The Friendship State Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 8.62% (2Q26), against the 2.50% a bank must hold above each risk-based minimum to pay dividends and discretionary bonuses without limits. The buffer is the smallest of the three cushions over the minimums; here the binding ratio is Total capital. The bank clears the requirement. Filed figure: 8.62% (RCOAH311).
What each ratio is made of, 2Q26
Open a ratio to see its numerator and denominator as filed, our recomputation, and how far it sits above each regulatory line.
Common equity Tier 1 ratio 15.47% +8.97 pp over well capitalized
Common equity Tier 1 is the loss-absorbing core: common stock, retained earnings and most of accumulated other comprehensive income, less goodwill, intangibles and other deductions. It is measured against risk-weighted assets.
| Common equity Tier 1 capital | $48.0M | 48,011 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $310.3M | 310,276 | RCOAA223 |
| Recomputed ratio | 15.47% | numerator / denominator | |
| Filed ratio | 15.47% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +8.97 pp | $27.8M | capital that could be lost first |
Tier 1 risk-based capital ratio 15.47% +7.47 pp over well capitalized
Tier 1 adds additional Tier 1 instruments, such as qualifying noncumulative perpetual preferred stock, to common equity Tier 1. Measured against risk-weighted assets.
| Tier 1 capital | $48.0M | 48,011 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $310.3M | 310,276 | RCOAA223 |
| Recomputed ratio | 15.47% | numerator / denominator | |
| Filed ratio | 15.47% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +7.47 pp | $23.2M | capital that could be lost first |
Total risk-based capital ratio 16.62% +6.62 pp over well capitalized
Total capital adds Tier 2, mostly qualifying subordinated debt and the allowance for credit losses up to 1.25% of risk-weighted assets, to Tier 1. Measured against risk-weighted assets.
| Total capital | $51.6M | 51,570 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $310.3M | 310,276 | RCOAA223 |
| Recomputed ratio | 16.62% | numerator / denominator | |
| Filed ratio | 16.62% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +6.62 pp | $20.5M | capital that could be lost first |
Tier 1 leverage ratio 8.79% +3.79 pp over well capitalized
Tier 1 capital over average total assets for the quarter, with no risk weighting. It caps how far a bank can grow on low-risk-weight assets.
| Tier 1 capital | $48.0M | 48,011 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $546.1M | 546,137 | RCOAA224 |
| Recomputed ratio | 8.79% | numerator / denominator | |
| Filed ratio | 8.79% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +3.79 pp | $20.7M | capital that could be lost first |
Amounts in the middle column are thousands of dollars as filed. Ratios are the standardized column of Schedule RC-R Part I.
The capital stack, $ thousands
From common equity to total capital, then the denominators the ratios divide by. Negatives in parentheses.
| Line | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q25 | Source |
|---|---|---|---|---|---|---|---|
| Common stock plus related surplus, net of treasury stock | 17,288 | 17,288 | 17,288 | 17,288 | 17,288 | 17,288 | RCOAP742 |
| Retained earnings | 32,291 | 31,894 | 31,119 | 30,615 | 30,317 | 30,129 | RCOAKW00 |
| Accumulated other comprehensive income | (8,024) | (8,684) | (8,027) | (9,235) | (11,103) | (12,308) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 41,555 | 40,498 | 40,380 | 38,668 | 36,502 | 35,109 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 6,456 | 7,116 | 6,459 | 7,667 | 9,535 | 10,740 | P859 - P840 |
| Common equity Tier 1 capital | 48,011 | 47,614 | 46,839 | 46,335 | 46,037 | 45,849 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 48,011 | 47,614 | 46,839 | 46,335 | 46,037 | 45,849 | RCOA8274 |
| Tier 2 capital | 3,559 | 3,581 | 3,599 | 3,549 | 3,571 | 3,581 | RCOA5311 |
| Allowance includable in Tier 2 capital | 3,559 | 3,581 | 3,599 | 3,549 | 3,571 | 3,581 | RCOA5310 |
| Total capital | 51,570 | 51,195 | 50,438 | 49,884 | 49,608 | 49,430 | RCOA3792 |
| Total risk-weighted assets | 310,276 | 313,661 | 310,182 | 308,195 | 305,687 | 302,884 | RCOAA223 |
| Average total assets for the leverage ratio | 546,137 | 554,849 | 552,925 | 550,181 | 546,512 | 536,496 | RCOAA224 |
Risk-weighted assets by exposure category, 2Q26
Each category's exposure is filed across the risk-weight columns of Schedule RC-R Part II; its risk-weighted assets are each allocation times its weight. The average risk weight says how much capital a dollar of that exposure consumes.
