Landmark Bancorp, Inc. (LARK): ANSOFF MATRIX [Dec-2025 Updated]

You're looking at Landmark Bancorp, Inc. (LARK) and need a clear roadmap, so let's cut through the noise. Honestly, the immediate focus has to be on plugging that \$61.9 million Q2 2025 deposit gap while keeping that \$21.5 million loan growth momentum going-that's the Market Penetration base. But we can't stop there; we've mapped out concrete ways to push into the Missouri side of Kansas City, launch a digital bank, and develop premium services like wealth management and specialized ag loans. For the more aggressive play, we even see paths to acquire an AgTech FinTech or start a national mortgage platform, all while keeping an eye on that \$25.66 per share book value. Dive in below to see the four distinct strategies we've laid out for serious growth.

Landmark Bancorp, Inc. (LARK) - Ansoff Matrix: Market Penetration

You're looking at how Landmark Bancorp, Inc. (LARK) can deepen its hold on its current Kansas markets-that's Market Penetration in the Ansoff Matrix. This strategy relies on using your existing infrastructure and customer base to sell more of what you already offer. The recent numbers show clear areas where this focus is critical, especially after the deposit volatility in the second quarter.

The immediate priority is stabilizing the funding base. You need to intensify deposit gathering initiatives to recover the $61.9 million deposit decline experienced in the second quarter of 2025. Honestly, that outflow, driven by seasonality and brokered deposit shifts, needs a strong counter-push. It's encouraging that by the third quarter of 2025, deposits rebounded by $51.6 million, showing the initiatives are starting to work, but you can't let up.

Here's a quick look at the key performance indicators from the recent quarters that frame this market penetration effort:

To grow within your current footprint, you must effectively cross-sell. Think about leveraging your existing core deposit customers across the 29 community bank branches in Kansas. The loan book shows strong demand for commercial and commercial real estate (CRE) products; specifically, Q2 2025 saw a $13.4 million increase in commercial loans and a $10.9 million increase in CRE loans. Pairing a deep relationship with a deposit customer with an offering for these proven loan products is defintely a prime penetration move.

On the cost side, the drive for efficiency must continue. You need to run a cost-optimization program to push the efficiency ratio below the 60.7% mark achieved in the third quarter of 2025. That 60.7% is a solid improvement from 62.8% in Q2 2025, but every basis point below that signals better operating leverage, which helps profitability even if loan growth slows.

Sustaining the strong lending momentum from the second quarter is also key to market penetration. You should offer promotional rates on residential mortgages to sustain the $21.5 million loan growth seen in that segment during Q2 2025. Keeping the loan pipeline full with high-quality assets is essential for maintaining net interest income.

Finally, to fuel these efforts, you need to increase marketing spend in current markets. The goal here is direct: use that increased spend to boost the $4.9 million net income Landmark Bancorp posted in the third quarter of 2025. That income level, supported by a steady net interest margin of 3.83% in Q3, provides the capital base to invest in targeted marketing campaigns right where your branches are.

Here are the core actions for this quadrant:

• Intensify deposit gathering to reverse the $61.9 million Q2 2025 decline.
• Cross-sell commercial ($13.4 million Q2 growth) and CRE ($10.9 million Q2 growth) to existing customers in the 29 Kansas branches.
• Execute cost controls aiming for an efficiency ratio below the 60.7% Q3 2025 figure.
• Use residential mortgage promotions to support growth like the $21.5 million Q2 2025 increase.
• Allocate increased marketing funds to lift the $4.9 million Q3 2025 net income.

Finance: draft the budget allocation for the targeted marketing spend by next Wednesday.

Landmark Bancorp, Inc. (LARK) - Ansoff Matrix: Market Development

You're looking at how Landmark Bancorp, Inc. can grow by taking its existing commercial and CRE loan products into new geographic areas. This is Market Development, pure and simple.

One clear path is entering the Missouri side of the Kansas City metropolitan area using the existing commercial and CRE loan products already proven in Kansas. Landmark National Bank already has a presence in the Kansas City metropolitan area, which includes locations in Kansas communities like Overland Park and Prairie Village. The total assets for Landmark Bancorp, Inc. stood at $1,574,142,000 as of the November 28, 2025 close.

For serving customers in non-branch Kansas communities, launching a digital-only bank offering is a strategy to capture market share without the capital outlay of physical branches. Currently, Landmark National Bank operates 30 community banking locations across 24 communities in Kansas. This digital push would serve the areas outside those 24 communities.

Acquiring a small, non-competing community bank in a new, underserved region of Kansas is another way to develop the market footprint. Landmark Bancorp, Inc. has a history of this type of expansion, having previously acquired institutions such as The Farmers State Bank of Westmoreland and Peoples National Bank of Ottawa.

Leveraging the expertise centered at the Manhattan, KS, headquarters, Landmark Bancorp, Inc. could target military and university communities in bordering states. The company's focus remains on personalized service and local decision-making, which is key when entering new, distinct communities.

The strong book value from the second quarter of 2025 provides the capital base for this out-of-state branch expansion. The book value per share at June 30, 2025, was $25.66 per share. By September 30, 2025, this figure had grown to $26.92 per share. The loan-to-deposit ratio was 86.6% on June 30, 2025, improving to 83.4% by September 30, 2025, indicating liquidity management alongside growth.

Here are some key financial metrics as of late 2025:

The strategic actions for Market Development include:

• Entering the Missouri side of the Kansas City metropolitan area with existing commercial and CRE loan products.
• Launching a digital-only bank offering to serve customers in non-branch Kansas communities.
• Acquiring a small, non-competing community bank in a new, underserved region of Kansas.
• Targeting military and university communities in bordering states, leveraging the Manhattan, KS, headquarters expertise.
• Using the strong Q2 2025 book value of $25.66 per share to fund strategic out-of-state branch expansion.

