing deposits		887,579			905,082			898,729			910,571			900,303
Total deposits		1,178,183			1,187,029			1,177,031			1,189,186			1,177,542
Federal Home Loan Bank advances		151,450			136,950			112,950			140,950			165,950
Other borrowings		2,447			4,119			5,397			6,062			6,250
Senior subordinated notes		4,791			4,789			4,788			4,786			4,784
Junior subordinated debentures		13,177			13,151			13,126			13,100			13,075
Allowance for credit losses on unfunded commitments		492			492			542			622			622
Accrued expenses and other liabilities		15,323			14,986			15,967			13,651			15,118
Total liabilities		1,365,863			1,361,516			1,329,801			1,368,357			1,383,341
Stockholders’ equity
Preferred stock – no par value:
Authorized – 30,000 shares; Issued – 7,200 shares
Outstanding – 7,200 shares, respectively		7,200			7,200			7,200			7,200			7,200
Common stock – no par value with a stated value of $1.00 per share:
Authorized – 18,000,000 shares; Issued – 5,490,798 shares
Outstanding – 4,021,558, 4,020,508, 4,023,874, 4,040,538 and
4,041,573 shares, respectively		1,830			1,830			1,830			1,830			1,830
Additional paid-in capital		8,801			8,732			8,727			8,707			8,659
Retained earnings		155,700			153,146			150,556			148,029			144,548
Accumulated other comprehensive income (loss), net of tax		(13,016	)		(13,264	)		(13,000	)		(14,166	)		(15,764	)
Treasury stock, at cost – 1,469,240, 1,470,290, 1,466,924, 1,450,260 and
1,449,225 shares, respectively		(23,760	)		(23,776	)		(23,642	)		(23,224	)		(23,197	)
Total stockholders’ equity		136,755			133,868			131,671			128,376			123,276
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	1,502,618		$	1,495,384		$	1,461,472		$	1,496,733		$	1,506,617

PSB Holdings, Inc.
Consolidated Statements of Income
				Quarter Ended															Six Months Ended
(dollars in thousands,				Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,		Jun. 30,				June
except per share data – unaudited)					2026			2026			2025			2025		2025				2026			2025
Interest and dividend income:
Loans, including fees				$	17,370		$	17,066		$	16,744		$	16,745	$	16,510			$	34,436		$	32,292
Securities:
Taxable					1,428			1,586			1,659			1,645		1,566				3,014			3,207
Tax-exempt					467			484			495			500		506				951			1,023
Other interest and dividends					508			316			582			717		332				824			677
Total interest and dividend income					19,773			19,452			19,480			19,607		18,914				39,225			37,199
Interest expense:
Deposits					5,836			5,898			5,976			6,207		5,934				11,734			11,818
FHLB advances					1,478			1,344			1,428			1,707		1,899				2,822			3,691
Other borrowings					13			25			40			45		48				38			95
Senior subordinated notes					58			59			59			59		58				117			117
Junior subordinated debentures					245			242			248			247		250				487			498
Total interest expense					7,630			7,568			7,751			8,265		8,189				15,198			16,219
Net interest income					12,143			11,884			11,729			11,342		10,725				24,027			20,980
Provision for credit losses					325			475			275			138		110				800			227
Net interest income after provision for credit losses					11,818			11,409			11,454			11,204		10,615				23,227			20,753
Noninterest income:
Service fees					424			393			401			363		366				817			724
Mortgage banking income					427			405			413			363		411				832			661
Investment and insurance sales commissions					382			437			520			345		335				819			661
Net loss on sale of securities					–			(502	)		–			–		–				(502	)		(1	)
Increase in cash surrender value of life insurance					178			175			182			176		170				353			333
Life insurance death benefit					4			489			–			–		–				493			–
Other noninterest income					705			923			565			678		814				1,628			1,584
Total noninterest income					2,120			2,320			2,081			1,925		2,096				4,440			3,962
Noninterest expense:
Salaries and employee benefits					5,607			5,948			5,159			5,446		4,828				11,555			10,130
Occupancy and facilities					697			800			712			712		719				1,497			1,505
Loss (gain) on foreclosed assets					(1	)		(36	)		(23	)		1		(58	)			(37	)		(58	)
Data processing and other office operations					1,129			1,119			1,188			1,122		1,189				2,248			2,390
Advertising and promotion					227			189			177			138		189				416			318
Core deposit intangible amortization					19			21			21			22		23				40			46
Merger legal and professional					671			120			26			–		–				791			–
Other noninterest expenses					1,355			1,637			1,376			1,365		1,303				2,992			2,831
Total noninterest expense					9,704			9,798			8,636			8,806		8,193				19,502			17,162
Income before provision for income taxes					4,234			3,931			4,899			4,323		4,518				8,165			7,553
Provision for income taxes					834			495			883			720		752				1,329			1,225
Net income				$	3,400		$	3,436		$	4,016		$	3,603	$	3,766			$	6,836		$	6,328
Preferred stock dividends declared				$	122		$	122		$	122		$	122	$	122			$	244		$	244
Net income available to common shareholders				$	3,278		$	3,314		$	3,894		$	3,481	$	3,644			$	6,592		$	6,084
Basic earnings per common share				$	0.82		$	0.82		$	0.97		$	0.86	$	0.90			$	1.64		$	1.49
Diluted earnings per common share				$	0.81		$	0.82		$	0.97		$	0.86	$	0.89			$	1.63		$	1.49

