A regional version of **JPMorgan Chase** or **Bank of America**, concentrated in the Louisiana and Texas markets.

Similar to **PNC Financial Services**, but with its operations centered in Louisiana and Texas.

• Commercial Lending: Provides various types of loans to businesses for operational needs, expansion, and capital expenditures.
• Real Estate Lending: Offers financing for commercial and residential properties, including construction, development, and mortgages.
• Deposit Accounts: Supplies checking, savings, money market, and certificate of deposit accounts to individuals and businesses for safekeeping and earning interest.
• Treasury Management: Delivers cash management solutions, such as wire transfers, ACH services, and merchant services, to help businesses manage their finances efficiently.
• Digital Banking: Enables customers to access and manage their accounts, conduct transactions, and utilize banking services through online and mobile platforms.

Business First Bancshares (BFST) is a bank holding company that operates Business First Bank. As a financial institution, it serves a diverse customer base rather than selling products to a few major corporate clients. Therefore, it primarily serves a variety of individuals and businesses, categorized as follows:

• Commercial Customers: This category includes small to medium-sized businesses, professional practices, and commercial real estate investors and developers. They are served with commercial loans, lines of credit, treasury management services, and business deposit accounts.

• Private Banking/Wealth Management Customers: These customers are typically high-net-worth individuals, families, and trusts who require personalized and sophisticated financial solutions, including tailored lending, wealth management, and advisory services.

• Retail/Consumer Customers: This category encompasses individuals and families seeking traditional banking services such as residential mortgages, personal loans, checking and savings accounts, and other standard consumer banking products.

David R. "Jude" Melville III, Chairman, President, and Chief Executive Officer

Mr. Melville was appointed CEO in March 2011 and became Chairman in July 2024. He joined Business First Bancshares at its inception in February 2006 as Chief Administrative Officer. Mr. Melville is recognized as a pivotal early figure and a founder of b1BANK (Business First Bank), which was established in 2006. Under his leadership, Business First Bancshares listed publicly and grew to $6.9 billion in assets by expanding its footprint across Louisiana and Texas, including the completion of multiple whole-bank acquisitions. Prior to his career as a community banker, he served as a captain in the U.S. Air Force. He holds a bachelor's degree from Harvard College, a Master of Science in Management from the London School of Economics, and is a graduate of the Graduate School of Banking at Louisiana State University.

Gregory Robertson, Chief Financial Officer

Mr. Robertson was named Chief Financial Officer of Business First Bancshares and Business First Bank in January 2017. He joined Business First Bancshares over five years prior to this appointment (as of 2017) and brings more than 20 years of diverse experience in commercial and retail banking, having most recently served as the bank's chief banking officer.

N. Jerome "Jerry" Vascocu, Jr., President of b1BANK

Mr. Vascocu was appointed President of b1BANK, Business First's wholly owned subsidiary, effective October 16, 2024. He has over 29 years of banking experience. Previously, he served as Executive Vice President and Chief Administrative Officer of b1BANK from November 2022 to October 2024. Prior to joining b1BANK, Mr. Vascocu was the director of commercial banking strategy for First Horizon Bank from 2020 to 2022, and he spent 15 years with IberiaBank in various leadership roles. He earned a Bachelor of Arts in Economics from Vanderbilt University.

Philip Jordan, Chief Banking Officer & Executive Vice President

Mr. Jordan serves as Chief Banking Officer & Executive Vice President at Business First Bancshares, Inc., a position he has held since 2018, and at b1BANK since 2008. As of 2017, he had over 20 years of banking experience, with 8 years at Business First, where he previously served as the bank's western region CEO. In January 2017, he was named Chief Commercial Officer for Business First Bank, leading a unified team of commercial bankers. Mr. Jordan received his undergraduate degree from Louisiana Tech University.

Keith T. Mansfield, Chief Operations Officer

Mr. Mansfield has served as Chief Operations Officer for Business First Bank since at least January 2017. Prior to this, in June 2016, he was named Chief Information Officer and Executive Vice President. As of 2016, he possessed 18 years of experience in the financial sector, having previously served as Chief Technology Officer and Senior Vice President for BancorpSouth. His responsibilities include information technology, electronic banking, deposit operations, branch and treasury operations, business intelligence, marketing, facilities, and security.

Here are the key risks to Business First Bancshares (BFST):

1. Interest Rate Shifts: Business First Bancshares is significantly vulnerable to fluctuations in interest rates, which can adversely affect its net interest income and overall financial performance. The rapid shifts in interest rates experienced in recent years, such as increases in 2022 and 2023 followed by a decline in 2024, introduce uncertainty regarding loan demand and competition for deposits. While the company employs asset-liability management strategies to mitigate these risks, external factors like governmental monetary policies and broader economic conditions remain beyond its control.
2. Commercial Real Estate Loan Portfolio Exposure: The company faces substantial risks associated with its commercial real estate (CRE) loan portfolio. Economic downturns or changes that impact real estate values and market liquidity could significantly impair the value of this portfolio and negatively affect the company's financial health.
3. Internal Control Weakness in IT Systems: Business First Bancshares has identified a material weakness in its internal control over financial reporting, specifically concerning IT general controls related to change management and segregation of duties within its outsourced IT systems. This deficiency could allow for potential material misstatements in financial statements and, if not effectively remediated, may damage the company’s reputation, impact its share price, and potentially lead to violations of securities laws or credit facility covenants.

