LCNB Corp. Reports Financial Results for the Three and Twelve Months Ended December 31, 2024

LEBANON, Ohio--(BUSINESS WIRE)--LCNB Corp. ("LCNB") (NASDAQ: LCNB) today announced financial results for the three months and twelve months ended December 31, 2024. Commenting on the financial results, LCNB President and Chief Executive Officer, Eric Meilstrup said, “As expected, our 2024 fourth-quarter results demonstrate the success of our multi-year growth plan, strategic improvements we have made to our balance sheet, and the hard work and dedication of LCNB’s associates. Successfully integrating the Eagle Financial Bancorp, Inc. (“Eagle”) and Cincinnati Bancorp, Inc. (“Cincinnati Federal”) acquisitions was an important operating strategy we pursued throughout 2024. I am pleased to share that the vast majority of these integration efforts have been completed. As a result, we can focus more of our efforts on optimizing our diverse banking platform, pursuing growth opportunities throughout our compelling Ohio markets, and leveraging the success of LCNB Wealth Management.” Mr. Meilstrup continued, “Throughout 2024 we completed several actions to improve our balance sheet, including over $97 million of opportunistic asset sales completed during the year. These asset sales leverage our excellent asset quality, robust liquidity levels, and improved overall net interest margin. At December 31, 2024, non-performing assets to total assets remained historically strong at 0.20%, and our equity to assets ratio grew 70 basis points year-over-year to 10.97%. During 2025, we plan to continue pursuing strategic opportunities to further enhance our balance sheet, improve liquidity levels, and expand overall profitability, while maintaining excellent asset quality.” “LCNB experienced a historic year of growth and transformation in 2024. I am proud of our team’s strong performance and continued dedication to our communities. I believe we are well positioned for profitable growth in 2025, as we benefit further from our expanded banking platform, strong asset quality, and compelling financial model,” concluded Mr. Meilstrup. Income Statement Net income for the 2024 fourth quarter was $6.1 million, compared to net loss of $(293,000) for the same period last year. Earnings per basic and diluted share for the 2024 fourth quarter were $0.44, compared to a loss of $(0.02) for the same period last year. Net income for the twelve-month period ended December 31, 2024, was $13.5 million, compared to $12.6 million for the same period last year. Earnings per basic and diluted share for the twelve-month period ended December 31, 2024 were $0.97, compared to $1.10 for the same period last year. Net income adjusted for after-tax merger costs for the 2024 fourth quarter was $6.2 million, or $0.44 per basic and diluted share, compared to $4.2 million, or $0.34 per basic and diluted share, for the same period last year. Adjusted net income for the twelve months ended December 31, 2024 was $17.6 million, or $1.27 per basic and diluted share, compared to $17.8 million, or $1.56 per basic and diluted share, in the prior year period. Net interest income for the three months ended December 31, 2024 was $16.7 million, compared to $14.7 million for the comparable period in 2023. Net interest income for the twelve-month period ended December 31, 2024 was $60.8 million, as compared to $56.3 million in the same period last year. An increase in interest income from loans, due to a higher volume of average loans outstanding and the average rates earned on these loans, was partially offset by higher average balances in interest-bearing demand and money market deposits, IRA and time certificates, and long-term debt and an increase in rates paid for these liabilities. For the 2024 fourth quarter, LCNB’s tax equivalent net