DEFIANCE, Ohio, July 24, 2025 (GLOBE NEWSWIRE) -- SB Financial Group, Inc. (NASDAQ: SBFG) ("SB Financial" or the "Company"), a diversified financial services company providing full-service community banking, mortgage banking, wealth management, private client and title insurance services today reported earnings for the second quarter ended June 30, 2025.
Second Quarter 2025 Highlights compared to the second quarter of the prior year include:
- GAAP net income and Diluted Earnings per Share ("DEPS") were $3.9 million, or $0.60 per DEPS, well above the $3.1 million, or $0.47 per DEPS in the prior year quarter. Net Income, adjusted for Originated Mortgage Servicing Rights ("OMSR"), was $3.7 million, up 20.9 percent compared to $3.1 million for the prior-year period. Adjusted DEPS of $0.58 was also up 25.4 percent, from the prior year.
- Net interest income of $12.1 million increased by 25.6 percent from $9.7 million reported in the prior-year quarter.
- Loan growth of $89.3 million, or 8.9 percent from the prior-year quarter, with growth from the linked quarter of $6.4 million, or 0.6 percent. This marks five consecutive quarters of sequential loan growth. Loan growth adjusted for the Marblehead acquisition, was $71.3 and $7.0 million, from the prior year and linked quarters, respectively.
- Deposit growth of $134.6 million, or 12.1 percent from the prior-year quarter, with a decline from the linked quarter of $21.4 million, or 1.7 percent. Adjusted for the Marblehead acquisition, total deposits increased $83.8 million from the prior year.
- Tangible book value ("TBV") per share ended the quarter at $16.44 up $1.18 per share or 7.7 percent from the prior year quarter.
Six months ended June 30, 2025 Highlights compared to the same period of the prior year:
- Mortgage banking revenue totaled $3.6 million for the first half of 2025, reflecting an increase of 6.9 percent compared to $3.4 million for the first half of 2024.
- Net interest income rose to $23.4 million, representing a year-over-year improvement of 24.3 percent from $18.8 million for the six months ending June 30,2024.
- Total interest expense came in at $12.4 million, up slightly by 2.6 percent from $12.1 million in the prior year period.
| Earnings Highlights | Three Months Ended | Six Months Ended | ||||||||||||||||
| ($ in thousands, except per share & ratios) | Jun. 2025 | Jun. 2024 | % Change | Jun. 2025 | Jun. 2024 | % Change | ||||||||||||
| Operating revenue | $ | 17,176 | $ | 14,045 | 22.3 | % | $ | 32,562 | $ | 27,176 | 19.8 | % | ||||||
| Interest income | 18,467 | 15,654 | 18.0 | % | 35,840 | 30,954 | 15.8 | % | ||||||||||
| Interest expense | 6,339 | 5,995 | 5.7 | % | 12,432 | 12,115 | 2.6 | % | ||||||||||
| Net interest income | 12,128 | 9,659 | 25.6 | % | 23,408 | 18,839 | 24.3 | % | ||||||||||
| Provision for credit losses | 597 | - | N/M | 984 | - | N/M | ||||||||||||
| Noninterest income | 5,048 | 4,386 | 15.1 | % | 9,154 | 8,337 | 9.8 | % | ||||||||||
| Noninterest expense | 11,852 | 10,671 | 11.1 | % | 24,262 | 20,953 | 15.8 | % | ||||||||||
| Net income | 3,852 | 3,113 | 23.7 | % | 6,010 | 5,481 | 9.7 | % | ||||||||||
| Adjusted Earnings per diluted share | 0.58 | 0.46 | 26.1 | % | 1.00 | 0.79 | 26.6 | % | ||||||||||
| Earnings per diluted share | 0.60 | 0.47 | 27.7 | % | 0.93 | 0.82 | 13.4 | % | ||||||||||
| Adjusted Return on Avg. Assets | 1.00 | % | 0.92 | % | 8.7 | % | 0.85 | % | 0.81 | % | 4.9 | % | ||||||
| Return on average assets | 1.03 | % | 0.93 | % | 10.8 | % | 0.82 | % | 0.82 | % | 0.0 | % | ||||||
| Adjusted Return on Avg. Equity | 11.29 | % | 10.12 | % | 11.5 | % | 10.54 | % | 8.45 | % | 24.7 | % | ||||||
| Return on average equity | 11.67 | % | 10.22 | % | 14.2 | % | 9.19 | % | 9.02 | % | 1.9 | % | ||||||
"Our second quarter results highlight the execution of our growth strategy and disciplined operational management, and their positive impact on our results," said Mark A. Klein, Chairman, President, and CEO. "Net income for the quarter was $3.9 million, a 23.7 percent increase from the prior-year quarter, with the GAAP DEPS of $0.60 up 27.7 percent from the prior year. Our solid second quarter performance reflects the first full quarter of contribution from the Marblehead acquisition which strengthened our liquidity position and further expanded our market presence in Northern Ohio."
Net interest income for the quarter grew by 25.6 percent to $12.1 million compared to the previous year, driven by continued strong loan growth and stabilization of funding costs. Total loans increased by $89.3 million, compared to the prior year, and by $6.4 million from the linked quarter. Adjusted for the Marblehead acquisition, total loan growth would have been $71.3. Deposits rose $134.6 million, or 12.1 percent, to $1.25 billion, reflecting the impact of the acquisition and the strength of our new and existing client relationships. Adjusted for the acquisition, deposits increased $83.8 million from the prior year.
RESULTS OF OPERATIONS
In the second quarter of 2025, total operating revenue increased to $17.2 million, a 22.3 percent rise from $14.0 million in the prior year and an 11.6 percent increase from the linked quarter, driven by continued growth in both net interest income and noninterest income. Net interest income reached $12.1 million, a strong 25.6 percent year-over-year increase, reflecting higher interest income on loans, which rose by $2.2 million to $16.2 million. Deposit costs increased by 7.5 percent to $5.6 million but were partially offset by decreases in interest expense on other funding sources, resulting in a 5.7 percent increase in total interest expense compared to the prior year quarter. As a result, the net interest margin expanded by 36 basis points year-over-year to 3.48 percent, reflecting the continued strength of our interest-earning assets and stabilization of funding costs. Noninterest income for the quarter increased by 15.1 percent year-over-year to $5.0 million due primarily to improvements in gain on sale of mortgage loans and title insurance as well as modest increases in wealth management, mortgage loan servicing and customer service fees. These fees were partially offset by decreases in gain on sales of non-mortgage loans. "We continue to focus on maintaining a balanced growth strategy and diversified revenue stream coupled with effective cost management," said Mr. Klein.
