Waterstone Bank: Regulatory Capital and Risk-Weighted Assets
As of 2Q26, from Call Report Schedule RC-R.
Capital conservation buffer: 11.68% (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: 11.68% (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 18.66% +12.16 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 | $344.0M | 344,037 | RCOAP859 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.84B | 1,843,753 | RCOAA223 |
| Recomputed ratio | 18.66% | numerator / denominator | |
| Filed ratio | 18.66% | RCOAP793 | |
| Regulatory minimum | 4.50% | ||
| Minimum plus conservation buffer | 7.00% | ||
| Well-capitalized level | 6.50% | ||
| Cushion over that level | +12.16 pp | $224.2M | capital that could be lost first |
Tier 1 risk-based capital ratio 18.66% +10.66 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 | $344.0M | 344,037 | RCOA8274 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.84B | 1,843,753 | RCOAA223 |
| Recomputed ratio | 18.66% | numerator / denominator | |
| Filed ratio | 18.66% | RCOA7206 | |
| Regulatory minimum | 6.00% | ||
| Minimum plus conservation buffer | 8.50% | ||
| Well-capitalized level | 8.00% | ||
| Cushion over that level | +10.66 pp | $196.5M | capital that could be lost first |
Total risk-based capital ratio 19.68% +9.68 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 | $362.8M | 362,782 | RCOA3792 |
|---|---|---|---|
| Divided by total risk-weighted assets | $1.84B | 1,843,753 | RCOAA223 |
| Recomputed ratio | 19.68% | numerator / denominator | |
| Filed ratio | 19.68% | RCOA7205 | |
| Regulatory minimum | 8.00% | ||
| Minimum plus conservation buffer | 10.50% | ||
| Well-capitalized level | 10.00% | ||
| Cushion over that level | +9.68 pp | $178.4M | capital that could be lost first |
Tier 1 leverage ratio 15.43% +10.43 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 | $344.0M | 344,037 | RCOA8274 |
|---|---|---|---|
| Divided by average total assets for the leverage ratio | $2.23B | 2,229,765 | RCOAA224 |
| Recomputed ratio | 15.43% | numerator / denominator | |
| Filed ratio | 15.43% | RCOA7204 | |
| Regulatory minimum | 4.00% | ||
| Well-capitalized level | 5.00% | ||
| Cushion over that level | +10.43 pp | $232.5M | 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 | 224,287 | 224,090 | 223,984 | 224,022 | 223,874 | 223,768 | RCOAP742 |
| Retained earnings | 120,620 | 128,260 | 126,090 | 122,414 | 118,392 | 121,386 | RCOAKW00 |
| Accumulated other comprehensive income | (13,406) | (13,287) | (12,267) | (13,287) | (15,292) | (16,438) | RCOAB530 |
| Common equity Tier 1 minority interest | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP839 |
| Common equity Tier 1 capital before adjustments and deductions | 331,501 | 339,063 | 337,807 | 333,149 | 326,974 | 328,716 | RCOAP840 |
| Adjustments and deductions from common equity Tier 1 | 12,536 | 12,391 | 11,492 | 12,476 | 14,457 | 15,577 | P859 - P840 |
| Common equity Tier 1 capital | 344,037 | 351,454 | 349,299 | 345,625 | 341,431 | 344,293 | RCOAP859 |
| Additional Tier 1 capital | 0 | 0 | 0 | 0 | 0 | 0 | RCOAP865 |
| Tier 1 capital | 344,037 | 351,454 | 349,299 | 345,625 | 341,431 | 344,293 | RCOA8274 |
| Tier 2 capital | 18,745 | 18,492 | 18,218 | 18,675 | 18,945 | 18,943 | RCOA5311 |
| Allowance includable in Tier 2 capital | 18,745 | 18,492 | 18,218 | 18,675 | 18,945 | 18,943 | RCOA5310 |
| Total capital | 362,782 | 369,946 | 367,517 | 364,300 | 360,376 | 363,236 | RCOA3792 |
| Total risk-weighted assets | 1,843,753 | 1,826,349 | 1,794,068 | 1,840,813 | 1,798,884 | 1,756,180 | RCOAA223 |
| Average total assets for the leverage ratio | 2,229,765 | 2,218,054 | 2,263,821 | 2,223,153 | 2,224,680 | 2,170,628 | 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 | $37.9M | $1.7M | 4.49% | 0.09% | RC-R Part II, item 1 |