| Category | Exposure | Risk-weighted | Avg weight | Share of RWA | Source |
|---|---|---|---|---|---|
| Cash and balances due | $11.7M | $1.3M | 11.47% | 0.43% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $177.4M | $43.6M | 24.56% | 14.05% | RC-R Part II, item 2.a, 2.b |
| Fed funds sold and repo-style transactions | $165K | $33K | 20.00% | 0.01% | RC-R Part II, item 3.a, 16 |
| Loans: residential mortgage | $199.2M | $100.2M | 50.30% | 32.30% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $24K | $36K | 150.00% | 0.01% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $135.4M | $131.8M | 97.38% | 42.49% | RC-R Part II, item 4.d, 5.d |
| All other assets | $32.1M | $28.5M | 88.71% | 9.18% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $6.1M | $4.7M | 77.82% | 1.52% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $300 | NA | 0.00% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $310.3M | ties to item 31 ($310.3M) |
|---|---|---|
| Risk-weighted assets before deductions | $310.3M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $310.3M | RCONG641, ties |
12 quarters against the asset-tier median
| Quarter | Framework | CET1 | Tier 1 | Total capital | Leverage | Tier median CET1 | Tier median Tier 1 | Tier median Total capital | Tier median Leverage |
|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | Risk-based | 15.47% | 15.47% | 16.62% | 8.79% | 15.12% | 15.13% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 15.18% | 15.18% | 16.32% | 8.58% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 15.10% | 15.10% | 16.26% | 8.47% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 15.03% | 15.03% | 16.19% | 8.42% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 15.06% | 15.06% | 16.23% | 8.42% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 15.14% | 15.14% | 16.32% | 8.55% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 15.18% | 15.18% | 16.37% | 8.60% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 15.38% | 15.38% | 16.55% | 8.63% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 15.41% | 15.41% | 16.60% | 8.69% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 15.65% | 15.65% | 16.88% | 8.58% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 15.43% | 15.43% | 16.67% | 8.12% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 15.24% | 15.24% | 16.48% | 7.97% | 14.65% | 14.67% | 15.79% | 10.60% |
NA means not filed for that quarter: a community bank leverage ratio filer files no risk-based ratios. Tier medians are the served benchmark for banks in the same asset tier.
Against similar banks, 2Q26
| Bank | Assets | Framework | CET1 | Tier 1 | Total capital | Leverage |
|---|---|---|---|---|---|---|
| The Friendship State Bank (this bank) | Risk-based | 15.47% | 15.47% | 16.62% | 8.79% | |
| Bank of Texas | $543.6M | Risk-based | 15.09% | 15.09% | 16.33% | 13.01% |
| Eaton Community Bank | $543.5M | CBLR | NA | NA | NA | 12.89% |
| Labette Bank | $544.4M | CBLR | NA | NA | NA | 13.06% |
| Bank of the Flint Hills | $544.5M | Risk-based | 10.03% | 10.03% | 11.22% | 8.65% |
| Lisle Savings Bank | $544.5M | CBLR | NA | NA | NA | 26.10% |
| Austin County State Bank | $543.0M | CBLR | NA | NA | NA | 9.55% |
| First State Bank & Trust | $542.6M | Risk-based | 28.50% | 28.50% | 29.63% | 15.38% |
| Milford Federal Bank | $545.1M | CBLR | NA | NA | NA | 11.94% |
| Glenwood State Bank (Incorporated) | $545.2M | Risk-based | 12.14% | 12.14% | 13.39% | 10.28% |
| Merchants & Farmers Bank & Trust Company | $541.4M | CBLR | NA | NA | NA | 11.17% |
| Peer 25th percentile | 11.61% | 11.61% | 12.85% | 10.51% | ||
| Peer median | 13.61% | 13.61% | 14.86% | 12.41% | ||
| Peer 75th percentile | 18.44% | 18.44% | 19.65% | 13.05% | ||
| This bank's percentile | 75 | 75 | 75 | 10 |
Peer ratios use the same basis as this bank: the standardized column of Schedule RC-R where served, the filed summary otherwise. Similar banks are the nearest banks by size in the same asset tier.
Source: FFIEC Call Report Schedule RC-R, Parts I and II, as filed. Well capitalized means at least 6.5% CET1, 8% Tier 1, 10% total capital and 5% leverage under the prompt corrective action rules; a community bank leverage ratio filer must instead hold the leverage ratio its framework requires. The same figures are in the API at /api/v1/banks/427241/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.