[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) This section details the company's unaudited financial performance, condition, market risk, and internal controls [Item 1. Financial Statements (unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) The unaudited consolidated financial statements for Metropolitan Bank Holding Corp. as of June 30, 2020, reflect significant growth in assets, loans, and deposits, with increased net income despite higher loan loss provisions due to COVID-19 [Consolidated Statements of Financial Condition](index=7&type=section&id=Consolidated%20Statements%20of%20Financial%20Condition) Total assets increased to **$3.97 billion** by June 30, 2020, driven by a **$604.0 million** rise in deposits and a **$213.1 million** increase in net loans Consolidated Balance Sheet Highlights (in thousands) | Metric | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | **Total Assets** | **$3,970,441** | **$3,357,572** | | Total Cash and cash equivalents | $822,676 | $389,220 | | Net Loans | $2,859,769 | $2,646,677 | | Total Deposits | $3,394,739 | $2,790,774 | | Total Liabilities | $3,653,272 | $3,058,448 | | **Total Stockholders' Equity** | **$317,169** | **$299,124** | [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) Net income significantly increased for both Q2 and H1 2020, driven by higher net interest income and gains on securities sales, despite a substantial increase in the provision for loan losses due to COVID-19 Key Operating Results (in thousands, except per share data) | Metric | Q2 2020 | Q2 2019 | H1 2020 | H1 2019 | | :--- | :--- | :--- | :--- | :--- | | Net Interest Income | $30,161 | $22,937 | $59,132 | $43,515 | | Provision for Loan Losses | $1,766 | $1,950 | $6,556 | $(81) | | Non-interest Income | $5,653 | $2,674 | $9,989 | $5,067 | | Non-interest Expense | $18,284 | $14,724 | $37,797 | $27,418 | | **Net Income** | **$10,811** | **$6,057** | **$16,908** | **$14,588** | | Diluted EPS | $1.28 | $0.71 | $2.00 | $1.72 | [Consolidated Statements of Cash Flows](index=12&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Cash and cash equivalents significantly increased by **$433.5 million** for the six months ended June 30, 2020, primarily due to strong financing activities from deposit growth Cash Flow Summary for Six Months Ended June 30 (in thousands) | Cash Flow Category | 2020 | 2019 | | :--- | :--- | :--- | | Net Cash from Operating Activities | $41,836 | $23,480 | | Net Cash from Investing Activities | $(170,742) | $(543,519) | | Net Cash from Financing Activities | $562,362 | $720,480 | | **Net Increase in Cash** | **$433,456** | **$200,441** | [Notes to Unaudited Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) The notes detail the basis of presentation, emphasizing the significant impact of COVID-19 on financial estimates, particularly the allowance for loan losses, and disclose key financial instruments and policies - The company acknowledges that estimates, particularly the **allowance for loan losses** and **interest income**, are susceptible to material changes in the near term due to the high uncertainty of the COVID-19 pandemic's impact[36](index=36&type=chunk) - In Q1 2020, the company entered into an **interest rate cap derivative** with a notional amount of **$300 million**, designated as a cash flow hedge to manage interest rate risk on certain deposit liabilities[39](index=39&type=chunk)[122](index=122&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the significant financial and operational impacts of COVID-19, detailing strong balance sheet growth, increased net income despite a lower net interest margin, and changes in asset quality and expenses [Impact of COVID-19 on the Bank](index=53&type=section&id=Impact%20of%20COVID-19%20on%20the%20Bank) The bank activated its Pandemic Plan, provided **$527.6 million** in loan modifications to **300 borrowers**, and increased its allowance for loan losses by **$3.1 million** due to COVID-19, while maintaining strong liquidity and capital - As of June 30, 2020, the bank had modified **300 loans** with a total balance of **$527.6 million** for customers affected by COVID-19, primarily through payment deferrals[78](index=78&type=chunk)[142](index=142&type=chunk) - The total provision for loan losses for H1 2020 was **$6.6 million**, of which **$3.1 million** was directly related to the economic impact of COVID-19, including a **$544,000** provision for a single impaired C&I loan in the transportation sector[150](index=150&type=chunk) - The bank engaged a third-party vendor in Q2 2020 to develop a **COVID-19-specific ALLL qualitative adjustment framework**, which considers macroeconomic variables, stimulus efficacy, and geographical exposure[60](index=60&type=chunk)[149](index=149&type=chunk) [Comparison of Financial Condition](index=62&type=section&id=Comparison%20of%20Financial%20Condition) Total assets increased by **$612.9 million** to **$3.97 billion** by June 30, 2020, driven by a **21.6%** rise in deposits and an **8.2%** growth in net loans Financial Condition Changes (in millions) | Metric | June 30, 2020 | Dec 31, 2019 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Total Assets | $3,970.4 | $3,357.6 | $612.8 | 18.2% | | Net Loans | $2,892.3 | $2,673.0 | $219.3 | 8.2% | | Total Deposits | $3,394.7 | $2,790.8 | $604.0 | 21.6% | | Stockholders' Equity | $317.2 | $299.1 | $18.1 | 6.1% | [Asset Quality](index=67&type=section&id=Asset%20Quality) Asset quality deteriorated with non-performing