Orrstown Financial Services, Inc. · NASDAQ:ORRF
Orrstown Financial Services — Q3 2025 Earnings Presentation
18 slides from Orrstown Financial Services's earnings presentation, Oct 22, 2025
Slide 1: Earnings Presentation Third Quarter 2025
Earnings Presentation Third Quarter 2025 October 22, 2025
Slide 2: Cautionary Note Regarding Forward Looking Statements | Non-GAAP Disclosures
Cautionary Note Regarding Forward Looking Statements | Non-GAAP Disclosures This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. Forward-looking statements reflect the current views of the Company's manag
Slide 3: Financial Highlights
Financial Highlights 3Q25 2Q25 3Q24 Qtr / Qtr Chge Yr / Yr Chge Commentary Net Income 1 $ 21.9 $ 19.4 $ (7.9) 12.4% -376.7% • Profitability metrics at the high-end of our peer group and continue to improve Net Income, Adjusted 1,2 n/a $ 20.2 $ 21.4 n/a n/a • Strong loan growth throughout the footpri
Slide 4: Net Interest Margin
Net Interest Margin Net Interest Income and Margin Change in Deposit Cost 1 80.0 4.50% 4.14% 4.07% 4.11% 5.26% 4.05% 4.00% 60.0 4.00% 4.65% 4.33% 4.33% 4.29% 40.0 3.50% 2.95% $51.7 $50.6 $48.8 $49.5 $51.0 2.81% 20.0 3.00% 2.65% 2.51% 2.49% - 2.50% 3Q24 4Q24 1Q25 2Q25 3Q25 3Q24 4Q24 1Q25 2Q25 3Q25 Ne
Slide 5: Fee Income / Operating Revenue
Fee Income Non-Interest Income Non-Interest Income Breakout $ In Millions $13.4 22% $12.9 Wealth management 22% $12.4 $11.6 Mortgage banking $11.2 Interchange income Service charges 12% 3Q24 4Q24 1Q25 2Q25 3Q25 39% Other income • Noninterest income increased by $0.5 million to $13.4 million during t
Slide 6: Non-Interest Expenses and Efficiency Ratio
Non-Interest Expenses Non-Interest Expenses Efficiency Ratio 1 $ In Millions 62% $60.3 60% 61% 59% 56% $42.9 $38.2 $37.6 3Q24 4Q24 1Q25 2Q25 3Q25 $36.3 • Noninterest expenses decreased by $1.3 million quarter over quarter, totaling $36.3 million for the three months ended September 30, 2025. o Effic
Slide 7: Credit Quality: Charge-offs & Non-Performing Loans
Credit Quality Charge-offs & Non-Performing Loans 0.49% 0.45% 0.48% • The allowance for credit losses ("ACL") on loans increased to $48.1 0.42% 0.42% million during the quarter. 0.30% o The Bank recorded provision expense of $0.4 million, which included net charge-offs of $0.2 million. 0.03% 0.03% o
Slide 8: Earnings & Key Performance Metrics
Earnings & Key Performance Metrics Earnings 1 Tangible Common Equity and TCE/TA % $1.11 $1.00 $1.04 $1.13 8.3% 8.8% $60 0 9.9 % 50.00 $0.87 7.5% 7.5% 7.9% 8.7 % $50 0 40.00 $0.75 7.5 % $0.23 $0.23 $0.26 $0.26 $0.27 $445 $470 $429 $40 0 6.3 % 30.00 $0.25 $409 $411 5.1 % $30 0 3.9 % 20.00 ($0.25) $21.
