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Full Year Highlights:
Full year fully diluted EPS of $3.01.
Full year net interest margin increased 58 basis points over the prior year.
Full year loan growth of 8.2%.
Full year deposit growth of 11.8%.
Non-interest bearing DDA up 10% during 2025.
Tangible book value per share increased 15.4%.
HONESDALE, Pa., Jan. 22, 2026 (GLOBE NEWSWIRE) -- Norwood Financial Corp (Nasdaq Global Market-NWFL) and its subsidiary, Wayne Bank, announced results for the three months and full year ended December 31, 2025.
Jim Donnelly, President and Chief Executive Officer, stated, “We finished the year on a positive note in the fourth quarter, as we continued to maintain solid growth, while improving profitability and efficiency. Our disciplined approach and commitment to core values propels us to be able to deliver strong results for our shareholders. I am proud of the performance of the entire Norwood team as they remain focused on delivering the products and services that help our customers achieve their goals. This gives us great momentum as we enter 2026.
“On January 5, we closed on the acquisition of Presence Bank, giving us a larger geographic presence, greater assets, and a talented team dedicated to serving our communities. I am energized by this combination and believe that we are on our way to creating a bright future for us, our customers, and our shareholders.”
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(dollars in thousands, except per share data) | Year-Over Year | Linked Quarter | Year-to-Date |
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3 Months Ended | 3 Months Ended | 12 Months Ended |
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Dec-25 | Dec-24 | Change | Sep-25 | Change | Dec-25 | Dec-24 | Change |
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Net interest income | $ | 20,944 |
| $ | 16,625 |
| $ | 4,319 | $ | 20,458 |
| $ | 486 |
| $ | 78,324 |
| $ | 62,191 |
| $ | 16,133 |
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Net interest spread (fte) 1 |
| 2.93 | % |
| 2.31 | % | 62 bps |
| 0.00 | % | (1) bp |
| 2.81 | % |
| 2.17 | % | 64 bps |
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Net interest margin (fte) 1 |
| 3.60 | % |
| 3.04 | % | 56 bps |
| 3.63 | % | (3) bps |
| 3.49 | % |
| 2.91 | % | 58 bps |
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Pre Provision Net Revenue (PPNR) 1 | $ | 9,836 |
| $ | (14,453 | ) | $ | 24,289 | $ | 10,029 |
| $ | (193 | ) | $ | 36,792 |
| $ | 2,415 |
| $ | 34,377 |
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Net income (loss) | $ | 7,442 |
| $ | (12,651 | ) | $ | 20,093 | $ | 8,334 |
| $ | (892 | ) | $ | 27,755 |
| $ | (160 | ) | $ | 27,915 |
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Diluted earnings per share | $ | 0.81 |
| $ | (1.54 | ) | $ | 2.35 | $ | 0.89 |
| $ | (0.08 | ) | $ | 3.01 |
| $ | (0.02 | ) | $ | 3.03 |
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Return on average assets |
| 1.21 | % |
| -2.19 | % | 340 bps |
| 1.40 | % | -19 bps |
| 1.17 | % |
| -0.01 | % | 118 bps |
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Return on average tangible equity |
| 14.01 | % |
| -30.77 | % | 4478 bps |
| 16.76 | % | -275 bps |
| 14.03 | % |
| -0.10 | % | 1413 bps |
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1 - Non GAAP ratio. See Non-GAAP Reconciliation |
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Excluding 2025 merger charges and 2024 Loss on Sale of Securities (see Non-GAAP reconciliations) |
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(dollars in thousands, except per share data) | Year-Over Year | Linked Quarter | Year-to-Date |
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3 Months Ended | 3 Months Ended | 12 Months Ended |
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Dec-25 | Dec-24 | Change | Sep-25 | Change | Dec-25 | Dec-24 | Change |
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Pre Provision Net Revenue (PPNR) | $ | 10,356 |
| $ | 5,509 |
| $ | 4,847 | $ | 10,597 |
| $ | (241 | ) | $ | 38,030 |
| $ | 22,377 |
| $ | 15,653 |
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Net income (loss) | $ | 7,853 |
| $ | 3,119 |
| $ | 4,734 | $ | 8,783 |
| $ | (930 | ) | $ | 28,773 |
| $ | 15,610 |
| $ | 13,163 |
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Diluted earnings per share | $ | 0.85 |
| $ | 0.38 |
| $ | 0.47 | $ | 0.94 |
| $ | (0.09 | ) | $ | 3.11 |
| $ | 1.93 |
| $ | 1.18 |
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Return on average assets |
| 1.28 | % |
| 0.54 | % | 74 bps |
| 1.47 | % | -19 bps |
| 1.21 | % |
| 0.69 | % | 52 bps |
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Return on average tangible equity |
| 14.78 | % |
| 7.59 | % | 719 bps |
| 17.66 | % | -288 bps |
| 14.53 | % |
| 9.97 | % | 456 bps |
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Discussion of financial results for the three months and full year ended December 31, 2025 (all comparisons are year-over-year):
Fourth quarter net income of $7.4 million increased $20.0 million.
Net interest income increased during the fourth quarter due to increases in earning assets and yields on those assets while interest costs of liabilities decreased.
Correspondingly, the net interest margin in the fourth quarter was 3.60% compared to 3.04%.
Non-interest income for the full year increased $806 thousand or 9.2%, excluding the 2024 loss on the sale of securities.
Total assets were $2.425 billion, compared to $2.317 billion, an increase of 4.63%.
Loans receivable were $1.853 billion, compared to $1.713 billion, an increase of 8.2%.
Total deposits were $2.079 billion, compared to $1.859 billion, an increase of 11.8%.
Tangible Common Equity Ratio was 8.88%, versus 8.05%.
Tangible Book Value per share increased $3.05 to $22.90 from $19.85.
Norwood Financial Corp is the parent company of Wayne Bank, which operates from fifteen offices throughout Northeastern Pennsylvania and fourteen offices in Delaware, Sullivan, Ontario, Otsego and Yates Counties, New York. The Company’s stock trades on the Nasdaq Global Market under the symbol “NWFL”.
Forward-Looking Statements
The Private Securities Litigation Reform Act of 1995 contains safe harbor provisions regarding forward-looking statements. When used in this discussion, the words “believes”, “anticipates”, “contemplates”, “expects”, “bode”, “future performance”, “solid footing,” “good momentum,” “bright future”, “robust growth” and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, which could cause actual results to differ materially from those projected. Those risks and uncertainties include, among other things, changes in federal and state laws, changes in interest rates, our ability to maintain strong credit quality metrics, our ability to have future performance, our ability to control core operating expenses and costs, demand for real estate, government fiscal and trade policies, cybersecurity and general economic conditions. The Company undertakes no obligation to publicly release the results of any revisions to those forward-looking statements which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Non-GAAP Measures
In addition to presenting information in conformity with accounting principles generally accepted in the United States of America (GAAP), this news release contains financial information determined by methods other than GAAP (non-GAAP). The following measures used in this release, which are commonly utilized by financial institutions, have not been specifically exempted by the Securities and Exchange Commission ("SEC") and may constitute "non-GAAP financial measures" within the meaning of the SEC's rules.
