FSBC

In July 2026, Five Star Bancorp reported second-quarter results showing net interest income of US$46.08 million and net income of US$19.40 million, alongside basic and diluted earnings per share from continuing operations of US$0.91, all higher than the same period a year earlier. On the same day, the bank raised approximately US$119.90 million through a follow-on common stock offering and affirmed a US$0.25 per-share quarterly dividend, highlighting a combination of earnings strength and fresh capital that could influence how investors view its growth and balance sheet plans. We will now examine how Five Star Bancorp’s stronger quarterly earnings and sizeable equity raise affect its investment narrative and outlook. Find 56 companies with promising cash flow potential yet trading below their fair value. To own Five Star Bancorp, you need to believe its community banking model in Northern California can keep converting relationship lending into solid earnings while managing concentrated commercial real estate and deposit risks. The latest quarter’s higher net interest income and earnings, paired with fresh common equity, supports near term balance sheet flexibility, but does not remove the core risk around large, concentrated deposits and how they might behave in a tougher local economy. The US$119.90 million follow on common stock offering is the standout development here, because it immediately increases loss absorbing capital that can support loan growth, cushion potential credit issues in commercial real estate, and reinforce confidence around the bank’s expansion efforts. Set alongside the reaffirmed US$0.25 dividend, it gives investors more context for judging how Five Star is positioning itself against its key catalysts and risks in the coming quarters. Yet, against this stronger capital position, investors should still be aware of how a handful of large deposit relationships could... Read the full narrative on Five Star Bancorp (it's free!) Five Star Bancorp's narrative projects $296.8 million revenue and $104.0 million earnings by 2029. This requires 21.0% yearly revenue growth and a $32.0 million earnings increase from $72.0 million today. Uncover how Five Star Bancorp's forecasts yield a $49.00 fair value, a 4% upside to its current price. Two fair value estimates from the Simply Wall St Community span roughly US$49 to about US$82 per share, highlighting how far apart individual views can be. You should weigh those opinions against the bank’s heavy Northern California and commercial real estate exposure, which could have important consequences for future credit quality and earnings resilience. Explore 2 other fair value estimates on Five Star Bancorp - why the stock might be worth just $49.00! Don't just follow the ticker - dig into the data and build a conviction that's truly your own. A great starting point for your Five Star Bancorp research is our analysis highlighting 3 key rewards that could impact your investment decision. Our free Five Star Bancorp research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Five Star Bancorp's overall financial health at a glance. These stocks are moving-our analysis flagged them today. Act fast before the price catches up: The future of work is here. Discover the 34 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality. Uncover the next big thing with 21 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include FSBC. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Never miss an important update on your stock portfolio and cut through the noise. Over 7 million investors trust Simply Wall St to stay informed where it matters for FREE. Five Star Bancorp (FSBC) has put fresh numbers on the table for investors, reporting second quarter net interest income of $46.08 million and net income of $19.4 million, with earnings per share of $0.91. See our latest analysis for Five Star Bancorp. At a share price of $47.83, Five Star Bancorp has had a mixed short term pattern, with the 7 day share price return down 3.04% but the 90 day share price return up 18.22%. The 1 year total shareholder return of 58.23% points to momentum that has been building over a longer window. If recent earnings and capital raising activity have you thinking about where else to put fresh cash to work, this can be a useful moment to broaden your search and check out the 18 top founder-led companies After the recent run in Five Star Bancorp and a follow on offering at $44.00, the stock now sits close to analyst targets, yet still at a sizeable modeled discount. So where does fair value really land for FSBC today? Against a last close of $47.83, the most widely followed narrative pegs Five Star Bancorp's fair value at $49, leaving only a small modeled gap that rests heavily on how earnings and margins play out over the next few years. Read the complete narrative. Want to see what sits underneath that fair value call? The narrative leans on faster revenue expansion, recalibrated profit margins, and a future earnings multiple that has to hold up. The exact mix of those inputs may surprise you. Result: Fair Value of $49 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, the Five Star Bancorp story still depends on concentrated exposure to Northern California and meaningful commercial real estate lending, both of which could pressure credit quality if conditions weaken. Find out about the key risks to this Five Star Bancorp narrative. With sentiment around Five Star Bancorp split between recent strength and pockets of risk, it can help to move quickly, review the numbers yourself, and then weigh them against the 3 key rewards If you are serious about building a stronger portfolio, do not stop with Five Star Bancorp. Use this moment to scan fresh opportunities before the crowd catches on. Target resilience by focusing on companies that score well on stability and quality through the 83 resilient stocks with low risk scores Hunt for quality at a reasonable price and see which companies currently screen as compelling on valuation using the 49 high quality undervalued stocks Strengthen your income stream by filtering for companies with robust payouts and balance sheets via the 8 dividend fortresses This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include FSBC. