# PENROD FINANCIAL SERVICES, INC. X-17A-5 (2026-03-31) — Broker-dealer annual report - Company: PENROD FINANCIAL SERVICES, INC. - Form: X-17A-5 - Filed: 2026-03-31 - Period: 2025-12-31 - Accession: 0000837078-26-000003 - CIK: 837078 - File #: 8-40088 - Type: Broker-dealer - Material weakness: No - Auditor: Sanville & Company - Auditor location: Dallas, TX - Contact: Becky Penrod - Phone: 417-334-3455 - Email: pfg@penrodandcompany.com - Website: penrodandcompany.com - Signed by: Becky Penrod (President, CCO) Original filing: https://www.sec.gov/Archives/edgar/data/837078/000083707826000003/penrod_2025.pdf --- {0}------------------------------------------------ # Penrod Financial Services, Inc. Dba Penrod Financial Group Report Pursuant to Rule 17a-5(d) Year Ended December 31, 2025 {1}------------------------------------------------ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 OMB APPROVAL OMB Number: 3235-0123 Expires: Nov. 30, 2026 Estimated average burden hours per response: 12 SEC FILE NUMBER 8-40088 # ANNUAL REPORTS FORM X-17A-5 PART III FACING PAGE Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 FILING FOR THE PERIOD BEGINNING 01/01/2025 MM/DD/YY MM/DD/YY A. REGISTRANT IDENTIFICATION NAME OF FIRM: Penrod Financial Services, Inc. dba Penrod Financial Group TYPE OF REGISTRANT (check all applicable boxes): @ Broker-dealer □ Check here if respondent is also an OTC derivatives dealer ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) # 574 State Highway 248, Suite 5 | | | (No. and Street) | | | | | |--------------------------------------------------------------------------------------------------|--------------|------------------------------------------------------------|-----|--------------------------|--------------------------------------------|--| | Branson | | Missouri | | | 65616 | | | (City) | | (State) | | | (Zip Code) | | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | | | Becky Penrod | 417-334-3455 | | | pfg@penrodandcompany.com | | | | (Name) | | (Area Code - Telephone Number)
(Email Address) | | | | | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing *
Sanville & Company | | (Name - if individual, state last, first, and middle name) | | | | | | 325 N St. Paul St, Ste 3100 Dallas | | | | Texas | 75201 | | | (Address) | | (City) | | (State) | (Zip Code) | | | 09/18/2003 | | | 169 | | | | | (Date of Registration with PCAOB)(if applicable) | | | | | (PCAOB Registration Number, if applicable) | | | | | FOR OFFICIAL USE ONLY | | | | | | * Claims for exemption from the requirement that the annual reports of an independent public | | | | | | | accountant must be supported by a statement of facts and circumstances relied on as the basis of the exemption. See 17 CFR 240.17a-5(e)(1)(ii), if applicable. Persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number. {2}------------------------------------------------ #### OATH OR AFFIRMATION I. Becky Penrod swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Penrod Financial Services, Inc. dba Penrod Financial Group as of December 31 2 025 is true and correct. I further swear (or affirm) that neither the company nor any partner, officer, director, or equivalent person, as the case may be, has any proprietary interest in any account classified solely as that of a customer. ![](_page_2_Picture_5.jpeg) Signature: Title: Becky Penrod, President/CCO This filing \*\* contains (check all applicable boxes): - (a) Statement of financial condition. - [ (b) Notes to consolidated statement of financial condition. - [c] Statement of income (loss) or, if there is other comprehensive in the period(s) presented, a statement of comprehensive income (as defined in § 210.1-02 of Regulation S-X). - (d) Statement of cash flows. - = (e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - [ (f) Statement of changes in liabilities subordinated to claims of creditors. - (g) Notes to consolidated financial statements. - (h) Computation of net capital under 17 CFR 240.15c3-1 or 17 CFR 240.18a-1, as applicable. - [ (i) Computation of tangible net worth under 17 CFR 240.18a-2. - [j) Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - [ (k) Computation for determination of security-based swap reserve requirements pursuant to Exhibit 8 to 17 CFR 240.15c3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - [1) Computation for Determination of PAB Requirements under Exhibit A to § 240.15c3-3. - = (m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3. - [n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable. - [0] Reconciliations, including appropriate explanations, of the FOCUS Report with computation of net capible net worth under 17 CFR 240.15c3-1, 17 CFR 240.18a-2, as applicable, and the reserve requirements under 17 CFR 240.15c3-3 or 17 CFR 240.18a-4, as applicable, if material differences exist, or a statement that no material differences exist. - [ (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - [q) Oath or affirmation in accordance with 17 CFR 240.17a-5, 17 CFR 