CB Financial Services, Inc. Announces Third Quarter 2026 Financial Results and Declares Quarterly Cash Dividend
WASHINGTON, Pa.--( BUSINESS WIRE)--CB Financial Services, Inc. (“CB” or the “Company”) (NASDAQGM: CBFV), the holding company of Community Bank (the “Bank”), today announced its third quarter and year-to-date 2026 financial results.
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands, except per share data) (Unaudited)
Net Income (Loss) (GAAP)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Net Income Adjustments
(462
)
—
(6
)
(932
)
9,627
(468
)
10,391
Adjusted Net Income (Non-GAAP) (1)
$
4,865
$
4,301
$
3,861
$
3,810
$
3,931
$
13,029
$
10,555
Earnings (Loss) per Common Share - Diluted (GAAP)
$
0.99
$
0.80
$
0.73
$
0.89
$
(1.07
)
$
2.53
$
0.03
Adjusted Earnings per Common Share - Diluted (Non-GAAP) (1)
$
0.91
$
0.80
$
0.73
$
0.72
$
0.74
$
2.44
$
1.97
Income (Loss) Before Income Tax Expense (GAAP)
$
5,824
$
5,099
$
4,581
$
5,270
$
(7,020
)
$
15,506
$
33
Net (Recovery) Provision for Credit Losses
(69
)
17
241
362
259
190
227
Pre-Provision Net Revenue (“PPNR”)
$
5,755
$
5,116
$
4,822
$
5,632
$
(6,761
)
$
15,696
$
260
Net Income Adjustments
—
—
(8
)
(751
)
11,757
(8
)
12,724
Adjusted PPNR (Non-GAAP) (1)
$
5,755
$
5,116
$
4,814
$
4,881
$
4,996
$
15,688
$
12,984
Refer to Explanation of Use of Non-GAAP Financial Measures and reconciliation of adjusted net income and adjusted earnings per common share - diluted as presented later in this Press Release.
2026 Third Quarter Financial Highlights
Management Commentary
President and CEO John H. Montgomery commented, “We delivered solid results for the quarter with improved net interest margin and earnings. Earning asset yields continued to benefit from the balance sheet restructuring executed in the third quarter of last year, helping insulate the portfolio against rate-related repricing pressure. We also maintained disciplined expense management, keeping our cost structure aligned with the current operating environment. Looking ahead, we are focused on building loan and deposit momentum as we close out the year and head into 2027.
We continued to operate with discipline in the third quarter, maintaining a strong balance sheet and the conservative credit standards that have long served our shareholders well. Total loans decreased modestly, primarily due to the payoff of a single large relationship, and we expect payoff activity to moderate in the fourth quarter. Asset quality remained solid, and our capital position strong, with nonperforming loans at 0.28% of total loans and the allowance for credit losses covering 311.8% of nonperforming assets at quarter-end, giving us the flexibility to pursue quality growth opportunities as they arise. The underlying strength of our loan portfolio, together with our ability to manage risk effectively, positions us well as we work to grow the balance sheet.
In the third quarter, our Specialty Treasury Payments & Services program continued to perform well following its move to full operational capacity last quarter. While total deposits were essentially flat for the quarter, the program continued to strengthen the composition of our deposit base, contributing $110.8 million in deposits since year-end. As newly onboarded relationships mature and begin to consolidate more of their banking activity with us, we expect the program’s contribution to build over time. We are confident in its ability to enhance the Company’s efficiency, scalability, and earnings power, and we continue to see a healthy pipeline and strong engagement across our customer base.
Supported by solid capital, sound asset quality and ample liquidity, we are well positioned to capitalize on the opportunities ahead and remain committed to delivering sustainable, long-term value for our shareholders.”
Dividend Declaration
The Company’s Board of Directors declared a $0.28 quarterly cash dividend per outstanding share of common stock, payable on or about November 27, 2026, to stockholders of record as of the close of business on November 13, 2026.
2026 Third Quarter Financial Review
Net Interest and Dividend Income
Net interest and dividend income increased $1.9 million, or 14.5%, to $15.0 million for the three months ended September 30, 2026 compared to $13.1 million for the three months ended September 30, 2025.
Provision for Credit Losses
A recovery of provision for credit losses of $69,000 was recorded for the three months ended September 30, 2026. The Company recorded a $399,000 recovery of provision for credit losses on loans primarily due to a decline in loan principal of $17.8 million and favorable changes in portfolio concentrations and improvement for individually assessed loans. This was partially offset as the provision for credit losses on unfunded commitments was $330,000 and was primarily due to a $10.8 million increase in unfunded commitments and an increase in the loss rate for construction and land development unfunded commitments. This compared to a provision for credit losses of $259,000 recorded for the three months ended September 30, 2025 as the provision for credit losses on loans was $336,000 and was primarily due to additional reserves required for overall loan growth, changes in qualitative factors and an addition to individually assessed loans requiring specific reserves, partially offset by favorable changes in portfolio concentrations and the calculated loss rate. This was partially offset by a $77,000 recovery for credit losses on unfunded commitments due to a decrease in unfunded commitments.