The Company has provided in this news release supplemental disclosures for the calculation of
Net Interest Spread (fte)
Net Interest Margin (fte)
Pre-Provision Net Revenue
Earnings per share
Return on average assets
Return on average tangible equity
Management believes that the non-GAAP financial measures disclosed by the Company from time to time are useful in evaluating the Company's performance and that such information should be considered as supplemental in nature and not as a substitute for or superior to the related financial information prepared in accordance with GAAP. Our non-GAAP financial measures may differ from similar measures presented by other companies. Refer to the tables on pages 10-12 for Non-GAAP to GAAP reconciliations.
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Contact: | John M. McCaffery |
| Executive Vice President & |
| Chief Financial Officer |
| NORWOOD FINANCIAL CORP |
| 272-304-3003 |
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NORWOOD FINANCIAL CORP | |||||||
Consolidated Balance Sheets | |||||||
(dollars in thousands, except share and per share data) | |||||||
(unaudited) | |||||||
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| December 31 | ||||
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| 2025 |
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| 2024 |
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ASSETS |
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Cash and due from banks |
| $ | 32,118 |
| $ | 27,562 |
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Interest-bearing deposits with banks |
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| 12,318 |
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| 44,777 |
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Cash and cash equivalents |
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| 44,436 |
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| 72,339 |
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Securities available for sale |
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| 408,782 |
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| 397,846 |
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Loans receivable |
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| 1,853,422 |
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| 1,713,638 |
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Less: Allowance for credit losses |
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| 19,882 |
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| 19,843 |
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Net loans receivable |
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| 1,833,540 |
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| 1,693,795 |
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Regulatory stock, at cost |
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| 6,623 |
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| 13,366 |
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Bank premises and equipment, net |
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| 22,971 |
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| 19,657 |
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Bank owned life insurance |
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| 46,089 |
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| 46,657 |
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Foreclosed real estate owned |
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| 771 |
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| - |
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Accrued interest receivable |
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| 9,250 |
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| 8,466 |
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Deferred tax assets, net |
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| 14,654 |
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| 17,696 |
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Goodwill |
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| 29,266 |
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| 29,266 |
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Other intangible assets |
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| 98 |
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| 152 |
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Other assets |
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| 8,362 |
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| 18,222 |
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TOTAL ASSETS |
| $ | 2,424,842 |
| $ | 2,317,462 |
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LIABILITIES |
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Deposits: |
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Non-interest bearing demand |
| $ | 419,597 |
| $ | 381,479 |
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Interest-bearing |
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| 1,659,048 |
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| 1,477,684 |
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Total deposits |
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| 2,078,645 |
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| 1,859,163 |
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Short-term borrowings |
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| 14,714 |
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| 113,069 |
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Other borrowings |
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| 59,419 |
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| 101,793 |
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Accrued interest payable |
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| 12,138 |
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| 12,615 |
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Other liabilities |
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| 17,769 |
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| 17,314 |
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TOTAL LIABILITIES |
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| 2,182,685 |
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| 2,103,954 |
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STOCKHOLDERS' EQUITY |
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Preferred Stock, no par value per share, authorized 5,000,000 shares |
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| - |
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| - |
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Common Stock, $.10 par value per share, authorized: 20,000,000 shares, issued: 2025: 9,516,503 shares, 2024: 9,487,068 shares |
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| 952 |
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| 949 |
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Surplus |
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| 127,426 |
