LCNB Corp. Reports Financial Results for the Three Months Ended March 31, 2026

LCNB Corp. Reports Financial Results for the Three Months Ended March 31, 2026 LEBANON, Ohio--( BUSINESS WIRE)--LCNB Corp. ("LCNB") (NASDAQ: LCNB) today announced financial results for the three months ended March 31, 2026.

Commenting on the financial results, LCNB Chief Executive Officer, Eric Meilstrup said, “LCNB achieved another solid quarter of higher core profitability and book value growth, highlighted by continued net interest margin expansion, disciplined expense management, and solid year-over-year growth at LCNB Wealth Management. As a result, pre-tax, pre-provision for credit losses income increased 34.1% year-over-year, underscoring the strength and consistency of our core earnings profile.”

Mr. Meilstrup continued, “Provision expense increased during the quarter, primarily driven by higher provisions for two participated loans within the logistics industry. In addition, given increased macroeconomic uncertainty, we have maintained a higher allowance for credit losses, which totaled $13.4 million at March 31, 2026, compared to $12.1 million a year ago, despite a reduction in nonperforming loans. The provision for credit losses during the first quarter reduced after-tax earnings by $0.13 per diluted share. Certain segments of the logistics industry have experienced increased pressure across the broader economic environment, though LCNB’s exposure to that industry remains limited. Overall, our asset‑quality metrics compare favorably to peer, and nonperforming loans declined to 0.20% of total loans at March 31, 2026, from 0.28% a year earlier.”

“While the economic environment has become more fluid, we believe 2026 will be another good year of high profitability. The mergers completed in recent years have delivered meaningful benefits to shareholders, continue to execute in line with expectations, and remain on track to generate tangible book value accretion. We expect LCNB Wealth Management to continue benefiting from organic growth and cross‑selling opportunities across our markets, and we remain focused on disciplined growth and investing in our physical and digital infrastructure to enhance the customer experience and support long‑term value creation,” concluded Mr. Meilstrup.

Income Statement

Net income for the 2026 first quarter was $4.4 million, compared to $4.6 million for the same period in 2025. Earnings per basic and diluted share for the 2026 first quarter were $0.31, compared to $0.33 for the same period in 2025.

Net interest income for the three months ended March 31, 2026 was a record $18.8 million, compared to $16.3 million for the same period in 2025. The year-over-year growth in net interest income was primarily due to an increase in the average yield on earnings assets, a reduction in interest-bearing liabilities, and a decrease in the average rate paid on interest-bearing liabilities. For the 2026 first quarter, LCNB’s tax equivalent net interest margin was 3.83%, compared to 3.25% for the same period in 2025.

Non-interest income for the three months ended March 31, 2026 was $4.7 million, compared to $5.2 million for the same period in 2025. The 10.1% year-over-year decrease was primarily due to a $0.6 million reduction in net gains from sales of loans and lower service charges and fees on deposit accounts, partially offset by $0.4 million of higher fiduciary income.

Non-interest expense for the three months ended March 31, 2026 was $15.9 million, compared to $15.8 million for the same period in 2025. The $0.1 million increase was primarily due to higher salaries and employee benefits, computer maintenance and supplies, and contracted services expenses, partially offset by lower net FDIC insurance premiums and other non-interest expenses.

Capital Allocation

For the three months ended March 31, 2026, LCNB paid $0.22 per share in dividends.

Balance Sheet

Total assets at March 31, 2026 decreased 2.8%, to $2.24 billion, from $2.30 billion at March 31, 2025. Net loans at March 31, 2026 were $1.68 billion, a decrease of 1.2%, or $21.2 million, from March 31, 2025. During the quarter ended March 31, 2026, the Company originated $87.8 million in loans and sold $10.8 million into the secondary market, which contributed $200,000 of gains to first quarter non-interest income, compared to $84.9 million in loans originated and $21.5 million of loans sold into the secondary market last year, which generated $841,000 of gains and benefited first quarter 2025 non-interest income.

Loans held for sale totaled $3.4 million at March 31, 2026, compared to $6.1 million at March 31, 2025, and were primarily composed of loans scheduled to be sold to an investor.

