Meridian Corporation

11/09/2026 | Press release | Distributed by Public on 11/09/2026 13:04

Quarterly Report for Quarter Ending September 30, 2026 (Form 10-Q)

Management's Discussion and Analysis of Financial Condition and Results of Operations.
You should read the following discussion and analysis in conjunction with the unaudited consolidated interim financial statements and related notes contained in Part I, Item 1 of this Quarterly Report on Form 10-Q and the audited consolidated financial statements and the related notes and the discussion under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations" for the year ended December 31, 2025 included in Meridian Corporation's Annual Report on Form 10-K filed with the SEC.
Forward-Looking Statements
Meridian Corporation may from time to time make written or oral "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to Meridian Corporation's strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance and business. Statements preceded by, followed by, or that include the words "may," "could," "should," "pro forma," "looking forward," "would," "believe," "expect," "anticipate," "estimate," "intend," "plan," or similar expressions generally indicate a forward-looking statement. These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond Meridian Corporation's control). Numerous competitive, economic, regulatory, legal and technological factors, risks and uncertainties that could cause actual results to differ materially include, without limitation: credit losses and the credit risk of our commercial and consumer loan products; changes in the level of charge-offs and changes in estimates of the adequacy of the allowance for credit losses, or ACL, including the timing of third-party appraisals and loan valuations from lead financial institutions in which we are a loan participant; cyber-security concerns; rapid technological developments and changes, including the development and use of artificial intelligence in business processes, services, and products; increased competitive pressures; changes in spreads on interest-earning assets and interest-bearing liabilities; changes in general economic conditions and conditions within the securities markets; escalating tariff and other trade policies and the resulting impacts on market volatility and global trade; the impact of uncertain or changing political conditions or any current or future federal government shutdown and uncertainty regarding the federal government's debt limit; geopolitical conditions, including acts or threats of
terrorism, actions taken by the United States or other governments in response to acts or threats of terrorism and military conflicts, including the ongoing conflict in the Middle East, which could impact economic conditions in the United States; unanticipated changes in our liquidity position; unanticipated changes in regulatory and governmental policies impacting interest rates and financial markets; legislation affecting the financial services industry as a whole, and Meridian Corporation, in particular; changes in accounting policies, practices or guidance; developments affecting the industry and the soundness of financial institutions and further disruption to the economy and U.S. banking system; among others, could cause Meridian Corporation's financial performance to differ materially from the goals, plans, objectives, intentions and expectations expressed in such forward-looking statements.
Meridian Corporation cautions that the foregoing factors are not exclusive, and neither such factors nor any such forward-looking statement takes into account the impact of any future events. All forward-looking statements and information set forth herein are based on management's current beliefs and assumptions as of the date hereof and speak only as of the date they are made. For a more complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review Meridian Corporation's filings with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2025 and subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K that update or provide information in addition to the information included in the Form 10-K and Form 10-Q filings, if any. Meridian Corporation does not undertake to update any forward-looking statement whether written or oral, that may be made from time to time by Meridian Corporation or by or on behalf of Meridian Bank.
Critical Accounting Policies and Estimates
Our critical accounting policies are described in detail in the "Critical Accounting Policies" section within Item 7 of our 2025 Annual Form 10-K. The SEC defines "critical accounting policies" as those that require application of management's most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain and may change in future periods. Management considers the measurement of the allowance for credit losses to be a critical accounting policy.
Executive Overview
The following items highlight the Corporation's changes in its financial condition as of September 30, 2026 compared to December 31, 2025 and the results of operations for the three and nine months ended September 30, 2026 compared to the same periods in 2025. More detailed information related to these highlights can be found in the sections that follow.
Changes in Financial Condition - September 30, 2026 Compared to December 31, 2025
•Total assets increased $9.6 million, or 0.4%, to $2.6 billion as of September 30, 2026.
•Portfolio loans decreased $5.8 million, or 0.3%, to $2.2 billion as of September 30, 2026.
•Mortgage loans held for sale increased $8.3 million, or 24.6%, to $42.1 million as of September 30, 2026.
•Total deposits increased $8.8 million or 0.4% to $2.2 billion as of September 30, 2026.
•The Corporation earned net income of $13.0 million during the nine months ended September 30, 2026 and returned $5.0 million of capital to Meridian shareholders during this period through a $0.14 dividend per share in each of the first three quarters of the year.
Three Month Results of Operations - September 30, 2026 Compared to September 30, 2025
•Net income was $5.2 million, or $0.43 per diluted share, down $1.5 million, or 21.8%, driven by lower non-interest income and higher non-interest expense, partially offset by a lower provision for credit losses, and slightly higher net interest income.
•The return on average assets and return on average equity were 0.80% and 9.97%, respectively, for the third quarter 2026, compared to 1.04% and 14.42%, respectively, for the third quarter 2025.
•Net interest income increased $320 thousand, or 1.4%, to $23.4 million with a consistent net interest margin of 3.77% for both periods. Despite the consistent net interest margin, total interest income decreased $1.7 million or 3.8%, over this period, while total interest expense decreased $2.0 million, or 9.9%.
•The overall provision for credit losses decreased $1.7 million when comparing the third quarter 2026 to the third quarter 2025. The provision on funded loans decreased $1.7 million over the three month comparable period in 2025 driven by a combination of a lower level of loan growth, a reduction in specific reserves on non-performing loans, and a decrease in net charge-offs over this period.
•Non-interest income decreased $3.2 million, or 32.6%, to $6.7 million driven by a $1.7 million decline in SBA loan income, a decrease of $1.2 million in mortgage banking income, and a decrease of $1.2 million in net change in the fair value of loans held-for-investment.
•Non-interest expense increased $1.5 million, or 6.9%, to $23.0 million due largely to an increase of $351 thousand in data processing and software expense, a $230 thousand increase in occupancy and equipment expense, combined with a $677 thousand increase in other non-interest expense, and a $180 thousand increase in professional fees.
Nine Month Results of Operations - September 30, 2026 Compared to September 30, 2025
•Net income was $13.0 million, or $1.07 per diluted share, down $1.6 million, or 11.1%, driven by a decrease in non-interest income, an increase in non-interest expense, partially offset by an increase in net interest income and a reduction in the provision for credit losses.
