Executive Summary

Q2 2025 GAAP net income rose 37.6% year over year to $1.82M ($0.98 EPS), driven by net interest income growth and net interest margin expansion to 3.41% .
Net interest income increased 24.0% YoY to $4.99M as loan growth accelerated (7.2% YTD) and declining market rates slowed the increase in cost of funds; yield on earning assets rose 54 bps to 5.22% while cost of funds increased 13 bps to 2.36% .
Asset quality improved notably: nonperforming assets fell to $257K and NPA ratio declined to 0.05%; allowance coverage of nonperforming loans increased to 2,590% .
Noninterest expense grew 10.1% YoY to $3.13M, including $85K of merger expenses and higher salaries/benefits; tax provision increased 71% due to non-deductible merger costs and mix effects in tax-exempt income .
S&P Global consensus estimates for MIFF were unavailable; estimate-based beat/miss analysis could not be performed (S&P Global data unavailable).

What Went Well and What Went Wrong

Net interest margin expansion and volume-led NII growth: “The significant increase in net interest income is primarily driven by loan growth… and by market interest rates starting to decline thus slowing the increase in cost of funds.” NIM increased from 2.96% to 3.41% YoY .
Broad-based balance sheet growth: Total assets grew 5.5% YTD to $629.2M; deposits rose $25.1M; net loans increased $31.0M (7.2% YTD) .
Asset quality strengthened: nonperforming assets fell from $438K at 12/31/24 and $443K at 3/31/25 to $257K at 6/30/25; NPA ratio improved to 0.05% .

Elevated operating costs tied to merger: noninterest expense +10.1% YoY; $85K merger costs in Q2 and $248K YTD; salaries/benefits +$118K in Q2 .
Higher tax burden: income tax provision +71% YoY to $407K, primarily from non-deductible merger expenses and lower proportion of tax-exempt income, alongside higher pre-tax income .
Funding mix headwinds: Federal Home Loan Bank advances increased $4.0M YTD by 6/30/25 (after decreasing $9.0M in Q1), partially offset by slowing cost-of-funds increases; cost of funds nonetheless up 13 bps YoY .

Metric	Q2 2024	Q1 2025	Q2 2025
Total Interest & Dividend Income ($USD Thousands)	6,403	7,403	7,707
Net Interest Income ($USD Thousands)	4,021	4,742	4,988
Noninterest Income ($USD Thousands)	415	585	527
Provision for Credit Losses ($USD Thousands)	30	7	156
Noninterest Expense ($USD Thousands)	2,845	3,095	3,132
Pre-tax Income ($USD Thousands)	1,561	2,225	2,227
Income Tax Provision ($USD Thousands)	238	419	407
Net Income ($USD Thousands)	1,323	1,806	1,820
EPS ($USD)	0.71	0.97	0.98
Net Interest Margin (%)	2.96%	3.31%	3.41%
Efficiency Ratio (%)	64.57%	58.10%	58.44%
ROA (Annualized, %)	0.93%	1.20%	1.20%
ROE (Annualized, %)	9.68%	12.66%	12.37%
Yield on Earning Assets (%)	—	5.24%	5.22%
Cost of Funds (%)	—	2.35%	2.36%

KPIs and Balance Sheet Trends

KPI	Q2 2024	Q1 2025	Q2 2025
Total Assets ($USD Thousands)	568,633 avg	607,899 end	629,239 end
Total Deposits ($USD Thousands)	475,850 avg	506,416 end	514,608 end
Net Loans ($USD Thousands)	395,067 avg	444,997 end	462,977 end
NPA ($USD Thousands)	510	443	257
NPA Ratio (%)	0.13%	0.10%	0.05%
ACL on Loans ($USD Thousands)	3,886	4,451	4,636
ACL / Total Loans (%)	0.96%	0.99%	0.99%
ACL / NPLs (%)	761.96%	1,004.74%	2,589.94%
FHLB Advances ($USD Thousands)	—	34,001 end	47,085 end
Liquidity Capacity (FHLB/Fed) ($USD Millions)	—	$154.9 / $1.7	$155.3 / $1.3

Note: S&P Global consensus estimates for MIFF were unavailable; no estimate comparison provided.

