Franklin Financial Services Corporation · NASDAQ:FRAF
Franklin Financial Services — Q4 2025 Earnings Presentation
30 slides from Franklin Financial Services's earnings presentation, Feb 2, 2026
Slide 1: Investor Presentation Fourth Quarter 2025 Highlights
Investor Presentation Fourth Quarter 2025 Highlights Corporate Headquarters – Chambersburg, PA Stock Symbol: FRAF (Nasdaq)
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements appearing herein which are not historical in nature are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements refer to a future period or periods, reflecting management’s cu
Slide 3: Overview of Franklin Financial
Overview of Franklin Financial Franklin Financial, which was formed in 1983, is a bank holding company headquartered in Franklin County, PA A $2.2 billion financial services corporation located in South-Central Pennsylvania and northern tier of Maryland Franklin Financial’s wholly-owned subsidiary,
Slide 4: Trade Area Expansion Locations
Trade Area Expansion 23 Locations Serving South Central PA and Washington County MD Primary Trade Area Expanded Trade Area Offering Wealth Management, Commercial Financing, and Residential Lending Services 4
Slide 5: Why Invest in Franklin Financial?
Why Invest in Franklin Financial? An exceptionally strong deposit franchise A company with diversified revenue streams including fee income from a $1.4 billion assets under management wealth management team A company with solid credit quality A company that continues to deliver good earnings A compa
Slide 6: Mission, Vision & Core Values
Mission, Vision & Core Values Mission Statement Delivering the right financial solutions from people you know and trust. Vision We are committed to remaining independent by growing our bank to meet the increasing needs of our employees, customers, communities, and shareholders. We strive to be a fin
Slide 7: Experienced and Cohesive Executive Team
Experienced and Cohesive Executive Team Executive Title Years of Banking Experience Joined F&M Trust Prior Experience Craig W. Best President and Chief Executive Officer 42 2025 Peoples Security Bank & Trust, First Commonwealth Bank, Equitable Bank Mark R. Hollar Senior Executive Vice President, Chi
Slide 8: Experienced and Cohesive Executive Team
Experienced and Cohesive Executive Team Executive Title Years of Banking Experience Joined F&M Trust Prior Experience Karen K. Carmack, DM Senior Vice President, Chief Human Resources Officer 30 2000 ACNB Matthew D. Weaver Senior Vice President, Chief Marketing Officer 25 2014 Susquehanna Bank, Clif
Slide 9: Managed Growth
Managed Growth SELECTED HIGHLIGHTS KEY STATISTICS Total Assets Net Loans Total Deposits Assets Under Management YTD GROWTH PERCENTAGE $2,239 Billion as of 12/31/2025 $2,198 Billion as of 12/31/2024 $1,541 Billion as of 12/31/2025 $1,380 Billion as of 12/31/2024 $1,836 Billion as of 12/31/2025 $1,816
Slide 10: Net Interest Income
