Chain Bridge Bancorp, Inc. (NYSE: CBNA) (the “Company”), the holding company for Chain Bridge Bank, N.A. (the “Bank”), today announced financial results for the third quarter of 2024 and the nine months ended September 30, 2024.

•Consolidated Net Income: $7.5 million

•Earnings Per Share: $1.64 per basic and diluted common share outstanding

•Return on Average Equity: 29.90% (on an annualized basis)

•Return on Average Assets: 2.03% (on an annualized basis)

•Book Value Per Share: $22.95 compared to $20.57 at June 30, 2024, and $16.45 at September 30, 2023

•Consolidated Net Income: $17.2 million

•Earnings Per Share: $3.77 per basic and diluted common share outstanding

•Return on Average Equity: 25.00% (on an annualized basis)

•Return on Average Assets: 1.79% (on an annualized basis)

The increase in earnings for the first nine months of 2024 reflects a $13.0 million increase in net interest income, driven by a $258.8 million increase in average interest-earning assets, compared to the same period in 2023. Additionally, non-interest income rose $5.4 million compared to the same period in 2023, primarily due to higher fee income from IntraFi Cash Service® (ICS®) One-Way Sell® deposits. However, non-interest expenses increased $4.7 million, reflecting higher employment and professional services expenses associated with the Company’s preparations to become a public company.

Non-interest income for the third quarter of 2024 was $3.1 million, driven by $2.5 million in deposit placement services income which is fee income we earn on One-Way Sell® deposits sold through the ICS® network. Many of these deposits were sourced from political organizations. Other contributors to non-interest income included $376 thousand in service charges on deposit accounts and $243 thousand in trust and wealth management income. By comparison, non-interest income was $2.6 million for the second quarter of 2024, driven by $2.0 million in deposit placement services income, $321 thousand in service charges on accounts, and $239 thousand in trust and wealth management services income. Non-interest income was $1.2 million for the third quarter of 2023, driven by $859 thousand in deposit placement services income, $227 thousand in service charges on accounts, and $149 thousand in trust and wealth management income.

•Total assets were $1.6 billion, compared to $1.4 billion as of June 30, 2024, and $1.2 billion as of September 30, 2023.

•Total deposits were $1.4 billion, compared to $1.3 billion as of June 30, 2024, and $1.1 billion as of September 30, 2023.

•Total ICS® One-Way Sell® deposits were $432.3 million, compared to $499.2 million as of June 30, 2024, and $106.3 million as of September 30, 2023.

•Interest-bearing reserves held at the Federal Reserve were $627.0 million, compared to $471.2 million as of June 30, 2024 and $246.4 million as of September 30, 2023.

•The loan-to-deposit ratio was 20.92%, compared to 23.42% as of June 30, 2024, and 29.15% as of September 30, 2023.

•The ratio of non-performing assets to total assets remained at 0.00%, unchanged from June 30, 2024 and September 30, 2023.

Forward-looking statements include, among other things, statements relating to: (i) changes in trade, monetary and fiscal policies of, and other activities undertaken by, governments, agencies, central banks and similar organizations, including the effects of United States federal government spending; (ii) the level of, or changes in the level of, interest rates and inflation, including the effects on our net interest income, non-interest income, and the market value of our investment and loan portfolios; (iii) the level and composition of our deposits, including our ability to attract and retain, and the seasonality of, client deposits, including those in the ICS® network, as well as the amount and timing of deposit outflows through the end of the fourth quarter of 2024 and into early 2025; (iv) the level and composition of our loan portfolio, including our ability to maintain the credit quality of our loan portfolio; (v) current and future business, economic and market conditions in the United States generally or in the Washington, D.C. metropolitan area in particular; (vi) the effects of disruptions or instability in the financial system, including as a result of the failure of a financial institution or other participants in it, or geopolitical instability, including war, terrorist attacks, pandemics and man-made and natural disasters; (vii) the impact of, and changes, in applicable laws, regulations, regulatory expectations and accounting standards and policies; (viii) our likelihood of success in, and the impact of, legal, regulatory or other actions, investigations or proceedings related to our business; (ix) adverse publicity or reputational harm to us, our senior officers, directors, employees or clients; (x) our ability to effectively execute our growth plans or other initiatives; (xi) changes in demand for our products and services; (xii) our levels of, and access to, sources of liquidity and capital; (xiii) the ability to attract and retain essential personnel or changes in our essential personnel; (xiv) our ability to effectively compete with banks, nonbank financial institutions, and financial technology firms and the effects of competition in the financial services industry on our business; (xv) the effectiveness of our risk management and internal disclosure controls and procedures; (xvi) any failure or interruption of our information and technology systems, including any components provided by a third party; (xvii) our ability to identify and address cybersecurity threats and breaches; (xviii) our ability to keep pace with technological changes; (xix) our ability to receive dividends from the Bank and satisfy our obligations as they become due; (xx) the one-time and incremental costs of operating as a public company; (xxi) our ability to meet our obligations as a public company, including our obligation under Section 404 of Sarbanes-Oxley; and (xxii) the effect of our dual-class structure and the concentrated

You should not rely upon forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this press release primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, results of operations and prospects. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties and other factors, including the risks described in the “Risk Factors” section of the Company’s most recent Registration Statement on Form S-1, available at the Securities and Exchange Commission’s website (www.sec.gov).

1 Ratios for interim periods are presented on an annualized basis.

2 Return on average risk-weighted assets is calculated as net income divided by average risk-weighted assets. Average risk-weighted assets is calculated using the last two quarter ends with respect to the three-month periods presented and using the last four quarter ends with respect to the nine-month periods presented.

