8-K
CIVISTA BANCSHARES, INC. (CIVB)
UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of earliest event reported): July 24, 2025 |
|---|
Civista Bancshares, Inc.
(Exact name of Registrant as Specified in Its Charter)
| Ohio | 001-36192 | 34-1558688 |
|---|---|---|
| (State or Other Jurisdiction<br>of Incorporation) | (Commission File Number) | (IRS Employer<br>Identification No.) |
| 100 East Water Street | ||
| Sandusky, Ohio | 44870 | |
| (Address of Principal Executive Offices) | (Zip Code) | |
| Registrant’s Telephone Number, Including Area Code: (419) 625 - 4121 | ||
| --- |
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading<br>Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common shares, no par value | CIVB | The Nasdaq Stock Market LLC |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On July 24, 2025, Civista Bancshares, Inc. announced preliminary unaudited earnings for the three and six-month periods ended June 30, 2025. A copy of the press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference.
In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibit 99.1 Press release of Civista Bancshares, Inc. reporting financial results and earnings for the three and six-month period ended June 30, 2025
Exhibit 104 Cover Page Interactive File-the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Civista Bancshares, Inc. | |||
|---|---|---|---|
| Date: | July 24, 2025 | By: | /s/ Ian Whinnem |
| Ian Whinnem,<br>Executive Vice President & Chief Financial Officer |
EX-99.1
EXHIBIT 99.1
Civista Bancshares, Inc. Announces Second-Quarter 2025 Financial Results of $0.71 per Common Share, up 58% or $0.26 per Common Share from Second-Quarter 2024
Sandusky, Ohio, July 24, 2025 /PRNewswire/– Civista Bancshares, Inc. (NASDAQ:CIVB) (“Civista”) today reported net income of $11.0 million, or $0.71 per common share, for the quarter ended June 30, 2025.
- Net income of $11.0 million, a 56% increase or $3.9 million compared to $7.1 million for the second quarter 2024, and $10.2 million in the first quarter of 2025.
- Diluted earnings per common share of $0.71, for the second quarter of 2025, compared to $0.45 per diluted share, for the second quarter of 2024, and $0.66 per diluted share in the first quarter of 2025.
- Efficiency ratio of 64.5%, compared to 72.6% for the second quarter of 2024 and 64.9% for the first quarter of 2025.
- 232 basis points cost of funds for the second-quarter of 2025, 30 basis points lower than the 261 basis points cost of funds in the second quarter of 2024.
- The second-quarter included non-recurring items which positively impacted net income by approx. $0.9 million on a pre-tax basis, and $0.76 million on an after-tax basis.
CEO Commentary:
“Our strong second-quarter performance highlights continued momentum in net income and earnings per share,” said Dennis G. Shaffer, CEO and President of Civista. “Earnings per share rose to $0.71, up from $0.66 in Q1 and $0.45 a year ago, reflecting the success of our strategic initiatives and our focus on disciplined growth, customer relationships, and long-term shareholder value.”
“The announcement of our partnership with The Farmers Savings Bank marks an exciting step in expanding our presence in Northeast Ohio and reinforcing our foundation with a strong base of core deposits,” said Shaffer. “This, along with our successful $80.5 million capital raise earlier this month, positions us well for future growth.”
“We continue to maintain strong credit quality, which reflects the soundness of our underwriting and the strength of our customer relationships,” said Shaffer. “As demand for housing and construction financing grows, we remain focused on providing tailored financial solutions that support the evolving needs of the communities we serve.”
Results of Operations:
For the three-month periods ended June 30, 2025, March 31, 2025 and June 30, 2024 and the six-month periods ended June 30, 2025 and June 30, 2024.
Second-Quarter 2025 Highlights
- Diluted earnings per common share of $0.71, for the second quarter of 2025, compared to $0.45 per diluted share, for the second quarter of 2024, and $0.66 per diluted share in the first quarter of 2025.
- Net income of $11.0 million, an increase of 56% or $3.9 million compared to $7.1 million for the second quarter 2024, and $10.2 million in the first quarter of 2025.
- Net interest margin (tax equivalent) of 3.64%, compared to 3.09% for the second quarter of 2024.
- Net interest income of $34.8 million, up $7.1 million or 25.5% compared to the second quarter of 2024.
- 196 basis points cost of deposits for the second-quarter of 2025, down 4 basis points compared to the first-quarter of 2025, and 14 basis points lower than the 210 basis points in the second-quarter of 2024.
- 232-basis points cost of funds for the second-quarter of 2025, 30 basis points lower than the 262-basis points cost of funds in the second-quarter of 2024.
- Noninterest expense of $27.5 million, $0.9 million or 3.2% lower than the second quarter of 2024.
- Efficiency ratio of 64.5%, compared to 72.6% for the second quarter of 2024 and 64.9% for the first quarter of 2025.
- Total period end loan growth of $47.1 million from first quarter 2025.
- Return on Assets of 1.06%, compared to 0.72% for the second quarter of 2024.
- Return on Equity of 11.02%, compared to 7.77% for the second quarter of 2024.
- Allowance for credit losses on loans / total loans of 1.28%.
- Based on the June 30, 2025, market close share price of $23.20, the $0.17 second quarter dividend is equivalent to an annualized yield of 2.93% and a dividend payout ratio of 23.96%.
- The second-quarter included non-recurring items which positively impacted net income by approx. $0.9 million on a pre-tax basis, and $0.76 million on an after-tax basis.
Assets
Total assets at June 30, 2025, were $4.2 billion, an increase of $39.2 million, or 0.9% from March 31, 2025, and $87.4 million, or 2.1%, from December 31, 2024.
- Loan and lease balances increased $47.1 million, or 1.5% since March 31, 2025, and $69.9 million, or 2.3% since December 31, 2024.
- Commercial Real Estate continued to grow due to consistent demand in the non-owner and owner occupied categories.
- Residential Real Estate has grown primarily due to more home construction loans as we meet the demand for housing and construction financing by our customers and communities.
Deposits & Borrowings
Total deposits at June 30, 2025, were $3.2 billion, a decrease of $42.7 million, or 1.32% from March 31, 2025, and a decrease of $15.7 million, or 0.5%, from December 31, 2024.
- Noninterest-bearing demand deposits decreased $47.5 million from December 31, 2024, primarily due to a $51.9 million decrease in noninterest-bearing accounts related to commercial business deposits, partially offset by a $9.9 million increase in noninterest-bearing public funds.
- Interest-bearing demand deposits increased $13.5 million from December 31, 2024, primarily due to a $27.9 million increase in interest-bearing public funds, somewhat offset by a $6.4 million decrease in Jumbo now deposits.
- Savings and money markets decreased $26.3 million from December 31, 2024, primarily due to decreases of $8.3 million and $36.6 million in retail money market savings and ICS demand and money markets, respectively. This was partially offset by an increase of $20.1 million in business money market savings.
- Time deposits increased $90.7 million from December 31, 2024, primarily due to a $69.8 million increase in Jumbo certificates of deposit and a $29.0 million increase in retail time certificates, partially offset by a $5.5 million decrease in reciprocal deposits.
- Brokered deposits totaled $454.1 million at June 30, 2025, which included brokered certificate of deposits of $450.0 million and brokered money markets of $4.1 million. Brokered deposits decreased $46.1 million from December 31, 2024.
- FHLB overnight advances totaled $433.5 million on June 30, 2025, up $73.5 million from March 31, 2025, and $94.5 million from December 31, 2024.
- FHLB term advances totaled $1.1 million on June 30, 2025, down from $1.4 million March 31, 2025, and down from $1.5 million on December 31, 2024.
Net Interest Income and Net Interest Margin
Net interest income increased $7.1 million, or 25.5%, for the second quarter of 2025, compared to the same period last year. In the second quarter of 2025, net interest income was increased by $1.6 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
- Interest income increased $5.7 million for the second quarter of 2025, compared to the same period last year, attributed to average interest-earning assets increasing $224.8 million coupled with a 26-basis point increase in asset yield.
