--- title: "Texas Community Bancshares | 10-Q: FY2026 Q1 Revenue: USD 6.268 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/285623975.md" datetime: "2026-05-07T21:29:02.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285623975.md) - [en](https://longbridge.com/en/news/285623975.md) - [zh-HK](https://longbridge.com/zh-HK/news/285623975.md) --- # Texas Community Bancshares | 10-Q: FY2026 Q1 Revenue: USD 6.268 M Revenue: As of FY2026 Q1, the actual value is USD 6.268 M. EPS: As of FY2026 Q1, the actual value is USD 0.31. EBIT: As of FY2026 Q1, the actual value is USD -2.476 M. ### Financial Performance Overview Texas Community Bancshares, Inc. reported a net income of $836,000 for the three months ended March 31, 2026, marking a 30.0% increase from $643,000 in the prior year period. Net interest income increased by 3.1% to $3.4 million for the three months ended March 31, 2026, compared to $3.3 million for the same period in 2025. The provision for credit losses significantly decreased by 94.7% to $6,000 for the three months ended March 31, 2026, down from $113,000 in the prior year. Noninterest income rose by 51.1% to $698,000, while total noninterest expense increased by 8.2% to $3.2 million for the three months ended March 31, 2026. Income tax expense increased by 12.3% to $119,000 for the three months ended March 31, 2026. #### Interest Income - **Loans**: Interest income on loans increased by $254,000, or 5.8%, to $4.7 million for the three months ended March 31, 2026, driven by a 1.2% increase in average loan balances to $303.0 million and a 4.4% increase in loan yield to 6.14%. - **Debt Securities**: Interest income from securities decreased by $266,000, or 25.9%, primarily due to an 18.8% decrease in average balances to $78.0 million and an 8.7% decrease in yield to 3.91%. - **Restricted Investments**: Interest income decreased by $16,000, or 32.0%, to $34,000, due to a 22.2% decrease in average balance to $2.8 million and an 11.1% decrease in average yield to 4.90%. - **Interest Bearing Deposits in Banks**: Interest income decreased by $45,000, or 43.3%, to $59,000, due to a 30.9% decrease in average deposits to $6.5 million and an 18.1% decrease in average yield to 3.61%. #### Interest Expense - **Deposits**: Interest expense on deposits decreased by $151,000, or 8.4%, to $1.6 million, due to a 3.5% decrease in average interest-bearing deposits to $283.2 million and a 5.0% decrease in average deposit cost to 2.33%. - **Advances from FHLB**: Interest expense decreased by $14,000, or 2.8%, to $489,000, due to an 8.7% decrease in average FHLB advances to $45.4 million, partially offset by a 6.4% increase in average cost. #### Noninterest Income Breakdown Noninterest income increased by $236,000, or 51.1%, to $698,000, primarily driven by $168,000 in rental income from a foreclosed multifamily property and a $57,000 referral fee from a loan payoff and transfer. #### Noninterest Expense Breakdown Noninterest expense increased by $240,000, or 8.2%, to $3.2 million, mainly due to a $106,000 (17.7%) increase in other expenses to $704,000 (including $98,000 related to the foreclosed multifamily property), a $77,000 (135.1%) increase in technology expense to $134,000, and a $41,000 (16.6%) increase in occupancy and equipment expenses to $288,000. ### Financial Condition #### Assets Total assets increased by $604,000, or 0.1%, to $430.4 million at March 31, 2026, from $429.8 million at December 31, 2025, primarily due to a $4.6 million increase in interest-bearing deposits in banks, offset by a $4.7 million decrease in net loans and leases. **Cash and Cash Equivalents**: Remained flat at $6.5 million at both March 31, 2026, and December 31, 2025. **Interest Bearing Deposits in Banks**: Increased by $4.6 million, or 83.6%, to $10.1 million at March 31, 2026, from $5.5 million at December 31, 2025. **Securities Available for Sale**: Increased by $177,000, or 0.3%, to $60.1 million at March 31, 2026, from $59.9 million at December 31, 2025, with gross unrealized losses increasing from -$3.9 million (6.1% of amortized cost) to -$4.3 million (6.7% of amortized cost). **Securities Held to Maturity**: Decreased by $762,000, or 4.4%, to $17.5 million at March 31, 2026, from $18.3 million at December 31, 2025, with gross unrealized losses of -$1.7 million (9.7% of amortized cost) compared to -$1.5 million (8.2% of amortized cost) at December 31, 2025. **Net Loans and Leases Receivable**: Decreased by $4.7 million, or 1.6%, to $298.5 million at March 31, 2026, from $303.2 million at December 31, 2025, primarily due to a $7.7 million multifamily loan payoff. The loan portfolio composition included 90.5% real estate loans ($273.3 million), 3.1% commercial and industrial loans ($9.3 million), 5.0% municipal loans ($15.2 million), and 1.4% consumer and other loans ($4.1 million) at March 31, 2026. The allowance for credit losses was 1.14% of total loans at March 31, 2026. **Other Real Estate Owned (OREO)**: Decreased by $167,000, or 1.8%, to $9.1 million at March 31, 2026, from $9.3 million at December 31, 2025, due to the sale of a bank-owned property, with three properties remaining that are actively marketed for sale. #### Liabilities and Shareholders’ Equity - **Deposits**: Increased by $4.1 million, or 1.3%, to $332.0 million at March 31, 2026, from $327.9 million at December 31, 2025, with core deposits increasing by $4.9 million (2.5%) to $199.0 million. - **Advances from Federal Home Loan Bank (FHLB)**: Decreased by $4.1 million, or 9.0%, to $41.6 million at March 31, 2026, from $45.7 million at December 31, 2025, due to the repayment of two advances totaling $4.0 million. - **Total Shareholders’ Equity**: Increased by $477,000, or 0.9%, to $54.2 million at March 31, 2026, from $53.8 million at December 31, 2025, mainly due to net income of $836,000, partially offset by a -$309,000 increase in accumulated other comprehensive loss and $143,000 in quarterly dividends paid. - **Accumulated Other Comprehensive Loss**: -$3.4 million at March 31, 2026, compared to -$3.1 million at December 31, 2025. ### Liquidity and Capital Resources Texas Community Bancshares, Inc. maintained $108.5 million in unused borrowing capacity with the Federal Home Loan Bank of Dallas and $8.0 million in unused unsecured lines of credit with correspondent banks at March 31, 2026. Broadstreet Bank’s Community Bank Leverage Ratio (CBLR) was 11.97% at March 31, 2026, exceeding the 9.0% requirement for a “well-capitalized” status. #### Market Risk Management Texas Community Bancshares, Inc. manages interest rate risk through strategies including maintaining high capital and liquidity, growing core deposits, managing the investment securities portfolio to reduce average maturity, and diversifying the loan portfolio. As of March 31, 2026, a 200 basis point increase in interest rates would result in a 6.52% increase in net interest income, while a 200 basis point decrease would lead to a 3.00% decrease. ### Future Outlook and Strategy Texas Community Bancshares, Inc. is actively marketing its three remaining Other Real Estate Owned properties and is strategically increasing its lending in Commercial Real Estate (CRE), other commercial lending, and loans to municipalities to balance its loan portfolio. The company continues to monitor rates, loan demand, and housing market indicators weekly, while also assessing assets, liabilities, capital, and investment portfolio unrealized losses for potential issues and opportunities related to current economic and market conditions. ### Related Stocks - [TCBS.US](https://longbridge.com/en/quote/TCBS.US.md) ## Related News & Research - [Texas Community Bancshares catat laba bersih kuartal II FY26 naik 43,1% jadi USD 970.000](https://longbridge.com/en/news/295577246.md) - [Flexsteel Q4 2026 Earnings Preview](https://longbridge.com/en/news/296031749.md) - [Algorhythm Holdings Reports Second Quarter 2026 Financial Results](https://longbridge.com/en/news/296124832.md) - [REG - UIL Limited UIL Finance Ltd - Purchase of 2026 ZDP Shares](https://longbridge.com/en/news/296518280.md) - [Baker Hughes declares Q3 2026 dividend of R$ 0.81 per unit](https://longbridge.com/en/news/296392545.md)