Total deposits at March 31, 2026 decreased 4.3%, to $1.84 billion, compared to $1.92 billion at March 31, 2025. The change includes modest growth in noninterest‑bearing demand deposit accounts, and the decline in interest‑bearing balances reflects the strategic runoff of higher‑cost certificates of deposit and IRA balances as part of the Company’s funding optimization strategy.

At March 31, 2026, shareholders' equity was $275.8 million, compared to $258.7 million at March 31, 2025. On a per-share basis, shareholders' equity at March 31, 2026 was $19.36, compared to $18.26 at March 31, 2025.

At March 31, 2026, tangible shareholders' equity was $178.8 million, compared to $160.6 million at March 31, 2025. The 11.3% year-over-year increase in tangible shareholders' equity was primarily from higher retained earnings and an improvement in the unrealized losses on the available-for-sale investment portfolio. On a per-share basis, tangible shareholders' equity was $12.55 at March 31, 2026, compared to $11.34 at March 31, 2025.

Assets Under Management

Total assets managed at March 31, 2026, were $4.18 billion, compared to $4.16 billion at March 31, 2025. The year-over-year increase in total assets managed was due to an increase in the fair value of trust and investments and investment services partially offset by lower LCNB total assets, mortgage loans serviced and cash management. Trust and investments and brokerage accounts increased due to a higher number of new LCNB Wealth Management customer accounts and an increase in the fair value of managed assets.

Asset Quality

For the 2026 first quarter, LCNB recorded a provision for credit losses of $2.3 million, compared to a provision for credit losses of $197,000 for the 2025 first quarter.

Net charge-offs for the 2026 first quarter were $2.7 million, or 0.65% of average loans, compared to net charge-offs of $39,000, or 0.01% of average loans, annualized, for the same period in 2025.

Net charge‑offs during the first quarter of 2026 primarily reflected the resolution of two unrelated credits within the logistics sector, an industry that has experienced elevated stress in recent periods across the broader economy. One of these loans, which carried a specific reserve of approximately $1.4 million at December 31, 2025, was charged off during the quarter with no additional impact to earnings, consistent with the Company’s prior disclosures. In addition, the Company recognized a charge‑off of approximately $1.3 million related to a separate logistics‑sector borrower following adverse developments subsequent to year‑end.

While these charge‑offs occurred within the logistics sector, the Company’s overall exposure to that industry remains limited. Moreover, changes in the allowance for credit losses during the quarter were not solely attributable to logistics‑related borrowers, but also reflected increased reserves and specific impairments for certain commercial and industrial borrowers in other industries impacted by continued global trade uncertainty and geopolitical conditions.

Total nonperforming loans, which include nonaccrual loans and loans past due 90 days or more and still accruing interest, were $3.36 million, or 0.20% of total loans, at March 31, 2026, compared to $4.9 million, or 0.28% of total loans, at March 31, 2025. The year‑over‑year decrease in nonperforming loans was primarily attributable to the disposition of one commercial real estate loan. The nonperforming assets to total assets ratio was 0.15% at March 31, 2026, compared to 0.21% at March 31, 2025.

About LCNB Corp.

LCNB Corp. is a financial holding company headquartered in Lebanon, Ohio. Through its subsidiary, LCNB National Bank (the “Bank”), it serves customers and communities in Southwest and South-Central Ohio. A financial institution with a long tradition for building strong relationships with customers and communities, the Bank offers convenient banking locations in Butler, Clermont, Clinton, Fayette, Franklin, Hamilton, Montgomery, Preble, Ross, and Warren Counties, Ohio. The Bank continually strives to exceed customer expectations and provides an array of services for all personal and business banking needs including checking, savings, online banking, personal lending, business lending, agricultural lending, business support, deposit and treasury, investment services, trust and IRAs and stock purchases. LCNB Corp. common shares are traded on the NASDAQ Capital Market Exchange® under the symbol “LCNB.”

Learn more about LCNB Corp. at www.lcnb.com

Forward-Looking Statements

Certain statements made in this news release regarding LCNB’s financial condition, results of operations, plans, objectives, future performance and business, are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by the fact they are not historical facts and include words such as “anticipate”, “could”, “may”, “feel”, “expect”, “believe”, “plan”, and similar expressions. Please refer to LCNB’s Annual Report on Form 10-K for the year ended December 31, 2025, as well as its other filings with the SEC, for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements.

