Avidia Bancorp, Inc. Reports Fourth Quarter and Annual 2025 Financial Results, Declares Quarterly Cash Dividend | AVBC Stock News

HUDSON, Mass.--(BUSINESS WIRE)--Avidia Bancorp, Inc. (the “Company”) (NYSE: “AVBC”), the holding company of Avidia Bank, today reported fourth quarter and annual 2025 consolidated financial results. Net income for the fourth quarter of 2025 was $5.3 million, or $0.29 per share, compared to net income of $3.5 million for the fourth quarter of 2024. For the year ended December 31, 2025, the net loss was $3.3 million, or ($0.18) per share, compared to net income of $11.5 million for the year ended December 31, 2024.The Company also announced today the declaration of a quarterly cash dividend of $0.05 per share on its outstanding shares of common stock, payable on or about February 26, 2026, to stockholders of record as of the close of business on February 17, 2026. This is the Company’s initial cash dividend payment following its initial public stock offering in July 2025.“Our primary objective of deploying our newly issued capital in a disciplined manner was reflected in fourth quarter results.” said Robert Cozzone, President and Chief Executive Officer. “Growth across most commercial loan categories was fully funded with core deposits growth, leading to net interest margin expansion. In addition, solid earnings for the quarter contributed to 2.1% growth in tangible book value per share. We are also pleased to announce the initiation of our first quarterly dividend.”SELECTED FOURTH QUARTER FINANCIAL HIGHLIGHTSNet income was $5.3 million, or $0.29 per share, for the fourth quarter.Net interest margin increased quarter-over-quarter by 11 basis points to 3.54%.Efficiency ratio of 67.2% continues to improve over prior periods.Book value per share and tangible book value per share (non-GAAP) increased to $18.88 and $18.28, respectively. See the non-GAAP reconciliation at the end of this document for further information.BALANCE SHEET:Total assets were $2.84 billion at December 31, 2025, increasing $50.1 million, or 1.8%, from September 30, 2025.Total cash and cash equivalents increased by $33.6 million, or 30.0%, to $145.5 million from $111.9 million in the prior quarter, primarily as a result of $48.7 million in deposit growth, partially offset by loan growth of $23.7 million.Total loans increased by $23.7 million, or 1.0%, to $2.30 billion, from $2.27 billion in the prior quarter. Moderate growth was seen across most segments, and was led by increases of $8.5 million, or 1.6%, in commercial real estate loans and $8.5 million, or 1.7%, in condominium association loans.Loan exposure related to non-medical office space at December 31, 2025 was $89.3 million or 3.9% of gross loans. When excluding owner-occupied, total non-medical office exposure was $71.4 million.Deposits increased by $48.7 million, or 2.3%, to $2.13 billion from $2.08 billion in the prior quarter, driven primarily by growth within the wholesale payments business. NOW accounts grew $62.3 million, non-interest-bearing demand accounts increased $17.0 million and savings accounts were also up $8.4 million. This growth was offset by decreases in money market accounts of $28.0 million and certificates of deposits of $10.9 million.Total shareholders’ equity increased by $7.0 million, or 1.9%, to $379.0 million from $372.0 million in the prior quarter, primarily the result of net income of $5.3 million and a $1.6 million increase in accumulated other comprehensive income.Shareholders' equity to total assets was 13.36% as of December 31, 2025, compared to 13.35% at the prior quarter-end. Tangible shareholders' equity to tangible assets (non-GAAP) was 12.99% compared to 12.98% for these respective dates.Total assets at December 31, 2025 increased $180.6 