Core Viewpoint - Farmers & Merchants Bancorp is launching a special voluntary program allowing shareholders with 99 shares or less to sell their shares without fees, aimed at increasing liquidity and portfolio diversification [1][2]. Group 1: Program Details - The program will be effective from November 19, 2025, to December 23, 2025, unless terminated or extended by the company [2]. - Eligible shareholders will be notified by mail about the program [2]. - The program will be administered by Georgeson LLC, with Computershare Trust Company serving as the paying agent [2]. Group 2: Company Overview - Farmers & Merchants Bancorp trades on the OTCQX under the symbol FMCB and is the parent company of Farmers & Merchants Bank of Central California [4]. - Founded in 1916, F&M Bank operates 33 locations in California and has $5.6 billion in assets [4]. - The bank has maintained a 5-Star rating from BauerFinancial for 35 consecutive years, making it one of the safest banks in the nation [4]. Group 3: Banking Services - F&M Bank offers a comprehensive range of loan, deposit, equipment leasing, and treasury management products for businesses, as well as consumer banking products [5]. - The bank received the highest rating of "Outstanding" from the FDIC in its last Community Reinvestment Act evaluation [5].

Core Viewpoint - OptimumBank Holdings, Inc. will release its financial results for Q3 2025 on November 13, 2025, and will host a conference call to discuss the results and provide a business update [1]. Company Overview - OptimumBank was founded in 2000 in Ft. Lauderdale, Florida, focusing on traditional in-person banking for businesses and consumers in South Florida [3]. - The bank aims to provide competitive services without the high fees associated with larger financial institutions, leveraging its expertise in real estate and commercial lending [3]. - The company has experienced significant growth in the past decade and plans to capitalize on this momentum in the future [3]. Business Solutions - OptimumBank offers a range of financial solutions, including Business Banking, Business Lending, SBA Lending Solutions, Treasury Management, and Personal Banking [4].

Financial Data and Key Metrics Changes - Loans held for investment increased by $83 million, or 0.6% linked quarter, and $448 million, or 3.4% year-over-year [4] - Deposit base grew by $550 million, or 3.4% linked quarter, with non-interest-bearing deposits increasing by 5.9% linked quarter [4] - Net income for the third quarter was $56.8 million, representing fully diluted EPS of $0.94, up 2.2% from the prior quarter and 11.9% from the prior year [4][5] - Return on average assets was 1.21% and return on average tangible equity was 12.84% [5] - Net interest income expanded by 2.4% to $165.2 million, with a net interest margin of 3.83%, an increase of two basis points from the prior quarter [5] Business Line Data and Key Metrics Changes - Credit quality remained solid with net charge-offs of $4.4 million, representing 13 basis points of average loans [6] - Non-interest income totaled $39.9 million, up 0.1% linked quarter and 6.3% year-over-year [5] - Non-interest expense increased by $5.8 million, or 4.7% linked quarter, including approximately $2.3 million in non-routine items [5] Market Data and Key Metrics Changes - The company reported a solid trend in criticized loans, with a decrease of about $49 million in the quarter, totaling a decline of $123 million for the first three quarters of the year [34] Company Strategy and Development Direction - The company is focused on organic growth initiatives and has added customer relationship managers in key markets [3][4] - The guidance for loans held for investment is expected to increase in mid-single digits for the full year 2025, with low single-digit growth in deposits [8] - The company plans to maintain a disciplined approach to capital deployment, focusing on organic loan growth and potential market expansion [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about maintaining net interest margin in the range of 3.80% to 3.83% despite potential short-term headwinds [31][44] - The company anticipates a proactive approach to share repurchase as capital levels continue to build [17][60] - Management highlighted the competitive landscape in the market, noting that M&A activity presents opportunities for growth [21][26] Other Important Information - The company repurchased $11 million of common stock during the quarter, with a total of $37 million repurchased in the first nine months of the year [6][7] - A quarterly cash dividend of $0.24 per share was declared, payable on December 15 [7] Q&A Session Summary Question: Can you provide details on hiring and future plans? - The company hired approximately 29 new associates in Q3, with a focus on key markets like Houston and Atlanta [12] Question: Will there be an increase in expenses due to hiring? - Yes, the company expects a slight increase in expenses related to new hires, with additional non-routine costs factored in [14][15] Question: How does the company view M&A opportunities? - Management sees M&A as a potential opportunity but emphasizes a focus on organic growth strategies [21][26] Question: What are the trends in classified and criticized loans? - There has been a positive trend with a decrease in criticized loans, contributing to lower provisioning [34] Question: How does the company plan to manage deposit costs? - The company aims to maintain deposit costs while managing competitive pressures and anticipates a drop in deposit costs following Fed rate cuts [43][44]

