PROVIDENT FINANCIAL HOLDINGS INC Stock Compensation Disclosure

Note 11: Incentive Plans

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As of June 30, 2025, the Corporation had four share-based compensation plans: the 2022 Equity Incentive Plan (“2022 Plan”); the 2013 Equity Incentive Plan (“2013 Plan”); the 2010 Equity Incentive Plan (“2010 Plan”); and the 2006 Equity Incentive Plan (“2006 Plan”), collectively, the “Plans”. For the fiscal years ended June 30, 2025 and 2024, the compensation cost for the Plans was $543,000 and $240,000, respectively.

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Equity Incentive Plans. The Corporation established the Plans, which were all approved by shareholders for directors, advisory directors, directors emeriti, officers and employees of the Corporation and its subsidiary. The 2022 Plan authorizes 175,000 stock options and 200,000 shares of restricted stock. The 2022 Plan also provides that no person may be granted more than 35,000 stock options or 30,000 shares of restricted stock in any one year. The 2013 Plan authorizes 300,000 stock options and 300,000 shares of restricted stock. The 2013 Plan also provides that no person may be granted more than 60,000 stock options or 45,000 shares of restricted stock in any one year. The 2010 Plan authorized 586,250 stock options and 288,750 shares of restricted stock. The 2006 Plan authorized 365,000 stock options and 185,000 shares of restricted stock. As of June 30, 2025, equity awards may be granted only from the 2022 Plan, while no new equity awards can be granted from the 2013 Plan, 2010 Plan and 2006 Plan.

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Equity Incentive Plans - Stock Options. Under the Plans, options may not be granted at a price not less than the fair market value at the date of the grant. Options typically vest over a five-year or shorter period as long as the director,

advisory director, director emeritus, officer or employee remains in service to the Corporation. The options are exercisable after vesting for up to the remaining term of the original grant. The maximum term of the options granted is 10 years.

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The fair value of each option grant is estimated using the Black-Scholes option valuation model with the following assumptions as of the grant date for the periods indicated. The expected volatility is based on implied volatility from historical common stock closing prices for the prior 84 months. The expected dividend yield is based on the most recent quarterly dividend on an annualized basis. The expected term is based on the historical experience of all fully vested stock option grants and is reviewed annually. The risk-free interest rate is based on the U.S. Treasury note rate with a term similar to the underlying stock option on the particular grant date.

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As of June 30, 2025 and 2024, there were 45,000 options and 77,000 options available for future grants under the 2022 Plan, respectively.

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The following tables summarize the stock option activity in the Plans during the fiscal years ended June 30, 2025 and 2024.

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As of June 30, 2025 and 2024, there was $266,000 and $231,000 of unrecognized compensation expense, respectively, related to unvested share-based compensation arrangements with respect to stock options issued under the Plans. The expense is expected to be recognized over a weighted average period of 3.7 years and 3.5 years, respectively. The forfeiture rate during both fiscal 2025 and 2024 was 15%, and was calculated by using the historical forfeiture experience of all fully vested stock option grants which is reviewed annually.

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Equity Incentive Plans – Restricted Stock. Awarded shares typically vest over a five-year or shorter period as long as the director, advisory director, director emeriti, officer or employee remains in service to the Corporation. Once vested, a

recipient of restricted stock will have all rights of a shareholder, including the power to vote and the right to receive dividends. The Corporation recognizes compensation expense for the restricted stock awards based on the fair value of the shares at the award date.

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As of June 30, 2025 and 2024, there were 74,000 shares and 69,000 shares available for future awards under the 2022 Plan, respectively.

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The following table summarizes the restricted stock activity for the fiscal years ended June 30, 2025 and 2024.

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As of June 30, 2025 and 2024, the unrecognized compensation expense was $1.3 million and $1.8 million, respectively, related to unvested share-based compensation arrangements with respect to restricted stock issued under the Plans, and reported as a reduction to stockholders’ equity. This expense is expected to be recognized over a weighted average period of 2.8 years and 3.5 years, respectively. Similar to stock options, a forfeiture rate of 15% was applied to the restricted stock compensation expense calculations in both fiscal 2025 and 2024, respectively. For the fiscal years ended June 30, 2025 and 2024, the fair value of shares vested and distributed was $315,000 and $24,000, respectively.