million, or 6.8% from December 31, 2024.Total loans increased $100.3 million, or 4.6%, from $2.20 billion at December 31, 2024. Growth was seen across most segments, and was led by increases of $50.7 million, or 10.5%, in commercial real estate loans and $20.8 million, or 24.8%, in multi-family loans.Deposits increased by $61.5 million, or 3.0%, from $2.07 billion at December 31, 2024, driven primarily by growth within the wholesale payments business.NET INTEREST INCOMENet interest income was $23.6 million for the quarter ended December 31, 2025, compared to $23.4 million for the prior quarter, an increase of $177 thousand, or 0.8%. The net interest margin expanded 11 basis points to 3.54% for the quarter from 3.43% in the prior quarter.The yield on interest-earning assets increased by 9 basis points to 5.06% as reinvestment of cash flow of fixed rate loans continue to reprice upward.The cost of deposits increased by 2 basis points to 1.35% from 1.33% in the prior quarter as the previous quarter benefited from low-cost deposits associated with funds held at the Bank related to the subscription offering.Net interest income was $86.5 million for the year ended December 31, 2025, compared to $73.3 million for the year ended December 31, 2024, an increase of $13.2 million, or 18.1%. The net interest margin expanded 37 basis points to 3.29% for the year ended December 31, 2025, from 2.92% for the year ended December 31, 2024.NON-INTEREST INCOMENoninterest income was $3.7 million for the quarter ended December 31, 2025, compared to $4.5 million for the prior quarter, representing a decrease of $810 thousand, or 17.9%.Net loss on sale of securities available for sale was $218 thousand from the disposal of $1.3 million in low performing investments.Payment processing income was $1.7 million, compared to $1.9 million for the prior quarter, representing a decrease of $137 thousand due to lower activity.Other non-interest income was $528 thousand, compared to $999 thousand in the prior quarter, representing a decrease of $471 thousand. The decrease was related to a $128 thousand write-down of our mortgage servicing asset as well as a $221 thousand loss on the disposition of fixed assets.Noninterest income was flat at $17.0 million for the years ended December 31, 2025 and 2024 as lower mortgage banking income was offset by lower loss on sales of available for sale and equity securities.NON-INTEREST EXPENSENoninterest expense was $18.4 million for the quarter ended December 31, 2025, compared to $28.4 million for the prior quarter, representing a decrease of $10.0 million, or 35.3%.Data processing expense increased $1.0 million to $3.3 million, which was primarily the result of an increase of $460 thousand in core processing due to favorable billing adjustments in the prior quarter as well as an increase of $263 thousand in software licensing expense related to the Company’s continued investment in technology.Deposit insurance expense decreased to $217 thousand from $651 thousand, which was the result of a favorable adjustment to the accrual of FDIC expense and related to an increase in the Bank’s total capital levels.Other general and administrative expenses decreased $9.9 million to $1.8 million, primarily due to the $10.0 million contribution to the Avidia Bank Charitable Foundation, Inc, in the prior quarter.Noninterest expense was $87.8 million for the year ended December 31, 2025, compared to $73.1 million for the year ended December 31, 2024, representing an increase of $14.7 million, or 20.1%.Other general and administrative expenses increased $8.8 million to $17.5 million, primarily due to the $10.0 million contribution to the Avidia Bank Charitable Foundation, Inc, during 2025.Salaries and benefits increased $5.0 million primarily