PSB Holdings, Inc.
Quarterly Financial Summary
(dollars in thousands, except per share data)				Quarter ended
				Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,
Earnings and dividends:					2026			2026			2025			2025			2025
	Interest income			$	19,773		$	19,452		$	19,480		$	19,607		$	18,914
	Interest expense			$	7,630		$	7,568		$	7,751		$	8,265		$	8,189
	Net interest income			$	12,143		$	11,884		$	11,729		$	11,342		$	10,725
	Provision for credit losses			$	325		$	475		$	275		$	138		$	110
	Other noninterest income			$	2,120		$	2,320		$	2,081		$	1,925		$	2,096
	Other noninterest expense			$	9,704		$	9,798		$	8,636		$	8,806		$	8,193
	Net income available to common shareholders			$	3,278		$	3,314		$	3,894		$	3,481		$	3,644
	Basic earnings per common share (3)			$	0.82		$	0.82		$	0.97		$	0.86		$	0.90
	Diluted earnings per common share (3)			$	0.81		$	0.82		$	0.97		$	0.86		$	0.89
	Dividends declared per common share (3)			$	0.18		$	0.18		$	0.34		$	–		$	0.34
	Tangible net book value per common share (4)			$	31.27		$	30.55		$	29.99		$	29.05		$	27.77
	Average common shares outstanding				4,020,787			4,021,327			4,028,368			4,041,393			4,070,721
Balance sheet – average balances:
	Loans receivable, net of allowances for credit loss			$	1,124,806		$	1,118,837		$	1,107,114		$	1,111,055		$	1,111,004
	Assets			$	1,491,283		$	1,478,103		$	1,501,135		$	1,510,272		$	1,480,851
	Deposits			$	1,172,036		$	1,175,510		$	1,199,363		$	1,191,002		$	1,142,279
	Stockholders’ equity			$	135,416		$	134,946		$	131,606		$	125,342		$	123,077
Performance ratios:
	Return on average assets (1)				0.91	%		0.94	%		1.06	%		0.95	%		1.02	%
	Return on average common stockholders’ equity (1)				10.25	%		10.52	%		12.42	%		11.69	%		12.61	%
	Return on average tangible common
	stockholders’ equity (1)(4)				10.62	%		10.90	%		12.86	%		12.14	%		13.11	%
	Net loan charge-offs to average loans (1)				0.00	%		0.00	%		0.16	%		0.00	%		0.00	%
	Nonperforming loans to gross loans				1.40	%		1.44	%		1.56	%		1.51	%		1.39	%
	Nonperforming assets to total assets				1.08	%		1.09	%		1.18	%		1.13	%		1.04	%
	Allowance for credit losses to gross loans				1.17	%		1.16	%		1.14	%		1.12	%		1.12	%
	Nonperforming assets to tangible equity
	plus the allowance for credit losses (4)				11.80	%		12.13	%		13.10	%		13.17	%		12.64	%
	Net interest rate margin (1)(2)				3.44	%		3.45	%		3.28	%		3.16	%		3.09	%
	Net interest rate spread (1)(2)				2.72	%		2.69	%		2.53	%		2.42	%		2.34	%
	Service fee revenue as a percent of
	average demand deposits (1)				0.63	%		0.58	%		0.55	%		0.52	%		0.54	%
	Noninterest income as a percent
	of gross revenue				9.68	%		10.66	%		9.65	%		8.94	%		9.98	%
	Efficiency ratio (2)				67.35	%		68.24	%		61.82	%		65.47	%		63.00	%
	Noninterest expenses to average assets (1)				2.61	%		2.69	%		2.28	%		2.31	%		2.22	%
	Average stockholders’ equity less accumulated
	other comprehensive income (loss) to
	average assets				9.87	%		9.93	%		9.59	%		9.20	%		9.31	%
	Tangible equity to tangible assets (4)				8.87	%		8.72	%		8.77	%		8.34	%		7.95	%
Stock price information:
	High			$	50.50		$	28.50		$	26.30		$	26.00		$	25.70
	Low			$	27.20		$	26.10		$	24.34		$	23.30		$	23.65
	Last trade value at quarter-end			$	50.50		$	27.74		$	26.10		$	25.50		$	23.89
(1) Annualized
(2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%.
(3) Due to rounding, cumulative quarterly per share performance may not equal annual per share totals.
(4) Tangible stockholders’ equity excludes goodwill and core deposit intangibles.