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Release Date: July 23, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Net income increased to $19.4 million, up from $18.6 million in the previous quarter. Earnings per share rose to $0.91, an increase from both the previous quarter and the same quarter last year. Total loans held for investment grew by $306.3 million, or 29% on an annualized basis. Total deposits grew by $330 million, or 30% on an annualized basis, with a significant increase in non-wholesale deposits. Five Star Bank was named the number one best place to work by the San Francisco Business Times among businesses with 25 to 49 employees. Net interest margin contracted by 7 basis points quarter over quarter to 3.63%. The ratio of non-performing loans increased to 0.30% from 0.07% in the previous quarter. Interest expense increased by $2.4 million due to higher average deposit balances and costs. Non-interest expense increased by $2.2 million, driven by higher advertising, promotional expenses, and data processing costs. Provision for credit losses increased, reflecting loan growth and a specific non-accrual loan. Warning! GuruFocus has detected 7 Warning Sign with FSBC. Is FSBC fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide an overview of Five Star Bancorp's financial performance for Q2 2026? A: James Beckwith, President and CEO, reported that net income increased to $19.4 million, up from $18.6 million in Q1 2026. Earnings per share rose to $0.91, a $0.04 increase from Q1 2026 and a $0.23 increase from Q2 2025. Total loans grew by $306.3 million, and total deposits increased by $330 million on an annualized basis. Q: What were the key drivers behind the loan and deposit growth in Q2 2026? A: James Beckwith explained that the growth was driven by the execution of their organic growth strategy and the strength of their relationship-driven model. The expansion into Southern California and the opening of a new branch in Lodi also contributed to this growth. Q: How did Five Star Bancorp's asset quality perform during the quarter? A: James Beckwith noted that asset quality remained strong, although the ratio of non-performing loans increased to 0.30% due to one Community Reinvestment Act loan placed on non-accrual status. The loan is well collateralized, providing significant cushion. Q: What were the changes in Five Star Bancorp's capital ratios as of June 30, 2026? A: James Beckwith stated that the common equity Tier 1 capital ratio was 9.98%, and the Tier 1 leverage ratio was 9.21%, both above regulatory thresholds, indicating a well-capitalized position. Q: Can you discuss the changes in net interest income and margin for Q2 2026? A: Heather Luck, CFO, reported that net interest income increased to $46.1 million, a 6.04% rise from Q1 2026. However, the net interest margin contracted by 7 basis points to 3.63%, primarily due to rapid balance sheet expansion diluting the overall yield on earning assets. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Five Star Bancorp? Here are five stocks we like better. Five Star Bancorp reported stronger Q2 2026 results, with net income rising to $19.4 million and EPS increasing to $0.91, driven by continued loan and deposit growth. Loans held for investment grew $306.3 million to $4.5 billion, while total deposits increased $330 million and non-wholesale deposits made up nearly 94.8% of total deposits, underscoring the bank’s focus on core funding. Asset quality remained generally strong, though non-performing loans rose to 0.30% due to one CRA loan; meanwhile, the company stayed well capitalized and continued expanding in Southern California and Lodi. Five Star Bancorp (NASDAQ:FSBC) reported higher second-quarter 2026 earnings as loan and deposit growth continued to drive balance sheet expansion, while management highlighted ongoing market expansion in California and a continued focus on core deposit relationships. President and Chief Executive Officer James Beckwith said the quarter reflected “continued execution of our organic growth strategy and the strength of our relationship-driven model.” The company reported net income of $19.4 million for the quarter, up from $18.6 million in the first quarter of 2026. Earnings per share rose to $0.91, an increase of $0.04 from the prior quarter and $0.23 from the second quarter of 2025. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? Five Star did not conduct a question-and-answer session on the call. Beckwith said the company had announced the pricing of an underwritten public offering of common stock the prior day and that, because the offering had not yet settled, the call would be limited to second-quarter financial results. Loans held for investment increased by $306.3 million during the quarter, or 29% on an annualized basis, reaching $4.5 billion as of June 30, 2026. Beckwith said total assets increased by $345.3 million during the quarter, driven largely by growth in the commercial real estate portfolio, which rose by $175.3 million, as well as $124.5 million in purchased loans within the consumer segment. → 3 Photonics Companies Making Quantum Tech Possible Total deposits grew by $330 million, or 30% on an annualized basis. The company said non-wholesale deposits increased by $463.1 million, more than offsetting a $133.1 million reduction in wholesale deposits. Non-wholesale deposit accounts represented approximately 94.79% of total deposits at June 30, up from 91.43% at March 31. Beckwith said the shift reflected the bank’s “continued focus on building a stable, relationship-based core deposit funding base.” Non-interest-bearing deposits accounted for approximately 24.5% of total deposits at quarter-end. → AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off The company also reported that approximately 64% of its total deposit relationships exceeded $5 million, with an average tenure of about seven years. Beckwith described the deposit base as “a durable foundation for our continued growth.” Executive Vice President and Chief Financial Officer Heather Luck said net interest income increased to $46.1 million in the second quarter, up 6.04% from $43.5 million in the first quarter. Net interest margin contracted by seven basis points quarter over quarter to 3.63%. Luck said the increase in net interest income was primarily volume driven, while rapid balance sheet expansion “modestly diluted the overall yield in earning assets.” Interest income rose by $5 million from the previous quarter, primarily because of a 4% increase in the average balance of loans and a 32% increase in the average balance of interest-earning deposits in banks. Interest expense increased by $2.4 million, driven by a $330.1 million increase in average deposit balances and a three-basis-point increase in the average cost of deposits. Luck said growth in average non-interest-bearing deposits of $41.9 million helped partially offset the increase in deposit funding costs. Non-interest income rose to $1.9 million from $1.6 million in the prior quarter. Luck said the increase was primarily due to improved earnings related to investments in venture-backed funds, partially offset by lower swap referral fees and reduced Federal Home Loan Bank stock dividends. Non-interest expense increased by $2.2 million from the first quarter. Luck attributed the increase primarily to a $1 million loss contingency release on an SBA loan that benefited first-quarter results and did not recur, as well as higher advertising, promotional and data processing costs tied to organizational growth. The efficiency ratio was 40.91%, compared with 38.57% in the first quarter and 41.03% in the