due to $1.1 million in termination costs associated with the bank’s long term incentive plan, $1.1 million in costs associated with the installation of the bank’s employee stock ownership plan and $1.3 million of an increase in salaries.INCOME TAXESIncome tax expense for the quarter ended December 31, 2025, was $2.4 million, compared to an income tax benefit of $1.0 million in the prior quarter. Income tax benefit for the year ended December 31, 2025, was $2.4 million, compared to an income tax expense of $3.9 million for the year ended December 31, 2024.ASSET QUALITYThe allowance for credit losses was $22.0 million as of December 31, 2025, or 0.96% of total loans, compared to $24.3 million, or 1.07% of total loans at September 30, 2025.The Company recorded provisions for credit losses on loans of $1.4 million in the fourth quarter.The Company recorded net charge-offs of $3.7 million, or 0.65% annualized during the quarter ended December 31, 2025, compared to 0.11% in the quarter ended September 30, 2025 as the Company deemed balances on previously recorded non-performing loans as uncollectable.Non-performing loans totaled $20.2 million as of December 31, 2025, an increase of $2.6 million from the quarter ended September 30, 2025, primarily due to an increase of $6.1 million in non-performing commercial real estate loans, offset by the decrease of $1.4 million non-performing commercial loans and another $2.5 million decrease in non-performing construction loans.Total non-accrual loans to total loans was 0.88% as of December 31, 2025, compared to 0.77% as of September 30, 2025.The collateral for a $25.0 million land loan for the development of a life sciences facility that was charged down by $16.7 million in the first quarter of 2025 was sold at foreclosure auction in January 2026. Though the sale has yet to close, the Company used the sale price to record an additional charge-off of $2.5 million in the fourth quarter. A specific reserve had been established in the third quarter so the impact on the provision for credit losses was reduced.ABOUT AVIDIA BANCORP, INC.Avidia Bancorp, Inc. is the bank holding company of Avidia Bank. Avidia Bank is a Massachusetts-chartered stock savings bank. With headquarters in Hudson, Massachusetts, it also operates nine full-service banking offices in western Middlesex County and eastern Worcester County, in Massachusetts.NON-GAAP FINANCIAL MEASURESThis document contains certain non-GAAP financial measures in addition to results presented in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). These non-GAAP measures are intended to provide the reader with additional supplemental perspectives on operating results, performance trends, and financial condition. Non-GAAP financial measures are not a substitute for GAAP measures; they should be read and used in conjunction with the Company’s GAAP financial information. A reconciliation of non-GAAP financial measures to GAAP measures is provided at the end of this document. In all cases, it should be understood that non-GAAP measures do not depict amounts that accrue directly to the benefit of shareholders. An item which management excludes when computing non-GAAP operating earnings can be of substantial importance to the Company’s results for any particular quarter or year. The Company’s non-GAAP operating earnings information set forth is not necessarily comparable to non- GAAP information which may be presented by other companies. Each non-GAAP measure used by the Company in this document as supplemental financial data should be considered in conjunction with the Company’s GAAP financial information. The Company adjusts certain equity related measures to exclude intangible assets due to the importance of these measures to the investment