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| 126,514 |
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Retained earnings |
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| 141,130 |
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| 124,963 |
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Treasury stock, at cost: 2025: 222,645 shares, 2024: 214,161 shares |
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| (6,008 | ) |
| (5,797 | ) |
Accumulated other comprehensive loss |
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| (21,343 | ) |
| (33,121 | ) |
TOTAL STOCKHOLDERS' EQUITY |
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| 242,157 |
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| 213,508 |
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
| $ | 2,424,842 |
| $ | 2,317,462 |
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NORWOOD FINANCIAL CORP | ||||||||||||||
Consolidated Statements of Income | ||||||||||||||
(dollars in thousands, except per share data) | ||||||||||||||
(unaudited) | ||||||||||||||
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| Three Months Ended December 31, |
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| Twelve Months Ended December 31, | ||||||||
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| 2025 |
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| 2024 |
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| 2025 |
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| 2024 |
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INTEREST INCOME |
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Loans receivable, including fees | $ | 28,666 |
| $ | 26,122 |
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| $ | 109,910 |
| $ | 99,388 |
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Securities |
| 3,906 |
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| 2,789 |
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| 15,554 |
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| 10,424 |
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Other |
| 474 |
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| 574 |
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| 1,064 |
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| 2,768 |
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Total Interest income |
| 33,046 |
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| 29,485 |
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| 126,528 |
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| 112,580 |
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INTEREST EXPENSE |
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Deposits |
| 11,334 |
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| 10,984 |
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| 43,681 |
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| 42,334 |
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Short-term borrowings |
| 25 |
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| 348 |
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| 798 |
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| 1,363 |
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Other borrowings |
| 743 |
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| 1,528 |
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| 3,725 |
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| 6,692 |
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Total Interest expense |
| 12,102 |
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| 12,860 |
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| 48,204 |
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| 50,389 |
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NET INTEREST INCOME |
| 20,944 |
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| 16,625 |
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| 78,324 |
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| 62,191 |
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PROVISION FOR CREDIT LOSSES | $ | 468 |
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| 1,604 |
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| $ | 1,773 |
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| 2,673 |
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NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES |
| 20,476 |
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| 15,021 |
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| 76,551 |
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| 59,518 |
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OTHER INCOME |
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Service charges and fees |
| 1,734 |
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| 1,595 |
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| 6,421 |
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| 5,959 |
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Income from fiduciary activities |
| 228 |
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| 224 |
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| 1,033 |
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| 943 |
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Net realized (losses) gains on sales of securities |
| - |
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| (19,962 | ) |
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| - |
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| (19,962 | ) |
Gains on sales of loans, net |
| 83 |
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| 50 |
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| 326 |
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| 195 |
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Gains on sales of foreclosed real estate owned |
| 0 |
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| 0 |
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| 0 |
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| 32 |
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Earnings and proceeds on life insurance policies |
| 268 |
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| 275 |
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| 1,088 |
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| 1,056 |
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Other |
| 198 |
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| 159 |
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| 749 |
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| 626 |
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Total other income |
| 2,511 |
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| (17,659 | ) |
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| 9,617 |
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| (11,151 | ) |
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| 8,811 |
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OTHER EXPENSES |
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Salaries and employee benefits |
| 7,155 |