These forward-looking statements reflect management's current expectations based on all information available to management and its knowledge of LCNB’s business and operations. Additionally, LCNB’s financial condition, results of operations, plans, objectives, future performance and business are subject to risks and uncertainties that may cause actual results to differ materially. These factors include, but are not limited to:

the success, impact, and timing of the implementation of LCNB’s business strategies;

LCNB’s ability to integrate recent and future acquisitions may be unsuccessful or may be more difficult, time-consuming, or costly than expected;

LCNB may incur increased loan charge-offs in the future and the allowance for credit losses may be inadequate;

LCNB may face competitive loss of customers to both bank and nonbank financial institutions;

changes in the interest rate environment, either by interest rate increases or decreases, may have results on LCNB’s operations materially different from those anticipated by LCNB’s market risk management functions;

changes in general economic conditions, including the potential economic impacts of a prolonged U.S. government shutdown and increased competition could adversely affect LCNB’s operating results;

changes in or instability regarding regulations and government policies affecting bank holding companies and their subsidiaries, including changes in monetary policies, could negatively impact LCNB’s operating results;

LCNB may experience difficulties growing loan and deposit balances;

United States trade relations with foreign countries could negatively impact the financial condition of LCNB's customers, which could adversely affect LCNB's operating results and financial condition;

10.

global and/or geopolitical relations and/or conflicts could create financial market uncertainty and have negative impacts on commodities, currency, and stability, which could adversely affect LCNB's operating results and financial condition;

11.

difficulties with technology or data security breaches, including cyberattacks or widespread outages, could negatively affect LCNB's ability to conduct business and its relationships with customers, vendors, and others;

12.

adverse weather events and natural disasters and global and/or national epidemics could negatively affect LCNB’s customers given its concentrated geographic scope, which could impact LCNB’s operating results; and

13.

government intervention in the U.S. financial system, including the effects of legislative, tax, accounting, and regulatory actions and reforms, including, the Jumpstart Our Business Startups Act, the Consumer Financial Protection Bureau, the capital ratios of Basel III as adopted by the federal banking authorities, changes in deposit insurance premium levels, and any such future regulatory actions or reforms.

Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist shareholders and potential investors in understanding current and anticipated financial operations of LCNB and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. LCNB undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made.

LCNB Corp. and Subsidiaries

Financial Highlights

(Dollars in thousands, except per share amounts)

(Unaudited)

Three Months Ended

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Condensed Income Statement

Interest income

25,430

25,187

26,305

25,939

25,316

Interest expense

6,583

6,931

8,179

8,398

9,017

Net interest income

18,847

18,256

18,126

17,541

16,299

Provision for credit losses

2,339

1,510

211

197

Net interest income after provision for credit losses

16,508

16,746

17,915

17,523

16,102

Non-interest income

4,693

5,601

5,704

5,248

5,222

Non-interest expense

15,880

15,388

15,145

15,567

15,809

Income before income taxes

5,321

6,959

8,474

7,204

5,515

Provision for income taxes

877

1,303

1,538

1,285

906

Net income

4,444

5,656

6,936

5,919

4,609

Supplemental Income Statement Information

Accretion income on acquired loans

659

816

904

1,174

692

Amortization expenses on acquired interest-bearing liabilities

—

Tax-equivalent net interest income

18,886

18,297

18,169

17,584

16,338

Pre-provision, pre-tax net income

7,660

8,469

8,685

7,222

5,712

Per Share Data

Dividends per share

0.22

Basic earnings per common share

0.31

0.40

0.49

0.41

0.33

Diluted earnings per common share

0.31

0.40

0.49

0.41

0.33

Book value per share

19.36

19.30

19.02

18.59

18.26

Tangible book value per share

12.55

12.45

12.15

11.69

11.34

Weighted average common shares outstanding:

Basic

14,125,191

14,106,778

14,097,414

14,085,764

14,051,310

Diluted

14,125,191

14,106,778

14,097,414

14,085,764

14,051,310

Shares outstanding at period end

14,245,849

14,193,577

14,186,204

14,175,241

14,166,915

Selected Financial Ratios

Return on average assets

0.80

1.01

1.21

1.04

0.81

Return on average equity

6.52

8.22

10.33

9.09

7.33

Return on average tangible common equity

10.06

12.78

16.29

14.54

11.91

Dividend payout ratio

70.97

55.00

44.90

53.66

66.67

Net interest margin (tax equivalent)

