Shareholders' Equity

6 Months Ended

Jun. 30, 2026

Stock Repurchase Program

The Board of Directors adopted the 2026 Repurchase Program, which authorizes the repurchase of up to 850,000 shares, or approximately 4.5%, of the Bancorp’s outstanding common stock. This authority may be exercised from time to time and in such amounts as market conditions warrant, and subject to regulatory considerations. The timing and actual number of shares repurchased will depend on a variety of factors including price, corporate and regulatory requirements, market conditions, and other corporate liquidity requirements and priorities. Repurchases under the 2026 Repurchase Program will be conducted pursuant to a trading plan adopted by the Bancorp that is designed to qualify under Rule 10b5-1 under the Exchange Act. The 2026 Repurchase Program commenced on May 16, 2026 and expires on May 16, 2027 and may be modified, suspended, or discontinued at any time. There have been no shares repurchased under the 2026 Repurchase Program.

The 2025 Repurchase Program expired on May 15, 2026. The Bancorp had repurchased a total of 267,658 shares, at an average price of $27.26 and a total cost of $7.4 million, under the 2025 Repurchase Program. No shares were repurchased in the three and six months ended June 30, 2026. The total cost included $65 thousand of excise tax attributable to shares that were repurchased.

Regulatory Capital Requirements

Capital levels at June 30, 2026 exceeded the regulatory minimum levels to be considered “well capitalized.”

The following table presents the Corporation’s and the Bank’s actual capital amounts and ratios, as well as the corresponding minimum and well capitalized regulatory amounts and ratios that were in effect during the respective periods:


(Dollars in thousands)	Actual			For Capital Adequacy Purposes			To Be “Well Capitalized” Under Prompt Corrective Action Provisions
	Amount	Ratio		Amount	Ratio		Amount	Ratio
June 30, 2026
Total Capital (to Risk-Weighted Assets):
Corporation	$629,376	13.28	%	$379,010	8.00	%	N/A	N/A
Bank	622,523	13.15		378,811	8.00		$473,513	10.00	%
Tier 1 Capital (to Risk-Weighted Assets):
Corporation	585,465	12.36		284,258	6.00		N/A	N/A
Bank	578,612	12.22		284,108	6.00		378,811	8.00
Common Equity Tier 1 Capital (to Risk-Weighted Assets):
Corporation	563,468	11.89		213,193	4.50		N/A	N/A
Bank	578,612	12.22		213,081	4.50		307,784	6.50
Tier 1 Capital (to Average Assets): (1)
Corporation	585,465	9.02		259,727	4.00		N/A	N/A
Bank	578,612	8.92		259,584	4.00		324,480	5.00

December 31, 2025
Total Capital (to Risk-Weighted Assets):
Corporation	615,600	12.95		380,342	8.00		N/A	N/A
Bank	607,862	12.79		380,144	8.00		475,180	10.00
Tier 1 Capital (to Risk-Weighted Assets):
Corporation	577,224	12.14		285,256	6.00		N/A	N/A
Bank	569,486	11.98		285,108	6.00		380,144	8.00
Common Equity Tier 1 Capital (to Risk-Weighted Assets):
Corporation	555,227	11.68		213,942	4.50		N/A	N/A
Bank	569,486	11.98		213,831	4.50		308,867	6.50
Tier 1 Capital (to Average Assets): (1)
Corporation	577,224	8.65		267,046	4.00		N/A	N/A
Bank	569,486	8.53		266,921	4.00		333,651	5.00

(1) Leverage ratio.

In addition to the minimum regulatory capital required for capital adequacy outlined in the table above, the Corporation and the Bank are required to maintain a minimum capital conservation buffer, in the form of common equity, of 2.50%, resulting in a requirement for the Corporation and the Bank to effectively maintain total capital, Tier 1 capital, and common equity Tier 1 capital ratios of 10.50%, 8.50%, and 7.00%, respectively. The Corporation and the Bank must maintain the capital conservation buffer to avoid restrictions on the ability to pay dividends and discretionary bonuses. The Corporation’s and the Bank’s capital levels exceeded the minimum regulatory capital requirements plus the capital conservation buffer at June 30, 2026 and December 31, 2025.

The Bancorp owns the common stock of two capital trusts, which have issued trust preferred securities. In accordance with GAAP, the capital trusts are treated as unconsolidated subsidiaries. At both June 30, 2026 and December 31, 2025, $22.0 million in trust preferred securities were included in the Tier 1 capital of the Corporation for regulatory capital reporting purposes pursuant to the capital adequacy guidelines of the Federal Reserve.

- Definition

The entire disclosure for regulatory capital requirement for depository and lending institutions. Institutions include, but not are not limited to, finance company, insured depository institution, bank holding company, savings and loan association holding company, bank and savings institution not federally insured, mortgage company, foreign financial institution and credit union.

+ References + Details