EWSB BANCORP, INC_June 30, 2025

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended June 30, 2025

☐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: 333-277828

EWSB BANCORP, INC.

(Exact Name of Registrant as Specified in Its Charter)


Maryland		33-2899738
(State of Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)

109 West Second Street, Kaukauna, Wisconsin 54130

(Address of Principal Executive Offices) (Zip Code)

(920) 766-4646

(Registrant’s Telephone Number, Including Area Code)

Not applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	EWSB	OTCQB Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large Accelerated Filer	☐	Accelerated Filer	☐
Non-accelerated Filer	☒	Smaller Reporting Company	☒
Emerging growth company	☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of August 14, 2025, the Registrant had 752,538 shares of common stock, par value $0.01 per share issued and outstanding.

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TABLE OF CONTENTS


		Page
PART I.	FINANCIAL INFORMATION
Item 1.	Financial Statements	1
	Consolidated Balance Sheets as of June 30, 2025 (unaudited) and December 31, 2024	1
	Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2025 and 2024 (unaudited)	2
	Consolidated Statements of Comprehensive Income (Loss) for the Three and Six Months Ended June 30, 2025 and 2024 (unaudited)	4
	Consolidated Statements of Changes in Equity for the Three and Six Months Ended June 30, 2025 and 2024 (unaudited)	5
	Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2025 and 2024 (unaudited)	6
	Notes to Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	24
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	39
Item 4.	Controls and Procedures	39
PART II.	OTHER INFORMATION
Item 1.	Legal Proceedings	40
Item 1A.	Risk Factors	40
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	40
Item 3.	Defaults Upon Senior Securities	40
Item 4.	Mine Safety Disclosures	40
Item 5.	Other Information	40
Item 6.	Exhibits	41
Signatures		41

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EXPLANATORY NOTE

EWSB Bancorp, Inc. (the “Company,” “we” or “our”) is the stock holding company for East Wisconsin Savings Bank (the “Bank”). The Company became the holding company for the Bank upon the completion of the conversion of Wisconsin Mutual Bancorp, MHC (the “MHC”) from the mutual holding company to the stock holding company form of organization on September 20, 2024 the date of the conversion transaction closing. Accordingly, the unaudited financial statements, as well as other financial information at or prior to September 20, 2024, contained in this Quarterly Report on Form 10-Q relate solely to the consolidated financial results of the MHC and its subsidiaries. See also the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

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EWSB BANCORP, INC. AND SUBSIDIARY

Consolidated Balance Sheets


	June 30, 2025		December 31, 2024
	(unaudited)
Assets
Cash and cash equivalents	$	2,733,723	$	1,188,634
Time deposits with other financial institutions		4,499,342		4,498,778
Debt securities available for sale (amortized cost of $25,666,902 and $26,736,859 as of June 30, 2025 and December 31, 2024, respectively)		22,534,571		22,806,836
Debt securities held to maturity (fair value of $38,855,413 and $38,162,626 as of June 30, 2025 and December 31, 2024, respectively)		38,850,983		39,006,631
Loans, net of allowance of $1,196,352 and $1,126,422 as of June 30, 2025 and December 31, 2024, respectively		196,272,943		186,354,436
Land held for sale		834,828		834,828
Office properties and equipment, net		2,385,032		2,411,422
Federal Home Loan Bank stock		2,476,219		1,879,971
Cash value of life insurance		7,824,800		7,699,074
Net deferred tax assets		5,308,588		5,326,564
Accrued interest receivable and other assets		1,320,940		1,298,605

TOTAL ASSETS	$	285,041,969	$	273,305,779

Liabilities and Equity
Deposits:
Non-interest bearing	$	8,685,841	$	9,461,778
Interest bearing		213,459,952		222,057,692
Total deposits		222,145,793		231,519,470
Borrowed funds		44,268,000		24,200,000
Advance payments by borrowers for taxes and insurance		1,428,239		485,212
Accrued interest payable and other liabilities		1,423,161		1,474,341

Total liabilities		269,265,193		257,679,023

Equity:
Common stock ($0.01 par value, 4,000,000 shares authorized, 752,538 shares issued and outstanding as of June 30, 2025 and December 31, 2024)		7,525		7,525
Additional paid-in capital		5,472,852		5,472,763
Retained earnings		16,651,861		17,499,162
Unallocated common shares held by Employee Stock Ownership Plan (ESOP)		(487,271)		(500,441)
Accumulated other comprehensive income (loss)		(5,868,191)		(6,852,253)

Total stockholders' equity		15,776,776		15,626,756

TOTAL LIABILITIES AND EQUITY	$	285,041,969	$	273,305,779

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Consolidated Statements of Operations (unaudited)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Interest income:
Loans, including fees	$	2,445,883	$	2,085,146	$	4,733,362	$	4,067,005
Securities:
Taxable		248,610		264,503		504,647		532,494
Tax-exempt		9,391		9,397		18,789		18,800
Other		55,979		42,714		106,794		85,224

Total interest income		2,759,863		2,401,760		5,363,592		4,703,523

Interest expense:
Deposits		1,266,512		1,276,594		2,645,609		2,491,705
Borrowed funds		365,223		309,030		627,554		571,621

Total interest expense		1,631,735		1,585,624		3,273,163		3,063,326

Net interest income		1,128,128		816,136		2,090,429		1,640,197
Provision for credit losses		15,373		120,490		125,663		120,490

Net interest income after provision for credit losses		1,112,755		695,646		1,964,766		1,519,707

Noninterest income:
Service charges on deposit accounts		19,929		29,972		34,511		40,352
Interchange income		60,169		62,205		116,523		119,344
Mortgage banking income		57,343		64,127		108,949		127,972
Gain on sale of mortgage loans		69,609		50,459		115,170		101,180
Increase in cash value of life insurance		63,501		59,493		125,726		113,694
Gain on interest rate swap		—		87,155		—		173,445
Other		89,395		72,921		179,409		219,104

Total noninterest income		359,946		426,332		680,288		895,091

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Consolidated Statements of Operations (unaudited) Continued


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Noninterest expense:
Salaries and related benefits		1,083,914		1,016,941		2,190,483		2,048,383
Occupancy expense, net		152,910		160,550		320,884		333,659
Data processing		348,129		293,253		622,467		564,663
Advertising		32,066		42,664		60,048		84,353
FDIC insurance premiums		73,910		72,476		130,536		151,483
Other		206,462		197,954		541,498		434,091

Total noninterest expense		1,897,391		1,783,838		3,865,916		3,616,632

Income (loss) before provision for (benefit from) income taxes		(424,690)		(661,860)		(1,220,862)		(1,201,834)
Provision for (benefit from) income taxes		(146,030)		(198,999)		(373,561)		(361,478)
Net income (loss)	$	(278,660)	$	(462,861)	$	(847,301)	$	(840,356)
Basic and diluted earnings per share	$	(0.40)		n/a	$	(1.21)		n/a
Weighted average shares outstanding		703,482		n/a		703,152		n/a

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Consolidated Statements of Comprehensive Income (Loss) (unaudited)


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Net income (loss)	$	(278,660)	$	(462,861)	$	(847,301)	$	(840,356)
Other comprehensive income (loss), before tax:
Unrealized holding gain (loss) on available for sale debt securities		304,078		(68,104)		797,692		(254,890)
Reclassification adjustment for (accretion) amortization of unrealized holding gain (loss) included in accumulated other comprehensive income (loss) from the securities transferred from available for sale to held to maturity		245,531		275,555		541,716		554,075

Other comprehensive income (loss), before tax		549,609		207,451		1,339,408		299,185
Tax effect of other comprehensive income (loss) items		(126,470)		(55,038)		(355,346)		(79,374)

Other comprehensive income (loss), net of tax		423,139		152,413		984,062		219,811

Comprehensive income (loss)	$	144,479	$	(310,448)	$	136,761	$	(620,545)

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Consolidated Statements of Changes in Equity (unaudited)


									Unallocated		Accumulated
									Common		Other
	Common Shares				Additional Paid-		Retained		Shares Held		Comprehensive
	Shares		Amount		In Capital		Earnings		by ESOP		Income (Loss)		Total Equity

	Three Months Ended June 30, 2025
Balance at March 31, 2025		752,538	$	7,525	$	5,473,225	$	16,930,521	$	(493,856)	$	(6,291,330)	$	15,626,085
Net income (loss)		—		—		—		(278,660)		—		—		(278,660)
ESOP shares committed to be released		—		—		(373)		—		6,585		—		6,212
Other comprehensive income (loss)		—		—		—		—		—		423,139		423,139
Balance at June 30, 2025		752,538	$	7,525	$	5,472,852	$	16,651,861	$	(487,271)	$	(5,868,191)	$	15,776,776


									Unallocated		Accumulated
									Common		Other
	Common Shares				Additional Paid-		Retained		Shares Held		Comprehensive
	Shares		Amount		In Capital		Earnings		by ESOP		Income (Loss)		Total Equity

	Three Months Ended June 30, 2024
Balance at March 31, 2024		—	$	—	$	—	$	18,821,478	$	—	$	(7,594,751)	$	11,226,727
Net income (loss)		—		—		—		(462,861)		—		—		(462,861)
Other comprehensive income (loss)		—		—		—		—		—		152,413		152,413
Balance at June 30, 2024		—	$	—	$	—	$	18,358,617	$	—	$	(7,442,338)	$	10,916,279


									Unallocated		Accumulated
									Common		Other
	Common Stock				Additional Paid-		Retained		Shares Held		Comprehensive
	Shares		Amount		In Capital		Earnings		by ESOP		Income (Loss)		Total Equity

	Six Months Ended June 30, 2025
Balance at January 1, 2025		752,538	$	7,525	$	5,472,763	$	17,499,162	$	(500,441)	$	(6,852,253)	$	15,626,756
Net income (loss)		—		—		—		(847,301)		—		—		(847,301)
ESOP shares committed to be released		—		—		89		—		13,170		—		13,259
Other comprehensive income (loss)		—		—		—		—		—		984,062		984,062
Balance at June 30, 2025		752,538	$	7,525	$	5,472,852	$	16,651,861	$	(487,271)	$	(5,868,191)	$	15,776,776


									Unallocated		Accumulated
									Common		Other
	Common Shares				Additional Paid-		Retained		Shares Held		Comprehensive
	Shares		Amount		In Capital		Earnings		by ESOP		Income (Loss)		Total Equity

	Six Months Ended June 30, 2024
Balance at January 1, 2024		—	$	—	$	—	$	19,198,973	$	—	$	(7,662,149)	$	11,536,824
Net income (loss)		—		—		—		(840,356)		—		—		(840,356)
Other comprehensive income (loss)		—		—		—		—		—		219,811		219,811
Balance at June 30, 2024		—	$	—	$	—	$	18,358,617	$	—	$	(7,442,338)	$	10,916,279

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Condensed Consolidated Statements of Cash Flows (unaudited)


	Six Months Ended June 30,
	2025		2024
Cash flows from operating activities:	$	(1,297,818)	$	(1,838,703)

Cash flows from investing activities:
Proceeds from maturities and paydowns of securities available for sale		1,092,364		599,665
Proceeds from maturities and paydowns of securities held to maturity		750,000		1,500,000
Purchase of FHLB stock		(596,248)		(139,595)
Net decrease/(increase) in loans		(9,988,437)		(5,570,817)
Purchase of office properties and equipment		(52,122)		(48,290)
Net cash flows provided by (used in) investing activities		(8,794,443)		(3,659,037)

Cash flows from financing activities:
Net change in deposits	$	(9,373,677)	$	(7,570,856)
Net change in advance payments by borrowers for taxes and insurance		943,027		927,394
Net increase/(decrease) from FHLB short-term advances activity		(2,932,000)		(4,952,000)
Proceeds from FHLB long-term advances		34,000,000		—
Maturities of FHLB long-term advances		(11,000,000)		—
Proceeds from Federal Reserve Bank Term Funding Program borrowing		—		17,000,000
Net cash flows provided by (used in) financing activities		11,637,350		5,404,538

Net change in cash and cash equivalents		1,545,089		(93,202)
Cash and cash equivalents at beginning of period		1,188,634		1,608,709
Cash and cash equivalents at end of period	$	2,733,723	$	1,515,507

Supplemental cash flow information:
Cash paid during the period for:
Interest	$	3,336,430	$	2,577,283
Taxes	$	—	$	—

See accompanying notes to unaudited consolidated financial statements.