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| 6,690 |
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| 26,928 |
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| 25,018 |
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Occupancy, furniture and equipment |
| 1,390 |
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| 1,291 |
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| 5,478 |
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| 5,049 |
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Data processing and related operations |
| 1,203 |
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| 1,312 |
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| 4,563 |
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| 4,520 |
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Taxes, other than income |
| 192 |
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| 163 |
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| 770 |
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| 615 |
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Professional fees |
| 898 |
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| 504 |
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| 3,148 |
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| 2,173 |
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FDIC Insurance assessment |
| 423 |
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| 335 |
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| 1,552 |
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| 1,344 |
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Foreclosed real estate |
| 0 |
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| 9 |
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| 142 |
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| 54 |
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Amortization of intangibles |
| 11 |
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| 15 |
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| 54 |
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| 69 |
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Other |
| 2,347 |
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| 3,100 |
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| 8,514 |
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| 9,783 |
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Total other expenses |
| 13,619 |
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| 13,419 |
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| 51,149 |
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| 48,625 |
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INCOME BEFORE TAX (BENEFIT) EXPENSE |
| 9,368 |
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| (16,057 | ) |
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| 35,019 |
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| (258 | ) |
INCOME TAX (BENEFIT) EXPENSE |
| 1,926 |
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| (3,406 | ) |
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| 7,264 |
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| (98 | ) |
NET (LOSS) INCOME | $ | 7,442 |
| $ | (12,651 | ) |
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| $ | 27,755 |
| $ | (160 | ) |
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Basic (loss) earnings per share | $ | 0.80 |
| $ | (1.54 | ) |
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| $ | 3.01 |
| $ | (0.02 | ) |
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Diluted (loss) earnings per share | $ | 0.80 |
| $ | (1.54 | ) |
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| $ | 3.01 |
| $ | (0.02 | ) |
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NORWOOD FINANCIAL CORP | ||||||||||||||||||||||||||||
NET INTEREST MARGIN ANALYSIS | ||||||||||||||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||||||||
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| For the Quarter Ended | ||||||||||||||||||||||||||
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| December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||||||||
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| Average |
| Average |
| Average |
| Average |
| Average |
| Average |
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| Balance | Interest | Rate |
| Balance | Interest | Rate |
| Balance | Interest | Rate |
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| (2) | (1) | (3) |
| (2) | (1) | (3) |
| (2) | (1) | (3) |
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Assets |
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Interest-earning assets: |
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Interest-bearing deposits with banks |
| $ | 46,766 |
| $ | 474 |
| 4.02 |
| % | $ | 12,485 |
| $ | 144 |
| 4.58 |
| % | $ | 46,629 |
| $ | 574 |
| 4.90 |
| % |
Securities available for sale: |
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Taxable |
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| 400,094 |
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| 3,656 |
| 3.63 |
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| 399,090 |
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| 3,661 |
| 3.64 |
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| 404,777 |
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| 2,434 |
| 2.39 |
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Tax-exempt (1) |
|
| 44,700 |
|
| 316 |
| 2.80 |
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| 44,074 |
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| 312 |
| 2.81 |
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| 65,628 |
|
| 449 |
| 2.72 |
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Total securities available for sale (1) |
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| 444,794 |
|
| 3,972 |
| 3.54 |
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| 443,164 |
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| 3,973 |
| 3.56 |
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| 470,405 |
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| 2,883 |
| 2.44 |
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Loans receivable (1) (4) (5) |
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| 1,835,902 |
|
| 28,786 |
| 6.22 |
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| 1,802,046 |
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| 28,267 |
| 6.22 |
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| 1,690,650 |
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| 26,246 |
| 6.18 |
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Total interest-earning assets |
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| 2,327,462 |
|
| 33,232 |
| 5.66 |
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| 2,257,695 |
|
| 32,384 |
| 5.69 |
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| 2,207,684 |
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| 29,703 |
| 5.35 |
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Non-interest earning assets: |
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Cash and due from banks |
