VIRGINIA NATIONAL BANKSHARES CORPORATION ANNOUNCES 2025 FIRST QUARTER EARNINGS AND INCREASE IN QUARTERLY DIVIDEND

VIRGINIA NATIONAL BANKSHARES CORPORATION ANNOUNCES 2025 FIRST QUARTER EARNINGS AND INCREASE IN QUARTERLY DIVIDEND , /PRNewswire/ -- Virginia National Bankshares Corporation (NASDAQ: VABK) (the "Company") today reported quarterly net income of $4.5 million, or $0.83 per diluted share, for the quarter ended March 31, 2025, compared to $3.6 million, or $0.68 per diluted share, recognized for the quarter ended March 31, 2024. The increase in first quarter net income year-over-year was primarily the result of increased net interest income, resulting from increased interest income from higher average loan balances compared to the prior period, combined with decreased interest expense, as we reduced our cost of funds associated with deposits as well as borrowings. Dividend Declaration On April 23, 2025, the Company's Board of Directors declared a quarterly cash dividend of $0.36 per share of common stock payable on May 30, 2025, to the holders of record at the close of business on May 15, 2025. The quarterly cash dividend represents an annual yield to shareholders of approximately 4.09% based on the closing price of the Company's common stock on April 23, 2025 and an increase of 9.1% over the prior quarterly dividend of $0.33 per share. President and Chief Executive Officer's comments: "The Bank reported a strong first quarter, producing net income of $4.5 million, a 23% increase over net income of $3.6 million posted a year ago," stated Glenn W. Rust, President and Chief Executive Officer. "Our focus on loan growth and reducing ongoing operating expenses during 2024 has positioned the Bank for a strong 2025. Our credit quality metrics and capital and liquidity positions continue to be solid and the increase in our quarterly dividend reflects our Board of Director's continuing commitment to provide a fair return to our shareholders." Key Performance Indicators First quarter 2025 compared to first quarter 2024 Return on average assets increased to 1.12% from 0.91%Return on average equity increased to 11.05% from 9.57%Net interest margin (FTE)1 improved to 3.28% from 2.93%Loan-to-deposit ratio increased to 86.6% from 78.8%Efficiency ratio (FTE)1 improved to 62.4% from 66.8% March 31, 2025 Balance Sheet Highlights The Company continued to experience loan growth in the first quarter of 2025, with gross loan balances increasing $6.5 million from year-end. Gross loans outstanding as of March 31, 2025 totaled $1.2 billion, an increase of $114.3 million, or 10.1% compared to March 31, 2024.Deposit balances increased modestly since December 31, 2024, increasing $10.7 million, but more importantly, increased in the lower rate components of the deposit mix, furthering the effort to stabilize overall cost of funds.Securities balances declined $79.0 million from March 31, 2024 to March 31, 2025; funds from the maturities of investments were repurposed to higher yielding assets in the form of loans.The Company utilizes a third-party to offer multi-million-dollar FDIC insurance to customers with balances in excess of single-bank limits through reciprocal Insured Cash Sweep® (ICS) plans. Deposit balances held in ICS plans amounted to $177.6 million as of March 31, 2025, $166.6 million as of December 31, 2024 and $144.0 million as of March 31, 2024.Outstanding borrowings from the FHLB remained flat at $20 million as of March 31, 2025, December 31, 2024 and March 31, 2024. As of March 31, 2025, the Company had unused borrowing facilities in place of approximately $206.3 million and held no brokered deposits. Loans and Asset Quality Credit performance remains strong with nonperforming assets as a percentage of total assets of 0.31% as of March 31, 2025 and 0.19% as of December 31, 2024 and March 31, 2024.Nonperforming assets amounted to $5.0 million as of March 31, 2025, compared to $3.0 million as of December 31, 2024 and $3.1 million as of March 31, 2024;Sixteen loans to fifteen borrowers are in non-accrual status, totaling $2.8 million, as of March 31, 2025, compared to $2.3 million as of December 31, 2024 and $2.2 million as of March 31, 2024.Loans 90 days or more past due and still accruing interest amounted to $2.3 million as of March 31, 2025, compared to $754 thousand as of December 31, 2024 and $876 thousand