Operating Leases

12 Months Ended

Jun. 30, 2026

Note 16. Operating Leases

The Company leases certain branch properties under long-term operating lease agreements. The Company’s operating lease agreements contain non-lease components, which are generally accounted for separately. The Company’s lease agreements do not contain any residual value guarantees.

The following includes quantitative data related to the Company’s operating leases as of June 30, 2026 and 2025:

(In thousands)
Operating lease amounts:		2026		2025
Right-of-use assets	$	2,198	$	2,284
Lease liabilities	$	2,284	$	2,366

Other information:
Operating outgoing cash flows from operating leases	$	561	$	502
Right-of-use assets obtained in exchange for new operating lease liabilities	$	398	$	648

(In thousands)
Lease costs		2026		2025
Operating lease cost	$	531	$	454
Variable lease cost	$	44	$	44

The following is a schedule by year of the undiscounted cash flows of the operating lease liabilities, excluding common area maintenance charges and real estate taxes, as of June 30, 2026:

(In thousands, except weighted-average information)
Within the twelve months ended June 30,
2027	$	583
2028		563
2029		415
2030		381
2031		262
Thereafter		346
Total undiscounted cash flow		2,550
Less net present value adjustment		(266	)
Lease liability	$	2,284

	2026		2025
Weighted-average remaining lease term (years)	5.35		5.79
Weighted-average discount rate	3.87	%	3.56	%

Right-of-use assets are included in prepaid expenses and other assets, and lease liabilities are included in accrued expenses and other liabilities within the Company’s consolidated statements of financial condition.