240.17a-12, or 17 CFR 240.18a-7, as applicable. - [r) Compliance report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - [t) Independent public accountant's report based on an examination of the statement of financial condition. - [u] Independent public accountant's report based on an examination of the financial statements under 17 CFR 240.17a-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - □ (v) Independent public accountant's report based on an examination of certain statements in the compliance report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - [w] Independent public accountant's report based on a review of the exemption report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - | (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.17a-12, as applicable. - [y] Report describing any material inadequacies found to existed since the date of the previous audit, or a statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). - □ (z) Other: \*\* To request confidential treatment of certain portions of this filing, see 17 CFR 240.170-5(e)(3) or 17 CFR 240.180-7(d)(2), as applicable. {3}------------------------------------------------ # Penrod Financial Services, Inc. Dba Penrod Financial Group ## CONTENTS PAGE | | REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 1 - 2 | |----------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------| | STATEMENT OF FINANCIAL CONDITION | | 3 | | STATEMENT OF OPERATIONS | | 4 | | | STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY | 5 | | STATEMENT OF CASH FLOWS | | 6 | | NOTES TO FINANCIAL STATEMENTS | | 7-9 | | SUPPLEMENTAL INFORMATION | | | | Schedule I: | Computation of Net Capital Under Rule 15c3-1
of the Securities and Exchange Commission | 10 | | | Schedule II & III: Computation For Determination Of Reserve Requirements
and Information Relating to Possession or Control Requirements
Under Rule 15c3-3 of the Securities and Exchange Commission | 11 | | | REVIEW REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
ON MANAGEMENT'S EXEMPTION REPORT | 12 | | MANAGEMENT'S EXEMPTION REPORT | | 14 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) ## Report of lndependent Registered Public Accounting Firm To the Stockholder and Those Charged With Governance Penrod Financial Setvices, lnc. DBA Penrod Financial Group ## Opinion on the Financial Statements We have audited the accompanying statemenl of financial condition of Penrod Financial Services, lnc. DBA Penrod Financial Group (the Company) as of December 31, 2025, the .elated statements of operations, changes in stockholdels equity, and cash flows fo. the year then ended, and the related notes to the financial statements (collectively, the financial statements). ln our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 37,2025, and the results of its operations and its cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America. ## Basis for opinion These financial statements are the responsibility of lhe Company's management. Our responsibility is to express an opinion on the Company's financia: statements based on our audit. We are a public accounting firm registered whh the Public Company Accounting Oversighl Board (United States) (PCAOB) and are required to be independent wi:h respect to the Company in accordance with U.S. federal securities laws and the app'icable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the slandards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting, As part of our audit, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's inlernal control over financial reporting. Accordingly, we express no such opinion. Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and drsclosures in the financial statements. Our audil also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion. ## Supplemental lnformation The supplementary information contained in Schedule l, Computation of Net Capital Under SEC Rule 15c3-1, Schedule ll, Computation for Determination of Reserve Requirements Under SEC Rule 15c3-3, and Schedule :ll, lnformation Relating to the Possession or Control Requirements Undel SEC Rule 15c3-3 has been subjected to audit procedures performed in conjunction with > 325 North Saint Paul Street Suite 3100 Dallas, Texas 75201 21,4.738.1998 {5}------------------------------------------------ the audit of the Company's financial statements. The supplemental information is the responsibility of the Company's management. Our audit procedures included determining whether the supplemental information reconciles to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. ln formrng our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with 17 C.F.R. g 24O.I7a-5. ln our opinion, the supplementary information contained in Schedule l, Computation of Net Capital Under SEC Rule L5c3-1, Schedule ll, Computation for Determination of Reserve Requirements Under SEC Rule 15c3-3, and Schedule lll, lnformation Relating to the Possession or Control Requirements Under SEC Rule 15c3-3 is fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as the Company's auditor since 2022. Sa\*r&r. { &,,,',f"? //-C Sanville & Company, LLC Dallas, Texas March 9, 2026 {6}------------------------------------------------ # Penrod Financial Services, Inc. dba Penrod Financial Group Statement of Financial Condition December 31, 2025 | Assets | | | |-----------------------------------------------------------------------------------|---|--------| | Cash | S | 9.543 | | Commissions receivable | | 21,132 | | Deposit with clearing organization | | 20.000 | | Investment, at fair value | | 11,925 | | Prepaid expenses | | 11,156 | | Total Assets | S | 73.756 | | Liabilities & Stockholders' Equity | | | | | | | | Liabilities | | | | Accounts payable and accrued expenses | | 4,076 | | Total Liabilities | | 4,076 | | Stockholders' Equity
Common stock, 30,000 shares authorized with \$1 par value | | | | 500 shares issued and outstanding | | 500 | | Additional paid in capital | | 45,942 | | Retained earnings | | 23,238 | | Total Stockholders' Equity | | 69.680 | | Total Liabilities & Stockholders' Equity | S | 73,756 | The accompanying notes are an integral part of these financial statements. {7}------------------------------------------------ # Penrod Financial Services, Inc. dba Penrod Financial Group Statement of Operations Year Ended December 31, 2025 | Revenues | | |-------------------------------|--------------| | Distribution Fees | A
292,972 | | Commissions | 67,267 | | Interest income | 270 | | Total Revenues | 360,509 | | Operating Expenses | | | Commissions | 49,181 | | Compensation | 127,093 | | Professional Fees | 22,720 | | Regulatory fees | 8,987 | | Technology and communications | 29,607 | | Occupancy | 15,015 | | Clearing charges | 8,045 | | Other expenses | 30,953 | | Total Expenses | 291,601 | | Net income | 68,908 | The accompanying notes are an integral part of these financial statements. {8}------------------------------------------------ ## Penrod Financial Services, Inc. dba Penrod Financial Group Statement of Changes in Stockholders' Equity Year Ended December 31, 2025 | | | | | Additional | | | |-------------------|---|--------|----------|-------------|----------|----------| | | | | Common | Paid in | Retained | | | | | Shares | Stock | Capital | Earnings | Total | | Balances at | | | | | | | | December 31, 2024 | | 500 | 500 | 44,642 | 8,880 | 54,022 | | Contributions | | | | 1,300 | | 1,300 | | Dividends | | | | | (54,550) | (54,550) | | Income | | | | | 68.908 | 68.908 | | Balances at | | | | | | | | December 31, 2025 | S | 500 | 8
500 | 8
45.942 | 23.238 | 69.680 | The accompanying notes are integral part of these financial statements. {9}------------------------------------------------ # Penrod Financial Services, Inc. dba Penrod Financial Group Statement of Cash Flows Year Ended December 31, 2025 # Cash Flows From Operating Activities: | Net Income | \$ 68,908 | |-------------------------------------------------------------|-------------| | Adjustments to reconcile net loss to | | | net cash used in operating activities: | | | Change in operating assets and liabilities | | | (Increase) decrease in commissions receivable | (2,11s) | | (lncrease) decrease in investments in marketable securities | (4,2e6) | | (Increase) decrease in prepaid expenses | (1,e06) | | Increase (decrease) in accounts payable & accrued expenses | (3,5e1) | | Net cash provided (used) in Operating Activities | 57,000 | | Cash Flows From Investing Activities: | | | | | | Net cash provided (used) in Investing Activities | | | Cash Flows From Financing Activities: | | | Capital contributed | l,300 | | Dividends | (54,550) | | Net cash provided (used) in Financing Activities | (s3,2s0) | | Net increase in cash and cash equivalents | 3,7 50 | | Cash at beginning of year | 5.793 | | Cash at end ofyear | \$
e,543 | | | | ## Supplemental Disclosures of Cash Flow Information: Cash paid during the year fbr: | Interest | _q___l?zE_ | |--------------|------------| | Income tares | \$ | | | | The accompanying notes are an integral part ofthese financial statements. {10}------------------------------------------------ Penrod Financial Sen,iccs. lnc. Dba Penrod Financial Group Notes to Financial Slatcmcnts December 3 1- 2025 ### Note I -S ofS ntin Policics Penrod Finarrcial Ser.vices, Inc. dba Pcnrod Financial Croup (the "Compan1") is a broker-dealer in securities registered with the Securities and Exchange Commission ("SEC") and is a member of the Financial lndustry Regulatory Authority ("FINRA-). The Company operates under ("SEC") Rule I5c3-3 (k)(2)(ii) for a poilion of its operating activities and is considcred a "non-covered finr" by relying on footnote 74 to SEC Release l4-70073 for the other porlion of its operating activities, which provides that all funds and securities belonging to the Company's customers \*ould be handled by a clearing broker-dealer or that the Cornpany does not receive custorner funds or securities to complctc transactions. 