Potomac Bancshares, Inc. · OTC:PTBS
Potomac Bancshares — Investor Presentation (February 2026)
33 slides from Potomac Bancshares's investor presentation, February 2026
Slide 1: Investor Presentation
Investor Presentation February 2026
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements made in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs a
Slide 3: Overview of Potomac Bancshares
Overview of Potomac Bancshares 3
Slide 4: Our Company
Our Company ($ in thousands) 2023Y 2024Y 2025Y Balance Sheet Total Assets $830,714 $877,349 $944,126 Total Loans $651,360 $704,109 $751,604 Total Deposits $739,680 $754,358 $813,029 Shareholders' Equity $66,874 $73,416 $82,387 TCE/TA 8.05% 8.37% 8.73% Profitability Metrics Adjusted ROAA (1) 0.95% 0.
Slide 5: Well Positioned in Our Markets
Well Positioned in Our Markets Jefferson and Berkeley County • Ideally located on Interstate 81 provides access to 75% of East Coast within 7 hours' drive. • Recent business investments from three companies total $559 million in investments with 1,020 jobs. Existing manufacturing companies continue
Slide 6: Market Opportunity in West Virginia
Market Opportunity in West Virginia Jefferson County, WV Berkeley County, WV Growth Opportunity Rank Institution Deposits ($mm) Market Share (%) Branches Rank Insitiution Deposits ($mm) Market Share (%) Branches 1 United Bankshares Inc. $591,186 29.1% 4 2 Truist Financial Corp. 384,505 18.9% 3 1 Pot
Slide 7: Market Opportunity in Maryland and Virginia
Market Opportunity in Maryland and Virginia Washington County, MD Loudoun County, VA Growth Growth Opportunity Opportunity Rank Insitiution Deposits ($mm) Market Share (%) Branches Rank Insitiution Deposits ($mm) Market Share (%) Branches 1 Fulton Financial Corp. $629,938 19.2% 4 1 Truist Financial
Slide 8: Diversified Portfolios
Diversified Portfolios Loan Portfolio by Region Deposit Portfolio by Region (in thousands) (in thousands) $57,390 $29,192 8% 4% $244,496 30% $374,488 50% $319,726 42% $539,341 66% Maryland West Virginia Virginia Maryland West Virginia Virginia Strategic expansion initiatives began July 2018 Unaudite
Slide 9: Adjusted Net Income (Non-GAAP)
Adjusted Net Income (Non-GAAP) (in thousands) $10,000 $9,000 $228 $8,000 $526 $7,000 $1,629 $6,000 $5,000 $8,999 $4,000 $7,602 $7,448 $855 $7,075 $3,000 $5,949 $2,000 $3,397 $3,219 $2,943 $1,000 $0 $(290) $(204) $(338) $(619) ($1,000) 2018 2019 2020 2021 2022 2023 2024 2025 Adjusted net income Net l
Slide 10: Thoughtful Diversification of Commercial Specialties
Thoughtful Diversification of Commercial Specialties Traditional C&I lending in our Commercial Real Estate led SBA Lending added in May Government Contractor Core Markets led by seasoned, by seasoned, well-known 2021 led by a seasoned banker, business line added in well-known Community banker with c
Slide 11: Scalable Fee Income Based on Business Lines
Scalable Fee Income Based on Business Lines • Partnered with Clearstead Advisors for • Partnered with Lender Solutions for • Partnered with Sterling Financial Investment Management all back-office functions Management, a registered LPL • Outsourced backoffice to Fi-Tek • Better execution for greater
Slide 12: Strategic Objectives
Strategic Objectives Market Operational Geographic Profitability Share Excellence Expansion Be the “Employer of Optimize Choice” with processes to Deliver Increase Expand and consistently Our Culture of shareholder Market Share diversify into achieve “Collective value through in All Current new grow
Slide 13: Financial Overview
Financial Overview sz POTOMAC 22° BANCSHARES OTCID:PTBS
Slide 14: Consistent Balance Sheet Growth
Consistent Balance Sheet Growth Loans ($mm) 8.76% CAGR(1) Deposits ($mm) 8.19% CAGR(1) Assets ($mm) 8.74% CAGR(1) $751.6 $944.1 $704.1 $813.0 $877.3 $651.4 $739.7 $754.4 $830.7 $622.6 $756.1 $665.5 $629.1 $711.4 $517.0 $620.9 $494.0 $548.5 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025
Slide 15: Diversified Loan Portfolio
Diversified Loan Portfolio As of December 31, 2025 Loan Portfolio Composition Asset Quality • NPAs / Assets 0.00% Multifamily HELOC 4% • Substandard Loans Accruing / Total Loans 0.06% 5% • >30 Days Past Due Loans Accruing / Total Loans 0.09% Construction 1% RRE 1-4 Family C&I 31% 10% Loan Yield 5.57
Slide 16: Proactive Credit Risk Management Practices
Proactive Credit Risk Management Practices Proactive Underwriting Culture CRE and ADC Concentration Ratios • Loan stress testing is conducted: Managing CRE Concentrations 350.00% • At a transaction level, we stress test increased vacancy, rising interest rates, and high 300.00% capitalization rates
