Farmers & Merchants Bancorp, Inc. (FMAO) Reports 2026 First-Quarter Financial Results

ARCHBOLD, Ohio, April 22, 2026 (GLOBE NEWSWIRE) -- Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO) today reported financial results for the 2026 first quarter ended March 31, 2026, on a consolidated basis.

2026 First-Quarter Financial and Operating Highlights
(at March 31, 2026, and on a year-over-year basis unless noted)

• 92 consecutive quarters of profitability
• Net income increased 37.8% to a first quarter record of $9.6 million, or $0.70 per basic and diluted share
• Strong profitability drives ROAA to 1.14%, compared to 0.85%
• Net charge-offs to average loans of 0.01%
• Tier 1 leverage ratio was 9.02%
• Cost of interest-bearing liabilities improved to 2.54%, from 2.76%
• Net interest margin increased by 39 basis points to 3.42%
• Efficiency ratio improved to 60.08%, compared to 66.79%
• First quarter dividend per share increased 4.0% to $0.92 annualized
  
  

Lars B. Eller, President and Chief Executive Officer, stated, "We are off to an outstanding start in 2026, delivering 37.8% year-over-year earnings growth driven by a 39-basis point expansion in net interest margin, strong levels of noninterest income, and solid balance sheet management. Our ability to generate this level of growth in profitability while maintaining excellent credit quality and disciplined expense management underscores the strength of our core franchise. We are seeing meaningful operating leverage across the business, and believe this momentum positions us well for continued earnings expansion and long-term shareholder value creation."

Income Statement
Net income for the quarter ended March 31, 2026, was $9.6 million, compared to $7.0 million for the same period last year. Net income per basic and diluted share for the 2026 first quarter was $0.70, compared to $0.51 for the same period last year.

Deposits
At March 31, 2026, total deposits were $2.81 billion, an increase of 4.1%, or $109.4 million from March 31, 2025. For the three months ended March 31, 2026, F&M's cost of interest-bearing liabilities was 2.54%, compared to 2.76% in the same period last year.

"Deposit growth in the quarter demonstrates the early success of our new three-year, growth-oriented strategic plan, including our renewed focus on strengthening core deposit generation and expanding our treasury management and retail offerings. In addition, asset quality within the loan portfolio remains strong, with low levels of nonperforming assets, historically low charge-offs, and continued stability across our markets. We successfully resolved a number of watch list credits during the quarter, reflecting the effectiveness of our proactive credit management team. Importantly, underlying loan demand remains strong, with approximately $60 million in approved loans within our pipeline, providing a solid foundation for continued portfolio growth. These trends reflect our local decision-making, disciplined underwriting and proactive risk management practices," continued Mr. Eller.

Loan Portfolio and Asset Quality

Total loans, net at March 31, 2026, increased 3.9%, or by $100.7 million to $2.68 billion, compared to $2.58 billion at March 31, 2025. The year-over-year increase was driven primarily by higher consumer real estate, commercial and industrial, and agricultural loans, partially offset by lower commercial real estate, agricultural real estate, and consumer loans.

F&M continues to closely monitor its loan portfolio with a particular emphasis on higher risk sectors. Nonperforming loans continue to normalize on a quarter-over-quarter basis and were $11.1 million, or 0.42% of total loans at March 31, 2026, compared to $11.3 million, or 0.42% of total loans at December 31, 2025, and $4.5 million, or 0.17% of total loans at March 31, 2025.

F&M maintains a well-balanced, diverse and high performing CRE portfolio. CRE loans represented 49.0% of the Company's total loan portfolio at March 31, 2026. F&M's CRE portfolio included the following categories at March 31, 2026 ^(*)-

CRE Category		Dollar Balance			Percent of CRE Portfolio		Percent of Total Loan Portfolio
Multi-family		-	241,208		18.4%		9.0%
Industrial		233,030			17.7%		8.7%
Retail		224,629			17.1%		8.4%
Hotels		163,217			12.4%		6.1%
Office		133,398			10.1%		4.9%
Gas Stations		75,874			5.8%		2.8%
Food Service		51,638			3.9%		1.9%
Development		34,204			2.6%		1.3%
Auto Dealers		26,819			2.0%		1.0%
Senior Living		21,382			1.6%		0.8%
Other		110,150			8.4%		4.1%
Total CRE		-	1,315,549		100.0%		49.0%

* Numbers have been rounded; totals may not foot due to rounding; and dollar amounts in thousands.