PSB Holdings, Inc.
Consolidated Statements of Comprehensive Income
				Quarter Ended
				Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,
(dollars in thousands – unaudited)					2026			2026			2025			2025			2025
Net income				$	3,400		$	3,436		$	4,016		$	3,603		$	3,766
Other comprehensive income, net of tax:
	Unrealized gain (loss) on securities available
		for sale			118			(711	)		1,065			1,550			972
	Reclassification adjustment for security
		loss included in net income			–			396			–			–			–
	Accretion of unrealized loss included in net
		income on securities available for sale
		deferred tax adjustment for Wisconsin
		Act 19			(32	)		(83	)		–			(26	)		(35	)
	Amortization of unrealized loss included in net
		income on securities available for sale
		transferred to securities held to maturity			93			91			90			90			91
	Unrealized gain (loss) on interest rate swap				67			43			18			(2	)		(87	)
	Reclassification adjustment of interest rate
		swap settlements included in earnings			1			–			(7	)		(15	)		(13	)
Other comprehensive income (loss)					247			(264	)		1,166			1,597			928
Comprehensive income				$	3,647		$	3,172		$	5,182		$	5,200		$	4,694

PSB Holdings, Inc.
Nonperforming Assets as of:
	Jun 30,			Mar 31,			Dec 31,			Sep 30,			Jun 30,
(dollars in thousands)		2026			2026			2025			2025			2025
Nonaccrual loans (excluding restructured loans)	$	15,242		$	15,438		$	16,436		$	16,560		$	15,333
Nonaccrual restructured loans		589			6			7			10			13
Restructured loans not on nonaccrual		277			863			865			415			295
Accruing loans past due 90 days or more		–			–			–			–			–
Total nonperforming loans		16,108			16,307			17,308			16,985			15,641
Other real estate owned		138			–			–			–			–
Total nonperforming assets	$	16,246		$	16,307		$	17,308		$	16,985		$	15,641
Nonperforming loans as a % of gross loans receivable		1.40	%		1.44	%		1.56	%		1.51	%		1.39	%
Total nonperforming assets as a % of total assets		1.08	%		1.09	%		1.18	%		1.13	%		1.04	%
Allowance for credit losses as a % of nonperforming loans		83.48	%		80.52	%		72.83	%		74.69	%		80.26	%

PSB Holdings, Inc.
Nonperforming Assets >= $1,000,000 net book value before specific reserves
At June 30, 2026
(dollars in thousands)
		Gross			Specific
Collateral Description	Asset Type	Principal			Reserves
Real estate – Non-Owner Occupied Rental Properties	Nonaccrual		2,639			–
Real estate – Recreational Facility	Nonaccrual		3,608			108
Real estate – Equipment Dealership	Nonaccrual		2,295			1,351
Real estate – Wood Products	Nonaccrual		1,674			376
Real estate – Commercial Building	Nonaccrual		1,641			68
Total listed nonperforming assets		$	11,857		$	1,903
Total bank wide nonperforming assets		$	16,246		$	2,296
Listed assets as a % of total nonperforming assets			73	%		83	%

