ES Bancshares, Inc. Announces Third Quarter 2026 Results; Tenth Consecutive Quarter of Growth in Our Book Value Per Share

STATEN ISLAND, N.Y., Oct. 20, 2026 — ES Bancshares, Inc. (OTCQX: ESBS) (the “Company”) the holding company for Empire State Bank, (the “Bank”) today reported net income of $1.0 million, or $0.14 per diluted common share, for the quarter ended September 30, 2026, compared to a net income of $882 thousand, or $0.13 per diluted common share for the quarter ended June 30, 2026.

Key Quarterly Financial Data		2026 Highlights
Performance Metrics	3Q26	2Q26	1Q26		•Our core deposits grew by $3.5 million from year end 2025 inclusive of a $12.1 million increase in non-interest bearing deposits.
Return on average assets (%)		0.65		0.57		0.71
Return on average equity (%)		7.54		6.72		8.91
Return on average tangible equity (%)		7.63		6.80		9.02
Net interest margin (%)		3.21		3.10		3.06		•The Cost of Funds for the three months ended September 30, 2026, dropped to 2.36% from 2.41% in the prior linked quarter.
Income Statement (a)	3Q26	2Q26	1Q26
Net interest income	$	4,814	$	4,666	$	4,698
Non-interest income	$	369	$	317	$	366		•For 3 months ended September 30, 2026, the Company’s net interest margin increased to 3.21% compared to 3.10% for the 3 months ended June 30, 2026.
Net income	$	1,004	$	882	$	1,108
Earnings per diluted common share	$	0.14	$	0.13	$	0.16
Balance Sheet (a)	3Q26	2Q26	1Q26		•Book value for the quarter ended September 30, 2026, totaled $7.78 per share increasing for the tenth consecutive quarter.
Average total loans	$	525,813	$	533,801	$	541,939
Average total deposits	$	508,855	$	503,221	$	515,419
Book value per share	$	7.78	$	7.64	$	7.50
Tangible book value per share	$	7.69	$	7.56	$	7.42
(a) In thousands except for per share amounts

Phil Guarnieri, Director, and Chief Executive Officer of ES Bancshares said “We have increased our earnings per share, net interest margin and our net interest income this quarter. Our book value per share has grown to $7.78. Our cost containment program and greater efficiencies have contributed to our improved performance this quarter.”

Selected Balance Sheet Information:

September 30, 2026 vs. December 31, 2025

As of September 30, 2026, total assets were $596.1 million, a decrease of $20.6 million, or 3.3%, as compared to total assets of $616.7 million on December 31, 2025. The decrease can be attributed to our reductions in our borrowed funds and brokered deposits partially offset by our increase in non-interest deposits and a corresponding decrease in loans receivable of $26.4 million.

Loans receivable, net of Allowance for Credit Losses on Loans totaled $518.2 million, a decrease of $26.4 million or 4.9% from December 31, 2025. As of September 30, 2026, the Allowance for Credit Losses on Loans as a percentage of gross loans was 0.98%.

Nonperforming assets, which includes nonaccrual loans and foreclosed real estate were $4.9 million or 0.83% of total assets, as of September 30, 2026, decreasing from $5.9 million, or $958 thousand, from December 31, 2025. The ratio of nonaccrual loans to loans receivable, net was 0.95%, as of September 30, 2026, and 1.08% for December 31, 2025. The decrease from December 31, 2025, was primarily due to the payoff of one non-owner occupied commercial real estate loan in the first quarter of 2026.

Total liabilities decreased $23.3 million to $542.5 million at September 30, 2026, from $565.8 million at December 31, 2025. The decrease can be attributed to decrease in borrowed money of $13.6 million and a decrease in brokered deposits of $15.0 million, partially offset by an increase in non-interest deposits of $12.1 million.