•The return on average assets and return on average equity were 0.68% and 8.51%, respectively, for the nine months ended September 30, 2026, compared to 0.79% and 10.98%, respectively, for the nine months ended September 30, 2025.
•Net interest margin increased to 3.76% from 3.59% due to the impact of a reduction in deposit and borrowing costs outpacing the decreased yield on interest earnings assets, mainly loans.
•The overall provision for credit losses decreased $274 thousand when comparing the nine months ended September 30, 2026 to September 30, 2025, due to the decline in loan growth period over period, combined with an improvement in certain macro-economic factors in the underlying forecast models utilized in the ACL calculations.
•Non-interest income decreased $4.9 million, or 17.3%, to $23.6 million driven by a $3.7 million decrease in SBA loan income, and an overall $1.8 million negative impact of fair value changes related to mortgage banking activities. These changes were partially offset by a $260 thousand increase in mortgage banking income, and a $675 thousand increase in wealth management fee income.
•Non-interest expense increased $3.8 million, or 6.1%, to $65.4 million due to an increase of $1.0 million in salaries and employee benefits, an increase of $1.2 million in data processing and software expense, combined with a $391 thousand increase in professional fees, and an increase of $1.0 million in other non-interest expense.
Key Performance Ratios
The following table presents key financial performance ratios for the periods indicated:
Three months ended
September 30, 		Nine months ended
September 30,
2026 2025 2026 2025
Return on average assets, annualized 0.80 % 1.04 % 0.68 % 0.79 %
Return on average equity, annualized 9.97 % 14.42 % 8.51 % 10.98 %
Net interest margin (tax-equivalent) 3.77 % 3.77 % 3.76 % 3.59 %
Basic earnings per share $ 0.44 $ 0.59 $ 1.10 $ 1.30
Diluted earnings per share $ 0.43 $ 0.58 $ 1.07 $ 1.28
The following table presents certain key period-end balances and ratios at the dates indicated:
(dollars in thousands, except per share amounts) September 30,
2026 		December 31,
2025
Book value per common share $ 17.06 $ 16.89
Tangible book value per common share (1)
$ 16.78 $ 16.59
Allowance as a percentage of loans and other finance receivables (excluding loans at fair value) 0.96 % 1.00 %
Tier I capital to risk weighted assets - Corporation 8.97 % 8.68 %
Tangible common equity to tangible assets ratio - Corporation (1)
7.80 % 7.67 %
Loans and other finance receivables, net of fees and costs $ 2,163,832 $ 2,170,600
Total assets $ 2,571,545 $ 2,561,995
Total stockholders' equity $ 203,628 $ 199,716
(1) Non-GAAP financial measure. See "Non-GAAP Financial Measures" below for Non-GAAP to GAAP reconciliation.
Components of Net Income
Net income is comprised of five major elements:
•Net Interest Income, or the difference between the interest income earned on loans, leases, other finance receivables, and investments and the interest expense paid on deposits and borrowed funds;
•Provision For Credit Losses, or the amount added to the Allowance to provide for current expected credit losses on portfolio loans and other finance receivables;
•Non-interest Income, which is made up primarily of mortgage banking income, wealth management income, SBA loan sale income, fair value adjustments, gains and losses from the sale of loans, gains and losses from the sale of investment securities available for sale and other fees from loan and deposit services;
•Non-interest Expense, which consists primarily of salaries and employee benefits, occupancy, professional fees, advertising & promotion, data processing and software expense, loan expenses, and other operating expenses; and
•Income Taxes, which include state and federal jurisdictions.
NET INTEREST INCOME
Net interest income is an integral source of the Corporation's revenue. The tables below present a summary for the three and nine months ended September 30, 2026 and 2025, of the Corporation's average balances and yields earned on its interest-earning assets and the rates paid on its interest-bearing liabilities. The net interest margin is the net interest income as a percentage of average interest-earning assets. The net interest spread is the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. The difference between the net interest margin and the net interest spread is the result of net free funding sources such as non-interest bearing deposits and stockholders' equity.
Analyses of Interest Rates and Interest Differential
The table below present the major asset and liability categories on an average daily balance basis for the periods presented, along with interest income, interest expense and key rates and yields on a tax equivalent basis.
For the Three Months Ended September 30,
(dollars in thousands) 2026 2025
Average Balance Interest Income/ Expense Yields/ Rates Average Balance Interest Income/ Expense Yields/ Rates
Assets:
Cash and cash equivalents $ 29,293 $ 279 3.78 % $ 37,001 $ 412 4.42 %
Investment securities - taxable 182,611 1,956 4.25 172,404 1,895 4.36
Investment securities - tax exempt (1)
54,341 362 2.64 53,909 400 2.94
Loans held for sale 40,695 624 6.08 33,296 536 6.39
Loans held for investment 2,162,950 38,274 7.02 2,146,651 39,942 7.38
Total loans 2,203,645 38,898 7.00 2,179,947 40,478 7.37
Total interest-earning assets 2,469,890 41,495 6.67 % 2,443,261 43,185 7.01 %
Noninterest earning assets 97,526 91,304
Total assets $ 2,567,416 $ 2,534,565
Liabilities and stockholders' equity:
Interest-bearing demand deposits $ 157,802 $ 1,183 2.97 % $ 173,023 $ 1,314 3.01 %
Money market and savings deposits 1,000,149 7,239 2.87 973,952 8,322 3.39
Time deposits 777,763 7,665 3.91 743,472 7,782 4.15
Total interest - bearing deposits 1,935,714 16,087 3.30 1,890,447 17,418 3.66
Borrowings 77,239 908 4.66 123,695 1,495 4.80
Subordinated debentures 49,716 1,022 8.16 49,802 1,080 8.60
Total interest-bearing liabilities 2,062,669 18,017 3.47 2,063,944 19,993 3.84
Noninterest-bearing deposits 261,051 253,374
Other noninterest-bearing liabilities 36,506 34,005
Total liabilities 2,360,226 2,351,323
Total stockholders' equity 207,190 183,242
Total stockholders' equity and liabilities $ 2,567,416 $ 2,534,565
Net interest income and spread (1)
$ 23,478 3.20 $ 23,192 3.17
Net interest margin (1)
3.77 % 3.77 %
(1)Yields and net interest income are reflected on a tax-equivalent basis.