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| 31,388 |
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| 31,050 |
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| 27,283 |
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Allowance for credit losses |
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| (20,070 | ) |
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| (21,128 | ) |
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| (18,741 | ) |
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Other assets |
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| 102,792 |
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| 96,142 |
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| 83,506 |
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Total non-interest earning assets |
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| 114,110 |
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| 106,064 |
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| 92,048 |
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Total Assets |
| $ | 2,441,572 |
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|
| $ | 2,363,759 |
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| $ | 2,299,732 |
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Liabilities and Stockholders' Equity |
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Interest-bearing liabilities: |
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|
|
| |||||||||
Interest-bearing demand and money market |
| $ | 640,265 |
| $ | 3,324 |
| 2.06 |
|
| $ | 579,145 |
| $ | 2,900 |
| 1.99 |
|
| $ | 528,330 |
| $ | 3,017 |
| 2.27 |
|
|
Savings |
|
| 198,463 |
|
| 106 |
| 0.21 |
|
|
| 200,559 |
|
| 113 |
| 0.22 |
|
|
| 209,362 |
|
| 162 |
| 0.31 |
|
|
Time |
|
| 848,216 |
|
| 7,904 |
| 3.70 |
|
|
| 822,491 |
|
| 7,717 |
| 3.72 |
|
|
| 764,819 |
|
| 7,805 |
| 4.06 |
|
|
Total interest-bearing deposits |
|
| 1,686,944 |
|
| 11,334 |
| 2.67 |
|
|
| 1,602,195 |
|
| 10,730 |
| 2.66 |
|
|
| 1,502,511 |
|
| 10,984 |
| 2.91 |
|
|
Short-term borrowings |
|
| 2,461 |
|
| 25 |
| 4.03 |
|
|
| 8,740 |
|
| 105 |
| 4.77 |
|
|
| 46,267 |
|
| 348 |
| 2.99 |
|
|
Other borrowings |
|
| 68,025 |
|
| 743 |
| 4.33 |
|
|
| 81,125 |
|
| 899 |
| 4.40 |
|
|
| 133,620 |
|
| 1,528 |
| 4.55 |
|
|
Total interest-bearing liabilities |
|
| 1,757,430 |
|
| 12,102 |
| 2.73 |
|
|
| 1,692,060 |
|
| 11,734 |
| 2.75 |
|
|
| 1,682,398 |
|
| 12,860 |
| 3.04 |
|
|
Non-interest bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Demand deposits |
|
| 413,238 |
|
|
|
|
|
| 416,150 |
|
|
|
|
|
| 394,001 |
|
|
|
|
| ||||||
Other liabilities |
|
| 30,781 |
|
|
|
|
|
| 28,816 |
|
|
|
|
|
| 30,352 |
|
|
|
|
| ||||||
Total non-interest bearing liabilities |
|
| 444,019 |
|
|
|
|
|
| 444,966 |
|
|
|
|
|
| 424,353 |
|
|
|
|
| ||||||
Stockholders' equity |
|
| 240,123 |
|
|
|
|
|
| 226,733 |
|
|
|
|
|
| 192,981 |
|
|
|
|
| ||||||
Total Liabilities and Stockholders' Equity |
| $ | 2,441,572 |
|
|
|
|
| $ | 2,363,759 |
|
|
|
|
| $ | 2,299,732 |
|
|
|
|
| ||||||
Net interest income/spread (tax equivalent basis) |
|
|
|
| 21,130 |
| 2.93 |
| % |
|
|
| 20,650 |
| 2.94 |
| % |
|
|
| 16,843 |
| 2.31 |
| % | |||
Tax-equivalent basis adjustment |
|
|
|
| (186 | ) |
|
|
|
|
| (192 | ) |
|
|
|
|
| (218 | ) |
|
| ||||||
Net interest income |
|
|
| $ | 20,944 |
|
|
|
|
| $ | 20,458 |
|
|
|
|
| $ | 16,625 |
|
|
| ||||||
Net interest margin (tax equivalent basis) |
|
|
|
|
| 3.60 |
| % |
|
|
|
| 3.63 |
| % |
|
|
|
| 3.04 |
| % | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
(1) Interest and yields are presented on a tax-equivalent basis using a marginal tax rate of 21%. | ||||||||||||||||||||||||||||
(2) Average balances have been calculated based on daily balances. | ||||||||||||||||||||||||||||
(3) Annualized | ||||||||||||||||||||||||||||
(4) Loan balances include non-accrual loans and are net of unearned income. | ||||||||||||||||||||||||||||
(5) Loan yields include the effect of amortization of deferred fees, net of costs. | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
NORWOOD FINANCIAL CORP | ||||||||||||||||||||||||||||
NET INTEREST MARGIN ANALYSIS | ||||||||||||||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
| Year to Date | ||||||||||||||||||||||||||
|
| December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||||||||
|
| Average |
| Average |
| Average |
| Average |
| Average |
| Average |
| |||||||||||||||
|
| Balance | Interest | Rate |
| Balance | Interest | Rate |
| Balance | Interest | Rate |
| |||||||||||||||
|
| (2) | (1) | (3) |
| (2) | (1) | (3) |
| (2) | (1) | (3) |
| |||||||||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Interest-bearing deposits with banks |
| $ | 24,822 |
| $ | 1,064 |
| 4.29 |
| % | $ | 17,427 |
| $ | 590 |
| 4.53 |
| % | $ | 51,433 |
| $ | 2,768 |
| 5.38 |
| % |
Securities available for sale: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Taxable |
|
| 402,976 |
|
| 14,563 |
| 3.61 |
|
|
| 403,947 |
|
| 10,907 |
| 3.61 |
|
|
| 400,050 |
|
| 8,948 |
| 2.24 |
|
|
Tax-exempt (1) |
|
| 44,294 |
|
| 1,254 |
| 2.83 |
|
|
| 44,157 |
|
| 938 |
| 2.84 |
|
|
| 68,041 |
|
| 1,868 |
| 2.75 |
|
|
Total securities available for sale (1) |
|
| 447,270 |
|
| 15,817 |
| 3.54 |
|
|
| 448,104 |
|
| 11,845 |
| 3.53 |
|
|
| 468,091 |
|
| 10,816 |
| 2.31 |
|
|
Loans receivable (1) (4) (5) |
|
| 1,791,569 |
|
| 110,422 |
| 6.16 |
|
|
| 1,776,629 |
|
| 81,636 |
| 6.14 |
|
|
| 1,646,128 |
|
| 99,815 |
| 6.06 |
|
|
Total interest-earning assets |
|
| 2,263,661 |
|
| 127,303 |
| 5.62 |
|
|
| 2,242,160 |
|
| 94,071 |
| 5.61 |
|
|
| 2,165,652 |
|
| 113,399 |
| 5.24 |
|
|
Non-interest earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Cash and due from banks |
|
| 30,376 |
|
|
|
|
|
| 30,035 |
|
|
|
|
|
| 26,629 |
|
|
|
|
| ||||||
Allowance for credit losses |
|
| (20,523 | ) |
|
|
|
|
| (20,675 | ) |
|
|
|
|
| (18,450 | ) |
|
|
|
| ||||||
Other assets |
|
| 96,136 |
|
|
|
|
|
| 94,389 |
|
|
|
|
|
| 76,340 |
|
|
|
|
| ||||||
Total non-interest earning assets |
|
| 105,989 |
|
|
|
|
|
| 103,749 |
|
|
|
|
|
| 84,519 |
|
|
|
|
| ||||||
Total Assets |
| $ | 2,369,650 |
|
|
|
|
| $ | 2,345,909 |
|
|
|
|
| $ | 2,250,171 |
|
|
|
|
| ||||||
Liabilities and Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Interest-bearing demand and money market |
| $ | 585,289 |
| $ | 11,912 |
| 2.04 |
|
| $ | 566,762 |
| $ | 8,588 |
| 2.03 |
|
| $ | 476,106 |
| $ | 10,506 |
| 2.21 |
|
|
Savings |
|
| 203,765 |
|
| 480 |
| 0.24 |
|
|
| 205,552 |
|
| 374 |
| 0.24 |
|
|
| 220,190 |
|
| 711 |
| 0.32 |
|
|
Time |
|
| 821,710 |
|
| 31,289 |
| 3.81 |
|
|
| 812,778 |
|
| 23,385 |
| 3.85 |
|
|
| 744,895 |
|
| 31,117 |
| 4.18 |
|
|
Total interest-bearing deposits |
|
| 1,610,764 |
|
| 43,681 |
| 2.71 |
|
|
| 1,585,092 |
|
| 32,347 |
| 2.73 |
|
|
| 1,441,191 |
|
| 42,334 |
| 2.94 |
|
|
Short-term borrowings |
|
| 18,173 |
|
| 798 |
| 4.39 |
|
|
| 23,468 |
|
| 774 |
| 4.41 |
|
|
| 54,867 |
|
| 1,363 |
| 2.48 |
|
|
Other borrowings |
|
| 84,543 |
|
| 3,725 |
| 4.41 |
|
|
| 90,110 |
|
| 2,981 |
| 4.42 |
|
|
| 146,195 |
|
| 6,692 |
| 4.58 |
|
|