as of March 31, 2024. The past due balance as of March 31, 2025 is comprised of two loans totaling $2.2 million which are 100% government-guaranteed, and eight student loans totaling $61 thousand.The Company currently holds no other real estate owned.The period-end Allowance for Credit Losses on Loans ("ACL") as a percentage of total loans was 0.67% as of March 31, 2025, 0.68% as of December 31, 2024 and 0.73% as of March 31, 2024. The proportionate increase in government-guaranteed loans over the respective periods is the main driver of the decrease in the ACL as a percentage of total loans year-over-year. Balances in such loans are 100% government-guaranteed and do not require an ACL. In addition, the sequential quarter variance is partially due to declines in balances within loan pools that had higher loss rates.The fair value mark that was allocated to the acquired loans was $21.3 million as of April 1, 2021, with a remaining balance of $6.2 million as of March 31, 2025.For the three months ended March 31, 2025, the Company recorded a net recovery of provision for credit losses of $160 thousand, due primarily to declines in balances within loan pools that had higher loss rates; this recovery includes a $55 thousand recovery of provision for unfunded reserves, as a result of a decline in unfunded construction commitments. Net Interest Income Net interest income for the three months ended March 31, 2025 of $12.3 million increased $1.4 million, or 12.4%, compared to the three months ended March 31, 2024, as interest income earned on assets increased and interest expense on deposit accounts declined.Net interest margin (FTE), (a non-GAAP financial measure)1, for the three months ended March 31, 2025 was 3.28%, compared to 2.93% for the three months ended March 31, 2024. The increase as compared to the first quarter of 2024 was the outcome of the higher yielding mix of interest earning assets and the decrease in cost of funds, both described below.The Bank's yield on loans was 5.60% for the three months ended March 31, 2025, compared to 5.64% for the prior year same period. The accretion of the credit mark related to purchased loans positively impacted interest income by 14 bps in the first quarter of 2025, compared to 16 bps in the first quarter of 2024.The overall cost of funds, including noninterest-bearing deposits, of 187 bps incurred in the three months ended March 31, 2025 decreased 24 bps from 211 bps in the same period in the prior year. Overall, the cost of interest-bearing deposits decreased period over period by 35 bps, from a cost of 273 bps to 238 bps. The cost of borrowings increased at a more modest level, increasing 19 bps from the first quarter of 2024 to the first quarter of 2025, from 4.64% to 4.83%. 1 See "Reconciliation of Certain Quarterly Non-GAAP Financial Measures" at the end of this release. Noninterest Income Noninterest income for the three months ended March 31, 2025 decreased $418 thousand, or 19.2%, compared to the three months ended March 31, 2024, as a gain on early redemption of debt of $379 thousand and Masonry wealth management fees of $190 thousand were recognized in the prior year first quarter and not repeated in 2025. The declines were partially offset by a gain on the sale of a branch building of $278 thousand. Noninterest Expense Noninterest expense for the three months ended March 31, 2025 remained flat, increasing a mere $6 thousand, or 0.07%, compared to the three months ended March 31, 2024. Decreased compensation expense of $216 thousand due to lower headcount was partially offset by increased legal fees of $165 thousand related to special projects and general inflationary increases in the costs of other services. Income Taxes The effective tax rates amounted to 16.7% and 15.5% for the three months ended March 31, 2025 and 2024, respectively. For each period, the effective income tax rate differed from the U.S. statutory rate of 21% due to the recognition of low-income housing tax credits and the effect of tax-exempt income from municipal bonds and income from bank owned life insurance policies. The effective tax rate for the prior year period was lower than the current year due to the application of prior period tax adjustments. Book Value Book value per share increased to $30.93 as of March 31, 2025, compared to $28.31 as of March 31, 2024, and tangible book value per share (a non-GAAP financial measure)1 was $28.84 as of March 31, 2025 compared to $25.99 as of March 31, 2024. These values increased as net retained income increased and the impact of intangible assets declined due to the ongoing amortization of the Company's core deposit intangible asset. Dividends Paid in First Quarter Cash dividends of $1.8 million, or $0.33 per share, were declared and paid during the first quarter of 2025. The remaining 60% of net income was retained. 