3.83

3.69

3.57

3.47

3.25

Efficiency ratio (tax equivalent)

67.35

64.39

63.44

68.18

73.33

Selected Balance Sheet Items

Cash and cash equivalents

29,181

21,614

35,865

49,778

37,670

Debt and equity securities

276,913

280,565

292,604

302,935

305,644

Loans:

Commercial and industrial

100,477

104,013

107,925

110,528

112,580

Commercial, secured by real estate

1,090,718

1,100,203

1,083,748

1,110,875

1,110,276

Residential real estate

476,863

469,574

454,918

459,473

463,379

Consumer

15,834

16,928

17,748

18,452

19,030

Agricultural

14,561

15,666

15,262

14,413

13,161

Other, including deposit overdrafts

273

210

267

171

133

Deferred net origination fees

(1,052

)

(1,063

)

(840

)

(902

)

(929

)

Loans, gross

1,697,674

1,705,531

1,679,028

1,713,010

1,717,630

Less allowance for credit losses

13,372

13,704

12,170

12,108

12,124

Loans, net

1,684,302

1,691,827

1,666,858

1,700,902

1,705,506

Loans held for sale

3,438

1,718

4,018

6,026

6,098

Three Months Ended

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Selected Balance Sheet Items, continued

Allowance for Credit Losses on Loans:

Allowance for credit losses, beginning of period

13,704

12,170

12,108

12,124

12,001

Provision for credit losses on loans

2,398

1,520

231

162

Losses charged off

(2,766

)

(67

)

(193

)

(95

)

(53

)

Recoveries

Allowance for credit losses, end of period

13,372

13,704

12,170

12,108

12,124

Total earning assets

1,986,777

1,993,785

1,983,606

2,034,540

2,038,666

Goodwill

90,310

Core deposit intangibles

6,705

6,931

7,161

7,408

7,708

Mortgage servicing rights

2,188

2,340

2,519

2,698

2,908

Other non-earning assets

151,856

147,403

160,769

172,844

163,153

Total non-earning assets

251,059

246,984

260,759

273,260

264,079

Total assets

2,237,836

2,240,769

2,244,365

2,307,800

2,302,745

Total deposits

1,838,793

1,840,355

1,849,082

1,919,372

1,921,649

Long-term debt

104,133

104,428

104,717

105,000

104,637

Total shareholders’ equity

275,816

273,929

269,870

263,474

258,651

Equity to assets ratio

12.33

12.22

12.02

11.42

11.23

Loans to deposits ratio

92.33

92.67

90.80

89.25

89.38

Tangible common equity (TCE)

178,801

176,689

172,399

165,756

160,633

Tangible common assets (TCA)

2,140,821

2,143,529

2,146,894

2,210,082

2,204,727

TCE/TCA

8.35

8.24

8.03

7.50

7.29

Selected Average Balance Sheet Items

Cash and cash equivalents

35,116

29,395

38,466

34,256

36,125

Debt and equity securities

278,950

285,810

298,341

302,475

304,033

Loans, including loans held for sale

1,707,948

1,675,449

1,706,281

1,718,959

1,721,894

Less allowance for credit losses on loans

12,812

12,186

12,099

12,117

11,996

Net loans

1,695,136

1,663,263

1,694,182

1,706,842

1,709,898

Total earning assets

2,000,595

1,968,188

2,017,294

2,031,261

2,036,514

Goodwill

90,310

Core deposit intangibles

6,816

7,043

7,275

7,555

7,854

Mortgage servicing rights

2,340

2,520

2,699

2,908

3,099

Other non-earning assets

153,437

153,528

159,328

158,251

160,281

Total non-earning assets

252,903

253,401

259,612

259,024

261,544

Total assets

2,253,498

2,221,589

2,276,906

2,290,285

2,298,058

Total deposits

1,846,345

1,822,412

1,884,748

1,906,305

1,896,443

Short-term borrowings

4,795

—

Long-term debt

104,376

104,664

104,951

104,701

127,289

Total shareholders’ equity

276,362

272,856

266,489

261,193

255,120

Equity to assets ratio

12.26

12.28

11.70

11.40

11.10

Loans to deposits ratio

92.50

91.94

90.53

90.17

90.80

Asset Quality

Net charge-offs (recoveries)

