Company: FSBC
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050090
Chunk: 52

Company: FIVE STAR BANCORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 52
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3Non-accrual loans are included in total loan balances. No adjustment has been made for these loans in the yield calculations. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs. Allowance for credit losses is not included in total loan balances.

4Allowance for credit losses is included in interest receivable and other assets, net.

5Net interest spread represents the average yield earned on interest-earning assets minus the average rate paid on interest-bearing liabilities.

6Net interest margin is computed by calculating the difference between interest income and interest expense, divided by the average balance of interest-earning assets, then annualized based on the number of days in the given period.

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Analysis of changes in interest income and expenses. Increases and decreases in interest income and interest expense result from changes in average balances (volume) of interest-earning assets and interest-bearing liabilities, as well as changes in average yields/rates. Table 6 shows the effect that these factors had on the interest earned from our interest-earning assets and interest incurred on our interest-bearing liabilities. The effect of changes in volume is determined by multiplying the change in volume by the current period’s average yield/rate. The effect of rate changes is calculated by multiplying the change in average yield/rate by the previous period’s volume. Changes not solely attributable to volume or yields/rates have been allocated in proportion to the respective volume and yield/rate components.

Table 6: Interest Income and Expense Change Analysis(In thousands)For the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024Volume Yield/Rate Total Increase (Decrease)Interest-earning deposits in banks$6,983 $(1,157)$5,826 Investment securities(156)(30)(186)Loans held for investment and sale22,006 5,660 27,666 Total interest-earning assets28,833 4,473 33,306 Interest-bearing transaction accounts(24)(93)(117)Savings accounts45 (274)(229)Money market accounts4,119 (3,298)821 Time accounts11,221 (1,812)9,409 Subordinated notes and other borrowings(219)23 (196)Total interest-bearing liabilities15,142 (5,454)9,688 Changes in net interest income/margin$13,691 $9,927 $23,618 

Net