Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38131 Esquire Financial Holdings, Inc. (Exact Name of Registrant as Specified in its Charter) Maryland 27-5107901 (State or o ...

PresentationHello, and thank you for standing by. My name is Tiffany, and I will be your conference operator today. At this time, I would like to welcome everyone to the Esquire Financial Holdings, Inc. Acquisition of Signature Bank Corporation, Inc. [Operator Instructions]Andrew SaglioccaVice Chairman, CEO & President Thank you, Tiffany. Thank you, everybody, for joining us this morning for this exciting news. I'd like to start before we walk through the deck with just thanking the Signature Board, startin ...

Seeking Alpha's transcripts team is responsible for the development of all of our transcript-related projects. We currently publish thousands of quarterly earnings calls per quarter on our site and are continuing to grow and expand our coverage. The purpose of this profile is to allow us to share with our readers new transcript-related developments. Thanks, SA Transcripts Team ...

Summary of Esquire Financial Holdings and Signature Bancorporation Acquisition Conference Call Company and Industry Overview - **Companies Involved**: Esquire Financial Holdings, Inc. (NasdaqCM:ESQ) and Signature Bancorporation, Inc. - **Industry**: Commercial Banking, specifically focusing on litigation financing and middle-market commercial banking Key Transaction Highlights - **Acquisition Announcement**: Esquire Financial Holdings announced the acquisition of Signature Bancorporation on March 12, 2026 [1] - **Strategic Fit**: The acquisition is described as strategically compelling, enhancing scale, resources, and diversifying Esquire's balance sheet [4][6] - **Market Presence**: Signature is positioned in the Chicago market, the third-largest metropolitan area in the U.S., which is seen as a growth engine for both companies [3][4] - **Transaction Structure**: The deal is structured as a 100% common stock transaction with an exchange ratio of 2.63 Esquire shares for each Signature share, valuing Signature at approximately $350 million [9][10] Financial Implications - **Earnings Accretion**: The acquisition is expected to be 23% accretive to Esquire's 2027 earnings per share and 11% accretive to tangible book value [6][24] - **Capital Ratios**: The combined entity will maintain strong capital ratios without raising additional capital [6][25] - **Performance Metrics**: Pro forma metrics post-acquisition include a 2% return on assets (ROA), 18% return on equity (ROE), and a net interest margin (NIM) of 5.25% [22][24] Signature Bancorporation Overview - **Size and Performance**: Signature is a $2 billion bank with $1.3 billion in loans and a strong efficiency ratio of 41% [7][8] - **Deposit Base**: Signature has a non-interest-bearing deposit base of 35% and a cost of funds of 1.42% [8][23] - **Growth Rate**: Signature has demonstrated a compounded annual growth rate of 13% over recent years [8] Strategic Rationale - **Market Opportunity**: The Chicago market is highlighted as underserved by Esquire, presenting significant growth potential, particularly in the litigation vertical [19][20][70] - **Complementary Strengths**: The merger combines Esquire's focus on litigation financing with Signature's strong commercial banking capabilities, allowing for cross-learning and enhanced service offerings [65][70] - **Management Team**: The deal retains key executives from Signature, ensuring continuity and leveraging their local market expertise [10][11] Risks and Considerations - **Loan Portfolio**: The acquisition includes four Schedule A loans totaling $70 million, which are criticized but secured by strong collateral [11][37][66] - **Integration Challenges**: The successful integration of the two companies' cultures and operations is crucial for realizing projected synergies and growth [55] Conclusion - **Future Outlook**: The combined entity is expected to create a premier national banking franchise with enhanced liquidity and value creation opportunities for shareholders [75][76] - **Commitment to Growth**: Both companies are committed to leveraging their combined strengths to accelerate growth in the Chicago market and beyond [70][71]

Esquire Financial Holdings, Inc. Strategic Acquisition of Signature Bancorporation, Inc. Expansion into the Chicago Banking Market March 12, 2026 Forward Looking Disclosure This communication includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the beliefs, goals, intentions, and expectations of Esquire Financi ...

Core Viewpoint - Esquire Financial Holdings, Inc. is set to acquire Signature Bancorporation, Inc. in an all-stock transaction, enhancing its presence in the Chicago banking market and expanding its resources and capabilities [1][2]. Strategic Benefits - Expansion in the Chicago Market: The acquisition provides Esquire with a premier commercial banking franchise in Chicago, enhancing its growth in the third largest metropolitan area in the U.S. and one of the largest legal markets [1]. - Enhances Scale and Combines Complementary Strengths: The merger strategically positions the combined company for improved growth and profitability, leveraging Signature's established banking relationships and Esquire's national litigation expertise [1]. - Diversification to Drive Future Growth: The merger reduces Esquire's concentration in litigation vertical loans from over 70% to below 50%, supporting accelerated growth in Chicago and nationwide [1]. - Maintains Strong Profitability while Deploying Excess Capital: Signature's strong commercial deposits will diversify Esquire's balance sheet and contribute significant earnings, generating a mid to high-teens internal rate of return (IRR) for the deployment of excess capital [1]. - Prospects to Accelerate Shareholder Value Creation: Pro forma calculations indicate a 23% increase in GAAP EPS for Esquire in 2027, with the transaction being approximately 11% accretive to Esquire's Tangible Book Value [1]. Transaction Details - The merger agreement stipulates that Signature shareholders will receive 2.63 shares of Esquire common stock for each share of Signature, equating to approximately $348.4 million in total transaction value [2]. - The exchange ratio is adjustable based on the value of certain Signature Bank loans, with a range between 2.50 and 2.80 [2]. - The transaction has been approved by the boards of both companies and is subject to regulatory and shareholder approvals, with an anticipated closing in the third quarter of 2026 [2]. Governance and Leadership - The combined company's board will consist of eleven directors, with nine from Esquire and two from Signature, ensuring a blend of leadership from both institutions [1]. - Key executives from Signature will continue to lead operations in the Chicago market post-merger, enhancing business development opportunities [1].