community.FORWARD-LOOKING STATEMENTSStatements contained in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by use of the words "believe," "expect," "anticipate," "intend," "estimate," "assume," "outlook," "will," "should," and other similar expressions which do not relate to historical matters. Although we believe that these forward-looking statements are based on reasonable estimates and assumptions, they are not guarantees of future performance. You should not place undue reliance on forward-looking statements because they are subject to significant risks, uncertainties and other factors which are, in some cases, beyond our control. Our actual results could differ materially from those presented in the forward-looking statements as a result of, among other factors, changes in general business and economic conditions nationwide and in our local markets, including changes which adversely affect borrowers' ability to service and repay loans; changes in customer behavior due to political, business and economic conditions, including inflation; conditions in the capital and debt markets; reductions in net interest income resulting from interest rate volatility and changes in the balances and mix of our loans and deposits; changes in market interest rates and real estate values; decreases in the value of securities and other assets or in deposit levels necessitating increased borrowing to fund loans and investments; competition from other financial institutions; changes in legislation or regulation and accounting principles, policies and guidelines; cybersecurity incidents; fraud; natural disasters; the risk that we may be unsuccessful in implementing our business strategy; and the other risks and uncertainties disclosed in Avidia Bancorp, Inc.’s definitive prospectus dated May 13, 2025, as filed the U.S. Securities and Exchange Commission. Forward looking statements speak only as of the date of this release, and we do not undertake any obligation to update or revise any of them to reflect events or circumstances occurring after the date of this release or to reflect the occurrence of unanticipated events, except as may be required by applicable law or regulation. Avidia Bancorp, Inc.Selected Consolidated Financial Highlights (Unaudited) At or for the Quarters EndedAt or for the Years Ended(Dollars in thousands, except per share data)Dec. 31,2025Sept. 30,2025Dec. 31,2024Dec. 31,2025Dec. 31,2024Earnings Data:Net interest income$23,609$23,432$19,082$86,541$73,260Total non-interest income3,7164,5263,15917,02417,019Total non-interest expense18,36128,36918,13987,80573,097Provision for credit losses1,2171,540(686)21,4431,779Income (loss) before income tax expense7,747(1,951)4,788(5,683)15,403Net income (loss)5,333(907)3,509(3,289)11,484 Per-Share Data:Earnings (loss) per share, basic$0.29$(0.05)N/A$(0.18)N/AEarnings (loss) per share, diluted0.29(0.05)N/A$(0.18)N/ABook value per share18.8818.53N/A18.88N/ATangible book value per share (non-GAAP)18.2817.94N/A18.28N/A Performance Ratios:Return on average assets (annualized)0.77%-0.13%0.53%-0.12%0.44%Return on average equity (annualized)5.66-1.148.07-1.226.18Net interest margin(1)3.543.433.003.292.92Cost of deposits1.351.331.621.401.63Yield on loans5.345.215.145.235.15Interest rate spread (2)3.043.022.482.852.41Noninterest income as a percentage of average assets0.540.640.480.620.65Noninterest expense as a percentage of average assets2.664.022.753.202.78Efficiency ratio(3)67.19101.4781.5684.7880.97Average interest-earning assets as a percentage of average interest-bearing liabilities132.56127.08126.46126.47125.24 Balance Sheet, (end of period):Total assets$2,837,090$2,787,010$2,656,539$2,837,090$2,656,539Total earning assets2,722,3572,669,6622,543,2432,722,3572,543,243Total