Noninterest Income
Noninterest income increased $11.7 million to $1.0 million for the three months ended September 30, 2026, compared to a loss of $10.7 million for the three months ended September 30, 2025 as a result of $11.8 million in losses on the sale of securities from a securities repositioning strategy executed during the three months ended September 30, 2025.
Noninterest Expense
Noninterest expense increased $1.1 million, or 11.8%, to $10.3 million for the three months ended September 30, 2026 compared to $9.2 million for the three months ended September 30, 2025. Salaries and benefits increased $604,000 primarily due to revenue producing treasury and commercial banking personnel additions, merit increases and higher benefit compensation costs. Data processing expense increased $345,000 due to the implementation of enhanced treasury and commercial banking platforms in late 2025 and early 2026. Contracted services increased $127,000 due to outsourced information security and treasury consulting services.
Income Taxes
Income tax expense was $497,000 for the three months ended September 30, 2026 compared to a $1.3 million tax benefit for the three months ended September 30, 2025. This change was driven by an increase in pre-tax income to $5.8 million for the three months ended September 30, 2026 compared to a $7.0 million loss for the three months ended September 30, 2025. The effective tax rate for the three months ended September 30, 2026 was 8.5%. The minimal effective tax rate resulted primarily from a $462,000 federal income tax benefit recorded related to the purchase of a $7.7 million renewable energy tax credit during the three months ended September 30, 2026 and an increase in low-income housing tax credits. This compared to an effective tax benefit rate of 18.9% for the three months ended September 30, 2025 due to the prior period loss on the sale of securities as part of the Company’s balance sheet repositioning strategy.
Statement of Financial Condition Review
Assets
Total assets increased $80.3 million, or 5.2%, to $1.63 billion at September 30, 2026, compared to $1.55 billion at December 31, 2025.
Loans and Credit Quality
Other
Liabilities
Total liabilities increased $81.8 million, or 5.9%, to $1.47 billion at September 30, 2026 compared to $1.39 billion at December 31, 2025.
Deposits
Borrowed Funds
Stockholders’ Equity
Stockholders’ equity decreased $1.6 million, or 1.0%, to $156.0 million at September 30, 2026, compared to $157.5 million at December 31, 2025, primarily due to a $11.9 million increase in accumulated other comprehensive loss resulting from recent market interest rate increases, the payment of $4.3 million in dividends and $315,000 of treasury shares purchased since December 31, 2025, partially offset by $13.5 million of net income for the current year and $667,000 of shares issued as a result of stock option exercises.
Book value per share
Book value per common share was $30.67 at September 30, 2026 compared to $31.28 at December 31, 2025, a decrease of $0.61.
Tangible book value per common share (Non-GAAP) was $28.76 at September 30, 2026, compared to $29.35 at December 31, 2025, a decrease of $0.59.
Refer to “Explanation of Use of Non-GAAP Financial Measures” at the end of this Press Release.
About CB Financial Services, Inc.
CB Financial Services, Inc. is the bank holding company for Community Bank, a Pennsylvania-chartered commercial bank. Community Bank operates its branch network in southwestern Pennsylvania and West Virginia. Community Bank offers a broad array of retail and commercial lending and deposit services.
For more information about CB Financial Services, Inc. and Community Bank, visit our website at www.cb.bank.
Statement About Forward-Looking Statements
Statements contained in this press release that are not historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995 and such forward-looking statements are subject to significant risks and uncertainties. The Company intends such forward-looking statements to be covered by the safe harbor provisions contained in the Act. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations and future prospects of the Company and its subsidiaries include, but are not limited to, general and local economic conditions, changes in market interest rates, deposit flows, demand for loans, real estate values and competition, competitive products and pricing, the ability of our customers to make scheduled loan payments, loan delinquency rates and trends, our ability to manage the risks involved in our business, our ability to control costs and expenses, inflation, market and monetary fluctuations, changes in federal and state legislation and regulation applicable to our business, actions by our competitors, and other factors that may be disclosed in the Company’s periodic reports as filed with the Securities and Exchange Commission. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company assumes no obligation to update any forward-looking statements except as may be required by applicable law or regulation.
CB FINANCIAL SERVICES, INC.