At March 31, 2026, the Company's total allowance for credit losses to total loans was 1.08%, compared to 1.07% at March 31, 2025.

Mr. Eller concluded, "We have built a strong and scalable platform that positions F&M to deliver consistent performance while continuing to provide local banking solutions to the individuals and businesses we serve across Ohio, Indiana, and Michigan communities. This is an exciting time as we execute on our new three-year strategic plan, which is designed to build on our momentum and take F&M to the next level of growth, profitability, and long-term value creation."

Stockholders' Equity and Dividends
Total stockholders' equity increased 9.1% to $375.9 million, or $27.30 per share at March 31, 2026, from $344.6 million, or $25.12 per share at March 31, 2025. The Company had a Tier 1 leverage ratio of 9.02% at March 31, 2026, compared to 8.44% at March 31, 2025.

Tangible stockholders' equity increased to $285.9 million at March 31, 2026, compared to $252.9 million at March 31, 2025. On a per share basis, tangible stockholders' equity at March 31, 2026, was $20.76 per share, compared to $18.44 per share at March 31, 2025. Tangible stockholders' equity and tangible book value per share are non-GAAP financial measures; see "Use of Non-GAAP Financial Measures."

F&M is committed to returning capital to shareholders and has increased the annual cash dividend for 31 consecutive years. For the quarter ended March 31, 2026, the Company declared cash dividends of $0.23 per share, representing a 4.0% increase over the same period last year.

About Farmers & Merchants Bancorp, Inc.
Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO) is a financial holding company headquartered in Archbold, Ohio, and the parent company of The Farmers & Merchants State Bank.

About Farmers & Merchants State Bank:
F&M Bank is a local independent community bank that has been serving its communities since 1897. F&M Bank provides commercial banking, retail banking and other financial services. Our locations are in Butler, Champaign, Fulton, Defiance, Hancock, Henry, Lucas, Shelby, Williams, and Wood counties in Ohio. In Northeast Indiana, we have offices located in Adams, Allen, DeKalb, Jay, Steuben and Wells counties. The Michigan footprint includes Oakland County, and we have Loan Production Offices in Muncie, Indiana; and Perrysburg and Bryan, Ohio.

Use of Non-GAAP Financial Measures
This release contains certain non-GAAP financial measures, including tangible stockholders' equity and tangible book value per share. Management believes these measures facilitate period-to-period comparisons of the Company's performance and provide useful supplemental information to investors; however, they should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP.

Basis of Presentation
The financial information in this release is preliminary, based on management's current expectations, and is subject to change pending completion of customary quarterly closing processes and review. Unless otherwise indicated, all figures are presented on a consolidated basis and comparisons are to the same period of the prior year. Averages may be annualized. Totals may not foot due to rounding.

Safe Harbor Statement
Farmers & Merchants Bancorp, Inc. ("F&M") wishes to take advantage of the Safe Harbor provisions included in the Private Securities Litigation Reform Act of 1995. Statements by F&M, including management's expectations and comments, may not be based on historical facts and are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "plan," "seek," "estimate," "project," "target," "goal," "will," "would," and similar expressions. Actual results could vary materially depending on risks and uncertainties inherent in general and local banking conditions, competitive factors specific to markets in which F&M and its subsidiaries operate, future interest rate levels, legislative and regulatory decisions, capital market conditions, deposit flows and pricing, liquidity and access to wholesale funding, interest rate and asset-liability management, credit quality (including commercial real estate exposures), collateral values, inflation and macroeconomic conditions, changes in laws and regulations (including capital and liquidity requirements and the implementation of "Basel III Endgame"), FDIC assessments, stress testing and supervisory expectations, cybersecurity and third-party/vendor risks, competition and technological change, geopolitical events, severe weather and natural disasters, agricultural sector conditions, the accuracy of CECL estimates and other accounting judgments, capital and dividend restrictions, and other risks described in F&M's filings with the SEC. F&M undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. For more details, please refer to F&M's SEC filing, including its most recent Annual Report on Form 10-K and quarterly reports on Form 10-Q. Such filings can be viewed at the SEC's website, www.sec.gov or through F&M's website www.fm.bank