2,730

(14

)

169

Other real estate owned

—

Non-accrual loans

3,227

1,794

1,793

4,500

4,710

Loans past due 90 days or more and still accruing

136

530

163

271

181

Total nonperforming loans

3,363

2,324

1,956

4,771

4,891

Net charge-offs to average loans

0.65

0.00

0.04

0.02

0.01

Allowance for credit losses on loans to total loans

0.79

0.80

0.72

0.71

Nonperforming loans to total loans

0.20

0.14

0.12

0.28

Nonperforming assets to total assets

0.15

0.10

0.09

0.21

Three Months Ended

3/31/2026

12/31/2025

9/30/2025

6/30/2025

3/31/2025

Assets Under Management

LCNB Corp. total assets

2,237,836

2,240,769

2,244,365

2,307,800

2,302,745

Trust and investments (fair value)

1,081,558

1,053,887

1,041,270

990,699

957,359

Mortgage loans serviced

325,133

333,518

341,548

348,003

354,593

Cash management

39,979

10,935

73,002

62,737

100,830

Investment services (fair value)

491,890

504,123

494,947

466,299

441,621

Total assets managed

4,176,396

4,143,232

4,195,132

4,175,538

4,157,148

Three Months Ended March 31,

2026

2025

Average

Interest

Average

Interest

Average

Outstanding

Earned/

Yield/

Outstanding

Earned/

Yield/

Balance

Paid

Rate

Balance

Paid

Rate

Loans (1)

1,707,948

23,433

5.56

1,721,894

23,181

5.46

Interest-bearing demand deposits

10,987

107

3.95

10,337

130

5.10

Interest-bearing time deposits

2,710

3.74

250

—

Federal Reserve Bank stock

6,405

5.95

6,405

6.02

Federal Home Loan Bank stock

20,710

392

7.68

20,710

469

9.18

Investment securities:

Equity securities

5,104

2.94

5,043

3.14

Debt securities, taxable

230,649

1,196

2.10

254,715

1,256

2.00

Debt securities, non-taxable (2)

16,082

185

4.67

17,160

185

4.37

Total earnings assets

2,000,595

25,469

5.16

2,036,514

25,355

5.05

Non-earning assets

265,726

273,545

Allowance for credit losses

(12,823

)

(12,001

)

Total assets

2,253,498

2,298,058

Interest-bearing demand and money market deposits

682,183

2,465

1.47

570,473

2,337

1.66

Savings deposits

356,622

207

0.24

365,876

195

0.22

IRA and time certificates

343,061

2,609

3.08

497,178

5,027

4.10

Short-term borrowings

4,795

3.89

5.63

Long-term debt

104,376

1,256

4.88

127,289

1,457

4.64

Total interest-bearing liabilities

1,491,037

6,583

1.79

1,560,888

9,017

2.34

Demand deposits

464,479

462,916

Other liabilities

21,620

19,134

Equity

276,362

255,120

Total liabilities and equity

2,253,498

2,298,058

Net interest rate spread (3)

3.37

2.71

Net interest income and net interest margin on a taxable-equivalent basis (4)

18,886

3.83

16,338

3.25

Ratio of interest-earning assets to interest-bearing liabilities

134.17

130.47

(1)

Includes non-accrual loans and loans held for sale

(2)

Income from tax-exempt securities is included in interest income on a taxable-equivalent basis. Interest income has been divided by a factor comprised of the complement of the incremental tax rate of 21%.

(3)

The net interest spread is the difference between the average rate on total interest-earning assets and interest-bearing liabilities.

(4)

The net interest margin is the taxable-equivalent net interest income divided by average interest-earning assets.