interest margin was 3.22%, compared to 2.99% for the same period last year. Net interest margin for the twelve-month period ended December 31, 2024 was 2.91%, as compared to 3.14% in the same period last year. Non-interest income for the three months ended December 31, 2024 was $6.0 million, compared to $4.6 million for the same period last year. For the twelve months ended December 31, 2024, non-interest income increased $5.0 million, or by 32.4%, to $20.4 million, compared to $15.4 million for the same period last year. The increase in non-interest income for the twelve-month period was primarily due to net gains from sales of loans. In addition, non-interest income for the twelve-month period benefitted from increased fiduciary income, service charges, and bank-owned life insurance income. Non-interest expense for the three months ended December 31, 2024 was $14.6 million, compared to $17.6 million for the same period last year. The $3.0 million decrease was primarily due to $3.9 million of one-time merger-related expenses that occurred in the 2023 fourth quarter. For the twelve months ended December 31, 2024, non-interest expense was $8.9 million higher than the comparable period in 2023, due to an increase in salaries and employee benefit costs and other operating expenses, partially offset by lower merger related expenses. Capital Allocation For the full year ended December 31, 2024, LCNB paid $0.88 per share in dividends, a 3.5% increase from $0.85 per share for the full year ended December 31, 2023. Balance Sheet Total assets at December 31, 2024 increased 0.7%, to $2.31 billion, from $2.29 billion at December 31, 2023. Net loans at December 31, 2024 were $1.71 billion, a decrease of 0.2%, or $3.1 million, from December 31, 2023. During the year ended December 31, 2024, the Company originated $399.6 million in loans, of which $138.4 million were sold into the secondary market. Loans held for sale totaled $5.6 million at December 31, 2024, compared to $35.7 million at September 30, 2024 and $75.6 million at March 31, 2024, and are primarily composed of loans scheduled to be sold to an investor. Proceeds from loan sales that occurred during 2024 were used for general corporate purposes, which included supporting loan originations, paying down higher cost funding sources, and adding to liquidity balances. Total deposits at December 31, 2024 increased 3.0% to $1.88 billion, compared to $1.82 billion at December 31, 2023. Not including the Eagle acquisition, total deposit relationships, including off-balance-sheet deposits, increased 3.6% organically, or by $66 million, from December 31, 2023. At December 31, 2024, shareholders' equity was $253.0 million, compared to $235.3 million at December 31, 2023. On a per-share basis, shareholders' equity at December 31, 2024 was $17.92, compared to $17.86 at December 31, 2023. At December 31, 2024, tangible shareholders' equity was $154.7 million, compared to $150.4 million at December 31, 2023. The 2.9% year-over-year increase in tangible shareholders' equity was primarily from higher retained earnings, and an improvement in the unrealized losses on the available-for-sale investment portfolio. On a per-share basis, tangible shareholders' equity was $10.96 at December 31, 2024, compared to $11.42 at December 31, 2023. While bond market volatility is expected to continue in 2025, LCNB predicts tangible book value may increase in 2025 primarily due to higher retained earnings. Assets Under Management Total assets managed at December 31, 2024 were $4.23 billion, compared to $3.88 billion at December 31, 2023. The year-over-year increase in total assets managed was due to the Eagle acquisition and organic growth in LCNB total assets, trust and investments, mortgage loans serviced, cash management, and brokerage accounts. Organically, trust