loans increasing to **$8.4 million**, primarily due to a COVID-19 impacted C&I loan, leading to an increase in the Allowance for Loan Losses to **1.12%** of total loans Non-Performing Assets (in thousands) | Metric | June 30, 2020 | December 31, 2019 | | :--- | :--- | :--- | | Total non-performing loans and assets | $8,448 | $4,493 | | Total non-performing loans to total loans | 0.29% | 0.17% | | Total non-performing assets to total assets | 0.21% | 0.13% | - The **ALLL to total loans ratio** increased to **1.12%** at June 30, 2020, from **0.98%** at December 31, 2019, largely due to the **$3.1 million** provision for the economic impact of COVID-19[176](index=176&type=chunk) [Results of Operations](index=74&type=section&id=Results%20of%20Operations) Net income significantly increased for both Q2 and H1 2020, driven by higher net interest income and gains on securities sales, despite a **28 basis point** decline in net interest margin and a **$10.4 million** rise in non-interest expenses - **Net interest margin** decreased by **28 basis points** to **3.19%** for Q2 2020 compared to Q2 2019, primarily due to lower market interest rates and a higher proportion of lower-yielding liquid assets on the balance sheet[201](index=201&type=chunk)[204](index=204&type=chunk) - **Non-interest income** for Q2 2020 increased by **111.1%** year-over-year, mainly due to a **$2.3 million** gain on the sale of available-for-sale securities[220](index=220&type=chunk) - **Non-interest expense** for Q2 2020 increased by **24.2%** year-over-year, driven by higher compensation and benefits (**$2.1 million**), licensing fees (**$0.6 million**), and bank premises costs (**$0.5 million**)[222](index=222&type=chunk) [Liquidity and Capital Resources](index=86&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintained a strong liquidity position with cash and cash equivalents more than doubling to **$822.7 million**, primarily from deposit inflows, and remained **"Well-Capitalized"** under regulatory guidelines - **Cash and cash equivalents** more than doubled to **$822.7 million** at June 30, 2020, from **$389.2 million** at December 31, 2019[236](index=236&type=chunk) Regulatory Capital Ratios (The Company) | Ratio | June 30, 2020 | Minimum Required | | :--- | :--- | :--- | | Tier 1 leverage ratio | 8.6% | 4.0% | | Common equity tier 1 | 9.9% | 4.5% | | Tier 1 risk-based capital ratio | 10.8% | 8.0% | | Total risk-based capital ratio | 12.7% | 6.0% | [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=57&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate volatility, with simulations indicating net interest income is moderately asset-sensitive to rising rates, while Economic Value of Equity is highly sensitive to falling rates - The company's **net interest income** is moderately asset-sensitive to rising rates, with a **+200 bps shock** projected to increase NII by **6.16%**[252](index=252&type=chunk)[253](index=253&type=chunk) - The **Economic Value of Equity (EVE)** is highly sensitive to falling rates, with a **-100 bps shock** projected to decrease EVE by **26.45%**[255](index=255&type=chunk)[257](index=257&type=chunk) [Item 4. Controls and Procedures](index=59&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of June 30, 2020, with no material changes to internal control over financial reporting during the quarter - The Principal Executive Officer and Principal Financial Officer concluded that the Company's **disclosure controls and procedures** were effective as of June 30, 2020[259](index=259&type=chunk) [PART II. OTHER INFORMATION](index=60&type=section&id=PART%20II.%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, and other miscellaneous disclosures [Item 1. Legal Proceedings](index=60&type=section&id=Item%201.%20Legal%20Proceedings) Management believes that pending or threatened legal actions will not have a material impact on the company's financial condition or results of operations - Management does not expect any pending or threatened legal actions to have a **material impact** on the Company's financial condition[262](index=262&type=chunk) [Item 1A. Risk Factors](index=60&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported from previous disclosures in the 2019 Form 10-K and Q1 2020 Form 10-Q - No material changes in **risk factors** were reported from those disclosed in the 2019 Form 10-K and Q1 2020 Form 10-Q[263](index=263&type=chunk) [Other Items (Items 2, 3, 4, 5, 6)](index=60&type=section&id=Other%20Items%20(Items%202,%203,%204,%205,%206)) The company reported no unregistered sales of equity securities, no defaults upon senior securities, and no other information for Items 2, 3, and 5, with Item 4 being not applicable and Item 6 listing exhibits - The company reported no activity for **Unregistered Sales of Equity Securities**, **Defaults Upon Senior Securities**, or **Other Information**[264](index=264&type=chunk)[265](index=265&type=chunk)[267](index=267&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 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 No. 001‑38282 Metropolitan Bank Holding Corp. (Exact Name of Registrant as Specified in Its Ch ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION METROPOLITAN BANK HOLDING CORP. Washington, D.C. 20549 FORM 10-K (Mark One) (Exact name of registrant as specified in its charter) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019. 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: 001‑38282 Securities registere ...