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME & COMPREHENSIVE INCOME
(Unaudited) (in thousands of dollars, except per share data)
			Three Months Ended
			March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025			March 31, 2025
Interest Income
Loans, including fees			-	39,827			-	40,999			-	41,013			-	39,530		-	37,072
Debt securities:
U.S. Treasury and government agencies				2,305				2,259				2,224				2,231			2,097
Municipalities				349				362				366				369			382
Dividends				245				250				309				311			338
Federal funds sold and other				572				696				572				1,051			1,113
Total interest income				43,298				44,566				44,484				43,492			41,002
Interest Expense
Deposits				13,249				14,318				15,060				14,813			13,988
Federal funds purchased and securities sold under agreements to repurchase				145				226				273				272			271
Borrowed funds				2,176				1,966				1,966				2,411			2,550
Subordinated notes				284				285				284				285			284
Total interest expense				15,854				16,795				17,583				17,781			17,093
Net Interest Income - Before Provision for Credit Losses				27,444				27,771				26,901				25,711			23,909
Provision for Credit Losses - Loans				302				567				557				661			811
Provision for (Recovery of) Credit Losses - Off Balance Sheet Exposures				6				(1	-			(272	-			27			(260	-
Net Interest Income After Provision for Credit Losses				27,136				27,205				26,616				25,023			23,358
Noninterest Income
Customer service fees				483				337				370				330			381
Other service charges and fees				1,283				1,311				1,349				1,206			1,124
Interchange income				1,513				1,275				1,273				1,259			1,421
Loan servicing income				838				814				674				629			762
Net gain on sale of loans				575				306				444				257			284
Increase in cash surrender value of bank owned life insurance				655				640				247				239			244
Gain (loss) on sale of other assets owned				-				(2	-			-				15			(54	-
Loss on sale of available-for-sale securities				(347	-			-				-				-			-
Total noninterest income				5,000				4,681				4,357				3,935			4,162
Noninterest Expense
Salaries and wages				8,267				8,037				8,108				7,567			7,878
Employee benefits				2,379				2,386				2,273				2,265			2,404
Net occupancy expense				1,169				1,052				1,104				1,075			1,199
Furniture and equipment				1,566				1,352				1,532				1,414			1,278
Data processing				994				964				1,109				1,057			557
Franchise taxes				400				397				397				397			397
ATM expense				576				676				665				761			491
Advertising				472				666				674				356			503
FDIC assessment				396				377				428				448			465
Servicing rights amortization - net				523				637				586				234			127
Loan expense				309				292				362				328			228
Consulting fees				254				182				242				494			745
Professional fees				500				352				516				502			559
Intangible asset amortization				305				446				445				444			445
Other general and administrative				1,691				1,237				1,298				1,918			1,484
Total noninterest expense				19,801				19,053				19,739				19,260			18,760
Income Before Income Taxes				12,335				12,833				11,234				9,698			8,760
Income Taxes				2,757				3,040				2,380				1,988			1,808
Net Income				9,578				9,793				8,854				7,710			6,952
Other Comprehensive Income (Loss) (Net of Tax):
Net unrealized gain (loss) on available-for-sale securities				(2,420	-			2,657				6,610				1,149			6,464
Reclassification adjustment for realized loss on sale of available-for-sale securities				347				-				-				-			-
Net unrealized gain (loss) on available-for-sale securities				(2,073	-			2,657				6,610				1,149			6,464
Tax expense (benefit)				(435	-			558				1,388				241			1,358
Other comprehensive income (loss)				(1,638	-			2,099				5,222				908			5,106
Comprehensive Income			-	7,940			-	11,892			-	14,076			-	8,618		-	12,058
Basic Earnings Per Share			-	0.70			-	0.71			-	0.64			-	0.56		-	0.51
Diluted Earnings Per Share			-	0.70			-	0.71			-	0.64			-	0.56		-	0.51
Dividends Declared			-	0.23000			-	0.23000			-	0.22750			-	0.22125		-	0.22125

