Turning Investments into Results
FROM THE DESK OF JOHN M. JELAVICH, PRESIDENT & CEO.
May 7, 2026
A central theme of 2025 was investment. We invested in our people, processes, and technology—expanding our footprint in attractive markets while also making investments that will deepen our reach in the markets we already serve. Most notably, we opened our new Roseville branch and expanded our team—our largest investment of the year. Roseville strengthens our long-term growth profile by deepening our presence in a strategic growth market, enhancing our ability to attract and retain core deposits, and expanding our capacity to serve local businesses, organizations, and professionals with relationship-driven banking.
We enter 2026 with a clear strategy and momentum. This year is about converting the investments we made in 2025 into performance—leveraging the people, capabilities, and facilities now in place to drive operating leverage, scale, and shareholder value. We will continue expanding relationships in the communities we serve, with an emphasis on sound underwriting, liquidity, and capital discipline.
The Execution We’re Focused On Now
Our execution focus is straightforward: (1) grow core deposits by expanding relationships and delivering a consistent, high-touch client experience; (2) grow loans with disciplined underwriting and strong risk management; and (3) drive operating leverage by capturing the benefits of the scale, talent, and infrastructure we built in 2025.
Q1’2026 results show our investments are translating into shareholder value. Importantly, we continued to generate steady quarterly profits—about $1.1 million per quarter over the past year—even as we absorbed the cost of these investments. And the underlying momentum is building in the fundamentals that drive long-term value—stronger net interest income, asset growth, deposit growth, loan growth, and book value per share, as highlighted below:
- Net interest income increased 18.7% from the first quarter of last year
- Total assets of $764.4 million, up 20.3% year-over-year
- Total deposits of $669.8 million up 15.9% year-over-year
- Total loans, gross, of $398.0 million, up 13.2% year-over-year
- Book value per share of $19.18 up 10.0% year-over-year
As we move through 2026, we expect these benefits to continue building as the platform we invested in scales. Simultaneously, we remain cognizant of inflationary impacts and broader market uncertainty related to the conflict in Iran and continue to maintain a balanced risk posture.
Entering the Next Chapter
On top of everything else to celebrate this year, 2026 marks River Valley Community Bank’s 20th anniversary. We’re proud of the steady growth we’ve achieved since 2006 by staying true to relationship-driven community banking—local decision-making, disciplined risk management, and a long-term mindset. As we look ahead, our focus is to carry those same principles into the next chapter: deepen our presence in the communities we serve, attract and retain experienced bankers who share our mission, and continue building the capabilities that help our clients grow and prosper.
As we continue to grow in established markets and expand in strategic growth areas like Roseville, we’re focused on earning primary relationships by delivering responsive service, practical financial solutions, and the consistency clients expect from a community bank.
We’re Excited for What’s to Come
You should see 2026 as the year our 2025 investments begin to show up more clearly in our results. With deposits and loans growing, a deeper talent bench, and improved systems and infrastructure, we are focused on driving operating leverage and earnings growth.
By staying focused on execution, we expect to deliver greater value for our communities and durable, long-term value for our shareholders—while maintaining strong liquidity and capital discipline to support growth and resilience through the cycle.
Here’s what to watch as we move through 2026: continued core deposit growth and relationship expansion, measured progress in Roseville as it scales, disciplined loan growth with consistent credit quality, and improved profitability as we realize the benefits of the investments already made.
— John Jelavich
President & CEO
Forward Looking Statements: This document may contain comments and information that constitute forward‐looking statements. Forward‐looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by such statements. These statements may use forward-looking terms, such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “probable,” “plan,” “project,” “should,” “will,” “would,” “possible,” or their negatives or other variations on these terms, and include statements related to, among others, growth in earnings, balance sheet growth through organic funding and plans to pay cash dividends at historical rates. Forward‐looking statements speak only as to the date they are made. The Bank does not undertake to update forward‐looking statements to reflect circumstances or events that occur after the date the forward‐looking statements are made.