- Interest expense decreased $1.4 million for the second quarter of 2025, compared to the same period last year. This was due to a 107-basis point reduction in higher costing FHLB borrowings coupled with a 136-basis point reduction in time deposits mostly offset by $272.2 million average balance growth in total deposits, resulting in a net increase of $249.3 million in average interest-bearing liabilities when comparing the second quarter of 2025 to the same period last year.
- Net interest margin increased 55-basis points to 3.64% for the second quarter of 2025, compared to 3.09% for the same period last year.
Net interest income increased $11.5 million, or 20.4%, for the six months ended June 30, 2025, compared to the same period last year. For the six months ended June 30, 2025, net interest income was increased by $1.6 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
- Interest income increased $9.3 million for the six-months ended June 30, 2025, compared to the same period last year, attributed to average interest-earning assets increasing $237.1 million coupled with a 15-basis point increase in asset yield.
- Interest expense decreased $2.2 million for the six months ended June 30, 2025, compared to the same period last year. This was due to a 106-basis point reduction in higher costing FHLB borrowings coupled with a 125-basis point drop in time deposits, mostly offset by $262.5 million average balance growth in deposits, resulting in a net increase of $267.6 million in average interest-bearing liabilities when comparing the six-months ended June 30, 2025, to the same period last year.
- Net interest margin increased 41-basis points to 3.57% for the six months ended June 30, 2025, compared to 3.16% for the same period last year.
Credit
Provision for credit losses (including provision for unfunded commitments) decreased $0.7 million for the second quarter of 2025 to $1.0 million compared to $1.7 million for the same period last year, and decreased $0.6 million compared to $1.6 million in the first quarter of 2025.
Civista recorded net charge-offs of $1.0 million for the second quarter of 2025 compared to net charge-offs of $0.7 million for the same period of 2024, and $0.6 million in the first quarter of 2025.
The allowance for credit losses to loans ratio was 1.28% at June 30, 2025, compared to 1.30% at March 31, 2025, and 1.29% at December 31, 2024.
Non-performing assets at June 30, 2025, were $23.2 million, a decrease of $8.0 million or 25.7%, from March 31, 2025. The non-performing assets to assets ratio was 0.55% at June 30, 2025, and 0.75% at March 31, 2025. The decrease was primarily related to a loan pay-off occurring within the second quarter of 2025.
The allowance for credit losses to non-performing loans increased to 176.1% at June 30, 2025, from 120.8% at December 31, 2024.
Noninterest Income
Noninterest income totaled $6.6 million, a decrease of $3.8 million or 36.5%, when compared to the same period last year. In the second quarter of 2025, noninterest income was reduced by $1.0 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
- Net gain/(loss) on equity securities decreased $0.1 million for the second quarter of 2025, compared to the same period last year, resulting from market valuation adjustments.
- Lease revenue and residual income decreased $3.0 million for the second quarter of 2025 compared to the same period last year, mainly due to stronger lease originations in 2024 coupled with a one-time non-recurring adjustment aforementioned above.
- Other income decreased $0.6 million for the second quarter of 2025 compared to the same period last year, primarily related to lower fee revenue from CLF.
Noninterest income totaled $14.4 million, a decrease of $4.2 million or 22.5%, when compared to the same period last year. For the six months ended June 30, 2025, noninterest income was reduced by $1.0 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
- Net gain on sale of loans decreased $0.3 million for the six months ended June 30, 2025, compared to the same period last year, resulting from timing of selling loans.
- Lease revenue and residual income decreased $2.8 million for the six months ended June 30, 2025, compared to the same period last year, due to stronger lease originations in 2024 coupled with a one-time non-recurring adjustment aforementioned above.
- Other income decreased $1.3 million for the six month ended June 30, 2025, compared to the same period last year, primarily related to lower fee revenue from the leasing division.
Noninterest Expense
Noninterest expense totaled $27.5 million, a decrease of $0.9 million or 3.2%, when compared to the same period last year. In the second quarter of 2025, noninterest expense was reduced by $0.3 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
Compensation expense decreased $0.7 million for the second quarter of 2025 compared to the same period last year, primarily due to fewer employees and an increase in the deferral of salaries and wages related to the loan originations in the second quarter of 2025.
The quarter-to-date average number of full-time equivalent ("FTE") employees was 526 at June 30, 2025, compared with an average number of 537 for the same period in 2024.
Professional fees increased $0.5 million for the second quarter of 2025 compared to the same period last year, mainly due to utilizing consultants to assist in transitioning Civista Leasing and Finance Division to a new core processing system.
Equipment expense decreased $0.7 million for the second quarter of 2025 compared to
the same period last year, due to normal equipment depreciation as well as decreases in equipment expense related to operating lease contracts.
The efficiency ratio was 64.5% for the quarter ended June 30, 2025, compared to 72.6% for the same period last year. The change in the efficiency ratio is primarily due to a 3.2% decrease in noninterest expenses, a 25.5% increase in net interest income, partially offset by a 36.5% decrease in noninterest income.
Noninterest expense totaled $54.6 million, a decrease of $1.2 million or 2.2%, when compared to the same period last year. For the six months ended June 30, 2025, noninterest expense was reduced by $0.3 million from non-recurring adjustments resulting from the Civista Leasing and Finance Division core system conversion.
- Compensation expense decreased $2.1 million for the six months ended June 30, 2025 compared to the same period last year, primarily due to fewer employees, and an increase in the deferral of salaries and wages related to the loan originations as well as lower employee benefits costs in the first six months of 2025.
- The year-to-date average number of FTE employees was 523 at June 30, 2025, compared with an average number of 538 for the same period in 2024.
- Professional fees increased $1.5 million for the six months ended June 30, 2025, compared to the same period last year, mainly due to utilizing consultants to assist in transitioning Civista Leasing and Finance Division to a new core processing system.
- Equipment expense decreased $1.1 million for the six months ended June 30, 2025, compared to the same period last year, due to normal equipment depreciation as well as decreases in equipment expense related to operating lease contracts.
- The efficiency ratio was 64.7% for the six months ended June 30, 2025, compared to 72.4% for the same period last year. The change in the efficiency ratio is primarily due to a 2.2% decrease in noninterest expenses, a 20.4% increase in net interest income, partially offset by a 22.5% decrease in noninterest income.
Taxes
Civista’s effective income tax rate for the second quarter of 2025 was 14.6% compared to 12.6% for the same period last year, and 14.8% for the first quarter of 2025.
Civista’s effective income tax rate for the six months ended June 30, 2025, was 14.7% compared to 12.1% in the same period last year.
Capital
Total shareholders’ equity at June 30, 2025, totaled $404.1 million, an increase of $6.7 million from March 31, 2025, and $15.6 million from December 31, 2024. This resulted from an increase of $15.9 million in retained earnings, partially offset by a reduction in accumulated other comprehensive loss of $0.7 million from December 31,2024.
Civista did not repurchase any shares in the second quarter of 2025 as the current repurchase plan is set to expire in April 2026. In January 2025, Civista liquidated 8,182 shares held by employees, at $20.39 per share, to satisfy tax obligations stemming from vesting of restricted shares.
Recent Developments
July 10, 2025, Civista Bancshares, Inc. announced the signing of a definitive merger agreement pursuant to which Civista will acquire The Farmers Savings Bank.
July 10, 2025, Civista Bancshares, Inc. announced an underwritten public offering of its common stock, including an overallotment option. The offering totaled 3,788,238 shares at a price of $21.25 per share, raising approximately $80,500,058.
Conference Call and Webcast
Civista Bancshares, Inc. will also host a conference call to discuss the Company's financial results for the second quarter of 2025 at 1:00 p.m. ET on Thursday, July 24, 2025. Interested parties can access the live webcast of the conference call through the Investor Relations section of the Company's website, www.civb.com. Participants can also listen to the conference call by dialing 800-836-8184 and ask to be joined into the Civista Bancshares, Inc. second quarter 2025 earnings call. Please log in or dial in at least 10 minutes prior to the start time to ensure a connection. An archive of the webcast will be available for one year on the Investor Relations section of the Company's website (www.civb.com).