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EWSB BANCORP, INC. AND SUBSIDIARY

Notes to Unaudited Consolidated Financial Statements

Note 1: Summary of Significant Accounting Policies

Organization

EWSB Bancorp, Inc. (the “Company”), a Maryland corporation and registered bank holding company, was formed to serve as the holding company for East Wisconsin Savings Bank (the “Bank”), upon conversion of Wisconsin Mutual Bancorp, MHC to the stock form of organization, which was completed on September 20, 2024. In connection with the conversion, the Company sold 752,538 shares of common stock, par value $0.01, including 52,678 shares sold to the Bank’s Employee Stock Ownership Plan, at $10.00 per share in its subscription offering for gross proceeds (before deducting offering expenses) of approximately $7.5 million. Shares of the Company’s common stock began trading on September 24, 2024 on the OTCQB Market under the trading symbol “EWSB”.

The Bank provides a variety of financial services to individual and corporate customers. The Bank operates as a full-service financial institution with a primary market area including, but not limited to, east central Wisconsin. The Company is subject to the regulations of certain federal and state agencies and undergoes periodic examinations by those regulatory authorities.

Principles of Consolidation

The financial statements include the accounts of EWSB Bancorp, Inc. and its subsidiary, East Wisconsin Savings Bank. All significant intercompany balances and transactions have been eliminated.

Basis of Presentation

The accompanying unaudited Consolidated Financial Statements were prepared in accordance with GAAP and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited financial statements and related notes of EWSB Bancorp, Inc’s Consolidated Financial Statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. The Company has not changed its significant accounting and reporting policies from those disclosed in the audited financial statements for the year ended December 31, 2024.

Use of Estimates in Preparation of Financial Statements

The preparation of the accompanying financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. The determination of the allowance for credit losses and valuation allowance on deferred tax assets are particularly subject to change in the near term. Actual results may differ from these estimates. The results of operations for the three and six months ended June 30, 2025, are not necessarily indicative of results that may be expected for any other interim period or the entire fiscal year ending December 31, 2025.

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EWSB BANCORP, INC. AND SUBSIDIARY

Note 2: Debt Securities

Our debt securities portfolio consists of an available for sale (“AFS”) and a held to maturity (“HTM”) securities portfolio, both of which represent interest earning debt securities.

Debt Securities AFS

The following table summarizes the amortized cost and estimated fair value of AFS securities on June 30, 2025 and December 31, 2024, and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive income (loss):


			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
	Cost		Gains		(Losses)		Fair Value
June 30, 2025
Securities available for sale:
Mortgage-backed securities	$	8,577,456	$	—	$	(1,005,630)	$	7,571,826
State and political subdivisions		13,620,655		—		(1,624,675)		11,995,980
Corporate securities		3,468,791		—		(502,026)		2,966,765
Total securities available for sale	$	25,666,902	$	—	$	(3,132,331)	$	22,534,571


			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
	Cost		Gains		(Losses)		Fair Value
December 31, 2024
Securities available for sale:
Mortgage-backed securities	$	9,078,650	$	—	$	(1,254,841)	$	7,823,809
State and political subdivisions		14,191,881		—		(2,052,935)		12,138,946
Corporate securities		3,466,328		—		(622,247)		2,844,081
Total securities available for sale	$	26,736,859	$	—	$	(3,930,023)	$	22,806,836

There were no sales of securities available for sale during the six months ended June 30, 2025 and 2024.

The following tables show the fair value and gross unrealized losses of AFS debt securities in an unrealized loss position at June 30, 2025 and December 31, 2024, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:


	Less Than 12 Months				12 Months or More				Total
		Estimated		Unrealized	Estimated		Unrealized		Estimated		Unrealized
		Fair Value		Loss	Fair Value		Loss		Fair Value		Loss
June 30, 2025
Securities available for sale:
Mortgage-backed securities	$	—	$	—	$	7,571,826	$	(1,005,630)	$	7,571,826	$	(1,005,630)
State and political subdivisions		223,794		(1,243)		11,772,186		(1,623,432)		11,995,980		(1,624,675)
Corporate securities		—		—		2,966,765		(502,026)		2,966,765		(502,026)
Totals	$	223,794	$	(1,243)	$	22,310,777	$	(3,131,088)	$	22,534,571	$	(3,132,331)

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EWSB BANCORP, INC. AND SUBSIDIARY


	Less Than 12 Months				12 Months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Loss		Fair Value		Loss		Fair Value		Loss
December 31, 2024
Securities available for sale:
Mortgage-backed securities	$	—	$	—	$	7,823,809	$	(1,254,841)	$	7,823,809	$	(1,254,841)
State and political subdivisions		—		—		12,138,946		(2,052,935)		12,138,946		(2,052,935)
Corporate securities		—		—		2,844,081		(622,247)		2,844,081		(622,247)
Totals	$	—	$	—	$	22,806,836	$	(3,930,023)	$	22,806,836	$	(3,930,023)

At June 30, 2025, 49 debt securities designated as AFS were in an unrealized loss position. Based on our analysis of these securities, the decline in value was unrelated to credit loss and is related to changes in market interest rates since purchase, and therefore, changes in value for securities were included in other comprehensive income. In analyzing whether unrealized losses on debt securities are not related to credit losses, management takes into consideration, as applicable, whether the securities are issued by a governmental body or agency, whether the rating agency has downgraded the securities, industry analysts’ reports, the financial condition and performance of the issuer, and the quality of any underlying assets or credit enhancements. Market valuations and credit loss analysis on assets in the AFS securities portfolio are reviewed and monitored on a quarterly basis. None of the investments in our AFS securities portfolio were past due as of June 30, 2025. Management has the ability and intent to hold the securities for the foreseeable future and no declines are deemed to be related to credit losses; therefore, no provision for expected credit losses or allowance is carried for the AFS portfolio.

The following is a summary of amortized cost and estimated fair value of debt securities by contractual maturity as of June 30, 2025. Contractual maturities will differ from expected maturities for mortgage-backed securities because borrowers may have the right to call or prepay obligations without penalties.


	June 30, 2025
			Estimated
Available-for-sale	Amortized Cost		Fair Value
Due in one year or less	$	225,037	$	223,794
Due after one year through five years		7,637,854		6,913,089
Due after five years through ten years		9,079,087		7,699,553
Due after ten years		147,468		126,309

Subtotal		17,089,446		14,962,745
Mortgage-backed securities		8,577,456		7,571,826
Total	$	25,666,902	$	22,534,571

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EWSB BANCORP, INC. AND SUBSIDIARY

Debt Securities HTM

The following table summarizes the amortized cost and estimated fair value of HTM securities at June 30, 2025 and December 31, 2024, and the corresponding amounts of gross unrealized gains and losses.


			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
June 30, 2025	Cost		Gains		Losses		Fair Value
Securities held to maturity:
U.S. government sponsored agencies	$	27,972,008	$	111,679	$	(119,136)	$	27,964,551
U.S. Treasury securities		10,878,975		13,453		(1,566)		10,890,862
Total securities held to maturity	$	38,850,983	$	125,132	$	(120,702)	$	38,855,413


			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
December 31, 2024	Cost		Gains		Losses		Fair Value
Securities held to maturity:
U.S. government sponsored agencies	$	28,306,633	$	282	$	(812,896)	$	27,494,019
U.S. Treasury securities		10,699,998		—		(31,391)		10,668,607
Total securities held to maturity	$	39,006,631	$	282	$	(844,287)	$	38,162,626

Investment securities classified as HTM are recorded at amortized cost subject to measurement of credit losses on financial instruments, also known as Current Expected Credit Losses (“CECL”). This methodology consists of measuring the value of investments on a collective basis when similar risk characteristics exist. Our investment policy requires securities designated as HTM to carry an explicit or implicit guarantee of the United States Government (i.e., issued by the U.S. Treasury and federal agencies of the United States). Market valuations and credit loss analysis on assets in the HTM securities portfolio are reviewed and monitored on a quarterly basis. None of the investments in our HTM securities portfolio were past due as of June 30, 2025. An allowance for credit losses (“ACL”) is not calculated or recorded based on the implied guarantee of these securities.

The following table summarizes the remaining contractual principal maturities of investment securities classified as HTM as of June 30, 2025. For United States agency debentures, the expected maturity is the actual contractual maturity of the notes. Expected remaining maturities for certain United States agency debentures may occur earlier than their contractual maturities because the note issuers have the right to call outstanding amounts ahead of their contractual maturity.


	June 30, 2025
	Amortized		Estimated
Held-to-maturity	Cost		Fair Value
Due in one year or less	$	8,560,385	$	8,560,817
Due after one year through five years		13,678,755		13,743,890
Due after five years through ten years		14,823,303		14,802,457
Due after ten years		1,788,540		1,748,249
Total	$	38,850,983	$	38,855,413

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EWSB BANCORP, INC. AND SUBSIDIARY

Note 3: Loans and Allowance for Credit Losses

A summary of loans by major category as of June 30, 2025 and December 31, 2024 is as follows:


	June 30, 2025		December 31, 2024
Real estate:
One to four family residential	$	135,712,181	$	130,077,444
Home equity		2,139,077		2,241,326
Equity line of credit		7,029,950		5,823,673
Construction		11,094,371		6,755,376
Multi-family		1,237,918		1,271,343
Commercial		2,204,696		2,587,784
Commercial installment		3,535,810		3,513,472
Consumer:
Marine and recreational		30,817,964		31,150,048
Other consumer		3,872,055		4,211,711

Subtotal		197,644,022		187,632,177
Allowance for credit losses		(1,196,352)		(1,126,422)
Unearned loan fees		(174,727)		(151,319)
Loans, net	$	196,272,943	$	186,354,436

Changes in the allowance for the three and six months ended June 30, 2025 and 2024, are as follows:


	For the three months ended June 30, 2025
	Beginning		Provision for						Ending
	Balance		Credit Loss		Charge-offs			Recoveries	Balance
Real estate:
One to four family residential	$	739,393	$	(46,277)	$	—	$	—	$	693,116
Home equity		12,660		(1,735)		—		—		10,925
Equity line of credit		33,051		2,853		—		—		35,904
Construction		99,470		21,162		—		—		120,632
Multi-family		7,827		(1,505)		—		—		6,322
Commercial		24,803		(1,510)		—		—		23,293
Commercial Installment		38,567		(1,210)		—		—		37,357
Consumer:
Marine and recreational		207,041		35,853		—		—		242,894
Other consumer		27,443		(1,534)		—		—		25,909
Total	$	1,190,255	$	6,097	$	—	$	—	$	1,196,352

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EWSB BANCORP, INC. AND SUBSIDIARY


	For the three months ended June 30, 2024
	Beginning		Provision for						Ending
	Balance		Credit Loss		Charge-offs		Recoveries		Balance
Real estate:
One to four family residential	$	598,620	$	55,499	$	—	$	—	$	654,119
Home equity		9,945		1,746		—		—		11,691
Equity line of credit		21,449		2,624		—		—		24,073
Construction		48,635		38,329		—		—		86,964
Multi-family		7,157		532		—		—		7,689
Commercial		22,154		694		—		—		22,848
Commercial Installment		51,549		(409)		—		—		51,140
Consumer:
Marine and recreational		255,235		20,643		(599)		—		275,279
Other consumer		32,763		832		—		1,000		34,595
Total	$	1,047,507	$	120,490	$	(599)	$	1,000	$	1,168,398


