Loans

12 Months Ended

Jun. 30, 2026

Loans [Abstract]

LOANS

NOTE C - LOANS

The composition of the loan portfolio at June 30 was as follows:

(in thousands)		2026				2025
Residential real estate
One- to four-family		$	240,031			$	251,338
Multi-family			13,987				15,505
Construction			11,793				9,314
Land			1,866				1,508
Farm			1,756				3,023
Nonresidential real estate			32,843				31,698
Commercial and industrial			493				691
Consumer and other
Loans on deposits			488				813
Home equity			17,792				14,643
Automobile			122				134
Unsecured			514				751
			321,685				329,418
Allowance for credit losses			(2,257	)			(2,170	)
		$	319,428			$	327,248

The amounts above include net deferred loan fees of $94,000 and $149,000 as of June 30, 2026 and 2025.

The following tables present the amortized cost basis of collateral-dependent loans by portfolio class as of June 30, 2026 and June 30, 2025. The recorded investment in loans excludes accrued interest receivable due to immateriality.

June 30, 2026

(in thousands)		Amortized Cost Basis				Ending allowance on collateral- dependent loans
Loans individually evaluated for impairment:
Residential real estate:
One- to four-family		$	1,332			$
Nonresidential real estate			191				–
		$	1,523				–

June 30, 2025

(in thousands)		Amortized Cost Basis				Ending allowance on collateral- dependent loans
Loans individually evaluated for impairment:
Residential real estate:
One- to four-family		$	1,856			$
Nonresidential real estate			927				–
		$	2,783				–

The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio class and based on impairment method as of June 30, 2026 and 2025. The company reported $86,000 and $136,000 in loans acquired with deteriorated credit quality at June 30, 2026 and 2025, respectively.

June 30, 2026:

(in thousands)		Loans individually evaluated				Loans acquired with deteriorated credit quality*				Ending loans balance				Ending allowance attributed to loans
Loans individually evaluated for impairment:
Residential real estate
One- to four-family		$	1,246			$	88			$	1,332			$	-
Nonresidential real estate			191				-				191				-
			1,437				88				1,523				-
Loans collectively evaluated for impairment:
Residential real estate
One- to four-family										$	238,699			$	1,734
Multi-family											13,987				97
Construction											11,793				109
Land											1,866				-
Farm											1,756				9
Nonresidential real estate											32,652				233
Commercial and industrial											493				3
Consumer and other
Loans on deposits											488				-
Home equity											17,792				62
Automobile											122				1
Unsecured											514				9
											320,162				2,257
										$	321,685			$	2,257

June 30, 2025:

(in thousands)		Loans individually evaluated				Loans acquired with deteriorated credit quality*				Ending loans balance				Ending allowance attributed to loans
Loans individually evaluated for impairment:
Residential real estate
One- to four-family		$	1,720			$	136			$	1,856			$	-
Nonresidential real estate			927				-				927				-
			2,647				136				2,783				-
Loans collectively evaluated for impairment:
Residential real estate
One- to four-family										$	249,482			$	1,690
Multi-family											15,505				86
Construction											9,314				70
Land											1,508				24
Farm											3,023				16
Nonresidential real estate											30,771				230
Commercial and industrial											691				7
Consumer and other
Loans on deposits											813				-
Home equity											14,643				36
Automobile											134				1
Unsecured											751				10
											326,635				2,170
										$	329,418			$	2,170

*	These loans were evaluated at acquisition date at their estimated fair value and there has been no subsequent deterioration since acquisition.

The following table presents impaired loans by class of loans as of and for the years ended June 30, 2026 and 2025:

(in thousands)		Unpaid Principal Balance and Recorded Investment				Allowance for Loan Losses Allocated				Average Recorded Investment				Interest Income Recognized				Cash Basis Income Recognized

June 30, 2026:

With no related allowance recorded:
Residential real estate
One- to four-family		$	1,326			$	-			$	1,471			$	50			$	50
Nonresidential real estate			191				-				567				22				22
		$	1,517			$	-			$	2,038			$	72			$	72

June 30, 2025:

With no related allowance recorded:
Residential real estate
One- to four-family		$	1,856			$	-			$	1,873			$	91			$	91
Nonresidential real estate			927				-				1,181				38				38
		$	2,783			$	-			$	3,054			$	129			$	129