1 See "Reconciliation of Certain Quarterly Non-GAAP Financial Measures" at the end of this release. About Virginia National Bankshares Corporation Virginia National Bankshares Corporation, headquartered in Charlottesville, Virginia, is the bank holding company for Virginia National Bank. The Bank has seven banking offices throughout Fauquier and Prince William counties, four banking offices in Charlottesville and Albemarle County (including one limited-service banking facility), and banking offices in Winchester and Richmond, Virginia. The Bank offers a full range of banking and related financial services to meet the needs of individuals, businesses and charitable organizations, including the fiduciary services of VNB Trust and Estate Services. The Company's common stock trades on the Nasdaq Capital Market under the symbol "VABK." Additional information on the Company is also available at www.vnbcorp.com. Non-GAAP Financial Measures The accounting and reporting policies of the Company conform to U.S. generally accepted accounting principles ("GAAP") and prevailing practices in the banking industry. However, management uses certain non-GAAP measures to supplement the evaluation of the Company's performance. Management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses. These non-GAAP disclosures should not be viewed as a substitute for, or more important than, operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Reconciliations of GAAP to non-GAAP measures are included at the end of this release. Forward-Looking Statements; Other Information Certain statements in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation, statements with respect to the Company's operations, performance, future strategy and goals, and are often characterized by use of qualified words such as "expect," "believe," "estimate," "project," "anticipate," "intend," "will," "should," or words of similar meaning or other statements concerning the opinions or judgement of the Company and its management about future events. While Company management believes such statements to be reasonable, future events and predictions are subject to circumstances that are not within the control of the Company and its management. Actual results may differ materially from those included in the forward-looking statements due to a number of factors, including, without limitation, the effects of and changes in: inflation, interest rates, market and monetary fluctuations; liquidity and capital requirements; market disruptions including pandemics or significant health hazards, severe weather conditions, natural disasters, terrorist activities, financial crises, political crises, war and other military conflicts or other major events, the governmental and societal responses thereto, or the prospect of these events; changes, particularly declines, in general economic and market conditions in the local economies in which the Company operates, including the effects of declines in real estate values; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; the impact of changes in laws, regulations and guidance related to financial services including, but not limited to, taxes, banking, securities and insurance; changes in accounting principles, policies and guidelines; the financial condition of the Company's borrowers; the Company's ability to attract, hire, train and retain qualified employees; an increase in unemployment levels; competitive pressures on loan and deposit pricing and demand; fluctuation in asset quality; assumptions that underlie the Company's ACL; the value of securities held in the Company's investment portfolio; performance of assets under management; cybersecurity threats or attacks and the development and maintenance of reliable electronic systems; changes in technology and their impact on the marketing of new products and services and