	For the six months ended June 30, 2025
	Beginning		Provision for						Ending
	Balance		Credit Loss		Charge-offs			Recoveries	Balance
Real estate:
One to four family residential	$	639,578	$	53,538	$	—	$	—	$	693,116
Home equity		11,020		(95)		—		—		10,925
Equity line of credit		28,634		7,270		—		—		35,904
Construction		73,444		47,188		—		—		120,632
Multi-family		6,251		71		—		—		6,322
Commercial		30,624		(7,331)		—		—		23,293
Commercial Installment		42,629		(5,272)		—		—		37,357
Consumer:
Marine and recreational		259,197		(16,303)		—		—		242,894
Other consumer		35,045		(9,136)		—		—		25,909
Total	$	1,126,422	$	69,930	$	—	$	—	$	1,196,352


	For the six months ended June 30, 2024
	Beginning		Provision for						Ending
	Balance		Credit Loss		Charge-offs		Recoveries		Balance
Real estate:
One to four family residential	$	654,754	$	(635)	$	—	$	—	$	654,119
Home equity		11,045		646		—		—		11,691
Equity line of credit		22,193		1,880		—		—		24,073
Construction		21,293		65,671		—		—		86,964
Multi-family		7,948		(259)		—		—		7,689
Commercial		26,323		(3,475)		—		—		22,848
Commercial Installment		44,972		6,168		—		—		51,140
Consumer:
Marine and recreational		241,624		43,543		(9,888)		—		275,279
Other consumer		26,644		6,951		—		1,000		34,595
Total	$	1,056,796	$	120,490	$	(9,888)	$	1,000	$	1,168,398

The ACL on loans excludes $137,277 of allowance for unfunded commitments as of June 30, 2025 and $81,544 as of December 31, 2024 and is recorded within accrued interest payable and other liabilities on the Consolidated Balance Sheets. A provision for credit loss on unfunded loan commitments of $9,276 was made for the three months ended June 30, 2025. A provision for credit loss on unfunded loan commitments of $55,733 was made for the six months ended June

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EWSB BANCORP, INC. AND SUBSIDIARY

30, 2025. No provision for credit loss on unfunded loan commitments was made for the three and six months ended June 30, 2024.

As of June 30, 2025 there were three collateral dependent loans totaling $32,183 in the other consumer loans segment. These loans were secured by automobiles and with one loan carrying a specific allocation of $7,183 to the ACL as of June 30, 2025. Additionally, there was one collateral dependent loan totaling $18,561 in the marine and recreational loan segment with a specific allocation of $11,500 to the ACL as of June 30, 2025.

As of December 31, 2024 there were two collateral dependent loans totaling $12,704 in the other consumer loans segment. These loans were secured by automobiles and did not have a specific allocation to the ACL as of December 31, 2024.

The Company regularly evaluates various attributes of loans to determine the appropriateness of the allowance for credit losses. The credit quality indicators monitored differ depending on the class of loan.

Multi-family, commercial real estate, and commercial installment loans are generally evaluated using the following internally prepared ratings:

●	Pass ratings are assigned to loans with adequate collateral and debt service ability such that collectability of the contractual loan payments is highly probable.

●	Special mention ratings are assigned to loans where management has some concern that the collateral or debt service ability may not be adequate, though the collectability of the contractual loan payments is still probable.

●	Substandard ratings are assigned to loans that do not have adequate collateral and/or debt service ability such that collectability of the contractual loan payments is no longer probable.

●	Doubtful ratings are assigned to loans that do not have adequate collateral and/or debt service ability, and collectability of the contractual loan payments is unlikely.

One to four family residential, home equity, equity line of credit, construction, marine and recreational, and other consumer loans are generally evaluated based on whether the loan is performing according to the contractual terms of the loan.

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EWSB BANCORP, INC. AND SUBSIDIARY

The following tables present the credit risk profile of the Company’s loan portfolio based on risk rating category and year of origination at June 30, 2025 and December 31, 2024.


	Total Loans by Origination Year
	2025		2024		2023		2022		2021		Prior		Revolving		Total
At June 30, 2025
Real estate
One to four family residential
Performing	$	11,467,953	$	20,759,217	$	8,814,737	$	32,260,410	$	11,246,406	$	51,163,458	$	—	$	135,712,181
Non performing		—		—		—		—		—		—		—		—
Total one to four family residential	$	11,467,953	$	20,759,217	$	8,814,737	$	32,260,410	$	11,246,406	$	51,163,458	$	—	$	135,712,181
Home equity
Performing	$	164,336	$	849,851	$	637,908	$	323,977	$	15,850	$	147,155	$	—	$	2,139,077
Non performing		—		—		—		—		—		—		—		—
Total home equity	$	164,336	$	849,851	$	637,908	$	323,977	$	15,850	$	147,155	$	—	$	2,139,077
Equity line of credit
Performing	$	—	$	—	$	—	$	—	$	—	$	—	$	7,029,950	$	7,029,950
Non performing		—		—		—		—		—		—		—		—
Total equity line of credit	$	—	$	—	$	—	$	—	$	—	$	—	$	7,029,950	$	7,029,950
Construction
Performing	$	3,616,017	$	5,112,874	$	2,154,363	$	64,715	$	—	$	146,402	$	—	$	11,094,371
Non performing		—		—		—		—		—		—		—		—
Total construction	$	3,616,017	$	5,112,874	$	2,154,363	$	64,715	$	—	$	146,402	$	—	$	11,094,371
Multi-family
Pass	$	—	$	—	$	—	$	205,526	$	1,032,392	$	—	$	—	$	1,237,918
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total multi-family	$	—	$	—		—	$	205,526		1,032,392	$	—	$	—	$	1,237,918
Commercial
Pass	$	—	$	483,833	$	147,905	$	1,275,346	$	236,588	$	61,024	$	—	$	2,204,696
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total commercial	$	—	$	483,833	$	147,905	$	1,275,346	$	236,588	$	61,024	$	—	$	2,204,696
Commercial installment
Pass	$	933,743	$	110,646	$	170,275	$	245,102	$	870,186	$	1,205,858	$	—	$	3,535,810
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total commercial installment	$	933,743	$	110,646	$	170,275	$	245,102	$	870,186	$	1,205,858	$	—	$	3,535,810
Consumer
Marine and recreational
Performing	$	3,485,401	$	5,803,553	$	6,843,325	$	2,404,780	$	487,773	$	11,774,571	$	—	$	30,799,403
Non performing		—		—		—		—		—		18,561		—		18,561
Total marine and recreational	$	3,485,401	$	5,803,553	$	6,843,325	$	2,404,780	$	487,773	$	11,793,132	$	—	$	30,817,964
Other consumer
Performing	$	631,420	$	1,035,692	$	593,193	$	662,214	$	188,616	$	718,733	$	—	$	3,829,868
Non performing		32,183		—		—		10,004		—		—		—		42,187
Total other consumer	$	663,603	$	1,035,692	$	593,193	$	672,218	$	188,616	$	718,733	$	—	$	3,872,055
Total loans	$	20,331,053	$	34,155,666	$	19,361,706	$	37,452,074	$	14,077,811	$	65,235,762	$	7,029,950	$	197,644,022

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EWSB BANCORP, INC. AND SUBSIDIARY


	Total Loans by Origination Year
	2024		2023		2022		2021		2020		Prior		Revolving		Total
At December 31, 2024
Real estate
One to four family residential
Performing	$	19,412,939	$	9,559,853	$	33,402,127	$	11,738,171	$	30,020,711	$	25,943,643	$	—	$	130,077,444
Non performing		—		—		—		—		—		—		—		—
Total one to four family residential	$	19,412,939	$	9,559,853	$	33,402,127	$	11,738,171	$	30,020,711	$	25,943,643	$	—	$	130,077,444
Home equity
Performing	$	863,805	$	750,208	$	438,473	$	16,623	$	91,757	$	80,460	$	—	$	2,241,326
Non performing		—		—		—		—		—		—		—		—
Total home equity	$	863,805	$	750,208	$	438,473	$	16,623	$	91,757	$	80,460	$	—	$	2,241,326
Equity line of credit
Performing	$	—	$	—	$	—	$	—	$	—	$	—	$	5,823,673	$	5,823,673
Non performing		—		—		—		—		—		—		—		—
Total equity line of credit	$	—	$	—	$	—	$	—	$	—	$	—	$	5,823,673	$	5,823,673
Construction
Performing	$	3,754,653	$	2,721,970	$	73,963	$	—	$	111,209	$	93,581	$	—	$	6,755,376
Non performing		—		—		—		—		—		—		—		—
Total construction	$	3,754,653	$	2,721,970	$	73,963	$	—	$	111,209	$	93,581	$	—	$	6,755,376
Multi-family
Pass	$	—	$	—	$	—	$	209,884	$	126,373	$	935,086	$	—	$	1,271,343
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total multi-family	$	—	$	—	$	—	$	209,884	$	126,373	$	935,086	$	—	$	1,271,343
Commercial
Pass	$	704,843	$	152,169	$	1,300,428	$	248,414	$	66,094	$	115,836	$	—	$	2,587,784
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total commercial	$	704,843	$	152,169	$	1,300,428	$	248,414	$	66,094	$	115,836	$	—	$	2,587,784
Commercial installment
Pass	$	167,507	$	258,478	$	354,102	$	1,069,667	$	1,479,869	$	183,849	$	—	$	3,513,472
Special mention		—		—		—		—		—		—		—		—
Substandard		—		—		—		—		—		—		—		—
Doubtful		—		—		—		—		—		—		—		—
Total commercial installment	$	167,507	$	258,478	$	354,102	$	1,069,667	$	1,479,869	$	183,849	$	—	$	3,513,472
Consumer
Marine and recreational
Performing	$	6,977,323	$	8,035,562	$	3,062,227	$	650,645	$	1,510,484	$	10,913,807	$	—	$	31,150,048
Non performing		—		—		—		—		—		—		—		—
Total marine and recreational	$	6,977,323	$	8,035,562	$	3,062,227	$	650,645	$	1,510,484	$	10,913,807	$	—	$	31,150,048
Other consumer
Performing	$	785,431	$	534,610	$	613,732	$	208,806	$	40,975	$	2,015,453	$	—	$	4,199,007
Non performing		—		—		12,704		—		—		—		—		12,704
Total other consumer	$	785,431	$	534,610	$	626,436	$	208,806	$	40,975	$	2,015,453	$	—	$	4,211,711
Total loans	$	32,666,501	$	22,012,850	$	39,257,756	$	14,142,210	$	33,447,472	$	40,281,715	$	5,823,673	$	187,632,177

Year-to-date gross charge-offs for the periods presented are not included in the above tables as the amounts are considered insignificant.

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EWSB BANCORP, INC. AND SUBSIDIARY

Loan aging information as of June 30, 2025 and December 31, 2024, follows:


	Accruing
			Loans Past		Loans		Nonaccrual		Nonaccrual		Nonaccrual
	Current		Due 31-89		Past Due		loans beginning		loans end		end of period
	Loans		Days		90+ Days		of period		of period		with an ACL		Total Loans
June 30, 2025

Real estate:
One to four family residential	$	135,524,630	$	187,551	$	—	$	—	$	—	$	—	$	135,712,181
Home equity		2,139,077		—		—		—		—		—		2,139,077
Equity line of credit		6,978,625		51,325		—		—		—		—		7,029,950
Construction		11,094,371		—		—		—		—		—		11,094,371
Multi-family		1,237,918		—		—		—		—		—		1,237,918
Commercial		2,204,696		—		—		—		—		—		2,204,696
Commercial installment		3,535,810		—		—		—		—		—		3,535,810
Consumer
Marine and recreational		30,495,586		303,817		—		—		18,561		18,561		30,817,964
Other consumer		3,817,268		12,600		—		12,704		42,187		32,183		3,872,055

Totals	$	197,027,981	$	555,293	$	—	$	12,704	$	60,748	$	50,744	$	197,644,022


	Accruing
			Loans Past		Loans		Nonaccrual		Nonaccrual		Nonaccrual
	Current		Due 31-89		Past Due		loans beginning		loans end		end of period
	Loans		Days		90+ Days		of period		of period		with an ACL		Total Loans
December 31, 2024

Real estate:
One to four family residential	$	128,031,279	$	1,741,706	$	304,459	$	—	$	—	$	—	$	130,077,444
Home equity		2,241,326		—		—		—		—		—		2,241,326
Equity line of credit		5,823,673		—		—		—		—		—		5,823,673
Construction		6,754,686		690		—		—		—		—		6,755,376
Multi-family		1,271,343		—		—		—		—		—		1,271,343
Commercial		2,587,784		—		—		—		—		—		2,587,784
Commercial installment		3,513,472		—		—		—		—		—		3,513,472
Consumer
Marine and recreational		31,016,018		134,030		—		25,920		—		—		31,150,048
Other consumer		4,199,007		—		—		—		12,704		—		4,211,711

Totals	$	185,438,588	$	1,876,426	$	304,459	$	25,920	$	12,704	$	—	$	187,632,177

Interest income received on nonaccrual loans is considered to be immaterial to the consolidated financial statements.