About Civista Bancshares
Civista Bancshares, Inc., is a $4.2 billion financial holding company headquartered in Sandusky, Ohio. Its primary subsidiary, Civista Bank, was founded in 1884 and provides full-service banking, commercial lending, mortgage, and wealth management services. Today, Civista Bank operates 42 locations across Ohio, Southeastern Indiana and Northern Kentucky. Civista Bank also offers commercial equipment leasing services for businesses nationwide through its Civista Leasing and Finance Division. Civista Bancshares’ common shares are traded on the NASDAQ Capital Market under the symbol “CIVB”. Learn more at www.civb.com.
Forward Looking Statements
This press release may contain forward-looking statements regarding the financial performance, business prospects, growth and operating strategies of Civista. For these statements, Civista claims the protections of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Civista, including the information in the filings we make with the Securities and Exchange Commission. Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include risk factors relating to the banking industry and the other factors detailed from time to time in Civista’ reports filed with the Securities and Exchange Commission, including those described in “Item 1A Risk Factors” of Part I of Civista’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024, and any additional risks identified in the Company’s subsequent Form 10-Q’s. Undue reliance should not be placed on the forward-looking statements, which speak only as of the date hereof. Civista does not undertake, and specifically disclaims any obligation, to update any forward-looking statement to reflect the events or circumstances after the date on which the forward-looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.
Non-GAAP Financial Measures
This press release and related materials may contain references to measures which are not defined in generally accepted accounting principles ("GAAP"). These financial measures have been included as they provide meaningful supplemental information to assess trends in the Corporation's results of operations. Information concerning these non-GAAP financial measures can be found in the financial tables. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate the adequacy of earnings per common share, provide a greater understanding of ongoing operations and enhance comparability of results with prior periods.
For additional information, contact:
Dennis G. Shaffer
CEO and President
Civista Bancshares, Inc.
888-645-4121
| Average Balance Analysis | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (Unaudited - Dollars in thousands) | |||||||||||||||
| 2024 | |||||||||||||||
| Yield/ | Average | Yield/ | |||||||||||||
| Assets: | Interest | rate * | balance | Interest | rate * | ||||||||||
| Interest-earning assets: | |||||||||||||||
| Loans ** | 3,136,091 | $ | 49,972 | 6.39 | % | $ | 2,964,377 | $ | 44,946 | 6.10 | % | ||||
| Taxable securities *** | 404,104 | 3,751 | 3.42 | % | 351,497 | 3,070 | 3.11 | % | |||||||
| Non-taxable securities *** | 277,931 | 2,338 | 3.88 | % | 288,128 | 2,372 | 3.87 | % | |||||||
| Interest-bearing deposits in other banks | 23,243 | 210 | 3.61 | % | 15,807 | 205 | 5.22 | % | |||||||
| Total interest-earning assets *** | 3,841,369 | $ | 56,271 | 5.84 | % | $ | 3,619,809 | $ | 50,593 | 5.58 | % | ||||
| Noninterest-earning assets: | |||||||||||||||
| Cash and due from financial institutions | 40,329 | 32,564 | |||||||||||||
| Premises and equipment, net | 44,687 | 53,654 | |||||||||||||
| Accrued interest receivable | 13,919 | 13,230 | |||||||||||||
| Intangible assets | 132,887 | 134,473 | |||||||||||||
| Bank owned life insurance | 63,302 | 61,871 | |||||||||||||
| Other assets | 59,948 | 65,818 | |||||||||||||
| Less allowance for loan losses | (40,546 | ) | (39,190 | ) | |||||||||||
| Total Assets | 4,155,895 | $ | 3,942,229 | ||||||||||||
| Liabilities and Shareholders' Equity: | |||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||
| Demand and savings | 1,551,856 | $ | 5,632 | 1.46 | % | $ | 1,339,503 | $ | 3,054 | 0.92 | % | ||||
| Time | 986,644 | 9,926 | 4.04 | % | 926,831 | 12,451 | 5.40 | % | |||||||
| Short-term FHLB borrowings | 412,545 | 4,603 | 4.48 | % | 440,670 | 6,078 | 5.55 | % | |||||||
| Long-term FHLB borrowings | 1,260 | 8 | 2.57 | % | 2,031 | 12 | 2.38 | % | |||||||
| Other borrowings | 5,874 | 123 | 8.40 | % | - | - | 0.00 | % | |||||||
| Subordinated debentures | 104,145 | 1,165 | 4.49 | % | 103,999 | 1,247 | 4.83 | % | |||||||
| Total interest-bearing liabilities | 3,062,324 | $ | 21,457 | 2.81 | % | $ | 2,813,034 | $ | 22,842 | 3.27 | % | ||||
| Noninterest-bearing deposits | 652,092 | 703,046 | |||||||||||||
| Other liabilities | 40,564 | 60,365 | |||||||||||||
| Shareholders' equity | 400,915 | 365,784 | |||||||||||||
| Total Liabilities and Shareholders' Equity | 4,155,895 | $ | 3,942,229 | ||||||||||||
| Net interest income and interest rate spread | $ | 34,814 | 3.03 | % | $ | 27,751 | 2.31 | % | |||||||
| Net interest margin *** | 3.64 | % | 3.09 | % | |||||||||||
| * - Average yields are presented on a tax equivalent basis. The tax equivalent effect associated with loans and investments, included in the yields above, was 622 thousand and 631 thousand for the periods ended June 30, 2025 and 2024, respectively. | |||||||||||||||
| ** - Average balance includes nonaccrual loans | |||||||||||||||
| *** - Average yield on investments were calculated by adjusting the average balances of taxable and nontaxable securities by unrealized losses of 64.1 million and 69.4 million, respectively. These adjustments were also made when calculating the yield on earning assets and the margin. |
All values are in US Dollars.
| Average Balance Analysis | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (Unaudited - Dollars in thousands) | |||||||||||||||
| 2024 | |||||||||||||||
| Yield/ | Average | Yield/ | |||||||||||||
| Assets: | Interest | rate * | balance | Interest | rate * | ||||||||||
| Interest-earning assets: | |||||||||||||||
| Loans ** | 3,117,867 | $ | 97,618 | 6.31 | % | $ | 2,922,204 | $ | 89,431 | 6.15 | % | ||||
| Taxable securities *** | 400,518 | 7,306 | 3.37 | % | 351,156 | 6,004 | 3.06 | % | |||||||
| Non-taxable securities *** | 282,183 | 4,678 | 3.90 | % | 291,758 | 4,747 | 3.86 | % | |||||||
| Interest-bearing deposits in other banks | 21,081 | 402 | 3.84 | % | 21,062 | 539 | 5.15 | % | |||||||
| Total interest-earning assets *** | 3,821,649 | $ | 110,004 | 5.78 | % | $ | 3,586,180 | $ | 100,721 | 5.62 | % | ||||
| Noninterest-earning assets: | |||||||||||||||
| Cash and due from financial institutions | 41,758 | 31,123 | |||||||||||||
| Premises and equipment, net | 45,541 | 54,317 | |||||||||||||
| Accrued interest receivable | 13,744 | 12,977 | |||||||||||||
| Intangible assets | 133,076 | 134,672 | |||||||||||||
| Bank owned life insurance | 63,110 | 61,664 | |||||||||||||
| Other assets | 59,271 | 62,414 | |||||||||||||
| Less allowance for loan losses | (40,252 | ) | (38,273 | ) | |||||||||||
| Total Assets | 4,137,897 | $ | 3,905,074 | ||||||||||||
| Liabilities and Shareholders' Equity: | |||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||
| Demand and savings | 1,565,328 | $ | 11,360 | 1.46 | % | $ | 1,361,364 | $ | 7,039 | 1.04 | % | ||||
| Time | 973,202 | 19,914 | 4.13 | % | 914,637 | 24,452 | 5.38 | % | |||||||
| Short-term FHLB borrowings | 384,224 | 8,532 | 4.48 | % | 384,679 | 10,593 | 5.54 | % | |||||||
| Long-term FHLB borrowings | 1,334 | 17 | 2.57 | % | 2,153 | 25 | 2.34 | % | |||||||
| Other borrowings | 6,150 | 268 | 8.78 | % | - | - | 0.00 | % | |||||||
| Subordinated debentures | 104,124 | 2,326 | 4.50 | % | 103,978 | 2,489 | 4.81 | % | |||||||
| Total interest-bearing liabilities | 3,034,362 | $ | 42,417 | 2.82 | % | $ | 2,766,811 | $ | 44,598 | 3.24 | % | ||||
| Noninterest-bearing deposits | 661,382 | 707,806 | |||||||||||||
| Other liabilities | 43,174 | 62,331 | |||||||||||||
| Shareholders' equity | 398,979 | 368,126 | |||||||||||||
| Total Liabilities and Shareholders' Equity | 4,137,897 | $ | 3,905,074 | ||||||||||||
| Net interest income and interest rate spread | $ | 67,587 | 2.96 | % | $ | 56,123 | 2.38 | % | |||||||
| Net interest margin *** | 3.57 | % | 3.16 | % | |||||||||||
| * - Average yields are presented on a tax equivalent basis. The tax equivalent effect associated with loans and investments, included in the yields above, was 1.2 million and 1.3 million for the periods ended June 30, 2025 and 2024, respectively. | |||||||||||||||
| ** - Average balance includes nonaccrual loans | |||||||||||||||
| *** - 2025 and 2024 average yield on investments were calculated by adjusting the average balances of taxable and nontaxable securities by unrealized losses of 61.6 million and 64.3 million, respectively. These adjustments were also made when calculating the yield on earning assets and the margin. |
All values are in US Dollars.