Mortgage Loan Business
Net mortgage banking revenue for the quarter reached $2.2 million, up $317,000 from the prior-year quarter. Loan servicing fees added $904,000 to revenue, reflecting an increase of $42,000 from the prior-year quarter. The OMSR net valuation adjustment for the second quarter of 2025 was a positive $159,000 compared to a positive $38,000 in the second quarter of 2024.
| Mortgage Banking | |||||||||||||||||||
| ($ in thousands) | Jun. 2025 | Mar. 2025 | Dec. 2024 | Sep. 2024 | Jun. 2024 | Prior Year Growth | |||||||||||||
| Mortgage originations | $ | 97,901 | $ | 39,775 | $ | 72,534 | $ | 70,715 | $ | 75,110 | $ | 22,791 | |||||||
| Mortgage sales | 74,313 | 39,279 | 62,301 | 61,271 | 55,835 | 18,478 | |||||||||||||
| Mortgage servicing portfolio | 1,456,374 | 1,432,184 | 1,427,318 | 1,406,273 | 1,389,805 | 66,569 | |||||||||||||
| Mortgage servicing rights | 15,896 | 14,965 | 14,868 | 14,357 | 14,548 | 1,348 | |||||||||||||
| Revenue | |||||||||||||||||||
| Loan servicing fees | 904 | 894 | 886 | 874 | 862 | 42 | |||||||||||||
| OMSR amortization | (469 | ) | (294 | ) | (358 | ) | (370 | ) | (335 | ) | (134 | ) | |||||||
| Net administrative fees | 435 | 600 | 528 | 504 | 527 | (92 | ) | ||||||||||||
| OMSR valuation adjustment | 159 | 11 | 288 | (465 | ) | 38 | 121 | ||||||||||||
| Net loan servicing fees | 594 | 611 | 816 | 39 | 565 | 29 | |||||||||||||
| Gain on sale of mortgages | 1,565 | 849 | 1,196 | 1,311 | 1,277 | 288 | |||||||||||||
| Mortgage banking revenue, net | $ | 2,159 | $ | 1,460 | $ | 2,012 | $ | 1,350 | $ | 1,842 | $ | 317 | |||||||
Noninterest Income and Noninterest Expense
"Noninterest income for the second quarter of 2025 totaled $5.0 million, up $661,000 or 15.1 percent from the prior-year quarter, primarily due to increased gains on sales of mortgage loans and OSMR, and increased title service and other revenue. Compared to the prior-year quarter, gains on sales of mortgage loans and OSMR grew modestly by $289,000 year over year, and title insurance revenue added $176,000, reflecting our revenue diversification strategy," Mr. Klein noted.
| Noninterest Income/Noninterest Expense | ||||||||||||||||||||
| ($ in thousands, except ratios) | Jun. 2025 | Mar. 2025 | Dec. 2024 | Sep. 2024 | Jun. 2024 | Prior Year Growth | ||||||||||||||
| Noninterest Income (NII) | $ | 5,048 | $ | 4,107 | $ | 4,557 | $ | 4,123 | $ | 4,386 | $ | 662 | ||||||||
| NII / Total Revenue | 29.4 | % | 26.7 | % | 29.5 | % | 28.8 | % | 31.5 | % | -2.1 | % | ||||||||
| NII / Average Assets | 1.4 | % | 1.1 | % | 1.3 | % | 1.2 | % | 1.3 | % | 0.1 | % | ||||||||
| Total Revenue Growth | 22.3 | % | 17.2 | % | 2.2 | % | 4.5 | % | -0.6 | % | 22.9 | % | ||||||||
| Noninterest Expense (NIE) | $ | 11,852 | $ | 12,410 | $ | 11,003 | $ | 11,003 | $ | 10,671 | $ | 1,181 | ||||||||
| Efficiency Ratio | 68.9 | % | 80.0 | % | 71.1 | % | 76.8 | % | 75.9 | % | -7.0 | % | ||||||||
| NIE / Average Assets | 3.2 | % | 3.4 | % | 3.2 | % | 3.2 | % | 3.2 | % | 0.0 | % | ||||||||
| Net Noninterest Expense/Avg. Assets | -1.8 | % | -2.3 | % | -1.8 | % | -2.0 | % | -1.9 | % | 0.1 | % | ||||||||
| Total Expense Growth | 11.1 | % | 20.7 | % | 6.1 | % | 5.0 | % | 3.2 | % | 7.9 | % | ||||||||
Noninterest expense for the second quarter of 2025 was $11.9 million, up 11.1 percent from the prior year, driven primarily by increased salary and benefit expenses, data processing and professional fees.
"Our efficiency ratio in the second quarter of 2025 was 68.9 percent marking a solid improvement compared to the linked quarter and the prior year," stated Mr. Klein.
Balance Sheet
As of June 30, 2025, SB Financial reported total assets of $1.49 billion, down slightly from the linked quarter but higher than the previous year. Year-over-year growth was primarily driven by a robust increase in the loan portfolio, which reached $1.09 billion, marking a $89.3 million or 8.9 percent increase year over year. Loan growth also included $18.0 million in loans added with the completion of the acquisition. Cash increased by $57.5 million from the prior year, including $35 million added from the liquidation of the acquired investment portfolio.
Total deposits increased to $1.25 billion, growing $134.6 million or 12.1 percent year over year, including $50.9 million in low-cost deposits from the acquisition and $83.8 million in organic deposit growth reflecting SB Financial's successful efforts in deposit gathering and customer engagement within dynamic markets. Shareholders' equity ended the quarter at $133.6 million, representing an $8.2 million increase from the prior year. This growth reflects management's ongoing commitment to enhancing shareholder value through solid earnings performance.
During the second quarter, SB Financial repurchased 124,000 shares, more than in the previous quarters as the Company made opportunistic purchases below our target range. This reflects the Company's commitment to returning value to shareholders through dividends and share repurchases while retaining adequate capital to support our long-term growth.
"As we progress through the second half of 2025, our balance sheet strength and strategic management of resources form a foundation to support our long-term strategic growth ambitions," said Mr. Klein. "Even in the current uncertain rate environment, we achieved our fifth consecutive quarter of sequential loan growth, with balances increasing by $89.3 million from the previous year, which included $71.3 million of organic loan growth. This performance underscores the strength of our deep client relationships and our sustained competitiveness in local markets as we pursue an innovative, "hybrid" office operating strategy. Our strong asset quality, supported by top-decile coverage ratios, remains a key component of our financial stability, which will enable us to take advantage of emerging opportunities while continuing to pursue operational excellence. Looking ahead, we are committed to driving shareholder value and sustaining robust financial performance as the economy evolves and stabilizes."