second quarter of 2025. Beckwith said asset quality remained strong, though the ratio of non-performing loans increased to 0.30% at June 30 from 0.07% at March 31. The increase was attributed to one Community Reinvestment Act loan that was placed on non-accrual status during the quarter. The loan had a balance of $11.4 million as of June 30 and was originally downgraded to substandard in 2025. Beckwith said the loan was “well collateralized” and that a current appraised value provided “significant cushion” above the carrying amount. The company recorded a $2.3 million provision for credit losses during the quarter, primarily reflecting loan growth. The allowance for credit losses totaled $47.3 million at June 30, up from $44.4 million at Dec. 31, 2025. Beckwith said the increase reflected $4.6 million in credit loss provisions recorded during the first half of the year, partially offset by $1.6 million in net charge-offs, primarily related to commercial and industrial loans. The allowance as a percentage of loans held for investment was 1.05% at June 30, compared with 1.09% at the end of 2025. Five Star said it remained well capitalized, with all capital ratios above regulatory thresholds. As of June 30, the company reported a common equity Tier 1 capital ratio of 9.98% and a Tier 1 leverage ratio of 9.21%. The company paid a cash dividend of $0.25 per share during the second quarter and declared an additional $0.25 cash dividend expected to be paid in August 2026. Management also discussed the company’s continued geographic expansion. In April, Five Star announced the addition of five banking professionals to lead its efforts across the Greater Los Angeles area, building on an existing administrative office in Newport Beach. Beckwith said the company plans to open an additional Southern California office later this year. The bank also opened a full-service branch in Lodi on July 13. Beckwith said the market is a natural fit because of its agricultural economy and growing base of small and mid-sized businesses, and that the branch strengthens the company’s Food, Agribusiness & Diversified Industries vertical. Looking ahead, Beckwith said the company remains focused on disciplined growth, risk management, deepening client relationships, expanding in key markets and making targeted investments in technology and talent. He said management expects to discuss third-quarter earnings in October. Five Star Bancorp, Inc is the bank holding company for Five Star Bank, a community-focused financial institution serving retail and commercial customers primarily in Upstate New York. Headquartered in Rochester, the company provides a range of banking and financial services designed to meet the needs of individuals, families and businesses throughout its regional footprint. The company's core business activities include deposit services—such as checking, savings and money market accounts—alongside consumer and mortgage lending. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Five Star Bancorp Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Five Star Bancorp (FSBC) came out with quarterly earnings of $0.91 per share, beating the Zacks Consensus Estimate of $0.87 per share. This compares to earnings of $0.68 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +4.60%. A quarter ago, it was expected that this company would post earnings of $0.8 per share when it actually produced earnings of $0.87, delivering a surprise of +8.75%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Five Star Bancorp, which belongs to the Zacks Banks - West industry, posted revenues of $47.96 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.49%. This compares to year-ago revenues of $38.33 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Five Star Bancorp shares have added about 37.9% since the beginning of the year versus the S&P 500's gain of 9.7%. While Five Star Bancorp has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Five Star Bancorp was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.89 on $49 million in revenues for the coming quarter and $3.58 on $192 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - West is currently in the top 19% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Coastal Financial Corporation (CCB), is yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.95 per share in its upcoming report, which represents a year-over-year change of +33.8%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Coastal Financial Corporation's revenues are expected to be $162.7 million, up 36.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Five Star Bancorp (FSBC) : Free Stock Analysis Report Coastal Financial Corporation (CCB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

RANCHO CORDOVA, Calif., July 22, 2026 (GLOBE NEWSWIRE) -- Five Star Bancorp (Nasdaq: FSBC) (“Five Star” or the “Company”), a holding company that operates through its wholly owned banking subsidiary, Five Star Bank (the “Bank”), today reported net income of $19.4 million for the three months ended June 30, 2026, as compared to $18.6 million for the three months ended March 31, 2026 and $14.5 million for the three months ended June 30, 2025. Second Quarter Highlights Performance and operating highlights for the Company for the periods noted below included the following: (1) See the section entitled “Non-GAAP Reconciliation (Unaudited)” for a reconciliation of this non-GAAP financial measure. James E. Beckwith, President and Chief Executive Officer, commented: “Five Star Bank’s differentiated customer experience and reputation continue to power demand for our services. In the second quarter of 2026, we are pleased that net income increased to $19.4 million, compared to $18.6 million for the first quarter of 2026, and earnings per share increased to $0.91, up $0.04 from the first quarter of 2026 and up $0.23 from the second quarter of 2025. Net interest margin decreased by seven basis points to 3.63%. Total loans held for investment increased by $306.3 million, or 7% (approximately 29% when annualized), and total deposits increased by $330.0 million, or 7% (approximately 30% when annualized). We are also pleased with the continued execution of our strategic plan, including the payment of a cash dividend of $0.25 per share to shareholders. In the second quarter, Five Star Bank was honored to be named the Best Place to Work by the San Francisco Business Times, ranking first overall among participating businesses with 25 to 49 employees in the San Francisco Bay Area. This recognition reflects our purpose-driven culture, which is a meaningful differentiator and an important contributor to our continued performance. I am proud of our team’s accomplishments and look forward to the continued momentum of our organic growth story.” Financial highlights as of and during the three months ended June 30, 2026 included the following: Total deposits increased by $330.0 million, or 7.38%, during the three months