Net Interest Income $41,961 $44,671 $51,586 $53,637 $57,514 $69,646 3.51% 3.06% 3.40% 4.70% 5.16% 5.31% 3.21% 2.88% 3.11% 3.31% 2.95% 3.25% 0.39% 0.24% 0.36% 1.75% 2.68% 2.50% 12/31/2020 12/31/2021 12/31/2022 12/31/2023 12/31/2024 12/31/2025 Net Interest Income Asset Yield Liability Cost Net Interes
Slide 11: Diversified Income
Diversified Income Non-Interest Income1 25.83% 29.46% 22.54% 22.57% 23.28% 21.59% $3,658 $5,392 $3,024 $3,610 $4,116 $4,430 $1,844 $2,170 $1,868 $2,157 $2,279 $2,370 $1,977 $2,258 $2,527 $2,492 $2,448 $2,535 $1,536 $2,430 $770 $199 $565 $672 7/14/1916 6/20/1919 7/31/1919 7/25/1920 5/17/1923 2/6/1925
Slide 12: Financial Updates December 31, 2025
Financial Updates December 31, 2025 12
Slide 13: Balance Sheet Highlights
Balance Sheet Highlights Dollars in Thousands (000’s) As of 12/31/2025 As of 12/31/2024 As of 12/31/2023 As of 12/31/2022 As of 12/31/2021 As of 12/31/2020 Total Assets $2,239,018 $2,197,841 $1,836,039 $1,699,579 $1,773,806 $1,535,038 Cash and Cash Equivalents $127,721 $203,613 $23,140 $64,899 $175,
Slide 14: Investment AFS Portfolio
Investment AFS Portfolio $36,330 $45,550 $45,657 $38,733 $31,079 $27,281 $8,453 $30,666 $65,950 $104,005 $149,170 $111,668 $72,241 $122,669 $105,278 $93,858 $138,742 $129,860 $20,288 $24,939 $24,239 $23,198 $24,224 $14,675 $247,054 $212,227 $155,455 $138,618 $133,592 $137,839 $12,574 $12,571 $93,760
Slide 15: Diversified Loan Portfolio
Diversified Loan Portfolio $5,577 $6,406 $6,199 $6,815 $8,853 $9,657 $145,279 $140,669 $118,443 $115,018 $108,545 $101,958 $218,893 4.05% $225,084 3.86% $242,578 4.14% $303,749 5.16% $355,262 5.65% $422,511 5.84% $135,978 $103,874 $117,159 $127,636 $122,052 $123,541 $266,359 $257,782 $248,216 $300,2
Slide 16: Largest Commercial Real Estate Concentrations
Largest Commercial Real Estate Concentrations 241.10% 234.40% 239.30% 290.70% 332.90% 382.22% $60,343 $49,160 $43,812 $62,439 $66,645 $97,047 $35,556 $30,938 $55,428 $68,478 $82,518 $87,934 $54,153 $50,105 $58,382 $87,137 $92,926 $92,828 $72,079 $75,839 $81,283 $80,670 $97,460 $102,194 $24,459 $69,7
Slide 17: Credit Quality
Credit Quality 0.87 0.65 0.74 0.44 0.01 0.36 0.01 0.42 0.02 0.57 0.55 0.63 12/31/2020 12/31/2021 12/31/2022 12/31/2023 12/31/2024 12/31/2025 Nonperforming Loans / Gross Loans UBPR Peer Group 1Nonperforming loans = nonaccrual loans, loans 90 days past due; 2Peer group data as of 9/30/2025 for banks $
Slide 18: Deposits by Category
Deposits by Category $76,165 $74,253 $57,390 $132,446 $315,905 $224,323 $409,178 $511,969 $496,532 $454,517 $417,870 $431,843 $610,170 $699,734 $698,295 $677,965 $791,526 $869,355 $259,060 11.1% $298,403 9.0% $299,231 8.5% $273,050 8.9% $290,346 15.4% $310,251 13.1% 12/31/2020 12/31/2021 12/31/2022
Slide 19: Cost of Deposits
Cost of Deposits 0.28 0.12 0.23 1.23 1.89 1.85 12/31/2020 12/31/2021 12/31/2022 12/31/2023 12/31/2024 12/31/2025 Average cost year-to-date for all periods 19
Slide 20: Liquidity Available at December 31, 2025
Liquidity Available at December 31, 2025 Dollars in Thousands (000’s) Liquidity Source Capacity Outstanding Available Federal Home Loan Bank $734,597 $200,000 $534,597 Federal Reserve Bank Discount Window $131,072 $ – $131,072 Correspondent Banks $76,000 $ – $76,000 Total $941,669 $200,000 $741,669