| Loan Balances | ||||||||||||||||||
| ($ in thousands, except ratios) | Jun. 2025 | Mar. 2025 | Dec. 2024 | Sep. 2024 | Jun. 2024 | Annual Growth | ||||||||||||
| Commercial | $ | 118,984 | $ | 125,878 | $ | 124,764 | $ | 123,821 | $ | 123,287 | $ | (4,303 | ) | |||||
| % of Total | 10.9 | % | 11.6 | % | 11.9 | % | 12.0 | % | 12.3 | % | -3.5 | % | ||||||
| Commercial RE | 525,671 | 509,518 | 479,573 | 459,449 | 434,967 | 90,704 | ||||||||||||
| % of Total | 48.0 | % | 46.8 | % | 45.8 | % | 44.6 | % | 43.3 | % | 20.9 | % | ||||||
| Agriculture | 60,924 | 61,443 | 64,680 | 64,887 | 64,329 | (3,405 | ) | |||||||||||
| % of Total | 5.6 | % | 5.6 | % | 6.2 | % | 6.3 | % | 6.4 | % | -5.3 | % | ||||||
| Residential RE | 310,126 | 319,307 | 308,378 | 314,010 | 316,233 | (6,107 | ) | |||||||||||
| % of Total | 28.3 | % | 29.3 | % | 29.5 | % | 30.5 | % | 31.5 | % | -1.9 | % | ||||||
| Consumer & Other | 79,014 | 72,128 | 69,340 | 67,788 | 66,574 | 12,440 | ||||||||||||
| % of Total | 7.2 | % | 6.6 | % | 6.6 | % | 6.6 | % | 6.6 | % | 18.7 | % | ||||||
| Total Loans | $ | 1,094,719 | $ | 1,088,274 | $ | 1,046,735 | $ | 1,029,955 | $ | 1,005,390 | $ | 89,329 | ||||||
| Total Growth Percentage | 8.9 | % | ||||||||||||||||
| Deposit Balances | ||||||||||||||||||
| ($ in thousands, except ratios) | Jun. 2025 | Mar. 2025 | Dec. 2024 | Sep. 2024 | Jun. 2024 | Annual Growth | ||||||||||||
| Non-Int DDA | $ | 241,245 | $ | 240,446 | $ | 232,155 | $ | 222,425 | $ | 208,244 | $ | 33,001 | ||||||
| % of Total | 19.3 | % | 18.9 | % | 20.1 | % | 19.2 | % | 18.7 | % | 15.8 | % | ||||||
| Interest DDA | 205,581 | 208,583 | 201,085 | 202,097 | 190,857 | 14,724 | ||||||||||||
| % of Total | 16.4 | % | 16.4 | % | 17.4 | % | 17.4 | % | 17.1 | % | 7.7 | % | ||||||
| Savings | 282,311 | 285,902 | 237,987 | 241,761 | 231,855 | 50,456 | ||||||||||||
| % of Total | 22.6 | % | 22.5 | % | 20.6 | % | 20.8 | % | 20.8 | % | 21.8 | % | ||||||
| Money Market | 249,536 | 257,013 | 222,161 | 228,182 | 225,650 | 23,886 | ||||||||||||
| % of Total | 20.0 | % | 20.2 | % | 19.3 | % | 19.7 | % | 20.2 | % | 10.6 | % | ||||||
| Time Deposits | 271,149 | 279,276 | 259,217 | 265,068 | 258,582 | 12,567 | ||||||||||||
| % of Total | 21.7 | % | 22.0 | % | 22.5 | % | 22.9 | % | 23.2 | % | 4.9 | % | ||||||
| Total Deposits | $ | 1,249,822 | $ | 1,271,220 | $ | 1,152,605 | $ | 1,159,533 | $ | 1,115,188 | $ | 134,634 | ||||||
| Total Growth Percentage | 12.1 | % | ||||||||||||||||
Asset Quality
As of June 30, 2025, SB Financial continued to focus on strong asset quality metrics. Nonperforming assets totaled $6.2 million, representing 0.42 percent of total assets, an increase of $944,000 compared to $5.2 million or 0.39 percent of total assets reported in the prior year, but relatively stable compared to the linked quarter balance of $6.1 million, representing 0.41 percent of total assets.
The allowance for credit losses remained strong at 1.43 percent of total loans, providing 265.0 percent coverage of nonperforming loans, a level consistent with the linked quarter and reflective of our conservative approach to risk management. The net loan charge-offs to average loans ratio remained modest at 2 basis points, declining from 3 basis points in the linked quarter but up from the 1 basis point net recoveries recorded in the prior year. These metrics reflect disciplined credit practices and effective collateral management.
"Our asset quality metrics embody our approach and commitment to disciplined risk management within a dynamic economic environment," stated Mr. Klein. "While we observed an uptick in nonperforming assets compared to the prior year, our reserve coverage ratio and continued low charge-off levels underscore the quality of our loan portfolio and the strength of our lending relationships. We are committed to balancing our conservative approach in managing credit risk with the need to effectively manage our growth to enhance shareholder returns."
| Nonperforming Assets | Annual Change | |||||||||||||||||
| ($ in thousands, except ratios) | Jun. 2025 | Mar. 2025 | Dec. 2024 | Sep. 2024 | Jun. 2024 | |||||||||||||
| Commercial & Agriculture | $ | 3,306 | $ | 3,418 | $ | 2,927 | $ | 2,899 | $ | 2,781 | $ | 525 | ||||||
| % of Total Com./Ag. loans | 1.84 | % | 1.82 | % | 1.55 | % | 1.54 | % | 1.48 | % | 18.9 | % | ||||||
| Commercial RE | 816 | 798 | 807 | 813 | 475 | 341 | ||||||||||||
| % of Total CRE loans | 0.16 | % | 0.16 | % | 0.17 | % | 0.18 | % | 0.11 | % | 71.8 | % | ||||||
| Residential RE | 1,577 | 1,608 | 1,539 | 1,536 | 1,247 | 330 | ||||||||||||
| % of Total Res. RE loans | 0.51 | % | 0.50 | % | 0.50 | % | 0.49 | % | 0.39 | % | 26.5 | % | ||||||
| Consumer & Other | 205 | 227 | 243 | 270 | 231 | (26 | ) | |||||||||||
| % of Total Con./Oth. loans | 0.26 | % | 0.31 | % | 0.35 | % | 0.40 | % | 0.35 | % | -11.3 | % | ||||||
| Total Nonaccruing Loans | 5,904 | 6,051 | 5,516 | 5,518 | 4,734 | 1,170 | ||||||||||||
| % of Total loans | 0.54 | % | 0.56 | % | 0.53 | % | 0.54 | % | 0.47 | % | 24.7 | % | ||||||
| Foreclosed Assets and Other Assets | 284 | 73 | - | - | 510 | (226 | ) | |||||||||||
| Total Change (%) | -44.3 | % | ||||||||||||||||
| Total Nonperforming Assets | $ | 6,188 | $ | 6,124 | $ | 5,516 | $ | 5,518 | $ | 5,244 | $ | 944 | ||||||
| % of Total assets | 0.42 | % | 0.41 | % | 0.40 | % | 0.40 | % | 0.39 | % | 18.00 | % | ||||||
Webcast and Conference Call
The Company will hold the second quarter 2025 earnings conference call and webcast on July 25, 2025, at 11:00 a.m. EDT. Interested parties may access the conference call by dialing 1-888-338-9469. The webcast can be accessed at ir.yourstatebank.com. An audio replay of the call will be available on the Company's website.
About SB Financial Group
Headquartered in Defiance, Ohio, SB Financial is a diversified financial services holding company for the State Bank & Trust Company (State Bank) and SBFG Title, LLC dba Peak Title (Peak Title). State Bank provides a full range of financial services for consumers and small businesses, including wealth management, private client services, mortgage banking and commercial and agricultural lending, operating through a total of 26 offices: 24 in ten Ohio counties and two in Northeast, Indiana, and 26 ATMs. State Bank has six loan production offices located throughout the Tri-State region of Ohio, Indiana and Michigan. Peak Title provides title insurance and title opinions throughout the Tri-State and Kentucky. SB Financial's common stock is listed on the NASDAQ Capital Market with the ticker symbol "SBFG".
