2025 by Gulf Credit Union

February 19, 2026

Todd L. Gaudin, President

On behalf of the Board of Directors, Management, and Staff, we welcome you to the 86th Annual Meeting of Gulf Credit Union. We all want to thank you for being loyal members of Gulf Credit Union and allowing us to serve you. It is our pleasure to report the conditions of the credit union for 2025.

Karen Brown, Chairwoman

The past year marked a period of meaningful progress delivering solid results across all key performance indicators. Economic conditions in 2025 reflected gradual stabilization, with moderate inflation and elevated interest rates influencing member behavior and financial performance. Against this backdrop, the credit union maintained a disciplined approach to lending, pricing, and risk management.

Loan growth remained steady, supported by prudent underwriting and strong credit quality. Deposit trends reflected increased rate sensitivity, resulting in changes to deposit mix while overall liquidity remained sound. Earnings performance was sustained through focused expense management amid continued investment in technology and regulatory compliance.

Our capital remains strong and well above regulatory requirements, providing stability and flexibility to support members and future growth. Overall, 2025 demonstrated the credit union’s financial resilience and commitment to long-term stewardship in a stabilizing but still uncertain economic environment.

Financial Snapshot for 2025:

We contributed over $945k to member capital giving us a Capital to Asset Ratio of 9.95%

Achieved loan growth of 9%

Achieved share growth of 8%

Achieved asset growth of 8%

Loan delinquency ratio of .43%

below our peer average of .69%

Experienced an increase in membership to 24,442 members

Community Involvement for 2025:

• Contributed over $140,000 to local charities, schools, local chambers, and community events

• Awarded $18,000 in scholarships to area students

• Awarded $845,251 in cash back to our Kasasa members since starting the program in 2022

• We supported the Project Celebrations for our area high schools

• Helped support Community Care Prayer Outreach through $12,200 in food donations

• Volunteered over 975 hours at 78 community events

• Sponsored 20 local organizations and events

Each and every decision is made in the best interest of the membership and that is never taken lightly. Everything we do, whether it be our financial viability, new products, community involvement or our staff training, is geared towards our desire to fulfill our mission of building lifelong relationships one experience at a time. By doing this we will be the trusted financial partner by delivering innovative solutions that provide value and convenience to our members. We know that when we fulfill our mission and vision, each household will improve financially.

You know, you’re one of the most important people in the credit union industry: a member-owner. That’s because credit unions operate on the “one member, one vote” principle. Your initial deposit was your share in Gulf Credit Union, and that share empowers your voice and your vote. When you participate in the voting process, you’re contributing to the growth, strength, and well-being of your credit union. As we navigate 2026, our focus remains on exceptional member service, innovative and competitive offerings, and sustained financial and membership growth.

Thank you for your membership, your support and for being an important part of our credit union family. On behalf of the entire staff and our Board, we look forward to a prosperous and rewarding year.

Todd L. Gaudin

Karen Brown President/CEO Chairwoman of the Board

FINANCIAL CHARTS & GRAPHS

$350,000,000

$300,000,000

$250,000,000

$200,000,000

$150,000,000

$100,000,000

AUDIT COMMITTEE

Jason Howard Audit Committee Chair

Karen Brown Audit Committee

Robert Lovelace Audit Committee

AUDIT COMMITTEE REPORT

The Audit Committee is dedicated to ensuring Gulf Credit Union’s operational integrity, compliance with state and federal regulations, and adherence to strong governance practices. By reviewing internal and external audit findings and implementing recommendations, the Committee is focused on safeguarding the Credit Union’s assets; its members’ interest; and upholding the reliability of financial reporting.

The Committee engaged Cornerstone Resources, a service corporation for credit unions to perform the Supervisory Committee Annual Review — Agreed Upon Procedures for the annual financial audit for year ending December 31, 2024, and to conduct the required Verification of Member Accounts in accordance with state and federal regulations. Both engagements complied with the requirements of the Texas Credit Union Department and the National Credit Union Administration.

The Texas Credit Union Department (TCUD), the regulatory agency for Texas state-chartered credit unions, conducted the Credit Union’s annual examination with an effective date of September 30, 2025. The results reflect Gulf Credit Union’s continued commitment to a safe and sound operations.

In 2024, the Board of Directors approved a meeting fee of $100 per director and $75 per day for attendance at strategic planning meeting. Total meeting fees for 2025 amounted to $9,800, with estimated board meeting fees of $12,150 for 2026.

The Committee values your trust in Gulf Credit Union and thanks the GCU team for their dedication to serving members, strengthening community relationships, and contributing to a

The Nominating Committee was appointed at the October, 2025 Board of Directors meeting. Those serving on this committee are:

Robert Lovelace - Chairman

Jason Howard

Joshua Lege

We have two open positions for the board that are for three-year terms up for election at the February 19th 2026 Annual Meeting. There is one incumbent Director seeking re-election and we received three additional applications for a total of four candidates. The nominating committee respectfully nominates:

Karen Brown

Mark Screen

Respectfully Submitted,

Robert Lovelace, Chairman of the Nominating Committee

GULF INVESTMENT GROUP

Robert Lovelace, Chairman of the Nominating Committee

Eric Burson, Financial Advisor

We’re excited to welcome Eric Burson to the GCU team. Eric will be joining Gulf Credit Union as our licensed Financial Advisor. Eric holds a FINRA Series 6, 63 and 65 license, as well as a Life, Health and General Lines Insurance license and is a Fellow of the Secure Retirement Institute. He will be leading our Financial Advisory team. Eric comes to us with extensive experience in investment management & retirement planning, with over 10 years of industry experience.

Introducing the new team for Gulf Investment Group and our newly established Broker Dealer relationship with Cambridge Investment Research Advisors, Inc. We are confident this team reflects our commitment to serving our valued members and supporting our mission. Both new professionals are dedicated employees of the credit union, committed to helping you make confident, informed financial decisions.

Kelly Kasson, Investment Group Coordinator

Kelly Kasson serves as the Investment Group Coordinator at Gulf Credit Union, bringing more than four years of experience in financial services. She holds a BSBA in Business and a Life Insurance License, and she is passionate about helping members feel confident and supported as they plan for their future.