For the Nine Months Ended September 30,
(dollars in thousands) 2026 2025
Average Balance Interest Income/ Expense Yields/ Rates Average Balance Interest Income/ Expense Yields/ Rates
Assets:
Cash and cash equivalents $ 34,805 $ 988 3.80 % $ 43,574 $ 1,452 4.46 %
Investment securities - taxable 178,001 5,633 4.23 166,431 5,380 4.32
Investment securities - tax exempt (1)
54,832 1,146 2.79 54,350 1,150 2.83
Loans held for sale 35,131 1,578 6.01 28,567 1,364 6.38
Loans held for investment (1)
2,173,203 113,782 7.00 2,100,305 114,364 7.28
Total loans 2,208,334 115,360 6.98 2,128,872 115,728 7.27
Total interest-earning assets 2,475,972 123,127 6.65 % 2,393,227 123,710 6.91 %
Noninterest earning assets 99,838 89,446
Total assets $ 2,575,810 $ 2,482,673
Liabilities and stockholders' equity:
Interest-bearing demand deposits $ 156,042 $ 3,373 2.89 % $ 165,309 $ 3,897 3.15 %
Money market and savings deposits 1,011,443 21,571 2.85 944,118 24,227 3.43
Time deposits 763,699 22,115 3.87 733,526 23,463 4.28
Total interest - bearing deposits 1,931,184 47,059 3.26 1,842,953 51,587 3.74
Borrowings 98,634 3,434 4.65 128,526 4,636 4.82
Subordinated debentures 49,708 3,023 8.13 49,775 3,214 8.63
Total interest-bearing liabilities 2,079,526 53,516 3.44 2,021,254 59,437 3.93
Noninterest-bearing deposits 254,658 249,127
Other noninterest-bearing liabilities 37,053 33,954
Total liabilities 2,371,237 2,304,335
Total stockholders' equity 204,573 178,338
Total stockholders' equity and liabilities $ 2,575,810 $ 2,482,673
Net interest income and spread (1)
$ 69,611 3.21 $ 64,273 2.98
Net interest margin (1)
3.76 % 3.59 %
(1)Yields and net interest income are reflected on a tax-equivalent basis.
Rate / Volume Analysis
The rate/volume analysis table below analyzes dollar changes in the components of interest income and interest expense as they relate to the change in balances (volume) and the change in interest rates (rate) of tax-equivalent net interest income for the three and nine months ended September 30, 2026 as compared to the same periods in 2025, allocated by rate and volume. Changes in interest income and/or expense attributable to both rate and volume have been allocated proportionately based on the relationship of the absolute dollar amount of the change in each category.
Three Months Ended September 30,
Nine Months Ended September 30,
2026 Compared to 2025
(dollars in thousands) Rate Volume Total Rate Volume Total
Interest income:
Cash and cash equivalents $ (55) $ (78) $ (133) $ (197) $ (267) $ (464)
Investment securities - taxable (49) 110 61 (115) 368 253
Investment securities - tax exempt (1)
(41) 3 (38) (14) 10 (4)
Loans held for sale (26) 114 88 (85) 299 214
Loans held for investment (1)
(1,969) 301 (1,668) (4,479) 3,897 (582)
Total loans (1,995) 415 (1,580) (4,564) 4,196 (368)
Total interest income $ (2,140) $ 450 $ (1,690) $ (4,890) $ 4,307 $ (583)
Interest expense:
Interest-bearing demand deposits $ (17) $ (114) $ (131) $ (313) $ (211) $ (524)
Money market and savings deposits (1,302) 219 (1,083) (4,297) 1,641 (2,656)
Time deposits (467) 350 (117) (2,285) 937 (1,348)
Total interest - bearing deposits (1,786) 455 (1,331) (6,895) 2,367 (4,528)
Borrowings (40) (547) (587) (156) (1,046) (1,202)
Subordinated debentures (56) (2) (58) (187) (4) (191)
Total interest expense $ (1,882) $ (94) $ (1,976) $ (7,238) $ 1,317 $ (5,921)
Interest differential $ (258) $ 544 $ 286 $ 2,348 $ 2,990 $ 5,338
(1)Yields and net interest income are reflected on a tax-equivalent basis.
Three Months Ended September 30, 2026 Compared to the Same Period in 2025
For the three months ended September 30, 2026 as compared to the same period in 2025, tax-equivalent interest income decreased $1.7 million as favorable volume changes contributed $450 thousand to interest income, but this was offset by a $2.1 million unfavorable change in rates. The unfavorable change in rates led to a 36 basis point decline in the yield on loans held for investment, which had a $2.0 million unfavorable impact on interest income. This decline in rates was largely due to the 25 basis point decline in the prime interest rate over this period. The loans held for investment average balances increased $16.3 million, leading to a favorable volume impact on interest income of $301 thousand, while the increase in loans held for sale average balances of $7.4 million also had a small but favorable impact to interest income of $114 thousand. Growth in the loans held for investment portfolio was led by average balance increases in construction loans ($88.3 million), commercial real estate ($74.1 million), commercial loans ($31.6 million), and home equity loans ($25.3 million), partially offset by a decline in the average balance of residential real estate loans of ($27.6 million), and a decline of ($38.7 million) in the average balance of small business loans.
On the funding side, overall interest expense decreased $2.0 million. The cost of deposits was down across the board as the prime rate was 25 basis points higher in the prior year comparable period, leading to a $1.3 million decrease to interest expense. The cost of interest-bearing demand deposits, money market and savings accounts and time deposits decreased 4, 52, and 24 basis points, respectively, while the cost of borrowings decreased 14 basis points. Interest expense was down overall due to these rate changes, and an increase in average balances had a favorable impact of $94 thousand on interest expense. Money market/savings accounts were the largest drivers of the volume increase as average balances on such accounts increased $26.2 million, time deposit average balances increased $34.3 million, but the average balances on interest-bearing demand deposits decreased $15.2 million, and borrowings decreased $46.5 million on average.
Overall, the $286 thousand increase in net interest income over this period was attributable largely to the drop in the prime rate, as the 34 basis point decline in the yield on interest-earning assets was offset by a 37 basis point drop in the cost of interest-bearing liabilities.