Forward-Looking Statements
Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which SB Financial and its subsidiaries operate, changes in policies by regulatory agencies, changes in accounting standards and policies, changes in tax laws, fluctuations in interest rates, demand for loans in the market areas in SB Financial and its subsidiaries operate, increases in FDIC insurance premiums, changes in the competitive environment, losses of significant customers, geopolitical events, the loss of key personnel and other risks identified in SB Financial's Annual Report on Form 10-K and documents subsequently filed by SB Financial with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made, and SB Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made, except as required by law. All subsequent written and oral forward-looking statements attributable to SB Financial or any person acting on its behalf are qualified by these cautionary statements.
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles ("GAAP"). Non-GAAP financial measures, specifically pre-tax, pre-provision income, tangible common equity, tangible assets, tangible book value per common share, tangible common equity to tangible assets, return on average tangible common equity, total interest income - FTE, net interest income - FTE and net interest margin - FTE are used by the Company's management to measure the strength of its capital and analyze profitability, including its ability to generate earnings on tangible capital invested by its shareholders. In addition, the Company excludes the OMSR valuation adjustment and any gain on sale of assets from net income to report a non-GAAP adjusted net income level. Although management believes these non-GAAP measures are useful to investors by providing a greater understanding of its business, they should not be considered a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Investor Contact Information:
Mark A. Klein
Chairman, President and
Chief Executive Officer
Mark.Klein@YourStateBank.com
Anthony V. Cosentino
Executive Vice President and
Chief Financial Officer
Tony.Cosentino@YourStateBank.com
| SB FINANCIAL GROUP, INC. | ||||||||||||||||||||||||
| CONSOLIDATED BALANCE SHEETS - (Unaudited) | ||||||||||||||||||||||||
| June | March | December | September | June | ||||||||||||||||||||
| ($ in thousands) | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||||||||||
| ASSETS | ||||||||||||||||||||||||
| Cash and due from banks | $ | 79,463 | $ | 105,145 | $ | 25,928 | $ | 49,348 | $ | 21,983 | ||||||||||||||
| Interest bearing time deposits | 1,565 | 1,565 | 1,565 | 1,706 | 2,417 | |||||||||||||||||||
| Available-for-sale securities | 195,955 | 199,721 | 201,587 | 211,511 | 207,856 | |||||||||||||||||||
| Loans held for sale | 12,774 | 4,286 | 6,770 | 8,927 | 7,864 | |||||||||||||||||||
| Loans, net of unearned income | 1,094,719 | 1,088,274 | 1,046,735 | 1,029,955 | 1,005,390 | |||||||||||||||||||
| Allowance for credit losses | (15,645 | ) | (15,391 | ) | (15,096 | ) | (15,278 | ) | (15,612 | ) | ||||||||||||||
| Premises and equipment, net | 21,857 | 21,875 | 20,456 | 20,715 | 20,860 | |||||||||||||||||||
| Federal Reserve and FHLB Stock, at cost | 5,466 | 5,340 | 5,223 | 5,223 | 5,204 | |||||||||||||||||||
| Foreclosed assets | 284 | 73 | - | - | 510 | |||||||||||||||||||
| Interest receivable | 5,299 | 5,072 | 4,908 | 4,842 | 4,818 | |||||||||||||||||||
| Goodwill | 27,158 | 27,158 | 23,239 | 23,239 | 23,239 | |||||||||||||||||||
| Cash value of life insurance | 31,060 | 30,871 | 30,685 | 30,488 | 30,294 | |||||||||||||||||||
| Mortgage servicing rights | 15,458 | 14,965 | 14,868 | 14,357 | 14,548 | |||||||||||||||||||
| Other assets | 10,888 | 12,048 | 12,649 | 8,916 | 12,815 | |||||||||||||||||||
| Total assets | $ | 1,486,301 | $ | 1,501,002 | $ | 1,379,517 | $ | 1,393,949 | $ | 1,342,186 | ||||||||||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||||||
| Deposits | ||||||||||||||||||||||||
| Non interest bearing demand | $ | 241,245 | $ | 240,446 | $ | 232,155 | $ | 222,425 | $ | 208,244 | ||||||||||||||
| Interest bearing demand | 205,581 | 208,583 | 201,085 | 202,097 | 190,857 | |||||||||||||||||||
| Savings | 282,311 | 285,902 | 237,987 | 241,761 | 231,855 | |||||||||||||||||||
| Money market | 249,536 | 257,013 | 222,161 | 228,182 | 225,650 | |||||||||||||||||||
| Time deposits | 271,149 | 279,276 | 259,217 | 265,068 | 258,582 | |||||||||||||||||||
| Total deposits | 1,249,822 | 1,271,220 | 1,152,605 | 1,159,533 | 1,115,188 | |||||||||||||||||||
| Short-term borrowings | 15,640 | 11,058 | 10,585 | 15,240 | 15,178 | |||||||||||||||||||
| Federal Home Loan Bank advances | 35,000 | 35,000 | 35,000 | 35,000 | 35,000 | |||||||||||||||||||
| Trust preferred securities | 10,310 | 10,310 | 10,310 | 10,310 | 10,310 | |||||||||||||||||||
| Subordinated debt net of issuance costs | 19,715 | 19,702 | 19,690 | 19,678 | 19,666 | |||||||||||||||||||
| Interest payable | 2,258 | 2,634 | 2,351 | 3,374 | 2,944 | |||||||||||||||||||
| Other liabilities | 19,908 | 19,552 | 21,468 | 17,973 | 18,421 | |||||||||||||||||||
| Total liabilities | 1,352,653 | 1,369,476 | 1,252,009 | 1,261,108 | 1,216,707 | |||||||||||||||||||
| Shareholders' Equity | ||||||||||||||||||||||||
| Common stock | 61,319 | 61,319 | 61,319 | 61,319 | 61,319 | |||||||||||||||||||