Slide 21: Wealth Management
Wealth Management $836,382 $946,975 $904,323 $1,094,779 $1,169,290 $1,273,421 $112,624 $60,060 $118,046 $100,457 $116,398 $147,454 $135,423 $217,891 $139,872 $109,604 $147,880 $153,866 12/31/2020 12/31/2021 12/31/2022 12/31/2023 12/31/2024 12/31/2025 Brokerage Trust New Assets Under Management (YTD)
Slide 22: Income Statement Highlights
Income Statement Highlights Dollars in Thousands (000’s) Year Ended 12/31/2025 Year Ended 12/31/2024 Year Ended 12/31/2023 Year Ended 12/31/2022 Year Ended 12/31/2021 Year Ended 12/31/2020 Interest Income $114,371 $101,451 $76,762 $56,449 $47,573 $45,939 Interest Expense $44,725 $43,937 $23,125 $4,8
Slide 23: Key Performance Measures
Key Performance Measures Dollars in Thousands (000’s) Year Ended 12/31/2025 Year Ended 12/31/2024 Year Ended 12/31/2023 Year Ended 12/31/2022 Year Ended 12/31/2021 Year Ended 12/31/2020 Interest Income $114,371 $101,451 $76,762 $56,449 $47,573 $45,939 Interest Expense $44,725 $43,937 $23,125 $4,863
Slide 24: Balance Sheet Strength
Balance Sheet Strength Percent (%) As of 12/31/2025 As of 12/31/2024 As of 12/31/2023 As of 12/31/2022 As of 12/31/2021 As of 12/31/2020 Risk-Based Capital Ratio (Total) 13.27 13.85 14.45 17.21 18.41 17.69 Leverage Ratio (Tier 1) 8.17 7.92 9.01 8.95 8.52 8.69 Common Equity Ratio (Tier 1) 11.45 11.31
Slide 25: Market Statistics
Market Statistics1 Per Share Measure / Market Valuation Year End 12/31/2025 Year End 12/31/2024 Year End 12/31/2023 Year End 12/31/2022 Year End 12/31/2021 Year End 12/31/2020 Diluted Earnings Per Share $4.74 $2.51 $3.10 $3.36 $4.42 $2.93 Cash Dividend Yield 2.61% 4.28% 4.06% 3.55% 3.87% 4.44% Regul
Slide 26: Stock Symbol: FRAF (Nasdaq)
Stock Symbol: FRAF (Nasdaq) www.franklinfin.com www.fmtrust.bank 26
Slide 27: Appendix
Appendix ; FEM
Slide 28: GAAP / Non-GAAP Reconciliation Tangible Book Value
GAAP / Non-GAAP Reconciliation Tangible Book Value (Per Share) (Non-GAAP) Dollars in Thousands (000’s), Except Per Share As of 12/31/2025 As of 12/31/2024 As of 12/31/2023 As of 12/31/2022 As of 12/31/2021 As of 12/31/2020 Shareholders’ Equity $ 175,242 $ 144,716 $ 132,136 $ 114,197 $ 157,065 $ 145,
Slide 29: GAAP / Non-GAAP Reconciliation Net Income Excluding Securities
GAAP / Non-GAAP Reconciliation Net Income Excluding Securities Losses / Gains (non-GAAP) Dollars in Thousands (000’s) Year End 12/31/2025 Year End 12/31/2024 Year End 12/31/2023 Year End 12/31/2022 Year End 12/31/2021 Year End 12/31/2020 Securities (Losses) / Gains as Reported $ - $ (4,267) $ (1,119
Slide 30: GAAP / Non-GAAP Reconciliation Efficiency Ratio
GAAP / Non-GAAP Reconciliation Efficiency Ratio Dollars in Thousands (000’s) Year End 12/31/2025 Year End 12/31/2024 Year End 12/31/2023 Year End 12/31/2022 Year End 12/31/2021 Year End 12/31/2020 Noninterest Expense $ 59,656 $ 55,895 $ 50,011 $ 48,691 $ 43,245 $ 39,362 Net Interest Income 69,646 57
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