The Bank may modify loans to borrowers experiencing financial difficulty by providing modifications to repayment terms. There were no loans subject to such modifications as of June 30, 2025 or December 31, 2024.

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EWSB BANCORP, INC. AND SUBSIDIARY

A summary of loans to directors, executive officers, and their affiliates as of June 30, 2025 and December 31, 2024 is as follows:


	June 30, 2025		December 31, 2024
Balance at beginning of period	$	44,715	$	27,004
New loans		—		28,230
Repayments		(10,618)		(10,519)

Balance at end of period	$	34,097	$	44,715

Note 4: Deposits

The composition of deposits at June 30, 2025 and December 31, 2024 is as follows:


	June 30, 2025		December 31, 2024
Non-interest-bearing demand	$	8,685,841	$	9,461,778
Interest-bearing demand		33,927,623		40,044,250
Savings		26,796,506		28,885,850
Money market		41,077,730		42,827,392
Certificates of deposit		111,658,093		110,300,200

Total deposits	$	222,145,793	$	231,519,470

The aggregate amount of certificates of deposit in denominations of $250,000 or more at June 30, 2025 and December 31, 2024 was approximately $21,660,000 and $18,798,000, respectively.

The scheduled maturities of certificates of deposit as of June 30, 2025 are summarized as follows:



Twelve months ended June 30,		Amount
2026	$	80,350,804
2027		20,036,324
2028		5,153,609
2029		2,911,404
2030		3,205,952

Total	$	111,658,093

Deposits from directors, executive officers, and their affiliates totaled $2,528,418 and $2,514,749 at June 30, 2025 and December 31, 2024, respectively.

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Note 5: Borrowed Funds

Borrowed funds consisted of the following at June 30, 2025 and December 31, 2024:


	June 30, 2025					December 31, 2024
	Average Rate			Amount		Average Rate			Amount
Federal Home Loan Bank:
Fixed rate, short term advances		4.43	%	$	1,768,000		4.44	%	$	4,700,000
Fixed rate, fixed term advances		3.93	%		42,500,000		3.82	%		19,500,000
Total borrowings				$	44,268,000				$	24,200,000

The Company utilizes fixed rate short term advances from the Federal Home Loan Bank (“FHLB”) as a flexible source of liquidity. Terms of these advances range from 1 – 27 days.

The following is a summary of scheduled maturities of non-short term borrowed funds as of June 30, 2025:


	Average Rate			Amount
2025		4.13	%	$	4,500,000
2026		3.99	%		21,000,000
2027		3.91	%		9,000,000
2028		3.68	%		8,000,000

Total				$	42,500,000

Actual maturities may differ from the scheduled principal maturities due to call options on the various advances.

The Company has a master contract agreement with the FHLB that provides for borrowing up to a FHLB determined percent of the book value of the Company’s qualifying one- to four-family residential real estate loans. The loans pledged as security for FHLB borrowings totaled approximately $72,901,000 and $68,175,000 at June 30, 2025 and December 31, 2024, respectively. FHLB advances are also secured by $2,476,219 and $1,879,971 of FHLB stock owned by the Company at June 30, 2025 and December 31, 2024, respectively. At June 30, 2025, the Company has unused borrowing capacity of $27,801,000 based on total collateral pledged as of this date. The Company will be required to purchase additional FHLB activity stock to support borrowings beyond current activity stock holdings.

At June 30, 2025 and December 31, 2024, the Company has short-term borrowing availability through the Federal Reserve Bank’s discount window of up to $25 million. The Company is required to pledge securities and/or loans in order to borrow at the discount window. The Company had no short-term borrowings through the Federal Reserve discount window and did not pledge securities or loans as of June 30, 2025 and December 31, 2024.

At June 30, 2025 and December 31, 2024, the Company had an unsecured $6.0 million federal funds line of credit with a correspondent bank.

Note 6: Equity and Regulatory Matters

The Bank is subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.

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EWSB BANCORP, INC. AND SUBSIDIARY

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum regulatory capital amounts and ratios (set forth in the table on the next page). It is management’s opinion, as of June 30, 2025, that the Bank meets all applicable statutory capital adequacy requirements.

As of June 30, 2025, the Bank is categorized as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum regulatory capital ratios as set forth in the table. There are no conditions or events since that notification that management believes have changed the Bank’s category.

The payment of dividends by the Bank would be restricted if the Bank does not meet the minimum Capital Conservation Buffer as defined by Basel III regulatory capital guidelines and/or if, after payment of the dividend, the Bank would be unable to maintain satisfactory regulatory capital ratios.

The Bank’s actual capital amounts and ratios as of June 30, 2025 and December 31, 2024, are presented in the following tables:


										To Be Well Capitalized
					For Capital Adequacy					Under Prompt Corrective
	Actual				Purposes					Action Provisions
(Dollars in Thousands)	Amount		Ratio		Amount		Ratio			Amount		Ratio
June 30, 2025

Bank
Common Equity Tier 1 capital (to risk-weighted assets)	$	17,802	10.6	%	≥ $	7,552	≥	4.5	%	≥ $	10,908	≥	6.5	%
Tier 1 capital (to risk-weighted assets)		17,802	10.6	%	≥	10,069	≥	6.0	%	≥	13,425	≥	8.0	%
Total capital (to risk-weighted assets)		19,136	11.4	%	≥	13,425	≥	8.0	%	≥	16,781	≥	10.0	%
Tier 1 capital (to average assets)		17,802	6.3	%	≥	11,221	≥	4.0	%	≥	14,027	≥	5.0	%


										To Be Well Capitalized
					For Capital Adequacy					Under Prompt Corrective
	Actual				Purposes					Action Provisions
(Dollars in Thousands)	Amount		Ratio		Amount		Ratio			Amount		Ratio
December 31, 2024

Bank
Common Equity Tier 1 capital (to risk-weighted assets)	$	18,520	11.8	%	≥ $	7,091	≥	4.5	%	≥ $	10,243	≥	6.5	%
Tier 1 capital (to risk-weighted assets)		18,520	11.8	%	≥	9,455	≥	6.0	%	≥	12,606	≥	8.0	%
Total capital (to risk-weighted assets)		19,728	12.5	%	≥	12,606	≥	8.0	%	≥	15,758	≥	10.0	%
Tier 1 capital (to average assets)		18,520	6.9	%	≥	10,709	≥	4.0	%	≥	13,387	≥	5.0	%

In addition to the above minimum regulatory capital measures, the Board of Directors has designated that the Bank will have and maintain its tier one capital as a percentage of average total assets at a minimum of 8.0% and its level of total capital to risk-weighted assets at a minimum of 11.0%. At June 30, 2025, the Bank’s tier one capital as a percentage of average total assets capital ratio of 6.3% was not in compliance with the minimum ratio as designated by the Board of Directors. The Bank’s total capital to risk-weighted assets ratio of 11.4% was in compliance with the minimum ratio designated by the Board of Directors.

In addition to the above minimum regulatory capital measures, the State of Wisconsin requires a state-chartered savings bank to maintain a net worth ratio in an amount not less than 6.0%. At June 30, 2025, the Bank’s net worth ratio of 5.54% was not in compliance with the minimum requirement.

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EWSB BANCORP, INC. AND SUBSIDIARY

Note 7: Fair Value Measurements

Accounting standards describe three levels of inputs that may be used to measure fair value (the fair value hierarchy). The level of an asset or liability within the fair value hierarchy is based on the lowest level of input significant to the fair value measurement of that asset or liability.

Following is a brief description of each level of the fair value hierarchy:

Level 1 - Fair value measurement is based on quoted prices for identical assets or liabilities in active observable markets.

Level 2 - Fair value measurement is based on: (1) quoted prices for similar assets or liabilities in active markets; (2) quoted prices for identical or similar assets or liabilities in markets that are not active; or (3) valuation models and methodologies for which all significant assumptions are or can be corroborated by observable market data.

Level 3 - Fair value measurement is based on valuation models and methodologies that incorporate at least one significant assumption that cannot be corroborated by observable market data. Level 3 measurements reflect the Company’s estimates about assumptions market participants would use if measured at fair value on a recurring basis under GAAP.

Some assets and liabilities, such as securities available for sale, are measured at fair value on a recurring basis under GAAP. Other assets and liabilities, such as individually evaluated loans, may be measured at fair value on a nonrecurring basis. As of June 30, 2025 and December 31, 2024, the Company did not have any significant assets or liabilities that were measured at fair value on a nonrecurring basis.

Following is a description of the valuation methodology and significant inputs used for each asset measured at fair value on a recurring basis, as well as the classification of the asset within the fair value hierarchy.

Securities available for sale- Securities available for sale are classified as Level 2 measurements within the fair value hierarchy. Level 2 securities include U.S. government sponsored agencies, obligations of states and political subdivisions, corporate securities, and mortgaged-backed securities. The fair value measurement of a Level 2 security is based on recent sales of similar securities and other observable market data.

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EWSB BANCORP, INC. AND SUBSIDIARY

Information regarding the fair value of assets and liabilities measured at fair value on a recurring basis as of June 30, 2025 and December 31, 2024, follows:


			Recurring Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
	Assets		Markets for		Other			Significant
	Measured at		Identical		Observable			Unobservable
	Fair Value		Instruments		Inputs			Inputs
	June 30, 2025		(Level 1)		(Level 2)			(Level 3)
Financial assets:
Securities available for sale:
Mortgage-backed securities	$	7,571,826	$	—	$	7,571,826	$	—
State and political subdivisions		11,995,980		—		11,995,980		—
Corporate securities		2,966,765		—		2,966,765		—
Total securities available for sale	$	22,534,571	$	—	$	22,534,571	$	—


			Recurring Fair Value Measurements Using
			Quoted Prices
			in Active		Significant
	Assets		Markets for		Other			Significant
	Measured at		Identical		Observable			Unobservable
	Fair Value		Instruments		Inputs			Inputs
	December 31, 2024		(Level 1)		(Level 2)			(Level 3)
Financial assets:
Securities available for sale:
Mortgage-backed securities	$	7,823,809	$	—	$	7,823,809	$	—
State and political subdivisions		12,138,946		—		12,138,946		—
Corporate securities		2,844,081		—		2,844,081		—
Total securities available for sale	$	22,806,836	$	—	$	22,806,836	$	—

Note 8: Fair Value of Financial Instruments

Financial instruments are classified within the fair value hierarchy using the methodologies described in Note 7 – Fair Value Measurements. The following disclosures include financial instruments that are not carried at fair value on the Consolidated Balance Sheets. The calculation of estimated fair values is based on market conditions at a specific point in time and may not reflect current or future fair values.

Certain financial instruments generally expose the Company to limited credit risk and have no stated maturities or have short-term maturities and carry interest rates that approximate market. The carrying value of these financial instruments assumes to approximate the fair value of these instruments. These instruments include cash and cash equivalents, non-interest-bearing deposit accounts, time deposits with other financial institutions, FHLB stock, escrow deposits, FHLB advances and accrued interest receivable and payable. The fair market values of loans and interest-bearing deposits are calculated using the discounted cash flow (present value) method.