| Additional paid-in capital | 15,139 | 14,955 | 15,194 | 15,090 | 15,195 | |||||||||||||||||||
| Retained earnings | 120,273 | 117,397 | 116,186 | 113,515 | 112,104 | |||||||||||||||||||
| Accumulated other comprehensive loss | (25,492 | ) | (26,872 | ) | (30,234 | ) | (24,870 | ) | (31,801 | ) | ||||||||||||||
| Treasury stock | (37,591 | ) | (35,273 | ) | (34,957 | ) | (32,213 | ) | (31,338 | ) | ||||||||||||||
| Total shareholders' equity | 133,648 | 131,526 | 127,508 | 132,841 | 125,479 | |||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 1,486,301 | $ | 1,501,002 | $ | 1,379,517 | $ | 1,393,949 | $ | 1,342,186 | ||||||||||||||
| SB FINANCIAL GROUP, INC. | ||||||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME - (Unaudited) | ||||||||||||||||||||||||
| ($ in thousands, except per share & ratios) | At and for the Three Months Ended | Six Months Ended | ||||||||||||||||||||||
| June | March | December | September | June | June | June | ||||||||||||||||||
| Interest income | 2025 | 2025 | 2024 | 2024 | 2024 | 2025 | 2024 | |||||||||||||||||
| Loans | ||||||||||||||||||||||||
| Taxable | $ | 16,059 | $ | 15,244 | $ | 14,920 | $ | 14,513 | $ | 13,883 | $ | 31,303 | $ | 27,430 | ||||||||||
| Tax exempt | 116 | 115 | 122 | 127 | 124 | 231 | 247 | |||||||||||||||||
| Securities | ||||||||||||||||||||||||
| Taxable | 1,133 | 1,169 | 1,178 | 1,192 | 1,226 | 2,302 | 2,500 | |||||||||||||||||
| Tax exempt | 35 | 38 | 35 | 37 | 37 | 73 | 74 | |||||||||||||||||
| Other interest income | 1,124 | 806 | 592 | 679 | 384 | 1,930 | 703 | |||||||||||||||||
| Total interest income | 18,467 | 17,372 | 16,847 | 16,548 | 15,654 | 35,839 | 30,954 | |||||||||||||||||
| Interest expense | ||||||||||||||||||||||||
| Deposits | 5,597 | 5,352 | 5,169 | 5,568 | 5,208 | 10,949 | 10,298 | |||||||||||||||||
| Repurchase agreements & other | 21 | 24 | 41 | 43 | 36 | 45 | 70 | |||||||||||||||||
| Federal Home Loan Bank advances | 366 | 362 | 369 | 369 | 370 | 728 | 983 | |||||||||||||||||
| Trust preferred securities | 161 | 160 | 177 | 187 | 187 | 321 | 375 | |||||||||||||||||
| Subordinated debt | 194 | 195 | 194 | 195 | 194 | 389 | 389 | |||||||||||||||||
| Total interest expense | 6,339 | 6,093 | 5,950 | 6,362 | 5,995 | 12,432 | 12,115 | |||||||||||||||||
| Net interest income | 12,128 | 11,279 | 10,897 | 10,186 | 9,659 | 23,407 | 18,839 | |||||||||||||||||
| Provision for credit losses | 597 | 387 | (76 | ) | 200 | - | 984 | - | ||||||||||||||||
| Net interest income after provision | ||||||||||||||||||||||||
| for loan losses | 11,531 | 10,892 | 10,973 | 9,986 | 9,659 | 22,423 | 18,839 | |||||||||||||||||
| Noninterest income | ||||||||||||||||||||||||
| Wealth management fees | 859 | 864 | 916 | 882 | 848 | 1,723 | 1,713 | |||||||||||||||||
| Customer service fees | 886 | 879 | 842 | 870 | 875 | 1,765 | 1,755 | |||||||||||||||||
| Gain on sale of mtg. loans & OMSR | 1,566 | 849 | 1,196 | 1,311 | 1,277 | 2,415 | 2,058 | |||||||||||||||||
| Mortgage loan servicing fees, net | 594 | 611 | 816 | 39 | 565 | 1,205 | 1,328 | |||||||||||||||||
| Gain on sale of non-mortgage loans | 82 | 15 | 10 | 20 | 105 | 97 | 115 | |||||||||||||||||
| Title insurance revenue | 582 | 397 | 478 | 485 | 406 | 979 | 672 | |||||||||||||||||
| Net gain on sales of securities | - | - | - | - | - | - | - | |||||||||||||||||
| Gain (loss) on sale of assets | - | - | - | 200 | - | - | - | |||||||||||||||||
| Other | 479 | 492 | 299 | 316 | 310 | 971 | 696 | |||||||||||||||||
| Total noninterest income | 5,048 | 4,107 | 4,557 | 4,123 | 4,386 | 9,155 | 8,337 | |||||||||||||||||
| Noninterest expense | ||||||||||||||||||||||||
| Salaries and employee benefits | 6,595 | 6,237 | 6,185 | 6,057 | 6,009 | 12,832 | 11,361 | |||||||||||||||||
| Net occupancy expense | 793 | 893 | 702 | 706 | 707 | 1,686 | 1,476 | |||||||||||||||||
| Equipment expense | 1,121 | 1,072 | 1,127 | 1,069 | 1,060 | 2,193 | 2,137 | |||||||||||||||||
| Data processing fees | 888 | 1,439 | 821 | 758 | 727 | 2,327 | 1,496 | |||||||||||||||||
| Professional fees | 892 | 1,034 | 895 | 659 | 615 | 1,926 | 1,373 | |||||||||||||||||
| Marketing expense | 190 | 165 | 207 | 241 | 176 | 355 | 373 | |||||||||||||||||
| Telephone and communication expense | 125 | 139 | 136 | 128 | 156 | 264 | 261 | |||||||||||||||||
| Postage and delivery expense | 107 | 137 | 116 | 145 | 89 | 244 | 186 | |||||||||||||||||
| State, local and other taxes | 268 | 224 | 224 | 208 | 230 | 492 | 475 | |||||||||||||||||
| Employee expense | 176 | 174 | 168 | 228 | 159 | 350 | 337 | |||||||||||||||||
| Other expenses | 697 | 896 | 422 | 804 | 743 | 1,593 | 1,478 | |||||||||||||||||
| Total noninterest expense | 11,852 | 12,410 | 11,003 | 11,003 | 10,671 | 24,262 | 20,953 | |||||||||||||||||
| Income before income tax expense | 4,727 | 2,589 | 4,527 | 3,106 | 3,374 | 7,316 | 6,223 | |||||||||||||||||
| Income tax expense | 875 | 431 | 892 | 752 | 261 | 1,306 | 742 | |||||||||||||||||
| Net income | $ | 3,852 | $ | 2,158 | $ | 3,635 | $ | 2,354 | $ | 3,113 | $ | 6,010 | $ | 5,481 | ||||||||||
| Common share data: | ||||||||||||||||||||||||
| Basic earnings per common share | $ | 0.60 | $ | 0.33 | $ | 0.55 | $ | 0.35 | $ | 0.47 | $ | 0.93 | $ | 0.82 | ||||||||||
| Diluted earnings per common share | $ | 0.60 | $ | 0.33 | $ | 0.55 | $ | 0.35 | $ | 0.47 | $ | 0.93 | $ | 0.82 | ||||||||||