3 Yield on average interest-earning assets is calculated as total interest and dividend income divided by average interest-earning assets.

4 Cost of funds is calculated as total interest expense divided by the sum of average total interest-bearing liabilities and average demand deposits.

5 Net interest margin is net interest income expressed as a percentage of average interest-earning assets.

6 Included in “interest-bearing deposits in other banks” on the consolidated balance sheet

7 Total debt securities is calculated as the sum of securities available for sale (AFS) and securities held to maturity (HTM). AFS securities are reported at fair value, and held to maturity securities are reported at carrying value, net of allowance for credit losses.

8 Includes loans held for sale.

9 IntraFi Cash Service® (ICS®) One-Way Sell® are deposits placed at other banks through the ICS® network. One-Way Sell® deposits are not included in the total deposits on the Company’s balance sheet. The Bank has the flexibility, subject to the terms and conditions of the IntraFi Participating Institution Agreement, to convert these One-Way Sell® deposits into reciprocal deposits which would then appear on the Company’s balance sheet.

10 Liquidity ratio is calculated as the sum of cash and cash equivalents and unpledged investment grade securities, expressed as a percentage of total liabilities.

11 Company-level capital information is calculated in accordance with banking regulatory accounting principles specified by regulatory agencies for supervisory reporting purposes.

12 The ratio of tangible common equity to tangible total assets is calculated in accordance with GAAP and represents common equity divided by total assets. The Company did not have any intangible assets or goodwill for the periods presented.

13 On October 3, 2024, the Company filed an Amended and Restated Certificate of Incorporation with the Secretary of State of the State of Delaware, which reclassified and converted each outstanding share of the Company’s existing common stock, par value $1.00 per share, into 170 shares of Class B Common Stock, par value $0.01 per share (the “Reclassification”). Share information is presented on an as adjusted basis giving effect to the Reclassification. The number of basic and diluted shares are the same because there are no potentially dilutive instruments.

14 Derived from audited financial statements.

15 On October 3, 2024, the Company filed an Amended and Restated Certificate of Incorporation with the Secretary of State of the State of Delaware, which reclassified and converted each outstanding share of the Company’s existing common stock, par value $1.00 per share, into 170 shares of Class B Common Stock, par value $0.01 per share (the “Reclassification”). The Reclassification also authorized 20,000,000 shares of Class A Common Stock, and 10,000,000 shares of Preferred Stock. Share information is presented on an as adjusted basis giving effect to the Reclassification. Accordingly, all shares and balances relating to Old Common Stock are reflected in Class B Common Stock.

(unaudited)

			Three Months Ended																		Nine Months Ended
			September 30, 2024						June 30, 2024						September 30, 2023						September 30, 2024						September 30, 2023
Interest and dividend income
Interest and fees on loans			$	3,445					$	3,391					$	3,417					$	10,115					$	10,124
Interest and dividends on securities, taxable			3,573						2,872						2,741						9,312						8,360
Interest on securities, tax-exempt			284						285						304						863						918
Interest on interest-bearing deposits in banks			7,366						4,943						1,681						15,568						3,680
Total interest and dividend income			14,668						11,491						8,143						35,858						23,082
Interest expense
Interest on deposits			813						815						861						2,437						2,822
Interest on short-term borrowings			209						102						96						409						284
Total interest expense			1,022						917						957						2,846						3,106
Net interest income			13,646						10,574						7,186						33,012						19,976
(Recapture of) provision for credit losses
Provision for (recapture of) loan credit losses			(131)						13						1						(113)						(82)
Provision for (recapture of) securities credit losses			13						(111)						6						(297)						804
Total provision for (recapture of) credit losses			(118)						(98)						7						(410)						722
Net interest income after provision for (recapture of) credit losses			13,764						10,672						7,179						33,422						19,254
Noninterest income
Deposit placement services			2,464						2,031						859						5,617						1,106
Service charges on accounts			376						321						227						1,008						651
Trust and wealth management			243						239						149						669						407
Gain on sale of mortgage loans			13						12						-						25						-
Loss on sale of securities			(65)						-						(30)						(65)						(312)
Other income			49						27						16						104						89
Total noninterest income			3,080						2,630						1,221						7,358						1,941
Noninterest expenses
Salaries and employee benefits			4,280						3,788						3,116						11,553						9,237
Professional services			1,206						483						207						2,154						623
Data processing and communication expenses			669						664						570						1,928						1,683
Virginia bank franchise tax			253						148						188						604						564
Occupancy and equipment expenses			236						237						232						748						695
FDIC and regulatory assessments			212						155						159						560						443
Directors fees			191						171						100						523						286
Insurance expenses			61						60						54						181						166
Marketing and business development costs			47						50						48						169						170
Other operating expenses			277						249						207						758						574
Total noninterest expenses			7,432						6,005						4,881						19,178						14,441
Net income before taxes			9,412						7,297						3,519						21,602						6,754
Income tax expense			1,925						1,492						676						4,393						1,237
Net income			$	7,487					$	5,805					$	2,843					$	17,209					$	5,517
Earnings per common share, basic and diluted 16			$	1.64					$	1.27					$	0.62					$	3.77					$	1.21
Weighted average common shares outstanding, basic and diluted 16			4,568,920						4,568,920						4,568,240						4,568,920						4,568,240

16 Share information for all periods presented gives effect to the Reclassification. All earnings are attributed to Class B shares because no Class A shares were outstanding during the periods presented. The number of basic and diluted shares are the same because there are no potentially dilutive instruments.

17 Average balances for securities transferred from AFS to HTM at fair value are shown at carrying value. Average balances for AFS and all other HTM bonds are shown at amortized cost.