The Hometown Bank of Alabama: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 12.07% (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: 12.07% (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 18.97% +12.47 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 | $74.3M | 74,344 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $391.8M | 391,825 | RCOAA223 |
| Recomputed ratio | 18.97% | numerator / denominator | |
| Filed ratio | 18.97% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +12.47 pp | $48.9M | capital that could be lost first |
Tier 1 risk-based capital ratio 18.97% +10.97 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 | $74.3M | 74,344 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $391.8M | 391,825 | RCOAA223 |
| Recomputed ratio | 18.97% | numerator / denominator | |
| Filed ratio | 18.97% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +10.97 pp | $43.0M | capital that could be lost first |
Total risk-based capital ratio 20.07% +10.07 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 | $78.7M | 78,658 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $391.8M | 391,825 | RCOAA223 |
| Recomputed ratio | 20.07% | numerator / denominator | |
| Filed ratio | 20.07% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +10.07 pp | $39.5M | capital that could be lost first |
Tier 1 leverage ratio 11.08% +6.08 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 | $74.3M | 74,344 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $670.9M | 670,875 | RCOAA224 |
| Recomputed ratio | 11.08% | numerator / denominator | |
| Filed ratio | 11.08% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +6.08 pp | $40.8M | 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 | 17,147 | 17,147 | 17,147 | 17,147 | 17,147 | 17,147 | RCOAP742 |
| Retained earnings | 57,197 | 55,709 | 58,151 | 56,538 | 54,282 | 52,380 | RCOAKW00 |
| Accumulated other comprehensive income | (11,284) | (12,754) | (14,253) | (14,478) | (14,851) | (14,912) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 63,060 | 60,102 | 61,045 | 59,207 | 56,578 | 54,615 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 11,284 | 12,754 | 14,253 | 14,478 | 14,851 | 14,912 | P859 - P840 |
| Common equity Tier 1 capital | 74,344 | 72,856 | 75,298 | 73,685 | 71,429 | 69,527 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 74,344 | 72,856 | 75,298 | 73,685 | 71,429 | 69,527 | RCOA8274 |
| Tier 2 capital | 4,314 | 4,103 | 4,067 | 4,019 | 3,900 | 3,876 | RCOA5311 |
| Allowance includable in Tier 2 capital | 4,314 | 4,103 | 4,067 | 4,019 | 3,900 | 3,876 | RCOA5310 |
| Total capital | 78,658 | 76,959 | 79,365 | 77,704 | 75,329 | 73,403 | RCOA3792 |
| Total risk-weighted assets | 391,825 | 390,421 | 389,694 | 377,065 | 375,128 | 372,110 | RCOAA223 |
| Average total assets for the leverage ratio | 670,875 | 661,936 | 652,602 | 653,239 | 651,882 | 646,020 | 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 | $55.7M | $5.9M | 10.51% | 1.49% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $188.1M | $45.3M | 24.08% | 11.56% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $241.2M | $135.0M | 55.98% | 34.46% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $4.3M | $6.5M | 150.00% | 1.66% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $157.1M | $157.1M | 100.00% | 40.09% | RC-R Part II, item 4.d, 5.d |
| All other assets | $33.6M | $31.4M | 93.36% | 8.01% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $13.6M | $10.7M | 78.66% | 2.73% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $700 | 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 | $391.8M | ties to item 31 ($391.8M) |
|---|---|---|
| Risk-weighted assets before deductions | $391.8M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $391.8M | 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 | 18.97% | 18.97% | 20.07% | 11.08% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 18.66% | 18.66% | 19.71% | 11.01% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 19.32% | 19.32% | 20.37% | 11.54% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 19.54% | 19.54% | 20.61% | 11.28% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 19.04% | 19.04% | 20.08% | 10.96% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 18.68% | 18.68% | 19.73% | 10.76% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 19.03% | 19.03% | 20.07% | 11.06% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 18.42% | 18.42% | 19.35% | 10.61% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 17.93% | 17.93% | 18.92% | 10.25% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 17.82% | 17.82% | 18.72% | 10.25% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 19.49% | 19.49% | 20.45% | 11.39% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 19.23% | 19.23% | 20.21% | 10.91% | 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 Hometown Bank of Alabama (this bank) | Risk-based | 18.97% | 18.97% | 20.07% | 11.08% | |
| Bruning Bank | $659.9M | CBLR | NA | NA | NA | 10.01% |
| South Louisiana Bank | $659.8M | CBLR | NA | NA | NA | 15.30% |
| Wellington State Bank | $659.7M | Risk-based | 16.54% | 16.54% | 17.79% | 9.55% |
| The Bank of Bennington | $661.9M | Risk-based | 18.77% | 18.77% | 20.02% | 11.43% |
| CCB Community Bank | $661.9M | CBLR | NA | NA | NA | 10.53% |
| Carroll Bank and Trust | $662.1M | Risk-based | 11.88% | 11.88% | 12.78% | 8.25% |
| Abbybank | $662.2M | Risk-based | 12.76% | 12.76% | 13.78% | 9.43% |
| Washington County Bank | $662.3M | Risk-based | 16.52% | 16.52% | 17.65% | 12.79% |
| Four Corners Community Bank | $662.3M | CBLR | NA | NA | NA | 9.62% |
| First State Bank and Trust Company, Inc. | $659.0M | CBLR | NA | NA | NA | 12.57% |
| Peer 25th percentile | 12.76% | 12.76% | 13.78% | 9.57% | ||
| Peer median | 16.52% | 16.52% | 17.65% | 10.27% | ||
| Peer 75th percentile | 16.54% | 16.54% | 17.79% | 12.29% | ||
| This bank's percentile | 100 | 100 | 100 | 60 |
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/3217331/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.