| Securities (HTM and AFS) | $254.8M | $90.3M | 35.44% | 4.90% | RC-R Part II, item 2.a, 2.b |
| Loans: residential mortgage | $1.40B | $1.09B | 77.53% | 58.99% | RC-R Part II, item 4.a, 5.a |
| Loans: high-volatility commercial real estate | $24.2M | $36.3M | 150.00% | 1.97% | RC-R Part II, item 4.b, 5.b |
| Loans: past due and nonaccrual | $6.5M | $6.5M | 100.00% | 0.35% | RC-R Part II, item 4.c, 5.c |
| Loans: all other | $402.0M | $402.0M | 100.00% | 21.81% | RC-R Part II, item 4.d, 5.d |
| All other assets | $148.4M | $133.2M | 89.76% | 7.22% | RC-R Part II, item 8 |
| Off-balance-sheet commitments and letters of credit | $82.9M | $76.0M | 91.67% | 4.12% | RC-R Part II, item 12, 13, 14, 15, 17, 18.a, 18.b |
| Derivatives (over the counter and centrally cleared) | $4.7M | $4.7M | 100.00% | 0.26% | RC-R Part II, item 20, 21 |
| Market risk and other approaches | NA | $5.3M | NA | 0.29% | RC-R Part II, item 27 |
How the categories add up to total risk-weighted assets
| Categories above, excluding market risk and other approaches | $1.84B | ties to item 31 ($1.84B) |
|---|---|---|
| Risk-weighted assets before deductions | $1.84B | RCONB704 |
| Less: excess allowance for credit losses | $0 | A222 |
| Less: allocated transfer risk reserve | $0 | 3128 |
| Total risk-weighted assets | $1.84B | 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 | 18.66% | 18.66% | 19.68% | 15.43% | 13.52% | 13.55% | 14.66% | 10.52% |
| 1Q26 | Risk-based | 19.24% | 19.24% | 20.26% | 15.85% | 13.45% | 13.46% | 14.59% | 10.46% |
| 4Q25 | Risk-based | 19.47% | 19.47% | 20.49% | 15.43% | 13.36% | 13.37% | 14.44% | 10.38% |
| 3Q25 | Risk-based | 18.78% | 18.78% | 19.79% | 15.55% | 13.38% | 13.39% | 14.51% | 10.37% |
| 2Q25 | Risk-based | 18.98% | 18.98% | 20.03% | 15.35% | 13.21% | 13.21% | 14.27% | 10.30% |
| 1Q25 | Risk-based | 19.60% | 19.60% | 20.68% | 15.86% | 13.15% | 13.17% | 14.26% | 10.24% |
| 4Q24 | Risk-based | 19.21% | 19.21% | 20.29% | 15.55% | 13.02% | 13.05% | 14.10% | 10.07% |
| 3Q24 | Risk-based | 18.85% | 18.85% | 19.91% | 14.96% | 12.97% | 13.02% | 14.13% | 10.12% |
| 2Q24 | Risk-based | 18.73% | 18.73% | 19.81% | 14.95% | 12.93% | 12.94% | 14.06% | 10.10% |
| 1Q24 | Risk-based | 19.08% | 19.08% | 20.19% | 15.46% | 12.90% | 12.91% | 14.02% | 10.06% |
| 4Q23 | Risk-based | 18.99% | 18.99% | 20.10% | 15.62% | 12.81% | 12.82% | 13.92% | 10.01% |
| 3Q23 | Risk-based | 18.81% | 18.81% | 19.93% | 15.28% | 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 |
|---|---|---|---|---|---|---|
| Waterstone Bank (this bank) | Risk-based | 18.66% | 18.66% | 19.68% | 15.43% | |
| Bank of Tennessee | $2.25B | Risk-based | 11.31% | 11.31% | 12.29% | 9.63% |
| The Bank of Princeton | $2.25B | Risk-based | 13.60% | 13.60% | 14.67% | 11.69% |
| Falcon International Bank | $2.25B | Risk-based | 19.86% | 19.86% | 20.95% | 13.44% |
| American Bank & Trust | $2.25B | Risk-based | 15.24% | 15.24% | 16.33% | 11.28% |
| South Central Bank, Inc. | $2.26B | Risk-based | 12.08% | 12.08% | 13.12% | 9.88% |
| Crystal Lake Bank & Trust Company, N.A. | $2.26B | Risk-based | 10.79% | 10.79% | 11.63% | 9.65% |
| Five Points Bank | $2.24B | Risk-based | 13.48% | 13.48% | 14.68% | 10.30% |
| Regent Bank | $2.24B | Risk-based | 9.93% | 9.93% | 11.07% | 9.85% |
| MainStreet Bank | $2.24B | Risk-based | 14.14% | 14.14% | 15.14% | 12.78% |
| Country Bank for Savings | $2.24B | CBLR | NA | NA | NA | 14.84% |
| Peer 25th percentile | 11.31% | 11.31% | 12.29% | 9.86% | ||
| Peer median | 13.48% | 13.48% | 14.67% | 10.79% | ||
| Peer 75th percentile | 14.14% | 14.14% | 15.14% | 12.51% | ||
| This bank's percentile | 89 | 89 | 89 | 100 |
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/310978/regulatory-capital/ and in the Excel workbook. Next: the capital tab, the peer group page, or the full profile.