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 fourth quarter of 2024 and the twelve months ended December 31, 2024.

•Consolidated Net Income: $3.7 million

•Earnings Per Share: $0.59 per basic and diluted common share outstanding

•Return on Average Equity: 10.48% (on an annualized basis)

•Return on Average Assets: 1.13% (on an annualized basis)

•Book Value Per Share: $21.98

•Consolidated Net Income: $20.9 million

•Earnings Per Share: $4.17 per basic and diluted common share outstanding

•Return on Average Equity: 20.05%

•Return on Average Assets: 1.62%

The Company’s consolidated total deposits were $1.2 billion at December 31, 2024, compared to $1.4 billion at September 30, 2024. IntraFi Cash Service® (ICS®) One-Way Sell® deposits were $63.3 million at December 31, 2024, compared to $432.3 million at September 30, 2024. These changes reflect deposit outflows from political organizations following the 2024 federal election, consistent with historical trends during election cycles. During the quarter, the Bank converted certain One-Way Sell® deposits into a reciprocal deposits, which are included on the consolidated balance sheet.

Net income was $3.7 million for the quarter ended December 31, 2024, compared to the $7.5 million for the quarter ended September 30, 2024. The change was primarily due to a $2.3 million decrease in net interest income and a $1.9 million decrease in noninterest income. The change in net interest income was attributable to lower average interest-earning assets and a decrease in the Federal Reserve’s interest rate paid on reserve balances. The change in noninterest income was attributable to lower deposit placement services revenue from One-Way Sell® deposits balances.

The 2024 earnings increase compared to 2023 was primarily due to three factors: a $16.6 million increase in net interest income, resulting from a $255.1 million increase in average interest-earning assets; a $5.3 million rise in noninterest income, reflecting higher deposit placement services income from One-Way Sell® deposits; and, offsetting these factors, a $7.4 million increase in noninterest expenses, reflecting higher employment and professional services expenses associated with the Company’s preparations for, and ongoing operation as, a public company. The higher earnings in 2024 resulted in a $3.2 million increase in income tax expense compared to 2023.

Noninterest income for the fourth quarter of 2024 was $1.2 million, compared to $3.1 million in the third quarter of 2024 and $1.3 million for the fourth quarter of 2023. Fourth quarter 2024 deposit placement services income from One-Way Sell® deposits through the ICS® network was $582 thousand, compared to $2.5 million in the third quarter of 2024 and $868 thousand in the fourth quarter of 2023. The changes in deposit placement services income reflect the change in the Bank’s political organization deposit base, including those positioned as One-Way Sell® in the ICS® network, related to seasonal patterns observed surrounding the federal election cycle. Service charges on accounts, which are impacted by political deposit transaction activities, were $397 thousand in the fourth quarter of 2024, compared to $376 thousand in the third quarter of 2024, and $267 thousand in the fourth quarter of 2023.

For the year ended December 31, 2024, noninterest income totaled $8.6 million, consisting of $6.2 million in deposit placement services income, $1.4 million in service charges on accounts, and $907 thousand in trust and wealth management income. For the year ended December 31, 2023, noninterest income totaled $3.3 million, consisting of $2.0 million in deposit placement services income, $918 thousand in service charges on accounts, and $565 thousand in trust and wealth management income. The Bank’s political organization deposit base and One-Way Sell® deposits through the ICS® network reflected growth related to the November 2024 federal elections.

•Total assets were $1.4 billion, compared to $1.6 billion as of September 30, 2024, and $1.2 billion as of December 31, 2023.

•Total deposits were $1.2 billion, compared to $1.4 billion as of September 30, 2024, and $1.1 billion as of December 31, 2023.

•Total ICS® One-Way Sell® deposits were $63.3 million, compared to $432.3 million as of September 30, 2024, and $130.1 million as of December 31, 2023.

•Interest-bearing reserves held at the Federal Reserve were $406.7 million, compared to $627.0 million as of September 30, 2024 and $309.8 million as of December 31, 2023.

•The loan-to-deposit ratio was 25.09% compared to 20.92% as of September 30, 2024, and 27.35% as of December 31, 2023.

•The ratio of non-performing assets to total assets remained at 0.00%, unchanged from September 30, 2024 and December 31, 2023.

As of December 31, 2024, total deposits were $1.2 billion compared to $1.4 billion as of September 30, 2024, and ICS® One-Way Sell® deposits were $63.3 million as of December 31, 2024 compared to $432.3 million as of September 30, 2024. The decline in total deposits reflects seasonal outflows from political organizations following the 2024 federal election cycle, a pattern generally consistent with prior federal election cycles, partially offset by the conversion of $130.3 million of ICS® One-Way Sell® deposits to reciprocal deposits. The reduction in ICS® One-Way Sell® deposits was driven by client-directed outflows, consistent with typical seasonal election-related trends, and the conversion of $130.3 million of ICS® One-Way Sell® deposits to reciprocal deposits.

