Sterling Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 6.52% (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: 6.52% (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 13.52% +7.02 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 | $33.3M | 33,259 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $246.0M | 245,970 | RCOAA223 |
| Recomputed ratio | 13.52% | numerator / denominator | |
| Filed ratio | 13.52% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +7.02 pp | $17.3M | capital that could be lost first |
Tier 1 risk-based capital ratio 13.52% +5.52 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 | $33.3M | 33,259 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $246.0M | 245,970 | RCOAA223 |
| Recomputed ratio | 13.52% | numerator / denominator | |
| Filed ratio | 13.52% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +5.52 pp | $13.6M | capital that could be lost first |
Total risk-based capital ratio 14.52% +4.52 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 | $35.7M | 35,709 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $246.0M | 245,970 | RCOAA223 |
| Recomputed ratio | 14.52% | numerator / denominator | |
| Filed ratio | 14.52% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +4.52 pp | $11.1M | capital that could be lost first |
Tier 1 leverage ratio 9.37% +4.37 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 | $33.3M | 33,259 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $354.8M | 354,788 | RCOAA224 |
| Recomputed ratio | 9.37% | numerator / denominator | |
| Filed ratio | 9.37% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +4.37 pp | $15.5M | 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 | 6,314 | 6,314 | 6,314 | 6,314 | 6,314 | 6,314 | RCOAP742 |
| Retained earnings | 26,945 | 26,641 | 25,238 | 26,133 | 25,566 | 25,114 | RCOAKW00 |
| Accumulated other comprehensive income | (731) | (744) | (719) | (855) | (934) | (1,028) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 32,528 | 32,211 | 30,833 | 31,592 | 30,946 | 30,400 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 731 | 744 | 719 | 855 | 934 | 1,028 | P859 - P840 |
| Common equity Tier 1 capital | 33,259 | 32,955 | 31,552 | 32,447 | 31,880 | 31,428 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 33,259 | 32,955 | 31,552 | 32,447 | 31,880 | 31,428 | RCOA8274 |
| Tier 2 capital | 2,450 | 2,429 | 2,369 | 2,339 | 2,309 | 2,279 | RCOA5311 |
| Allowance includable in Tier 2 capital | 2,450 | 2,429 | 2,369 | 2,339 | 2,309 | 2,279 | RCOA5310 |
| Total capital | 35,709 | 35,384 | 33,921 | 34,786 | 34,189 | 33,707 | RCOA3792 |
| Total risk-weighted assets | 245,970 | 242,861 | 242,478 | 238,444 | 239,524 | 234,920 | RCOAA223 |
| Average total assets for the leverage ratio | 354,788 | 358,193 | 352,451 | 349,289 | 353,409 | 351,595 | 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 | $6.1M | $692K | 11.28% | 0.28% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $86.3M | $19.3M | 22.33% | 7.83% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $89.3M | $44.7M | 50.00% | 18.16% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $653K | $980K | 150.00% | 0.40% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $55K | $82K | 150.00% | 0.03% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $167.8M | $156.1M | 93.06% | 63.48% | RC-R Part II, item 4.d, 5.d |
| All other assets | $5.2M | $4.4M | 83.48% | 1.77% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $19.9M | $19.8M | 99.35% | 8.05% | 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 | $246.0M | ties to item 31 ($246.0M) |
|---|---|---|
| Risk-weighted assets before deductions | $246.0M | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $246.0M | 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 | 13.52% | 13.52% | 14.52% | 9.37% | 15.12% | 15.12% | 16.26% | 10.99% |
| 1Q26 | Risk-based | 13.57% | 13.57% | 14.57% | 9.20% | 14.98% | 15.01% | 16.09% | 10.86% |
| 4Q25 | Risk-based | 13.01% | 13.01% | 13.99% | 8.95% | 14.89% | 14.90% | 16.02% | 10.79% |
| 3Q25 | Risk-based | 13.61% | 13.61% | 14.59% | 9.29% | 14.82% | 14.86% | 15.98% | 10.87% |
| 2Q25 | Risk-based | 13.31% | 13.31% | 14.27% | 9.02% | 14.75% | 14.79% | 15.93% | 10.80% |
| 1Q25 | Risk-based | 13.38% | 13.38% | 14.35% | 8.94% | 14.77% | 14.82% | 15.94% | 10.70% |
| 4Q24 | Risk-based | 12.61% | 12.61% | 13.55% | 8.70% | 14.67% | 14.74% | 15.75% | 10.61% |
| 3Q24 | Risk-based | 12.71% | 12.71% | 13.62% | 8.91% | 14.69% | 14.72% | 15.80% | 10.69% |
| 2Q24 | Risk-based | 12.49% | 12.49% | 13.38% | 8.79% | 14.55% | 14.57% | 15.69% | 10.61% |
| 1Q24 | Risk-based | 12.42% | 12.42% | 13.30% | 8.75% | 14.58% | 14.60% | 15.70% | 10.54% |
| 4Q23 | Risk-based | 12.13% | 12.13% | 13.00% | 8.52% | 14.42% | 14.45% | 15.56% | 10.55% |
| 3Q23 | Risk-based | 12.01% | 12.01% | 12.87% | 8.22% | 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 |
|---|---|---|---|---|---|---|
| Sterling Bank (this bank) | Risk-based | 13.52% | 13.52% | 14.52% | 9.37% | |
| The Business Bank | $352.2M | Risk-based | 14.74% | 14.74% | 15.70% | 12.40% |
| Citizens Community Bank | $352.6M | CBLR | NA | NA | NA | 14.58% |
| Iowa State Bank and Trust Company | $352.1M | Risk-based | 10.90% | 10.90% | 11.97% | 8.01% |
| Glenwood State Bank | $352.9M | CBLR | NA | NA | NA | 12.45% |
| Mutual Savings Bank | $352.9M | Risk-based | 13.05% | 13.05% | 14.27% | 10.22% |
| 1st Trust Bank, Inc. | $351.7M | CBLR | NA | NA | NA | 9.65% |
| Granite Bank | $353.2M | Risk-based | 9.91% | 9.91% | 10.62% | 8.53% |
| Kirkwood Bank and Trust Company | $351.3M | CBLR | NA | NA | NA | 9.91% |
| First State Bank of Texas | $353.6M | CBLR | NA | NA | NA | 9.20% |
| Peer 25th percentile | 10.65% | 10.65% | 11.63% | 9.20% | ||
| Peer median | 11.98% | 11.98% | 13.12% | 9.91% | ||
| Peer 75th percentile | 13.47% | 13.47% | 14.63% | 12.40% | ||
| This bank's percentile | 75 | 75 | 75 | 33 |
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/628356/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.