PART I. FINANCIAL INFORMATION [Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) Unaudited consolidated financial statements for Q3 2019 reflect significant growth in assets, loans, and deposits, driving increased net income [Consolidated Statements of Financial Condition](index=5&type=section&id=Consolidated%20Statements%20of%20Financial%20Condition) As of September 30, 2019, total assets reached $3.24 billion, a 48.6% increase, primarily fueled by a $626.0 million increase in net loans and a $202.5 million increase in cash and cash equivalents Consolidated Balance Sheet Highlights (in thousands) | Account | Sep 30, 2019 (thousands) | Dec 31, 2018 (thousands) | Change ($ thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | **Total Assets** | **$3,243,171** | **$2,182,644** | **$1,060,527** | **48.6%** | | Total cash and cash equivalents | $435,440 | $232,950 | $202,490 | 86.9% | | Net loans | $2,472,253 | $1,846,274 | $625,979 | 33.9% | | **Total Liabilities** | **$2,952,169** | **$1,918,127** | **$1,034,042** | **53.9%** | | Total deposits | $2,705,206 | $1,660,554 | $1,044,652 | 62.9% | | **Total Stockholders' Equity** | **$291,002** | **$264,517** | **$26,485** | **10.0%** | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For Q3 2019, net income increased 8.0% to $7.7 million, and for the nine-month period, it rose 15.6% to $22.3 million, driven by higher net interest income Key Operating Results (in thousands, except per share data) | Metric | Q3 2019 (thousands) | Q3 2018 (thousands) | 9 Months 2019 (thousands) | 9 Months 2018 (thousands) | | :--- | :--- | :--- | :--- | :--- | | Net Interest Income | $26,053 | $18,351 | $69,568 | $52,266 | | Provision for loan losses | $2,004 | $(453) | $1,923 | $2,294 | | **Net Income** | **$7,683** | **$7,113** | **$22,271** | **$19,268** | | Diluted EPS | $0.90 | $0.85 | $2.63 | $2.31 | [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the nine months ended September 30, 2019, cash and cash equivalents increased by $202.5 million, primarily due to $1.0 billion provided by financing activities Cash Flow Summary for Nine Months Ended Sep 30 (in thousands) | Activity | 2019 (thousands) | 2018 (thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $50,521 | $40,869 | | Net cash used in investing activities | $(851,595) | $(295,008) | | Net cash provided by financing activities | $1,003,564 | $147,333 | | **Increase (decrease) in cash** | **$202,490** | **$(106,806)** | [Notes to Unaudited Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) The notes detail accounting policies, recent pronouncements, and provide in-depth information on key financial statement components including loan and investment portfolios - The company adopted ASU 2014-09 (Revenue from Contracts) and ASU 2016-01 (Financial Instruments) on January 1, 2019, resulting in adjustments to opening retained earnings of **$0.117 million** and **$0.068 million**, respectively[31](index=31&type=chunk)[32](index=32&type=chunk) - The loan portfolio grew to **$2.50 billion**, with commercial real estate loans making up **60.2%** of the total portfolio as of September 30, 2019[47](index=47&type=chunk)[119](index=119&type=chunk) - As of September 30, 2019, there was **$2.2 million** of total unrecognized compensation expense related to restricted stock awards, expected to be recognized over a weighted-average period of **2.26 years**[78](index=78&type=chunk) - Off-balance-sheet commitments included **$207.5 million** in undrawn lines of credit and **$36.3 million** in letters of credit at September 30, 2019[96](index=96&type=chunk)[167](index=167&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses significant growth in financial condition and operating results for Q3 and nine months 2019, driven by asset and deposit expansion [Comparison of Financial Condition](index=38&type=section&id=Comparison%20of%20Financial%20Condition) The company's financial condition strengthened significantly between December 31, 2018, and September 30, 2019, with total assets increasing by $1.06 billion to $3.24 billion - Total assets grew to **$3.24 billion** at Sep 30, 2019, from **$2.18 billion** at Dec 31, 2018[112](index=112&type=chunk) - Total deposits increased by **$1.05 billion (63.5%)** during the first nine months of 2019, reaching **$2.71 billion**; specialty deposits grew to **$1.26 billion**, representing **46.5%** of total deposits[114](index=114&type=chunk) - Loan production for the nine months ended Sep 30, 2019 was **$839.7 million**, a significant increase from **$528.2 million** in the same period of 2018[112](index=112&type=chunk) [Asset Quality](index=41&type=section&id=Asset%20Quality) Asset quality remains