and investments and brokerage accounts increased due to a higher number of new LCNB Wealth Management customer accounts and an increase in the fair value of managed assets. Asset Quality For the 2024 fourth quarter, LCNB recorded a provision for credit losses of $649,000, compared to a provision for credit losses of $2.2 million for the 2023 fourth quarter. For the twelve months ended December 31, 2024, LCNB recorded a total provision for credit losses of $2.0 million, compared to a total provision for credit losses of $2.1 million for the twelve months ended December 31, 2023. Net charge-offs for the 2024 fourth quarter were $595,000, or 0.14% of average loans, compared to net charge-offs of $102,000, or 0.02% of average loans, annualized, for the same period last year. For the 2024 twelve-month period, net charge-offs were $742,000, or 0.04% of average loans, compared to net charge-offs of $184,000, or 0.01% of average loans, for the 2023 twelve-month period. Total nonperforming loans, which include non-accrual loans and loans past due 90 days or more and still accruing interest, were $4.6 million, or 0.27% of total loans, at December 31, 2024, compared to $152,000, or 0.01% of total loans, at December 31, 2023. The year-over-year increase in nonaccrual loans was primarily due to one commercial real estate relationship, representing a balance of $2.6 million. LCNB does not foresee any additional loss on this loan as it is deemed to have adequate provision based on management’s current review of the property value. The nonperforming assets to total assets ratio was 0.20% at December 31, 2024, compared to 0.01% at December 31, 2023. About LCNB Corp. LCNB Corp. is a financial holding company headquartered in Lebanon, Ohio. Through its subsidiary, LCNB National Bank (the “Bank”), it serves customers and communities in Southwest and South-Central Ohio. A financial institution with a long tradition for building strong relationships with customers and communities, the Bank offers convenient banking locations in Butler, Clermont, Clinton, Fayette, Franklin, Hamilton, Montgomery, Preble, Ross, and Warren Counties, Ohio and Boone County, Kentucky. The Bank continually strives to exceed customer expectations and provides an array of services for all personal and business banking needs including checking, savings, online banking, personal lending, business lending, agricultural lending, business support, deposit and treasury, investment services, trust and IRAs and stock purchases. LCNB Corp. common shares are traded on the NASDAQ Capital Market Exchange® under the symbol “LCNB.” Learn more about LCNB Corp. at www.lcnb.com. Forward-Looking Statements Certain statements made in this news release regarding LCNB’s financial condition, results of operations, plans, objectives, future performance and business, are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by the fact they are not historical facts and include words such as “anticipate,” “could,” “may,” “feel,” “expect,” “believe,” “plan,” and similar expressions. Please refer to LCNB’s Annual Report on Form 10-K for the year ended December 31, 2023, as well as its other filings with the SEC, for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements. These forward-looking statements reflect management's current expectations based on all information available to management and its knowledge of LCNB’s business and operations. Additionally, LCNB’s financial condition, results of operations, plans, objectives, future performance and business are subject to risks and uncertainties that may cause actual results to differ materially. These factors include, but are not limited to: 1. the success, impact, and timing of the implementation of LCNB’s business strategies; 2. LCNB’s ability to integrate recent and future