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited) (in thousands of dollars, except share data)
			March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
			(Unaudited)								(Unaudited)				(Unaudited)				(Unaudited)
Assets
Cash and due from banks			-	172,847			-	97,249			-	116,448			-	87,596			-	172,612
Federal funds sold				623				469				582				635				425
	Total cash and cash equivalents			173,470				97,718				117,030				88,231				173,037
Interest-bearing time deposits				1,253				1,498				1,498				1,992				1,992
Securities - available-for-sale				429,623				422,072				422,773				431,102				438,568
Other securities, at cost				12,672				13,032				11,509				13,994				14,062
Loans held for sale				5,579				3,934				3,003				6,359				2,331
Loans, net of allowance for credit losses				2,654,135				2,685,990				2,632,668				2,599,917				2,555,552
Premises and equipment				31,534				31,864				32,321				32,885				33,163
Goodwill				86,358				86,358				86,358				86,358				86,358
Loan servicing rights				4,972				5,175				5,537				5,810				5,805
Other real estate owned				319
Bank owned life insurance				45,407				47,410				35,602				35,355				35,116
Other assets				40,247				39,331				42,453				43,760				42,802
Total Assets			-	3,485,569			-	3,434,382			-	3,390,752			-	3,345,763			-	3,388,786
	Liabilities and Stockholders' Equity
Liabilities
Deposits
	Noninterest-bearing		-	520,348			-	527,327			-	500,742			-	497,804			-	502,318
	Interest-bearing
	NOW accounts			910,723				876,151				920,099				899,602				874,881
	Savings			753,289				729,472				713,391				691,468				696,635
	Time			625,302				597,785				617,679				621,455				626,450
	Total deposits			2,809,662				2,730,735				2,751,911				2,710,329				2,700,284
Federal funds purchased and securities
sold under agreements to repurchase				14,762				37,718				22,718				27,562				27,258
Federal Home Loan Bank (FHLB) advances				218,987				227,377				187,913				188,445				245,474
Subordinated notes, net of unamortized issuance costs				34,962				34,933				34,904				34,875				34,846
Dividend payable				3,128				3,125				3,091				3,000				2,997
Accrued expenses and other liabilities				28,120				29,632				28,435				30,760				33,326
	Total liabilities			3,109,621				3,063,520				3,028,972				2,994,971				3,044,185
Commitments and Contingencies
Stockholders' Equity
Common stock - No par value authorized 40,000,000 shares 3/31/26
and 12/31/25; issued 14,564,425 shares 3/31/26 and 12/31/25;
outstanding 13,768,667 shares 3/31/26 and 13,748,074 shares 12/31/25				135,270				135,531				135,170				135,805				135,407
Treasury stock - 795,758 shares 3/31/26 and 816,351 shares 12/31/25				(10,403	-			(10,636	-			(10,584	-			(10,674	-			(10,768	-
Retained earnings				264,607				257,855				251,181				244,870				240,079
Accumulated other comprehensive loss				(13,526	-			(11,888	-			(13,987	-			(19,209	-			(20,117	-
	Total stockholders' equity			375,948				370,862				361,780				350,792				344,601
Total Liabilities and Stockholders' Equity			-	3,485,569			-	3,434,382			-	3,390,752			-	3,345,763			-	3,388,786