The following tables present the amortized cost basis of loans on nonaccrual status and loans past due over 89 days still accruing as of June 30, 2026 and 2025. The tables include loans acquired with deteriorated credit quality. At June 30, 2026, the table below includes approximately $88,000 of loans on nonaccrual and no loans past due over 89 days and still accruing of loans acquired with deteriorated credit quality, while at June 30, 2025, approximately $134,000 of loans on nonaccrual and no loans past due over 89 days and still accruing represent such loans. At both June 30, 2026 and 2025, there is $0 in allowance for credit loss for nonaccrual loans as the loans have been charged off to reflect the fair value of the underlying collateral.

		June 30, 2026								June 30, 2025
(in thousands)		Nonaccrual				Loans Past Due Over 89 Days Still Accruing				Nonaccrual				Loans Past Due Over 89 Days Still Accruing

Residential real estate
One- to four-family		$	1,966			$	291			$	1,924			$	592
Construction			-				-				291				-
Nonresidential real estate			191				-				927				-
Consumer and other
Unsecured			121				-				131				-
		$	2,278			$	291			$	3,273			$	592

One- to four-family loans in process of foreclosure totaled $100,000 and $213,000 at June 30, 2026 and 2025, respectively.

Troubled Debt Restructurings:

Prior to the adoption of ASC 326 a Troubled Debt Restructuring (“TDR”) was the situation where the Bank granted a concession to the borrower that the Banks would not otherwise have considered due to the borrower’s financial difficulties. All TDRs are considered “impaired.”

There were no loans modified to borrowers experiencing financial difficulty during the year ended June 30, 2026 or June 30, 2025.

The following tables present the aging of the principal balance outstanding past due loans as of June 30, 2026 and 2025, by class of loans. The tables include loans acquired with deteriorated credit quality. At June 30, 2026 and 2025, the table below includes no loans past due that were acquired with deteriorated credit quality.

June 30, 2026:

(in thousands)		30-59 Days Past Due				60-89 Days Past Due				90 Days or Greater				Total Past Due				Loans Not Past Due				Total

Residential real estate
One- to four-family		$	4,531			$	1,857			$	1,188			$	7,576			$	232,455			$	240,031
Multi-family			101				-				-				101				13,886				13,987
Construction			-				1,660				-				1,660				10,133				11,793
Land			6				-				-				6				1,860				1,866
Farm			-				-				-				-				1,756				1,756
Nonresidential real estate			697				-				-				697				32,146				32,843
Commercial and industrial			-				-				-				-				493				493
Consumer and other
Loans on deposits			-				-				-				-				488				488
Home equity			-				-				-				-				17,792				17,792
Automobile			-				-				-				-				122				122
Unsecured			23								-				23				491				514
		$	5,358			$	3,517			$	1,188			$	10,063			$	311,622			$	321,685

June 30, 2025:

(in thousands)		30-59 Days Past Due				60-89 Days Past Due				90 Days or Greater				Total Past Due				Loans Not Past Due				Total

Residential real estate
One- to four-family		$	3,731			$	687			$	1,000			$	5,418			$	245,920			$	251,338
Multi-family			-				246				-				246				15,259				15,505
Construction			127				-				291				418				8,896				9,314
Land			-				-				-				-				1,508				1,508
Farm			-				-				-				-				3,023				3,023
Nonresidential real estate			1,704				25				-				1,729				29,969				31,698
Commercial and industrial			-				-				-				-				691				691
Consumer and other
Loans on deposits			-				-				-				-				813				813
Home equity			-				-				-				-				14,643				14,643
Automobile			-				-				-				-				134				134
Unsecured			23								-				23				728				751
		$	5,585			$	958			$	1,291			$	7,834			$	321,584			$	329,418

Credit Quality Indicators:

The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on an annual basis. The Company uses the following definitions for risk ratings:

Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.

Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.

Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable.