Nine Months Ended September 30, 2026 Compared to the Same Period in 2025
For the nine months ended September 30, 2026 as compared to the same period in 2025, tax-equivalent interest income decreased $583 thousand as favorable volume changes contributed $4.3 million to interest income, but this was offset by a $4.9 million unfavorable change in rates as the prime rate was 25 basis points higher as of September 30, 2025. The loans held for investment average balances increased $72.9 million, leading to a favorable volume impact on interest income of $3.9 million, while the increase in loans held for sale average balances of $6.6 million had a favorable impact to interest income of $299 thousand. Growth in the loans held for investment portfolio was led by average balance increases in construction loans ($58.7 million), commercial real estate ($31.7 million), commercial loans ($21.3 million), and home equity loans ($13.7 million). The unfavorable change in rates led to decreased yields on loans held for sale (down 37 basis points) and loans held for investment (down 28 basis points) that unfavorably impact interest income by $4.6 million, overall.
On the funding side, overall interest expense decreased $5.9 million. Interest expense on deposits decreased $4.5 million as the cost of all deposit types decreased. The cost of interest-bearing demand deposits, money market and savings accounts and time deposits decreased 26 basis points, 58 basis points and 41 basis points, respectively, while the cost of borrowings decreased by 17 basis points as well. From a volume perspective, money market/savings account average balances increased $67.3 million, while time deposit average balances increased $30.2 million, and the average balance on interest-bearing demand deposits decreased $9.3 million, and borrowings decreased $29.9 million on average.
Overall, the $5.3 million increase in net interest income over this period was driven largely by the drop in the prime rate, as the 26 basis point decline in the yield on interest-earning assets was offset by a 49 basis point drop in the cost of interest-bearing liabilities.
PROVISION FOR CREDIT LOSSES
Three and Nine Months Ended September 30, 2026 Compared to the Same Periods in 2025
The total provision for credit losses decreased $1.7 million on a net basis for the three months ended September 30, 2026, compared to the three months ended September 30, 2025. The provision on funded loans decreased $1.7 million over the three month comparable period in 2025 driven by a combination of a lower level of loan growth, a reduction in specific reserves on non-performing loans, and a decrease in net charge-offs over this period. There was a $5 thousand provision on unfunded loan commitments for the three months ended September 30, 2026, while for the three months ended September 30, 2025 there was zero provision on unfunded loan commitments.
The total provision for credit losses decreased $274 thousand on a net basis for the nine months ended September 30, 2026, compared to the nine months ended September 30, 2025. The provision on funded loans decreased $339 thousand over the nine month comparable period in 2025 despite an increase of $4.7 million in charge-offs over this period, with $3.9 million of the increase in charge-offs coming from a loan participated to us by another financial institution that became non-performing in the first quarter of 2026. The decrease in provision for credit losses was due to slightly negative portfolio loan growth for the nine months ended September 30, 2026, compared to loan growth for the nine months September 30, 2025 amounting to 6.6%, combined with an improvement in certain macro-economic factors in the underlying forecast models utilized in the ACL calculations. There was a $235 thousand provision on unfunded loan commitments for the nine months ended September 30, 2026, while for the nine months September 30, 2025 there was an unfunded provision of $170 thousand.
NON-INTEREST INCOME
Three Months Ended September 30, 2026 Compared to the Same Period in 2025
The following table presents the components of non-interest income for the periods indicated:
Three Months Ended
(dollars in thousands) September 30,
2026 		September 30,
2025 		$ Change % Change
Mortgage banking income $ 4,703 $ 5,914 $ (1,211) (20.5) %
Wealth management income 1,877 1,610 267 16.6 %
SBA loan income (312) 1,431 (1,743) (121.8) %
Earnings on investment in life insurance 292 246 46 18.7 %
Net change in the fair value of derivative instruments 27 129 (102) (79.1) %
Net change in the fair value of loans held-for-sale 75 (75) 150 200.0 %
Net change in the fair value of loans held-for-investment (955) 213 (1,168) (548.4) %
Net gain (loss) on hedging activity 132 (166) 298 179.5 %
Three Months Ended
(dollars in thousands) September 30,
2026 		September 30,
2025 		$ Change % Change
Other 866 651 215 33.0 %
Total non-interest income $ 6,705 $ 9,953 $ (3,248) (32.6) %
Total non-interest income decreased $3.2 million due to decreases in SBA loan income, mortgage banking income, as well as a decrease in net change in the fair value of residential loans held-for-investment. Partially offsetting these declines were an increase in wealth management income, an improvement in the net change in the fair value of loans held-for-sale, an increase in the net gain on hedging activity, and increase in other non-interest income.
Mortgage banking income decreased $1.2 million over the comparable quarterly period, driven by a 45 basis point decrease in the gain on sale margin, and a $5.9 million decrease in the volume of loans sold over this period.
SBA loan income decreased $1.7 million over this period as the volume of SBA loans sold for the quarter-ended September 30, 2026 was $23.8 million lower than the sales for the quarter-ended September 30, 2025, combined with the impact of amortization expense on SBA loan servicing rights and related valuation allowance adjustments.
There was also a $1.2 million unfavorable change in the fair value of residential loans held-for-investment due largely to the rapid rise in the 10 year U.S. Treasury rate leading up to September 30, 2026, where from September 30, 2025 to September 30, 2026 the 10 year U.S. Treasury rate increased over 100 basis points.
Wealth management income was $1.9 million for the quarter, up 16.6% from the prior year comparable quarter due to the double digit improvement in stock market indices at the end of the prior quarter, which drives a large percentage of fee income calculations.
Nine Months Ended September 30, 2026 Compared to the Same Period in 2025
The following table presents the components of non-interest income for the periods indicated:
Nine Months Ended
(dollars in thousands) September 30,
2026 		September 30,
2025 		$ Change % Change
Mortgage banking income $ 15,329 $ 15,069 $ 260 1.7 %
Wealth management income 5,312 4,637 675 14.6 %
SBA loan income 453 4,167 (3,714) (89.1) %
Earnings on investment in life insurance 809 708 101 14.3 %
Net gain (loss) on sale of MSRs (159) 415 (574) (138.3) %
Net change in the fair value of derivative instruments (129) 176 (305) (173.3) %
Net change in the fair value of loans held-for-sale (119) 198 (317) (160.1) %
Net change in the fair value of loans held-for-investment (929) 573 (1,502) (262.1) %
Net gain (loss) on hedging activity 200 (129) 329 255.0 %
Other 2,858 2,751 107 3.9 %
Total non-interest income $ 23,625 $ 28,565 $ (4,940) (17.3) %
Total non-interest income decreased $4.9 million, despite increases in mortgage banking income and wealth management income over the nine month comparable period, due to decreases in SBA loan income and net change in the fair value of loans-held-for-investment.