the acceptance of these products and services by new and existing customers; the willingness of customers to substitute competitors' products and services for the Company's products and services; the risks and uncertainties described from time to time in the Company's press releases and filings with the SEC; and the Company's performance in managing the risks involved in any of the foregoing. Many of these factors and additional risks and uncertainties are described in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 and other reports filed from time to time by the Company with the Securities and Exchange Commission. These statements speak only as of the date made, and the Company does not undertake to update any forward-looking statements to reflect changes or events that may occur after this release. VIRGINIA NATIONAL BANKSHARES CORPORATION CONSOLIDATED BALANCE SHEETS (dollars in thousands, except per share data) March 31, 2025 December 31, 2024* (Unaudited) ASSETS Cash and due from banks $ 16,574 $ 5,311 Interest-bearing deposits in other banks 9,658 11,792 Federal funds sold 3,341 - Securities: Available for sale (AFS), at fair value 262,923 263,537 Restricted securities, at cost 6,172 6,193 Total securities 269,095 269,730 Loans, net of deferred fees and costs 1,242,498 1,235,969 Allowance for credit losses (8,328) (8,455) Loans, net 1,234,170 1,227,514 Premises and equipment, net 12,479 15,383 Bank owned life insurance 40,352 40,059 Goodwill 7,768 7,768 Core deposit intangible, net 3,497 3,792 Right of use asset, net 5,179 5,551 Deferred tax asset, net 14,469 15,407 Accrued interest receivable and other assets 17,443 14,519 Total assets $ 1,634,025 $ 1,616,826 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities: Demand deposits: Noninterest-bearing $ 379,059 $ 374,079 Interest-bearing 283,704 303,405 Money market and savings deposit accounts 472,952 437,619 Certificates of deposit and other time deposits 298,498 308,443 Total deposits 1,434,213 1,423,546 Federal funds purchased - 236 Borrowings 20,000 20,000 Junior subordinated debt, net 3,518 3,506 Lease liability 5,026 5,389 Accrued interest payable and other liabilities 4,487 3,847 Total liabilities 1,467,244 1,456,524 Commitments and contingent liabilities Shareholders' equity: Preferred stock, $2.50 par value - - Common stock, $2.50 par value 13,296 13,263 Capital surplus 106,609 106,394 Retained earnings 85,217 82,507 Accumulated other comprehensive loss (38,341) (41,862) Total shareholders' equity 166,781 160,302 Total liabilities and shareholders' equity $ 1,634,025 $ 1,616,826 Common shares outstanding 5,391,979 5,370,912 Common shares authorized 10,000,000 10,000,000 Preferred shares outstanding - - Preferred shares authorized 2,000,000 2,000,000 * Derived from audited consolidated financial statements VIRGINIA NATIONAL BANKSHARES CORPORATION CONSOLIDATED STATEMENTS OF INCOME (dollars in thousands, except per share data) (Unaudited) For the three months ended March 31, 2025 March 31, 2024 Interest and dividend income: Loans, including fees $ 17,033 $ 15,661 Federal funds sold 184 239 Other interest-bearing deposits 43 57 Investment securities: Taxable 1,309 2,159 Tax exempt 323 326 Dividends 115 118 Total interest and dividend income 19,007 18,560 Interest expense: Demand deposits 69 71 Money market and savings deposits 3,003 2,922 Certificates and other time deposits 3,054 4,050 Borrowings 509 486 Federal funds purchased 7 7 Junior subordinated debt 70 88 Total interest expense 6,712 7,624 Net interest income 12,295 10,936 Recovery of credit losses (160) (22) Net interest income after recovery of credit losses 12,455 10,958 Noninterest income: Wealth management fees 229 426 Deposit account fees 307 387 Debit/credit card and ATM fees 370 488 Bank owned life insurance income 293 275 Gains on sales of assets, net 278 39 Gain on early redemption of debt - 379 Losses on sales of AFS, net - (4) Other 283 188 Total noninterest income 1,760 2,178 Noninterest expense: Salaries and employee benefits 3,936 4,152 Net occupancy 1,016 972 Equipment 186 171 Bank franchise tax 339 340 Computer software 256 208 Data processing 735 739 FDIC deposit insurance assessment 145 195 Marketing, advertising and promotion 254 248 Professional fees 256 252 Legal fees 237 71 Core deposit intangible amortization 295 343 Other 1,170 1,128 Total noninterest