acquisitions, including Cincinnati Federal and Eagle, may be unsuccessful or may be more difficult, time-consuming, or costly than expected; 3. LCNB may incur increased loan charge-offs in the future and the allowance for credit losses may be inadequate; 4. LCNB may face competitive loss of customers; 5. changes in the interest rate environment, either by interest rate increases or decreases, may have results on LCNB’s operations materially different from those anticipated by LCNB’s market risk management functions; 6. changes in general economic conditions and increased competition could adversely affect LCNB’s operating results; 7. changes in regulations and government policies affecting bank holding companies and their subsidiaries, including changes in monetary policies, could negatively impact LCNB’s operating results; 8. LCNB may experience difficulties growing loan and deposit balances; 9. United States trade relations with foreign countries could negatively impact the financial condition of LCNB's customers, which could adversely affect LCNB 's operating results and financial condition; 10. global and/or domestic geopolitical relations and/or conflicts could create financial market uncertainty and have negative impacts on commodities, currency, and stability, which could adversely affect LCNB's operating results and financial condition; 11. difficulties with technology or data security breaches, including cyberattacks or widespread outages, could negatively affect LCNB's ability to conduct business and its relationships with customers, vendors, and others; 12. adverse weather events and natural disasters and global and/or national epidemics could negatively affect LCNB’s customers given its concentrated geographic scope, which could impact LCNB’s operating results; and 13. government intervention in the U.S. financial system, including the effects of legislative, tax, accounting, and regulatory actions and reforms, including the Dodd-Frank Wall Street Reform and Consumer Protection Act, the Jumpstart Our Business Startups Act, the Consumer Financial Protection Bureau, the capital ratios of Basel III as adopted by the federal banking authorities, changes in deposit insurance premium levels, and any such future regulatory actions or reforms. Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist shareholders and potential investors in understanding current and anticipated financial operations of LCNB and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. LCNB undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made. Exhibit 99.2 LCNB Corp. and Subsidiaries Financial Highlights (Dollars in thousands, except per share amounts) (Unaudited) Three Months Ended Twelve Months Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Condensed Income Statement Interest income $ 26,894 26,398 26,965 24,758 23,310 105,015 79,599 Interest expense 10,181 11,428 11,748 10,863 8,651 44,220 23,250 Net interest income 16,713 14,970 15,217 13,895 14,659 60,795 56,349 Provision for credit losses 649 660 528 125 2,218 1,962 2,077 Net interest income after provision for credit losses 16,064 14,310 14,689 13,770 12,441 58,833 54,272 Non-interest income 5,988 6,407 4,080 3,929 4,606 20,404 15,411 Non-interest expense 14,592 15,387 17,825 15,472 17,576 63,276 54,423 Income (loss) before income taxes 7,460 5,330 944 2,227 (529 ) 15,961 15,260 Provision for (benefit from) income taxes 1,340 798 19 312 (236 ) 2,469 2,632 Net income (loss) $ 6,120 $ 4,532 $ 925 $ 1,915 $ (293 ) $ 13,492 $ 12,628 Supplemental Income Statement Information Accretion income on acquired loans $ 1,271 800 1,248 776 410 4,095 484 Amortization expenses on acquired interest-bearing liabilities $ 119 378 638 459 309 1,594 309 Tax-equivalent net interest income $ 16,754 15,013 15,256 13,933 14,703 60,956 56,532 