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EWSB BANCORP, INC. AND SUBSIDIARY

The carrying amounts and estimated fair values by fair value hierarchy of certain financial instruments as of June 30, 2025 and December 31, 2024, follows:


	Carrying								Estimated
	Amount								Fair Value
	June 30, 2025		(Level 1)		(Level 2)		(Level 3)		June 30, 2025
Financial assets:
HTM debt securities:
U.S. government sponsored agencies	$	27,972,008	$	—	$	27,964,551	$	—	$	27,964,551
U.S. Treasury securities	$	10,878,975	$	10,890,862	$	—	$	—	$	10,890,862
Loans, net	$	196,272,943	$	—	$	—	$	185,522,000	$	185,522,000
Financial liabilities:
Interest-bearing deposits	$	213,459,952	$	—	$	202,809,000	$	—	$	202,809,000
Fixed rate, fixed term FHLB advances	$	42,500,000	$	—	$	42,639,236	$	—	$	42,639,236


	Carrying								Estimated
	Amount								Fair Value
	December 31, 2024		(Level 1)		(Level 2)		(Level 3)		December 31, 2024
Financial assets:
HTM debt securities:
U.S. government sponsored agencies	$	28,306,633	$	—	$	27,494,019	$	—	$	27,494,019
U.S. Treasury securities	$	10,699,998	$	10,668,607	$	—	$	—	$	10,668,607
Loans, net	$	186,354,436	$	—	$	—	$	177,234,000	$	177,234,000
Financial liabilities:
Interest-bearing deposits	$	222,057,692	$	—	$	200,557,000	$	—	$	200,557,000
Fixed rate, fixed term FHLB advances	$	19,500,000	$	—	$	19,459,137	$	—	$	19,459,137

Note 9: Earnings Per Share (“EPS”)

Basic EPS represents income available to common stockholders divided by weighted-average number of common shares outstanding during the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common shares (such as stock options) were exercised or converted into additional common shares that should then share in the earnings of the Company. Diluted EPS is computed by dividing net income attributed to common stockholders by the weighted-average number of common shares outstanding for the period, plus the effect of potential dilutive common share equivalents.



	Three Months Ended June 30, 2025		Six Months Ended June 30, 2025
Net income (loss) applicable to common shares outstanding	$	(278,660)	$	(847,301)

Average number of common shares outstanding		752,538		752,538
Less: Average unallocated ESOP shares		49,056		49,386
Average number of common shares outstanding used to calculate basic earnings per share		703,482		703,152
Earnings per common share basic and diluted	$	(0.40)	$	(1.21)

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EWSB BANCORP, INC. AND SUBSIDIARY

There were no securities or other contracts that had a dilutive effect during the six months ended June 30, 2025, and therefore the weighted-average common shares outstanding used to calculate both basic and diluted EPS are the same. Shares held by the Employee Stock Ownership Plan (“ESOP”) that have not been allocated to employees in accordance with the terms of the ESOP, referred to as “unallocated ESOP shares”, are not deemed outstanding for EPS calculations. All unallocated ESOP shares have been excluded from the calculation of basic and diluted EPS. Earnings per share for the three and six months ended June 30, 2025, was calculated using 703,482 and 703,152, weighted average shares outstanding, respectively. EPS data is not applicable for the three and six months ended June 30, 2024, as the Company had no shares outstanding.

Note 10: ESOP

Employees of the Bank may participate in the Bank’s Employee Stock Ownership Plan (“ESOP”). The ESOP borrowed funds from the Company to purchase 52,678 shares of stock at $10 per share. The Bank makes discretionary contributions to the ESOP and the ESOP uses funds it receives to repay the loan. When payments are made, ESOP shares are allocated to participants based on relative compensation. The cost of shares issued to the ESOP, but not yet allocated to participants, is shown as a reduction of stockholders’ equity.

Each December, the Bank makes discretionary contributions to the ESOP, which are equal to principal and interest payments required on the term loan. Expense recorded during the six months ended June 30, 2025 is $13,259.

Shares held by the ESOP as of June 30, 2025, were as follows:



	June 30, 2025
Shares committed for allocation		3,951
Unallocated		48,727
Total ESOP shares		52,678

Fair value of unearned shares at June 30, 2025	$	411,743

Note 11: Subsequent Events

On July 1, 2025, we entered into an interest rate swap agreement as a part of our asset liability management strategy to help manage our interest rate risk position. The interest rate swap in a notional amount of $25.0 million is designated as a fair value last of layer hedge for certain fixed rate prepayable loans.

On July 16, 2025, we sold the property that formerly served as a branch office in Grand Chute, Wisconsin. This branch location was closed, and the property was transferred to land held for sale in 2024. The selling price of the property was $405,000 and an estimated loss on sale of $22,000 will be recorded on the effective date of sale.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

General

Management’s discussion and analysis is intended to enhance your understanding of our financial condition and results of operations. The financial information in this section is derived from the accompanying financial statements. You should read the financial information in this section in conjunction with the business and financial information contained in this Quarterly Report on Form 10-Q and in EWSB Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2024.

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q contains forward-looking statements, which can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “assume,” “plan,” “seek,” “expect,” “will,” “may,” “should,” “could,” “indicate,” “would,” “believe,” “contemplate,” “continue,” “intend,” “target” and words of similar meaning. These forward-looking statements include, but are not limited to:

●

statements of our goals, intentions and expectations;

●

statements regarding our business plans, prospects, growth and operating strategies;

●

statements regarding the quality of our loan portfolio; and

●

estimates of our risks and future costs and benefits.

These forward-looking statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. We are under no duty to and do not undertake any obligation to update any forward-looking statements after the date of this prospectus.

The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements:

●

our ability to manage our vulnerability to interest rates;

●

general economic conditions, either nationally or in our market areas, that are worse than expected including as a result of employment levels and labor shortages, and the effects of inflation, a potential recession or slowed economic growth caused by supply chain disruptions, tariffs or otherwise;

●

inflation and changes in the interest rate environment that reduce our margins and yields, our mortgage banking revenues, the fair value of financial instruments, including our mortgage servicing rights asset, or our level of loan originations, or increase the level of defaults, losses and prepayments on loans we have made and make;

●

changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for credit losses;

●

our ability to comply with the confidential memorandum of understanding (“MOU”) with the Wisconsin Department of Financial Institutions (the “Department”) and the Federal Deposit Insurance Corporation (the “FDIC”);

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●

changes in liquidity, including the size and composition of our deposit portfolio, including the percentage of uninsured deposits in the portfolio;

●

our ability to access cost-effective funding;

●

fluctuations in real estate values and residential real estate market conditions;

●

demand for loans and deposits in our market area;

●

our ability to execute on our business strategies, including increasing our loan originations;

●

competition among depository and other financial institutions;

●

changes in the securities or secondary mortgage markets;

●

changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees, capital requirements and insurance premiums;

●

changes in the quality or composition of our loan or investment portfolios;

●

technological changes that may be more difficult or expensive than expected;

●

the inability of third-party providers to perform as expected;

●

a failure or breach of our operational or security systems or infrastructure, including cyberattacks;

●

our ability to manage market risk, credit risk and operational risk;

●

changes in consumer spending, borrowing and savings habits;

●

changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the Securities and Exchange Commission or the Public Company Accounting Oversight Board;

●

our ability to attract and retain key employees; and

●

changes in the financial condition, results of operations or future prospects of issuers of securities that we own.

Because of these and other uncertainties, our actual future results may be materially different from the results indicated by these forward-looking statements. Except as required by law or regulation, we do not undertake, and we specifically disclaim any obligation, to release publicly the results of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.

Critical Accounting Policies and Use of Critical Accounting Estimates

Our accounting policies are integral to understanding the results reported. We consider accounting policies that require management to exercise significant judgment or discretion or to make significant assumptions that have, or could have, a material impact on the carrying value of certain assets or on income to be critical accounting policies. As of June 30, 2025, there have been no material changes to our critical accounting policies as compared to the critical accounting policies disclosed under “Management’s Discussion and Analysis of Financial Condition and Results of Operations-

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Critical Accounting Policies” in EWSB Bancorp, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2024.

Comparison of Financial Condition at June 30, 2025 and December 31, 2024

Total Assets. Total assets increased $11.7 million, or 4.3%, to $285.0 million at June 30, 2025 from $273.3 million at December 31, 2024. The change was primarily the result of a $9.9 million increase in portfolio loans, a $1.5 million increase in cash and cash equivalents, and a $596,000 increase in Federal Home Loan Bank stock offset by a $430,000 decrease in total investment securities.

Cash and Cash Equivalents and Time Deposits with Other Financial Institutions. Total cash and due from banks and time deposits with other financial institutions increased $1.5 million, or 27.2% to $7.2 million at June 30, 2025 from $5.7 million at December 31, 2024. The change was related to the maturities and principal paydowns of $1.8 million in investment securities and general business activity.

Securities Available-for-Sale. Securities available-for-sale declined $272,000, or 1.2%, to $22.5 million at June 30, 2025 from $22.8 million at December 31, 2024. The decrease was primarily due to $1.1 million in maturities in investment securities and principal paydowns on mortgage-backed securities offset by a $798,000 increase in the market value of the portfolio due to a decrease in market interest rates during the six months ended June 30, 2025. The proceeds from maturities and principal paydowns are utilized to manage liquidity and support loan growth.

Securities Held-to-Maturity. Securities held-to-maturity decreased $156,000, or 0.7%, to $38.9 million at June 30, 2025 from $39.0 million at December 31, 2024. The decrease in securities held-to-maturity was due to $750,000 of investment securities maturities offset by $542,000 in amortization of unrealized losses and discounts.

Loans, net. Loans, net increased $9.9 million, or 5.3%, to $196.2 million at June 30, 2025 from $186.4 million at December 31, 2024. One- to four-family, construction, home equity loans and lines of credit, and commercial increased $5.6 million, $4.3 million, $1.1 million, and $22,000, respectively, to $135.7 million, $11.1 million, $9.2 million, and $3.5 million at June 30, 2025, respectively, as a result of loan production exceeding payoffs and amortization. These increases were partially offset by decreases to commercial real estate, other consumer loans, marine and recreational, and multi-family loans of $383,000, $340,000, $332,000 and $33,000, to $2.2 million, $3.9 million, $30.8 million, and $1.2 million at June 30, 2025, respectively.

Deposits. Total deposits decreased $9.4 million or 4.0% to $222.1 million at June 30, 2025, from $231.5 million at December 31, 2024. Non-interest bearing deposits decreased $776,000, or 8.2%, to $8.7 million at June 30, 2025, from $9.5 million at December 31, 2024. Total interest-bearing deposits, other than time deposits, decreased approximately $9.9 million, or 8.9%, to $101.8 million at June 30, 2025, from $111.8 million at December 31, 2024. Certificates of deposits increased $1.4 million, or 1.2%, to $111.6 million at June 30, 2025, from $110.3 million at December 31, 2024. The most significant portion of the $9.9 million decline in interest-bearing deposits related to a $9.4 million reduction in brokered non-maturity deposits. We did not hold brokered deposits at June 30, 2025 compared to $9.4 million at December 31, 2024. Other deposit mix changes were consistent with industry trends as consumers continue to transition to higher yielding term deposits due to the interest rate environment.

Borrowings. We had $44.3 million of borrowings at June 30, 2025 as compared to $24.2 million at December 31, 2024. The increase of $20.1 million in FHLB borrowings were used to offset the brokered deposit decline and to fund portfolio loan growth during the six months ended June 30, 2025.

Stockholders’ Equity. Total stockholders’ equity increased $200,000 to $15.8 million at June 30, 2025 from $15.6 million at December 31, 2024. Accumulated other comprehensive loss decreased $984,000 due to an increase in the market value of the investment portfolio related to a decline in market interest rates which was offset by a decrease in retained earnings of $847,000 which resulted from the net loss incurred for the six months ended June 30, 2025.

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Average Balances and Yields. The following tables set forth average balance sheets, average yields and costs, and certain other information at the dates and for the periods indicated. No tax-equivalent yield adjustments have been made, as the effects would be immaterial. Average yields include the effect of net deferred fee income, discounts and premiums that are amortized or accreted to interest income or interest expense. Average balances are calculated using daily average balances. Non-accrual loans are included in the computation of average balances only. Average loan balances exclude any loans held for sale.