SELECTED CONSOLIDATED FINANCIAL INFORMATION
Selected Financial Condition Data
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
(Dollars in thousands, except share and per share data) (Unaudited)
Assets
Cash and Due From Banks
$
30,830
$
76,090
$
55,549
$
31,693
$
55,890
Securities
343,988
325,554
295,452
279,895
272,559
Loans Held for Sale
—
—
—
—
107
Loans
Real Estate:
Residential
323,465
327,003
330,761
329,237
333,430
Commercial
598,955
571,760
550,029
552,180
539,395
Construction
52,299
58,930
51,394
45,419
38,905
Commercial and Industrial
135,544
160,399
157,694
161,081
143,919
Consumer
27,498
31,108
36,720
42,876
49,581
Other
24,121
30,521
31,239
31,467
38,156
Total Loans
1,161,882
1,179,721
1,157,837
1,162,260
1,143,386
Allowance for Credit Losses
(9,993
)
(10,451
)
(10,303
)
(10,116
)
(10,146
)
Loans, Net
1,151,889
1,169,270
1,147,534
1,152,144
1,133,240
Premises and Equipment, Net
19,676
19,069
19,428
19,646
19,896
Bank-Owned Life Insurance
25,290
25,127
24,964
24,812
24,660
Goodwill
9,732
9,732
9,732
9,732
9,732
Accrued Interest Receivable and Other Assets
46,558
31,578
30,633
29,771
29,430
Total Assets
$
1,627,963
$
1,656,420
$
1,583,292
$
1,547,693
$
1,545,514
Liabilities
Deposits
Noninterest-Bearing Demand Accounts
$
292,444
$
286,623
$
301,053
$
291,745
$
291,882
Interest-Bearing Demand Accounts
430,842
460,197
384,599
357,134
365,976
Money Market Accounts
236,843
220,812
209,258
209,166
206,166
Savings Accounts
167,235
168,948
172,172
169,307
169,005
Time Deposits
203,540
209,847
209,855
213,953
202,891
Total Organic Deposits
1,330,904
1,346,427
1,276,937
1,241,305
1,235,920
Brokered Deposits
10,000
33,633
98,500
98,500
98,500
Total Deposits
1,340,904
1,380,060
1,375,437
1,339,805
1,334,420
Short-Term Borrowings
79,000
65,000
—
—
—
Other Borrowings
34,789
34,778
34,768
34,758
34,748
Accrued Interest Payable and Other Liabilities
17,297
14,485
14,336
15,593
23,881
Total Liabilities
1,471,990
1,494,323
1,424,541
1,390,156
1,393,049
Stockholders’ Equity
155,973
162,097
158,751
157,537
152,465
Total Liabilities and Stockholders’ Equity
$
1,627,963
$
1,656,420
$
1,583,292
$
1,547,693
$
1,545,514
Three Months Ended
Nine Months Ended
Selected Operating Data
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands, except share and per share data) (Unaudited)
Interest and Dividend Income:
Loans, Including Fees
$
16,552
$
16,177
$
15,957
$
16,077
$
15,973
$
48,686
$
45,993
Securities:
Taxable
3,667
3,351
2,999
3,035
2,848
10,018
8,485
Tax-Exempt
465
452
416
415
146
1,333
146
Dividends
7
7
7
7
7
21
44
Other Interest and Dividend Income
902
919
272
458
367
2,094
1,279
Total Interest and Dividend Income
21,593
20,906
19,651
19,992
19,341
62,152
55,947
Interest Expense:
Deposits
5,892
5,940
5,232
5,802
5,810
17,064
17,643
Short-Term Borrowings
339
70
188
—
68
598
199
Other Borrowings
364
362
359
364
364
1,085
1,156
Total Interest Expense
6,595
6,372
5,779
6,166
6,242
18,747
18,998
Net Interest and Dividend Income
14,998
14,534
13,872
13,826
13,099
43,405
36,949
(Recovery) Provision for Credit Losses - Loans
(399
)
157
228
265
336
(14
)
269
Provision (Recovery) for Credit Losses - Unfunded Commitments
330
(140
)
13
97
(77
)
204
(42
)
Net Interest and Dividend Income After Net (Recovery) Provision for Credit Losses
15,067
14,517
13,631
13,464
12,840
43,215
36,722
Noninterest Income:
Service Fees
589
582
554
585
574
1,725
1,595
Insurance Commissions
1
1
1
1
1
3
3
Other Commissions
80
74
75
60
63
229
192
Net Gain on Sale of Loans
27
45
11
6
50
83
99
Net (Loss) Gain on Securities
(35
)
(18
)
8
14
(11,752
)
(45
)
(11,821
)
Net Gain on Purchased Tax Credits
10
10
10
4
4
31
11
Net Gain on Disposal of Premises and Equipment
—
—
—
40
—
—
—
Income from Bank-Owned Life Insurance
163
163
152
152
154
478
451
Other Income
186
115
151
867
229
453
512
Total Noninterest Income (Loss)
1,021
972
962
1,729
(10,677
)
2,957
(8,958
)
Noninterest Expense:
Salaries and Employee Benefits
5,851
6,120
5,997
5,842
5,247
17,967
16,371
Occupancy
617
615
656
573
574
1,888
1,939
Equipment
369
364
349
382
367
1,082
1,070