Slide 9: Loans: Trend Composition
Loans Trend 1 Composition 2 $ In Millions Non-owner $3,981 $3,931 $3,931 $3,980 occupied CRE $3,876 Owner 32% $779 $788 $785 $824 $834 occupied CRE 16% Agricultural 3% $3,202 $3,143 $3,091 $3,108 $3,146 Acquisition & Yield on Multi-family development Loans: 6% 6% 6.58% 3 3Q24 4Q24 1Q25 2Q25 3Q25 Non
Slide 10: Deposits: Trend Composition
Deposits Trend 1 Composition 2 $ In Millions Interest DDA $4,651 $4,623 $4,634 $4,517 $4,534 25% $1,007 $993 $945 $887 $924 Non-Interest $3,644 $3,630 $3,688 $3,629 $3,610 DDA Cost of 20% Deposits: 3Q24 4Q24 1Q25 2Q25 3Q25 1.99% 3 Money Markets Core Deposits Time Deposits 29% • Deposits increased by
Slide 11: Investments: Portfolio Metrics and Composition
Investments Portfolio Metrics Composition 3 Total Portfolio $890.4MM Agency CMO % of Assets 16% 40% Duration 4.4 Years Agency MBS Yield 4.67% 25% AOCI (Tax Adj.) ($17.3MM) Trends – Balances / AOCI / Yields 1,2 Other 3% 4.77% 4.70% ABS 4.66% 4.65% 4.67% Municipal 9% 23% $855.5 $885.4 $890.4 $826.8 $8
Slide 12: Capital: Total Risk Based Capital Ratio
Capital Total Risk Based Capital Ratio • All capital ratios applicable to the Company and Bank were above relevant regulatory minimum levels to be 12.4% 12.2% 12.4% 12.4% 13.1% 13.0% 13.3% 13.3% 13.1% 12.9% deemed "well capitalized" under current bank regulatory guidelines. • Certain ratios declined
Slide 13: Guidance through 2026
Guidance through 2026 Loan 5.0% annualized growth Growth Margin Range: 4.00% to 4.15% Non-Interest Range: $48.0 million to $52.0 million (annualized) Income Non-Interest Expenses Range: $142.0 million to $146.0 million (annualized) Effective Approximately 21% Tax Rate 13
Slide 14: Q&A
Q&A ORRSTOWN FINANCIAL SERVICES, INC.
Slide 15: Reconciliation of Non-GAAP Measures to GAAP Results
Reconciliation of Non-GAAP Measures to GAAP Results As a result of acquisitions, the Company has intangible assets consisting of goodwill and core deposit and other intangible assets. Management believes providing certain “non-GAAP” financial information will assist investors in their understanding
Slide 16: Net Income / Diluted EPS / Ratios
GAAP to Non-GAAP Reconciliation Net Income / Diluted EPS / Ratios 3Q24 4Q24 1Q25 2Q25 3Q25 (Presented In M illions except for Diluted EPS) Average Assets $ 5,515.1 $ 5,464.2 $ 5,425.7 $ 5,374.8 $ 5,420.8 Average Equity 537.7 516.4 523.7 535.7 551.9 Net Income (GAAP) $ (7.9) $ 13.7 18.1 19.4 21.9 Add
Slide 17: Efficiency Ratio Reconciliation
GAAP to Non-GAAP Reconciliation Efficiency Ratio (Non-GAAP) 3Q24 4Q24 1Q25 2Q25 3Q25 (Presented In M illions) Net Interest Income $ 51.7 $ 50.6 $ 48.8 $ 49.5 $ 51.0 Plus Non-Interest Income 12.4 11.2 11.6 12.9 13.4 Total Revenue (A) $ 64.1 $ 61.8 $ 60.4 $ 62.4 $ 64.4 Non-Interest Expense $ 60.3 $ 42
Slide 18: Tangible Book Value Reconciliation
GAAP to Non-GAAP Reconciliation Tangible Book Value (Non-GAAP) 3Q24 4Q24 1Q25 2Q25 3Q25 (Presented in M illions except for Tangible Book Value Per Share) Total Shareholders' Equity (GAAP) $ 516.2 $ 516.7 $ 532.9 $ 548.4 $ 571.9 Less Goodwill 70.7 68.1 68.1 69.8 69.8 Less Intangible Assets 46.1 47.8
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