	For the Three Months Ended June 30,
	2025							2024
	Average							Average
	Outstanding					Average		Outstanding					Average
	Balance			Interest		Yield/Rate		Balance			Interest		Yield/Rate

	(Dollars in thousands)
Interest-earning assets:
Loans (1)	$	193,334		$	2,446	5.07	%	$	178,955		$	2,085	4.69	%
Securities available for sale		22,429			123	2.20	%		23,077			137	2.39	%
Securities held to maturity		39,398			135	1.37	%		39,977			137	1.38	%
Cash, cash equivalents and other interest-earning assets		8,480			56	2.65	%		7,958			43	2.17	%
Total interest-earning assets	$	263,641		$	2,760	4.20	%	$	249,967		$	2,402	3.86	%
Noninterest-earning assets	$	16,691						$	16,284
Total assets	$	280,332						$	266,251

Interest-bearing liabilities:
Interest-bearing demand deposits	$	34,999		$	52	0.60	%	$	31,147		$	8	0.10	%
Savings deposits		30,985			4	0.05	%		33,076			4	0.05	%
Money market		41,202			70	0.68	%		46,124			80	0.70	%
Certificates of deposit		112,324			1,141	4.07	%		109,273			1,185	4.36	%
Total interest-bearing deposits	$	219,510		$	1,267	2.34	%	$	219,620		$	1,277	2.34	%
Borrowed funds		36,510			365	4.01	%		26,904			309	4.62	%
Total interest-bearing liabilities	$	256,020		$	1,632	2.56	%	$	246,524		$	1,586	2.59	%
Noninterest-bearing demand deposits		8,809							9,252
Other noninterest-bearing liabilities		1,098							360
Total liabilities		265,927							256,136
Total equity		14,405							10,115
Total liabilities and equity	$	280,332						$	266,251
Net interest income				$	1,128						$	816
Net interest rate spread (2)						1.64	%						1.27	%
Net interest-earning assets (3)	$	7,621						$	3,443
Net interest margin (4)						1.72	%						1.31	%
Average interest-earning assets to interest-bearing liabilities		103.0	%						101.4	%

(1)	Net deferred fee income included in interest earned on loans totaled $95,000 for the three months ended June 30, 2025 and $58,000 for the three months ended June 30, 2024.

(2)	Net interest rate spread represents the difference between the weighted average earned yield on interest-earning assets and the weighted average rate paid on interest-bearing liabilities.

(3)	Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(4)	Net interest margin represents net interest income divided by average total interest-earning assets.

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	For the Six Months Ended June 30,
	2025							2024
	Average							Average
	Outstanding					Average		Outstanding					Average
	Balance			Interest		Yield/Rate		Balance			Interest		Yield/Rate

	(Dollars in thousands)
Interest-earning assets:
Loans (1)	$	190,269		$	4,733	5.02	%	$	177,052		$	4,067	4.62	%
Securities available for sale		22,669			253	2.25	%		23,416			277	2.38	%
Securities held to maturity		39,253			270	1.39	%		40,067			274	1.38	%
Cash, cash equivalents and other interest-earning assets		8,158			108	2.67	%		7,874			85	2.17	%
Total interest-earning assets	$	260,349		$	5,364	4.15	%	$	248,409		$	4,703	3.81	%
Noninterest-earning assets	$	17,253						$	16,068
Total assets	$	277,602						$	264,477

Interest-bearing liabilities:
Interest-bearing demand deposits	$	39,206		$	120	0.62	%	$	30,496		$	16	0.11	%
Savings deposits		26,971			8	0.06	%		32,715			9	0.06	%
Money market		43,997			177	0.81	%		48,153			167	0.70	%
Certificates of deposit		112,093			2,341	4.21	%		108,259			2,300	4.27	%
Total interest-bearing deposits	$	222,267		$	2,646	2.40	%	$	219,623		$	2,492	2.29	%
Borrowed funds		30,688			628	4.13	%		25,128			572	4.58	%
Total interest-bearing liabilities	$	252,955		$	3,274	2.61	%	$	244,751		$	3,064	2.52	%
Noninterest-bearing demand deposits		8,635							8,938
Other noninterest-bearing liabilities		1,921							854
Total liabilities		263,511							254,543
Total equity		14,091							9,934
Total liabilities and equity	$	277,602						$	264,477
Net interest income				$	2,090						$	1,639
Net interest rate spread (2)						1.54	%						1.29	%
Net interest-earning assets (3)	$	7,394						$	3,658
Net interest margin (4)						1.62	%						1.33	%
Average interest-earning assets to interest-bearing liabilities		102.9	%						101.5	%

(1)	Net deferred fee income included in interest earned on loans totaled $176,000 for the six months ended June 30, 2025 and $102,000 for the six months ended June 30, 2024.

(2)	Net interest rate spread represents the difference between the weighted average earned yield on interest-earning assets and the weighted average rate paid on interest-bearing liabilities.

(3)	Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(4)	Net interest margin represents net interest income divided by average total interest-earning assets.

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Rate/Volume Analysis. The following table presents the effects of changing rates and volumes on our net interest income for the periods indicated. The rate column shows the effects attributable to changes in rate (changes in rate multiplied by prior volume). The volume column shows the effects attributable to changes in volume (changes in volume multiplied by prior rate). The total column represents the sum of the prior columns. For purposes of this table, changes attributable to both rate and volume, which cannot be segregated, have been allocated proportionately based on the changes due to rate and the changes due to volume. There were no out-of-period items or adjustments required to be excluded from the table below.


	Three Months Ended June 30,						Six Months Ended June 30,
	2025 vs. 2024						2025 vs. 2024
					Total						Total
	Increase (Decrease) Due to				Increase		Increase (Decrease) Due to				Increase
	Volume		Rate		(Decrease)		Volume		Rate		(Decrease)

	(In thousands)
Interest-earning assets:
Loans	$	168	$	193	$	361	$	329	$	337	$	666
Securities available-for-sale		(4)		(10)		(14)		(8)		(16)		(24)
Securities held-to-maturity		(2)		(0)		(2)		(6)		2		(4)
Cash, cash equivalents and other interest-earning assets		3		10		13		4		19		23
Total interest-earning assets		165		193		358		319		342		661

Interest-bearing liabilities:
Interest-bearing demand deposits		1		43		44		27		77		104
Savings deposits		(0)		0		(0)		(1)		—		(1)
Money market		(9)		(1)		(10)		(17)		28		11
Certificates of deposit		33		(77)		(44)		80		(39)		41
Total interest-bearing deposits		25		(35)		(10)		89		66		155
Borrowed funds		111		(55)		56		113		(58)		55
Total interest-bearing liabilities		136		(90)		46		202		8		210
Change in net interest income	$	29	$	283	$	312	$	117	$	334	$	451

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Comparison of Operating Results for the Three Months Ended June 30, 2025 and 2024

Net Income/(Loss). We recorded a net loss of $279,000 for the three months ended June 30, 2025, compared to a net loss of $463,000 for the three months ended June 30, 2024, a change of $184,000 year-over-year. The decrease in our net loss year-over-year resulted primarily from a $312,000 increase in net interest income and a decrease of $105,000 in the provision for credit losses offset by a $66,000 decrease in noninterest income, a $114,000 increase in noninterest expense, and a $53,000 decrease in the income tax benefit.

Interest Income. Interest income increased $358,000, or 14.9%, to $2.8 million for the three months ended June 30, 2025, from $2.4 million for the three months ended June 30, 2024, due to a $361,000 increase in interest and fees on loans. The increase in interest and fees on loans was primarily due to an increase of 38 basis points in the weighted average yield on the loan portfolio to 5.07% for the three months ended June 30, 2025, from 4.69% for the same period in 2024. Interest income on securities and other investments decreased $3,000 to $314,000 for the three months ended June 30, 2025 primarily due to a $705,000 decrease in average balance of investment securities year-over-year. The average balance decrease was primarily related to security maturities.

Interest Expense. Total interest expense increased $46,000, or 2.8%, remaining consistent at $1.6 million for the three months ended June 30, 2025 and 2024. Interest expense on deposits declined $10,000, remaining consistent at $1.3 million for the three months ended June 30, 2025 and 2024. This decrease was due to a $100,000 decline in average total deposit balances for the three months ended June 30, 2025 compared to the same period in 2024. The weighted average rate paid on deposits remained consistent at 2.34% for the three months ended June 30, 2025 and 2024.

Interest expense on borrowed funds increased $56,000 for the three months ended June 30, 2025 to $365,000 compared to $309,000 for the three months ended June 30, 2024. The weighted average rate paid on borrowed funds declined 61 basis points to 4.01% for the three months ended June 30, 2025, from 4.62% for the three months ended June 30, 2024 while the average balance of borrowed funds increased $9.6 million, or 35.7%, to $36.5 million for the three months ended June 30, 2025 from $26.9 million for the three months ended June 30, 2024. The increase in the average balance was generally related to a decline in brokered deposit balances and the measured use of borrowings to support the increase in the loan portfolio.

Net Interest Income. Net interest income increased $312,000, or 38.2%, to $1.1 million for the three months ended June 30, 2025 from $816,000 for the three months ended June 30, 2024, primarily due to an increase in the interest rate spread to 1.64% for the three months ended June 30, 2025 from 1.27% for the three months ended June 30, 2024 and an increase in the net interest margin to 1.72% for the three months ended June 30, 2025, from 1.31% for the three months ended June 30, 2024. The increases in the interest rate spread and the net interest margin were primarily due to an increase in the weighted average yield on loans and a $13.9 million increase in average loan balances to $193.3 for the three months ended June 30, 2025 compared to $179.0 million for the three months ended June 30, 2024.

Provision for Credit Losses. Based on management’s analysis of the adequacy of the ACL on loans and unfunded loan commitments, a provision of $6,000 was made to the ACL on loans and $9,000 to the ACL for unfunded loan commitments for the three months ended June 30, 2025. A provision of $120,490 was made to the ACL on loans for the three months ended June 30, 2024. No provision was made to the ACL for unfunded loan commitments for the three months ended June 30, 2024. The adequacy of the ACL and provision expense is based on an analysis of current credit characteristics in conjunction with loss history of the loan portfolio and peer group loss data.

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Noninterest Income. Noninterest income declined $66,000, or 15.6%, to $360,000 for the three months ended June 30, 2025 from $426,000 for the three months ended June 30, 2024. The change resulted primarily from a non-recurring $87,000 gain on an interest rate swap recognized in 2024 with no such gain recognized in the 2025 period, a $10,000 decline in service charges on deposit accounts, and a $7,000 decline in mortgage banking servicing revenue. These declines in non-interest income were offset by an increase of $19,000 in gains on sale of mortgage loans, $4,000 in bank owned life insurance income and a $16,000 increase in other noninterest income primarily related to an increase in title service revenue. The table below sets forth our noninterest income for the three months ended June 30, 2025 and 2024:


	Three Months Ended
	June 30,				Change
	2025		2024		Amount		Percent
Service charges on deposit accounts	$	19,929	$	29,972	$	(10,043)	(33.5)	%
Interchange income		60,169		62,205		(2,036)	(3.3)	%
Mortgage banking income		57,343		64,127		(6,784)	(10.6)	%
Gain on sale of mortgage loans		69,609		50,459		19,150	38.0
Increase in cash value of life insurance		63,501		59,493		4,008	6.7	%
Gain on interest rate swap		—		87,155		(87,155)	(100.0)	%
Other		89,395		72,921		16,474	22.6	%
Total noninterest income	$	359,946	$	426,332	$	(66,386)	(15.6)	%

Noninterest Expense. Noninterest expense increased $114,000, or 6.4%, to $1.9 million for the three months ended June 30, 2025 from $1.8 million for the three months ended June 30, 2024. Salary and benefit expenses increased $67,000 due to additional salary expense and benefits including expenses related to the ESOP, data processing expense increased $55,000 related to core system enhancements and activity increases, and other noninterest expense increased $9,000 primarily related to an increase in professional fees. These increases were offset by decreases of $11,000 in advertising and $8,000 in net occupancy expenses. The table below sets forth our noninterest expense for the three months ended June 30, 2025 and 2024:


	Three Months Ended
	June 30,				Change
	2025		2024		Amount		Percent
Salaries and related benefits	$	1,083,914	$	1,016,941	$	66,973	6.6	%
Occupancy expense, net		152,910		160,550		(7,640)	(4.8)	%
Data processing		348,129		293,253		54,876	18.7	%
Advertising		32,066		42,664		(10,598)	(24.8)	%
FDIC insurance premiums		73,910		72,476		1,434	2.0	%
Other		206,462		197,954		8,508	4.3	%
Total noninterest expense	$	1,897,391	$	1,783,838	$	113,553	6.4	%

Income Tax Expense. Our benefit for income taxes decreased $53,000 to a benefit of $146,000 for the three months ended June 30, 2025, from a benefit of $199,000 for the three months ended June 30, 2024 due to a decrease in loss before income taxes.