Data Processing
1,053
1,140
942
790
708
3,135
2,266
Federal Deposit Insurance Corporation Assessment
188
176
173
171
173
537
552
Pennsylvania Shares Tax
330
267
286
242
306
884
706
Contracted Services
498
436
405
481
371
1,339
1,063
Legal and Professional Fees
260
198
221
234
411
679
789
Advertising
169
115
142
192
132
427
374
Other Real Estate Owned
—
—
—
55
8
—
9
Other Expense
929
959
841
961
886
2,728
2,592
Total Noninterest Expense
10,264
10,390
10,012
9,923
9,183
30,666
27,731
Income (Loss) Before Income Tax Expense
5,824
5,099
4,581
5,270
(7,020
)
15,506
33
Income Tax Expense (Benefit)
497
798
714
528
(1,324
)
2,009
(131
)
Net Income (Loss)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Three Months Ended
Nine Months Ended
Per Common Share Data
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
Dividends Per Common Share
$
0.28
$
0.28
$
0.28
$
0.26
$
0.26
$
0.84
$
0.76
Earnings (Loss) Per Common Share - Basic
1.05
0.85
0.77
0.95
(1.14
)
2.66
0.03
Earnings (Loss) Per Common Share - Diluted
0.99
0.80
0.73
0.89
(1.07
)
2.53
0.03
Weighted Average Common Shares Outstanding - Basic
5,082,908
5,073,474
5,053,586
5,015,025
4,985,188
5,070,097
5,044,012
Weighted Average Common Shares Outstanding - Diluted
5,358,067
5,353,959
5,318,874
5,304,685
5,319,594
5,345,256
5,357,173
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
Common Shares Outstanding
5,084,720
5,080,438
5,072,183
5,036,509
4,998,383
Book Value Per Common Share
$
30.67
$
31.91
$
31.30
$
31.28
$
30.50
Tangible Book Value per Common Share (1)
28.76
29.99
29.38
29.35
28.56
Stockholders’ Equity to Assets
9.6
%
9.8
%
10.0
%
10.2
%
9.9
%
Tangible Common Equity to Tangible Assets (1)
9.0
9.3
9.5
9.6
9.3
Three Months Ended
Nine Months Ended
Selected Financial Ratios (2)
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
Return on Average Assets
1.26
%
1.04
%
1.01
%
1.22
%
(1.50
)%
1.11
%
0.01
%
Return on Average Equity
13.08
10.77
9.84
12.14
(15.15
)
11.25
0.15
Average Interest-Earning Assets to Average Interest-Bearing Liabilities
132.10
133.48
133.68
134.05
134.42
132.85
134.82
Average Equity to Average Assets
9.67
9.64
10.24
10.02
9.93
9.84
9.96
Net Interest Rate Spread
3.22
3.14
3.29
3.18
3.05
3.22
2.86
Net Interest Rate Spread (FTE) (1)
3.26
3.18
3.34
3.23
3.08
3.27
2.88
Net Interest Margin
3.75
3.68
3.83
3.76
3.64
3.76
3.49
Net Interest Margin (FTE) (1)
3.79
3.73
3.88
3.80
3.67
3.80
3.51
Net Charge-Offs (Recoveries) to Average Loans
0.02
—
0.01
0.10
(0.03
)
0.01
(0.01
)
Efficiency Ratio
64.07
67.01
67.49
63.79
379.15
66.14
99.07
Asset Quality Ratios
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
Allowance for Credit Losses to Total Loans
0.86
%
0.89
%
0.89
%
0.87
%
0.89
%
Allowance for Credit Losses to Nonperforming Loans (3)
311.79
308.47
309.49
190.51
464.99
Delinquent and Nonaccrual Loans to Total Loans (4)
0.59
0.69
0.54
0.86
0.59
Nonperforming Loans to Total Loans (3)
0.28
0.29
0.29
0.46
0.19
Nonperforming Assets to Total Assets (5)
0.20
0.20
0.21
0.34
0.15
Capital Ratios (6)
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
Common Equity Tier 1 Capital (to Risk Weighted Assets)
14.10
%
14.22
%
14.70
%
13.92
%
14.19
%
Tier 1 Capital (to Risk Weighted Assets)
14.10
14.22
14.70
13.92
14.19
Total Capital (to Risk Weighted Assets)
15.00
15.18
15.71
14.89
15.20
Tier 1 Leverage (to Adjusted Total Assets)
10.20
9.94
10.34
10.15
10.06
(1).
Refer to Explanation of Use of Non-GAAP Financial Measures in this Press Release for the calculation of the measure and reconciliation to the most comparable GAAP measure.
(2).
Interim period ratios are calculated on an annualized basis.
(3).
Nonperforming loans consist of all nonaccrual loans and accruing loans that are 90 days or more past due.
(4).
Delinquent loans consist of accruing loans that are 30 days or more past due.
(5).
Nonperforming assets consist of nonperforming loans and other real estate owned.
(6).
Capital ratios are for Community Bank only.
Certain items previously reported may have been reclassified to conform with the current reporting period’s format.