| Noninterest income | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | Three months ended June 30, | |||||||||
| 2025 | 2024 | Change | % Change | |||||||
| Service charges | $ | 1,564 | $ | 1,488 | 5.1 | % | ||||
| Net gain (loss) on equity securities | (74 | ) | 74 | ) | -200.0 | % | ||||
| Net gain on sale of loans and leases | 841 | 888 | ) | -5.3 | % | |||||
| ATM/Interchange fees | 1,418 | 1,416 | 0.1 | % | ||||||
| Wealth management fees | 1,325 | 1,337 | ) | -0.9 | % | |||||
| Lease revenue and residual income | 525 | 3,529 | ) | -85.1 | % | |||||
| Bank owned life insurance | 386 | 367 | 5.2 | % | ||||||
| Swap fees | 53 | 65 | ) | -18.5 | % | |||||
| Other | 551 | 1,213 | ) | -54.6 | % | |||||
| Total noninterest income | $ | 6,589 | $ | 10,377 | ) | -36.5 | % |
All values are in US Dollars.
| Noninterest income | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | Six months ended June 30, | ||||||||||
| 2025 | 2024 | Change | % Change | ||||||||
| Service charges | $ | 3,088 | $ | 2,928 | 5.5 | % | |||||
| Net gain (loss) on equity securities | (103 | ) | (67 | ) | ) | -53.7 | % | ||||
| Net gain on sale of loans and leases | 1,445 | 1,751 | ) | -17.5 | % | ||||||
| ATM/Interchange fees | 2,744 | 2,799 | ) | -2.0 | % | ||||||
| Wealth management fees | 2,665 | 2,613 | 2.0 | % | |||||||
| Lease revenue and residual income | 2,421 | 5,203 | ) | -53.5 | % | ||||||
| Bank owned life insurance | 773 | 717 | 7.8 | % | |||||||
| Swap fees | 125 | 122 | 2.5 | % | |||||||
| Other | 1,291 | 2,568 | ) | -49.7 | % | ||||||
| Total noninterest income | $ | 14,449 | $ | 18,634 | ) | -22.5 | % |
All values are in US Dollars.
| Noninterest expense | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | Three months ended June 30, | ||||||||
| 2025 | 2024 | Change | % Change | ||||||
| Compensation expense | $ | 15,011 | $ | 15,740 | ) | -4.6 | % | ||
| Net occupancy Expense | 1,419 | 1,298 | 9.3 | % | |||||
| Contracted data processing | 536 | 559 | ) | -4.1 | % | ||||
| FDIC Assessment | 689 | 548 | 25.7 | % | |||||
| State franchise tax | 634 | 479 | 32.4 | % | |||||
| Professional services | 1,798 | 1,249 | 44.0 | % | |||||
| Equipment expense | 1,764 | 2,434 | ) | -27.5 | % | ||||
| Amortization of core deposit intangible | 338 | 366 | ) | -7.7 | % | ||||
| ATM/Interchange expense | 683 | 632 | 8.1 | % | |||||
| Marketing | 289 | 445 | ) | -35.1 | % | ||||
| Software maintenance expense | 1,294 | 1,176 | 10.0 | % | |||||
| Other | 3,027 | 3,463 | ) | -12.6 | % | ||||
| Total noninterest expense | $ | 27,482 | $ | 28,389 | ) | -3.2 | % |
All values are in US Dollars.
| Noninterest expense | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | Six months ended June 30, | ||||||||
| 2025 | 2024 | Change | % Change | ||||||
| Compensation expense | $ | 29,054 | $ | 31,197 | ) | -6.9 | % | ||
| Net occupancy expense | 3,053 | 2,666 | 14.5 | % | |||||
| Contracted data processing | 1,103 | 1,104 | ) | -0.1 | % | ||||
| FDIC Assessment | 1,562 | 1,032 | 51.4 | % | |||||
| State franchise tax | 1,160 | 964 | 20.3 | % | |||||
| Professional services | 3,888 | 2,398 | 62.1 | % | |||||
| Equipment expense | 3,867 | 4,969 | ) | -22.2 | % | ||||
| Amortization of core deposit intangible | 670 | 757 | ) | -11.5 | % | ||||
| ATM/Interchange expense | 1,263 | 1,257 | 0.5 | % | |||||
| Marketing | 585 | 924 | ) | -36.7 | % | ||||
| Software maintenance expense | 2,571 | 2,365 | 8.7 | % | |||||
| Other | 5,832 | 6,198 | ) | -5.9 | % | ||||
| Total noninterest expense | $ | 54,608 | $ | 55,831 | ) | -2.2 | % |
All values are in US Dollars.
| End of period loan and lease balances | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | |||||||||
| June 30, | December 31, | ||||||||
| 2025 | 2024 | Change | % Change | ||||||
| Commercial and Agriculture | $ | 338,598 | $ | 328,488 | 3.1 | % | |||
| Commercial Real Estate: | |||||||||
| Owner Occupied | 378,248 | 374,367 | 1.0 | % | |||||
| Non-owner Occupied | 1,263,612 | 1,225,991 | 3.1 | % | |||||
| Residential Real Estate | 815,408 | 763,869 | 6.7 | % | |||||
| Real Estate Construction | 277,643 | 305,992 | ) | -9.3 | % | ||||
| Farm Real Estate | 23,866 | 23,035 | 3.6 | % | |||||
| Lease financing receivable | 42,758 | 46,900 | ) | -8.8 | % | ||||
| Consumer and Other | 10,991 | 12,588 | ) | -12.7 | % | ||||
| Total Loans | $ | 3,151,124 | $ | 3,081,230 | 2.3 | % |
All values are in US Dollars.
| End of period deposit balances | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| (unaudited - dollars in thousands) | |||||||||
| June 30, | December 31, | ||||||||
| 2025 | 2024 | Change | % Change | ||||||
| Noninterest-bearing demand | $ | 647,609 | $ | 695,094 | ) | -6.8 | % | ||
| Interest-bearing demand | 433,089 | 419,583 | 3.2 | % | |||||
| Savings and money market | 1,100,660 | 1,126,974 | ) | -2.3 | % | ||||
| Time deposits | 560,702 | 469,954 | 19.3 | % | |||||
| Brokered deposits | 454,147 | 500,265 | ) | -9.2 | % | ||||
| Total Deposits | $ | 3,196,207 | $ | 3,211,870 | ) | -0.5 | % |
All values are in US Dollars.