Core Points - OptimumBank will celebrate its 25th anniversary by ringing the Opening Bell at the New York Stock Exchange on October 27, 2025 [1][2] - The event signifies the bank's growth from a small community bank to a billion-dollar institution, highlighting its commitment to community service [3] - OptimumBank has surpassed $1 billion in assets in 2025 and continues to rank among the best-performing financial institutions in South Florida [3][4] Company Overview - Founded in 2000 in Fort Lauderdale, Florida, OptimumBank has evolved from a single-branch startup to a significant independent bank in the region [3][5] - The bank focuses on personal, relationship-driven service while integrating technology to enhance customer experience [4] - OptimumBank offers a range of financial solutions including Business Banking, Business Lending, SBA Lending Solutions, Treasury Management, and Personal Banking [5]

Financial Data and Key Metrics Changes - The company reported net income of approximately $163 million or $0.28 per diluted share, up from $133 million or $0.22 last quarter, marking the highest quarterly profitability since 2022 [4] - The annualized return on average assets is above 1%, achieving many profitability goals ahead of schedule [5] Business Line Data and Key Metrics Changes - Core deposits grew by nearly 10% over the past year, with approximately 110,000 new deposit accounts added [7] - Non-interest income has grown at an annual rate of 15% since 2017, three times faster than publicly traded peers [8] - Average loans increased by 0.5% during the quarter, with new origination yields stable at around 6.8% [15] Market Data and Key Metrics Changes - The company gathered about $1 billion of core deposits during the quarter, allowing for the payoff of approximately $700 million of maturing brokered deposits [13] - Brokered deposits now comprise 11% of the total deposit base, the lowest level since 2022 [13] Company Strategy and Development Direction - The company is focused on enhancing its commercial and consumer banking sectors, with new leaders introduced to accelerate growth [5][6] - There is a strategic emphasis on targeted investments in products, technology, and talent, particularly in commercial and specialty lines [7] - The company aims to diversify its balance sheet and reduce its commercial real estate concentration, targeting a ratio of 300% by 2026 [48] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future prospects, citing strong customer growth, talent acquisition, and profitability [11] - The company anticipates continued stability in credit performance and expects to sustain low charge-off levels [19] - There is confidence in achieving a 15% return on tangible equity by late 2027 or early 2028, with a focus on net income expansion and margin improvement [99] Other Important Information - The company has repurchased $12 million of capital to buy back 1.3 million common shares during the quarter [20] - Non-accrual loans increased primarily due to a construction loan migration, but management does not anticipate any losses from this [44] Q&A Session Summary Question: Can you discuss the competitive backdrop regarding the decline in C&I loans? - Management noted that while there is a competitive environment for new deposit relationships, they have successfully managed deposit pricing and expect costs to decrease [24][26] Question: What are the growth expectations for CRE and C&I? - Management indicated a target of low single-digit growth for CRE and a strong pipeline for C&I, with a focus on traditional small business and middle market opportunities [48][90] Question: How do you view the potential for M&A? - The company remains focused on organic growth but is open to considering M&A if it aligns with shareholder interests [77][110] Question: What is the outlook for non-accrual loans? - Management expects stability in non-accrual loans, with positive trends in the real estate market supporting this outlook [125] Question: How do you plan to manage expenses going into 2026? - The company anticipates low single-digit expense growth while investing in revenue-generating talent [64][66]