AVERAGE BALANCES AND YIELDS
Three Months Ended
September 30, 2026
June 30, 2026
March 31, 2026
December 31, 2025
September 30, 2025
Average Balance
Interest and Dividends
Yield / Cost (1)
Average Balance
Interest and Dividends
Yield / Cost (1)
Average Balance
Interest and Dividends
Yield / Cost (1)
Average Balance
Interest and Dividends
Yield / Cost (1)
Average Balance
Interest and Dividends
Yield / Cost (1)
(Dollars in thousands) (Unaudited)
Assets:
Interest-Earning Assets:
Loans, Net (2)
$
1,157,873
$
16,597
5.69
%
$
1,153,305
$
16,235
5.65
%
$
1,151,941
$
16,023
5.64
%
$
1,138,734
$
16,145
5.62
%
$
1,120,036
$
16,034
5.68
%
Debt Securities
Taxable
304,562
3,667
4.82
287,012
3,351
4.67
249,917
2,999
4.80
241,449
3,035
5.03
259,196
2,848
4.40
Tax-Exempt
39,651
589
5.94
38,526
572
5.94
35,218
527
5.99
35,243
525
5.96
12,461
185
5.94
Equity Securities
1,000
7
2.80
1,000
7
2.80
1,000
7
2.80
1,000
7
2.80
1,000
7
2.80
Interest-Earning Deposits at Banks
79,880
798
4.00
99,855
845
3.38
27,236
200
2.94
41,222
384
3.73
29,682
293
3.95
Other Interest-Earning Assets
4,602
104
8.97
3,278
74
9.05
3,874
72
7.54
2,998
74
9.79
3,972
74
7.39
Total Interest-Earning Assets
1,587,568
21,762
5.44
1,582,976
21,084
5.34
1,469,186
19,828
5.47
1,460,646
20,170
5.48
1,426,347
19,441
5.41
Noninterest-Earning Assets
83,677
78,718
87,352
85,605
75,480
Total Assets
$
1,671,245
$
1,661,694
$
1,556,538
$
1,546,251
$
1,501,827
Liabilities and Stockholders' Equity:
Interest-Bearing Liabilities:
Interest-Bearing Demand Accounts
$
513,745
$
2,885
2.23
%
$
458,395
$
2,328
2.04
%
$
365,729
$
1,642
1.82
%
$
367,382
$
1,850
2.00
%
$
350,232
$
1,835
2.08
%
Money Market Accounts
229,488
1,281
2.21
221,065
1,200
2.18
209,181
1,104
2.14
212,212
1,232
2.30
211,660
1,401
2.63
Savings Accounts
168,653
53
0.12
170,276
51
0.12
169,568
40
0.10
168,853
45
0.11
171,188
43
0.10
Time Deposits
208,197
1,538
2.93
210,258
1,566
2.99
213,645
1,604
3.04
207,895
1,653
3.15
201,651
1,587
3.12
Total Organic Interest-Bearing Deposits
1,120,083
5,757
2.04
1,059,994
5,145
1.95
958,123
4,390
1.86
956,342
4,780
1.98
934,731
4,866
2.07
Brokered Deposits
14,130
135
3.79
84,053
795
3.79
87,136
842
3.92
98,500
1,022
4.12
85,995
944
4.36
Total Interest-Bearing Deposits
1,134,213
5,892
2.06
1,144,047
5,940
2.08
1,045,259
5,232
2.03
1,054,842
5,802
2.18
1,020,726
5,810
2.26
Short-Term Borrowings
32,808
339
4.10
7,089
70
3.96
18,990
188
4.01
16
—
4.71
5,655
68
4.77
Other Borrowings
34,783
364
4.15
34,774
362
4.18
34,764
359
4.19
34,754
364
4.16
34,743
364
4.16
Total Interest-Bearing Liabilities
1,201,804
6,595
2.18
1,185,910
6,372
2.16
1,099,013
5,779
2.13
1,089,612
6,166
2.25
1,061,124
6,242
2.33
Noninterest-Bearing Demand Deposits
294,833
301,859
283,546
285,269
271,462
Total Funding and Cost of Funds
1,496,637
1.75
1,487,769
1.72
1,382,559
1.70
1,374,881
1.78
1,332,586
1.86
Other Liabilities
13,050
13,686
14,564
16,367
20,120
Total Liabilities
1,509,687
1,501,455
1,397,123
1,391,248
1,352,706
Stockholders' Equity
161,558
160,239
159,415
155,003
149,121
Total Liabilities and Stockholders' Equity
$
1,671,245
$
1,661,694
$
1,556,538
$
1,546,251
$
1,501,827
Net Interest Income (FTE)
(Non-GAAP) (3)
$
15,167
$
14,712
$
14,049
$
14,004
$
13,199
Net Interest-Earning Assets (4)
385,764
397,066
370,173
371,034
365,223
Net Interest Rate Spread (FTE)
(Non-GAAP) (3) (5)
3.26
%
3.18
%
3.34
%
3.23
%
3.08
%
Net Interest Margin (FTE)
(Non-GAAP) (3)(6)
3.79
3.73
3.88
3.80
3.67
(1)
Annualized based on three months ended results.