| Allowance for Credit Losses | ||||||
|---|---|---|---|---|---|---|
| (dollars in thousands) | ||||||
| Three months ended June 30, | ||||||
| 2025 | 2024 | |||||
| Beginning of period | $ | 40,284 | $ | 38,849 | ||
| Charge-offs | (1,092 | ) | (887 | ) | ||
| Recoveries | 92 | 157 | ||||
| Provision | 1,171 | 1,800 | ||||
| End of period | $ | 40,455 | $ | 39,919 | ||
| Allowance for Credit Losses | ||||||
| --- | --- | --- | --- | --- | --- | --- |
| (dollars in thousands) | ||||||
| Six months ended June 30, | ||||||
| 2025 | 2024 | |||||
| Beginning of period | $ | 39,669 | $ | 37,160 | ||
| Charge-offs | (2,068 | ) | (1,538 | ) | ||
| Recoveries | 435 | 455 | ||||
| Provision | 2,419 | 3,842 | ||||
| End of period | $ | 40,455 | $ | 39,919 | ||
| Allowance for Unfunded Commitments | ||||||
| --- | --- | --- | --- | --- | --- | --- |
| (dollars in thousands) | ||||||
| Three months ended June 30, | ||||||
| 2025 | 2024 | |||||
| Beginning of period | $ | 3,699 | $ | 3,851 | ||
| Provision | (146 | ) | (145 | ) | ||
| End of period | $ | 3,553 | $ | 3,706 | ||
| Allowance for Unfunded Commitments | ||||||
| --- | --- | --- | --- | --- | --- | |
| (dollars in thousands) | ||||||
| Six months ended June 30, | ||||||
| 2025 | 2024 | |||||
| Beginning of period | $ | 3,380 | $ | 3,901 | ||
| Provision | 173 | (195 | ) | |||
| End of period | $ | 3,553 | $ | 3,706 | ||
| (dollars in thousands) | June 30, | December 31, | ||||
| --- | --- | --- | --- | --- | ||
| 2025 | 2024 | |||||
| Non-accrual loans | $ | 22,742 | $ | 30,950 | ||
| Restructured loans | 7 | 1,677 | ||||
| 90+ Days Past Due, Still Accruing | 223 | 225 | ||||
| Total non-performing loans | 22,972 | 32,852 | ||||
| Other Real Estate Owned | 209 | - | ||||
| Total non-performing assets | $ | 23,181 | $ | 32,852 |
Civista Bancshares, Inc.
Financial Highlights
(Unaudited, dollars in thousands, except share and per share amounts)
| Consolidated Condensed Statement of Operations | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Interest income | $ | 56,271 | $ | 50,593 | $ | 110,004 | $ | 100,721 | ||||||||
| Interest expense | 21,457 | 22,842 | 42,417 | 44,598 | ||||||||||||
| Net interest income | 34,814 | 27,751 | 67,587 | 56,123 | ||||||||||||
| Provision for credit losses | 1,171 | 1,800 | 2,419 | 3,842 | ||||||||||||
| Provision for unfunded commitments | (146 | ) | (145 | ) | 173 | (195 | ) | |||||||||
| Net interest income after provision | 33,789 | 26,096 | 64,995 | 52,476 | ||||||||||||
| Noninterest income | 6,589 | 10,377 | 14,449 | 18,634 | ||||||||||||
| Noninterest expense | 27,482 | 28,389 | 54,608 | 55,831 | ||||||||||||
| Income before taxes | 12,896 | 8,084 | 24,836 | 15,279 | ||||||||||||
| Income tax expense | 1,881 | 1,020 | 3,653 | 1,855 | ||||||||||||
| Net income | 11,015 | 7,064 | 21,183 | 13,424 | ||||||||||||
| Preferred stock dividends | - | - | - | - | ||||||||||||
| Net income available | ||||||||||||||||
| to common shareholders | $ | 11,015 | $ | 7,064 | $ | 21,183 | $ | 13,424 | ||||||||
| Dividends paid per common share | $ | 0.17 | $ | 0.16 | $ | 0.34 | $ | 0.32 | ||||||||
| Earnings per common share | ||||||||||||||||
| Basic | ||||||||||||||||
| Net income | $ | 11,015 | $ | 7,064 | $ | 21,183 | $ | 13,424 | ||||||||
| Less allocation of earnings and | ||||||||||||||||
| dividends to participating securities | 45 | 266 | 72 | 492 | ||||||||||||
| Net income available to common | ||||||||||||||||
| shareholders - basic | $ | 10,970 | $ | 6,798 | $ | 21,111 | $ | 12,932 | ||||||||
| Weighted average common shares outstanding | 15,524,490 | 15,729,049 | 15,506,750 | 15,712,499 | ||||||||||||
| Less average participating securities | 96,692 | 591,712 | 81,784 | 576,528 | ||||||||||||
| Weighted average number of shares outstanding | ||||||||||||||||
| used to calculate basic earnings per share | 15,427,798 | 15,137,337 | 15,424,966 | 15,135,971 | ||||||||||||
| Earnings per common share | ||||||||||||||||
| Basic | $ | 0.71 | $ | 0.45 | $ | 1.37 | $ | 0.85 | ||||||||
| Diluted | $ | 0.71 | $ | 0.45 | $ | 1.37 | $ | 0.85 | ||||||||
| Selected financial ratios: | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||||
| Return on average assets | 1.06 | % | 0.72 | % | 1.03 | % | 0.69 | % | ||||||||
| Return on average equity | 11.02 | % | 7.77 | % | 10.71 | % | 7.33 | % | ||||||||
| Dividend payout ratio | 23.96 | % | 35.63 | % | 24.89 | % | 37.46 | % | ||||||||
| Net interest margin (tax equivalent) | 3.64 | % | 3.09 | % | 3.57 | % | 3.16 | % | ||||||||
| Effective tax rate | 14.59 | % | 12.62 | % | 14.71 | % | 12.10 | % | ||||||||
| Selected Balance Sheet Items | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | ||||||||||
| (Dollars in thousands, except share and per share amounts) | ||||||||||||||||
| June 30, | December 31, | |||||||||||||||
| 2025 | 2024 | |||||||||||||||
| (unaudited) | (unaudited) | |||||||||||||||
| Cash and due from financial institutions | $ | 73,858 | $ | 63,155 | ||||||||||||
| Investment in time deposits | 715 | 1,450 | ||||||||||||||
| Investment securities | 645,228 | 650,488 | ||||||||||||||
| Loans held for sale | 10,733 | 665 | ||||||||||||||
| Loans | 3,151,124 | 3,081,230 | ||||||||||||||
| Less: allowance for credit losses | (40,455 | ) | (39,669 | ) | ||||||||||||
| Net loans | 3,110,669 | 3,041,561 | ||||||||||||||
| Other securities | 36,195 | 30,352 | ||||||||||||||
| Premises and equipment, net | 42,922 | 47,166 | ||||||||||||||
| Goodwill and other intangibles | 132,631 | 133,403 | ||||||||||||||
| Bank owned life insurance | 63,555 | 62,783 | ||||||||||||||
| Other assets | 69,363 | 67,446 | ||||||||||||||
| Total assets | $ | 4,185,869 | $ | 4,098,469 | ||||||||||||
| Total deposits | $ | 3,196,207 | $ | 3,211,870 | ||||||||||||
| Short-term Federal Home Loan Bank advances | 433,500 | 339,000 | ||||||||||||||
| Long-term Federal Home Loan Bank advances | 1,103 | 1,501 | ||||||||||||||
| Subordinated debentures | 104,172 | 104,089 | ||||||||||||||
| Other borrowings | 5,379 | 6,293 | ||||||||||||||
| Accrued expenses and other liabilities | 41,371 | 47,214 | ||||||||||||||
| Total liabilities | 3,781,732 | 3,709,967 | ||||||||||||||
| Common shares | 312,589 | 312,037 | ||||||||||||||
| Retained earnings | 221,321 | 205,408 | ||||||||||||||
| Treasury shares | (75,753 | ) | (75,586 | ) | ||||||||||||
| Accumulated other comprehensive loss | (54,020 | ) | (53,357 | ) | ||||||||||||
| Total shareholders' equity | 404,137 | 388,502 | ||||||||||||||
| Total liabilities and shareholders' equity | $ | 4,185,869 | $ | 4,098,469 | ||||||||||||