Pre-provision, pre-tax net income $ 8,109 5,990 1,472 2,352 1,689 17,923 17,337 Per Share Data Dividends per share $ 0.22 0.22 0.22 0.22 0.22 0.88 0.85 Basic earnings (loss) per common share $ 0.44 0.31 0.07 0.15 (0.02 ) 0.97 1.10 Diluted earnings (loss) per common share $ 0.44 0.31 0.07 0.15 (0.02 ) 0.97 1.10 Book value per share $ 17.92 17.95 17.33 17.67 17.86 17.92 17.86 Tangible book value per share $ 10.96 10.97 10.08 11.26 11.42 10.96 11.42 Weighted average common shares outstanding: Basic 14,111,636 14,103,358 14,033,264 13,112,302 12,378,289 13,849,578 11,417,857 Diluted 14,111,636 14,103,358 14,033,264 13,112,302 12,378,289 13,849,578 11,417,857 Shares outstanding at period end 14,118,040 14,110,210 14,151,755 13,224,276 13,173,569 14,118,040 13,173,569 Selected Financial Ratios Return on average assets 1.04 % 0.76 % 0.15 % 0.34 % (0.05 )% 0.57 % 0.63 % Return on average equity 9.60 % 7.23 % 1.53 % 3.28 % (0.53 )% 5.49 % 6.08 % Return on average tangible common equity 15.67 % 12.27 % 2.59 % 5.12 % (0.81 )% 9.05 % 8.81 % Dividend payout ratio 50.00 % 70.97 % 314.29 % 146.67 % NM 90.72 % 77.27 % Net interest margin (tax equivalent) 3.22 % 2.84 % 2.86 % 2.72 % 2.99 % 2.91 % 3.14 % Efficiency ratio (tax equivalent) 64.16 % 71.83 % 92.19 % 86.62 % 91.02 % 77.77 % 75.65 % Selected Balance Sheet Items Cash and cash equivalents $ 35,744 $ 39,374 $ 34,872 $ 32,951 $ 39,723 Debt and equity securities 306,795 313,545 312,241 306,775 318,723 Loans: Commercial and industrial $ 118,494 $ 119,079 $ 125,703 $ 122,229 $ 120,411 Commercial, secured by real estate 1,113,921 1,105,405 1,117,798 1,099,601 1,107,556 Residential real estate 456,298 459,740 458,949 398,250 459,073 Consumer 20,474 22,088 22,912 24,137 25,578 Agricultural 13,242 13,113 11,685 12,647 10,952 Other, including deposit overdrafts 179 496 233 73 82 Deferred net origination fees (796 ) (861 ) (533 ) (583 ) (181 ) Loans, gross 1,721,812 1,719,060 1,736,747 1,656,354 1,723,471 Less allowance for credit losses 12,001 11,867 11,270 10,557 10,525 Loans, net $ 1,709,811 $ 1,707,193 $ 1,725,477 $ 1,645,797 $ 1,712,946 Loans held for sale $ 5,556 35,687 44,002 75,581 — NM - Not Meaningful Three Months Ended Twelve Months Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Selected Balance Sheet Items, continued Allowance for Credit Losses on Loans: Allowance for credit losses, beginning of period $ 11,867 11,270 10,557 10,525 7,932 Fair value adjustment for purchased credit deteriorated loans — — 189 — 493 Provision for credit losses on loans 728 681 542 77 2,203 Losses charged off (616 ) (122 ) (87 ) (78 ) (126 ) Recoveries 22 38 69 33 23 Allowance for credit losses, end of period $ 12,001 11,867 11,270 10,557 10,525 Total earning assets $ 2,044,208 2,044,318 2,058,110 1,971,130 2,045,382 Goodwill 90,310 90,209 93,922 79,559 79,509 Core deposit intangibles 8,006 8,309 8,613 5,152 5,388 Mortgage servicing rights 3,098 3,296 3,522 3,751 4,106 Other non-earning assets 161,772 200,776 207,146 223,559 157,207 Total non-earning assets 263,186 302,590 313,203 312,021 246,210 Total assets 2,307,394 2,346,908 2,371,313 2,283,151 2,291,592 Total deposits 1,878,292 1,917,005 1,943,060 1,858,493 1,824,389 Short-term borrowings — — — 10,000 97,395 Long-term debt 155,153 155,662 162,150 162,638 113,123 Total shareholders’ equity 253,036 253,246 245,214 233,663 235,303 Equity to assets ratio 10.97 % 10.79 % 10.34 % 10.23 % 10.27 % Loans to deposits ratio 91.67 % 89.67 % 89.38 % 89.12 % 94.47 % Tangible common equity (TCE) $ 154,721 154,728 142,679 148,952 150,407 Tangible common assets (TCA) 2,209,079 2,248,390 2,268,778 2,198,440 2,206,696 TCE/TCA 7.00 % 6.88 % 6.29 % 6.78 % 6.82 % Selected Average Balance Sheet Items Cash and cash equivalents $ 31,648 39,697 39,396 51,366 49,436 40,558 38,040 Debt and equity securities 311,323 