Loans not meeting the criteria above that are analyzed individually as part of the above-described process are considered to be pass rated loans. Loans listed that are not rated are included in groups of homogeneous loans and are evaluated for credit quality based on performing status. See the aging of past due loan table above. As of June 30, 2026, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows:

																										Revolving
(in thousands)		Term Loans Amortized Cost by Origination Fiscal Year																								Loans Amortized
As of June 30, 2026		2026				2025				2024				2023				2022				Prior				Cost Basis				Total
Residential real estate:
One- to four-family
Risk Rating:
Pass		$	25,109			$	17,689			$	25,393			$	39,777			$	32,922			$	93,847			$	-			$	234,737
Special mention			-				-				-				61				-				674				-				735
Substandard			-				359				379				550				176				3,095				-				4,559
Doubtful			-				-				-				-				-				-				-				-
Total		$	25,109			$	18,048			$	25,772			$	40,388			$	33,098			$	97,616			$	-			$	240,031

Current period gross charge offs		$	150			$	-			$	-			$	-			$	-			$	-			$	-			$	150

Multi-family
Risk Rating:
Pass		$	475			$	776			$	540			$	5,356			$	5,070			$	1,531			$	-			$	13,748
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				239				-				-				-				239
Doubtful			-				-				-				-				-				-				-				-
Total		$	475			$	776			$	540			$	5,595			$	5,070			$	1,531			$	-			$	13,987

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Construction
Risk Rating:
Pass		$	8,309			$	3,344			$	13			$	-			$	-			$	-			$	-			$	11,666
Special mention			-				-				-				-				-				-				-				-
Substandard			-				127				-				-				-				-				-				127
Doubtful			-				-				-				-				-				-				-				-
Total		$	8,309			$	3,471			$	13			$	-			$	-			$	-			$	-			$	11,793

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Land
Risk Rating:
Pass		$	742			$	357			$	317			$	237			$	132			$	28			$	-			$	1,813
Special mention			-				-				-				-				-				-				-				-
Substandard			25				-				28				-				-				-				-				53
Doubtful			-				-				-				-				-				-				-				-
Total		$	767			$	357			$	345			$	237			$	132			$	28			$	-			$	1,866

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Farm
Risk Rating:
Pass		$	-			$	1,491			$	-			$	-			$	-			$	265			$	-			$	1,756
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				-				-				-				-				-
Doubtful			-				-				-				-				-				-				-				-
Total		$	-			$	1,491			$	-			$	-			$	-			$	265			$	-			$	1,756

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Nonresidential real estate
Risk Rating:
Pass		$	7,256			$	2,041			$	3,110			$	740			$	2,286			$	14,851			$	-			$	30,284
Special mention			1,456				-				-				-				-				-				-				1,456
Substandard			-				-				-				378				-				725				-				1,103
Doubtful			-				-				-				-				-				-				-				-
Total		$	8,712			$	2,041			$	3,110			$	1,118			$	2,286			$	15,576			$	-			$	32,843

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Commercial and industrial
Risk Rating:
Pass		$	286			$	141			$	19			$	6			$	-			$	41			$	-			$	493
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				-				-				-				-				-
Doubtful			-				-				-				-				-				-				-				-
Total		$	286			$	141			$	19			$	6			$	-			$	41			$	-			$	493

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Share Loans
Risk Rating:
Pass		$	17			$	58			$	42			$	76			$	-			$	295			$	-			$	488
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				-				-				-				-				-
Doubtful			-				-				-				-				-				-				-				-
Total		$	17			$	58			$	42			$	76			$	-			$	295			$	-			$	488

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Home Equity
Risk Rating:
Pass		$	-			$	-			$	-			$	-			$	-			$	-			$	17,792			$	17,792
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				-				-				-				-				-
Doubtful			-				-				-				-				-				-				-				-
Total		$	-			$	-			$	-			$	-			$	-			$	-			$	17,792			$	17,792

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Auto
Risk Rating:
Pass		$	83			$	19			$	17			$	-			$	3			$	-			$	-			$	122
Special mention			-				-				-				-				-				-				-				-
Substandard			-				-				-				-				-				-				-				-
Doubtful			-				-				-				-				-				-				-				-
Total		$	83			$	19			$	17			$	-			$	3			$	-			$	-			$	122

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

Unsecured
Risk Rating:
Pass		$	218			$	127			$	36			$	4			$	4			$	4			$	-			$	393
Special mention			-				-				-				-				-				-				-				-
Substandard			-				120				1				-				-				-				-				121
Doubtful			-				-				-				-				-				-				-				-
Total		$	218			$	247			$	37			$	4			$	4			$	4			$	-			$	514