loans2,298,4662,274,7472,198,2002,298,4662,198,200Total deposits2,128,2832,079,5782,066,8322,128,2832,066,832Total shareholders' equity378,994372,037193,827378,994193,827 Asset Quality:Allowance for credit losses$22,018$24,284$21,741$22,018$21,741Allowance for credit losses as a percentage of total loans0.96%1.07%0.99%0.960.99Allowance for credit losses as a percentage of non-performing loans109.03137.79543.93109.03543.93Allowance for credit losses as a percentage of non-accrual loans109.03137.79543.93109.03543.93Non-accrual loans as a percentage of total loans0.880.770.180.880.18Net (charge-offs) recoveries as a percentage of average loans (annualized)(0.65)(0.11)0.00(0.96)(0.05)Total non-accruing assets as a percentage of total assets0.710.630.150.710.15Total non-performing assets as a percentage of total assets0.710.630.150.710.15 Capital Ratios:Total shareholders' equity as a percentage of total assets13.36%13.35%7.30%13.36%7.30%Tangible shareholders' equity as a percentage of tangible assets (non-GAAP)12.9912.986.8812.996.88Total capital as a percentage of risk-weighted assets (4)19.6619.8912.2419.6612.24Tier 1 capital as a percentage of risk-weighted assets (4)17.3517.429.8317.359.83Common equity tier 1 capital as a percentage of risk-weighted assets (4)17.3517.429.8317.359.83Tier 1 capital as a percentage of average assets (4)13.8413.118.7213.848.72 (1) Represents net interest income as a percentage of average interest-earning assets.(2) Represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.(3) Represents noninterest expenses divided by the sum of net interest income and noninterest income.(4) Presented as projected for December 31, 2025 and actual for the remaining dates.Avidia Bancorp, Inc.Consolidated Balance Sheets (Unaudited) As ofDec. 31, 2025 Change From(Dollars in thousands)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Sept. 30, 2025Dec. 31, 2024Assets Cash and due from banks$15,903$15,484$15,660$4192.7%$2431.6%Short-term investments129,55196,38446,78433,16734.482,767176.9Total cash and cash equivalents145,454111,86862,44433,58630.083,010132.9Securities available for sale, at fair value269,139269,308265,933(169)(0.1)3,2061.2Securities held to maturity, at amortized cost13,00015,74716,747(2,747)(17.4)(3,747)(22.4)Total securities282,139285,055282,680(2,916)(1.0)(541)(0.2)Federal Home Loan Bank stock, at cost11,80111,73114,729700.6(2,928)(19.9)Loans held for sale4001,745850(1,345)(77.1)(450)(52.9)Total loans2,298,4662,274,7472,198,20023,7191.0100,2664.6Less: Allowance for credit losses(22,018)(24,284)(21,741)2,266(9.3)(277)1.3Net loans2,276,4482,250,4632,176,45925,9851.299,9894.6Premises and equipment, net29,18329,27028,498(87)(0.3)6852.4Bank-owned life insurance36,66036,37535,5262850.81,1343.2Accrued interest receivable8,5378,1418,8973964.9(360)(4.0)Net deferred tax asset10,37210,83212,795(460)(4.2)(2,423)(18.9)Goodwill11,93611,93611,936----Mortgage servicing rights3,0333,1493,488(116)(3.7)(455)(13.0)Other assets21,12726,44518,237(5,318)(20.1)2,89015.8Total assets$2,837,090$2,787,010$2,656,539$50,0801.8%$180,5516.8%LiabilitiesDeposits$2,128,283$2,079,578$2,066,832$48,7052.3%$61,4513.0%Federal Home Loan Bank advances260,000260,000325,000--(65,000)(20.0)Subordinated debt27,81527,77827,679370.11360.5Accrued expenses and other liabilities41,99847,61743,201(5,619)(11.8)(1,203)(2.8)Total liabilities$2,458,096$2,414,973$2,462,712$43,1231.8%$(4,616)(0.2)%Shareholders' equity:Common Stock$201$201$-$--%$201-%Additional paid-in capital194,899195,029-(130)(0.1)194,899-Unallocated ESOP common stock(15,258)(15,459)-201(1.3)(15,258)-Retained earnings211,981206,648215,2705,3332.6(3,289)(1.5)Accumulated other comprehensive loss(12,829)(14,382)(21,443)1,553(10.8)8,614(40.2)Total shareholders' equity$378,994$372,037$193,827$6,9571.9%$185,16795.5%Total liabilities and shareholders' equity$2,837,090$2,787,010$2,656,539$50,0801.8%$180,5516.8%Avidia Bancorp, Inc.Consolidated Loan and Deposit Analysis (Unaudited) Loan Analysis At or for the Quarters EndedDec. 