| Shares outstanding at period end | 15,529,342 | 15,487,667 | ||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | ||||||||||
| Book value per share | $ | 20.13 | $ | 20.15 | ||||||||||||
| Equity to asset ratio | 7.47 | % | 7.61 | % | ||||||||||||
| Selected asset quality ratios: | ||||||||||||||||
| Allowance for credit losses to total loans | 1.28 | % | 1.29 | % | ||||||||||||
| Non-performing assets to total assets | 0.55 | % | 0.80 | % | ||||||||||||
| Allowance for credit losses to non-performing loans | 176.11 | % | 120.75 | % | ||||||||||||
| Non-performing asset analysis | ||||||||||||||||
| Nonaccrual loans | $ | 22,742 | $ | 30,950 | ||||||||||||
| Restructured loans | 7 | 1,677 | ||||||||||||||
| Other real estate owned | 209 | - | ||||||||||||||
| 90+ Days Past Due, Still Accruing | 223 | 225 | ||||||||||||||
| Total | $ | 23,181 | $ | 32,852 | ||||||||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| End of Period Balances | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Assets | ||||||||||||||||
| Cash and due from banks | $ | 73,858 | $ | 90,456 | $ | 63,155 | $ | 74,662 | $ | 55,760 | ||||||
| Investment in time deposits | 715 | 960 | 1,450 | 1,450 | 1,450 | |||||||||||
| Investment securities | 645,228 | 648,537 | 650,488 | 629,113 | 611,866 | |||||||||||
| Loans held for sale | 10,733 | 4,324 | 665 | 8,299 | 5,369 | |||||||||||
| Loans and leases | 3,151,124 | 3,104,036 | 3,081,230 | 3,043,946 | 3,014,996 | |||||||||||
| Allowance for credit losses | (40,455 | ) | (40,284 | ) | (39,669 | ) | (41,268 | ) | (39,919 | ) | ||||||
| Net Loans | 3,110,669 | 3,063,752 | 3,041,561 | 3,002,678 | 2,975,077 | |||||||||||
| Other securities | 36,195 | 32,592 | 30,352 | 32,633 | 37,615 | |||||||||||
| Premises and equipment, net | 42,922 | 45,107 | 47,166 | 49,967 | 52,142 | |||||||||||
| Goodwill and other intangibles | 132,631 | 133,026 | 133,403 | 133,829 | 134,227 | |||||||||||
| Bank owned life insurance | 63,555 | 63,170 | 62,783 | 62,912 | 63,367 | |||||||||||
| Other assets | 69,363 | 64,793 | 67,446 | 65,880 | 75,041 | |||||||||||
| Total Assets | $ | 4,185,869 | $ | 4,146,717 | $ | 4,098,469 | $ | 4,061,423 | $ | 4,011,914 | ||||||
| Liabilities | ||||||||||||||||
| Total deposits | $ | 3,196,207 | $ | 3,238,888 | $ | 3,211,870 | $ | 3,223,732 | $ | 2,977,616 | ||||||
| Federal Home Loan Bank advances - short term | 433,500 | 360,000 | 339,000 | 287,047 | 500,500 | |||||||||||
| Federal Home Loan Bank advances - long term | 1,103 | 1,355 | 1,501 | 1,598 | 1,841 | |||||||||||
| Subordinated debentures | 104,172 | 104,130 | 104,089 | 104,067 | 104,026 | |||||||||||
| Other borrowings | 5,379 | 6,140 | 6,293 | 6,319 | 7,156 | |||||||||||
| Accrued expenses and other liabilities | 41,371 | 38,770 | 47,214 | 44,222 | 46,967 | |||||||||||
| Total liabilities | 3,781,732 | 3,749,283 | 3,709,967 | 3,666,985 | 3,638,106 | |||||||||||
| Shareholders' Equity | ||||||||||||||||
| Common shares | 312,589 | 312,192 | 312,037 | 311,901 | 311,529 | |||||||||||
| Retained earnings | 221,321 | 212,944 | 205,408 | 198,034 | 192,186 | |||||||||||
| Treasury shares | (75,753 | ) | (75,753 | ) | (75,586 | ) | (75,586 | ) | (75,574 | ) | ||||||
| Accumulated other comprehensive loss | (54,020 | ) | (51,949 | ) | (53,357 | ) | (39,911 | ) | (54,333 | ) | ||||||
| Total shareholders' equity | 404,137 | 397,434 | 388,502 | 394,438 | 373,808 | |||||||||||
| Total Liabilities and Shareholders' Equity | $ | 4,185,869 | $ | 4,146,717 | $ | 4,098,469 | $ | 4,061,423 | $ | 4,011,914 | ||||||
| Shares outstanding at period end | 15,529,342 | 15,519,072 | 15,487,667 | 15,736,528 | 15,737,222 | |||||||||||
| Book value per share | $ | 20.13 | $ | 20.12 | $ | 20.15 | $ | 25.07 | $ | 23.75 | ||||||
| Equity to asset ratio | 7.47 | % | 7.53 | % | 7.61 | % | 9.71 | % | 9.32 | % | ||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| 2025 | 2025 | 2024 | 2024 | 2024 | ||||||||||||
| Selected asset quality ratios: | ||||||||||||||||
| Allowance for credit losses to total loans | 1.28 | % | 1.30 | % | 1.29 | % | 1.36 | % | 1.32 | % | ||||||
| Non-performing assets to total assets | 0.55 | % | 0.75 | % | 0.80 | % | 0.45 | % | 0.43 | % | ||||||
| Allowance for credit losses to non-performing loans | 176.11 | % | 129.99 | % | 120.75 | % | 227.36 | % | 233.47 | % | ||||||
| Non-performing asset analysis | ||||||||||||||||
| Nonaccrual loans | $ | 22,742 | $ | 30,989 | $ | 30,950 | $ | 16,488 | $ | 15,209 | ||||||
| Restructured loans | 7 | - | 1,677 | 1,663 | 1,889 | |||||||||||
| 90+ Days Past Due, Still Accruing | 223 | 146 | 225 | - | - | |||||||||||
| Other real estate owned | 209 | 209 | - | 61 | - | |||||||||||
| Total | $ | 23,181 | $ | 31,344 | $ | 32,852 | $ | 18,212 | $ | 17,098 | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Quarterly Average Balances | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Assets: | ||||||||||||||||
| Earning assets | $ | 3,841,369 | $ | 3,801,709 | $ | 3,738,607 | $ | 3,705,866 | $ | 3,619,809 | ||||||
| Securities | 682,035 | 683,374 | 655,556 | 654,838 | 639,625 | |||||||||||
| Loans | 3,136,091 | 3,099,440 | 3,061,991 | 3,031,884 | 2,964,377 | |||||||||||
| Liabilities and Shareholders' Equity | ||||||||||||||||
| Total deposits | $ | 3,190,592 | $ | 3,209,277 | $ | 3,285,485 | $ | 3,092,583 | $ | 2,969,380 | ||||||
| Interest-bearing deposits | 2,538,500 | 2,538,561 | 2,582,652 | 2,405,219 | 2,266,334 | |||||||||||
| Other interest-bearing liabilities | 523,824 | 461,100 | 320,225 | 493,759 | 546,700 | |||||||||||
| Total shareholders' equity | 400,915 | 397,021 | 391,591 | 381,392 | 365,784 | |||||||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||
| (Unaudited - dollars in thousands) | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| End of period loan and lease balances | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Commercial and Agriculture | $ | 338,598 | $ | 330,627 | $ | 328,488 | $ | 304,639 | $ | 318,499 | ||||||
| Commercial Real Estate: | ||||||||||||||||
| Owner Occupied | 378,248 | 378,095 | 374,367 | 375,751 | 377,308 | |||||||||||
| Non-owner Occupied | 1,263,612 | 1,246,025 | 1,225,991 | 1,205,453 | 1,213,341 | |||||||||||
| Residential Real Estate | 815,408 | 773,349 | 763,869 | 751,825 | 729,213 | |||||||||||
| Real Estate Construction | 277,643 | 297,589 | 305,992 | 318,063 | 283,446 | |||||||||||
| Farm Real Estate | 23,866 | 22,399 | 23,035 | 24,122 | 24,376 | |||||||||||
| Lease financing receivable | 42,758 | 44,570 | 46,900 | 49,453 | 53,461 | |||||||||||
