Note 1 - Description of the Plan

The following description of the QCR Holdings, Inc. 401(k) Plan (the “Plan”) provides only general information. Participants should refer to the plan agreement for a complete description of the Plan’s provisions.

General - The Plan is a defined contribution plan covering substantially all employees of QCR Holdings, Inc., and its subsidiaries, Quad City Bank and Trust Company, Cedar Rapids Bank and Trust Company, Rockford Bank & Trust Company, Springfield First Community Bank, Bates Financial Group, Inc., Community State Bank, Guaranty Bank & Trust, and m2 Lease Funds, LLC, (collectively referred to as the “Company”) who are at least 18 years of age. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA).

Contributions - Participants may contribute up to 100 percent of their eligible compensation in the form of a salary reduction, not to exceed federal limits. Participants who were 50 years of age or older on December 31, 2025 and 2024, were eligible to make catch-up contributions. The Plan includes an auto-enrollment provision, and all newly eligible participants are automatically enrolled in the Plan, unless they elect not to participate within the 30-day opt out period. The contribution percentage is 6% of the participant’s eligible compensation, with a 1% automatic increase annually up to a maximum of 15%. Contributions under the auto-enrollment provision are invested in a Qualified Default Investment Alternative designated by the Plan until the participant selects other Plan investment options.

Participants may also contribute amounts representing distributions from other qualified defined benefit or defined contribution plans in the form of a rollover contributions.

The Company makes discretionary matching contributions equal to 100 percent of the first 3 percent of the participant’s compensation deferred and 50 percent of the next 3 percent of compensation deferred. The Company’s profit-sharing contribution to the Plan is discretionary and is determined annually by the board of directors. There were no discretionary profit-sharing contributions made for the years ended December 31, 2025 and 2024. Participants must complete 1,000 hours of service during the plan year and be actively employed on the last day of the plan year or have terminated employment due to death, disability, or retirement in order to be eligible for matching or profit-sharing contributions.

Participant Accounts - Each participant’s account is credited with the participant’s contribution and the Company’s contribution, plan earnings or losses from that account’s investment activities, and is charged with benefit payments and allocations of administrative expenses. Allocations of the Company’s profit-sharing contribution are based on participant eligible wages. Allocations are based on participant earnings or account balance, as defined. The benefit to which a participant is entitled is the benefit that can be provided from the participant’s vested account.

Investment Options - Participants direct the investment of their accounts into various investment options, including mutual funds, common collective trust funds, and the common stock of QCR Holdings, Inc., the Company’s parent company.

Vesting - Participants are immediately vested in their voluntary contributions and actual earnings thereon. Vesting in the Company’s discretionary matching contribution, discretionary profit-sharing contribution, and earnings thereon is based on years of service. Vesting is based on years of continuous service beginning at 20 percent after 1 year of service and increasing 20 percent for each year of continuous service thereafter. A participant is 100 percent vested after 5 years of credited service.

Participant Notes Receivable - The Plan allows eligible participants to borrow up to the lesser of one-half of their vested balance or $50,000 from the Plan. Under the terms of this provision, borrowings are subject to certain limitations, including a minimum borrowing of $1,000 and a maximum term of five years or a reasonable period of time, which may exceed five years for notes receivable used to acquire a principal residence. For the years ended December 31, 2025 and 2024, interest rates were fixed at the prime rate plus 1 percent at the note inception date. Principal and interest are paid through payroll deductions.

Payment of Benefits - Upon termination of service due to death, retirement, or disability, participants or their beneficiaries may receive accumulated benefits. The benefit may be paid as a lump-sum payment equal to the value of their account, monthly installments over a period not to exceed their life expectancy, through a fixed annuity contract or partial distributions, as determined by the participant or beneficiary. For termination of service for other reasons, a participant may receive the value of the vested interest in his or her account as a lump-sum distribution. Involuntary distributions, in the form of rollovers, are made from terminated participant accounts with balances less than $5,000. Under certain circumstances, participants may receive a hardship distribution prior to termination upon approval of the plan administrator. Upon attaining the age of 59 1/2, participants are eligible to receive in-service distributions of all vested balances.

Forfeitures - The Company may elect to have forfeitures of terminated participants’ nonvested employer match and profit-sharing portions of their accounts used to pay administrative plan expenses or reduce future Company matching and profit-sharing contributions.

Note 2 - Summary of Significant Accounting Policies

Note 3 - Fair Value Measurement of Investments

The Plan accounts for its financial assets in accordance with Accounting Standards Codification 820, Fair Value Measurements and Disclosures (“ASC 820”), which are carried at fair value on a recurring basis in its financial statements. ASC 820 establishes a fair value hierarchy that requires assets measured at fair value to be categorized into one of three levels based on the inputs used in the valuation. Assets are classified in their entirety based on the lowest level of input significant to the fair value measurement. The three levels are defined as follows:

Level 1 - Quoted prices in active markets for identical assets that the Plan has the ability to access.