Market Overview - Wall Street has experienced significant volatility since the beginning of the year, with major indexes giving up most of their gains recently [1][2] - Economic uncertainty, including higher inflation and borrowing rates, along with geopolitical tensions, has contributed to this volatility [2][4] - The S&P 500 dropped 1.23% to 6,798.40 points, entering negative territory for the year, while the Dow and Nasdaq also saw declines of 1.2% and 1.6% respectively [5] Economic Indicators - Job openings in December totaled 6.54 million, a decrease of 386,000 from November, marking the lowest level since September 2020 [6] - Jobless claims rose to 231,000 for the last week of January, up 22,000 from the previous week, exceeding the consensus estimate of 212,000 [7] - U.S. companies announced 108,435 layoffs in January, the highest total for that month since the global financial crisis [7] Federal Reserve Actions - The Federal Reserve maintained interest rates in January after a total reduction of 75 basis points last year, facing challenges from high inflation [8] Dividend-Paying Stocks - Investors are advised to consider dividend-paying stocks as a means to protect capital during market volatility [2] - The New York Times Company (NYT) announced a dividend of $0.23 per share, with a dividend yield of 1.06% and a payout ratio of 30% of earnings [10][12] - Yum China Holdings, Inc. (YUMC) declared a dividend of $0.29 per share, yielding 1.81% with a payout ratio of 40% of earnings [14][12] - Esquire Financial Holdings, Inc. (ESQ) announced a dividend of $0.20 per share, yielding 0.60% with a payout ratio of 12% of earnings [16][12]

Core Viewpoint - Esquire Financial Holdings, Inc. announced a 14% increase in its regular quarterly dividend to $0.20 per share, reflecting the strength of its balance sheet and long-term outlook [1][2]. Group 1: Dividend Announcement - The quarterly dividend will be payable on March 2, 2026, to stockholders of record on February 13, 2026 [1]. - This marks the fifth consecutive dividend increase since the company initiated dividends in 2022 [2]. Group 2: Company Overview - Esquire Financial Holdings, Inc. is headquartered in Jericho, New York, and operates through its wholly owned subsidiary, Esquire Bank [2]. - Esquire Bank is a full-service commercial bank with branches in Jericho, New York, and Los Angeles, California, and an administrative office in Boca Raton, Florida [2]. - The Bank focuses on serving the financial needs of the litigation industry, small businesses, and commercial and retail customers in the New York metropolitan area [2].

Core Insights - Esquire Financial Holdings, Inc. (ESQ) is recognized as a high growth small-cap stock that is profitable, with a recent price target increase from $80 to $85 by Keefe, Bruyette & Woods while maintaining a Market Perform rating [1][2]. Financial Performance - The company reported a net interest income of $33.3 million, slightly exceeding the consensus estimate of $31.94 million [2]. - The net interest margin improved marginally to 6.05% from 6.04% in the previous quarter [2]. - Book value per share increased to $33.86 from $32.60 [2]. - The common equity tier 1 capital ratio decreased to 14.18% from 15.27% in the prior quarter [2]. Business Focus - Esquire Financial Holdings, Inc. operates as a financial holding company and parent of Esquire Bank, which serves the legal industry, small businesses, and retail clients nationwide [3]. - The company emphasizes its commitment to serving complex litigation and payments markets through tech-enabled financial solutions, enhancing client experience, and maintaining strong growth metrics [2].

分组1 - Esquire Financial Holdings, Inc. reported quarterly earnings of $1.55 per share, missing the Zacks Consensus Estimate of $1.56 per share, but showing an increase from $1.37 per share a year ago, resulting in an earnings surprise of -0.32% [1] - The company posted revenues of $39.4 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 3.27%, compared to year-ago revenues of $33.06 million, and has topped consensus revenue estimates four times over the last four quarters [2] - The current consensus EPS estimate for the coming quarter is $1.49 on revenues of $38.1 million, and for the current fiscal year, it is $6.25 on revenues of $159.48 million [7] 分组2 - Esquire Financial shares have increased by approximately 7.5% since the beginning of the year, outperforming the S&P 500's gain of 0.4% [3] - The Zacks Industry Rank for Banks - Northeast is currently in the top 33% of over 250 Zacks industries, indicating a favorable outlook for the industry [8] - Another company in the same industry, MainStreet Bank, is expected to report quarterly earnings of $0.49 per share, reflecting a year-over-year change of +508.3%, with revenues expected to be $18.76 million, up 11.3% from the year-ago quarter [9]