Total interest-bearing liabilities |
|
| 1,713,480 |
|
| 48,204 |
| 2.81 |
|
|
| 1,698,670 |
|
| 36,102 |
| 2.84 |
|
|
| 1,642,253 |
|
| 50,389 |
| 3.07 |
|
|
Non-interest bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Demand deposits |
|
| 399,948 |
|
|
|
|
|
| 395,470 |
|
|
|
|
|
| 393,616 |
|
|
|
|
| ||||||
Other liabilities |
|
| 29,062 |
|
|
|
|
|
| 28,978 |
|
|
|
|
|
| 28,350 |
|
|
|
|
| ||||||
Total non-interest bearing liabilities |
|
| 429,010 |
|
|
|
|
|
| 424,448 |
|
|
|
|
|
| 421,966 |
|
|
|
|
| ||||||
Stockholders' equity |
|
| 227,160 |
|
|
|
|
|
| 222,791 |
|
|
|
|
|
| 185,952 |
|
|
|
|
| ||||||
Total Liabilities and Stockholders' Equity |
| $ | 2,369,650 |
|
|
|
|
| $ | 2,345,909 |
|
|
|
|
| $ | 2,250,171 |
|
|
|
|
| ||||||
Net interest income/spread (tax equivalent basis) |
|
|
|
| 79,099 |
| 2.81 |
| % |
|
|
| 57,969 |
| 2.77 |
| % |
|
|
| 63,010 |
| 2.17 |
| % | |||
Tax-equivalent basis adjustment |
|
|
|
| (775 | ) |
|
|
|
|
| (589 | ) |
|
|
|
|
| (819 | ) |
|
| ||||||
Net interest income |
|
|
| $ | 78,324 |
|
|
|
|
| $ | 57,380 |
|
|
|
|
| $ | 62,191 |
|
|
| ||||||
Net interest margin (tax equivalent basis) |
|
|
|
|
| 3.49 |
| % |
|
|
|
| 3.46 |
| % |
|
|
|
| 2.91 |
| % | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
(1) Interest and yields are presented on a tax-equivalent basis using a marginal tax rate of 21%. | ||||||||||||||||||||||||||||
(2) Average balances have been calculated based on daily balances. | ||||||||||||||||||||||||||||
(3) Annualized | ||||||||||||||||||||||||||||
(4) Loan balances include non-accrual loans and are net of unearned income. | ||||||||||||||||||||||||||||
(5) Loan yields include the effect of amortization of deferred fees, net of costs. | ||||||||||||||||||||||||||||
|
|
|
|
|
| ||
NORWOOD FINANCIAL CORP | |||||||
Financial Highlights (Unaudited) | |||||||
(dollars in thousands, except per share data) | |||||||
|
|
|
|
|
| ||
For the Three Months Ended December 31 |
|
| 2025 |
| 2024 | ||
|
|
|
|
|
| ||
Net interest income |
| $ | 20,944 |
| $ | 16,625 |
|
Net (loss) income |
|
| 7,442 |
|
| (12,651 | ) |
|
|
|
|
|
| ||
Net interest spread (fully taxable equivalent) |
|
| 2.93 | % |
| 2.31 | % |
Net interest margin (fully taxable equivalent) |
|
| 3.60 | % |
| 3.04 | % |
Return on average assets |
|
| 1.21 | % |
| -2.19 | % |
Return on average equity |
|
| 12.30 | % |
| -26.08 | % |
Return on average tangible equity |
|
| 14.01 | % |
| -30.77 | % |
Basic (loss) earnings per share |
| $ | 0.80 |
| $ | (1.54 | ) |
Diluted (loss) earnings per share |
| $ | 0.80 |
| $ | (1.54 | ) |
|
|
|
|
|
| ||
For the Twelve Months Ended December 31 |
|
| 2025 |
| 2024 | ||
|
|
|
|
|
| ||
Net interest income |
| $ | 78,324 |
| $ | 62,191 |
|
Net (loss) income |
|
| 27,755 |
|
| (160 | ) |
|
|
|
|
|
| ||
Net interest spread (fully taxable equivalent) |
|
| 2.81 | % |
| 2.17 | % |
Net interest margin (fully taxable equivalent) |
|
| 3.49 | % |
| 2.91 | % |
Return on average assets |
|
| 1.17 | % |
| -0.01 | % |
Return on average equity |
|
| 12.22 | % |
| -0.09 | % |
Return on average tangible equity |
|
| 14.03 | % |
| -0.10 | % |
Basic (loss) earnings per share |
| $ | 3.01 |
| $ | (0.02 | ) |
Diluted (loss) earnings per share |
| $ | 3.01 |
| $ | (0.02 | ) |
|
|
|
|
|
| ||
As of December 31 |
|
| 2025 |
| 2024 | ||
|
|
|
|
|
| ||
Total assets |
| $ | 2,424,842 |
| $ | 2,317,462 |
|
Total loans receivable |
|
| 1,853,422 |
|
| 1,713,638 |
|
Allowance for credit losses |
|
| 19,882 |
|
| 19,843 |
|
Total deposits |
|
| 2,078,645 |
|
| 1,859,163 |
|
Stockholders' equity |
|
| 242,157 |
|
| 213,508 |
|
Trust assets under management |
|
| 213,912 |
|
| 205,097 |
|
|
|
|
|
|
| ||
Book value per share |
| $ | 26.06 |
| $ | 23.02 |
|
Tangible book value per share |
| $ | 22.90 |
| $ | 19.85 |
|
Equity to total assets |
|
| 9.99 | % |
| 9.21 | % |
Allowance to total loans receivable |
|
| 1.07 | % |
| 1.16 | % |
Nonperforming loans to total loans |
|
| 0.34 | % |
| 0.46 | % |
Nonperforming assets to total assets |
|
| 0.29 | % |
| 0.34 | % |
|
|
|
|
|
| ||
NORWOOD FINANCIAL CORP | |||||||||||||||||
Consolidated Balance Sheets (unaudited) | |||||||||||||||||
(dollars in thousands) | |||||||||||||||||
|
|
| December 31 |
| September 30 |
| June 30 |
| March 31 |
| December 31 |
| |||||
|
|
| 2025 |
| 2025 |
| 2025 |
| 2025 |
| 2024 |
| |||||
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Cash and due from banks |
| $ | 32,118 |
| $ | 50,348 |
| $ | 32,052 |
| $ | 31,729 |
| $ | 27,562 |
|
|
Interest-bearing deposits with banks |
|
| 12,318 |
|
| 24,382 |
|
| 20,993 |
|
| 43,678 |
|
| 44,777 |
|
|
Cash and cash equivalents |
|
| 44,436 |
|
| 74,730 |
|
| 53,045 |
|
| 75,407 |
|
| 72,339 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Securities available for sale |
|
| 408,782 |
|
| 403,989 |
|
| 402,460 |
|
| 408,742 |
|
| 397,846 |
|
|
Loans receivable |
|
| 1,853,422 |
|
| 1,814,682 |
|
| 1,790,574 |
|
| 1,771,269 |
|
| 1,713,638 |
|
|
Less: Allowance for credit losses |
|
| 19,882 |
|
| 19,911 |
|
| 20,908 |
|
| 20,442 |
|
| 19,843 |
|
|
Net loans receivable |
|
| 1,833,540 |
|
| 1,794,771 |
|
| 1,769,666 |
|
| 1,750,827 |
|
| 1,693,795 |
|
|
Regulatory stock, at cost |
|
| 6,623 |
|
| 6,163 |
|
| 7,538 |
|
| 7,616 |
|
| 13,366 |
|
|
Bank owned life insurance |
|
| 46,089 |
|
| 45,821 |
|
| 46,099 |
|
| 46,914 |
|
| 46,657 |
|
|
Bank premises and equipment, net |
|
| 22,971 |
|
| 22,292 |
|
| 21,608 |
|
| 20,273 |
|
| 19,657 |
|
|
Foreclosed real estate owned |
|
| 771 |
|
| - |
|
| - |
|
| - |
|
| - |
|
|
Goodwill and other intangibles |
|
| 29,364 |
|
| 29,375 |
|
| 29,387 |
|
| 29,402 |
|
| 29,418 |
|
|
Other assets |
|
| 32,266 |
|
| 34,810 |
|
| 35,547 |
|
| 36,863 |
|
| 44,384 |
|
|
TOTAL ASSETS |
| $ | 2,424,842 |
| $ | 2,411,951 |
| $ | 2,365,350 |
| $ | 2,376,044 |
| $ | 2,317,462 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Non-interest bearing demand |
| $ | 419,597 |
| $ | 424,027 |
| $ | 406,358 |
| $ | 391,377 |
| $ | 381,479 |
|
|
Interest-bearing deposits |
|
| 1,659,048 |
|
| 1,649,941 |
|
| 1,591,476 |
|
| 1,613,071 |
|
| 1,477,684 |
|
|
Total deposits |
|
| 2,078,645 |
|
| 2,073,968 |
|
| 1,997,834 |
|
| 2,004,448 |
|
| 1,859,163 |
|
|
Borrowings |
|
| 74,133 |
|
| 72,071 |
|
| 111,850 |
|
| 118,590 |
|
| 214,862 |
|
|
Other liabilities |
|
| 29,907 |
|
| 31,007 |
|
| 30,241 |
|
| 32,299 |
|
| 29,929 |
|
|
TOTAL LIABILITIES |
|
| 2,182,685 |
|
| 2,177,046 |
|
| 2,139,925 |
|
| 2,155,337 |
|
| 2,103,954 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
STOCKHOLDERS' EQUITY |
|
| 242,157 |
|
| 234,905 |
|
| 225,425 |
|
| 220,707 |
|
| 213,508 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
| $ | 2,424,842 |
| $ | 2,411,951 |
| $ | 2,365,350 |
| $ | 2,376,044 |
| $ | 2,317,462 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
NORWOOD FINANCIAL CORP | |||||||||||||||||
Consolidated Statements of Income (unaudited) | |||||||||||||||||
(dollars in thousands, except per share data) | |||||||||||||||||
|
|
| December 31 |
| September 30 |
| June 30 |
| March 31 |
| December 31 |
| |||||
Three months ended |
|
| 2025 |
| 2025 |
| 2025 |
| 2025 |
| 2024 |