SBA loan income decreased $3.7 million over this period as the volume of SBA loans sold for the nine months ended September 30, 2026 was lower by $56.8 million, compared to the nine months ended September 30, 2025, while the gross margin on sale was 8.1% for the nine months ended September 30, 2026 compared to 7.0% for the nine months ended September 30, 2025.
Included in the nine months ended September 30, 2025 was the sale of $979 thousand in MSRs that resulted in a net gain on sale of $415 thousand, compared to a net loss on sale of MSRs of $159 thousand was recorded during the nine months ended September 30, 2026.
There was also a $1.5 million unfavorable change in the fair value of loans held-for-investment due largely to the rapid rise in the 10 year U.S. Treasury rate noted above in the 3 month non-interest income discussion.
While there was with a 19 basis point decrease in the sales margin on mortgage banking sales activity, the volume of residential mortgage loans sold increased by $48.4 million over the nine month comparable period, resulting in an increase of $260 thousand in mortgage banking income.
Wealth management income improved $675 thousand, or 14.6%, as the amount of assets under management as of September 30, 2026 was up 8.9% since December 31, 2025.
NON-INTEREST EXPENSE
Three Months Ended September 30, 2026 Compared to the Same Period in 2025
The following table presents the components of non-interest expense for the periods indicated:
Three Months Ended
(dollars in thousands) September 30,
2026 		September 30,
2025 		$ Change % Change
Salaries and employee benefits $ 13,619 $ 13,613 $ 6 - %
Occupancy and equipment 1,221 991 230 23.2 %
Professional fees 1,272 1,092 180 16.5 %
Data processing and software 2,216 1,865 351 18.8 %
Advertising and promotion 934 877 57 6.5 %
Pennsylvania bank shares tax 233 254 (21) (8.3) %
Other 3,531 2,854 677 23.7 %
Total non-interest expense $ 23,026 $ 21,546 $ 1,480 6.9 %
Total non-interest expense increased $1.5 million, or 6.9%, as the result of increases in occupancy and equipment expense, professional fees, data processing and software expense, and other non-interest expense. Occupancy and equipment expenses were up $230 thousand related to the opening of Meridian's first full-service branch in Bonita Springs, Florida which occurred late in 2025. Professional fees increased period over period due to the increase in fees related to non-performing loans and costs incurred related to the solar tax credit program entered into during 2026 that had a positive impact on income tax expense. Data processing and software expense increased $351 thousand over the three month comparable period as Meridian invests in technology at the customer and employee level to continuously improve on the efficiency and security of the systems we use, combined with an increase in customer transaction volume. Other expense increased $677 thousand mainly due to an increase in OREO expenses and non-salary employee expenses in the current quarter.
Nine Months Ended September 30, 2026 Compared to the Same Period in 2025
The following table presents the components of non-interest expense for the periods indicated:
Nine Months Ended
(dollars in thousands) September 30,
2026 		September 30,
2025 		$ Change % Change
Salaries and employee benefits $ 39,198 $ 38,177 $ 1,021 2.7 %
Occupancy and equipment 3,576 3,366 210 6.2 %
Professional fees 3,410 3,019 391 13.0 %
Data processing and software 6,207 5,050 1,157 22.9 %
Advertising and promotion 2,943 2,933 10 0.3 %
Pennsylvania bank shares tax 737 792 (55) (6.9) %
Other 9,340 8,309 1,031 12.4 %
Total non-interest expense $ 65,411 $ 61,646 $ 3,765 6.1 %
Total non-interest expense increased $3.8 million, or 6.1%, largely attributable to increases in salaries and employee benefits, professional fees, data processing and software expenses, as well as other non-interest expense. Salaries and employee benefits increased $1.0 million due largely to overall employee merit, benefit, and tax related increases for existing employees, as well as an increase of nearly 9 full-time equivalent employees, combined with an increase in mortgage segment related commissions and other benefits. The $391 thousand increase in professional fees was due to expenses related to non-performing loans. Data processing and software expense increased $1.2 million over the nine month comparable period due to the year-to-date impact of Meridian's continued investment in technology at the customer and employee level, combined with an increase in customer transaction volume discussed above in the three month comparison section. Other expense increased $1.0 million mainly due to an increase in OREO expenses and non-salary employee expenses in the current year-to-date period, compared to the prior year period.
INCOME TAX EXPENSE
Income tax expense for the three and nine months ended September 30, 2026 was $778 thousand and $3.0 million, respectively, as compared to $2.0 million and $4.5 million for the same periods in 2025. Our effective tax rates were 13.0% and 18.9% for the three and nine months ended September 30, 2026, compared to 23.2% and 23.3% for the same periods in 2025. This decrease in effective tax rate was primarily driven by the impact of $10 million in renewable energy tax credits purchased during the three months ended September 30, 2026, which reduced the third quarter and September 30, 2026 year-to-date income tax expense by approximately $600 thousand.
BALANCE SHEET ANALYSIS
As of September 30, 2026, total assets were $2.6 billion which increased $9.6 million, or 0.4%, from December 31, 2025. This increase in assets was driven primarily by a $10.1 million increase in securities available-for-sale, an increase of $10.1 million in total loans held for sale, partially offset by the decrease in portfolio loans, as detailed in the following table:
(dollars in thousands) September 30,
2026 		December 31,
2025 		$ Change % Change
Commercial loans held for sale $ 1,791 $ - $ 1,791 100.0 %
Mortgage loans held for sale 42,076 33,762 8,314 24.6 %
Real estate loans:
Commercial mortgage 897,800 879,440 18,360 2.1
Home equity lines and loans 117,066 107,002 10,064 9.4
Residential mortgage 225,569 236,135 (10,566) (4.5)
Construction and land development 342,593 330,543 12,050 3.6
Total real estate loans 1,583,028 1,553,120 29,908 1.9
Commercial, industrial & other finance receivables
435,930 428,981 6,949 1.6
Small business loans 113,886 139,765 (25,879) (18.5)
Consumer 336 329 7 2.3
Leases, net 28,706 45,489 (16,783) (36.9)
Loans and other finance receivables $ 2,161,886 $ 2,167,684 $ (5,798) (0.3)
Total loans and other finance receivables (1)
$ 2,205,753 $ 2,201,446 $ 4,307 0.2 %
(1) Includes loans and other finance receivables, commercial loans held for sale, and mortgage loans held for sale
Total loans and other finance receivables decreased $5.8 million, or 0.3%, to $2.2 billion as of September 30, 2026, from $2.2 billion as of December 31, 2025. Small business loan balances declined $25.9 million, partially due to the sale of $20.2 million in SBA loan guarantees, combined with declines of $10.6 million and $16.8 million, in residential mortgage loans and leases, respectively. Mostly offsetting these decreases, were increases of $18.4 million in commercial mortgage loans, $12.0 million in construction loans, $6.9 million in commercial and industrial loans, and a $10.1 million increase in home equity lines and loans.
