Qnb Corp. (OTC: QNBC)

QNB is a bank holding company that conducts its business through its wholly owned subsidiary, QNB Bank, a full service commercial bank operating in southeastern Pennsylvania. As of December 31, 2025 QNB Bank operated 12 full service community banking offices in Bucks, Montgomery and Lehigh counties and reported total assets of $1,906,005,000, total loans receivable of $1,262,074,000 and total deposits of $1,642,511,000. The bank attracts deposits and uses those funds to make commercial loans, residential mortgage loans, consumer loans and to purchase investment securities. It offers a range of deposit products including time, demand and savings accounts such as certificates of deposit, individual retirement accounts, money market accounts and online savings options.

QNB generates revenue primarily from interest income on its loan portfolio, service charges on deposit accounts and fees from various banking services. For the year ended December 31, 2025 the company reported net income of $14,090,000 compared with $11,448,000 in 2024 and $9,483,000 in 2023. The bank’s loan portfolio includes commercial, residential mortgage and consumer loans while its deposit products consist of time, demand and savings accounts. Additionally, QNB earns income from investment securities and provides services such as internet and mobile banking, electronic bill pay and remote deposit capture to both retail and commercial customers. These revenue streams support the bank’s operations and contribute to its profitability.

QNB operates in a highly competitive market that includes large national and regional banks, community banks, savings institutions, credit unions and non bank financial service providers. Its competitive advantages stem from an emphasis on long term customer relationships, local decision making on loans, personalized service and technology solutions such as internet and mobile banking. The bank also leverages loan participations to meet larger borrowing needs despite having lower legal lending limits than some rivals. QNB’s success is closely tied to the economic conditions of Bucks, Lehigh and Montgomery counties where it concentrates its lending and deposit gathering activities. Management focuses on small business solutions and rapid local loan approvals to differentiate itself from larger competitors. At December 31, 2025 QNB’s tier 1 capital ratio was 12.39%, and its total capital ratio was 15.86%. The bank was considered well capitalized under regulatory standards at that date.

QNB serves a diverse customer base that includes individuals, small businesses, commercial clients and municipalities within its primary market of Bucks, Lehigh and Montgomery counties. The bank does not disclose specific customer names in the filing but its services are directed toward retail depositors, borrowers seeking various loan products and entities requiring treasury and cash management solutions. As of February 18, 2026 QNB Bank employed 191 full time and 6 part time staff who emphasize a customer oriented philosophy and flexible solutions. Employees maintain close contact with residents and local business people in the communities they serve responding to changes in market conditions and customer requests in a timely manner. The bank received a satisfactory rating under the Community Reinvestment Act.