31, 2025 Change From(Dollars in thousands)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Sept. 30, 2025Dec. 31, 2024Real estate loansHome equity and second mortgages$78,350$76,027$66,326$2,3233.1%$12,02418.1%One to four family residential518,225521,606511,495(3,381)(0.6)6,7301.3Commercial real estate534,855526,345484,1068,5101.650,74910.5Commercial real estate multi-family104,69598,64783,9056,0486.120,79024.8Construction & land57,00551,31149,0285,69411.17,97716.3Total real estate loans1,293,1301,273,9361,194,86019,1941.598,2708.2Commercial loansCommercial & industrial491,765495,263499,920(3,498)(0.7)(8,155)(1.6)Condominium associations506,683498,164494,8758,5191.711,8082.4PPP loans1140264(29)(72.5)(253)(95.8)Total commercial loans998,459993,467995,0594,9920.53,4000.3Consumer loansConsumer3,8774,2745,060(397)(9.3)(1,183)(23.4)Total consumer loans3,8774,2745,060(397)(9.3)(1,183)(23.4)Total loans2,295,4662,271,6772,194,97923,7891.0100,4874.6Allowance for credit losses(22,018)(24,284)(21,741)2,266(9.3)(277)1.3Net deferred loan costs3,0003,0703,221(70)(2.3)(221)(6.9)Loans, net$2,276,448$2,250,463$2,176,459$25,9851.2%$99,9894.6% Deposit Analysis At or for the Quarters EndedDec. 31, 2025 Change From(Dollars in thousands)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Sept. 30, 2025Dec. 31, 2024Demand$359,819$342,867$355,087$16,9524.9%$4,7321.3%NOW770,350708,096683,54862,2548.886,80212.7Money market250,062278,095250,878(28,033)(10.1)(816)(0.3)Savings425,400417,010386,7598,3902.038,64110.0Certificates of deposits322,652333,510390,560(10,858)(3.3)(67,908)(17.4)Total deposits$2,128,283$2,079,578$2,066,832$48,7052.3%$61,4513.0%Avidia Bancorp, Inc.Consolidated Statements of Operations QTD (Unaudited) Three Months Ended Dec. 31, 2025 ChangeThree Months EndedFrom Three Months Ended(Dollars in thousands, except per share data)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Sept. 30, 2025Dec. 31, 2024Interest and dividend income:Loans, including fees$30,716$29,727$28,347$9893.3%$2,3698.4%Securities2,5302,5672,624(37)(1.4)(94)(3.6)Other5121,588495(1,076)(67.8)173.4Total interest and dividend income33,75833,88231,466(124)(0.4)2,2927.3 Interest expense:Deposits6,9487,2688,266(320)(4.4)(1,318)(15.9)Federal Home Loan Bank advances2,8492,8273,803220.8(954)(25.1)Subordinated debt352355315(3)(0.8)3711.7Total interest expense10,14910,45012,384(301)(2.9)(2,235)(18.0) Net interest income:23,60923,43219,0821770.84,52723.7Provision expense for credit losses - loans1,4401,480138(40)(2.7)1,302943.5Provision expense (reversal) for credit losses - off-balance sheet credit exposures(223)60(824)(283)(471.7)601(72.9)Net interest income, after provision expense for credit losses22,39221,89219,7685002.32,62413.3 Non-interest income:Customer service fees91891292260.7(4)(0.4)Net (loss) on sale of securities available for sale(218)-(1,876)(218)100.01,658(88.4)Net recognized gain on equity securities--64--(64)(100.0)Payment processing income1,7201,8571,900(137)(7.4)(180)(9.5)Income on bank-owned life insurance28527925762.22810.9Mortgage banking income103121589(18)(14.9)(486)(82.5)Investment commissions380358357226.1236.4Other528999946(471)(47.1)(418)(44.2)Total non-interest income3,7164,5263,159(810)(17.9)55717.6 Non-interest expense:Salaries and employee benefits9,4769,7739,221(297)(3.0)2552.8Occupancy and equipment1,6581,9331,941(275)(14.2)(283)(14.6)Data processing3,2512,2512,8341,00044.441714.7Professional fees818790468283.535074.8Payment processing3635261,165(163)(31.0)(802)(68.8)Deposit