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
SELECT FINANCIAL DATA
		For the Three Months Ended
Selected financial data		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
Return on average assets			1.14	-			1.14	-			1.05	-			0.92	-			0.85	-
Return on average equity			10.31	-			10.55	-			9.83	-			8.88	-			8.31	-
Yield on earning assets			5.38	-			5.55	-			5.62	-			5.45	-			5.19	-
Cost of interest-bearing liabilities			2.54	-			2.69	-			2.83	-			2.83	-			2.76	-
Net interest spread			2.84	-			2.86	-			2.79	-			2.62	-			2.43	-
Net interest margin			3.42	-			3.46	-			3.40	-			3.22	-			3.03	-
Efficiency ratio			60.08	-			58.38	-			63.11	-			64.93	-			66.79	-
Dividend payout ratio			32.62	-			31.90	-			34.90	-			38.91	-			43.10	-
Tangible book value per share		-	20.76			-	20.40			-	19.71			-	18.91			-	18.44
Tier 1 leverage ratio			9.02	-			8.81	-			8.74	-			8.50	-			8.44	-
Average shares outstanding			13,754,684				13,749,420				13,733,858				13,720,339				13,706,003
Loans		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(Dollar amounts in thousands)
Commercial real estate		-	1,315,549			-	1,355,571			-	1,355,166			-	1,345,953			-	1,325,698
Agricultural real estate			215,846				217,034				222,145				221,004				215,898
Consumer real estate			534,987				526,439				522,416				523,781				523,383
Commercial and industrial			309,046				314,405				296,084				293,826				278,254
Agricultural			228,730				218,050				179,361				157,870				153,607
Consumer			55,576				58,838				60,469				59,348				60,115
Other			22,564				23,133				24,086				24,653				24,985
Less: Net deferred loan fees, costs and other(1)			(1,436	-			(1,511	-			(1,452	-			(1,488	-			(1,748	-
Total loans, net		-	2,680,862			-	2,711,959			-	2,658,275			-	2,624,947			-	2,580,192
Asset quality data		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(Dollar amounts in thousands)
Nonaccrual loans		-	11,070			-	11,256			-	5,155			-	3,745			-	4,492
90 day past due and accruing		-	-			-	-			-	-			-	-			-	-
Nonperforming loans		-	11,070			-	11,256			-	5,155			-	3,745			-	4,492
Other real estate owned		-	319			-	-			-	-			-	-			-	-
Nonperforming assets		-	11,389			-	11,256			-	5,155			-	3,745			-	4,492
Allowance for credit losses - loans		-	27,830			-	27,688			-	27,475			-	26,977			-	26,352
Allowance for credit losses - off balance sheet credit exposures			1,041				1,035				1,037				1,308				1,281
Total allowance for credit losses		-	28,871			-	28,723			-	28,512			-	28,285			-	27,633
Total allowance for credit losses/total loans			1.08	-			1.06	-			1.07	-			1.08	-			1.07	-
Net charge-offs:
Quarter-to-date		-	160			-	354			-	59			-	36			-	285
Year-to-date		-	160			-	734			-	380			-	321			-	285
Net charge-offs to average loans
Quarter-to-date			0.01	-			0.01	-			0.00	-			0.00	-			0.01	-
Year-to-date			0.01	-			0.03	-			0.01	-			0.01	-			0.01	-
Nonperforming loans/total loans			0.42	-			0.42	-			0.19	-			0.14	-			0.17	-
Allowance for credit losses/nonperforming loans			251.40	-			245.98	-			532.98	-			720.35	-			586.64	-
NPA coverage ratio			244.36	-			245.98	-			532.98	-			720.35	-			586.64	-
(1)Excludes carrying value adjustments of $1.1 million as of March 31, 2026, $1.7 million as of December 31, 2025, $1.9 million as of September 30, 2025, $1.9 million as of June 30, 2025 and $1.7 million as of March 31, 2025 related to interest rate swaps associated with fixed rate loans