ended June 30, 2026, with growth in non-wholesale deposits exceeding declines in wholesale deposits. The Company defines wholesale deposits as brokered deposits and California Time Deposit Program deposits. During the three months ended June 30, 2026, non-wholesale deposits increased by $463.1 million, or 11.33%, and wholesale deposits decreased by $133.1 million, or 34.74%. The number of Business Development Officers increased from 43 at March 31, 2026 to 45 at June 30, 2026. Cash and cash equivalents were $685.1 million, representing 14.27% of total deposits at June 30, 2026, as compared to 14.42% at March 31, 2026. Consistent, disciplined management of expenses contributed to our efficiency ratio of 40.91% for the three months ended June 30, 2026, as compared to 38.57% for the three months ended March 31, 2026 and 41.03% for the three months ended June 30, 2025. Net interest margin expanded by 10 basis points year-over-year, increasing from 3.53% for the three months ended June 30, 2025 to 3.63% for the three months ended June 30, 2026, demonstrating the Company's ability to grow its margin even as the effective federal funds rate declined 70 basis points over the same period from 4.33% at June 30, 2025 to 3.63% at June 30, 2026. Net interest margin for the three months ended June 30, 2026 contracted by seven basis points from 3.70% for the three months ended March 31, 2026, reflecting that strong quarter-over-quarter growth in net interest income was primarily volume driven, as rapid balance sheet expansion modestly diluted the overall yield on earning assets. Other comprehensive income was $0.7 million during the three months ended June 30, 2026. Unrealized losses, net of tax effect, on available-for-sale securities were $9.4 million as of June 30, 2026. Total carrying value of held-to-maturity and available-for-sale securities represented 0.04% and 1.72% of total interest-earning assets, respectively, as of June 30, 2026. The Company’s common equity Tier 1 capital ratio was 9.98% and 10.45% as of June 30, 2026 and March 31, 2026, respectively. The Bank continues to meet all requirements to be considered “well-capitalized” under applicable regulatory guidelines. Loan and deposit growth as of the dates provided below was as follows: The ratio of nonperforming loans to loans held for investment at period end increased from 0.07% at March 31, 2026 to 0.30% at June 30, 2026, due to one Community Reinvestment Act loan that was placed on non-accrual status. The balance of the loan is $11.4 million as of June 30, 2026 and was originally downgraded to substandard in 2025. The Company’s Board of Directors declared, and the Company subsequently paid, a cash dividend of $0.25 per share during the three months ended June 30, 2026. The Company’s Board of Directors declared an additional cash dividend of $0.25 per share on July 16, 2026, which the Company expects to pay on August 10, 2026 to shareholders of record as of August 3, 2026. Summary Results Three months ended June 30, 2026, as compared to three months ended March 31, 2026 The Company’s net income was $19.4 million for the three months ended June 30, 2026, as compared to $18.6 million for the three months ended March 31, 2026. Net interest income increased by $2.6 million during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, primarily due to an increase in interest income driven by loan growth and higher interest-earning deposits in banks, partially offset by an increase in interest expense driven by deposit growth. The provision for credit losses decreased by $0.4 million during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, reflecting lower loss estimates driven by strong loan growth concentrated in pools with relatively lower loss rates. Non-interest income increased by $0.2 million during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, primarily due to an overall improvement in earnings related to investments in venture-backed funds, partially offset by lower fees from swap referrals, and the absence of a special FHLB stock dividend. Non-interest expense increased by $2.2 million during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, primarily due to a $1.0 million loss contingency release on a U.S. Small Business Administration (“SBA”) loan that benefitted the three months ended March 31, 2026, which did not reoccur during the three months ended June 30, 2026, as well as higher advertising, promotional, data processing, and software expenses tied to continued organizational growth. Three months ended June 30, 2026, as compared to three months ended June 30, 2025 The Company’s net income was $19.4 million for the three months ended June 30, 2026, as compared to $14.5 million for the three months ended June 30, 2025. Net interest income increased by $9.6 million during the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, primarily due to an increase in interest income driven by loan growth and higher interest-earning deposits in banks, partially offset by an increase in interest expense driven by deposit growth, though moderated by a decrease in the average cost of deposits. The provision for credit losses decreased by $0.3 million, reflecting lower net charge-offs in the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Non-interest income increased by $0.1 million during the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, primarily reflecting higher loan referral income and fees from swap referrals, as well as an overall improvement in earnings related to investments in venture-backed funds. These increases were partially offset by lower FHLB stock dividends and an intentional reduction in gain on sale of loans. Non-interest expense increased by $3.9 million during the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, driven primarily by increased salaries and employee benefits from increased headcount, along with growth in other operating expenses reflecting continued organizational expansion. The following is a summary of the components of the Company’s operating results and performance ratios for the periods indicated: (1) Total cost of funds reflects the average cost of all funding sources, including both interest-bearing and non-interest-bearing deposits and borrowings. Balance Sheet Summary Insured and collateralized deposits were approximately $3.2 billion, representing 65.80% of total deposits as of June 30, 2026, as compared to 65.55% as of March 31, 2026. Net uninsured and uncollateralized deposits were approximately $1.6 billion as of June 30, 2026, increasing from $1.5 billion at March 31, 2026. Non-wholesale deposit balances constituted 94.79% of total deposits as of June 30, 2026, as compared to 91.43% as of March 31, 2026. Deposit relationships of greater than $5 million represented 63.88% of total deposits as of June 30, 2026, as compared to 60.67% as of March 31, 2026, and had an average age of approximately 7.39 years as of June 30, 2026, as compared to 7.98 years as