PSB Holdings, Inc.
Loan Composition by Collateral Type
Quarter-ended (dollars in thousands)	Jun 30, 2026			Mar 31, 2026			Dec 31, 2025			Sep 30, 2025			Jun 30, 2025
Commercial:
Commercial and industrial	$	157,903		$	143,572		$	139,479		$	137,199		$	135,313
Agriculture		7,215			9,188			11,463			12,443			13,219
Municipal		8,258			8,481			11,317			8,361			12,805
Total Commercial		173,376			161,241			162,259			158,003			161,337
Commercial Real Estate:
Commercial real estate		590,027			578,655			551,899			569,382			566,526
Construction and development		68,107			70,757			70,574			81,278			77,905
Total Commercial Real Estate		658,134			649,412			622,473			650,660			644,431
Residential real estate:
Residential		253,189			251,356			259,573			263,791			266,203
Construction and development		29,744			34,540			36,596			37,475			31,439
HELOC		48,682			44,545			44,219			41,661			39,425
Total Residential Real Estate		331,615			330,441			340,388			342,927			337,067
Consumer installment		5,248			4,648			5,053			4,801			4,886
Subtotals – Gross loans		1,168,373			1,145,742			1,130,173			1,156,391			1,147,721
Loans in process of disbursement		(21,149	)		(17,148	)		(22,178	)		(29,170	)		(26,496	)
Subtotals – Disbursed loans		1,147,224			1,128,594			1,107,995			1,127,221			1,121,225
Net deferred loan costs		593			626			645			602			624
Allowance for credit losses		(13,447	)		(13,131	)		(12,605	)		(12,686	)		(12,553	)
Total loans receivable	$	1,134,370		$	1,116,089		$	1,096,035		$	1,115,137		$	1,109,296

PSB Holdings, Inc.
Selected Commercial Real Estate Loans by Purpose
	Jun 30,					Mar 31,					Dec 31,					Sept 30,					Jun 30,
(dollars in thousands)		2026					2026					2025					2025					2025
	Total Exposure		% of Portfolio (1)			Total Exposure		% of Portfolio (1)			Total Exposure		% of Portfolio (1)			Total Exposure		% of Portfolio (1)			Total Exposure		% of Portfolio (1)
Multi Family	$	127,983	12.3	%		$	134,236	12.9	%		$	145,717	14.3	%		$	141,896	13.5	%		$	145,523	14.0	%
Industrial and Warehousing		120,116	11.6				119,427	11.5				101,581	9.9				100,712	9.6				105,256	10.2
Retail		28,468	2.7				27,948	2.7				27,756	2.7				27,889	2.7				29,407	2.8
Hotels		24,839	2.4				25,080	2.4				25,949	2.6				25,677	2.4				25,299	2.4
Office		4,034	0.4				4,097	0.4				7,028	0.7				7,176	0.7				7,131	0.7
(1) Percentage of commercial and commercial real estate portfolio and commitments.