'Ihe Company is a Missouri corporation. and its customers are located throughout the ljnited States. ### Revenue Recognition Security transactions (and related commission revenue and expense) are recorded on a trade date basis as securities transactions occur. ### Receivable From Broker-Dealers and Clearing Organizations Receivables from broker-dealers and clearing organizations are generally collected in full in the month following their accrual. As such, management has not recorded an allowance for doubtful accounts on these receivables. Any receivable deemed uncollectible is rvritten off against income within the year in u,hich the receivable arose. As ofDecember 31, 2025, there were no amounts receivable deemed uncollectible. #### lncome Taxes The Company has elected S Corporation status with the Intemal Revenue Service. In lieu of a prov ision for income taxes, the shareholders of an S Corporation are taned on their proportionate share of the Company's taxable income. #### I Isc of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts ofassets and liabilities and disclosure ofcontingent assets and liabilities at the date ofthe financial statements and the reported amounts ol revenues and expenses during the reporting period. Actual results could differ from those estimates. #### InYestments Investments are recorded at their quoted fair value. The increase or decrease in net unrealized appreciation or depreciation ofsecurities is credited or charged to operations as trading income or loss. #### Segment Reporting The Accounting Standards Update (ASU) 2023-07 issued by the Financial Accounting Standards Board (FASB) introduced enhancements to segment repofting requirements for public entities, including broker-dealers. The update aimed to improve the transparency and usef'ulness of financial disclosures for investors and other stakeholders. ASU 2023-07 disclosure requirements are effective for fiscal years stafting after December 15, 2023. The chief operating decision maker is the President of the Company and determined that no additional disclosures are required as the Company has only one reportable segment. {11}------------------------------------------------ Penrod Financial Sen'ices. Inc. Dba Penrod Financial Croup Notes to Financial Statements Decernber 31. 2025 ### Nolc 2 - Ncl Capiral Requirement' Pursuant to the net capital provisions of Rule I 5c3- I of the Securities Exchange Act of 1934. the Contpany is requircd to mairltain a minimum nct capital, as dellncd under such provisions. Net capital and thc related net capital ratio may fluctuate on a daily basis. As of December 3),2025, the Company had nct capital of approximately \$37,975, which was \$32,975 in excess of its minimum net capital requirernent ol'\$5,000. -l'he Company's ratio of aggregate indebtedncss to net capital was 0.107 to l. The Securities and Exchange Commission pemits a ratio of no greater than l5 to l. ## Notc I - Irair Value Measurements 'I'he Companl' uses various methods including market. income and cost approaches to detennine fair value. Based on the approach, the Company ollen utilizes certain assumptions that market participanls rvould use in pricing the asset or liability- including assumptions about risk and or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable. market corroboraled. or generally unobservable inputs. The Cornpanv utilizes valuation techniques thal nraximize the use of observable inputs and minimize the use ofunobservable inputs. Based on the observability ol'thc inputs used in the valuation techniques the Company is required to provide the fbllouing infonnation according to the fair value hierarchy. l'he fhir value hierarchy ranks the quality and reliability of thc intbnnation used to determine fair values. Financial assets and liabilities carried at lair value will be classified and disclosed in one ofthe fbllowing three categories: Level 1 - Valuations for assets and liabilities traded in active exchange markets, such as the New York Stock Exchange. Level 1 also includes tJ.S. -l'reasury and federal agencv securities and t'ederal agency mortgage-backed securities, which are traded by dealers or brokers in active markets. Valuations are obtained from readily available pricing sources lor market transactions involving identical assets or liabilities. Level 2 Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third pa4'pricing services lbr identical or similar assets or liabilities. l,evel 3 Valuations lor assets and liabilities that are derived from other valuation rnethodologies. including option pricing models- discounted cash flow models and similar techniques- and not based on market exchange, dealer, or broker traded transactions. Level 3 valuations incorporate cenain assumptions and projections in detennining the fhir value assigned to such assets or liabilities. | lnveslmenls in | Total | | Lcvel I | | Level 2 | Lcvcl 3 | | |----------------|-------|----------------------------------|---------|--------------|---------|---------|--| | Mulual funds | \$ | ll