| Average shares outstanding (in thousands): | ||||||||||||||||||||||||
| Basic: | 6,448 | 6,481 | 6,575 | 6,660 | 6,692 | 6,464 | 6,703 | |||||||||||||||||
| Diluted: | 6,459 | 6,502 | 6,599 | 6,675 | 6,700 | 6,483 | 6,715 | |||||||||||||||||
| SB FINANCIAL GROUP, INC. | ||||||||||||||||||||||||||||
| CONSOLIDATED FINANCIAL HIGHLIGHTS - (Unaudited) | ||||||||||||||||||||||||||||
| ($ in thousands, except per share & ratios) | At and for the Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||
| June | March | December | September | June | June | June | ||||||||||||||||||||||
| SUMMARY OF OPERATIONS | 2025 | 2025 | 2024 | 2024 | 2024 | 2025 | 2024 | |||||||||||||||||||||
| Net interest income | $ | 12,128 | $ | 11,279 | $ | 10,897 | $ | 10,186 | $ | 9,659 | $ | 23,407 | $ | 18,839 | ||||||||||||||
| Tax-equivalent adjustment | 40 | 41 | 42 | 44 | 43 | 81 | 85 | |||||||||||||||||||||
| Tax-equivalent net interest income | 12,168 | 11,320 | 10,939 | 10,230 | 9,702 | 23,488 | 18,924 | |||||||||||||||||||||
| Provision for credit loss | 597 | 387 | (76 | ) | 200 | - | 984 | - | ||||||||||||||||||||
| Noninterest income | 5,048 | 4,107 | 4,557 | 4,123 | 4,386 | 9,155 | 8,337 | |||||||||||||||||||||
| Total operating revenue | 17,176 | 15,386 | 15,454 | 14,309 | 14,045 | 32,562 | 27,176 | |||||||||||||||||||||
| Noninterest expense | 11,852 | 12,410 | 11,003 | 11,003 | 10,671 | 24,262 | 20,953 | |||||||||||||||||||||
| Pre-tax pre-provision income | 5,324 | 2,976 | 4,451 | 3,306 | 3,374 | 8,300 | 6,223 | |||||||||||||||||||||
| Net income | 3,852 | 2,158 | 3,635 | 2,354 | 3,113 | 6,010 | 5,481 | |||||||||||||||||||||
| PER SHARE INFORMATION: | ||||||||||||||||||||||||||||
| Basic earnings per share (EPS) | 0.60 | 0.33 | 0.55 | 0.35 | 0.47 | 0.93 | 0.82 | |||||||||||||||||||||
| Diluted earnings per share | 0.60 | 0.33 | 0.55 | 0.35 | 0.47 | 0.93 | 0.82 | |||||||||||||||||||||
| Common dividends | 0.150 | 0.145 | 0.145 | 0.140 | 0.140 | 0.295 | 0.275 | |||||||||||||||||||||
| Book value per common share | 21.02 | 20.29 | 19.64 | 20.05 | 18.80 | 21.02 | 18.80 | |||||||||||||||||||||
| Tangible book value per common share (TBV) | 16.44 | 15.79 | 16.00 | 16.49 | 15.26 | 16.44 | 15.26 | |||||||||||||||||||||
| Market price per common share | 19.10 | 20.82 | 20.91 | 20.56 | 14.00 | 19.10 | 14.00 | |||||||||||||||||||||
| Market price to TBV | 116.2 | % | 131.8 | % | 130.7 | % | 124.7 | % | 91.8 | % | 116.2 | % | 0.92 | |||||||||||||||
| Market price to trailing 12 month EPS | 10.4 | 12.2 | 12.1 | 11.8 | 7.9 | 10.4 | 7.9 | |||||||||||||||||||||
| PERFORMANCE RATIOS: | ||||||||||||||||||||||||||||
| Return on average assets (ROAA) | 1.03 | % | 0.60 | % | 1.04 | % | 0.68 | % | 0.93 | % | 0.82 | % | 0.82 | % | ||||||||||||||
| Pre-tax pre-provision ROAA | 1.42 | % | 0.83 | % | 1.27 | % | 0.96 | % | 1.01 | % | 0.88 | % | 1.00 | % | ||||||||||||||
| Return on average equity (ROE) | 11.67 | % | 6.63 | % | 11.07 | % | 7.28 | % | 10.22 | % | 9.19 | % | 9.02 | % | ||||||||||||||
| Return on average tangible equity | 14.97 | % | 8.32 | % | 13.51 | % | 8.92 | % | 12.66 | % | 11.64 | % | 11.21 | % | ||||||||||||||
| Efficiency ratio | 68.90 | % | 80.00 | % | 71.09 | % | 76.78 | % | 75.86 | % | 74.14 | % | 76.98 | % | ||||||||||||||
| Earning asset yield | 5.29 | % | 5.23 | % | 5.18 | % | 5.16 | % | 5.02 | % | 5.25 | % | 4.96 | % | ||||||||||||||
| Cost of interest bearing liabilities | 2.33 | % | 2.32 | % | 2.36 | % | 2.53 | % | 2.47 | % | 2.30 | % | 2.51 | % | ||||||||||||||
| Net interest margin | 3.48 | % | 3.40 | % | 3.35 | % | 3.17 | % | 3.12 | % | 3.43 | % | 3.04 | % | ||||||||||||||
| Tax equivalent effect | 0.01 | % | 0.01 | % | 0.01 | % | 0.02 | % | 0.01 | % | 0.01 | % | 0.01 | % | ||||||||||||||
| Net interest margin, tax equivalent | 3.49 | % | 3.41 | % | 3.36 | % | 3.19 | % | 3.13 | % | 3.44 | % | 3.05 | % | ||||||||||||||
| Non interest income/Average assets | 1.35 | % | 1.14 | % | 1.30 | % | 1.19 | % | 1.31 | % | 1.25 | % | 1.25 | % | ||||||||||||||
| Non interest expense/Average assets | 3.17 | % | 3.45 | % | 3.14 | % | 3.18 | % | 3.20 | % | 3.31 | % | 3.15 | % | ||||||||||||||
| Net noninterest expense/Average assets | -1.82 | % | -2.31 | % | -1.84 | % | -1.99 | % | -1.88 | % | -2.06 | % | -1.90 | % | ||||||||||||||
| ASSET QUALITY RATIOS: | ||||||||||||||||||||||||||||
| Gross charge-offs | 49 | 86 | 195 | 29 | - | 135 | 66 | |||||||||||||||||||||
| Recoveries | 3 | 2 | 13 | 2 | 16 | 5 | 25 | |||||||||||||||||||||
| Net charge-offs | 46 | 84 | 182 | 27 | (16 | ) | 130 | 41 | ||||||||||||||||||||
| Nonperforming loans/Total loans | 0.54 | % | 0.56 | % | 0.53 | % | 0.54 | % | 0.47 | % | 0.54 | % | 0.47 | % | ||||||||||||||
| Nonperforming assets/Loans & OREO | 0.57 | % | 0.56 | % | 0.53 | % | 0.54 | % | 0.52 | % | 0.57 | % | 0.52 | % | ||||||||||||||
| Nonperforming assets/Total assets | 0.42 | % | 0.41 | % | 0.40 | % | 0.40 | % | 0.39 | % | 0.42 | % | 0.39 | % | ||||||||||||||
| Allowance for credit loss/Nonperforming loans | 264.99 | % | 254.35 | % | 273.68 | % | 276.83 | % | 329.78 | % | 264.99 | % | 329.78 | % | ||||||||||||||
| Allowance for credit loss/Total loans | 1.43 | % | 1.41 | % | 1.44 | % | 1.48 | % | 1.55 | % | 1.43 | % | 1.55 | % | ||||||||||||||
| Net loan charge-offs/Average loans (ann.) | 0.02 | % | 0.03 | % | 0.07 | % | 0.01 | % | (0.01 | %) | 0.02 | % | 0.01 | % | ||||||||||||||