Level 2 – Observable inputs, other than Level 1 prices, such as quoted prices for similar assets in active markets, and other inputs such as interest rates and yield curves that are observable at commonly quoted intervals.

Level 3 - Unobservable inputs, including inputs that are available in situations where there is little, if any, market activity for the related asset.  These Level 3 fair value measurements are based primarily on management’s own estimates using pricing models, discounted cash flow methodologies, or similar techniques taking into account the characteristics of the asset. 

In instances where inputs used to measure fair value fall into different levels in the above fair value hierarchy, fair value measurements in their entirety are categorized based on the lowest level input that is significant to the valuation. The Plan’s assessment of the significance of particular inputs to these fair value measurements requires judgment and considers factors specific to each asset. There have been no changes in methodology used at December 31, 2025 and 2024.

The Plan’s policy is to recognize transfers between levels of the fair value hierarchy as of the actual date of the event of change in circumstances that caused the transfer.

Assets Measured at Fair Value on a Recurring Basis at December 31, 2025

Redemptions of the common collective trusts held by the Plan are allowed daily for participants; however, the plan may be subject to a three-day prior written notice for the Putnam Large Cap Value Trust Fund and prior written notice for the Putnam Small Cap Growth Trust Fund. There are no unfunded commitments.

Note 4 - Related Party Transactions

Certain plan investments include investments in shares of the Company’s common stock. For the years ended December 31, 2025 and 2024, the Plan purchased 5,939 and 8,944 shares of QCR Holdings, Inc. common stock, respectively, at a cost of $424,550 and $595,838, respectively. For the years ended December 31, 2025 and 2024, the Plan sold 51,069 and 35,762 shares of QCR Holdings, Inc. common stock, respectively, with proceeds of $4,106,790 and $2,319,014, respectively. As of December 31, 2025 and 2024, the Plan held $12,326,039 (147,972 shares) and $15,571,739 (193,102 shares), respectively, of QCR Holdings, Inc. common stock.

In addition, the Company pays certain expenses for the Plan. These transactions qualify as party-in-interest transactions as defined under ERISA guidelines.

Certain plan investments are managed by Principal Life Insurance Company (“Principal”). Principal is the trustee as defined by the Plan and, therefore, these transactions qualify as party-in-interest transactions.

Note 5 - Plan Termination

Although the Company has not expressed any intent to do so, it has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. In the event of plan termination, participants would become 100 percent vested in their Company contributions, and shall be distributed to the participants or their beneficiaries.

Note 6 - Tax Status

The Company’s Board of Directors adopted a pre-approved 401(k) plan document. The plan sponsor has received, from the Internal Revenue Service, an opinion letter dated June 30, 2020, stating that the written form of the underlying pre-approved plan is qualified under Section 401(a) of the Internal Revenue Code (the “Code”) and that any employer adopting this form of the Plan will be considered to have a plan qualified under Sections 401(a) of the Code. The Plan is required to operate in conformity with the Code to maintain its qualification. The plan administrator believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes the Plan is qualified and the related trust is tax exempt. The Plan’s income tax returns for the past three years are subject to examination by tax authorities, however there are currently no audits in progress for any tax periods.

Note 7 - Reconciliation of the Financial Statements to Form 5500

The following is a reconciliation of net assets available for benefits per the financial statements at December 31, 2025 and 2024 to the Form 5500:

Note 8 - SECURE Act 2.0

In December 2022, SECURE Act 2.0 (“Secure 2.0”) was enacted, and contains numerous significant changes for retirement plans and plan sponsors. Provisions include both required and optional elements, such as increasing the minimum distribution age, and changes to the catch-up contributions for workers between the ages of 60 and 63 with workplace plans. Many of the provisions in SECURE 2.0 were effective in 2024 and 2025, but it will not be completely implemented until 2028. The Company is currently in the process of evaluating the impact of SECURE 2.0 on the Company, Plan and its participants.

Note 9 – Delinquent Participant Contributions

During the year ended December 31, 2025, participant contributions totaling $1,917 were not remitted to the Plan within the period prescribed by DOL regulations. These transactions constitute non-exempt party-in-interest transactions or prohibited transactions as defined by ERISA.

Note 10 - Subsequent Events

The Plan has evaluated subsequent events, and has determined that no significant events requiring adjustments have occurred after December 31, 2025, but prior to the issuance of these financial statements.

Schedule of Delinquent Participant Contributions

Form 5500, Schedule H, Item 4a

EIN 42-1397595, Plan Number 001

December 31, 2025

Schedule of Assets Held at End of Year

Form 5500, Schedule H, Item 4i

EIN 42-1397595, Plan Number 001

December 31, 2025