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES
(in thousands of dollars, except percentages)
		For the Three Months Ended									For the Three Months Ended
		March 31, 2026									March 31, 2025
Interest Earning Assets:		Average Balance			Interest/Dividends			Annualized Yield/Rate			Average Balance			Interest/Dividends			Annualized Yield/Rate
Loans		-	2,699,645		-	39,827		5.90	-		-	2,578,531		-	37,072		5.75	-
Taxable investment securities			438,799			2,830		2.58	-			458,519			2,739		2.39	-
Tax-exempt investment securities			13,228			69		2.64	-			18,310			78		2.16	-
Fed funds sold & other			66,720			572		3.40	-			105,770			1,113		4.21	-
Total Interest Earning Assets			3,218,392		-	43,298		5.38	-			3,161,130		-	41,002		5.19	-
Nonearning Assets			192,648									166,630
Total Assets		-	3,411,040								-	3,327,760
Interest-Bearing Liabilities:
NOW accounts and savings deposits		-	1,625,117		-	8,531		2.10	-		-	1,543,665		-	8,564		2.22	-
Time deposits			602,375			4,718		3.13	-			627,498			5,424		3.46	-
Other borrowed money			215,937			2,176		4.03	-			245,734			2,550		4.15	-
Fed funds purchased & securities
sold under agreement to repurchase			17,285			145		3.36	-			27,480			271		3.94	-
Subordinated notes			34,943			284		3.25	-			34,828			284		3.26	-
Total Interest-Bearing Liabilities		-	2,495,657		-	15,854		2.54	-		-	2,479,205		-	17,093		2.76	-
Noninterest-Bearing Liabilities			538,460									509,190
Stockholders' Equity		-	376,923								-	339,365
Net Interest Income and Interest Rate Spread					-	27,444		2.84	-					-	23,909		2.43	-
Net Interest Margin								3.42	-								3.03	-
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES
(in thousands of dollars, except percentages)
		For the Three Months Ended March 31, 2026															For the Three Months Ended March 31, 2025
		As Reported					Excluding Acc/Amort					Difference					As Reported					Excluding Acc/Amort					Difference
		-		Yield			-		Yield			-		Yield			-		Yield			-		Yield			-		Yield
Interest Earning Assets:
Loans		-	39,827	5.90	-		-	39,447	5.85	-		-	380	0.05	-		-	37,072	5.75	-		-	36,468	5.66	-		-	604	0.09	-
Taxable investment securities			2,830	2.58	-			2,830	2.58	-			-	0.00	-			2,739	2.39	-			2,739	2.39	-			-	0.00	-
Tax-exempt investment securities			69	2.64	-			69	2.64	-			-	0.00	-			78	2.16	-			78	2.16	-			-	0.00	-
Fed funds sold & other			572	3.40	-			572	3.40	-			-	0.00	-			1,113	4.21	-			1,113	4.21	-			-	0.00	-
Total Interest Earning Assets			43,298	5.38	-			42,918	5.34	-			380	0.04	-			41,002	5.19	-			40,398	5.11	-			604	0.08	-
Interest-Bearing Liabilities:
NOW accounts and savings deposits		-	8,531	2.10	-		-	8,531	2.10	-		-	-	0.00	-		-	8,564	2.22	-		-	8,564	2.22	-		-	-	0.00	-
Time deposits			4,718	3.13	-			4,718	3.13	-			-	0.00	-			5,424	3.46	-			5,424	3.46	-			-	0.00	-
Other borrowed money			2,176	4.03	-			2,173	4.03	-			3	0.00	-			2,550	4.15	-			2,547	4.15	-			3	0.00	-
Federal funds purchased and
securities sold under agreement to
repurchase			145	3.36	-			145	3.36	-			-	0.00	-			271	3.94	-			271	3.94	-			-	0.00	-
Subordinated notes			284	3.25	-			284	3.25	-			-	0.00	-			284	3.26	-			284	3.26	-			-	0.00	-
Total Interest-Bearing Liabilities			15,854	2.54	-			15,851	2.54	-			3	0.00	-			17,093	2.76	-			17,090	2.76	-			3	-0.00	-
Interest/Dividend income/yield			43,298	5.38	-			42,918	5.34	-			380	0.04	-			41,002	5.19	-			40,398	5.11	-			604	0.08	-
Interest Expense / yield			15,854	2.54	-			15,851	2.54	-			3	0.00	-			17,093	2.76	-			17,090	2.76	-			3	-0.00	-
Net Interest Spread			27,444	2.84	-			27,067	2.80	-			377	0.04	-			23,909	2.43	-			23,308	2.35	-			601	0.08	-
Net Interest Margin				3.42	-				3.37	-				0.05	-				3.03	-				2.95	-				0.08	-

Company Contact:	Investor and Media Contact:
Lars B. Eller President and Chief Executive Officer Farmers & Merchants Bancorp, Inc. [phone] [e-mail]	Andrew M. Berger Managing Director SM Berger & Company, Inc. [phone] [e-mail]