| CAPITAL & LIQUIDITY RATIOS: | ||||||||||||||||||||||||||||
| Loans/ Deposits | 87.59 | % | 85.61 | % | 90.81 | % | 88.82 | % | 90.15 | % | 87.59 | % | 90.15 | % | ||||||||||||||
| Equity/ Assets | 8.99 | % | 8.76 | % | 9.24 | % | 9.53 | % | 9.35 | % | 8.99 | % | 9.35 | % | ||||||||||||||
| Tangible equity/Tangible assets | 7.17 | % | 6.96 | % | 7.66 | % | 7.97 | % | 7.72 | % | 7.17 | % | 7.72 | % | ||||||||||||||
| Common equity tier 1 ratio (Bank) | 12.53 | % | 12.35 | % | 13.43 | % | 13.19 | % | 13.98 | % | 12.53 | % | 13.98 | % | ||||||||||||||
| END OF PERIOD BALANCES | ||||||||||||||||||||||||||||
| Total assets | 1,486,301 | 1,501,002 | 1,379,517 | 1,393,949 | 1,342,186 | 1,486,301 | 1,342,186 | |||||||||||||||||||||
| Total loans | 1,094,719 | 1,088,274 | 1,046,735 | 1,029,955 | 1,005,390 | 1,094,719 | 1,005,390 | |||||||||||||||||||||
| Deposits | 1,249,822 | 1,271,220 | 1,152,605 | 1,159,533 | 1,115,188 | 1,249,822 | 1,115,188 | |||||||||||||||||||||
| Shareholders equity | 133,648 | 131,526 | 127,508 | 132,841 | 125,479 | 133,648 | 125,479 | |||||||||||||||||||||
| Goodwill and intangibles | 29,107 | 29,125 | 23,597 | 23,613 | 23,630 | 29,107 | 23,630 | |||||||||||||||||||||
| Tangible equity | 104,541 | 102,401 | 103,911 | 109,228 | 101,849 | 104,541 | 101,849 | |||||||||||||||||||||
| Mortgage servicing portfolio | 1,456,374 | 1,432,184 | 1,427,318 | 1,406,273 | 1,389,805 | 1,456,374 | 1,389,805 | |||||||||||||||||||||
| Wealth/Brokerage assets under care | 536,836 | 519,158 | 547,697 | 557,724 | 525,713 | 536,836 | 525,713 | |||||||||||||||||||||
| Total assets under care | 3,479,511 | 3,452,344 | 3,354,532 | 3,357,946 | 3,257,704 | 3,479,511 | 3,257,704 | |||||||||||||||||||||
| Full-time equivalent employees | 256 | 262 | 252 | 248 | 249 | 256 | 249 | |||||||||||||||||||||
| Period end common shares outstanding | 6,359 | 6,483 | 6,494 | 6,624 | 6,676 | 6,359 | 6,676 | |||||||||||||||||||||
| Market capitalization (all) | 121,453 | 134,982 | 135,780 | 136,189 | 93,458 | 121,453 | 93,458 | |||||||||||||||||||||
| AVERAGE BALANCES | ||||||||||||||||||||||||||||
| Total assets | 1,498,756 | 1,459,896 | 1,395,473 | 1,376,849 | 1,342,847 | 1,479,613 | 1,337,244 | |||||||||||||||||||||
| Total earning assets | 1,399,485 | 1,346,354 | 1,301,872 | 1,283,407 | 1,246,099 | 1,377,780 | 1,246,956 | |||||||||||||||||||||
| Total loans | 1,094,199 | 1,076,328 | 1,040,580 | 1,018,262 | 1,005,018 | 1,085,313 | 999,164 | |||||||||||||||||||||
| Deposits | 1,270,798 | 1,227,449 | 1,163,531 | 1,145,964 | 1,120,367 | 1,249,885 | 1,106,633 | |||||||||||||||||||||
| Shareholders equity | 132,353 | 131,944 | 130,647 | 128,608 | 122,510 | 131,849 | 121,474 | |||||||||||||||||||||
| Goodwill and intangibles | 29,116 | 26,714 | 23,605 | 23,621 | 23,638 | 27,742 | 23,646 | |||||||||||||||||||||
| Tangible equity | 103,237 | 105,230 | 107,042 | 104,987 | 98,872 | 104,107 | 97,828 | |||||||||||||||||||||
| Average basic shares outstanding | 6,448 | 6,481 | 6,575 | 6,660 | 6,692 | 6,464 | 6,703 | |||||||||||||||||||||
| Average diluted shares outstanding | 6,459 | 6,502 | 6,599 | 6,675 | 6,700 | 6,483 | 6,715 | |||||||||||||||||||||
| SB FINANCIAL GROUP, INC. | |||||||||||||||||||
| Rate Volume Analysis - (Unaudited) | |||||||||||||||||||
| For the Three Months Ended Jun. 30, 2025 and 2024 | |||||||||||||||||||
| ($ in thousands) | Three Months Ended Jun. 30, 2025 | Three Months Ended Jun. 30, 2024 | |||||||||||||||||
| Average | Average | Average | Average | ||||||||||||||||
| Assets | Balance | Interest | Rate | Balance | Interest | Rate | |||||||||||||
| Taxable securities | $ | 198,558 | $ | 1,133 | 2.29 | % | $ | 209,347 | $ | 1,226 | 2.36 | % | |||||||
| Overnight Cash | 101,964 | 1,124 | 4.42 | % | 27,885 | 384 | 5.54 | % | |||||||||||
| Nontaxable securities | 4,764 | 35 | 2.95 | % | 4,761 | 37 | 3.13 | % | |||||||||||
| Loans, net | 1,094,199 | 16,175 | 5.93 | % | 1,005,018 | 14,007 | 5.61 | % | |||||||||||
| Total earning assets | 1,399,485 | 18,467 | 5.29 | % | 1,247,011 | 15,654 | 5.05 | % | |||||||||||
| Cash on hand | 4,951 | 4,448 | |||||||||||||||||
| Allowance for loan losses | (15,483 | ) | (15,647 | ) | |||||||||||||||
| Premises and equipment | 21,719 | 20,978 | |||||||||||||||||
| Other assets | 88,084 | 86,969 | |||||||||||||||||
| Total assets | $ | 1,498,756 | $ | 1,343,759 | |||||||||||||||
| Liabilities | |||||||||||||||||||
| Savings, MMDA and interest bearing demand | $ | 740,677 | $ | 3,223 | 1.75 | % | $ | 637,561 | $ | 2,776 | 1.75 | % | |||||||
| Time deposits | 276,376 | 2,374 | 3.44 | % | 257,359 | 2,432 | 3.80 | % | |||||||||||
| Repurchase agreements & other | 10,518 | 21 | 0.80 | % | 12,050 | 36 | 1.20 | % | |||||||||||
| Advances from Federal Home Loan Bank | 35,000 | 366 | 4.19 | % | 35,374 | 370 | 4.21 | % | |||||||||||
| Trust preferred securities | 10,310 | 161 | 6.26 | % | 10,310 | 187 | 7.29 | % | |||||||||||
| Subordinated debt | 19,707 | 194 | 3.95 | % | 19,658 | 194 | 3.97 | % | |||||||||||
| Total interest bearing liabilities | 1,092,588 | 6,339 | 2.33 | % | 972,312 | 5,995 | 2.48 | % | |||||||||||
| Non interest bearing demand | 253,745 | - | 225,447 | - | |||||||||||||||
| Total funding | 1,346,333 | 1.89 | % | 1,197,759 | 2.01 | % | |||||||||||||