LCNB CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED BALANCE SHEETS

(Unaudited, dollars in thousands)

March 31, 2026

December 31, 2025

Unaudited

Audited

ASSETS:

Cash and due from banks

23,141

18,353

Interest-bearing demand deposits

6,040

3,261

Total cash and cash equivalents

29,181

21,614

Interest-bearing time deposits

2,712

2,710

Investment securities:

Equity securities with a readily determinable fair value, at fair value

1,422

1,433

Equity securities without a readily determinable fair value, at cost

3,666

Debt securities, available-for-sale, at fair value

228,750

232,271

Debt securities, held-to-maturity, at cost, net of allowance for credit losses of $10 and $11 at March 31, 2026 and December 31, 2025, respectively

15,960

16,080

Federal Reserve Bank stock, at cost

6,405

Federal Home Loan Bank stock, at cost

20,710

Loans held-for-sale

3,438

1,718

Loans, net of allowance for credit losses of $13,372 and $13,704 at March 31, 2026 and December 31, 2025, respectively

1,684,302

1,691,827

Premises and equipment, net

38,965

39,196

Operating lease right-of-use assets

6,388

6,475

Goodwill

90,310

Core deposit and other intangibles, net

8,893

9,271

Bank-owned life insurance

55,783

55,424

Interest receivable

8,312

7,968

Other assets, net

32,639

33,691

TOTAL ASSETS

2,237,836

2,240,769

LIABILITIES:

Deposits:

Noninterest-bearing

469,767

466,094

Interest-bearing

1,369,026

1,374,261

Total deposits

1,838,793

1,840,355

Long-term debt

104,133

104,428

Operating lease liabilities

6,758

6,877

Accrued interest and other liabilities

12,336

15,180

TOTAL LIABILITIES

1,962,020

1,966,840

COMMITMENTS AND CONTINGENT LIABILITIES

—

SHAREHOLDERS' EQUITY:

Preferred shares – no par value, authorized 1,000,000 shares, none outstanding

—

Common shares – no par value; authorized 19,000,000 shares; issued 17,462,306 and 17,409,085 shares at March 31, 2026 and December 31, 2025, respectively; outstanding 14,245,849 and 14,193,577 shares at March 31, 2026 and December 31, 2025, respectively

188,620

188,212

Retained earnings

153,250

151,938

Treasury shares at cost, 3,216,457 and 3,215,508 shares at March 31, 2026 and December 31, 2025, respectively

(56,087

)

(56,071

)

Accumulated other comprehensive loss, net of taxes

(9,967

)

(10,150

)

TOTAL SHAREHOLDERS' EQUITY

275,816

273,929

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

2,237,836

2,240,769

LCNB CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF INCOME

(Dollars in thousands, except per share data)

(Unaudited)

Three Months Ended

March 31,

2026

2025

INTEREST INCOME:

Interest and fees on loans

23,433

23,181

Dividends on equity securities:

With a readily determinable fair value

Without a readily determinable fair value

Interest on debt securities:

Taxable

1,196

1,256

Non-taxable

146

Other investments

618

694

TOTAL INTEREST INCOME

25,430

25,316

INTEREST EXPENSE:

Interest on deposits

5,281

7,559

Interest on short-term borrowings

Interest on long-term debt

1,256

1,457

TOTAL INTEREST EXPENSE

6,583

9,017

NET INTEREST INCOME

18,847

16,299

PROVISION FOR CREDIT LOSSES

2,339

197

NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES

16,508

16,102

NON-INTEREST INCOME:

Fiduciary income

2,539

2,164

Service charges and fees on deposit accounts

1,485

1,766

Bank-owned life insurance income

359

346

Net gains from sales of loans

200

841

Net other operating income

110

105

TOTAL NON-INTEREST INCOME

4,693

5,222

NON-INTEREST EXPENSE:

Salaries and employee benefits

9,467

9,172

Equipment expenses

392

382

Occupancy expense, net

1,021

1,010

State financial institutions tax

447

453

Marketing

294

315

Amortization of intangibles

225

297

FDIC insurance premiums, net

275

410

Computer maintenance and supplies

405

380

Contracted services

979

870

Other non-interest expense

2,375

2,520

TOTAL NON-INTEREST EXPENSE

15,880

15,809

INCOME BEFORE INCOME TAXES

5,321

5,515

PROVISION FOR INCOME TAXES

877

906

NET INCOME

4,444

4,609

Earnings per common share:

Basic

0.31

0.33

Diluted

0.31

0.33

Weighted average common shares outstanding:

Basic

14,125,191

14,051,310

Diluted

14,125,191

14,051,310