EWSB Bancorp Reports $4.2 Million Net Loss for Fiscal Year 2025

EWSB Bancorp, Inc. reported a net loss of $4.2 million for the fiscal year ending December 31, 2025, a significant increase from the $1.7 million loss recorded in the previous year. The company's total assets decreased by 0.9% to $271.0 million, primarily due to a $3.6 million decline in net deferred tax assets and a $3.1 million drop in total investment securities. However, the loan portfolio saw a modest increase of $3.1 million, reaching $189.4 million, driven by growth in home equity and construction loans.

In terms of financial performance, EWSB Bancorp's interest income rose by 14.2% to $11.1 million, largely attributed to a $1.3 million increase in interest and fees on loans. The average yield on the loan portfolio improved to 5.05%, up from 4.71% in 2024. Conversely, total interest expense increased slightly by 2.2% to $6.5 million, with interest on deposits decreasing due to a lower average rate paid on certificates of deposit. The net interest income after provision for credit losses was reported at $4.5 million, reflecting a significant improvement from the previous year.

Strategically, EWSB Bancorp completed its initial public offering in September 2024, raising approximately $7.5 million. The company operates primarily through East Wisconsin Savings Bank, which has three branches in Wisconsin. As of December 31, 2025, the bank had total deposits of $217.3 million, a decrease of 6.2% from the previous year, with notable declines in non-interest-bearing and interest-bearing demand deposits. The bank's market share in Outagamie County was reported at 5.2%, ranking it as the eighth largest out of 19 banks in the area.

Operationally, the bank's employee headcount remained stable at 40, with 65% of staff having been with the company for over five years. The bank is subject to a Memorandum of Understanding with the FDIC and the Wisconsin Department of Financial Institutions, which requires it to enhance its capital management and liquidity practices. As of December 31, 2025, the bank's Tier 1 capital ratio was 6.1%, while its net worth ratio was 4.89%, below the required 6% under Wisconsin law.

Looking ahead, EWSB Bancorp aims to improve its financial performance by focusing on increasing loan originations and managing interest rate risk more effectively. The company has implemented a new asset/liability management policy to better align its funding strategies with market conditions. Despite the challenges posed by regulatory requirements and market competition, EWSB Bancorp is committed to enhancing its operational efficiency and capital position in the coming years.