| |||||
INTEREST INCOME |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Loans receivable, including fees |
| $ | 28,666 |
| $ | 28,141 |
| $ | 27,115 |
| $ | 25,988 |
| $ | 26,122 |
|
|
Securities |
|
| 3,906 |
|
| 3,907 |
|
| 3,871 |
|
| 3,870 |
|
| 2,789 |
|
|
Other |
|
| 474 |
|
| 144 |
|
| 220 |
|
| 226 |
|
| 574 |
|
|
Total interest income |
|
| 33,046 |
|
| 32,192 |
|
| 31,206 |
|
| 30,084 |
|
| 29,485 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Deposits |
|
| 11,334 |
|
| 10,730 |
|
| 10,869 |
|
| 10,748 |
|
| 10,984 |
|
|
Borrowings |
|
| 768 |
|
| 1,004 |
|
| 1,272 |
|
| 1,479 |
|
| 1,876 |
|
|
Total interest expense |
|
| 12,102 |
|
| 11,734 |
|
| 12,141 |
|
| 12,227 |
|
| 12,860 |
|
|
NET INTEREST INCOME |
|
| 20,944 |
|
| 20,458 |
|
| 19,065 |
|
| 17,857 |
|
| 16,625 |
|
|
PROVISION FOR (RELEASE OF) CREDIT LOSSES |
|
| 468 |
|
| (502 | ) |
| 950 |
|
| 857 |
|
| 1,604 |
|
|
NET INTEREST INCOME AFTER (RELEASE OF) PROVISION FOR CREDIT LOSSES |
|
| 20,476 |
|
| 20,960 |
|
| 18,115 |
|
| 17,000 |
|
| 15,021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
OTHER INCOME |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Service charges and fees |
|
| 1,734 |
|
| 1,660 |
|
| 1,514 |
|
| 1,513 |
|
| 1,595 |
|
|
Income from fiduciary activities |
|
| 228 |
|
| 254 |
|
| 226 |
|
| 325 |
|
| 224 |
|
|
Net realized (losses) gains on sales of securities |
|
| - |
|
| - |
|
| - |
|
| - |
|
| (19,962 | ) |
|
Gains on sales of loans, net |
|
| 83 |
|
| 130 |
|
| 65 |
|
| 47 |
|
| 50 |
|
|
Gains on sales of foreclosed real estate owned |
|
| - |
|
| - |
|
| - |
|
| - |
|
| - |
|
|
Earnings and proceeds on life insurance policies |
|
| 268 |
|
| 268 |
|
| 266 |
|
| 286 |
|
| 275 |
|
|
Other |
|
| 198 |
|
| 193 |
|
| 177 |
|
| 180 |
|
| 159 |
|
|
Total other income |
|
| 2,511 |
|
| 2,505 |
|
| 2,248 |
|
| 2,351 |
|
| (17,659 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
OTHER EXPENSES |
|
|
|
|
|
|
|
|
|
|
|
| |||||
Salaries and employee benefits |
|
| 7,155 |
|
| 6,696 |
|
| 6,605 |
|
| 6,472 |
|
| 6,690 |
|
|
Occupancy, furniture and equipment, net |
|
| 1,390 |
|
| 1,361 |
|
| 2,538 |
|
| 1,378 |
|
| 1,291 |
|
|
Foreclosed real estate |
|
| - |
|
| 1 |
|
| 137 |
|
| 4 |
|
| 9 |
|
|
FDIC insurance assessment |
|
| 423 |
|
| 368 |
|
| 355 |
|
| 406 |
|
| 335 |
|
|
Other |
|
| 4,651 |
|
| 4,508 |
|
| 2,896 |
|
| 3,804 |
|
| 5,094 |
|
|
Total other expenses |
|
| 13,619 |
|
| 12,934 |
|
| 12,531 |
|
| 12,064 |
|
| 13,419 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
INCOME BEFORE TAX (BENEFIT) EXPENSE |
|
| 9,368 |
|
| 10,531 |
|
| 7,832 |
|
| 7,287 |
|
| (16,057 | ) |
|
INCOME TAX (BENEFIT) EXPENSE |
|
| 1,926 |
|
| 2,197 |
|
| 1,627 |
|
| 1,514 |
|
| (3,406 | ) |
|
NET (LOSS) INCOME |
| $ | 7,442 |
| $ | 8,334 |
| $ | 6,205 |
| $ | 5,773 |
| $ | (12,651 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Basic (loss) earnings per share |
| $ | 0.80 |
| $ | 0.89 |
| $ | 0.67 |
| $ | 0.63 |
| $ | (1.54 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Diluted (loss) earnings per share |
| $ | 0.80 |
| $ | 0.89 |
| $ | 0.67 |
| $ | 0.63 |
| $ | (1.54 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Book Value per share |
| $ | 26.06 |
| $ | 25.36 |
| $ | 24.34 |
| $ | 23.84 |
| $ | 23.02 |
|
|
Tangible Book Value per share |
|
| 22.90 |
|
| 22.19 |
|
| 21.17 |
|
| 20.66 |
|
| 19.85 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Return on average assets (annualized) |
|
| 1.21 | % |
| 1.40 | % |
| 1.06 | % |
| 1.01 | % |
| -2.19 | % |
|
Return on average equity (annualized) |
|
| 12.30 | % |
| 14.58 | % |
| 11.14 | % |
| 10.73 | % |
| -26.08 | % |
|
Return on average tangible equity (annualized) |
|
| 14.01 | % |
| 16.76 | % |
| 12.83 | % |
| 12.40 | % |
| -30.77 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Net interest spread (fte) |
|
| 2.93 | % |
| 2.94 | % |
| 2.75 | % |
| 2.61 | % |
| 2.31 | % |
|
Net interest margin (fte) |
|
| 3.60 | % |
| 3.63 | % |
| 3.43 | % |
| 3.30 | % |
| 3.04 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Allowance for credit losses to total loans |
|
| 1.07 | % |
| 1.10 | % |
| 1.17 | % |
| 1.15 | % |
| 1.16 | % |
|
Net charge-offs to average loans (annualized) |
|
| 0.13 | % |
| 0.13 | % |
| 0.08 | % |
| 0.07 | % |
| 0.12 | % |
|
Nonperforming loans to total loans |
|
| 0.34 | % |
| 0.36 | % |
| 0.45 | % |
| 0.45 | % |
| 0.46 | % |
|
Nonperforming assets to total assets |
|
| 0.29 | % |
| 0.31 | % |
| 0.34 | % |
| 0.33 | % |
| 0.34 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
NORWOOD FINANCIAL CORP | |||||||||||||
Reconciliation of Non-GAAP Adjustments for 2025 Merger Charges | |||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
| |||
Adjusted Return on Average Assets | |||||||||||||
(Dollars in thousands) | |||||||||||||
|
|
| Three Months |
| Three Months |
| Twelve Months | ||||||
|
|
| Ended |
| Ended |
| Ended | ||||||
|
|
| September 30, |
| December 31, |
| December 31, | ||||||
|
|
| 2025 |
| 2025 |
| 2025 | ||||||
Net (loss) income |
| $ | 8,334 |
|
| $ | 7,442 |
|
| $ | 27,755 |
|
|
Average assets |
|
| 2,363,759 |
|
|
| 2,441,572 |
|
|
| 2,369,516 |
|
|
Return on average assets (annualized) |
|
| 1.40 |
| % |
| 1.21 |
| % |
| 1.17 |
| % |
Net (loss) income |
|
| 8,334 |
|
|
| 7,442 |
|
|
| 27,755 |
|
|
Merger Expenses |
|
| 568 |
|
|
| 520 |
|
|
| 1,238 |
|
|
Tax effect at 21% |
|
| (119 | ) |
|
| (109 | ) |
|
| (260 | ) |
|
Adjusted Net Income (Non-GAAP) |
|
| 8,783 |
|
|
| 7,853 |
|
|
| 28,733 |
|
|
Average assets |
|
| 2,363,759 |
|
|
| 2,441,572 |
|
|
| 2,369,516 |
|
|
Adjusted return on average assets (annualized) |
|
|
|
|
|
|
|
|
|
| |||
(Non-GAAP) |
|
| 1.47 |
| % |
| 1.28 |
| % |
| 1.21 |
| % |
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
| |||
Adjusted Return on Average Tangible Shareholders' Equity | |||||||||||||
(Dollars in thousands) | |||||||||||||
|
|
| Three Months |
| Three Months |
| Twelve Months | ||||||
|
|
| Ended |
| Ended |
| Ended | ||||||
|
|
| September 30, |
| December 31, |
| December 31, | ||||||
|
|
| 2025 |
| 2025 |
| 2025 | ||||||
Net (loss) income |
| $ | 8,334 |
|
| $ | 7,442 |
|
| $ | 27,755 |
|
|
Average shareholders' equity |
|
| 226,733 |
|
|
| 240,123 |
|
|
| 227,160 |
|
|
Average intangible assets |
|
| 29,380 |
|
|
| 29,369 |
|
|
| 29,388 |
|
|
Average tangible shareholders' equity |
|
| 197,353 |
|
|
| 210,754 |
|
|
| 197,772 |
|
|
Return on average tangible shareholders' equity (annualized) |
|
| 16.76 |
| % |
| 14.01 |
| % |
| 14.03 |
| % |
Net (loss) income |
|
| 8,334 |
|
|
| 7,442 |
|
|
| 27,755 |
|
|
Merger Expenses |
|
| 568 |
|
|
| 520 |
|
|
| 1,238 |
|
|
Tax effect at 21% |
|
| (119 | ) |
|
| (109 | ) |
|
| (260 | ) |
|
Adjusted Net Income (Non-GAAP) |
|
| 8,783 |
|
|
| 7,853 |
|
|
| 28,733 |
|
|
Average tangible shareholders' equity |
|
| 197,353 |
|
|
| 210,754 |
|
|
| 197,772 |
|
|
Adjusted return on average shareholders' equity (annualized) |
|
|
|
|
|
|
| ||||||
(Non-GAAP) |
|
| 17.66 |
| % |
| 14.78 |
| % |
| 14.53 |
| % |
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
| |||
Adjusted Earnings Per Share | |||||||||||||
(Dollars in thousands) | |||||||||||||