The total net loans for Landmark Bancorp, Inc. were $1,039,221,000 against total deposits of $1,328,766,000 at the November 28, 2025 close. The diluted earnings per share for Q2 2025 was $0.75. The quarterly cash dividend declared was $0.21 per share.

Landmark Bancorp, Inc. (LARK) - Ansoff Matrix: Product Development

You're looking at how Landmark Bancorp, Inc. can grow revenue by introducing new offerings to its existing customer base, which is the core of Product Development in the Ansoff Matrix.

To serve high-net-worth commercial clients better, you'd introduce a specialized wealth management and trust service. This directly targets fee income growth, which is already showing momentum, as non-interest income hit $4.1 million in the third quarter of 2025, a 12.2% increase quarter-over-quarter.

Developing a premium, high-yield savings account is key to stabilizing and growing the deposit base. Landmark Bancorp, Inc. reported total deposits of $1,328,766 thousand as of the November 28, 2025 close. Stabilizing this base means attracting stickier, lower-cost funds, even as Q3 2025 saw interest checking and money market deposits increase by $16.5 million, while non-interest checking grew by $14 million. This product aims to improve the mix, especially as the loan-to-deposit ratio stood at 83.4% at September 30, 2025.

Creating a proprietary small business lending platform means using technology to speed up loan approvals for existing commercial relationships. The bank's total gross loans were $1,039,221 thousand as of November 28, 2025. Faster technology helps you win more of that loan volume, supporting the net interest income that reached $14.1 million in the third quarter of 2025.

Launching a new treasury management product suite is designed to capture more noninterest income from commercial clients. These services, like cash management tools, provide stable fee revenue less sensitive to interest rate swings. The bank maintained a solid net interest margin of 3.83% on a tax-equivalent basis in Q3 2025, but new fee products diversify that revenue stream.

Offering a new line of specialized agricultural loans capitalizes on Landmark Bancorp, Inc.'s existing focus as a Kansas community banking organization. This leverages deep local knowledge to create tailored credit products. The bank's relationship banking model supports a stable, low-cost core deposit base, which is the funding source for these new loan products.

Here are some key financial metrics from the third quarter of 2025 that frame the opportunity for these product developments:

These product initiatives require investment in talent and infrastructure, which the bank has stated it remains committed to.

• Introduce trust services for high-net-worth commercial clients.
• Develop premium savings to stabilize the $1.329 billion deposit base.
• Create tech platform for faster small business loan approvals.
• Launch treasury suite to boost noninterest income.
• Offer specialized agricultural loan products.

The tangible book value per share increased to $20.96 at September 30, 2025, showing capital strength to fund these internal product builds.

Finance: draft capital allocation plan for new tech platform by end of Q4 2025.

Landmark Bancorp, Inc. (LARK) - Ansoff Matrix: Diversification

You're looking at how Landmark Bancorp, Inc. can move beyond its strong Kansas base and existing loan portfolio into new areas for growth. Diversification here means taking what Landmark Bancorp, Inc. does well-lending and fee generation-and applying it to new markets or new asset classes. This is about spreading risk and capturing revenue streams outside the core community bank model.

The current financial footing supports this exploration. For the third quarter of 2025, Landmark Bancorp, Inc. posted net earnings of $4.9 million, with a return on average assets (ROAA) of 1.21% and an efficiency ratio that improved to 60.7%. Non-interest income, a key target for diversification, was $4.1 million in Q3 2025, up $442,000 from the prior quarter. This existing fee income base, which includes $184,000 in fees and service charges and $208,000 from mortgage loan sales in Q3 2025, gives us a starting point for new fee-based ventures.

Here are the specific diversification vectors we need to map out:

• Acquire a niche FinTech company focused on agricultural technology lending in a new, non-contiguous state.
• Establish a non-bank insurance brokerage subsidiary in a neighboring state like Oklahoma for fee income.
• Launch a national online residential mortgage origination platform, leveraging the Q2 2025 mortgage growth.
• Invest in a venture capital fund focused on Kansas-based startups to gain exposure to non-traditional assets.
• Develop an equipment leasing subsidiary to serve commercial clients in new, non-Kansas markets.

Let's look at the potential impact of these moves, particularly where they touch existing revenue drivers like mortgage origination and fee income. The Q2 2025 results showed strong momentum, with one-to-four family residential real estate loans growing by $21.5 million during that quarter alone. Scaling that origination capability nationally is a clear product development/market development overlap, but the platform itself is a new product line.

The potential for new fee income streams from insurance brokerage expansion and equipment leasing, set against the current non-interest income of $4.1 million (Q3 2025), needs a clear projection. The venture capital investment is more about asset diversification than immediate income, though it taps into the local economy where Landmark Bancorp, Inc. is already rooted.

For the insurance brokerage, remember Landmark Bancorp, Inc. already has Landmark Risk Management, Inc. operating. This move is about geographic expansion into Oklahoma, aiming to replicate or enhance that existing fee-based service. For the equipment leasing, you'd be targeting commercial clients, an area where Landmark Bancorp, Inc. saw $13.4 million in loan growth in Q2 2025. The national mortgage platform directly builds on the $21.5 million residential loan growth seen in Q2 2025, shifting from local origination to a broader digital footprint.

The venture capital investment is a different beast entirely. It's about gaining exposure to non-traditional assets, which is a departure from the balance sheet dominated by loans and securities. If Landmark Bancorp, Inc. allocates, say, $5.0 million from its total assets of $1.62 billion as of September 30, 2025, that represents a small but strategic 0.31% shift in asset composition.

Finance: draft the initial capital allocation plan for the VC fund investment by next Wednesday.