of March 31, 2026. Total deposits as of June 30, 2026 were $4.8 billion, an increase of $330.0 million, or 7.38%, from March 31, 2026, comprised of an increase in interest-bearing deposits, partially offset by a decrease in non-interest-bearing deposits. Cash and cash equivalents as of June 30, 2026 were $685.1 million, representing 14.27% of total deposits at June 30, 2026, as compared to 14.42% as of March 31, 2026. Total liquidity (consisting of cash and cash equivalents as well as unused and immediately available borrowing capacity as set forth below) was approximately $2.3 billion as of June 30, 2026, as compared to $2.2 billion at March 31, 2026. The increase in total assets from December 31, 2025 to June 30, 2026 was primarily comprised of a $444.8 million increase in total loans held for investment and a $178.2 million increase in cash and cash equivalents. The $444.8 million increase in total loans held for investment between December 31, 2025 and June 30, 2026 was a result of $1.0 billion in loan originations and advances, partially offset by $162.1 million and $421.9 million in loan payoffs and paydowns, respectively. The $444.8 million increase in total loans held for investment included $145.0 million in purchased loans within the consumer section of the loan portfolio. The $178.2 million increase in cash and cash equivalents primarily resulted from the net increase in cash inflows from growth in total deposits of $598.3 million and cash outflows from growth in total loans held for investment of $444.8 million. The increase in total liabilities from December 31, 2025 to June 30, 2026 was primarily due to an increase in deposits of $598.3 million. The increase in deposits was largely due to increases in money market, interest-bearing transaction, and non-interest-bearing deposits of $590.7 million, $156.1 million, and $89.9 million, respectively, partially offset by a $246.6 million decrease in time deposits, mainly attributable to a $215.0 million decline in wholesale deposits. The increase in total shareholders’ equity from December 31, 2025 to June 30, 2026 was primarily a result of $38.0 million recognized as net income during the period, partially offset by $10.7 million in cash dividends paid during the period and a $0.3 million increase in accumulated other comprehensive loss. Net Interest Income and Net Interest Margin The following is a summary of the components of net interest income for the periods indicated: The following table shows the components of net interest income and net interest margin for the quarterly periods indicated: Net interest income during the three months ended June 30, 2026 increased by $2.6 million, or 6.04%, to $46.1 million, as compared to $43.5 million during the three months ended March 31, 2026. Net interest margin totaled 3.63% for the three months ended June 30, 2026, a decrease of seven basis points compared to the prior quarter, reflecting that strong quarter-over-quarter growth in net interest income was primarily volume driven, as rapid balance sheet expansion modestly diluted the overall yield on earning assets. The increase in net interest income is primarily attributable to a $5.0 million increase in interest income, mainly due to a $177.9 million, or 4.29%, increase in the average balance of loans and a $164.8 million, or 32.18%, increase in the average balance of interest-earning deposits in banks (deposits placed with other financial institutions to earn interest). The increase in interest income was partially offset by a $2.4 million increase in interest expense due to a $330.1 million, or 7.64%, increase in the average balance of deposits, combined with a three basis point increase in the average cost of deposits. The average balance of non-interest bearing deposits increased by $41.9 million, or 3.74%, quarter-over-quarter, helping to partially offset the rise in deposit funding costs. As compared to the three months ended June 30, 2025, net interest income during the three months ended June 30, 2026 increased by $9.6 million, or 26.20%, to $46.1 million from $36.5 million. Net interest margin totaled 3.63% for the three months ended June 30, 2026, an increase of 10 basis points compared to the same quarter of the prior year. The improvement was driven by balance sheet growth and a favorable shift in funding mix, which more than offset pressure from declining federal funds rates over the same period. The increase in net interest income is primarily attributable to an $11.7 million increase in interest income, mainly due to a $636.7 million, or 17.25%, increase in the average balance of loans and a $315.3 million, or 87.13%, increase in the average balance of interest-earning deposits in banks (deposits placed with other financial institutions to earn interest). This increase in interest income was partially offset by a $2.2 million increase in interest expense, stemming from a $914.3 million, or 24.47%, increase in the average balance of deposits during the three months ended June 30, 2026, moderated by a 30 basis point decrease in average cost of deposits compared to the same quarter of the prior year. Further supporting the decreasing average cost of deposits, the average balance of non-interest-bearing deposits increased by $207.0 million, or 21.62%, compared to the same period of the prior year. Loans by Type The following table provides loan balances, excluding deferred loan fees, by type as of the dates shown: Interest-bearing Deposits The following table provides interest-bearing deposit balances by type as of the dates shown: Asset Quality Allowance for Credit Losses At June 30, 2026, the Company’s allowance for credit losses was $47.3 million, as compared to $44.4 million at December 31, 2025. The $2.9 million increase in the allowance is due to a $4.6 million provision for credit losses recorded during the six months ended June 30, 2026, partially offset by net charge-offs of $1.6 million, primarily attributable to commercial and industrial loans, during the same period. The Company’s nonperforming loans increased from $3.1 million to $13.4 million between December 31, 2025 and June 30, 2026, increasing the ratio of nonperforming loans to loans held for investment from 0.08% at December 31, 2025 to 0.30% at June 30, 2026. This increase was due to one Community Reinvestment Act loan that was placed on non-accrual status during the period. The balance of the loan is $11.4 million as of June 30, 2026, and it was originally downgraded to substandard in 2025. This was partially offset by improvements across the remainder of the nonperforming loan portfolio. Loans designated as watch increased from $101.9 million to $154.6 million between December 31, 2025 and June 30, 2026. Loans designated as special mention increased from $37.5 million to $44.9 million between December 31, 2025 and June 30, 2026. Loans designated as substandard decreased from $22.3 million to $20.3 million between December 31, 2025 and June 