(2)
(3)
(4)
Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
(5)
(6)
AVERAGE BALANCES AND YIELDS
Nine Months Ended
September 30, 2026
September 30, 2025
Average Balance
Interest and Dividends
Yield /Cost
Average Balance
Interest and Dividends
Yield / Cost
(Dollars in thousands) (Unaudited)
Assets:
Interest-Earning Assets:
Loans, Net (1)
$
1,154,395
$
48,857
5.66
%
$
1,098,105
$
46,167
5.62
%
Debt Securities
Taxable
280,697
10,018
4.76
273,949
8,485
4.13
Exempt From Federal Tax
37,815
1,687
5.95
4,199
185
5.87
Marketable Equity Securities
1,000
21
2.80
1,552
44
3.78
Interest-Earning Deposits at Banks
66,734
1,844
3.68
36,044
1,083
4.01
Other Interest-Earning Assets
3,920
250
8.53
3,648
196
7.18
Total Interest-Earning Assets
1,544,561
62,677
5.43
1,417,497
56,160
5.30
Noninterest-Earning Assets
85,685
69,034
Total Assets
$
1,630,246
$
1,486,531
Liabilities and Stockholders' Equity:
Interest-Bearing Liabilities:
Interest-Bearing Demand Accounts
$
446,498
$
6,855
2.05
%
$
334,380
$
5,039
2.01
%
Savings Accounts
169,496
144
0.11
172,517
126
0.10
Money Market Accounts
219,985
3,585
2.18
226,760
4,874
2.87
Time Deposits
210,679
4,708
2.99
219,552
5,713
3.48
Total Organic Interest-Bearing Deposits
1,046,658
15,292
1.95
953,209
15,752
2.21
Brokered Deposits
61,505
1,772
3.85
57,872
1,891
4.37
Total Interest-Bearing Deposits
1,108,163
17,064
2.06
1,011,081
17,643
2.33
Short-Term Borrowings
19,680
598
4.06
5,607
199
4.75
Other Borrowings
34,774
1,085
4.17
34,733
1,156
4.45
Total Interest-Bearing Liabilities
1,162,617
18,747
2.16
1,051,421
18,998
2.42
Noninterest-Bearing Demand Deposits
293,454
269,259
Total Funding and Cost of Funds
1,456,071
1.72
1,320,680
1.92
Other Liabilities
13,739
17,812
Total Liabilities
1,469,810
1,338,492
Stockholders' Equity
160,436
148,039
Total Liabilities and Stockholders' Equity
$
1,630,246
$
1,486,531
Net Interest Income (FTE) (Non-GAAP) (2)
43,930
37,162
Net Interest-Earning Assets (3)
381,944
366,076
Net Interest Rate Spread (FTE) (Non-GAAP) (2)(4)
3.27
%
2.88
%
Net Interest Margin (FTE) (Non-GAAP) (2)(5)
3.80
3.51
(1)
Annualized based on nine months ended results.
(2)
(3)
(4)
(5)
Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.
(6)
Explanation of Use of Non-GAAP Financial Measures
In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), we use, and this Press Release contains or references, certain Non-GAAP financial measures. We believe these Non-GAAP financial measures provide useful information in understanding our underlying results of operations or financial position and our business and performance trends as they facilitate comparisons with the performance of other companies in the financial services industry. Non-GAAP adjusted items impacting the Company's financial performance are identified to assist investors in providing a complete understanding of factors and trends affecting the Company’s business and in analyzing the Company’s operating results on the same basis as that applied by management. Although we believe that these Non-GAAP financial measures enhance the understanding of our business and performance, they should not be considered an alternative to GAAP or considered to be more important than financial results determined in accordance with GAAP, nor are they necessarily comparable with similar Non-GAAP measures which may be presented by other companies. Where Non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found herein.
The Company revised its presentation of certain Non-GAAP financial measures to no longer exclude gains and losses resulting from changes in the fair value of equity securities as non-core items. Accordingly, prior-period Non-GAAP financial measures presented herein have been recast to conform to the current presentation and to enhance comparability between periods. This change affects only the presentation of the Company’s Non-GAAP financial measures and does not affect its reported GAAP results.