Metric	Period	Previous Guidance	Current Guidance	Change
Formal Financial Guidance	FY/Q3 2025	None disclosed	None disclosed	Maintained: No formal guidance
Dividend per Share	Q2 2025	No dividend paid in Q1 2025	$0.74 paid in Q2 2025	Resumed/paid vs Q1
Capital/Equity to Assets Ratio	Q2 2025	9.4% at 12/31/24	9.4% at 6/30/25	Maintained

No explicit revenue, margin, OpEx, OI&E, or tax rate guidance ranges were provided in Q1–Q2 press releases .

No earnings call transcript was found for Q2 2025 among company documents; themes below reflect management’s press release commentary.

Topic	Previous Mentions (Q-2: Q4 2024/Q2 2024)	Q-1 (Q1 2025)	Current Period (Q2 2025)	Trend
Interest Rate/Spread Dynamics	NIM 2.96% Q2 2024	NIM 3.31%; yield 5.24%; cost of funds 2.35%	NIM 3.41%; yield 5.22%; cost of funds 2.36%	Improving NIM
Loan Growth	—	+3.0% QoQ net loans	+7.2% YTD net loans	Accelerating
Funding/Deposits	—	Deposits +$16.9M QTD; FHLB advances −$9.0M	Deposits +$25.1M YTD; FHLB advances +$4.0M YTD	Mixed (deposits strong; FHLB up)
Noninterest Expense/Merger	—	$163K merger costs; opex +10.1% YoY	$85K merger costs in Q2; $248K YTD	Elevated but moderating QoQ
Tax Rate/Expense	—	Higher due to non-deductible merger costs/mix	+71% YoY tax provision; same drivers	Higher vs prior year
Asset Quality	NPA $510K; NPA ratio 0.13%	NPA $443K; NPA ratio 0.10%	NPA $257K; NPA ratio 0.05%	Improving
Liquidity	—	FHLB/Fed capacity $154.9M/$1.7M	$155.3M/$1.3M	Stable/ample

“The significant increase in net interest income is primarily driven by loan growth… and by market interest rates starting to decline thus slowing the increase in cost of funds.”
“The increase in the tax provision is primarily the result of non-deductible merger expenses and by tax-exempt interest income representing a smaller percentage of total interest income and increased pre-tax income…”
Liquidity and capital remain strong with FHLB capacity ($155.3M) and Fed capacity ($1.3M) and equity-to-assets of 9.4% at 6/30/25 .
Q1 commentary echoed similar drivers: NIM expansion on yields/cost of funds and merger-related expense impacts .

Not applicable; no Q2 2025 earnings call transcript was available among company documents in the period reviewed.

S&P Global consensus estimates for MIFF were unavailable; as a result, we cannot assess beat/miss vs Wall Street expectations for EPS or revenue (S&P Global data unavailable).
Given strong YoY net income and NIM expansion, near-term estimate revisions (if any coverage exists) would likely focus on net interest income trajectory, opex normalization post-merger costs, and tax rate implications .

Net interest margin expansion and robust loan growth are the core earnings drivers; continued moderation in cost of funds supports NIM sustainability .
Operating expenses include temporary merger-related costs; watch for opex normalization through 2H as integration progresses .
Asset quality is a standout positive with NPA levels and ratios improving sequentially and YoY; coverage ratios are very high .
Deposits and liquidity are strong, providing strategic flexibility even as FHLB advances ticked up in Q2; funding mix bears monitoring .
Tax expense was elevated due to non-deductible merger items; effective tax rate could ease after one-off impacts abate .
Dividend of $0.74 per share in Q2 highlights capital return posture while maintaining a 9.4% equity-to-assets ratio (well-capitalized) .
Without available consensus estimates, near-term stock narratives will hinge on NIM trajectory, loan growth durability, and signals around merger integration costs and timeline .

Additional Documents Read:

No additional press releases or Q2 2025 earnings call transcript were found in the reviewed period.