expense 8,825 8,819 Income before income taxes 5,390 4,317 Provision for income taxes 901 671 Net income $ 4,489 $ 3,646 Net income per common share, basic $ 0.83 $ 0.68 Net income per common share, diluted $ 0.83 $ 0.68 Weighted average common shares outstanding, basic 5,378,871 5,366,890 Weighted average common shares outstanding, diluted 5,402,936 5,380,081 VIRGINIA NATIONAL BANKSHARES CORPORATION FINANCIAL HIGHLIGHTS (dollars in thousands, except share and per share data) (Unaudited) At or For the Three Months Ended March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Common Share Data: Net income $ 4,489 $ 4,561 $ 4,600 $ 4,159 $ 3,646 Net income per weighted average share, basic $ 0.83 $ 0.85 $ 0.86 $ 0.77 $ 0.68 Net income per weighted average share, diluted $ 0.83 $ 0.85 $ 0.85 $ 0.77 $ 0.68 Weighted average shares outstanding, basic 5,378,871 5,370,912 5,370,912 5,377,055 5,366,890 Weighted average shares outstanding, diluted 5,402,936 5,407,489 5,396,936 5,385,770 5,380,081 Actual shares outstanding 5,391,979 5,370,912 5,370,912 5,370,912 5,390,388 Tangible book value per share at period end 5 $ 28.84 $ 27.70 $ 28.68 $ 26.43 $ 25.99 Key Ratios: Return on average assets 1 1.12 % 1.12 % 1.15 % 1.05 % 0.91 % Return on average equity 1 11.05 % 10.98 % 11.44 % 11.07 % 9.57 % Net interest margin (FTE) 1,2 3.28 % 3.21 % 3.24 % 3.04 % 2.93 % Efficiency ratio (FTE) 3 62.4 % 60.2 % 58.6 % 62.7 % 66.8 % Loan-to-deposit ratio 86.6 % 86.8 % 88.1 % 84.3 % 78.8 % Net Interest Income: Net interest income $ 12,295 $ 12,235 $ 12,024 $ 11,181 $ 10,936 Net interest income (FTE) 2 $ 12,381 $ 12,321 $ 12,111 $ 11,268 $ 11,023 Company Capital Ratios: Tier 1 leverage ratio 11.83 % 11.34 % 11.81 % 11.47 % 11.24 % Total risk-based capital ratio 18.92 % 18.77 % 18.88 % 18.64 % 18.49 % Assets and Asset Quality: Average earning assets $ 1,529,575 $ 1,526,464 $ 1,487,182 $ 1,491,821 $ 1,513,924 Average gross loans $ 1,233,520 $ 1,218,460 $ 1,181,447 $ 1,144,350 $ 1,117,570 Fair value mark on acquired loans $ 6,242 $ 6,785 $ 7,301 $ 8,237 $ 8,811 Allowance for credit losses on loans: Beginning of period $ 8,455 $ 8,523 $ 8,028 $ 8,289 $ 8,395 Provision for (recovery of) credit losses (105) (208) (3) (518) 11 Charge-offs (70) (127) (272) (208) (184) Recoveries 48 267 770 465 67 Net recoveries (charge-offs) (22) 140 498 257 (117) End of period $ 8,328 $ 8,455 $ 8,523 $ 8,028 $ 8,289 Non-accrual loans $ 2,764 $ 2,267 $ 2,113 $ 2,365 $ 2,178 Loans 90 days or more past due and still accruing 2,274 754 3,214 1,596 876 Total nonperforming assets (NPA)4 $ 5,038 $ 3,021 $ 5,327 $ 3,961 $ 3,054 NPA as a % of total assets 0.31 % 0.19 % 0.33 % 0.25 % 0.19 % NPA as a % of gross loans 0.41 % 0.24 % 0.44 % 0.34 % 0.27 % ACL to gross loans 0.67 % 0.68 % 0.70 % 0.69 % 0.73 % Non-accruing loans to gross loans 0.22 % 0.18 % 0.17 % 0.20 % 0.19 % Net charge-offs (recoveries) to average loans 1 0.01 % -0.05 % -0.17 % -0.09 % 0.04 % 1 Ratio is computed on an annualized basis. 2 The net interest margin and net interest income are reported on a fully tax-equivalent basis (FTE) basis, using a Federal income tax rate of 21%. This is a non-GAAP financial measure. Refer to the Reconciliation of Certain Non-GAAP Financial (FTE) Measures at the end of this release. 3 The efficiency ratio (FTE) is computed as a percentage of noninterest expense divided by the sum of net interest income (FTE) and noninterest income. This is a non-GAAP financial measure that management believes provides investors with important information regarding operational efficiency. Management believes such financial information is meaningful to the reader in understanding operating performance, but cautions that such information should not be viewed as a substitute for GAAP. Comparison of our efficiency ratio with those of other companies may not be possible because other companies may calculate them differently. Refer to the Reconciliation of Certain Non-GAAP Financial (FTE) Measures at the end of this release. 4 The Bank held no other real estate owned during any of the periods presented. 