PSB Holdings, Inc.
Deposit Composition
Insured and Collateralized Deposits	June 30,				March 31,				December 31,				September 30,				June 30,
(dollars in thousands)		2026				2026				2025				2025				2025
	$		%		$		%		$		%		$		%		$		%
Non-interest bearing demand	$	226,134	19.1	%	$	221,921	18.5	%	$	225,025	19.1	%	$	227,448	19.1	%	$	225,921	19.2	%
Interest-bearing demand and savings		313,909	26.7	%		321,604	27.1	%		323,739	27.5	%		307,505	25.8	%		304,779	25.9	%
Money market deposits		141,443	12.0	%		146,655	12.4	%		142,946	12.1	%		158,455	13.3	%		148,556	12.6	%
Retail and local time deposits <= $250		154,330	13.1	%		157,898	13.3	%		163,398	13.9	%		163,446	13.7	%		165,368	14.0	%
Total core deposits		835,816	70.9	%		848,078	71.3	%		855,108	72.6	%		856,854	71.9	%		844,624	71.7	%
Retail and local time deposits > $250		25,250	2.1	%		26,500	2.2	%		28,000	2.4	%		29,000	2.5	%		28,000	2.4	%
Broker & national time deposits <= $250		748	0.1	%		748	0.1	%		748	0.1	%		748	0.1	%		748	0.1	%
Broker & national time deposits > $250		49,788	4.2	%		54,191	4.6	%		62,493	5.3	%		67,493	5.7	%		65,917	5.6	%
Totals	$	911,602	77.3	%	$	929,517	78.2	%	$	946,349	80.4	%	$	954,095	80.2	%	$	939,289	79.8	%
PSB Holdings, Inc.
Deposit Composition
Uninsured Deposits	June 30,				March 31,				December 31,				September 30,				June 30,
(dollars in thousands)		2026				2026				2025				2025				2025
	$		%		$		%		$		%		$		%		$		%
Non-interest bearing demand	$	64,470	5.5	%	$	60,026	5.1	%	$	53,277	4.5	%	$	51,167	4.3	%	$	51,318	4.4	%
Interest-bearing demand and savings		18,073	1.5	%		18,533	1.6	%		17,683	1.5	%		18,644	1.6	%		17,983	1.5	%
Money market deposits		134,223	11.4	%		128,415	10.8	%		110,501	9.4	%		117,184	9.9	%		122,603	10.4	%
Retail and local time deposits <= $250		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%
Total core deposits		216,766	18.4	%		206,974	17.5	%		181,461	15.4	%		186,995	15.8	%		191,904	16.3	%
Retail and local time deposits > $250		49,815	4.3	%		50,538	4.3	%		49,221	4.2	%		48,096	4.0	%		46,349	3.9	%
Broker & national time deposits <= $250		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%
Broker & national time deposits > $250		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%		–	0.0	%
Totals	$	266,581	22.7	%	$	257,512	21.8	%	$	230,682	19.6	%	$	235,091	19.8	%	$	238,253	20.2	%
PSB Holdings, Inc.
Deposit Composition
Total Deposits	June 30,				March 31,				December 31,				September 30,				June 30,
(dollars in thousands)		2026				2026				2025				2025				2025
	$		%		$		%		$		%		$		%		$		%
Non-interest bearing demand	$	290,604	24.6	%	$	281,947	23.6	%	$	278,302	23.6	%	$	278,615	23.4	%	$	277,239	23.6	%
Interest-bearing demand and savings		331,982	28.2	%		340,137	28.7	%		341,422	29.0	%		326,149	27.4	%		322,762	27.4	%
Money market deposits		275,666	23.4	%		275,070	23.2	%		253,447	21.5	%		275,639	23.2	%		271,159	23.0	%
Retail and local time deposits <= $250		154,330	13.1	%		157,898	13.3	%		163,398	13.9	%		163,446	13.7	%		165,368	14.0	%
Total core deposits		1,052,582	89.3	%		1,055,052	88.8	%		1,036,569	88.0	%		1,043,849	87.7	%		1,036,528	88.0	%
Retail and local time deposits > $250		75,065	6.4	%		77,038	6.5	%		77,221	6.6	%		77,096	6.5	%		74,349	6.3	%
Broker & national time deposits <= $250		748	0.1	%		748	0.1	%		748	0.1	%		748	0.1	%		748	0.1	%
Broker & national time deposits > $250		49,788	4.2	%		54,191	4.6	%		62,493	5.3	%		67,493	5.7	%		65,917	5.6	%
Totals	$	1,178,183	100.0	%	$	1,187,029	100.0	%	$	1,177,031	100.0	%	$	1,189,186	100.0	%	$	1,177,542	100.0	%