951 | | \$ rl
951 | \$ | \$ | | | Totals | | \$______l_t-9l7 _\$______i.1pl_7 | | | \$ | \$ | | #### Investrnents in securiti a ir value 1'here rvere no transfers between Levels l. 2. or 3 during the year {12}------------------------------------------------ ### PENROD FINANCIAL SERVICES. INC. DBA PENROD FTNANCIAL GROUP Notes to Firancial Statements December3l-2025 #### Note zl -Commitments and Contingencies lncluded in the Company's clearing agreement with its clearing broker-dealer is an indemnitication clause. This clause relates to instances where the Company's customers fail to settle security transactions. ln the event this occurs, the Company will indemni! the clearing broker-dealer to the extent of the net loss on the unsettled trade. As of Deceinber 31,2025, management of the Company had not been notified by the clearing broker-dcaler. nor were they otherwise aware, of any potential losses relating to this indemnification. ### Note 5 -Revenue Recognition Revenues are recognized when control of the promised services is transfened to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange fbr those services. Revenues are analyzed to determine whether the Company is the principal (i.e., repofts revenues on a gross basis) or agent (i.e., repofis revenues on a net basis) in the contract. Principal or agent designations depend primarily on the control an entity has over the product or service before control is transferred to a customer. ### S e c ur it i e s C o rn mi s s i on s Commission revenue is generally recognized at a point in time upon delivery of contracted sen,ices based on a predefined contractual amount on a trade date for a trade execution service based on providing market prices and intemal and regulatory guidelines. Commission revenue consists of the sale of equity and fixed income securities and unit investment trusts. ### Distribution I'ees The Company earns revenue from selling affiliated and unaffiliated mutual funds, fixed variable annuities and insurance products. The perfomance obligation is satisfied at the time ol each individual sale. A porlion of the revenue is based on a fixed rate applied. as a percentage, to amounts invested at the time of sale. The remaining revenue is recognized over the time the client owns the investment or holds the contract and is gcnerally eamed based on a fixed rate applied, as a percentage, to the net asset value of the fund, or the value ofthe insurance policy or annuity contract. The ongoing revenuc is not recognized at the time of sale because it is variably constrained due to factors outside the Company's control including market volatility and client behavior (such as how long clients hold their investment, insurance policy or annuitl, contract). The revenue will not be recognized until it is probable that a significant reversal will not occur. ### Note 6 - Related Partl' Transactions The Company is subject to an expense sharing agreernent rvith an afliliate under common control. The expense sharing agreement specifies that the Company rvill incur shared expenses with its affiliate. During the year the Company incured \$15.015 in expenses lor occupancy associated rvith this agreemenl with none ofthis amount considered payable at year-end. {13}------------------------------------------------ Supplementary Information Pursuant to Rule 17a-5 of the Securities Exchange Act of 1934 as of December 31, 2025 {14}------------------------------------------------ ## Schedule I Penrod Financial Services, Inc. dba Penrod Financial Group Supplemental Information Pursuant to Rule 17a-5 December 31, 2025 ## Computation of Net Capital | Total Stockholders' equity qualified for net capital | S | 69,680 | |---------------------------------------------------------------------------|---|-----------| | Deductions / charges | | | | Non-allowable assets: | | | | NA Accounts receivable | | 20,310 | | Other assets | | 11,156 | | Total deductions / charges | | 31,466 | | Net Capital before haircuts on securities positions | | 38,214 | | Haircuts on securities: | | | | Money market funds | | 239 | | Net Capital | S | 37,975 | | Aggregate indebtedness | | | | Accounts payable & accrued expenses | S | 4,076 | | Total aggregate indebtedness | S | 4,076 | | Computation of basic net capital requirement | | | | Minimum net capital required (greater of \$5,000 or | | | | 6 2/3% of aggregate indebtedness) | S | 5,000 | | Net capital in excess of minimum requirement | S | 32,975 | | Ratio of aggregate indebtedness to net capital | | .107 to 1 | | Reconciliation of Computation of Net Capital | | | | Net Capital per filed 12/31/2025 Focus IIA Report | | 31.915 | | no differences | | | | Net Capital per 12/31/2025 audit | | 37.975 | | See accompanying report of independent registered public accounting firm. | | | {15}------------------------------------------------ ## Schedule II & III #### PI-NROD FINANCIAL SERVICES" INC. DBA PENROD FINANCIAL GROUP Computation For Determination Of Reserve