As of September 30, 2026, the Bank's Tier 1 capital leverage ratio, common equity tier 1 capital ratio, Tier 1 capital ratio and total capital ratios were 10.35%, 15.62%, 15.62% and 16.87% respectively, all in excess of the ratios required to be deemed "well-capitalized." During the third quarter of 2026 the Company did not repurchase any shares. We have terminated our second stock repurchase plan. Book value per common share was $7.78 at September 30, 2026, compared to $7.34 at December 31, 2025. Tangible common book value per share (which represents common equity less goodwill, divided by the number of shares outstanding) was $7.69 at September 30, 2026, compared to $7.25 at December 31, 2025.

Financial Performance Overview:

Three Months Ended September 30, 2026, vs. June 30, 2026

For the three months ended September 30, 2026, the Company net income totaled $1.0 million, compared to a net income of 882 thousand for the three months ended June 30, 2026. The increase can be attributed to higher net interest income partially offset by higher income taxes.

Net interest income for the three months ended September 30, 2026 increase $148 thousand to $4.8 million, from $4.7 million in the June quarter despite the lower average loan balance during the current quarter. The Company’s net interest margin increased by 11 basis points to 3.21% for the three months ended September 30, 2026, as compared to 3.10% for the three months ended June 30, 2026. The increase in margin can be attributed to a decrease in interest expense on borrowings. Our subordinated debt repriced as of Jul 30, 2026, and adjusts quarterly at a margin of 579 basis points over the 3-month SOFR rate.

There was a $44 thousand reversal for credit losses taken for the three months ended September 30, 2026, compared to a $52 thousand reversal for credit losses for the three months ended June 30, 2026. The reversal for credit losses was due to reversal of the loan and investment allowance for credit losses due to the lower outstanding balances of each respective category.

Non-interest income increased $52 thousand, to $369 thousand for the three months ended September 30, 2026, compared with non-interest income of $317 thousand for the three months ended June 30, 2026. The majority of the increase can be attributed to higher service charges and fees on loans in the third quarter of 2026. We have not yet received the remaining ERTC installments for the 2021 tax year.

Non-interest expenses remained at $3.9 million for the three months ended September 30, 2026, and for the three months ended June 30, 2026. The largest fluctuations quarter over quarter were due to a $196 thousand increase in compensation and benefits, partially offset by a decrease of $106 thousand in professional fees and a $49 thousand decrease in marketing.

About ES Bancshares Inc.
ES Bancshares, Inc. (the “Company”) is incorporated under Maryland law and serves as the holding company for Empire State Bank (the “Bank”). The Company is subject to regulation by the Board of Governors of the Federal Reserve System while the Bank is primarily subject to regulation and supervision by the New York State Department of Financial Services. Currently, the Company does not transact any material business other than through the Bank, its subsidiary.

The Bank was organized under federal law in 2004 as a national bank regulated by the Office of the Comptroller of the Currency. The Bank's deposits are insured up to legal limits by the FDIC. In March 2009, the Bank converted its charter to a New York State commercial bank charter. The Bank’s principal business is attracting commercial and retail deposits in New York and investing those deposits primarily in loans, consisting of commercial real estate loans, and other commercial loans including SBA and mortgage loans secured by one-to-four-family residences. In addition, the Bank invests in mortgage-backed securities, securities issued by the U.S. Government and agencies thereof, corporate securities and other investments permitted by applicable law and regulations.

We operate from our five Banking Center locations, a Loan Production Office and our Corporate Headquarters located in Staten Island, New York. The Company’s website address is www.esbna.com. The Company’s annual report, quarterly earnings releases and all press releases are available free of charge through its website, as soon as reasonably practicable.

Forward-Looking Statements

This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as “may”, “will”, “expect”, “believe”, “anticipate”, “estimate” or “continue” or comparable terminology, are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within ES Bancshares, Inc’s. control. The forward-looking statements included in this release are made only as of the date of this release. We have no intention, and do not assume any obligation, to update these forward-looking statements.