PSB Holdings, Inc.
Average Balances ($000) and Interest Rates
(dollars in thousands)
			Quarter ended June 30, 2026								Quarter ended March 31, 2026								Quarter ended June 30, 2025
			Average					Yield /			Average					Yield /			Average					Yield /
			Balance			Interest		Rate			Balance			Interest		Rate			Balance			Interest		Rate
Assets
Interest-earning assets:
Loans (1)(2)			$	1,138,074		$	17,392	6.13	%		$	1,131,775		$	17,092	6.12	%		$	1,123,460		$	16,558	5.91	%
Taxable securities				177,864			1,428	3.22	%			189,726			1,586	3.39	%			193,926			1,566	3.24	%
Tax-exempt securities (2)				70,873			591	3.34	%			73,515			613	3.38	%			76,774			641	3.35	%
FHLB stock				8,227			170	8.29	%			7,792			182	9.47	%			9,189			166	7.25	%
Other				36,217			338	3.74	%			14,247			134	3.81	%			14,571			166	4.57	%
Total (2)				1,431,255			19,919	5.58	%			1,417,055			19,607	5.61	%			1,417,920			19,097	5.40	%
Non-interest-earning assets:
Cash and due from banks				15,689								15,719								15,498
Premises and equipment,
net				13,084								12,957								13,527
Cash surrender value ins				24,026								25,237								24,960
Other assets				20,497								20,073								21,402
Allowance for credit
losses				(13,268	)							(12,938	)							(12,456	)
Total			$	1,491,283							$	1,478,103							$	1,480,851
Liabilities & stockholders’ equity
Interest-bearing liabilities:
Savings and demand
deposits			$	338,948		$	1,508	1.78	%		$	343,033		$	1,567	1.85	%		$	315,978		$	1,450	1.84	%
Money market deposits				276,290			1,783	2.59	%			261,407			1,617	2.51	%			262,015			1,572	2.41	%
Time deposits				286,959			2,545	3.56	%			297,006			2,714	3.71	%			294,750			2,912	3.96	%
FHLB borrowings				145,927			1,478	4.06	%			128,666			1,344	4.24	%			173,080			1,899	4.40	%
Other borrowings				3,820			13	1.37	%			4,778			25	2.12	%			8,843			48	2.18	%
	Senior sub. notes			4,790			58	4.86	%			4,789			59	5.00	%			4,784			58	4.86	%
Junior sub. debentures				13,164			245	7.47	%			13,139			242	7.47	%			13,062			250	7.68	%
Total				1,069,898			7,630	2.86	%			1,052,818			7,568	2.92	%			1,072,512			8,189	3.06	%
Non-interest-bearing liabilities:
Demand deposits				269,839								274,064								269,536
Other liabilities				16,130								16,275								15,726
Stockholders’ equity				135,416								134,946								123,077
Total			$	1,491,283							$	1,478,103							$	1,480,851
Net interest income						$	12,289							$	12,039							$	10,908
Rate spread								2.72	%							2.69	%							2.34	%
Net yield on interest-earning assets								3.44	%							3.45	%							3.09	%
(1) Nonaccrual loans are included in the daily average loan balances outstanding.
(2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%.

PSB Holdings, Inc.
Average Balances ($000) and Interest Rates
(dollars in thousands)
			Six months ended June 30, 2026								Six months ended June 30, 2025
			Average					Yield/			Average					Yield/
			Balance			Interest		Rate			Balance			Interest		Rate
Assets
Interest-earning assets:
Loans (1)(2)			$	1,134,942		$	34,484	6.13	%		$	1,113,731		$	32,388	5.86	%
Taxable securities				183,762			3,014	3.31	%			196,162			3,207	3.30	%
Tax-exempt securities (2)				72,187			1,204	3.36	%			78,021			1,295	3.35	%
FHLB stock				8,011			352	8.86	%			9,008			407	9.11	%
Other				25,292			472	3.76	%			11,790			270	4.62	%
Total (2)				1,424,194			39,526	5.60	%			1,408,712			37,567	5.38	%
Non-interest-earning assets:
Cash and due from banks				15,704								15,893
Premises and equipment,
net				13,021								13,627
Cash surrender value ins				24,628								24,878
Other assets				20,287								21,215
Allowance for credit
losses				(13,104	)							(12,409	)
Total			$	1,484,730							$	1,471,916
Liabilities & stockholders’ equity
Interest-bearing liabilities:
Savings and demand
deposits			$	340,979		$	3,075	1.82	%		$	327,878		$	3,017	1.86	%
Money market deposits				269,081			3,400	2.55	%			270,785			3,257	2.43	%
Time deposits				291,955			5,259	3.63	%			281,857			5,544	3.97	%
FHLB borrowings				137,344			2,822	4.14	%			169,046			3,691	4.40	%
Other borrowings				4,297			38	1.78	%			7,589			95	2.52	%
	Senior sub. notes			4,789			117	4.93	%			4,783			117	4.93	%
Junior sub. debentures				13,151			487	7.47	%			13,049			498	7.70	%
Total				1,061,596			15,198	2.89	%			1,074,987			16,219	3.04	%
Non-interest-bearing liabilities:
Demand deposits				271,937								260,522
Other liabilities				16,250								15,492
Stockholders’ equity				134,947								120,915
Total			$	1,484,730							$	1,471,916
Net interest income						$	24,328							$	21,348
Rate spread								2.71	%							2.34	%
Net yield on interest-earning assets								3.44	%							3.06	%
(1) Nonaccrual loans are included in the daily average loan balances outstanding.
(2) The yield on federally tax-exempt loans and securities is computed on a tax-equivalent basis using a federal tax rate of 21%.

Investor Relations Contact
PSB Holdings, Inc.
1905 Stewart Avenue
Wausau, WI 54401
888.929.9902
InvestorRelations@bankpeoples.com