30, 2026. There were no loans with doubtful risk grades at June 30, 2026 or December 31, 2025. A summary of the allowance for credit losses by loan class is as follows: The ratio of allowance for credit losses to loans held for investment was 1.05% at June 30, 2026, as compared to 1.09% at December 31, 2025. Non-interest Income The following table presents the key components of non-interest income for the periods indicated: Loan-related fees. The decrease resulted primarily from a decrease of $0.7 million in fees from swap referrals during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, partially offset by an increase of $0.1 million in loan referral income. FHLB stock dividends. The decrease related primarily to a $0.4 million special cash dividend from the FHLB during the three months ended March 31, 2026 that did not reoccur during the three months ended June 30, 2026. The remainder of the decrease primarily related to the FHLB’s transition to a tier-based dividend structure, which lowered the Bank’s effective dividend rate received. Other income. The increase related primarily to an overall improvement in earnings related to investments in venture-backed funds during the three months ended June 30, 2026, as compared to the three months ended March 31, 2026. The following table presents the key components of non-interest income for the periods indicated: Gain on sale of loans. The decrease related to an overall decline in the volume of SBA loans sold due to a strategic, intentional reduction in originations of loans held for sale. During the three months ended June 30, 2026, no SBA loans were sold, as compared to approximately $1.6 million of loans sold with an effective yield of 7.60% during the three months ended June 30, 2025. Loan-related fees. The increase resulted primarily from an increase of $0.1 million in loan referral income, combined with an increase of $0.1 million in fees from swap referrals during the three months ended June 30, 2026, as compared to the three months ended June 30, 2025. FHLB stock dividends. The decrease related primarily to the FHLB’s transition to a tier-based dividend structure, which lowered the Bank’s effective dividend rate received. Other income. The increase related primarily to an overall improvement in earnings related to investments in venture-backed funds during the three months ended June 30, 2026 compared to the three months ended June 30, 2025. Non-interest Expense The following table presents the key components of non-interest expense for the periods indicated: Data processing and software. The increase was primarily due to: (i) increased usage of our digital banking platform; (ii) higher transaction volumes related to the increased number of loan and deposit accounts; and (iii) an increased number of licenses required for new users on our loan origination and documentation system. Advertising and promotional. The increase related primarily to additional expenses incurred to support the expansion of the Bank’s business development teams, including $0.1 million related to business development expenses and $0.1 million related to donations, sponsorships, and advertising expenses. Other operating expenses. The increase related primarily to the release of a $1.0 million loss contingency on an SBA loan during the three months ended March 31, 2026. No such release occurred during the three months ended June 30, 2026. The remainder of the increase was primarily due to: (i) a $0.4 million increase in employee-related expenses such as travel, conferences, and training; (ii) a $0.1 million increase in administrative charges, including bank charges; and (iii) a $0.1 million increase in operational losses. The following table presents the key components of non-interest expense for the periods indicated: Salaries and employee benefits. The increase related primarily to: (i) a $2.8 million increase in salaries, benefits, and bonus expense, mainly related to a 13.30% increase in headcount between June 30, 2025 and June 30, 2026; and (ii) a $0.7 million increase in commissions primarily due to higher loan originations period-over-period. This increase was partially offset by a $0.9 million increase in deferred loan origination costs due to higher loan originations period-over-period. Occupancy and equipment. The increase was primarily due to expenses for the Walnut Creek branch office and Newport Beach non-depository office during the three months ended June 30, 2026, which did not exist for the three months ended June 30, 2025. Data processing and software. The increase was primarily due to: (i) increased usage of our digital banking platform; (ii) higher transaction volumes related to the increased number of loan and deposit accounts; and (iii) an increased number of licenses required for new users on our loan origination and documentation system. FDIC insurance. The increase was primarily due to a $916.2 million increase in the assessment base period-over-period. Loan-related expenses. The decrease related primarily to lower inspection and legal expenses. Although loan originations were higher period-over-period, a greater mix of purchased loans and large credit relationships reduced per-unit inspection costs, and inspection activity was delayed relative to the prior period. Other operating expenses. The increase related primarily to: (i) a $0.3 million increase in employee-related expenses such as travel and professional association memberships; (ii) a $0.2 million increase in bank charges; (iii) a $0.1 million increase in operational losses; (iv) a $0.1 million increase in IntraFi Network fees resulting from an overall increase in balances carried in the network; and (v) a $0.1 million increase in armored car and courier services. Provision for Income Taxes Three months ended June 30, 2026, as compared to three months ended March 31, 2026 Provision for income taxes increased by $0.3 million, or 4.37%, for the three months ended June 30, 2026, as compared to the three months ended March 31, 2026, which was primarily due to an increase in taxable income. The effective tax rates were 25.64% and 25.61% for the three months ended June 30, 2026 and March 31, 2026, respectively. Three months ended June 30, 2026, as compared to three months ended June 30, 2025 Provision for income taxes increased by $1.1 million, or 19.66%, for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025. This increase was primarily driven by an increase in taxable income, partially offset by a $0.2 million benefit recorded during the three months ended June 30, 2026 related to the purchase of transferable tax credits that did not occur during the three months ended June 30, 2025. The effective tax rates were 25.64% and 27.82% for the three months ended June 30, 2026 and June 30, 2025, respectively. Webcast Details Five Star Bancorp will host a live webcast for analysts and investors on Thursday, July 23, 2026 at 1:00 PM ET (10:00 AM PT) to discuss its second quarter financial results. To view the live webcast, visit the “News & Events” section of the Company’s website under “Events” at https://investors.fivestarbank.com/news-events/events. The webcast will be archived on the Company’s website for a period of 90 days. About Five Star Bancorp Five Star is a bank holding company headquartered in Rancho Cordova, California. Five Star operates through its wholly owned banking subsidiary, Five Star Bank. The Bank has ten branches in California, following the opening of a branch in Lodi in July 2026. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections, and statements of the Company’s beliefs concerning future events, business plans, objectives, expected operating results, and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate, or imply future results, performance, or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phrases of similar meaning. The Company cautions that the forward-looking statements are based largely on the Company’s expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company’s control. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company’s control) and are subject to risks and uncertainties, which change over time, and other factors, which could cause actual results to differ materially from those currently anticipated. New risks and uncertainties may emerge from time to time, and it is not possible for the Company to predict their occurrence or how they will affect the Company. If one or more of the factors affecting the Company’s forward-looking information and statements proves incorrect, then the Company’s actual results, performance, or achievements could differ materially from those expressed in, or implied by, forward-looking information and statements contained in this press release. Therefore, the Company cautions you not to place undue reliance on the Company’s forward-looking information and statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements are set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and Quarterly Report on Form 10-Q for the three months ended March 31, 2026, in each case under the section entitled “Risk Factors,” and other documents filed by the Company with the Securities and Exchange Commission from time to time. The Company disclaims any duty to revise or update the forward-looking statements, whether written or oral, to reflect actual results or changes in the factors affecting the forward-looking statements, except as specifically required by law. Condensed Financial Data (Unaudited) (1) See the section entitled “Non-GAAP Reconciliation (Unaudited)” for a reconciliation of this non-GAAP financial measure. (2) Loan balance in loan to deposit ratio is total loans held for investment and sale at period end. Deposit balance in loan to deposit ratio is total deposits at period end. (1) See the section entitled “Non-GAAP Reconciliation (Unaudited)” for a reconciliation of this non-GAAP financial measure. Non-GAAP Reconciliation (Unaudited) The Company uses financial information in its analysis of the Company’s performance that is not in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The Company believes that these non-GAAP financial measures provide useful information to management and investors that is supplementary to the Company’s financial condition, results of operations, and cash flows computed in accordance with GAAP. However, the Company acknowledges that its non-GAAP financial measures have a number of limitations. As such, investors should not view these disclosures as a substitute for results determined in accordance with GAAP. Additionally, these non-GAAP measures are not necessarily comparable to non-GAAP financial measures that other banking companies use. Other banking companies may use names similar to those the Company uses for the non-GAAP financial measures the Company discloses, but may calculate them differently. Investors should understand how the Company and other companies each calculate their non-GAAP financial measures when making comparisons. Tangible shareholders’ equity to tangible assets is defined as total equity less goodwill and other intangible assets, divided by total assets less goodwill and other intangible assets. The most directly comparable GAAP financial measure is total shareholders’ equity to total assets. Management believes that tangible shareholders’ equity to tangible assets is a useful financial measure because it enables management, investors, and others to assess the Company’s financial health based on tangible capital. We had no goodwill or other intangible assets at the end of any period indicated. As a result, tangible shareholders’ equity to tangible assets is the same as total shareholders’ equity to total assets at the end of each of the periods indicated. Tangible book value per share is defined as total shareholders’ equity less goodwill and other intangible assets, divided by the outstanding number of common shares at the end of the period. The most directly comparable GAAP financial measure is book value per share. Management believes that tangible book value per share is a useful financial measure because it enables management, investors, and others to assess the Company’s value and use of equity. We had no goodwill or other intangible assets at the end of any period indicated. As a result, tangible book value per share is the same as book value per share at the end of each of the periods indicated. Pre-tax, pre-provision income is defined as pre-tax income plus provision for credit losses. The most directly comparable GAAP financial measure is pre-tax income. Management believes that pre-tax, pre-provision income is a useful financial measure because it enables management, investors, and others to assess the Company’s ability to generate operating profit and capital. The following reconciliation table provides a more detailed analysis of this non-GAAP financial measure: Investor Contact:Heather C. Luck, Chief Financial OfficerFive Star Bancorp(916) [email protected] Media Contact:Shelley R. Wetton, Chief Marketing OfficerFive Star Bancorp(916) [email protected]