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During 2025, management continues to assess the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit use of the existing deferred tax assets. A significant piece of objective negative evidence evaluated is the cumulative taxable loss incurred over the three-year period ended June 30, 2025. Such objective evidence limits the ability to fully consider other subjective evidence, such as our projections for future growth and taxable income and requires management to also consider available tax planning strategies. The Company does not have a valuation allowance as of December 31, 2024, and no valuation allowance was considered necessary as of June 30, 2025. The amount of the deferred tax asset considered realizable, however, could be adjusted, and a valuation allowance recorded, if estimates of future taxable income during the carryforward period are reduced or if further objective negative evidence in the form of cumulative loss is present and additional weight cannot be given to subjective evidence such as our projections for growth.

Comparison of Operating Results for the Six Months Ended June 30, 2025 and 2024

Net Income/(Loss). We recorded a net loss of $847,000 for the six months ended June 30, 2025, compared to a net loss of $840,000 for the six months ended June 30, 2024, a change of $7,000 year-over-year. The consistent year-over-year performance resulted primarily from a $450,000 increase in net interest income due to an overall increase in average earning asset balances and related yield on such assets and an increase of $12,000 in the benefit for income taxes offset by a $215,000 decline in noninterest income, a $249,000 increase in noninterest expense, a $5,000 increase in the provision for credit losses.

Interest Income. Interest income increased $660,000 or 14.0%, to $5.4 million for the six months ended June 30, 2025, from $4.7 million for the six months ended June 30, 2024, due to a $666,000 increase in interest and fees on loans. The increase in interest and fees on loans was primarily due to an increase of 40 basis points in the weighted average yield on the loan portfolio to 5.02% for the six months ended June 30, 2025 from 4.62% for the same period in 2024 in conjunction with a $13.2 million increase in average loan balances year over year. Interest income on securities and other investments declined $5,000 to $631,000 for the six months ended June 30, 2025 primarily due to $1.8 million of maturities and paydowns of investment securities during the six months ended June 30, 2025

Interest Expense. Total interest expense increased $210,000, or 6.9%, to $3.3 million for the six months ended June 30, 2025, from $3.1 million for the six months ended June 30, 2024. Interest expense on deposits increased $154,000 or 6.2%, to $2.6 million for the six months ended June 30, 2025 from $2.5 million for the six months ended June 30, 2024, due primarily to an increase in the weighted average rate paid on interest-bearing demand deposits of 51 basis points to 0.62% for the six months ended June 30, 2025 from 0.11% for the six months ended June 30, 2024 combined with an increase in the average balance of such deposits of $8.7 million related to brokered deposits utilized during the period year-over-year and a $3.8 million increase in the average balance of certificates of deposit year-over-year.

Interest expense on borrowed funds increased $56,000, or 9.8%, to $628,000 for the six months ended June 30, 2025, from $572,000 for the six months ended June 30, 2024. The rate paid on borrowed funds decreased 45 basis points to 4.13% for the six months ended June 30, 2025, from 4.58% for the six months ended June 30, 2024 while the average balance of borrowed funds increased $5.6 million, or 22.1%, to $30.7 million for the six months ended June 30, 2025 from $25.1 million for the six months ended June 30, 2024. The increase in the average balance was generally related to the measured use of borrowings to offset brokered deposit outflows and to support the increase in the loan portfolio.

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Net Interest Income. Net interest income increased $451,000 or 27.5%, to $2.1 million for the six months ended June 30, 2025 from $1.6 million for the six months ended June 30, 2024, primarily due to an increase in the interest rate spread to 1.54% for the six months ended June 30, 2025 from 1.29% for the six months ended June 30, 2024 and an increase in the net interest margin to 1.62% for the six months ended June 30, 2025, from 1.33% for the six months ended June 30, 2024. The increases in the interest rate spread and the net interest margin were primarily due to an improvement in yield on total interest-earnings assets of 34 basis points resulting from an increase of loan yield of 40 basis points to 5.02% for the six months ended June 30, 2025 compared to 4.62% for the six months ended June 30, 2024.

Provision for Credit Losses. Based on management’s analysis of the adequacy of the ACL on loans and unfunded loan commitments, a net provision of $126,000 comprising of a provision of $70,000 to the ACL on loans and a provision of $56,000 to the ACL for unfunded loan commitments was recorded for the six months ended June 30, 2025, compared to a provision of $120,000 to the ACL on loans for the same period in 2024. No provision to the ACL for unfunded loan commitments was made for the six months ended June 30, 2024.

Noninterest Income. Noninterest income decreased $215,000, or 20.7%, to $680,000 for the six months ended June 30, 2025 from $895,000 for the six months ended June 30, 2024. The decrease resulted primarily from a $173,000 decline in the gain on interest rate swap, a $40,000 decrease in other noninterest income related primarily to fee income on off balance sheet deposit service, $19,000 decrease in mortgage banking serving related income, and a $13,000 decline in deposit account service charges. These decreases were partially offset on a comparative basis related to a $14,000 increase in the gain on sales of mortgage loans, a $12,000 increase in bank owned life insurance income, and a $4,000 increase in interchange income. The table below sets forth our noninterest income for the six months ended June 30, 2025 and 2024:


	Six Months Ended
	June 30,				Change
	2025		2024		Amount		Percent
Service charges on deposit accounts	$	34,511	$	40,352	$	(5,841)	(14.5)	%
Interchange income		116,523		119,344		(2,821)	(2.4)	%
Mortgage banking income		108,949		127,972		(19,023)	(14.9)	%
Gain on sale of mortgage loans		115,170		101,180		13,990	13.8	%
Increase in cash value of life insurance		125,726		113,694		12,032	10.6	%
Gain on interest rate swap		—		173,445		(173,445)	100.0	%
Other		179,409		219,104		(39,695)	(18.1)	%
Total noninterest income	$	680,288	$	895,091	$	(214,803)	(24.0)	%

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Noninterest Expense. Noninterest expense increased $249,000, or 6.9%, to $3.9 million for the six months ended June 30, 2025 from $3.6 million for the six months ended June 30, 2024. Salary and benefit expenses increased $142,000 due to additional salary expense and benefits including expenses related to the ESOP, data processing and information technology expense increased $58,000 due to the implementation of additional network and core processing services, and other noninterest expense increased $107,000 due in large part to additional professional, accounting and audit-related services. The increase in noninterest expense when comparing the two periods was partially offset by a $13,000 decrease in net occupancy expense for the six months ended June 30, 2025, which resulted primarily from the closing of a branch office in the first quarter of 2025, a decrease of $24,000 due to reductions in general advertising and promotion activity, and a $21,000 decrease in FDIC insurance premiums. The table below sets forth our noninterest expense for the six months ended June 30, 2025 and 2024:


	Six Months Ended
	June 30,				Change
	2025		2024		Amount		Percent
Salaries and related benefits	$	2,190,483	$	2,048,383	$	142,100	6.9	%
Occupancy expense, net		320,884		333,659		(12,775)	(3.8)	%
Data processing		622,467		564,663		57,804	10.2	%
Advertising		60,048		84,353		(24,305)	(28.8)	%
FDIC insurance premiums		130,536		151,483		(20,947)	(13.8)	%
Other		541,498		434,091		107,407	24.7	%
Total noninterest expense	$	3,865,916	$	3,616,632	$	249,284	6.9	%

Income Tax Expense. Our benefit for income taxes increased $12,000 to a benefit of $374,000 for the six months ended June 30, 2025, from a benefit of $362,000 for the six months ended June 30, 2024 due to an increase in loss before provision (benefit from) income taxes.

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Management of Market Risk

General. Our most significant form of market risk is interest rate risk because, as a financial institution, the majority of our assets and liabilities are sensitive to changes in interest rates. Therefore, a principal part of our operations is to manage interest rate risk and limit the exposure of our financial condition and results of operations to changes in market interest rates. Our Asset Liability Committee is responsible for evaluating the interest rate risk inherent in our assets and liabilities, for determining the level of risk that is appropriate, given our business strategy, operating environment, capital, liquidity and performance objectives, and for managing this risk consistent with the policy and guidelines approved by our board of directors. The Asset Liability Committee, which is a management-level committee, meets at least quarterly, or more frequently when necessary, is comprised of our President/Chief Executive Officer, Vice President of Lending and Vice President of Member Relations, and reports to the full board of directors on at least a quarterly basis. The Asset Liability Committee is responsible for recommending to the board of directors policies and procedures regarding asset/liability management, while it is the responsibility of the board of directors to determine whether to adopt such policies and procedures. We currently utilize a third-party modeling program, prepared on a quarterly basis, to evaluate our sensitivity to changing interest rates, given our business strategy, operating environment, capital, liquidity and performance objectives, and for managing this risk consistent with the guidelines approved by the board of directors.

Management of interest rate risk is one of the Bank’s highest priorities. In 2023, the Bank adopted a new asset/liability management policy and revamped its interest rate risk management processes and procedures to reduce interest rate risk exposure. Since then, the Bank has refined the input assumptions and various other input and output metrics, such as deposit decay rates, to enhance modeling accuracy. The Bank has also instituted education and training processes to provide management with information regarding emerging market forces and asset/liability-related management issues, practices and governance. Through these and other enhancements, we have significantly improved our ability to manage our interest rate risk and minimize the exposure of our earnings and capital to changes in interest rates. Pursuant to our new asset/liability management policy, we are seeking to implement the following strategies to further improve the management of our interest rate risk:

●

maintaining capital levels that exceed the thresholds for well-capitalized status under federal regulations;

●

maintaining a prudent level of liquidity, including through maintaining a portfolio of cash, short-term investments or investments with amortizing features;

●

originating shorter term or adjustable-rate loans for portfolio, which have become somewhat more attractive to many borrowers in the current rate environment, and selling the majority of our longer term, fixed-rate residential loans;

●

attempting to increase the balances of core deposits, which are less sensitive to interest rate fluctuations;

●

managing our utilization of wholesale funding with borrowings from the FHLB in a prudent manner;

●

managing the terms of our certificates of deposit; and

●

emphasizing asset quality to maximize the level of interest-earning assets.

Shortening the average term of our interest-earning assets by increasing our investments in shorter term assets, as well as originating loans with variable interest rates, helps to match the maturities and interest rates of our assets and liabilities better, thereby reducing the exposure of our net interest income to changes in market interest rates.

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Net Interest Income. We analyze our sensitivity to changes in interest rates through a net interest income model. Net interest income is the difference between the interest income we earn on our interest-earning assets, such as loans and securities, and the interest we pay on our interest-bearing liabilities, such as deposits and borrowings. We estimate what our net interest income would be for a 12-month period. We then calculate what the net interest income would be for the same period under the assumptions that the U.S. Treasury yield curve increases or decreases instantaneously by various basis point increments, with changes in interest rates representing immediate and permanent, parallel shifts in the yield curve. A basis point equals one-hundredth of one percent, and 100 basis points equals one percent. An increase in interest rates from 3% to 4% would mean, for example, a 100-basis point increase in the “Change in Interest Rates” column below.

The following table sets forth, as of June 30, 2025, the calculation of the estimated changes in our net interest income that would result from the designated immediate changes in the U.S. Treasury yield curve.