Investor Contact:
Peggy Edwards, Corporate Secretary
(845) 451-7825

ES Bancshares, Inc. Consolidated Statement of Financial Condition (in thousands)
		September 30, 2026		December 31, 2025
		(unaudited)
Assets
Cash and cash equivalents		$	22,169			$	36,645
Securities, net			33,403				11,915
Loans receivable, net:
Real estate mortgage loans			507,359				528,158
Commercial and Lines of Credit			12,433				17,648
Home Equity and Consumer Loans			284				379
Deferred costs			3,217				3,544
Allowance for Loan Credit Losses			(5,121	)			(5,142	)
Total loans receivable, net			518,172				544,586
Accrued interest receivable			3,034				2,649
Investment in restricted stock, at cost			3,215				3,846
Goodwill			581				581
Bank premises and equipment, net			3,713				4,128
Repossessed assets			–				–
Right of use lease asset			4,345				5,019
Bank Owned Life Insurance			5,785				5,653
Other Assets			1,671				1,645
Total Assets		$	596,088			$	616,667
Liabilities & Stockholders' Equity
Non-Interest-Bearing Deposits		$	118,108			$	105,966
Interest-Bearing Deposits			372,927				381,531
Brokered Deposits			–				15,040
Total Deposits			491,035				502,537
Bond Issue, net of costs			11,359				11,823
Borrowed Money			25,737				39,328
Lease liability			4,624				5,307
Other Liabilities			9,765				6,839
Total Liabilities			542,520				565,834
Stockholders' equity			53,568				50,833
Total liabilities and stockholders' equity	$	596,088			$	616,667

	ES Bancshares, Inc. Consolidated Statement of Income (in thousands)
	Three Months Ended,
	September 30, 2026		June 30, 2026		March 31, 2026
	(unaudited)
Interest income
Loans	$	7,397			$	7,383			$	7,510
Securities		230				149				181
Other interest-earning assets		445				463				464
Total Interest Income		8,072				7,995				8,155
Interest expense
Deposits		2,606				2,602				2,721
Borrowings		652				727				736
Total Interest Expense		3,258				3,329				3,457
Net Interest Income		4,814				4,666				4,698
Reversal of Credit Losses		(44	)			(52	)			(21	)
Net Interest Income after Provision for Credit Losses		4,858				4,718				4,719
Non-interest income
Service charges and fees		320				270				301
Other		49				47				65
Total non-interest income		369				317				366
Non-interest expenses
Compensation and benefits		2,096				1,900				2,112
Occupancy and equipment		618				615				624
Data processing service fees		333				326				315
Professional fees		199				305				272
FDIC & NYS Banking Premiums		80				96				101
Marketing		73				122				79
Insurance		48				48				49
Other		453				451				491
Total non-interest expense		3,900				3,863				4,043
Income(loss) prior to tax expense		1,327				1,172				1,042
Income taxes		323				290				(66	)
Net Profit	$	1,004			$	882			$	1,108