Requirements And Information Relating To Possession Or Control Requirements Under Rule l5c3-3 ofthe Securities and Exchange Commission December 3 l, 2025 The Company is exempt lrom Securities Exchange Commission ("SEC") Rule 15c3-3 pursuant to both the exemptive provisions of sub-paragraph (k)(2)(ii) and is considcred a "Non-Covcred Fim" from 15c3-3 by relying on footnote 74 to SEC Release 34-70073 and therefore, is not required to maintain a "Special reserve bank account for the Exclusive benefit ofcustomers." {16}------------------------------------------------ Report of lndependent Registered Public Accounting Firm On Management's Exemption Report Required By SEC Rule 17a-5 Year Ended December 31,2025 {17}------------------------------------------------ ![](_page_17_Picture_0.jpeg) #### Report of lndependent Registered Public Accountang Firm To the Stockholder and Those Charged With Governance Penrod Financial Services, lnc. DBA Penrod Financial Group We have reviewed the accompanying Exemption Repon of Penrod Financial Services, lnc. DBA Penrod Financial Group (the Company) as of and tor the fiscal year ended December 31, 2025, in which management assens that: 1, Pursuant to paragraph (kx2xii) of 17 C.F.R. S 240.1.5c3-3, the Company claimed an exemption from 17 C.F.R. S 240.15c3-3 throughout the fiscal year ended December 31, 2025; 2, The Company is also filing this Exemption Report in reliance on Footnote 74 of SEc Release No. 34- 70073 because it limited its securities business aclivities to (1) acting as a mutual fund retailer (2) actings as a broker or dealer selling variable lile insurance or annuities; throughoutthe fiscal year ended December 37,2025 exclusively to the activities described in that tootnote; and 3. Throughout the fiscal year ended December 31-,2025, the Company: (l) did nol receive, hold, or owe Iunds or securities for or to customers (except amounts received and promptly transmitted in accordance with 17 C.F.R. g 240.15c2-4(a) or (b)(2)); (ii) did not carry accounts of or tor customers; and (iii) did not carry proprietary accounts oJ other broker-dealers (as defined in l-7 C.F.R. g 240.15c3-3). Management of the Company is responsible for the assertions in the Exemption Report and for compliance with the applicable requirements. We conducled our review in accordance with attestation standards established by the Public Company Accounting Oversight Board (United States). A review is substantrally less in scope than an examination, the objective of which is the expression of an opinion on management's assertions. Accordingly, we do not express such an opinion. Based on our review, nothing came to our attention thal caused us to believe that management's assertions relerred to above are not fairly stated, in all material respects, based on the criteria set forth an paragraph (kx2)(ii) of Rule 15c3-3 under the Securities Exchange Act of 1934 and the requirements set forth in Footnote 74 of SEC Release No. 34-70073 and related provisions of Rule 17a-5. ',4 .1 ,,') aAlu/14(4 A ( -D"r\*-v Sanville & Company, LLC Dallas, Texas March 9, 2026 325 North Saint Paul Street Suite 3100 Dallas, Texas 75201 ?L4.738.1998 {18}------------------------------------------------ ## Penrod Financial Services, Inc. dba Penrod Financial Group #### Exemption Report Penrod Financial Services. Inc. dba Penrod Financial Group (the "Company") is a registered broker-dealer subject to Rule 17a-5 promulgated by the Securities and Exchange Commission (17 C.F.R. "Reports to be made by certain brokers and dealers"). This Exemption Report was prepared as required by 17 C.F.R. §240.17a-5(d)(1) and (4). To the best of its knowledge and belief. the Company states the following: - (1) The Company claimed an exemption from 17 C.F.R. §240.15c3-3under the following provisions of17 C.F.R. §240.15c3-3(k)(2)(ii). - (2) The Company met the identified exemption provisions in 17 C.F.R. §240.15c3-3(k) throughout the most recent fiscal year without exception. - (3) The Company is considered "Non-Covered Firm" exempt from 17 C.F.R. §240.15c3-3 and is filing an Exemption Report relying on footnote 74 to SEC Release 34-70073, and as discussed in Q&A 8 of the related FAQ issued by the SEC staff. The Company limits its business activities exclusively to: (1) acting as a mutual fund retailer (2) acting as a broker or dealer selling variable life insurance or annuities. - (4) The Company (1) did not directly or indirectly receive, hold or otherwise owe funds or securities for or to customers, other than money or other consideration received and promptly transmitted in compliance with paragraph (a) or (b)(2) of Rule 15c2-4; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3-3), throughout the most recent fiscal year without exception. I, Becky Penrod, swear (or affirm) that, to my best knowledge and belief, this exemption report is true and correct. Regards. Becky Penrod President / CCO Date of Report: February 9. 2026 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.