Slide 17: Low-Cost Deposit Portfolio
Low-Cost Deposit Portfolio As of December 31, 2025 Portfolio Composition Noninterest-Bearing Checking ($mm) $172 $183 $162 $162 CD Noninterest $141 17% Bearing $106 Checking 23% 2020 2021 2022 2023 2024 2025 1.70% Money Market Cost of 19% Deposits Cost of Deposits Interest 1.75% 1.70% Checking 1.17%
Slide 18: Assets Under Management
Diversified Revenue As of or for the year ending 12/31/2025 Wealth Management Assets Under Management ($mm) Noninterest Income Bank owned life $400.0 $2.1 insurance $1.9 Assets Under Management Interchange fees $1.7 $2.0 5% 28% $300.0 $1.5 $1.4 Other operating $1.5 Revenue $1.2 income $200.0 8% $1.0
Slide 19: Earnings and Profitability
Earnings and Profitability Earnings Per Share Return on Equity (ROE) ($) (%) 13.22% 12.35% 11.59% $2.16 11.46% $1.83 $1.77 $1.75 9.80% $1.65 7.09% $0.92 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 Return on Assets (ROA) Efficiency Ratio (%) (%) 73.34% 1.12% 0.99% 70.48% 0.91% 0.97% 6
Slide 20: Liquidity and Interest Rate Risk
Liquidity and Interest Rate Risk As of year, ending 12/31/2025, unless otherwise noted Securities Portfolio Other Sources of Liquidity Muni SBA • $76.0 million of interest-bearing deposits in banks in Corporate 5% 5% other financial institutions 6% • $311.9 million available at FHLB of Pittsburgh Tr
Slide 21: Strong Capital Position
Strong Capital Position Capital Management Strategy As of December 31, 2025 Objectives: • Maintain designation as a “well-capitalized institution.” • Ensure capital levels are commensurate with the Company’s risk profile, capital stress test projections, and strategic plan. Actual Pro Forma Includin
Slide 22: Delivering Shareholder Value
Delivering Shareholder Value Tangible Book Value Per Share Cash Dividends Per Share 8.4% CAGR(2) 12.7% CAGR(2) $0.51 $19.88 $0.46 $17.71 $15.55 $15.43 $16.14 $0.38 $0.35 $13.26 $0.31 $0.28 2020 2021 2022 2023 2024 2025 (1) 2020 2021 2022 2023 2024 2025 (1) (1) 2025 Information is unaudited. (2) Comp
Slide 23: Questions?
Questions? POTOMAC BANCSHARES OTCID:PTBS
Slide 24: Appendix
Appendix POTOMAC BANCSHARES OTCID:PTBS
Slide 25: Commercial Real Estate: Non-Owner Occupied
Commercial Real Estate: Non-Owner Occupied ($000s) Exposure by Asset Class Exposure by Location Information as of 12/31/2025. Unaudited. 25
Slide 26: Commercial Real Estate: Office Buildings
Commercial Real Estate: Office Buildings (not including medical) Exposure by State • Office real estate is primarily “Main Street” and not major city centers; tenants are commonly local real estate agents, accountants, and attorneys • Total exposure $26.5 million across 20 assets/ facilities • Large
Slide 27: Commercial Real Estate: Owner Occupied
Commercial Real Estate: Owner Occupied Diverse Across Multiple Industries As of 12/31/2025 $ in thousands 27
Slide 28: Diversified Loan Portfolio
Diversified Loan Portfolio C&Is and LOCs • In late 2022, we pivoted the loan portfolio for greater diversity by focusing on C&I Lending and Lines of Credit diversification • The bank pivoted business development focus to operating companies with deposit, equipment and working capital line of credit
Slide 29: Experienced & Proven Leadership Team
Experienced & Proven Leadership Team Alice Frazier joined Potomac Bancshares, Inc. in 2017 as President & Chief Executive Officer. She has over 33 years of banking experience. Prior to Potomac Bancshares Inc., she served as Executive Vice President and Chief Operating Officer of Cardinal Financial C
Slide 30: Diversified Board of Directors
Diversified Board of Directors In addition to its top-notch management team, the Company is proud of its board of directors and believes that it serves a critical role in formulating strategy while exemplifying sound corporate governance. The board is very diverse in terms of backgrounds, perspectiv
Slide 31: Non-GAAP Reconciliations
Non-GAAP Reconciliations For the Years Ended December 31, 2020 2021 2022 2023 2024 2025 Adjusted Net Income: j Net income (GAAP) $ 3,798 $ 7,576 $ 7,311 $ 7,264 $ 6,829 $ 8,956 Add: Net losses on sale of securities (17) (8) 367 428 783 - Add: Core system conversion expense - - - - - 85 Add: Renaming
Slide 32: Non-GAAP Reconciliations
Non-GAAP Reconciliations . For the Years Ended December 31, 2020 2021 2022 2023 2024 2025 Adjusted Performance Ratios: Average assets $ 584,308 $ 676,429 $ 738,485 $ 796,673 $ 858,988 $ 924,816 Return on average assets (GAAP) 0.65% 1.12% 0.99% 0.91% 0.80% 0.97% Adjusted return on average assets (non
Slide 33: z il
z il
Potomac Bancshares — Investor Presentation (February 2026) on 6ix