Preferred Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 5.06% (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 Tier 1. The bank clears the requirement. Filed figure: 5.06% (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 11.06% +4.56 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 | $812.1M | 812,052 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $7.34B | 7,340,130 | RCOAA223 |
| Recomputed ratio | 11.06% | numerator / denominator | |
| Filed ratio | 11.06% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +4.56 pp | $334.9M | capital that could be lost first |
Tier 1 risk-based capital ratio 11.06% +3.06 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 | $812.1M | 812,052 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $7.34B | 7,340,130 | RCOAA223 |
| Recomputed ratio | 11.06% | numerator / denominator | |
| Filed ratio | 11.06% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +3.06 pp | $224.8M | capital that could be lost first |
Total risk-based capital ratio 13.74% +3.74 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 | $1.01B | 1,008,578 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $7.34B | 7,340,130 | RCOAA223 |
| Recomputed ratio | 13.74% | numerator / denominator | |
| Filed ratio | 13.74% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +3.74 pp | $274.6M | capital that could be lost first |
Tier 1 leverage ratio 10.55% +5.55 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 | $812.1M | 812,052 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $7.69B | 7,694,253 | RCOAA224 |
| Recomputed ratio | 10.55% | numerator / denominator | |
| Filed ratio | 10.55% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +5.55 pp | $427.3M | 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 | (12,796) | (14,754) | 22,581 | 36,766 | 40,965 | 96,079 | RCOAP742 |
| Retained earnings | 826,365 | 802,307 | 780,637 | 755,587 | 728,891 | 705,359 | RCOAKW00 |
| Accumulated other comprehensive income | (20,042) | (17,354) | (13,741) | (16,711) | (22,196) | (22,834) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 793,527 | 770,199 | 789,477 | 775,642 | 747,660 | 778,604 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 18,525 | 15,837 | 12,035 | 14,990 | 20,459 | 21,083 | P859 - P840 |
| Common equity Tier 1 capital | 812,052 | 786,036 | 801,512 | 790,632 | 768,119 | 799,687 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 812,052 | 786,036 | 801,512 | 790,632 | 768,119 | 799,687 | RCOA8274 |
| Tier 2 capital | 196,526 | 224,991 | 228,888 | 224,529 | 223,608 | 221,993 | RCOA5311 |
| Allowance includable in Tier 2 capital | 77,466 | 76,225 | 80,182 | 75,882 | 75,020 | 73,464 | RCOA5310 |
| Total capital | 1,008,578 | 1,011,027 | 1,030,400 | 1,015,161 | 991,727 | 1,021,680 | RCOA3792 |
| Total risk-weighted assets | 7,340,130 | 7,230,163 | 7,121,011 | 6,973,438 | 6,871,957 | 6,743,710 | RCOAA223 |
| Average total assets for the leverage ratio | 7,694,253 | 7,581,041 | 7,606,167 | 7,414,908 | 7,158,276 | 6,941,269 | 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 | $750.2M | $19.8M | 2.65% | 0.27% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $572.0M | $107.2M | 18.75% | 1.46% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $741.0M | $692.7M | 93.48% | 9.44% | RC-R Part II, item 4.a, 5.a |
| Loans: past due and nonaccrual | $95.5M | $143.3M | 150.00% | 1.95% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $5.44B | $5.35B | 98.38% | 72.95% | RC-R Part II, item 4.d, 5.d |
| All other assets | $232.1M | $217.6M | 93.75% | 2.96% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $807.0M | $801.7M | 99.34% | 10.92% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Market risk and other approaches | NA | $2.9M | NA | 0.04% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $7.34B | does not tie to item 31 ($7.34B) |
|---|---|---|
| Risk-weighted assets before deductions | $7.34B | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $7.34B | 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 | 11.06% | 11.06% | 13.74% | 10.55% | 13.52% | 13.55% | 14.66% | 10.52% |
| 1Q26 | Risk-based | 10.87% | 10.87% | 13.98% | 10.37% | 13.45% | 13.46% | 14.59% | 10.46% |
| 4Q25 | Risk-based | 11.26% | 11.26% | 14.47% | 10.54% | 13.36% | 13.37% | 14.44% | 10.38% |
| 3Q25 | Risk-based | 11.34% | 11.34% | 14.56% | 10.66% | 13.38% | 13.39% | 14.51% | 10.37% |
| 2Q25 | Risk-based | 11.18% | 11.18% | 14.43% | 10.73% | 13.21% | 13.21% | 14.27% | 10.30% |
| 1Q25 | Risk-based | 11.86% | 11.86% | 15.15% | 11.52% | 13.15% | 13.17% | 14.26% | 10.24% |
| 4Q24 | Risk-based | 11.80% | 11.80% | 15.11% | 11.33% | 13.02% | 13.05% | 14.10% | 10.07% |
| 3Q24 | Risk-based | 11.66% | 11.66% | 15.06% | 11.28% | 12.97% | 13.02% | 14.13% | 10.12% |
| 2Q24 | Risk-based | 11.52% | 11.52% | 14.93% | 10.89% | 12.93% | 12.94% | 14.06% | 10.10% |
| 1Q24 | Risk-based | 11.50% | 11.50% | 15.08% | 10.80% | 12.90% | 12.91% | 14.02% | 10.06% |
| 4Q23 | Risk-based | 11.57% | 11.57% | 15.18% | 10.85% | 12.81% | 12.82% | 13.92% | 10.01% |
| 3Q23 | Risk-based | 11.60% | 11.60% | 15.27% | 10.46% | 12.78% | 12.79% | 13.93% | 10.03% |
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 |
|---|---|---|---|---|---|---|
| Preferred Bank (this bank) | Risk-based | 11.06% | 11.06% | 13.74% | 10.55% | |
| Bangor Savings Bank | $7.74B | Risk-based | 10.38% | 10.38% | 11.14% | 7.79% |
| Stockman Bank of Montana | $7.75B | Risk-based | 12.01% | 12.01% | 13.27% | 9.89% |
| Equity Bank | $7.71B | Risk-based | 13.08% | 13.08% | 14.22% | 10.64% |
| Kearny Bank | $7.67B | Risk-based | 13.44% | 13.44% | 14.38% | 8.83% |
| Bankers Trust Company | $7.83B | Risk-based | 10.95% | 11.03% | 12.25% | 10.10% |
| Ocean Bank | $7.63B | Risk-based | 11.41% | 11.41% | 12.66% | 9.96% |
| Bank of Colorado | $7.61B | Risk-based | 14.74% | 14.74% | 15.99% | 10.53% |
| Ridgewood Savings Bank | $7.55B | CBLR | NA | NA | NA | 13.27% |
| Northpointe Bank | $7.53B | Risk-based | 11.10% | 11.10% | 11.26% | 9.54% |
| Peer 25th percentile | 11.07% | 11.09% | 12.01% | 9.54% | ||
| Peer median | 11.71% | 11.71% | 12.97% | 9.96% | ||
| Peer 75th percentile | 13.17% | 13.17% | 14.26% | 10.53% | ||
| This bank's percentile | 25 | 25 | 62 | 78 |
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/1918344/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.