insurance217651447(434)(66.7)(230)(51.5)Advertising408423310(15)(3.5)9831.6Telecommunications9181931012.3(2)(2.2)Problem loan and foreclosed real estate, net245179606636.9185308.3Other general and administrative1,83411,7621,600(9,928)(84.4)23414.6Total non-interest expense18,36128,36918,139(10,008)(35.3)2221.2 Income (loss) before income tax expense7,747(1,951)4,7889,698(497.1)2,95961.8Income tax expense (benefit)2,414(1,044)1,2793,458(331.2)1,13588.7Net income (loss)$5,333$(907)$3,509$6,240(688.0)%$1,82452.0% Share data:Weighted average common shares outstanding, basic18,53718,520N/A170.1%N/AN/AWeighted average common shares outstanding diluted18,53718,520N/A170.1N/AN/AEarnings (loss) per share, basic$0.29$(0.05)N/A$0.34(687.5)N/AN/AEarnings (loss) per share, diluted$0.29$(0.05)N/A$0.34(687.5)N/AN/AAvidia Bancorp, Inc.Consolidated Statements of Operations YTD (Unaudited) Years EndedYear Ended Dec. 31, 2025 Change(Dollars in thousands, except per share data)Dec. 31, 2025Dec. 31, 2024From Year Ended Dec. 31, 2024Interest and dividend income:Loans, including fees$117,542$111,536$6,0065.4%Securities10,30410,249550.5Other2,7361,94878840.5Total interest and dividend income130,582123,7336,8495.5 Interest expense:Deposits29,55232,870(3,318)(10.1)Federal Home Loan Bank advances13,11616,343(3,227)(19.7)Subordinated debt1,3731,2601139.0Total interest expense44,04150,473(6,432)(12.7) Net interest income:86,54173,26013,28118.1Provision expense for credit losses - loans21,7482,10319,645934.1Provision (reversal) for credit losses - off-balance sheet credit exposures(305)(324)19(5.9)Net interest income, after provision expense for credit losses65,09871,481(6,383)(8.9) Non-interest income:Customer service fees3,5703,637(67)(1.8)Net (loss) on sale of securities available for sale(837)(4,234)3,397(80.2)Net recognized gain on equity securities-2,597(2,597)(100.0)Payment processing income7,8497,4893604.8Income on bank-owned life insurance1,13292720522.1Mortgage banking income4021,568(1,166)(74.4)Investment commissions1,4001,3937-Other3,5083,642(134)(3.7)Total non-interest income17,02417,01950.0 Non-interest expense:Salaries and employee benefits39,72434,7215,00314.4Occupancy and equipment6,3428,319(1,977)(23.8)Data processing13,18310,1233,06030.2Professional fees3,3562,2881,06846.7Payment processing2,8634,230(1,367)(32.3)Deposit insurance2,2812,481(200)(8.1)Advertising1,4271,432(5)(0.3)Telecommunications360383(23)(6.0)Problem loan and foreclosed real estate, net731349382109.5Other general and administrative17,5388,7718,767100.0Total non-interest expense87,80573,09714,70820.1 (Loss) income before income tax expense(5,683)15,403(21,086)(136.9)Income tax (benefit) expense(2,394)3,919(6,313)(161.1)Net (loss) income$(3,289)$11,484$(14,773)(128.6)% Share data:Weighted average common shares outstanding, basic18,531N/AN/AN/AWeighted average common shares outstanding diluted18,531N/AN/AN/A(Loss) per share, basic$(0.18)N/AN/AN/A(Loss) per share, diluted$(0.18)N/AN/AN/AAvidia Bancorp, Inc.Average Balances and Average Yields And Costs (Unaudited) For the Quarters EndedDec. 31, 2025Sept. 30, 2025Dec. 31, 2024(Dollars in thousands)AverageOutstandingBalance InterestAverageYield/RateAverageOutstandingBalance InterestAverageYield/RateAverageOutstandingBalance InterestAverageYield/RateInterest-earning assets: Short-term investments$72,847 $5122.79%$150,428 $1,5884.19%$54,300 $4953.63%Securities295,120 2,5303.40292,031 2,5673.49286,897 2,6243.64Loans2,280,267 30,7165.342,264,095 29,7275.212,192,961 28,3475.14Total interest-earning assets2,648,234 33,7585.062,706,554 33,8824.972,534,158 31,4664.94Noninterest-earning assets107,874 116,574 106,087 Total assets$2,756,108 $2,823,128 $2,640,245 Interest-bearing liabilities: NOW accounts$684,815 $8040.47%$822,525 $8330.40%$583,135 $7740.53%Money market accounts277,852 8981.28274,203 