|
|
| Three Months |
| Three Months |
| Twelve Months | ||||||
|
|
| Ended |
| Ended |
| Ended | ||||||
|
|
| September 30, |
| December 31, |
| December 31, | ||||||
|
|
| 2025 |
| 2025 |
| 2025 | ||||||
GAAP-Based Earnings Per Share, Basic |
| $ | 0.89 |
|
| $ | 0.80 |
|
| $ | 3.01 |
|
|
GAAP-Based Earnings Per Share, Diluted |
| $ | 0.89 |
|
| $ | 0.80 |
|
| $ | 3.01 |
|
|
Net (Loss) Income |
|
| 8,334 |
|
|
| 7,442 |
|
|
| 27,755 |
|
|
Merger Expenses |
|
| 568 |
|
|
| 520 |
|
|
| 1,238 |
|
|
Tax effect at 21% |
|
| (119 | ) |
|
| (109 | ) |
|
| (260 | ) |
|
Adjusted Net Income (Non-GAAP) |
|
| 8,783 |
|
|
| 7,853 |
|
|
| 28,733 |
|
|
Adjusted Earnings per Share, Basic (Non-GAAP) |
| $ | 0.94 |
|
| $ | 0.84 |
|
| $ | 3.11 |
|
|
Adjusted Earnings per Share, Diluted (Non-GAAP) |
| $ | 0.94 |
|
| $ | 0.84 |
|
| $ | 3.11 |
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
| |||
Tangible Book Value | |||||||||||||
(Dollars in thousands) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||
|
|
| September 30, |
| December 31, |
|
|
| |||||
|
|
| 2025 |
| 2025 |
|
|
| |||||
Total shareholders' equity |
|
| 234,905 |
|
|
| 242,157 |
|
|
|
|
| |
Adjustments: |
|
|
|
|
|
|
|
|
|
| |||
Goodwill |
|
| (29,266 | ) |
|
| (29,266 | ) |
|
|
|
| |
Other intangible assets |
|
| (109 | ) |
|
| (98 | ) |
|
|
|
| |
Tangible common equity (Non-GAAP) |
|
| 205,530 |
|
|
| 212,793 |
|
|
|
|
| |
Common shares outstanding |
|
| 9,262,325 |
|
|
| 9,293,858 |
|
|
|
|
| |
Book value per common share |
|
| 25.36 |
|
|
| 26.06 |
|
|
|
|
| |
Tangible book value per common share (Non-GAAP) |
|
| 22.19 |
|
|
| 22.90 |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
| |||
NORWOOD FINANCIAL CORP | ||||||||||||
Reconciliation of Non-GAAP Adjustments for 2024 Loss on Sale of Securities | ||||||||||||
|
|
|
|
|
|
|
|
|
|
| ||
Adjusted Return on Average Assets | ||||||||||||
(Dollars in thousands) | ||||||||||||
|
|
| Three Months |
|
|
| Twelve Months |
| ||||
|
|
| Ended |
|
|
| Ended |
| ||||
|
|
| December 31, |
|
|
| December 31, |
| ||||
|
|
| 2024 |
|
|
| 2024 |
| ||||
Net (loss) income |
| $ | (12,651 | ) |
|
|
| $ | (160 | ) |
|
|
Average assets |
|
| 2,299,732 |
|
|
|
|
| 2,250,171 |
|
|
|
Return on average assets (annualized) |
|
| -2.19 |
| % |
|
|
| -0.01 |
| % |
|
Net (loss) income |
|
| (12,651 | ) |
|
|
|
| (160 | ) |
|
|
Net realized losses on sale of securities |
|
| 19,962 |
|
|
|
|
| 19,962 |
|
|
|
Tax effect at 21% |
|
| (4,192 | ) |
|
|
|
| (4,192 | ) |
|
|
Adjusted Net Income (Non-GAAP) |
|
| 3,119 |
|
|
|
|
| 15,610 |
|
|
|
Average assets |
|
| 2,299,732 |
|
|
|
|
| 2,250,171 |
|
|
|
Adjusted return on average assets (annualized) |
|
|
|
|
|
|
|
|
|
| ||
(Non-GAAP) |
|
| 0.54 |
| % |
|
|
| 0.69 |
| % |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
| ||
Adjusted Return on Average Tangible Shareholders' Equity | ||||||||||||
(Dollars in thousands) | ||||||||||||
|
|
| Three Months |
|
|
| Twelve Months |
| ||||
|
|
| Ended |
|
|
| Ended |
| ||||
|
|
| December 31, |
|
|
| December 31, |
| ||||
|
|
| 2024 |
|
|
| 2024 |
| ||||
Net (loss) income |
| $ | (12,651 | ) |
|
|
| $ | (160 | ) |
|
|
Average shareholders' equity |
|
| 192,981 |
|
|
|
|
| 185,952 |
|
|
|
Average intangible assets |
|
| 29,424 |
|
|
|
|
| 29,449 |
|
|
|
Average tangible shareholders' equity |
|
| 163,557 |
|
|
|
|
| 156,503 |
|
|
|
Return on average tangible shareholders' equity (annualized) |
|
| -30.77 |
| % |
|
|
| -0.10 |
| % |
|
Net (loss) income |
|
| (12,651 | ) |
|
|
|
| (160 | ) |
|
|
Net realized losses on sale of securities |
|
| 19,962 |
|
|
|
|
| 19,962 |
|
|
|
Tax effect at 21% |
|
| (4,192 | ) |
|
|
|
| (4,192 | ) |
|
|
Adjusted Net Income (Non-GAAP) |
|
| 3,119 |
|
|
|
|
| 15,610 |
|
|
|
Average tangible shareholders' equity |
|
| 163,557 |
|
|
|
|
| 156,503 |
|
|
|
Adjusted return on average shareholders' equity (annualized) |
|
|
|
|
|
|
|
|
|
| ||
(Non-GAAP) |
|
| 7.59 |
| % |
|
|
| 9.97 |
| % |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
| ||
Adjusted Earnings Per Share |
|
|
|
|
|
|
|
|
|
| ||
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
| ||
|
|
| Three Months |
|
|
| Twelve Months |
| ||||
|
|
| Ended |
|
|
| Ended |
| ||||
|
|
| December 31, |
|
|
| December 31, |
| ||||
|
|
| 2024 |
|
|
| 2024 |
| ||||
GAAP-Based Earnings Per Share, Basic |
| $ | (1.54 | ) |
|
|
| $ | (0.02 | ) |
|
|
GAAP-Based Earnings Per Share, Diluted |
| $ | (1.54 | ) |
|
|
| $ | (0.02 | ) |
|
|
Net (Loss) Income |
|
| (12,651 | ) |
|
|
|
| (160 | ) |
|
|
Net realized losses on sale of securities |
|
| 19,962 |
|
|
|
|
| 19,962 |
|
|
|
Tax effect at 21% |
|
| (4,192 | ) |
|
|
|
| (4,192 | ) |
|
|
Adjusted Net Income (Non-GAAP) |
|
| 3,119 |
|
|
|
|
| 15,610 |
|
|
|
Adjusted Earnings per Share, Basic (Non-GAAP) |
| $ | 0.38 |
|
|
|
| $ | 1.93 |
|
|
|
Adjusted Earnings per Share, Diluted (Non-GAAP) |
| $ | 0.38 |
|
|
|
| $ | 1.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
| ||
Tangible Book Value |
|
|
|
|
|
|
|
|
|
| ||
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
| ||
|
|
| December 31, |
|
|
|
|
|
| |||
|
|
| 2024 |
|
|
|
|
|
| |||
Total shareholders' equity |
|
| 213,508 |
|
|
|
|
|
|
|
| |
Adjustments: |
|
|
|
|
|
|
|
|
|
| ||
Goodwill |
|
| (29,266 | ) |
|
|
|
|
|
|
| |
Other intangible assets |
|
| (152 | ) |
|
|
|
|
|
|
| |
Tangible common equity (Non-GAAP) |
|
| 184,090 |
|
|
|
|
|
|
|
| |
Common shares outstanding |
|
| 9,272,906 |
|
|
|
|
|
|
|
| |
Book value per common share |
|
| 23.02 |
|
|
|
|
|
|
|
| |
Tangible book value per common share (Non-GAAP) |
|
| 19.85 |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |||
NORWOOD FINANCIAL CORP | |||||||||||||||
Reconciliation of Non-GAAP Adjustments for 2025 Merger Charges and Loss on Sale of Securities | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Pre Provision Net Revenue | |||||||||||||||
(Dollars in thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| Three Months Ended December 31, |
| Twelve Months Ended December 31, | ||||||||||||
|
| 2025 |
| 2024 |
|
| 2025 |
|
| 2024 |
| ||||
Income before tax expense (GAAP) | $ | 9,368 |
|
| $ | (16,057 | ) |
|
| $ | 35,019 |
| $ | (258 | ) |
Provision for (release of) credit losses |
| 468 |
|
|
| 1,604 |
|
|
|
| 1,773 |
|
| 2,673 |
|
Pre provision net revenue (PPNR) (Non-GAAP) |
| 9,836 |
|
|
| (14,453 | ) |
|
|
| 36,792 |
|
| 2,415 |
|
Merger expenses and net realize losses on sale of securities |
| 520 |
|
|
| 19,962 |
|
|
|
| 1,238 |
|
| 19,962 |
|
PPNR adjusted for merger expenses (Non-GAAP) |
| 10,356 |
|
|
| 5,509 |
|
|
|
| 38,030 |
|
| 22,377 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| Three Months Ended |
|
|
|
|
|
|
|
| ||||||
| September 30, |
|
|
|
| ||||||||||
| 2025 |
|
|
|
|
|
|
| |||||||
Income before tax expense (GAAP) | $ | 10,531 |
|
|
|
|
|
|
|
|
|
|
| ||
Provision for (release of) credit losses |
| (502 | ) |
|
|
|
|
|
|
|
|
|
| ||
Pre provision net revenue (PPNR) (Non-GAAP) |
| 10,029 |
|
|
|
|
|
|
|
|
|
|
| ||
Merger expenses |
| 568 |
|
|
|
|
|
|
|
|
|
|
| ||
PPNR adjusted for merger expenses (Non-GAAP) |
| 10,597 |
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