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 or 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, noninterest 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 inflows and outflows into early 2025; (iv) our political organization clients’ fundraising and disbursement activities; (v) the level and composition of our loan portfolio, including our ability to maintain the credit quality of our loan portfolio; (vi) current and future business, economic and market conditions in the United States generally or in the Washington, D.C. metropolitan area in particular; (vii) 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; (viii) the impact of, and changes, in applicable laws, regulations, regulatory expectations and accounting standards and policies; (ix) our likelihood of success in, and the impact of, legal, regulatory or other actions, investigations or proceedings related to our business; (x) adverse publicity or reputational harm to us, our senior officers, directors, employees or clients; (xi) our ability to effectively execute our growth plans or other initiatives; (xii) changes in demand for our products and services; (xiii) our levels of, and access to, sources of liquidity and capital; (xiv) the ability to attract and retain essential personnel or changes in our essential personnel; (xv) 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; (xvi) the effectiveness of our risk management and internal disclosure controls and procedures; (xvii) any failure or interruption of our information and technology systems, including any components provided by a third party; (xviii) our ability to identify and address cybersecurity threats and breaches; (xix) our ability to keep pace with technological changes; (xx) our ability to receive dividends from the Bank and satisfy our obligations as they become due; (xxi) the one-time and incremental costs of operating as a public company; (xxii) our ability to meet our obligations as a public company, including our obligation under Section 404 of Sarbanes-Oxley; and (xxiii) the effect of our dual-class structure and the concentrated ownership of our Class B common stock, including beneficial ownership of our shares by members of the Fitzgerald Family.

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 are calculated using the last two quarter ends with respect to the three-month periods presented and using the last five quarter ends with respect to the twelve-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 Efficiency ratio is calculated as non-interest expense divided by the sum of net interest income and non-interest income.

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

8 Total debt securities and U.S. Treasury securities are 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.

9 Includes loans held for sale.

10 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.

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

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

13 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.

14 Double leverage ratio represents Chain Bridge Bancorp, Inc.’s investment in Chain Bridge Bank, N.A. divided by Chain Bridge Bancorp, Inc.’s consolidated equity

15 On October 3, 2024, the Company filed an Amended and Restated Certification 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 (the "Reclassification"). Historical 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.

16 Derived from audited financial statements.

17 On October 3, 2024, the Company filed an Amended and Restated Certification 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,into 170 shares of Class B Common Stock (the "Reclassification"). The Reclassification also authorized 20,000,000 shares of Class A Common Stock, and 10,000,000 shares of Preferred Stock. Historical share information is presented on an as adjusted basis giving effect to the Reclassification. All shares and balances from previously held common stock are reflected in Class B Common Stock.

(unaudited)

			Three Months Ended																		Twelve Months Ended
			December 31, 2024						September 30, 2024						December 31, 2023						December 31, 2024						December 31, 202318
Interest and dividend income
Interest and fees on loans			$	3,672					$	3,445					$	3,277					$	13,787					$	13,402
Interest and dividends on securities, taxable			3,008						3,573						2,752						12,320						11,112
Interest on securities, tax-exempt			282						284						301						1,145						1,219
Interest on interest-bearing deposits in banks			5,256						7,366						2,376						20,823						6,056
Total interest and dividend income			12,218						14,668						8,706						48,075						31,789
Interest expense
Interest on deposits			$	836					813						842						3,273						3,664
Interest on short-term borrowings			20						209						98						430						382
Total interest expense			856						1,022						940						3,703						4,046
Net interest income			11,362						13,646						7,766						44,372						27,743
Provision for (recapture of) credit losses
Provision for (recapture of) loan credit losses			$	308					(131)						(81)						195						(163)
Provision for (recapture of) securities credit losses			(60)						13						—						(356)						804
Total provision for (recapture of) credit losses			248						(118)						(81)						(161)						641
Net interest income after provision for (recapture of) credit losses			11,114						13,764						7,847						44,533						27,102
Noninterest income
Deposit placement services			$	582					2,464						868						6,199						1,974
Service charges on accounts			397						376						267						1,405						918
Trust and wealth management			238						243						158						907						565
Gain on sale of mortgage loans			3						13						12						27						12
Loss on sale of securities			(16)						(65)						(77)						(81)						(389)
Other income			18						49						112						123						201
Total noninterest income			1,222						3,080						1,340						8,580						3,281
Noninterest expenses
Salaries and employee benefits			$	4,352					4,280						3,122						15,906						12,359
Professional services			1,010						1,206						286						3,163						909
Data processing and communication expenses			686						669						593						2,614						2,276
Occupancy and equipment expenses			233						236						240						982						936
Virginia bank franchise tax			280						253						175						884						739
FDIC and regulatory assessments			193						212						141						753						585
Directors fees			127						191						81						650						367
Insurance expenses			159						61						60						340						225
Marketing and business development costs			144						47						69						313						239
Other operating expenses			486						277						268						1,240						842
Total noninterest expenses			7,670						7,432						5,035						26,845						19,477
Net income before taxes			4,666						9,412						4,152						26,268						10,906
Income tax expense			$	926					1,925						838						5,319						2,075
Net income			$	3,740					$	7,487					$	3,314					$	20,949					$	8,831
Earnings per common share, basic and diluted - Class A and Class B 19			$	0.59					$	1.64					$	0.73					$	4.17					$	1.93
Weighted average common shares outstanding, basic and diluted - Class A 19			2,326,202						—						—						584,728						—
Weighted average common shares outstanding, basic and diluted - Class B 19			4,045,150						4,568,920						4,568,240						4,437,196						4,568,240

18 Derived from audited financial statements.

19 Share information for historical periods gives effect to the Reclassification. All earnings are attributed to Class B shares for the historical periods because no Class A shares were outstanding during the historical periods. The number of basic and diluted shares are the same because there are no potentially dilutive instruments. Except in regard to voting and conversion rights, the rights of Class A Common Stock and Class B Common Stock are identical, and the classes rank equally and share ratably with regard to all other matters. Each share of Class B Common Stock is convertible at any time into one share of Class A Common Stock.

20 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.