As of September 30, 2026, included within the commercial real estate loans total of $897.8 million was $280 million of owner-occupied commercial loans, as well as $98.9 million of multi-family loans. Nearly all of the multi-family real estate loans are on properties located in Philadelphia and surrounding counties we service.
The following table presents the major categories of deposits at the dates indicated:
(Dollars in thousands) September 30,
2026 		December 31,
2025 		$ Change % Change
Noninterest-bearing deposits $ 253,433 $ 245,377 $ 8,056 3.3 %
Interest-bearing deposits:
Interest-bearing demand deposits 160,206 157,360 2,846 1.8 %
Money market and savings deposits 937,082 1,023,290 (86,208) (8.4) %
Time deposits 816,161 732,101 84,060 11.5 %
Total interest-bearing deposits $ 1,913,449 $ 1,912,751 $ 698 - %
Total deposits $ 2,166,882 $ 2,158,128 $ 8,754 0.4 %
Total deposits increased $8.8 million, or 0.4%, since December 31, 2025. Total interest-bearing deposits increased $698 thousand during the period, and noninterest-bearing deposits increased $8.1 million. Money market accounts and savings accounts decreased a combined $86.2 million, with $52 million of collateralized deposits being migrated from money market accounts to certificates of deposits for customer efficiency. Time deposits increased $84.1 million, or 11.5%, mainly for customer efficiency.
Meridian's deposit base is comprised of business deposits, 53%, with consumer deposits amounting to 16% at September 30, 2026. Municipal deposits at 9% and brokered deposits at 22% provide growth funding. Historically, business deposits lag loan fundings. A
typical business relationship maintains operating accounts, investment accounts or sweep accounts and business owners may also have personal savings or wealth accounts. Deposit balances in business accounts have a tendency to be higher on average than consumer accounts. At September 30, 2026, 64% of business accounts and 86% of consumer accounts were fully insured by the FDIC. The municipal deposits are 100% collateralized and brokered deposits are 100% FDIC insured. The level of uninsured deposits for the entire deposit base was 21% at September 30, 2026.
Capital
Consolidated stockholders' equity of the Corporation was $203.6 million, or 7.9% of total assets as of September 30, 2026, as compared to $199.7 million, or 7.8% of total assets as of December 31, 2025. On October 29, 2026, the Board of Directors declared a quarterly cash dividend of $0.14 per common share payable November 16, 2026 to shareholders of record as of November 9, 2026.
Under the Community Bank Leverage Ratio framework, as revised by bank regulators on July 1, 2026, a community banking organization that is less than $10 billion in total consolidated assets, and has limited amounts of certain assets and off-balance sheet exposures, and a CBLR greater than 8% can elect to report a single regulatory capital ratio. The Corporation has elected to be measured under this framework for Bank capital adequacy and had ratios of 9.93% and 9.50% at September 30, 2026 and December 31, 2025, respectively. The Corporation is exempt from CBLR.
The following table presents the Bank's capital ratios and the minimum capital requirements to be considered "well capitalized" by regulators at the periods indicated:
Bank Well-capitalized minimum
September 30,
2026 		December 31,
2025
Tier 1 leverage ratio (CBLR) 9.93 % 9.50 % 5.00 %
Common tier 1 risk-based capital ratio 10.87 % 10.66 % 6.50 %
Tier 1 risk-based capital ratio 10.87 % 10.66 % 8.00 %
Total risk-based capital ratio 11.83 % 11.65 % 10.00 %
In December 2018, the Federal Reserve announced that a banking organization that experiences a reduction in retained earnings due to the CECL adoption as of the beginning of the fiscal year in which CECL is adopted may elect to phase in the regulatory capital impact of adopting CECL. Transitional amounts are calculated for the following items: retained earnings, temporary difference deferred tax assets and credit loss allowances eligible for inclusion in regulatory capital. When calculating regulatory capital ratios, 25% of the transitional amounts are phased in during the first year. An additional 25% of the transitional amounts are phased in over each of the next two years and at the beginning of the fourth year, the day-one effects of CECL are completely reflected in regulatory capital. As of September 30, 2026, Meridian has phased in 100% of the day-one effects of CECL.
Asset Quality Summary
The ratio of non-performing assets to total assets was 3.23% as of September 30, 2026, compared to 2.38% reported as of December 31, 2025. Total non-performing loans of $78.3 million as of September 30, 2026, increased $23.3 million from $55.1 million as of December 31, 2025, with the largest increases coming from land development loans ($19.9 million) and commercial mortgage loans ($9.0 million), partially offset by the reclassification out of non-performing status and/or payoff of $3.8 million of several residential, CRE & SBA loans combined. The downgraded land development loan relationships were all well collateralized and therefore did not require any specific reserve as of September 30, 2026. Of the increase in commercial mortgage non-performing loans, $2.9 million came from a purchased participation loan secured by a first lien on leasehold interests in a multi-building Class A office property. An April 2026 appraisal, reflecting conditions as of March 31, 2026, indicated a significant decline in value from the original appraisal at the time of our participation and resulted in a charge-off as of March 31, 2026. The remaining increase in commercial mortgage non-performing loan relationships were well collateralized and therefore did not require any specific reserve as of September 30, 2026. SBA loans make up $23.6 million of total non-performing loans, with $13.6 million, or 57.6%, guaranteed by the SBA. The SBA portfolio was subject to the Fed's rapid rate increase with 48.1%, of total non-performing SBA loans having been originated in 2020-2021 when rates were lower by over 500 basis points.