Financial Performance - GAAP净收入为1.634亿美元，去年同期为9790万美元[3] - Non-GAAP调整后净收入为1.641亿美元，去年同期为9680万美元[3] - 年化平均资产回报率（ROAA）为1.04%，去年同期为0.63%[3] - 非GAAP效率比为53.4%，去年同期为56.1%[3] - 稀释后每股收益为0.28美元，去年同期为0.18美元[3] - 税前拨备净收入（PPNR）为2.291亿美元，去年同期为2.017亿美元[3] - PPNR占平均资产的年化比例为1.45%，去年同期为1.30%[3] Balance Sheet and Credit Quality - 截至2025年9月30日，预计全年贷款总额增长约2%，第四季度预计增长约1%[17] - 预计全年净利息收入增长约8%，第四季度预计增长约3%[17] - 不良贷款净额（NCOs）预期收紧，全年预计为1.05亿至1.15亿美元，第四季度预计为1000万至2000万美元[17] - 贷款损失准备金全年预计为1.3亿至1.4亿美元，第四季度预计为1000万至2000万美元[17] Strategic Initiatives and Growth - 2017年以来，股息累计增长111%，有形账面价值（TBV）增长98%[20] - 存款账户数量显著增加，从2017年12月31日的14.1万个增加到2025年9月30日的44万个，增长了117%[22] - 商业贷款地域多元化，东北地区占比从2017年12月31日的50%增长到2025年9月30日的79%[21, 55] - 核心存款持续增长和多元化，总存款从180亿美元增长到510亿美元[41] - 商业贷款地域多元化，东北地区占比从2017年的50%增长到2025年9月30日的79%[55] Loan Portfolio - 截至2025年9月30日，贷款总额为494亿美元[43] - 商业地产（CRE）贷款占比较高，其中多户住宅CRE占比25%，非自用CRE占比24%，自用CRE占比12%[45] - 消费贷款占比8%[45]

Core Insights - The latest episode of The GotStocks Podcast features Moishe Gubin, Chairman of OptimumBank Holdings Inc., discussing the bank's community focus and growth trajectory [2][3] - OptimumBank has achieved significant growth, breaking the billion-dollar mark in total assets and expecting continued growth of 30-40% over the next few years [3][4] - The bank operates with a net income of approximately $20 to $25 million annually, allowing for potential growth of about $200 million per year due to a 10% capital rate and a debt-free balance sheet [4] Company Overview - OptimumBank Holdings Inc. is a single bank holding company that owns 100% of OptimumBank, a community bank based in Fort Lauderdale, Florida [2][7] - The bank focuses on traditional in-person banking services for businesses and consumers in South Florida, emphasizing customer service and relationship-building [7][8] - OptimumBank has not experienced any bad loans in many years, with a lending philosophy centered on local borrowers who are familiar with the bank [5] Growth Strategy - The bank is positioned for sustainable expansion, with opportunities to bring in preferred debt or equity to support its growth [4] - OptimumBank's business solutions include Business Banking, Business Lending, SBA Lending Solutions, Treasury Management, and Personal Banking [8] - The company aims to capitalize on its momentum and continue its explosive growth trajectory in the coming months and years [7]

Financial Performance - U S Bancorp's earnings per share grew by 18 4% compared to 3Q24[6] - Net interest income reached $4 25 billion in 3Q25[6] - Fee revenue increased by 9 5% year-over-year in 3Q25[6] - The efficiency ratio improved to 57 2%[7] - Return on tangible common equity was 18 6%[8] - Return on average assets was 1 17%[8] - Net interest margin increased by 9 basis points compared to 2Q25 reaching 2 75%[8] Revenue and Growth Strategies - Fee income represents approximately 42% of U S Bancorp's total net revenue[9] - Adjusted fee revenue growth was $463 million or +5 2% year-over-year[10] - Impact finance revenue increased to $251 million for the first nine months of 2025, demonstrating a 17% compound annual growth rate (CAGR)[15] Balance Sheet and Credit Quality - The CET1 capital ratio strengthened to 10 9%[8] - The net charge-off ratio improved to 0 56%[8] - Total assets reached $695 4 billion[33] - Total loans amounted to $382 5 billion[33] - Total deposits reached $526 1 billion[33]