strong, despite an increase in non-performing loans to $4.7 million, primarily due to specific residential and taxi medallion loans Non-Performing Assets (in thousands) | Category | Sep 30, 2019 (thousands) | Dec 31, 2018 (thousands) | | :--- | :--- | :--- | | Total non-accrual loans | $3,998 | $50 | | Accruing loans 90+ days past due | $716 | $239 | | **Total non-performing loans** | **$4,714** | **$289** | | Ratio of non-performing loans to total loans | 0.19% | 0.02% | - The ALLL to total loans ratio was **0.98%** at September 30, 2019, compared to **1.02%** at December 31, 2018[131](index=131&type=chunk) - Net recoveries for the nine months ended Sep 30, 2019 were **$3.6 million**, including **$4.2 million** in recoveries from previously charged-off taxi medallion loans[131](index=131&type=chunk)[50](index=50&type=chunk) [Results of Operations](index=46&type=section&id=Results%20of%20Operations) Net income for Q3 2019 increased to $7.7 million, and for the nine-month period, it grew to $22.3 million, primarily driven by a significant increase in net interest income Net Income Comparison (in thousands) | Period | 2019 (thousands) | 2018 (thousands) | Change ($ thousands) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | **Q3 Net Income** | **$7,683** | **$7,113** | **$570** | **8.0%** | | **9-Month Net Income** | **$22,271** | **$19,268** | **$3,003** | **15.6%** | [Liquidity and Capital Resources](index=55&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position, with cash and cash equivalents increasing to $435.4 million, and remains 'Well-Capitalized' under regulatory guidelines - Cash and cash equivalents totaled **$435.4 million** at Sep 30, 2019, up from **$233.0 million** at Dec 31, 2018[170](index=170&type=chunk) - The Bank is subject to Basel III capital rules and was fully compliant, with a capital conservation buffer of **2.5%** effective January 1, 2019[177](index=177&type=chunk)[178](index=178&type=chunk) Bank Capital Ratios (as of Sep 30, 2019) | Ratio | Bank Actual | 'Well Capitalized' Minimum | | :--- | :--- | :--- | | Tier 1 leverage ratio | 10.3% | 5.0% | | Common equity tier 1 | 12.2% | 6.5% | | Tier 1 risk-based capital | 12.2% | 10.0% | | Total risk-based capital | 13.1% | 8.0% | [Quantitative and Qualitative Disclosures About Market Risk](index=58&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company manages interest rate risk through ALCO using NII at-risk and EVE simulation models, without derivative contracts Net Interest Income Sensitivity (Year 1 Forecast) | Rate Change (bps) | Change from Forecast (%) | | :--- | :--- | | +200 | (7.77)% | | +100 | (3.94)% | | 0 | 0.00% | | -100 | 5.55% | Economic Value of Equity (EVE) Sensitivity | Rate Change (bps) | Change in EVE (%) | | :--- | :--- | | +200 | (13.57)% | | +100 | (5.43)% | | 0 | 0.00% | | -100 | (2.95)% | - The company manages interest rate risk by structuring its balance sheet and does not use derivative contracts[184](index=184&type=chunk) [Controls and Procedures](index=61&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of September 30, 2019, with no material changes to internal control over financial reporting - The Principal Executive Officer and Principal Financial Officer concluded that the Company's disclosure controls and procedures are effective as of September 30, 2019[193](index=193&type=chunk) - No changes in internal control over financial reporting occurred during the most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, the company's internal controls[193](index=193&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=62&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal actions arising from normal business activities, with management believing no material impact on financial condition or liquidity - As of September 30, 2019, management opines that any liability from pending or threatened legal actions will not be material to the Company's financial condition[195](index=195&type=chunk) [Risk Factors](index=62&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K and prior Quarterly Report - The company's evaluation of its risk factors has not changed materially from those disclosed in its 2018 Annual Report on Form 10-K and the prior quarterly report[196](index=196&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=62&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) There were no unregistered sales of equity securities during the reporting period - None[197](index=197&type=chunk) [Defaults Upon Senior Securities](index=62&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) There were no defaults upon senior securities during the reporting period - None[198](index=198&type=chunk) [Mine Safety Disclosures](index=62&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[199](index=199&type=chunk) [Other Information](index=62&type=section&id=Item%205.%20Other%20Information) There was no other information to report for the period - None[200](index=200&type=chunk) [Exhibits](index=62&type=section&id=Item%206.%20Exhibits) This section provides an index of the exhibits filed with the Form 10-Q, including certifications from the CEO and CFO and XBRL data files - The report includes CEO and CFO certifications (Exhibits 31.1, 31.2, 32) and XBRL filings as required[203](index=203&type=chunk)

