MainStreet Bancshares, Inc.NASDAQ: MNSB

Financial Highlights: 3rd Quarter 2024

· Issued by MainStreet Bancshares, Inc.

Key takeaways

projections assume future interest rate changes remain directionally consistent

  1. 2024 financial performance is not indicative of future expectations.
    • Deposit costs will decrease, and the net interest margin will expand
    • The Allowance for Credit Losses (ACL) is directionally consistent
    • The loan portfolio remains strong overall, problem loans are being actively resolved with very nominal loss exposure, and are trending downward
  2. Traditional deposit growth is a challenge in our market. The full Board is engaged and steadfast in its support of Avenu's banking as a service initiatives to overcome this challenge.
  3. Version 1 of Avenu is now active.

5

2024 performance is not indicative of future expectations

Profitability

Balance Sheet

EPS Efficiency ratio ROAA2 ROAE2 ROATCE2

Net interest margin1,2,3

Net loans ($000) Total deposits ($000) Total assets ($000) ACL / gross loans NCOs / avg loans

Total equity/tangible assets 3

3Q24

3Q24

2Q24

1Q24

4Q23

YTD

$0.60

($0.04)

$0.27

$0.36

$0.61

78.68%

81.45%

78.38%

75.77%

62.33%

0.40%

0.05%

0.50%

0.65%

1.02%

3.70%

0.47%

4.70%

5.97%

9.42%

4.60%

0.58%

5.85%

7.37%

11.63%

3.19%

3.05%

3.15%

3.24%

3.49%

$1,775,558

$1,775,558

$1,778,840

$1,727,110

$1,705,137

$1,893,669

$1,893,669

$1,755,363

$1,732,735

$1,686,127

$2,224,599

$2,224,599

$2,093,746

$2,070,015

$2,035,432

1.02%

1.02%

0.95%

0.95%

96%

0.42%

0.42%

0.08%

0.03%

0.03%

10.25%

10.25%

10.82%

10.86%

10.96%

1 tax-equivalent yield 2 annualized 3 non-GAAP

6

Deposit costs will decrease, and the net interest margin will expand

Quarterly net interest margin 1

5.00%

4.75%

4.72%

4.50%

4.18%

4.25%

3.96%

3.98%

4.01%

4.00%

3.55%

3.50%

3.29% 3.20%3.05%

3.00%

2.50%

1Q22

2Q22

3Q22

4Q22

1Q23

2Q23

3Q23

4Q23

1Q24

2Q24

3Q24

  • Tax-equivalentyield

R e ve r s e d I n t e re s t

Interest income

Quarter

reversed

2024 Q1

$310,933

2024 Q2

$541,887

2024 Q3

$983,841

Total YTD

$1,836,661

3.19% Cumulative net interest margin through September 30, 2024

7

Core deposits reflect community engagement

D e p o s i t t y p e / t o t a l d e p o s i t s

35%

33%

40%

41%

42%

41%

44%

52%

26%

38%

21%

20%

18%

18%

36%

24%

39%

29%

38%

38%

41%

38%

24%

24%

2019

2020

2021

2022

2023

1Q24

2Q24

3Q24

Interest-Bearing DDAs

Non-Interest Bearing DDAs

Time Deposits

  • Bank-definedcore deposits

D e p o s i t s 3 Q 2 4

( $ m i l l i o n s )

Core 1 $1,471

78%

Non-core

$423

22%

Total

$1,894

100%

Business Banking team continue to build new relationships and gain market share.

8

Core Deposit growth is meaningful

Attractive rates and well structured

September 30, 2024

Balance

Percent

Weighted Weighted

Type

(millions)

of total

avg. rate

maturity

Non-interest-bearing DDA

$348

24%

Low-cost transactional 1

$53

4%

0.22%

Interest bearing

$608

41%

4.38%

Term

$462

31%

4.89%

7 mos

Total core deposits

$1,471

100%

3.34%

  • Interest bearing deposits with rates at or below 1%

35% of new Q3 deposits are non-interest bearing.

9

Non-core deposits are well structured

Flexible & diverse for anticipated interest rate environment

September 30, 2024

Type

Balance

Percent Weighted

Weighted

(millions)

of total

avg. rate

maturity

Money market

$50

12%

5.15%

deposits

Term with call option1

$183

43%

5.16%

38 mos

Term

$190

45%

4.69%

11 mos

Total non-core

$423

100.0%

4.95%

deposits

  • Callable at Bank's discretion

Non-core strategy includes aggressive repricing in falling rate environment. 55% of non-core deposits can be adjusted to market rate immediately.

10

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