| Consumer and Other | 10,991 | 11,382 | 12,588 | 14,640 | 15,352 | |||||||||||
| Total Loans | $ | 3,151,124 | $ | 3,104,036 | $ | 3,081,230 | $ | 3,043,946 | $ | 3,014,996 | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||
| (Unaudited - dollars in thousands) | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| End of period deposit balances | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Noninterest-bearing demand | $ | 647,609 | $ | 648,683 | $ | 695,094 | $ | 686,316 | $ | 691,203 | ||||||
| Interest-bearing demand | 433,089 | 467,601 | 419,583 | 420,333 | 409,848 | |||||||||||
| Savings and money market | 1,100,660 | 1,146,480 | 1,126,974 | 1,111,771 | 940,312 | |||||||||||
| Time deposits | 560,702 | 515,910 | 469,954 | 456,973 | 418,047 | |||||||||||
| Brokered deposits | 454,147 | 460,214 | 500,265 | 548,339 | 518,207 | |||||||||||
| Total Deposits | $ | 3,196,207 | $ | 3,238,888 | $ | 3,211,870 | $ | 3,223,732 | $ | 2,977,617 | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Income statement | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Total interest and dividend income | $ | 56,271 | $ | 53,733 | $ | 53,233 | $ | 52,741 | $ | 50,593 | ||||||
| Total interest expense | 21,457 | 20,960 | 21,878 | 23,508 | 22,842 | |||||||||||
| Net interest income | 34,814 | 32,773 | 31,355 | 29,233 | 27,751 | |||||||||||
| Provision for credit losses | 1,171 | 1,248 | 697 | 1,346 | 1,800 | |||||||||||
| Provision for unfunded commitments | (146 | ) | 319 | (1 | ) | (325 | ) | (145 | ) | |||||||
| Noninterest income | 6,589 | 7,860 | 9,015 | 10,099 | 10,377 | |||||||||||
| Noninterest expense | 27,482 | 27,126 | 28,296 | 28,394 | 28,389 | |||||||||||
| Income before taxes | 12,896 | 11,940 | 11,378 | 9,917 | 8,084 | |||||||||||
| Income tax expense | 1,881 | 1,772 | 1,485 | 1,551 | 1,020 | |||||||||||
| Net income | $ | 11,015 | $ | 10,168 | $ | 9,893 | $ | 8,366 | $ | 7,064 | ||||||
| Preferred stock dividends | - | - | - | - | - | |||||||||||
| Net income available to common shareholders | $ | 11,015 | $ | 10,168 | $ | 9,893 | $ | 8,366 | $ | 7,064 | ||||||
| Per share data | ||||||||||||||||
| Earnings per common share | ||||||||||||||||
| Basic | ||||||||||||||||
| Net income | $ | 11,015 | $ | 10,168 | $ | 9,893 | $ | 8,366 | $ | 7,064 | ||||||
| Less allocation of earnings and | ||||||||||||||||
| dividends to participating securities | 45 | 44 | 213 | 177 | 153 | |||||||||||
| Net income available to common shareholders - basic | $ | 10,970 | $ | 10,124 | $ | 9,680 | $ | 8,189 | $ | 6,911 | ||||||
| Weighted average common shares outstanding | 15,524,490 | 15,488,813 | 15,734,243 | 15,736,966 | 15,729,049 | |||||||||||
| Less average participating securities | 96,692 | 66,711 | 339,626 | 332,531 | 341,567 | |||||||||||
| Weighted average number of shares outstanding used to calculate basic earnings per share | 15,427,798 | 15,422,102 | 15,394,617 | 15,404,435 | 15,387,482 | |||||||||||
| Earnings per common share | ||||||||||||||||
| Basic | $ | 0.71 | $ | 0.66 | $ | 0.63 | $ | 0.53 | $ | 0.45 | ||||||
| Diluted | $ | 0.71 | $ | 0.66 | $ | 0.63 | $ | 0.53 | $ | 0.45 | ||||||
| Common shares dividend paid | $ | 2,638 | $ | 2,636 | $ | 2,518 | $ | 2,518 | $ | 2,516 | ||||||
| Dividends paid per common share | 0.17 | 0.17 | 0.16 | 0.16 | 0.16 | |||||||||||
| Three Months Ended | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Selected financial ratios | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Return on average assets | 1.06 | % | 1.00 | % | 0.97 | % | 0.83 | % | 0.72 | % | ||||||
| Return on average equity | 11.02 | % | 10.39 | % | 10.43 | % | 8.73 | % | 7.77 | % | ||||||
| Dividend payout ratio | 23.96 | % | 25.90 | % | 25.45 | % | 30.10 | % | 35.63 | % | ||||||
| Net interest margin (tax equivalent) | 3.64 | % | 3.51 | % | 3.36 | % | 3.19 | % | 3.09 | % | ||||||
| Effective tax rate | 14.59 | % | 14.84 | % | 13.05 | % | 15.63 | % | 12.62 | % | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||
| (Unaudited - dollars in thousands) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Noninterest income | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Service charges | $ | 1,564 | $ | 1,524 | $ | 1,591 | $ | 1,595 | $ | 1,488 | ||||||
| Net gain (loss) on equity securities | (74 | ) | (29 | ) | 96 | 223 | 74 | |||||||||
| Net gain on sale of loans and leases | 841 | 604 | 1,259 | 1,427 | 888 | |||||||||||
| ATM/Interchange fees | 1,418 | 1,326 | 1,640 | 1,402 | 1,416 | |||||||||||
| Wealth management fees | 1,325 | 1,340 | 1,464 | 1,443 | 1,337 | |||||||||||
| Lease revenue and residual income | 525 | 1,896 | 1,280 | 2,428 | 3,529 | |||||||||||
| Bank owned life insurance | 386 | 387 | 771 | 717 | 367 | |||||||||||
| Swap fees | 53 | 72 | 66 | 43 | 65 | |||||||||||
| Other | 551 | 740 | 848 | 821 | 1,213 | |||||||||||
| Total noninterest income | $ | 6,589 | $ | 7,860 | $ | 9,015 | $ | 10,099 | $ | 10,377 | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||
| (Unaudited - dollars in thousands) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Noninterest expense | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Compensation expense | $ | 15,011 | $ | 14,043 | $ | 14,899 | $ | 15,726 | $ | 15,740 | ||||||
| Net occupancy Expense | 1,419 | 1,634 | 1,138 | 1,293 | 1,298 | |||||||||||
| Contracted data processing | 536 | 567 | 508 | 636 | 559 | |||||||||||
| FDIC Assessment | 689 | 873 | 1,039 | 560 | 548 | |||||||||||
| State franchise tax | 634 | 526 | 608 | 480 | 479 | |||||||||||
| Professional services | 1,798 | 2,090 | 2,247 | 1,134 | 1,249 | |||||||||||
| Equipment expense | 1,764 | 2,103 | 2,240 | 2,345 | 2,434 | |||||||||||
| Amortization of core deposit intangible | 338 | 332 | 363 | 364 | 366 | |||||||||||
| ATM/Interchange expense | 683 | 580 | 671 | 616 | 632 | |||||||||||
| Marketing | 289 | 296 | 448 | 716 | 445 | |||||||||||
| Software maintenance expense | 1,294 | 1,277 | 1,376 | 1,203 | 1,176 | |||||||||||
| Other | 3,027 | 2,805 | 2,759 | 3,321 | 3,463 | |||||||||||
| Total noninterest expense | $ | 27,482 | $ | 27,126 | $ | 28,296 | $ | 28,394 | $ | 28,389 | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Asset quality | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Allowance for credit losses: | ||||||||||||||||
| Beginning of period | $ | 40,284 | $ | 39,669 | $ | 41,268 | $ | 39,919 | $ | 38,849 | ||||||
| Charge-offs | (1,092 | ) | (976 | ) | (2,335 | ) | (42 | ) | (887 | ) | ||||||
| Recoveries | 92 | 343 | 39 | 45 | 157 | |||||||||||