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 No. 001‑38282 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 Metropolitan Bank Holding Corp. (Exact Name of Registrant as Specified in Its Cha ...

PART I. FINANCIAL INFORMATION [Financial Statements (unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) This section presents the unaudited consolidated financial statements for the quarterly period ended March 31, 2019, including detailed notes on accounting policies and financial instruments [Consolidated Statements of Financial Condition](index=5&type=section&id=Consolidated%20Statements%20of%20Financial%20Condition) Total assets reached $2.55 billion by March 31, 2019, driven by net loan growth, with liabilities and equity also increasing Consolidated Balance Sheet Highlights (in thousands) | Metric | March 31, 2019 | December 31, 2018 | | :--- | :--- | :--- | | **Total Assets** | **$2,545,186** | **$2,182,644** | | Net Loans | $2,081,586 | $1,846,274 | | Total Deposits | $1,966,130 | $1,660,554 | | **Total Liabilities** | **$2,271,399** | **$1,918,127** | | **Total Stockholders' Equity** | **$273,787** | **$264,517** | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) Net income for Q1 2019 increased to $8.53 million, driven by higher net interest income despite lower non-interest income, resulting in improved diluted EPS Quarterly Statement of Operations Highlights (in thousands, except per share data) | Metric | Q1 2019 | Q1 2018 | | :--- | :--- | :--- | | Net Interest Income | $20,893 | $16,516 | | Provision for Loan Losses | ($2,031) | $1,477 | | Non-interest Income | $2,393 | $5,312 | | **Net Income** | **$8,531** | **$6,291** | | **Diluted EPS** | **$1.01** | **$0.75** | [Consolidated Statements of Comprehensive Income](index=7&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income) Comprehensive income for Q1 2019 rose to $8.79 million, primarily due to increased net income and a positive shift in unrealized gains on available-for-sale securities Quarterly Comprehensive Income (in thousands) | Metric | Q1 2019 | Q1 2018 | | :--- | :--- | :--- | | Net Income | $8,531 | $6,291 | | Other Comprehensive Income (Loss), net | $258 | ($322) | | **Comprehensive Income** | **$8,789** | **$5,969** | [Consolidated Statements of Changes in Stockholders' Equity](index=8&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Stockholders%27%20Equity) Stockholders' equity increased to $273.8 million by Q1 2019, primarily driven by the $8.5 million net income earned during the quarter - Total stockholders' equity grew by **$9.3 million** during Q1 2019, primarily driven by net income of **$8.5 million**[16](index=16&type=chunk) [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Cash and cash equivalents increased by $123.1 million in Q1 2019, primarily due to strong net cash from financing activities offsetting investing outflows Quarterly Cash Flow Summary (in thousands) | Cash Flow Activity | Q1 2019 | Q1 2018 | | :--- | :--- | :--- | | Net Cash from Operating Activities | $21,029 | $15,322 | | Net Cash used in Investing Activities | ($233,421) | ($109,061) | | Net Cash from Financing Activities | $335,488 | $203,458 | | **Net Increase in Cash** | **$123,096** | **$109,719** | [Notes to Unaudited Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) Notes detail accounting policies, including new ASU adoptions, loan portfolio growth to $2.1 billion, and off-balance-sheet commitments of $184.1 million in undrawn credit lines - The company adopted ASU 2014-09 (Revenue from Contracts) and ASU 2016-01 (Financial Instruments) on January 1, 2019, recording adjustments to retained earnings of **$117,000** and **$68,000** (net of tax), respectively[29](index=29&type=chunk)[30](index=30&type=chunk) - Total loans grew to **$2.105 billion**, with Commercial Real Estate representing the largest segment at **$1.134 billion**[42](index=42&type=chunk) - Net recoveries for Q1 2019 were **$3.9 million**, largely due to **$4.2 million** in recoveries related to previously charged-off taxi medallion loans[42](index=42&type=chunk) - As