5 This is a non-GAAP financial measure. Refer to the Reconciliation of Certain Non-GAAP Financial (FTE) Measures at the end of this release. VIRGINIA NATIONAL BANKSHARES CORPORATION AVERAGE BALANCES, INCOME AND EXPENSES, YIELDS AND RATES (TAXABLE EQUIVALENT BASIS) (dollars in thousands) (Unaudited) For the three months ended March 31, 2025 March 31, 2024 Interest Interest Average Income/ Average Average Income/ Average Balance Expense Yield/Cost Balance Expense Yield/Cost ASSETS Interest Earning Assets: Securities: Taxable Securities and Dividends $ 205,705 $ 1,424 2.77 % $ 303,736 $ 2,277 3.00 % Tax Exempt Securities1 65,780 409 2.49 % 66,589 413 2.48 % Total Securities1 271,485 1,833 2.70 % 370,325 2,690 2.91 % Loans: Real Estate 946,762 13,386 5.73 % 905,485 12,543 5.57 % Commercial 253,559 3,091 4.94 % 174,377 2,424 5.59 % Consumer 33,199 556 6.79 % 37,708 694 7.40 % Total Loans 1,233,520 17,033 5.60 % 1,117,570 15,661 5.64 % Federal funds sold 16,876 184 4.42 % 17,624 239 5.45 % Other interest-bearing deposits 7,694 43 2.27 % 8,405 57 2.73 % Total Earning Assets 1,529,575 19,093 5.06 % 1,513,924 18,647 4.95 % Less: Allowance for Credit Losses (8,494) (8,413) Total Non-Earning Assets 108,278 109,862 Total Assets $ 1,629,359 $ 1,615,373 LIABILITIES AND SHAREHOLDERS' EQUITY Interest Bearing Liabilities: Interest Bearing Deposits: Interest Checking $ 274,777 $ 69 0.10 % $ 282,825 $ 71 0.10 % Money Market and Savings Deposits 464,405 3,003 2.62 % 411,973 2,922 2.85 % Time Deposits 306,331 3,054 4.04 % 341,083 4,050 4.78 % Total Interest-Bearing Deposits 1,045,513 6,126 2.38 % 1,035,881 7,043 2.73 % Borrowings 42,765 509 4.83 % 42,154 486 4.64 % Federal funds purchased 558 7 5.09 % 495 7 5.69 % Junior subordinated debt 3,511 70 8.09 % 3,465 88 10.21 % Total Interest-Bearing Liabilities 1,092,347 6,712 2.49 % 1,081,995 7,624 2.83 % Non-Interest-Bearing Liabilities: Demand deposits 362,354 368,535 Other liabilities 9,872 11,537 Total Liabilities 1,464,573 1,462,067 Shareholders' Equity 164,786 153,306 Total Liabilities & Shareholders' Equity $ 1,629,359 $ 1,615,373 Net Interest Income (FTE) $ 12,381 $ 11,023 Interest Rate Spread2 2.57 % 2.12 % Cost of Funds 1.87 % 2.11 % Interest Expense as a Percentage of Average Earning Assets 1.78 % 2.03 % Net Interest Margin (FTE)3, 4 3.28 % 2.93 % 1 Tax-exempt income for investment securities has been adjusted to a fully tax-equivalent basis (FTE), using a Federal income tax rate of 21%. Refer to the Reconcilement of Non-GAAP Measures table at the end of this release. 2 Interest spread is the average yield earned on earning assets less the average rate paid on interest-bearing liabilities. 3 Net interest margin (FTE) is net interest income expressed as a percentage of average earning assets. 4 Ratio is computed on an annualized basis. VIRGINIA NATIONAL BANKSHARES CORPORATION RECONCILIATION OF CERTAIN QUARTERLY NON-GAAP FINANCIAL MEASURES (dollars in thousands, except per share data) (Unaudited) For the Three Months Ended March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Fully tax-equivalent measures Net interest income $ 12,295 $ 12,235 $ 12,024 $ 11,181 $ 10,936 Fully tax-equivalent adjustment 86 86 87 87 87 Net interest income (FTE)1 $ 12,381 $ 12,321 $ 12,111 $ 11,268 $ 11,023 Efficiency ratio2 62.8 % 60.6 % 58.9 % 63.1 % 67.2 % Fully tax-equivalent adjustment -0.4 % -0.4 % -0.3 % -0.4 % -0.4 % Efficiency ratio (FTE) 3 62.4 % 60.2 % 58.6 % 62.7 % 66.8 % Net interest margin 3.26 % 3.19 % 3.22 % 3.01 % 2.91 % Fully tax-equivalent adjustment 0.02 % 0.02 % 0.02 % 0.03 % 0.02 % Net interest margin (FTE)1 3.28 % 3.21 % 3.24 % 3.04 % 2.93 % As of March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Other financial measures Book value per share $ 30.93 $ 29.85 $ 30.89 $ 28.70 $ 28.31 Impact of intangible assets4 (2.09) (2.15) (2.21) (2.27) (2.32) Tangible book value per share (non-GAAP) $ 28.84 $ 27.70 $ 28.68 $ 26.43 $ 25.99 1 FTE calculations use a Federal income tax rate of 21%. 2 The efficiency ratio, GAAP basis, is computed by dividing noninterest expense by the sum of net interest income and noninterest income. 3 The efficiency ratio, FTE, is computed by dividing noninterest expense by the sum of net interest income (FTE) and noninterest income. 4 Intangible assets include goodwill and core deposit intangible assets, net of accumulated amortization, for all periods presented. View original content to download multimedia:https://www.prnewswire.com/news-releases/virginia-national-bankshares-corporation-announces-2025-first-quarter-earnings-and--increase-in-quarterly-dividend-302437431.html SOURCE Virginia National Bankshares Corporation