Financial Performance - The company reported record third quarter net income of $23.7 million, or $33.92 per diluted common share, compared to $22.1 million, or $29.96 per diluted common share, for the same quarter in 2024, marking a 7.22% increase [2][5] - The annualized return on average assets was 1.70% and return on average equity was 15.10% for the third quarter of 2025, compared to 1.65% and 15.03% for the same quarter in 2024 [2][5] - Net interest income for the quarter was $55.4 million, up 6.6% from $52.0 million in the third quarter of 2024 [5][7] Earnings and Shareholder Value - Over the trailing twelve months, net income was $91.6 million, an increase from $88.0 million for the same period a year earlier [3] - Diluted earnings per share over the trailing twelve months totaled $130.83, up 10.4% compared to $118.46 for the same period a year ago [3][5] - The tangible book value per share increased by 9.8% to $877.13 compared to $799.04 as of September 30, 2024 [5][7] Balance Sheet and Liquidity - Total assets at quarter-end were $5.6 billion, up from $5.4 billion as of December 31, 2024 [8] - Total deposits increased by $185.9 million, or 4.0%, to $4.9 billion at September 30, 2025, compared to December 31, 2024 [6][8] - The company maintained a strong liquidity position with $172.6 million in cash and $1.6 billion in investment securities [4][5] Credit Quality - The company's credit quality remained solid with only $1.0 million, or 0.03%, in non-accrual loans and leases as of September 30, 2025 [9] - The allowance for credit losses on loans and leases was 2.10% as of September 30, 2025, with a net charge-off ratio of 0.03% for the quarter [9][10] Capital Ratios - The company's preliminary total risk-based capital ratio was 15.76% and the common equity tier 1 ratio was 14.28% as of September 30, 2025, both exceeding regulatory requirements for "well-capitalized" banks [10][11] - The company announced a change in its dividend policy from semi-annual to quarterly payments, with the first quarterly dividend declared on August 12, 2025 [10][11]

Industry Overview - The Zacks Savings and Loan industry is benefiting from an improving lending environment, characterized by relatively low interest rates and expectations of further rate cuts [1][4] - The industry primarily consists of specialized U.S. banks focused on residential mortgage finance, offering various loan products and funding mortgages with FDIC-insured savings [3] Industry Trends - Lower interest rates are expected to enhance net interest income (NII) and net interest margin (NIM), as the Federal Reserve has reduced rates by 100 basis points in 2024 and is anticipated to cut rates again [4] - The digitization of operations is a key trend, with companies transitioning to technology-driven models to improve operational efficiency despite initial cost increases [5] - Asset quality is deteriorating, which may impact borrowers' repayment capacity due to rising inflation and less substantial rate cuts from the central bank [6] Industry Performance - The Zacks Savings and Loan industry ranks 19, placing it in the top 8% of over 245 Zacks industries, indicating solid near-term prospects [7][8] - The industry's earnings estimate has increased by 25.6% over the past year, reflecting growing analyst confidence in earnings growth potential [8] Stock Performance - The industry has underperformed compared to the Zacks Finance sector and the S&P 500, with a collective stock rally of 14.7% over the past year, while the S&P 500 rose by 21.3% [11] Valuation Metrics - The industry has a trailing 12-month price-to-tangible book ratio (P/TBV) of 2.00X, below the five-year median of 2.09X, indicating a discount compared to the broader market [15][18] - The Zacks Finance sector's current P/TBV is significantly higher at 5.69X, suggesting that the savings and loan industry is trading at a decent discount [18] Company Highlights - **ServisFirst Bancshares (SFBS)**: With total assets of $17.4 billion and loans of $13.2 billion, SFBS is expected to benefit from solid loan balances and improving market share. The Zacks Consensus Estimate for 2025 earnings is $5.22, reflecting a 24.9% year-over-year increase [21][23] - **WSFS Financial**: This company has $20.8 billion in assets and is projected to maintain stable loan growth. The Zacks Consensus Estimate for current-year earnings is $4.91, indicating an 11.9% rise [25][28] - **Provident Financial**: Following its merger with Lakeland Bancorp, Provident Financial has $24.6 billion in assets and is expected to see improved mortgage banking revenues. The Zacks Consensus Estimate for 2025 earnings is $2.15, a 77.7% year-over-year surge [32][34]