As of September 30, 2026 there were specific reserves of $3.0 million against non-performing loans, a decrease of $422 thousand, from $3.4 million as of December 31, 2025.
Meridian realized net charge-offs of 0.09% of total average loans for the three months ending September 30, 2026, on pace with the 0.09% reported for the same period in 2025. Net charge-offs for the quarters ended September 30, 2026 and September 30, 2025 were both $1.9 million, with the quarter ended September 30, 2026 being $10 thousand lower than the prior year comparable quarter. Net charge-offs for the current quarter comprised of $2.6 million in total gross charge-offs, $1.3 million from commercial, industrial & other finance receivables, $934 thousand related to SBA loans, and $413 thousand in small equipment leases. There were $739 thousand in recoveries during the period related to small business loans, finance receivables and leases.
The ratio of allowance for credit losses to total loans and other finance receivables, excluding loans at fair value (a non-GAAP measure, see reconciliation in the Non-GAAP Financial Measures), was 0.96% as of September 30, 2026 compared to 1.00% as of December 31, 2025. The level of provision for credit losses in the first nine months of 2026, combined with lower loan growth and a lower level of specifically reserved loans, helped to drive the allowance coverage level slightly lower.
Non-performing loans decreased $3.8 million from June 30, 2026 to September 30, 2026 and another $4.3 million settled subsequent to September 30, 2026, a combined reduction of $8.1 million or 10%.
The Corporation believes it is proactive with its loan review process that utilizes the engagement of an independent outside loan review firm, which helps identify developing credit issues. For example, the Corporation procures additional collateral (preferably outside the current loan structure) whenever possible and maintains frequent contact with the borrower. The Corporation believes that timely identification of credit issues and appropriate actions early in the process serve to mitigate overall risk of loss.
Nonperforming Assets and Related Ratios
The following table presents nonperforming assets and related ratios for the periods indicated:
(dollars in thousands) September 30,
2026 		December 31,
2025
Non-performing assets:
Nonaccrual loans:
Real estate loans:
Commercial mortgage $ 11,428 $ 2,472
Home equity lines and loans 1,564 2,023
Residential mortgage 6,150 10,385
Construction 24,955 6,650
Total real estate loans 44,097 21,530
Commercial and industrial & other finance receivables 6,905 6,770
Small business loans (1)
23,583 24,781
Leases 1,257 1,979
Total nonaccrual loans 75,842 55,060
Loans 90+ days past due and still accruing (2)
2,472 -
Total nonperforming loans 78,314 55,060
Other real estate owned (3)
2,428 3,592
Repossessed assets 2,425 2,405
Total non-performing assets $ 83,167 $ 61,057
Asset quality ratios:
Non-performing assets to total assets 3.23 % 2.38 %
Non-performing loans to:
Total loans and other finance receivables 3.62 % 2.54 %
Total loans and other finance receivables (excluding loans at fair value) (4)
3.64 % 2.55 %
Allowance for credit losses to:
Total loans and other finance receivables 0.96 % 0.99 %
Total loans and other finance receivables (excluding loans at fair value) (4)
0.96 % 1.00 %
Non-performing loans 26.42 % 39.18 %
Total loans and leases (5)
$ 2,207,699 $ 2,204,362
Loans and other finance receivables, net of fees and costs 2,163,832 2,170,600
Loans and other finance receivables, net of fees and costs (excluding loans at fair value) 2,150,502 2,156,204
Allowance for credit losses 20,690 21,573
(1) Included in non-performing small business loans as of September 30, 2026 and December 31, 2025, respectively, are $13.6 million and $13.2 million in SBA guarantees.
(2) Subsequent to September 30, 2026, a residential mortgage loan that was classified as 90+ days past due and still accruing interest, and valued at $2.5 million sold for no recorded gain.
(3) In the quarter-ended September 30, 2026, a property in OREO valued at $719 thousand sold for a recorded gain of $218 thousand.
(4) The allowance for credit losses to total loans and other finance receivables (excluding loans at fair value) ratio is a non-GAAP financial measure. See "Non-GAAP Financial Measures" for a reconciliation of this measure to its most comparable GAAP measure.
(5) Includes loans held for sale and loans held for investment
Liquidity
Management maintains liquidity to meet depositors' needs for funds, to satisfy or fund loan commitments, and for other operating purposes. Meridian's foundation for liquidity is a stable and loyal customer deposit base, cash and cash equivalents, and a marketable investment portfolio that provides periodic cash flow through regular maturities and amortization or that can be used as collateral to secure funding. In addition, as part of its liquidity management, Meridian maintains a portion of commercial loan assets that are
comprised of SNCs, which have a national market and can be sold in a timely manner. Meridian's available liquidity, which totaled $362.6 million at September 30, 2026, compared to $346.3 million at December 31, 2025, includes investments, SNCs, Federal funds sold, mortgages held-for-sale and cash and cash equivalents, less the amount of securities required to be pledged for certain liabilities. Meridian also anticipates scheduled payments and prepayments on its loan and mortgage-backed securities portfolios.
In addition, Meridian maintains borrowing arrangements with various correspondent banks, the FHLB and the FRB to meet short-term liquidity needs and has access to approximately $842.4 million in liquidity from these sources. Through its relationship at the Federal Reserve, Meridian had available credit of approximately $3.7 million at September 30, 2026. At September 30, 2026, Meridian had $0 in borrowings from the Federal Reserve. As a member of the FHLB, Meridian is eligible to borrow up to a specific credit limit, which is determined by the amount of our residential mortgages, commercial mortgages and other loans that have been pledged as collateral. As of September 30, 2026, Meridian's maximum borrowing capacity with the FHLB was $762.7 million. At September 30, 2026, Meridian had borrowed $113.2 million and the FHLB had issued letters of credit, on Meridian's behalf, totaling $114.6 million against its available credit lines. At September 30, 2026, Meridian also has $56.0 million of unsecured federal funds lines of credit with other financial institutions, with outstanding borrowings of $2.0 million as of September 30, 2026, as well as $307.7 million of available short or long term wholesale funding arrangements through the CDARS/ICS one-way buy program and conventional brokered CDs. Management believes that Meridian has adequate resources to meet its short-term and long-term funding requirements.