At June 30, 2025
Change in Interest Rates	Net Interest Income Year 1		Year 1 Change from
(basis points) ⁽¹⁾	Forecast		Level
(Dollars in thousands)
300	$	3,910	(12.94)	%
200		4,098	(8.75)	%
100		4,299	(4.28)	%
Level		4,491	—	%
(100)		4,733	5.39	%
(200)		4,989	11.09	%
(300)		5,234	16.54	%

(1)	Assumes an immediate uniform change in interest rates at all maturities.

The table above indicates that at June 30, 2025, we would have experienced a 8.75% decrease in net interest income in the event of an instantaneous parallel 200 basis point increase in market interest rates and a 11.09% increase in net interest income in the event of an instantaneous parallel 200 basis point decrease in market interest rates.

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Economic Value of Equity. We also compute amounts by which the net present value of our assets and liabilities (economic value of equity or “EVE”) would change in the event of a range of assumed changes in market interest rates. This model uses a discounted cash flow analysis and an option-based pricing approach to measure the interest rate sensitivity of net portfolio value. The model estimates the economic value of each type of asset, liability and off-balance sheet contract under the assumptions that the U.S. Treasury yield curve increases instantaneously by 100, 200 and 300 basis point increments or decreases instantaneously by 100, 200 and 300 basis point increments, with changes in interest rates representing immediate and permanent, parallel shifts in the yield curve.

The following table sets forth, as of June 30, 2025, the calculation of the estimated changes in our EVE that would result from the designated immediate changes in the U.S. Treasury yield curve.


At June 30, 2025
			Estimated Increase
Change in Interest Rates	Estimated		(Decrease) in EVE
(basis points) ⁽¹⁾	EVE ⁽²⁾		Amount		Percent
(Dollars in thousands)
300	$	9,498	$	(8,962)	(48.55)	%
200		12,198		(6,262)	(33.92)	%
100		15,230		(3,230)	(17.50)	%
Level		18,460		n/a	—	%
(100)		21,915		3,455	18.72	%
(200)		25,491		7,031	38.09	%
(300)		28,923		10,463	56.68	%

(1)	Assumes an immediate uniform change in interest rates at all maturities.

(2)	EVE is the discounted present value of expected cash flows from assets, liabilities and off-balance sheet contracts.

(3)	Present value of assets represents the discounted present value of incoming cash flows on interest-earning assets.

(4)	EVE ratio represents EVE divided by the present value of assets.

The table above indicates that at June 30, 2025, we would have experienced a 33.92% decrease in EVE in the event of an instantaneous parallel 200 basis point increase in market interest rates and a 38.09% increase in EVE in the event of an instantaneous parallel 200 basis point decrease in market interest rates. The change in EVE that we would experience in the event of an instantaneous parallel 200 basis point increase and decrease in market interest rates is outside of the limits set forth in the Bank’s asset/liability management policy. While the Bank has developed policies and procedures that it believes will help reduce its interest rate exposure, any targeted improvement is expected to be realized gradually given the constraints imposed by the Bank’s current balance sheet composition and capital structure as well as regulatory requirements.

Certain shortcomings are inherent in the methodologies used in the above interest rate risk measurements. Modeling changes require making certain assumptions that may or may not reflect the manner in which actual yields and costs respond to changes in market interest rates. The net interest income and net economic value tables presented assume that the composition of our interest-sensitive assets and liabilities existing at the beginning of a period remains constant over the period being measured and assumes that a particular change in interest rates is reflected uniformly across the yield curve regardless of the duration or repricing of specific assets and liabilities. Accordingly, although the tables provide an indication of our interest rate risk exposure at a particular point in time, such measurements are not intended to and do not provide a precise forecast of the effect of changes in market interest rates, and actual results may differ.

Interest rate risk calculations also may not reflect the fair values of financial instruments. For example, decreases in market interest rates can increase the fair values of our loans, mortgage servicing rights, deposits and borrowings.

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Liquidity and Capital Resources

Liquidity describes our ability to meet the financial obligations that arise in the ordinary course of business. Liquidity is primarily needed to meet the borrowing and deposit withdrawal requirements of our customers and to fund current and planned expenditures. In 2023, the Bank developed and implemented an improved process to project the sources and uses of funds over short- and long-term horizons, and, in concert with our asset/liability management policy, implemented guidelines to better identify potential funding gaps. Further, we have established an early warning system for measuring and monitoring liquidity, including through the establishment of early warning indicators.

Our primary sources of funds are deposits, principal and interest payments on loans and securities, and proceeds from maturities of securities. We are also able to borrow from the FHLB. At June 30, 2025, we had outstanding advances of $44.3 million from the FHLB. At June 30, 2025, we had unused borrowing capacity of $27.8 million from the FHLB. At June 30, 2025, we also had a $25.0 million available line of credit with the Discount Window at the Federal Reserve Bank of Chicago. In addition, at June 30, 2025 we had a $6.0 million line of credit with a correspondent bank. We have not drawn against the Discount Window or the line of credit.

While maturities and scheduled amortization of loans and securities are predictable sources of funds, deposit flows and loan prepayments are greatly influenced by general interest rates, economic conditions, and competition. Our most liquid assets are cash and short-term investments. The levels of these assets are dependent on our operating, financing, lending, and investing activities during any given period.

Our cash flows are comprised of three primary classifications: cash flows from operating activities, investing activities, and financing activities. For additional information, see the condensed consolidated statements of cash flows for the six months ended June 30, 2025 and 2024 included as part of the consolidated financial statements appearing elsewhere in this filing.

We are committed to maintaining a strong liquidity position. We monitor our liquidity position on a daily basis. We anticipate that we will have sufficient funds to meet our current funding commitments. Based on our deposit retention experience and current pricing strategy and regulatory restrictions, we anticipate that a significant portion of maturing time deposits will be retained, and that we can supplement our funding with borrowings in the event that we allow these deposits to run off at maturity.

As a Wisconsin-chartered savings bank, we must maintain a net worth ratio of 6.0% (with “net worth ratio” defined under Wisconsin law as the Bank’s total liabilities subtracted from its total assets, plus unallocated general loan loss reserves, all divided by the Bank’s total assets). At June 30, 2025 and December 31, 2024, we had a net worth ratio of 5.54% and 5.67%, respectively.

At June 30, 2025 and December 31, 2024, our capital levels at the Bank level exceeded the levels required to be technically considered “well capitalized” under federal regulatory capital regulations. However, we operate under an MOU with the Department and the FDIC pursuant to which, among other things, we have agreed to achieve and maintain Tier 1 capital and total risk-based capital ratio levels above that which are required under federal regulatory capital regulations and a net worth ratio (as defined under Wisconsin law) of 6.0%. At June 30, 2025, we had Tier 1 capital equal to 6.3% of total average assets, total risk-based capital equal to 11.4% of risk-weighted assets and a net worth ratio of 5.54%. At December 31, 2024, we had Tier 1 capital equal to 6.9% of total average assets, total risk-based capital equal to 12.5% of risk-weighted assets and a net worth ratio of 5.67%. Our net worth ratio for purposes of compliance with Wisconsin law is calculated differently from the federal regulatory capital regulations in that it reflects the impact of the Bank’s unallocated general loan loss reserves. The Bank’s unallocated general loan loss reserves do not impact the calculation of the federal regulatory capital ratios.

The net proceeds contributed to the Bank from the stock offering completed on September 20, 2024, increased our liquidity and capital resources. Over time, the initial level of liquidity has and will continue to be reduced as net proceeds from the stock offering are used for general corporate purposes, including funding loans. Our financial condition and results of operations have been enhanced by the net proceeds from the offering, increasing our net interest-earning assets and net interest income. However, due to the increase in equity resulting from the net proceeds raised in

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the offering, as well as other factors associated with the offering, our return on equity has been and may continue to be adversely affected for a period of time following the offering. This could negatively affect the trading price of our shares of common stock.

Off-Balance Sheet Arrangements and Aggregate Contractual Obligations

Commitments. As a financial services provider, we routinely are a party to various financial instruments with off-balance-sheet risks, such as commitments to extend credit and unused lines of credit. While these contractual obligations represent our future cash requirements, a significant portion of commitments to extend credit may expire without being drawn upon. Such commitments are subject to the same credit policies and approval process accorded to loans we make. At June 30, 2025, we had outstanding commitments to extend credit of $30.0 million. We anticipate that we will have sufficient funds available to meet our current lending commitments. Certificates of deposit that are scheduled to mature in one year or less from June 30, 2025 totaled $80.4 million. Management expects that a substantial portion of these time deposits will be retained. However, if a substantial portion of these time deposits is not retained, we may utilize advances from the FHLB or raise interest rates on deposits to attract new accounts, which may result in higher levels of interest expense.

Our off-balance sheet credit exposures are limited to unfunded loan commitments primarily related to residential real estate loans. The unfunded commitments are evaluated on a quarterly basis. Our losses related to the unfunded commitments as of June 30, 2025 were estimated to be $137,000. We have provisioned for this exposure and recorded a reserve of $137,000 as of June 30, 2025.

Contractual Obligations. In the ordinary course of our operations, we enter into certain contractual obligations. Such obligations include data processing services, operating contracts for premises and equipment, agreements with respect to borrowed funds and deposit liabilities.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Not applicable, as the Company is a smaller reporting company.

Item 4. Controls and Procedures

An evaluation was performed under the supervision and with the participation of the Company’s management, including the Chief Executive Officer and the Chief Financial Officer, of the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) promulgated under the Securities and Exchange Act of 1934, as amended) as of June 30, 2025. Based on that evaluation, the Company’s management, including the Chief Executive Officer and the Chief Financial Officer, concluded that the Registrant’s disclosure controls and procedures were effective.

During the quarter ended June 30, 2025, there have been no changes in the Company’s internal controls over financial reporting that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

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Part II – Other Information

Item 1. Legal Proceedings

The Company is subject to various legal actions arising in the normal course of business. In the opinion of management, the resolution of these legal actions is not expected to have a material adverse effect on the Company’s financial condition or results of operations.

Item 1A. Risk Factors

Not applicable, as the Company is a smaller reporting company.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Not applicable.

Item 3. Defaults Upon Senior Securities

Not applicable.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

During the three months ended June 30, 2025, none of our directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of the Company’s securities that was intended to satisfy the affirmative defense conditions of Rule 10b5-1 or any “non-Rule 10b5-1 trading arrangement.”

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Item 6. Exhibits


3.1		Articles of Incorporation of EWSB Bancorp, Inc. ⁽¹⁾

3.2		Bylaws of EWSB Bancorp, Inc. ⁽²⁾

4		Form of Common Stock of EWSB Bancorp, Inc. (3)
31		Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

32		Certification of Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

101		The following materials formatted in Inline XBRL (Extensible Business Reporting Language): (i) Consolidated Balance Sheets as of June 30, 2025, (ii) Consolidated Statements of Income for the three and six months ended June 30, 2025, (iii) Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2025, (iv) Consolidated Statements of Changes in Stockholders’ Equity for the three and six months ended June 30, 2025, (v) Consolidated Statements of Cash Flows for the six months ended June 30, 2025, and (vi) Notes to Consolidated Financial Statements for the three and six months ended June 30, 2025.

104		Cover Page Interactive Data File (embedded within the Inline XBRL document and included in Exhibit 101)

(1)	Incorporated by reference to Exhibit 3.1 to the Company’s Registration Statement on Form S-1, (Commission File No. 333-277828), initially filed on March 11, 2024.

(2)	Incorporated by reference to Exhibit 3.2 to the Company’s Registration Statement on Form S-1, (Commission File No. 333-277828), initially filed on March 11, 2024.

(3)	Incorporated by reference to Exhibit 4 to the Company’s Registration Statement on Form S-1 (Commission File No. 333-277828), initially filed on March 11, 2024

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


	EWSB BANCORP, INC.


Date: August 14, 2025	/s/ Charles D. Schmalz
	Charles D. Schmalz
	President, Chief Executive Officer and Chief Financial Officer