#United States #Fairfax #Freedom Financial #Virginia Bank #FDVA

Freedom Financial Holdings Reports Strong Financial Performance for Q3 2026

Freedom Financial Holdings (OTCQX: FDVA), the holding entity for The Freedom Bank of Virginia, has released its earnings report for the third quarter of 2026. The company reported a remarkable net income of $1,194,648, translating to $0.17 per diluted share. This is a substantial increase from the $289,621 or $0.04 per diluted share recorded in the previous quarter. When compared to the third quarter of 2025, where the net income stood at $1,122,930 or $0.16 per diluted share, the results show a 6.39% year-over-year growth.

Financial Highlights

For the first nine months of 2026, Freedom Financial Holdings reported a cumulative net income of $2,644,609, or $0.37 per diluted share. This marks a decrease compared to $3,942,172 or $0.55 per diluted share for the same period in 2025. Despite this decline, the company’s management expressed optimism about future growth, fueled by increased loan and deposit volumes.

CEO Joseph J. Thomas commented on the impressive performance, stating that earnings improved by 312% compared to the previous quarter, with significant growth also noted in loan and deposit metrics. Loans held-for-investment grew by 3.05%, and deposits rose by 2.94% over the last quarter, showcasing a robust demand for banking services. Furthermore, the resolution of existing non-performing assets reinforces the bank’s commitment to maintaining a healthy balance sheet.

The financial landscape has been complex, notably with rising interest rates impacting mortgage activities and non-interest income streams. The bank responded proactively, cutting expenses and ensuring a solid liquidity position to navigate the volatility in interest rates, demonstrating resilience during challenging economic conditions.

Bylaw Amendments Approved

In addition to the financial disclosures, Freedom Financial Holdings' Board of Directors approved significant amendments to its bylaws, effective immediately. These changes aim to modernize governance practices by introducing clearer processes for shareholder meetings and enhancing the transparency of board nominations.

One substantial change involves the Advance Notice Provisions, which outline the timelines and procedures for shareholders to nominate candidates for board positions or introduce new business during meetings. This is expected to create a more organized and predictable environment for shareholders, facilitating greater participation in company governance.

Additionally, the amended bylaws include provisions for calling special meetings of shareholders, stipulating that a written request from shareholders holding at least 25% of the company’s voting stock is required to initiate such gatherings. This aligns with practices observed among other community banks, aiming to streamline communication and decision-making processes.

The Exclusive Forum Provision establishes that certain disputes will be adjudicated in designated Virginia courts, enhancing the clarity around legal proceedings associated with the company’s operations.

Outlook and Future Plans

Looking ahead, Freedom Financial Holdings is poised for continued growth into 2027, backed by a strong capital position and informed management strategies. The board has also authorized an additional share buyback program of up to 150,000 shares, signifying confidence in the company’s future performance and stock value.

With total assets reaching $1.06 billion as of September 30, 2026, the bank continues to position itself as a leader in the Virginia banking market. Stakeholders can expect the company to maintain its commitment to enhancing shareholder value while adapting to market challenges promptly.

Overall, the third-quarter performance and governance updates reflect Freedom Financial Holdings' resilience and strategic forward-thinking in a competitive financial landscape.