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
(Dollars in thousands, except share and per share data) (Unaudited)
Total Assets (GAAP)
$
1,627,963
$
1,656,420
$
1,583,292
$
1,547,693
$
1,545,514
Goodwill and Intangible Assets, Net
(9,732
)
(9,732
)
(9,732
)
(9,732
)
(9,732
)
Tangible Assets (Non-GAAP) (Numerator)
$
1,618,231
$
1,646,688
$
1,573,560
$
1,537,961
$
1,535,782
Stockholders' Equity (GAAP)
$
155,973
$
162,097
$
158,751
$
157,537
$
152,465
Goodwill and Intangible Assets, Net
(9,732
)
(9,732
)
(9,732
)
(9,732
)
(9,732
)
Tangible Common Equity or Tangible Book Value (Non-GAAP) (Denominator)
$
146,241
$
152,365
$
149,019
$
147,805
$
142,733
Stockholders’ Equity to Assets (GAAP)
9.6
%
9.8
%
10.0
%
10.2
%
9.9
%
Tangible Common Equity to Tangible Assets (Non-GAAP)
9.0
%
9.3
%
9.5
%
9.6
%
9.3
%
Common Shares Outstanding (Denominator)
5,084,720
5,080,438
5,072,183
5,036,509
4,998,383
Book Value per Common Share (GAAP)
$
30.67
$
31.91
$
31.30
$
31.28
$
30.50
Tangible Book Value per Common Share (Non-GAAP)
$
28.76
$
29.99
$
29.38
$
29.35
$
28.56
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands) (Unaudited)
Net Income (Loss) (GAAP)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Stockholders' Equity (GAAP)
$
161,558
$
160,239
$
159,415
$
155,003
$
149,121
$
160,436
$
148,039
Average Goodwill and Intangible Assets, Net
(9,732
)
(9,732
)
(9,732
)
(9,732
)
(9,732
)
(9,732
)
(9,732
)
Average Tangible Common Equity (Non-GAAP) (Denominator)
$
151,826
$
150,507
$
149,683
$
145,271
$
139,389
$
150,704
$
138,307
Return on Average Equity (GAAP)
13.08
%
10.77
%
9.84
%
12.14
%
(15.15
)%
11.25
%
0.15
%
Return on Average Tangible Common Equity (Non-GAAP)
13.92
%
11.46
%
10.48
%
12.95
%
(16.21
)%
11.97
%
0.16
%
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands) (Unaudited)
Interest Income (GAAP)
$
21,593
$
20,906
$
19,651
$
19,992
$
19,341
$
62,152
$
55,947
Adjustment to FTE Basis
169
178
177
178
100
525
213
Interest Income (FTE) (Non-GAAP)
21,762
21,084
19,828
20,170
19,441
62,677
56,160
Interest Expense (GAAP)
6,595
6,372
5,779
6,166
6,242
18,747
18,998
Net Interest Income (FTE) (Non-GAAP)
$
15,167
$
14,712
$
14,049
$
14,004
$
13,199
$
43,930
$
37,162
Net Interest Rate Spread (GAAP)
3.22
%
3.14
%
3.29
%
3.18
%
3.05
%
3.22
%
2.86
%
Adjustment to FTE Basis
0.04
0.04
0.05
0.05
0.03
0.05
0.02
Net Interest Rate Spread (FTE) (Non-GAAP)
3.26
%
3.18
%
3.34
%
3.23
%
3.08
%
3.27
%
2.88
%
Net Interest Margin (GAAP)
3.75
%
3.68
%
3.83
%
3.76
%
3.64
%
3.76
%
3.49
%
Adjustment to FTE Basis
0.04
0.05
0.05
0.04
0.03
0.04
0.02
Net Interest Margin (FTE) (Non-GAAP)
3.79
%
3.73
%
3.88
%
3.80
%
3.67
%
3.80
%
3.51
%
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands) (Unaudited)
Income (Loss) Before Income Tax Expense (GAAP)
$
5,824
$
5,099
$
4,581
$
5,270
$
(7,020
)
$
15,506
$
33
Net (Recovery) Provision for Credit Losses
(69
)
17
241
362
259
190
227
PPNR (Non-GAAP)
5,755
5,116
4,822
5,632
(6,761
)
15,696
260
Adjustments
Net Loss on Securities
—
—
—
—
11,757
—
11,770
Net Gain on Disposal of Premises and Equipment
—
—
—
(40
)
—
—
—
Earn-out Payment Related to the Sale of EU
—
—
(8
)
(711
)
—
(8
)
(49
)
Reduction in Force Expenses
—
—
—
—
—
—
1,003
Adjusted PPNR (Non-GAAP) (Numerator)
$
5,755
$
5,116
$
4,814
$
4,881
$
4,996
$
15,688
$
12,984
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Assets (Denominator)
$
1,671,245
$
1,661,694
$
1,556,538
$
1,546,251
$
1,501,827
$
1,630,246
$
1,486,531
Adjusted PPNR Return on Average Assets (Non-GAAP)
1.37
%
1.23
%
1.26
%
1.25
%
1.32
%
1.29
%
1.17
%
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands, except share and per share data) (Unaudited)