		ES Bancshares, Inc.
		Average Balance Sheet Data
		For the Three Months Ended (dollars in thousands)
		September 30, 2026	June 30, 2026	March 31, 2026
		Avg Bal	Interest	Average	Avg Bal	Interest	Average	Avg Bal	Interest	Average
		Rolling 3 Mos.	Rolling 3 Mos.	Yield/Cost	Rolling 3 Mos.	Rolling 3 Mos.	Yield/Cost	Rolling 3 Mos.	Rolling 3 Mos.	Yield/Cost
Assets
Interest-earning assets:
Loans receivable		$	525,813	$	7,397	5.63	%	$	533,801	$	7,383	5.53	%	$	541,939	$	7,510	5.54	%
Investment securities			25,910		230	3.55	%		18,079		149	3.29	%		21,053		181	3.43	%
Other interest earning assets			48,646		445	3.71	%		49,961		463	3.76	%		50,677		464	3.71	%
Total interest-earning assets			600,369		8,072	5.38	%		601,841		7,995	5.31	%		613,669		8,155	5.31	%
Non-interest earning assets			13,439				14,932				28,474
Total assets		$	613,808			$	616,773			$	642,143
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Demand Deposit accounts		$	37,787	$	35	0.36	%	$	36,234	$	35	0.38	%	$	39,363	$	36	0.37	%
Savings accounts			225,436		1,327	2.34	%		214,768		1,282	2.39	%		221,971		1,360	2.48	%
Certificates of deposit			134,906		1,244	3.66	%		146,949		1,285	3.51	%		149,160		1,235	3.36	%
Total interest-bearing deposits			398,130		2,606	2.60	%		397,951		2,602	2.62	%		410,494		2,721	2.69	%
Borrowings			30,859		361	4.64	%		38,002		444	4.69	%		39,200		454	4.69	%
Subordinated debenture			11,356		291	10.20	%		11,346		283	9.97	%		11,337		282	9.95	%
Total interest-bearing liabilities			440,344		3,258	2.94	%		447,299		3,329	2.98	%		461,031		3,457	3.04	%
Non-interest-bearing demand deposits			110,726				105,270				104,925
Other liabilities			9,473				11,717				24,577
Total non-interest-bearing liabilities			120,199				116,987				129,502
Stockholders' equity			53,265				52,487				51,610
Total liabilities and stockholders' equity		$	613,808			$	616,773			$	642,143
Net interest income			$	4,814			$	4,666			$	4,698
Average interest rate spread (1)				2.44	%			2.33	%			2.27	%
Net interest margin (2)				3.21	%			3.10	%			3.06	%
(1) Average interest rate spread represents the difference between the yield on average interest-earning assets and
and the cost of average interest-bearing liabilities.
(2) Net interest margin represents net interest income divided by average total interest-earning assets.

				ES Bancshares, Inc.
Five Quarter Performance Ratio Highlights	Three Months Ended
September 30, 2026	June 30, 2026	March 31, 2026	December 31, 2025	September 30, 2025
Performance Ratios (%) – annualized
	Return on Average Assets		0.65	%		0.57	%		0.71	%		0.42	%		0.41	%
	Return on Average Equity		7.54	%		6.72	%		8.91	%		5.31	%		5.12	%
	Return on Average Tangible Equity		7.63	%		6.80	%		9.02	%		5.37	%		5.18	%
	Efficiency Ratio		75.23	%		77.52	%		79.84	%		80.84	%		81.71	%
Yields / Costs (%)
	Average Yield – Interest Earning Assets		5.38	%		5.31	%		5.31	%		5.21	%		5.25	%
	Average Cost – Interest-bearing Liabilities		2.94	%		2.98	%		3.04	%		3.20	%		3.22	%
	Net Interest Margin		3.21	%		3.10	%		3.06	%		2.77	%		2.79	%
Capital Ratios (%)
	Equity / Assets		8.99	%		8.52	%		8.07	%		8.25	%		8.07	%
	Tangible Equity / Assets		8.90	%		8.44	%		7.99	%		8.16	%		7.98	%
	Tier I leverage ratio (a)		10.35	%		10.13	%		10.01	%		10.00	%		9.91	%
	Common equity Tier I capital ratio (a)		15.62	%		15.07	%		15.10	%		14.91	%		14.51	%
	Tier 1 Risk-based capital ratio (a)		15.62	%		15.07	%		15.10	%		14.91	%		14.51	%
	Total Risk-based capital ratio (a)		16.87	%		16.32	%		16.35	%		16.16	%		15.76	%
Stock Valuation
	Book Value (c)	$	7.78		$	7.64		$	7.50		$	7.34		$	7.24
	Tangible Book Value (c)	$	7.69		$	7.56		$	7.42		$	7.25		$	7.15
	Shares Outstanding (b)		6,886			6,887			6,927			6,926			6,926
Asset Quality (%)
	ACL / Total Loans		0.98	%		0.97	%		0.95	%		0.94	%		0.93	%
	Non Performing Loans / Total Loans, net		0.95	%		0.93	%		0.92	%		1.08	%		1.10	%
	Non Performing Assets / Total Assets		0.83	%		0.80	%		0.78	%		0.96	%		0.98	%
	(a) Ratios at Bank level (b) Shares information presented in thousands (c) Share value is in dollars

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