Current period gross charge offs		$	-			$	-			$	-			$	-			$	-			$	-			$	-			$	-

As of June 30, 2026, and 2025, and based on the most recent analysis performed, the risk category of loans by class of loans was as follows:

June 30, 2026:

(in thousands)		Pass				Special Mention				Substandard				Doubtful
Residential real estate
One- to four-family		$	234,737			$	735			$	4,559			$	-
Multi-family			13,748				-				239				-
Construction			11,666				-				127				-
Land			1,813				-				53				-
Farm			1,756				-				-				-
Nonresidential real estate			30,284				1,456				1,103				-
Commercial and industrial			493				-				-				-
Consumer and other
Loans on deposits			488				-				-				-
Home equity			17,792				-				-				-
Automobile			122				-				-				-
Unsecured			393				-				121				-
		$	313,292			$	2,191			$	6,202			$	-

June 30, 2025:

(in thousands)		Pass				Special Mention				Substandard				Doubtful
Residential real estate
One- to four-family		$	246,533			$	96			$	4,709			$	-
Multi-family			15,505				-				-				-
Construction			9,023				-				291				-
Land			1,480				-				28				-
Farm			3,023				-				-				-
Nonresidential real estate			30,195				576				927				-
Commercial and industrial			691				-				-				-
Consumer and other
Loans on deposits			813				-				-				-
Home equity			14,643				-				-				-
Automobile			134				-				-				-
Unsecured			620				-				131				-
		$	322,660			$	672			$	6,086			$	-

The following tables present the activity in the allowance for loan losses by portfolio segment for the years ended June 30, 2026 and 2025:

June 30, 2026:

(in thousands)		Beginning Balance June 30, 2025				Provision for (recovery of) credit losses on loans				Loans charged off				Recoveries				Credit Losses for Unfunded Liabilities				Ending balance
Residential real estate
One- to four-family		$	1,690			$	194			$	(150	)		$	-			$	-			$	1734
Multi-family			86				11				-				-				-				97
Construction			70				(32	)			-				-				-				38
Land			24				47				-				-				-				71
Farm			16				(7	)			-				-				-				9
Nonresidential real estate			230				3				-				-				-				233
Commercial and industrial			7				(4	)			-				-				-				3
Consumer and other
Loans on deposits			-				-				-				-				-				-
Home equity			36				26				-				-				-				62
Automobile			1				-				-				-				-				1
Unsecured			10				(1	)			-				-				-				9
		$	2,170			$	237			$	(150	)		$	-			$	-			$	2,257

June 30, 2025:

(in thousands)		Beginning Balance June 30, 2024				Provision for (recovery of) credit losses on loans				Loans charged off				Recoveries				Credit Losses for Unfunded Liabilities				Ending balance
Residential real estate
One- to four-family		$	1,661			$	29			$	-			$	-			$	-			$	1,690
Multi-family			100				(14	)			-				-				-				86
Construction			122				(49	)			-				-				(3	)			70
Land			28				(4	)			-				-				-				24
Farm			4				12				-				-				-				16
Nonresidential real estate			192				38				-				-				-				230
Commercial and industrial			3				4				-				-				-				7
Consumer and other
Loans on deposits			-				-				-				-				-				-
Home equity			14				15				-				7				-				36
Automobile			-				1				-				-				-				1
Unsecured			3				7				-				-				-				10
		$	2,127			$	39			$	-			$	7			$	(3	)		$	2,170

Purchased Loans:

The Company purchased loans during the fiscal year ended June 30, 2013 for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans, net of a purchase credit discount of $20,000 and $25,000, at June 30, 2026 and 2025, respectively, was as follows:

(in thousands)		2026				2025
Residential real estate
One- to four-family		$	88			$	134

Accretable yield, or income expected to be collected on loans purchased during fiscal year 2013, for the years ended June 30 was as follows:

(in thousands)		2026				2025
Balance at beginning of year		$	227			$	260
Accretion of income			(26	)			(33	)
Balance at end of year		$	201			$	227

For those purchased loans disclosed above, the Company made no increase in allowance for loan losses for the years ended June 30, 2026 or 2025, nor were any allowance for loan losses reversed during those years.