Discussion of Segments
As of September 30, 2026, the Corporation has three principal segments as defined by FASB ASC 280, "Segment Reporting." The segments are Banking, Mortgage Banking and Wealth Management (see Note 10 in the accompanying Notes to Unaudited Consolidated Financial Statements).
The Banking Segment recorded income before tax of $6.9 million and $16.4 million for the three and nine months ended September 30, 2026, as compared to income before tax of $7.7 million and $16.5 million for the same periods in 2025. The Banking Segment provided 115.9% and 102.0% of the Corporation's pre-tax profit for the three and nine months ended September 30, 2026, as compared to 88.3% and 86.4% for the same periods in 2025.
The Wealth Management Segment recorded income before tax of $689 thousand and $2.1 million for the three and nine months ended September 30, 2026, as compared to income before tax of $512 thousand and $1.8 million for the same periods in 2025.
The Mortgage Banking Segment recorded pre-tax losses of $1.6 million and $2.4 million for the three and nine months ended September 30, 2026, as compared to income before tax of $507 thousand and $758 thousand for the same periods in 2025. For the three month comparable period, mortgage banking income was down as loan origination and sales volume were both down, as was the margin on loan sales. For the nine month comparable period, mortgage banking income and expenses related to loan originations and sales increased over the prior year, but the margin on sales was down.
Off Balance Sheet Risk
The Corporation is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby letters of credit, and loan repurchase commitments.
Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the loan agreement. Total commitments to extend credit at September 30, 2026 were $654.1 million as compared to $641.9 million at December 31, 2025.
Standby letters of credit are conditional commitments issued by the Corporation to a customer for a third party. Such standby letters of credit are issued to support private borrowing arrangements. The credit risk involved in issuing standby letters of credit is similar to that involved in granting loan facilities to customers. The Corporation's obligation under standby letters of credit at September 30, 2026 amounted to $10.1 million as compared to $9.4 million at December 31, 2025.
Estimated fair values of the Corporation's off-balance sheet instruments are based on fees and rates currently charged to enter into similar loan agreements, taking into account the remaining terms of the agreements and the counterparties' credit standing. Since fees and rates charged for off-balance sheet items are at market levels when set, there is no material difference between the stated amount and the estimated fair value of off-balance sheet instruments.
In certain circumstances the Corporation may be required to repurchase residential mortgage loans from investors under the terms of loan sale agreements. Generally, these circumstances include the breach of representations and warranties made to investors regarding borrower default or early payment, as well as a violation of the applicable federal, state, or local lending laws. The Corporation agrees to repurchase loans if the representations and warranties made with respect to such loans are breached. Based on the obligations described above, the Corporation repurchased 1 loan of $247 thousand and 2 loans of $532 thousand for the three and nine months ended September 30, 2026, respectively, while the Corporation repurchased no loans and 1 loan of $425 thousand for the three and nine months ended September 30, 2025, respectively.
Non-GAAP Financial Measures
Meridian believes that non-GAAP measures are meaningful because they reflect adjustments commonly made by management, investors, regulators and analysts to evaluate performance trends and the adequacy of common equity. This non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for performance and financial condition measures determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of Meridian's results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Our management used the measure of the tangible common equity ratio to assess our capital strength. We believe that this non-GAAP financial measure is useful to investors because, by removing the impact of our goodwill and other intangible assets, it allows investors to more easily assess our capital adequacy. This non-GAAP financial measure should not be considered a substitute for any regulatory capital ratios and may not be comparable to other similarly titled measures used by other companies.
The table below provides the non-GAAP reconciliation for our tangible common equity ratio and tangible book value per common share:
(dollars in thousands, except share data) September 30,
2026 		December 31,
2025
Total stockholders' equity (GAAP) $ 203,628 $ 199,716
Less: Goodwill and intangible assets (3,309) (3,462)
Tangible common equity (non-GAAP) 200,319 196,254
Total assets (GAAP) 2,571,545 2,561,995
Less: Goodwill and intangible assets (3,309) (3,462)
Tangible assets (non-GAAP) $ 2,568,236 $ 2,558,533
Stockholders' equity to total assets (GAAP) 7.92 % 7.80 %
Tangible common equity to tangible assets (non-GAAP) 7.80 % 7.67 %
Shares outstanding 11,937 11,826
Book value per share (GAAP) $ 17.06 $ 16.89
Tangible book value per share (non-GAAP) $ 16.78 $ 16.59
The following is a reconciliation of the allowance for credit losses to total loans held for investment ratio at September 30, 2026 and December 31, 2025. This is considered a non-GAAP measure as the calculation excludes the impact of loans held for investment that are fair valued as these loan types are not included in the allowance for credit losses calculation.
(dollars in thousands) September 30,
2026 		December 31,
2025
Allowance for credit losses (GAAP) $ 20,690 $ 21,573
Loans and other finance receivables (GAAP) 2,163,832 2,170,600
Less: Loans at fair value (13,330) (14,396)
Loans and other finance receivables, excluding loans at fair value (non-GAAP) $ 2,150,502 $ 2,156,204
Allowance for credit losses to loans and other finance receivables (GAAP) 0.96 % 0.99 %
Allowance for credit losses to loans and other finance receivables, excluding loans at fair value (non-GAAP) 0.96 % 1.00 %
The following is a reconciliation of non-performing loans, excluding the guaranteed portion of SBA loans that are classified as non-performing loans, to total loans and leases at September 30, 2026 and December 31, 2025. This is considered a non-GAAP measure as the calculation excludes the impact of SBA guarantees from non-performing loans.
(dollars in thousands) September 30,
2026 		December 31,
2025
Non-performing loans (GAAP)
$ 78,314 $ 55,060
Less: Guaranteed portion of SBA loans classified as non-performing
(13,573) (13,177)
Non-performing loans, excluding guaranteed portion of SBA loans (non-GAAP)
$ 64,741 $ 41,883
Total loans and leases (1)
$ 2,207,699 $ 2,204,362
Non-performing loans to total loans and leases (GAAP) 3.55 % 2.50 %
Non-performing loans (excluding guaranteed portion of SBA loans) to total loans and leases (non-GAAP) 2.93 % 1.90 %
(1) Includes loans held for sale and loans held for investment
Meridian Corporation published this content on November 09, 2026, and is solely responsible for the information contained herein. Distributed via EDGAR on November 09, 2026 at 19:04 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]