| Other liabilities | 20,070 | 22,578 | |||||||||||||||||
| Total liabilities | 1,366,403 | 1,220,337 | |||||||||||||||||
| Equity | 132,353 | 122,510 | |||||||||||||||||
| Total liabilities and equity | $ | 1,498,756 | $ | 1,342,847 | |||||||||||||||
| Net interest income | $ | 12,128 | $ | 9,659 | |||||||||||||||
| Net interest income as a percent of average interest-earning assets - GAAP measure | 3.48 | % | 3.12 | % | |||||||||||||||
| Net interest income as a percent of average interest-earning assets - non GAAP | 3.49 | % | 3.13 | % | |||||||||||||||
| - Computed on a fully tax equivalent (FTE) basis | |||||||||||||||||||
| Six Months Ended Jun. 30, 2025 | Six Months Ended Jun. 30, 2024 | ||||||||||||||||||
| Average | Average | Average | Average | ||||||||||||||||
| Assets | Balance | Interest | Rate | Balance | Interest | Rate | |||||||||||||
| Taxable securities | $ | 200,968 | $ | 2,302 | 2.31 | % | $ | 214,418 | $ | 2,500 | 2.34 | % | |||||||
| Overnight Cash | $ | 86,379 | 1,930 | 4.51 | % | 25,744 | 703 | 5.49 | % | ||||||||||
| Nontaxable securities | 5,120 | 73 | 2.88 | % | 4,760 | 74 | 3.13 | % | |||||||||||
| Loans, net | 1,085,313 | 31,534 | 5.86 | % | 999,164 | 27,677 | 5.57 | % | |||||||||||
| Total earning assets | 1,377,780 | 35,839 | 5.25 | % | 1,244,086 | 30,954 | 5.00 | % | |||||||||||
| Cash on hand | 4,796 | 4,479 | |||||||||||||||||
| Allowance for loan losses | (15,361 | ) | (15,739 | ) | |||||||||||||||
| Premises and equipment | 21,403 | 21,130 | |||||||||||||||||
| Other assets | 90,995 | 80,418 | |||||||||||||||||
| Total assets | $ | 1,479,613 | $ | 1,334,374 | |||||||||||||||
| Liabilities | |||||||||||||||||||
| Savings, MMDA and interest bearing demand | $ | 725,729 | $ | 6,182 | 1.72 | % | $ | 621,950 | $ | 5,301 | 1.71 | % | |||||||
| Time deposits | 276,315 | 4,767 | 3.48 | % | 257,975 | 4,997 | 3.90 | % | |||||||||||
| Repurchase agreements & Other | 11,805 | 45 | 0.77 | % | 14,021 | 70 | 1.00 | % | |||||||||||
| Advances from Federal Home Loan Bank | 35,022 | 728 | 4.19 | % | 43,202 | 983 | 4.58 | % | |||||||||||
| Trust preferred securities | 19,701 | 321 | 3.29 | % | 10,310 | 375 | 7.31 | % | |||||||||||
| Subordinated debt | 19,665 | 389 | 3.99 | % | 19,652 | 389 | 3.98 | % | |||||||||||
| Total interest bearing liabilities | 1,088,237 | 12,432 | 2.30 | % | 967,110 | 12,115 | 2.52 | % | |||||||||||
| Non interest bearing demand | 247,841 | 1.88 | % | 226,708 | 2.04 | % | |||||||||||||
| Total funding | 1,336,078 | 1,193,818 | |||||||||||||||||
| Other liabilities | 11,686 | 21,952 | |||||||||||||||||
| Total liabilities | 1,347,764 | 1,215,770 | |||||||||||||||||
| Equity | 131,849 | 121,474 | |||||||||||||||||
| Total liabilities and equity | $ | 1,479,613 | $ | 1,337,244 | |||||||||||||||
| Net interest income | $ | 23,407 | $ | 18,839 | |||||||||||||||
| Net interest income as a percent of average interest-earning assets - GAAP measure | 3.43 | % | 3.05 | % | |||||||||||||||
| Net interest income as a percent of average interest-earning assets - non GAAP | 3.44 | % | 3.06 | % | |||||||||||||||
| - Computed on a fully tax equivalent (FTE) basis | |||||||||||||||||||
| Non-GAAP reconciliation | Three Months Ended | Six Months Ended | |||||||||||||||
| ($ in thousands, except per share & ratios) | Jun. 30, 2025 | Jun. 30, 2024 | Jun. 30, 2025 | Jun. 30, 2024 | |||||||||||||
| Total Operating Revenue | $ | 17,176 | $ | 14,045 | $ | 32,562 | $ | 27,176 | |||||||||
| Adjustment to (deduct)/add OMSR recapture/impairment * | (159 | ) | (38 | ) | (170 | ) | (219 | ) | |||||||||
| Adjusted Total Operating Revenue | 17,017 | 14,007 | 32,392 | 26,957 | |||||||||||||
| Total Operating Expense | $ | 11,852 | $ | 10,671 | $ | 24,262 | $ | 20,953 | |||||||||
| Adjustment for merger expenses | - | - | (726 | ) | - | ||||||||||||
| Adjusted Total Operating Expense | 11,852 | 10,671 | 23,536 | 20,953 | |||||||||||||
| Income before Income Taxes | 4,727 | 3,374 | 7,316 | 6,223 | |||||||||||||
| Adjustment for OMSR*/Merger Expenses | (159 | ) | (38 | ) | 556 | (219 | ) | ||||||||||
| Adjusted Income before Income Taxes | 4,568 | 3,336 | 7,872 | 6,004 | |||||||||||||
| Provision for Income Taxes | 875 | 281 | 1,306 | 742 | |||||||||||||
| Adjustment for OMSR/Merger Expenses ** | (33 | ) | (8 | ) | 117 | (46 | ) | ||||||||||
| Adjusted Provision for Income Taxes | 842 | 273 | 1,423 | 696 | |||||||||||||
| Net Income | 3,852 | 3,113 | 6,010 | 5,481 | |||||||||||||
| Adjustment for OMSR*/Merger Expenses | (126 | ) | (30 | ) | 439 | (173 | ) | ||||||||||
| Adjusted Net Income | 3,726 | 3,083 | 6,449 | 5,308 | |||||||||||||
| Diluted Earnings per Share | 0.60 | 0.47 | 0.93 | 0.82 | |||||||||||||
| Adjustment for OMSR*/Merger Expenses | (0.02 | ) | (0.01 | ) | 0.07 | (0.03 | ) | ||||||||||
| Adjusted Diluted Earnings per Share | $ | 0.58 | $ | 0.46 | $ | 0.99 | $ | 0.79 | |||||||||
| Return on Average Assets | 1.03 | % | 0.93 | % | 0.82 | % | 0.82 | % | |||||||||
| Adjustment for OMSR*/Merger Expenses | -0.03 | % | -0.01 | % | 0.03 | % | -0.01 | % | |||||||||
| Adjusted Return on Average Assets | 1.00 | % | 0.92 | % | 0.85 | % | 0.81 | % | |||||||||
| *valuation adjustment to the Company's mortgage servicing rights | |||||||||||||||||
| **tax effect is calculated using a 21% statutory federal corporate income tax rate | |||||||||||||||||