of March 31, 2019, the company had off-balance-sheet commitments including **$184.1 million** in undrawn lines of credit and **$36.2 million** in standby letters of credit[83](index=83&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2019's strong financial performance, including asset and loan growth, increased net income to $8.5 million, and the bank's 'Well-Capitalized' status - Total assets increased to **$2.55 billion** at March 31, 2019, from **$2.18 billion** at December 31, 2018, driven by loan production of **$289.8 million** in Q1 2019[99](index=99&type=chunk) - Net income for Q1 2019 rose to **$8.5 million** from **$6.3 million** in Q1 2018. The increase was primarily due to higher net interest income and a **$3.5 million** decrease in the provision for loan losses[127](index=127&type=chunk) - The provision for loan losses was a credit of **$2.0 million** for Q1 2019, mainly due to a **$4.2 million** recovery on previously charged-off taxi medallion loans[138](index=138&type=chunk) - Non-interest income decreased by **$2.9 million** YoY, primarily due to a **$1.1 million** decline in wire fees and a **$2.1 million** decrease in foreign currency conversion fees related to digital currency customers[140](index=140&type=chunk) - The Bank meets all requirements to be considered "Well-Capitalized" under applicable regulatory guidelines, with a Tier 1 leverage ratio of **13.4%** as of March 31, 2019[153](index=153&type=chunk)[158](index=158&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=50&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company manages interest rate risk using NII and EVE sensitivity models, showing asset-sensitivity with NII increasing by 2.64% and EVE decreasing by 5.28% in a +200 bps rate scenario Net Interest Income Sensitivity Analysis (Year 1 Forecast) | Rate Shock (bps) | Change from Level (%) | | :--- | :--- | | +400 | 5.40% | | +200 | 2.64% | | -100 | (1.54)% | | -200 | (1.92)% | Economic Value of Equity (EVE) Sensitivity Analysis | Rate Shock (bps) | Change in EVE (%) | | :--- | :--- | | +400 | (10.68)% | | +200 | (5.28)% | | -100 | (0.26)% | | -200 | (3.15)% | [Controls and Procedures](index=53&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of March 31, 2019, with no material changes to internal control over financial reporting - The Principal Executive Officer and Principal Financial Officer concluded that the Company's disclosure controls and procedures are effective as of March 31, 2019[170](index=170&type=chunk) - No material changes were made to the Company's internal control over financial reporting during the most recent fiscal quarter[170](index=170&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=53&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal actions, but management believes the ultimate liability will not materially impact financial condition or results - Management believes that any liability from pending or threatened legal actions will not be material to the Company's financial condition or results[172](index=172&type=chunk) [Risk Factors](index=53&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the company's risk factors have occurred since the Annual Report on Form 10-K filing - The Company's evaluation of risk factors has not changed materially from those disclosed in the Annual Report on Form 10-K filed on March 13, 2019[173](index=173&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=53&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales of equity securities or use of proceeds were reported for the period - None[174](index=174&type=chunk) [Defaults Upon Senior Securities](index=53&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities were reported for the period - None[175](index=175&type=chunk) [Mine Safety Disclosures](index=53&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[176](index=176&type=chunk) [Other Information](index=54&type=section&id=Item%205.%20Other%20Information) No other information was reported for this item - None[177](index=177&type=chunk) [Exhibits](index=54&type=section&id=Item%206.%20Exhibits) This section indexes exhibits, including CEO and CFO certifications and XBRL Interactive Data Files - The report includes CEO and CFO certifications pursuant to Rule 13a-14(a) and Section 906 of the Sarbanes-Oxley Act[182](index=182&type=chunk) - XBRL interactive data files are included as exhibits[182](index=182&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10‑K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018. 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: 001‑38282 METROPOLITAN BANK HOLDING CORP. (Exact name of registrant as specified in its charter) (State or other juri ...