RANCHO CORDOVA, Calif., July 17, 2026 (GLOBE NEWSWIRE) -- Five Star Bancorp (Nasdaq: FSBC) (“Five Star” or the “Company”), a holding company that operates through its wholly owned banking subsidiary, Five Star Bank (the "Bank"), announced today the declaration of a cash dividend of $0.25 per share on the Company’s voting common stock. The dividend is expected to be paid on August 10, 2026, to shareholders of record as of August 3, 2026. About Five Star BancorpFive Star is a bank holding company headquartered in Rancho Cordova, California. Five Star operates through its wholly owned banking subsidiary, Five Star Bank. The Bank has ten branches in California, following the opening of a branch in Lodi in July 2026. For more information, visit https://www.fivestarbank.com. Special Note Concerning Forward-Looking StatementsThis press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections, and statements of the Company’s beliefs concerning future events, business plans, objectives, expected operating results, and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate, or imply future results, performance, or achievements, and are typically identified with words such as “may,” “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phrases of similar meaning. The Company cautions that the forward-looking statements are based largely on the Company’s expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond the Company’s control. Such forward-looking statements are based on various assumptions (some of which may be beyond the Company’s control) and are subject to risks and uncertainties, which change over time, and other factors, which could cause actual results to differ materially from those currently anticipated. New risks and uncertainties may emerge from time to time, and it is not possible for the Company to predict their occurrence or how they will affect the Company. If one or more of the factors affecting the Company’s forward-looking information and statements proves incorrect, then the Company’s actual results, performance, or achievements could differ materially from those expressed in, or implied by, forward-looking information and statements contained in this press release. Therefore, the Company cautions you not to place undue reliance on the Company’s forward-looking information and statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements are set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and Quarterly Report on Form 10-Q for the three months ended March 31, 2026, in each case under the section entitled “Risk Factors,” and other documents filed by the Company with the Securities and Exchange Commission from time to time. The Company disclaims any duty to revise or update the forward-looking statements, whether written or oral, to reflect actual results or changes in the factors affecting the forward-looking statements, except as specifically required by law. Investor Contact:Heather C. Luck, Chief Financial OfficerFive Star Bancorp(916) [email protected] Media Contact:Shelley R. Wetton, Chief Marketing OfficerFive Star Bancorp(916) [email protected]

This article first appeared on GuruFocus. Earnings Per Share (EPS): Increased to $0.87, up $0.04 from the prior quarter. Net Income: $18.6 million, up 6% from the prior quarter. Return on Average Assets: 1.55%, an increase of 5 basis points from the prior quarter. Return on Average Equity: 16.73%, an increase of 76 basis points from the prior quarter. Net Interest Margin: 3.70%, an increase of 4 basis points from the prior quarter. Average Cost of Total Deposits: 2.13%, a decrease of 10 basis points from the prior quarter. Loan Growth: Loans held for investment grew by $138.5 million or 14% annualized. Deposit Growth: Total deposits grew by $268.3 million or 26% annualized. Non-Performing Loans: Represented 7 basis points of total loans held for investment. Net Interest Income: Increased to $43.5 million, a 3% increase from Q4 2025. Non-Interest Income: Increased to $1.6 million from $1.4 million in the previous quarter. Non-Interest Expense: Decreased by $263,000. Efficiency Ratio: Improved to 38.57% from 40.62% in the prior quarter. Provision for Credit Losses: $2.7 million, primarily related to loan growth. Cash Dividend: Paid $0.25 per share and declared an additional $0.25 dividend. Warning! GuruFocus has detected 7 Warning Sign with FSBC. Is FSBC fairly valued? Test your thesis with our free DCF calculator. Release Date: April 28, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Five Star Bancorp (NASDAQ:FSBC) reported a strong Q1 2026 with earnings per share increasing to $0.87, up $0.04 from the prior quarter. The company achieved significant loan and deposit growth, with loans held for investment growing by 14% and total deposits by 26% on an annualized basis. Net income increased by 6% from the prior quarter, reaching $18.6 million. The net interest margin improved to 3.70%, reflecting disciplined pricing and a favorable mix of assets and liabilities. FSBC maintained strong asset quality with non-performing loans representing just 7 basis points of total loans held for investment. Increased competition in the market could impact FSBC's ability to maintain its growth trajectory. Ongoing global economic uncertainties, such as the Iran conflict, have triggered volatility in interest rates, posing potential risks. The company recorded a $2.7 million provision for credit losses, primarily related to loan growth, which could impact future profitability. Despite growth, FSBC's non-interest income was partially offset by a decline in earnings related to investments and venture-backed funds. The increase in total liabilities due to growth in interest-bearing and non-interest-bearing deposits could pressure future financial performance. Q: Can you provide insights into the Southern California expansion and potential for de novo operations? A: James Beckwith, President and CEO, mentioned that they are excited about the team in Southern California, which includes four business development officers and two support staff. The deal flow is strong, and they are considering opening full-service offices in Newport Beach and L.A. County as the team matures and develops. Q: What is driving the strong loan originations, and where do you see the most growth opportunities? A: James Beckwith explained that growth is coming from existing business development officers and new hires. They have 46 business development officers, and growth is spread across various verticals and geographies, including the Bay Area and agricultural sectors. Q: What factors contributed to the deposit growth, and are there opportunities for further funding cost leverage? A: James Beckwith stated that deposit growth was driven by new relationships and existing customer deposits. They aim to reduce wholesale deposits by the end of the year, which could provide relief in interest costs. The government banking team has been successful, contributing significantly to deposit growth. Q: How is the mix change in deposits being driven, and what impact does it have on the net interest margin (NIM)? A: James Beckwith noted that the mix change is due to both new and existing customer deposits. The NIM is expected to stabilize around 3.70% to 3.75%, with growth in net interest income driven by volume rather than rate changes. Q: How do you view the competitive landscape for loan growth, and what is driving your success? A: James Beckwith acknowledged the competitive environment but emphasized that their success is driven by the number of business development officers they have. They are winning their fair share of deals, and growth is primarily driven by the team's efforts and relationships. For the complete transcript of the earnings call, please refer to the full earnings call transcript.