Net Income (Loss) (GAAP)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Adjustments
Net Loss on Securities
—
—
—
—
11,757
—
11,770
Net Gain on Disposal of Premises and Equipment
—
—
—
(40
)
—
—
—
Earn-out Payment Related to the Sale of EU
—
—
(8
)
(711
)
—
(8
)
(49
)
Reduction in Force Expenses
—
—
—
—
—
—
1,003
Income Taxes
(462
)
—
2
(181
)
(2,130
)
(460
)
(2,333
)
Adjusted Net Income (Non-GAAP)
$
4,865
$
4,301
$
3,861
$
3,810
$
3,931
$
13,029
$
10,555
Weighted-Average Diluted Common Shares and Common Stock Equivalents Outstanding
5,358,067
5,353,959
5,318,874
5,304,685
5,319,594
5,345,256
5,357,173
Earnings (Loss) per Common Share - Diluted (GAAP)
$
0.99
$
0.80
$
0.73
$
0.89
$
(1.07
)
$
2.53
$
0.03
Adjusted Earnings per Common Share - Diluted (Non-GAAP)
$
0.91
$
0.80
$
0.73
$
0.72
$
0.74
$
2.44
$
1.97
Net Income (Loss) (GAAP) (Numerator)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Assets (Denominator)
1,671,245
1,661,694
1,556,538
1,546,251
1,501,827
1,630,246
1,486,531
Return on Average Assets (GAAP)
1.26
%
1.04
%
1.01
%
1.22
%
(1.50
)%
1.11
%
0.01
%
Adjusted Net Income (Non-GAAP) (Numerator)
$
4,865
$
4,301
$
3,861
$
3,810
$
3,931
$
13,029
$
10,555
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Assets (Denominator)
1,671,245
1,661,694
1,556,538
1,546,251
1,501,827
1,630,246
1,486,531
Adjusted Return on Average Assets (Non-GAAP)
1.15
%
1.04
%
1.01
%
0.98
%
1.04
%
1.07
%
0.95
%
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands) (Unaudited)
Net Income (Loss) (GAAP) (Numerator)
$
5,327
$
4,301
$
3,867
$
4,742
$
(5,696
)
$
13,497
$
164
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Equity (GAAP) (Denominator)
161,558
160,239
159,415
155,003
149,121
160,436
148,039
Return on Average Equity (GAAP)
13.08
%
10.77
%
9.84
%
12.14
%
(15.15
)%
11.25
%
0.15
%
Adjusted Net Income (Non-GAAP) (Numerator)
$
4,865
$
4,301
$
3,861
$
3,810
$
3,931
$
13,029
$
10,555
Annualization Factor
3.97
4.01
4.06
3.97
3.97
1.34
1.34
Average Equity (GAAP) (Denominator)
161,558
160,239
159,415
155,003
149,121
160,436
148,039
Adjusted Return on Average Equity (Non-GAAP)
11.95
%
10.77
%
9.82
%
9.75
%
10.46
%
10.86
%
9.53
%
Three Months Ended
Nine Months Ended
9/30/26
6/30/26
3/31/26
12/31/25
9/30/25
9/30/26
9/30/25
(Dollars in thousands) (Unaudited)
Noninterest Expense (GAAP) (Numerator)
$
10,264
$
10,390
$
10,012
$
9,923
$
9,183
$
30,666
$
27,731
Net Interest and Dividend Income (GAAP)
$
14,998
$
14,534
$
13,872
$
13,826
$
13,099
$
43,405
$
36,949
Noninterest Income (Loss) (GAAP)
1,021
972
962
1,729
(10,677
)
2,957
(8,958
)
Operating Revenue (GAAP) (Denominator)
$
16,019
$
15,506
$
14,834
$
15,555
$
2,422
$
46,362
$
27,991
Efficiency Ratio (GAAP)
64.07
%
67.01
%
67.49
%
63.79
%
379.15
%
66.14
%
99.07
%
Noninterest Expense (GAAP)
$
10,264
$
10,390
$
10,012
$
9,923
$
9,183
$
30,666
$
27,731
Adjustments:
Reduction in Force Expenses
—
—
—
—
—
—
(1,003
)
Adjusted Noninterest Expense (Non-GAAP) (Numerator)
$
10,264
$
10,390
$
10,012
$
9,923
$
9,183
$
30,666
$
26,728
Net Interest and Dividend Income (GAAP)
$
14,998
$
14,534
$
13,872
$
13,826
$
13,099
$
43,405
$
36,949
Noninterest Income (Loss) (GAAP)
1,021
972
962
1,729
(10,677
)
2,957
(8,958
)
Adjustments:
Net Loss on Securities
—
—
—
—
11,757
—
11,770
Net Gain on Disposal of Premises and Equipment
—
—
—
(40
)
—
—
—
Earn-out Payment Related to the Sale of EU
—
—
(8
)
(711
)
—
(8
)
(49
)
Adjusted Noninterest Income (Non-GAAP)
$
1,021
$
972
$
954
$
978
$
1,080
$
2,949
$
2,763
Adjusted Operating Revenue (Non-GAAP) (Denominator)
$
16,019
$
15,506
$
14,826
$
14,804
$
14,179
$
46,354
$
39,712
Adjusted Efficiency Ratio (Non-GAAP)
64.07
%
67.01
%
67.53
%
67.03
%
64.76
%
66.16
%
67.30
%