The clearest emerging threat for Business First Bancshares (BFST) stems from the accelerating competition from **fintech companies and digital-first platforms that are increasingly disrupting traditional banking services, particularly in the small to medium-sized business (SMB) lending, payment processing, and treasury management sectors.**

These non-bank and challenger bank entities leverage superior technology, streamlined digital experiences, and often lower overhead to offer faster, more convenient, and sometimes more specialized financial products to businesses. Examples include online lenders providing quick access to capital (e.g., through platforms like Square Capital or PayPal Working Capital), neobanks tailored specifically for businesses (e.g., Mercury, Novo) offering integrated financial management, and payment processors expanding into embedded lending or other banking-like services. This trend erodes the traditional bank's role as the primary financial partner for SMBs by disaggregating services and offering them through digital-native channels, forcing regional banks like BFST to rapidly innovate and invest heavily in technology to maintain competitiveness and relevance.

Business First Bancshares (symbol: BFST) operates primarily in the regions of Louisiana and Texas, offering a range of financial products and services. The addressable markets for their main products and services in these regions are as follows:

Commercial Banking

• The market size for the Commercial Banking industry in Louisiana is estimated at $10.2 billion in 2025.
• The market size for the Commercial Banking industry in Texas is estimated at $108.7 billion in 2025.

Mortgage Lending (Residential Real Estate Loans)

• In Louisiana, the total origination value for residential mortgage loans was $14.5713 billion in 2024. In 2021, over 600 banks and lenders originated nearly $39 billion in home loans in Louisiana.
• In Texas, the mortgage loan volume accounted for approximately $147 billion in 2024.

Wealth Management (Investment Advisory Services)

While a specific addressable market size for wealth management within Louisiana and Texas is not readily available, the broader market context includes:

• The global wealth management market size was valued at $1.25 trillion in 2020 and is projected to reach $3.43 trillion by 2030, growing at a compound annual growth rate (CAGR) of 10.7% from 2021 to 2030.
• Another estimate places the global wealth management market size at approximately $1,636.83 billion in 2024, with a projection to reach around $4,893.17 billion by 2034, exhibiting a CAGR of roughly 10.6% between 2025 and 2034.
• North America is noted as dominating the market, accounting for 40% growth during the 2025-2029 period.

1. Net Interest Margin (NIM) Expansion: Business First Bancshares anticipates continued improvement in its net interest margin. The company reported NIM expansion to 3.68% in Q1 2025, and management expects further, albeit slower, single-digit basis point increases in the upcoming quarters. This expansion is driven by effective cost management and a favorable interest rate environment.
2. Organic Loan and Deposit Growth: The company is focused on sustaining and growing its organic loan and deposit portfolios. In Q1 2025, loan growth is projected to see low-to-mid single-digit quarter-over-quarter increases, supported by a healthy pipeline and a strategic emphasis on margin discipline over sheer volume. The bank also demonstrated strong organic deposit growth in Q4 2024.
3. Expansion of Fee-Based Services: Business First Bancshares is actively diversifying its revenue streams by expanding fee-based services. This includes increased income from Small Business Administration (SBA) loan sales, which showed a $1.0 million increase in Q1 2025, and consistent contributions from its customer swap business. Analysts also highlight the company's efforts to boost earnings quality through such services.
4. Strategic Acquisitions and Integration: The successful integration of recent acquisitions, such as Oakwood Bancshares, Inc. in Dallas, is expected to drive future revenue. The system conversion for Oakwood Bank was completed in Q3 2025, expanding the client base and market presence, which management views as a key factor for improved financial performance in the coming quarters.
5. Geographical Market Focus: The company's strategy includes a continued focus on its primary markets in Louisiana, the Dallas/Fort Worth metroplex, and Houston. By tailoring products and services to the economic drivers of these regions and serving underserved business communities, Business First Bancshares aims to foster long-term client relationships and support revenue growth.

Share Repurchases

• On October 28, 2025, Business First Bancshares authorized a new stock repurchase program allowing the company to buy back up to $30 million of its common stock over a 24-month period, concluding on October 28, 2027.
• The repurchase program is discretionary, meaning the company is not obligated to acquire any specific number of shares.

Share Issuance

• As part of the definitive agreement to acquire Progressive Bancorp, Inc., Business First Bancshares will issue approximately 3,050,490 shares of common stock to Progressive shareholders. This transaction is anticipated to close in early 2026.

Outbound Investments

• In July 2025, Business First Bancshares announced a definitive agreement to acquire Progressive Bancorp, Inc. and its subsidiary, Progressive Bank. As of March 31, 2025, Progressive Bancorp reported total assets of $752 million, deposits of $673 million, and equity capital of $65 million. This acquisition is projected to increase Business First's total assets to approximately $8.5 billion.
• On October 1, 2024, Business First completed the acquisition of Oakwood Bancshares, Inc. Oakwood had approximately $863.6 million in total assets, $700.2 million in loans, and $741.3 million in deposits as of September 30, 2024.
• The company completed the acquisition of Texas Citizens Bancorp, Inc. on March 1, 2022. At the time, Texas Citizens had consolidated total assets of $534.2 million, loans of $349.5 million, and deposits of $477.2 million.
• In March 2021, Business First Bancshares signed an agreement to acquire Smith Shellnut Wilson, LLC (SSW), a registered investment advisor with $3.5 billion in assets under management as of December 31, 2020. This acquisition was intended to expand b1BANK's wealth solutions and investment advisory services.