| Provision | 1,171 | 1,248 | 697 | 1,346 | 1,800 | |||||||||||
| End of period | $ | 40,455 | $ | 40,284 | $ | 39,669 | $ | 41,268 | $ | 39,919 | ||||||
| Allowance for unfunded commitments: | ||||||||||||||||
| Beginning of period | $ | 3,699 | $ | 3,380 | $ | 3,381 | $ | 3,706 | $ | 3,851 | ||||||
| Charge-offs | - | - | - | - | - | |||||||||||
| Recoveries | - | - | - | - | - | |||||||||||
| Provision | (146 | ) | 319 | (1 | ) | (325 | ) | (145 | ) | |||||||
| End of period | $ | 3,553 | $ | 3,699 | $ | 3,380 | $ | 3,381 | $ | 3,706 | ||||||
| Ratios | ||||||||||||||||
| Allowance to total loans | 1.28 | % | 1.30 | % | 1.29 | % | 1.36 | % | 1.32 | % | ||||||
| Allowance to nonperforming assets | 174.52 | % | 129.12 | % | 121.58 | % | 226.60 | % | 233.47 | % | ||||||
| Allowance to nonperforming loans | 176.11 | % | 129.99 | % | 121.58 | % | 227.36 | % | 233.47 | % | ||||||
| Nonperforming assets | ||||||||||||||||
| Non-accrual loans | $ | 22,742 | $ | 30,989 | $ | 30,950 | $ | 16,488 | $ | 15,209 | ||||||
| Restructured loans | 7 | - | 1,677 | 1,633 | 1,889 | |||||||||||
| 90+ Days Past Due, Still Accruing | 223 | - | - | - | - | |||||||||||
| Total non-performing loans | 22,972 | 30,989 | 32,627 | 18,121 | 17,098 | |||||||||||
| Other Real Estate Owned | 209 | 209 | - | 61 | - | |||||||||||
| Total non-performing assets | $ | 23,181 | $ | 31,198 | $ | 32,627 | $ | 18,182 | $ | 17,098 | ||||||
| Capital and liquidity | ||||||||||||||||
| Tier 1 leverage ratio | 8.80 | % | 8.66 | % | 8.60 | % | 8.45 | % | 8.59 | % | ||||||
| Tier 1 risk-based capital ratio | 11.18 | % | 10.97 | % | 10.47 | % | 10.29 | % | 10.63 | % | ||||||
| Total risk-based capital ratio | 14.73 | % | 14.53 | % | 13.98 | % | 13.81 | % | 14.28 | % | ||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||
| Tangible common equity ratio (1) | 6.70 | % | 6.59 | % | 6.43 | % | 6.64 | % | 6.19 | % | ||||||
| (1) See reconciliation of non-GAAP measures at the end of this press release. | ||||||||||||||||
| Reconciliation of Non-GAAP Financial Measures | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| 2025 | 2025 | 2024 | 2024 | 2024 | ||||||||||||
| Tangible Common Equity | ||||||||||||||||
| Total Shareholder's Equity - GAAP | $ | 404,137 | $ | 397,434 | $ | 388,502 | $ | 394,438 | $ | 373,808 | ||||||
| Less: Preferred Equity | - | - | - | - | - | |||||||||||
| Less: Goodwill and intangible assets | 132,631 | 133,026 | 133,403 | 133,829 | 134,227 | |||||||||||
| Tangible common equity (Non-GAAP) | $ | 271,506 | $ | 264,408 | $ | 255,099 | $ | 260,609 | $ | 239,581 | ||||||
| Total Shares Outstanding | 15,529,342 | 15,519,072 | 15,487,667 | 15,736,528 | 15,737,222 | |||||||||||
| Tangible book value per share | $ | 17.48 | $ | 17.04 | $ | 16.47 | $ | 16.56 | $ | 15.25 | ||||||
| Tangible Assets | ||||||||||||||||
| Total Assets - GAAP | $ | 4,185,869 | $ | 4,146,717 | $ | 4,098,469 | $ | 4,061,423 | $ | 4,011,914 | ||||||
| Less: Goodwill and intangible assets | 132,631 | 133,026 | 133,403 | 133,829 | 134,227 | |||||||||||
| Tangible assets (Non-GAAP) | $ | 4,053,238 | $ | 4,013,691 | $ | 3,965,066 | $ | 3,927,594 | $ | 3,877,687 | ||||||
| Tangible common equity to tangible assets | 6.70 | % | 6.59 | % | 6.43 | % | 6.64 | % | 6.19 | % | ||||||
| Reconciliation of Non-GAAP Financial Measures | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| Three Months Ended | ||||||||||||||||
| June 30, | March 31, | December 31, | September 30, | June 30, | ||||||||||||
| Efficiency ratio (non-GAAP): | 2025 | 2025 | 2024 | 2024 | 2024 | |||||||||||
| Noninterest expense (GAAP) | $ | 27,482 | $ | 27,126 | $ | 28,296 | $ | 27,981 | $ | 28,555 | ||||||
| Less: Amortization of intangible assets expense | 339 | 332 | 363 | 363 | 366 | |||||||||||
| Less: Acquisition related expenses | - | - | - | - | - | |||||||||||
| Noninterest expense (non-GAAP) | $ | 27,143 | $ | 26,794 | $ | 27,933 | $ | 27,618 | $ | 28,189 | ||||||
| Net interest income (GAAP) | $ | 34,814 | $ | 32,773 | $ | 31,355 | $ | 29,233 | $ | 27,751 | ||||||
| Plus: Taxable equivalent adjustment | 621 | 622 | 627 | 630 | 631 | |||||||||||
| Noninterest income (GAAP) | 6,589 | 7,860 | 9,015 | 9,686 | 10,543 | |||||||||||
| Less: Net gains (losses) on equity securities | (74 | ) | (29 | ) | 96 | 223 | 74 | |||||||||
| Net interest income (FTE) plus noninterest income (non-GAAP) | $ | 42,098 | $ | 41,284 | $ | 40,901 | $ | 39,326 | $ | 38,851 | ||||||
| Efficiency ratio (non-GAAP) | 64.5 | % | 64.9 | % | 68.3 | % | 70.2 | % | 72.6 | % | ||||||
| Supplemental Financial Information | ||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Consolidated Condensed Statement of Operations | ||||||||||||||||
| (Unaudited - dollars in thousands except share data) | ||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, 2025 | June 30, 2025 | |||||||||||||||
| Non-Recurring | Non-Recurring | |||||||||||||||
| As Reported | Adjustments | As Adjusted | As Reported | Adjustments | As Adjusted | |||||||||||
| Interest income | $ | 56,271 | $ | 1,621 | $ | 54,650 | $ | 110,004 | $ | 1,621 | $ | 108,383 | ||||
| Interest expense | 21,457 | - | 21,457 | 42,417 | - | 42,417 | ||||||||||
| Net interest income | 34,814 | 1,621 | 33,193 | 67,587 | 1,621 | 65,966 | ||||||||||
| Provision for credit losses | 1,171 | - | 1,171 | 2,419 | - | 2,419 | ||||||||||
| Provision for unfunded commitments | (146 | ) | - | (146 | ) | 173 | - | 173 | ||||||||
| Net interest income after provision | 33,789 | 1,621 | 32,168 | 64,995 | 1,621 | 63,374 | ||||||||||
| Noninterest income | 6,589 | (1,044 | ) | 7,633 | 14,449 | (1,044 | ) | 15,493 | ||||||||
| Noninterest expense | 27,482 | (311 | ) | 27,793 | 54,608 | (311 | ) | 54,919 | ||||||||
| Income before taxes | 12,896 | 888 | 12,008 | 24,836 | 888 | 23,948 | ||||||||||
| Income tax expense | 1,881 | 131 | 1,750 | 3,653 | 131 | 3,522 | ||||||||||
| Net income | $ | 11,015 | $ | 757 | $ | 10,258 | $ | 21,183 | $ | 757 | $ | 20,426 |
Non-recurring adjustments summary:
Second-Quarter 2025
The quarter ended June 30, 2025 was positively impacted by non-recurring adjustments to our loan valuation resulting from a core system conversion during the second quarter of 2025, which positively impacted net income for the quarter ended June 30, 2025 by approximately $0.6 million on a pre-tax basis, and the release of a reserve established in the third-quarter of 2024 for a reconciling item associated with a system conversion, which positively impacted net income for the quarter ended June 30, 2025 by approximately $0.3 million on a pre-tax basis.