NSTS Bancorp, Inc.

What they do

NSTS Bancorp operates as a federally chartered savings institution, taking deposits and holding loans. At June 30, 2026, it reported $269.9 million in total assets, funded largely by $184.1 million in deposits and $80.1 million in shareholders' equity. Its asset mix includes $127.6 million in loans net of unearned income, $74.6 million in securities available for sale, and $47.5 million in cash and cash equivalents.

Revenue drivers

• Net interest income on loans and securities — The bank holds $127.6 million in loans, net of unearned income, and $74.6 million in securities available for sale as of June 30, 2026, funded primarily by deposits; the spread between asset yields and deposit costs is the core earnings source.
• Residential and other lending — Total loans of $127.6 million at June 30, 2026, with a $1.1 million allowance for credit losses on loans, plus $1.4 million in loans held for sale, indicating ongoing originations.
• Deposit franchise — Deposits totaled $184.1 million at June 30, 2026, split between noninterest-bearing ($14.5 million), demand and NOW checking ($14.4 million), money market ($25.6 million), savings ($37.6 million), and time deposits ($91.9 million including $26.8 million over $250,000).
• Other assets and noninterest sources — The balance sheet also carries $9.5 million of bank-owned life insurance and $5.0 million of premises and equipment, net, which contribute to noninterest income and operations.

Recent performance

Revenue declined from $289,000 in 2021 to $252,000 in 2025, with quarterly revenue in the most recent four quarters between $59,000 and $66,000. Net income has been negative since 2023: -$4.0 million in 2023, -$789,000 in 2024, and -$386,000 in 2025, with diluted EPS of -$0.79, -$0.16, and -$0.08 respectively. Operating cash flow was $4.1 million in 2025 versus $9.4 million in 2024. At June 30, 2026, total assets were $269.9 million and total liabilities were $189.8 million, leaving $80.1 million of equity. The company had 5,253,131 shares outstanding as of August 6, 2026.

Strategy

The 10-K and 10-Q excerpts provided do not contain a detailed discussion of management's strategic priorities, growth plans, or capital deployment initiatives. The company states that its business plans, prospects, growth, and operating strategies are among the forward-looking statements subject to change. Recent 8-K filings report a delisting notice or listing-rule failure in February 2025, shareholder vote results, a material agreement and Regulation FD disclosure in May 2026, and director or officer changes in April 2026 and June 2025, but the excerpts do not describe the strategic rationale behind these events.

Risks

• Interest rate and margin compression — The company specifically cites inflation and changes in the interest rate environment that reduce margins and yields as a factor that could materially affect results.
• Credit quality and allowance adequacy — Changes in loan delinquencies, charge-offs, and estimates of the allowance for credit losses are identified as risks; the allowance stood at $1.095 million against $127.6 million of loans at June 30, 2026.
• Liquidity and funding access — The company highlights its ability to manage liquidity and access cost-effective funding, including significant fluctuations in deposit accounts, as a risk.
• Listing and regulatory compliance — An 8-K filed February 10, 2025 reported a delisting notice or listing-rule failure, and the company cites changes in laws, regulations, and regulatory capital requirements as risks.

Outlook

The filing excerpts provided do not contain specific forward guidance from management on expected earnings, asset growth, or capital levels. The company notes that its business plans, prospects, growth, and operating strategies are subject to change and that actual results could differ materially from expectations. No quantified outlook or targets are disclosed in the source material.