9181.33269,584 8911.32Regular and other savings accounts419,232 2,2782.16411,941 2,4072.32367,740 2,1762.35Certificates of deposit328,333 2,9683.59334,638 3,1103.69399,508 4,4254.41Total interest-bearing deposits1,710,231 6,9481.611,843,307 7,2681.561,619,967 8,2662.03FHLB advances and other borrowings (1)259,702 2,8494.35258,782 2,8274.33356,313 3,8034.25Subordinated debt27,791 3525.0327,753 3555.0727,654 3154.53Total interest-bearing liabilities1,997,724 10,1492.022,129,842 10,4501.952,003,934 12,3842.46Noninterest-bearing demand deposits349,454 341,083 422,435 Other noninterest-bearing liabilities32,301 34,777 39,885 Total liabilities2,379,478 2,505,702 2,466,254 Total shareholders' equity376,630 317,426 173,991 Total liabilities and capital$2,756,108 $2,823,128 $2,640,245 Net interest income $23,609 $23,432 $19,082Net interest rate spread (2) 3.04% 3.02% 2.48%Net interest-earning assets (3)$650,510 $576,712 $530,224 Net interest margin (4) 3.54% 3.43% 3.00%Cost of deposits 1.35% 1.33% 1.62%Average interest-earning assets to interest-bearing liabilities 132.56% 127.08% 126.46% (1) Average balances for borrowings includes the financing lease obligation which is presented under other liabilities on the consolidated balance sheet.(2) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.(3) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.(4) Net interest margin represents net interest income divided by average total interest-earning assets.Avidia Bancorp, Inc.Asset Quality Data (Unaudited) At or for the Quarters Ended(Dollars in thousands)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Non-Performing AssetsNon-accrual loans:Residential$720$387$1,350Construction6,4788,930-Commercial real estate6,126--Commercial6,8708,3072,647Total non-accrual loans$20,194$17,624$3,997Other real estate owned---Total non-performing assets$20,194$17,624$3,997 Total non-accrual loans to total loans0.88%0.77%0.18%Total non-performing assets to total loans0.880.770.18 Allowance for Credit LossesAllowance for credit losses, beginning of period$24,284$23,425$21,585Charged-off loans(3,790)(844)(59)Recoveries on charged-off loans8422377Net loan (charge-offs) recoveries(3,706)(621)18Provision expense for credit losses1,4401,480138Allowance for credit losses, end of period$22,018$24,284$21,741 Allowance for credit losses to total loans0.96%1.07%0.99%Allowance for credit losses to non-accrual loans109.03137.79543.93Allowance for credit losses to non-performing loans109.03137.79543.93 Net loans (charge-offs) recoveriesResidential$1$2$1Construction(2,454)--Commercial real estate-13525Commercial(1,260)(766)(15)Consumer787Total net loan (charge-offs) recoveries$(3,706)$(621)$18 Net loan (charge-offs) recoveries to average loans (annualized)(0.65)%(0.11)%-%Avidia Bancorp, Inc.Non-GAAP Reconciliation (Unaudited) As of(Dollars in thousands, except per share data)Dec. 31, 2025Sept. 30, 2025Dec. 31, 2024Tangible shareholders' equity:Total shareholders' equity (GAAP)$378,994$372,037$193,827Less: Goodwill11,93611,93611,936Tangible shareholders' equity (non-GAAP)$367,058$360,101$181,891 Tangible assets:Total assets (GAAP)$2,837,090$2,787,010$2,656,539Less: Goodwill11,93611,93611,936Tangible assets (non-GAAP)$2,825,154$2,775,074$2,644,603 Shareholders' equity to assets (GAAP)13.36%13.35%7.30%Tangible shareholders' equity to tangible assets (non-GAAP)12.99%12.98%6.88% Common shares outstanding, including unallocated ESOP shares20,07620,076N/A Book value per common share (GAAP)$18.88$18.53N/ATangible book value per common share (non-GAAP)$18.28$17.94N/AView source version on businesswire.com: https://www.businesswire.com/news/home/20260129573692/en/Robert D. CozzonePresident and Chief Executive OfficerAvidia Bancorp, Inc.(800) 508-2265Source: Avidia Bancorp, Inc.