314,255 309,668 310,771 310,274 311,476 318,082 Loans, including loans held for sale $ 1,751,644 1,770,330 1,818,253 1,722,568 1,622,911 1,765,672 1,467,981 Less allowance for credit losses on loans 11,856 11,281 11,386 10,523 8,826 11,856 8,046 Net loans $ 1,739,788 1,759,049 1,806,867 1,712,045 1,614,085 1,753,816 1,459,935 Total earning assets, including loans held for sale $ 2,072,397 2,099,954 2,142,064 2,056,656 1,952,121 2,092,695 1,799,102 Goodwill 90,218 94,006 91,733 79,526 74,203 88,888 62,967 Core deposit intangibles 8,154 8,458 8,302 5,275 3,887 7,552 1,565 Mortgage servicing rights 3,296 3,522 3,746 4,095 2,999 3,663 1,367 Other non-earning assets 158,022 159,736 158,937 149,214 149,267 156,528 136,564 Total non-earning assets 259,690 265,722 262,718 238,110 230,356 256,631 202,463 Total assets 2,332,087 2,365,676 2,404,782 2,294,766 2,182,477 2,349,326 2,001,565 Total deposits 1,901,442 1,936,601 1,965,987 1,824,546 1,759,677 1,907,208 1,640,000 Short-term borrowings 11 11 11,291 65,052 64,899 18,987 75,383 Long-term debt 155,573 158,419 162,555 150,177 115,907 156,683 56,798 Total shareholders’ equity 253,727 249,370 243,927 235,119 220,678 245,568 207,827 Equity to assets ratio 10.88 % 10.54 % 10.14 % 10.25 % 10.11 % 10.45 % 10.38 % Loans to deposits ratio 92.12 % 91.41 % 92.49 % 94.41 % 92.23 % 92.58 % 89.51 % Asset Quality Net charge-offs $ 595 $ 84 18 45 102 742 184 Other real estate owned — — — — — — — Non-accrual loans $ 4,528 $ 3,001 2,845 2,719 80 4,528 80 Loans past due 90 days or more and still accruing 90 283 159 524 72 90 72 Total nonperforming loans $ 4,618 $ 3,284 $ 3,004 $ 3,243 $ 152 $ 4,618 $ 152 Net charge-offs to average loans 0.14 % 0.02 % — % 0.01 % 0.02 % 0.04 % 0.01 % Allowance for credit losses on loans to total loans 0.70 % 0.69 % 0.65 % 0.64 % 0.61 % Nonperforming loans to total loans 0.27 % 0.19 % 0.17 % 0.20 % 0.01 % Nonperforming assets to total assets 0.20 % 0.14 % 0.13 % 0.14 % 0.01 % Three Months Ended Twelve Months Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Assets Under Management LCNB Corp. total assets $ 2,307,394 2,346,908 2,371,313 2,283,151 2,291,592 Trust and investments (fair value) 942,249 933,341 897,746 890,800 806,770 Mortgage loans serviced 397,625 366,175 422,951 386,490 391,800 Cash management 146,657 165,218 93,842 13,314 2,375 Brokerage accounts (fair value) 438,310 435,611 419,646 411,211 392,390 Total assets managed $ 4,232,235 4,247,253 4,205,498 3,984,966 3,884,927 Reconciliation of Net Income Less Tax-Effected Merger-Related Costs Net income (loss) $ 6,120 4,532 925 1,915 (293 ) 13,492 12,628 Merger expenses 66 281 2,320 775 3,914 3,442 4,656 Provision for credit losses on non-PCD loans 0 — 763 — 1,722 763 1,722 Loss on sale of below-market acquired loans 0 — 843 — — 843 — Tax effect (13 ) (48 ) (773 ) (90 ) (1,102 ) (924 ) (1,172 ) Adjusted net income $ 6,173 4,765 4,078 2,600 4,241 17,616 17,834 Adjusted basic and diluted earnings per share $ 0.44 0.34 0.29 0.20 0.34 1.27 1.56 Adjusted return on average assets 1.05 % 0.80 % 0.68 % 0.46 % 0.77 % 0.75 % 0.89 % Adjusted return on average equity 9.68 % 7.60 % 6.72 % 4.45 % 7.62 % 7.17 % 8.58 % Three Months Ended December 31, Three Months Ended September 30, 2024 2023 2024 Average Interest Average Average Interest Average Average Interest Average Outstanding Earned/ Yield/ Outstanding Earned/ Yield/ Outstanding Earned/ Yield/ Balance Paid Rate Balance Paid Rate Balance Paid Rate Loans (1) $ 1,751,644 24,617 5.59 % $ 1,622,911 21,113 5.16 % $ 1,770,330 24,342 5.47 % Interest-bearing demand deposits 9,185 143 6.19 % 18,936 280 5.87 % 15,369 209 5.41 % Interest-bearing time deposits 245 — — — — — % — — — % Federal Reserve Bank stock 6,414 193 11.97 % 4,930 144 11.59 % 6,393 (1 ) (0.06 )% Federal Home Loan Bank stock 20,710 469 9.01 % 12,607 273 8.59 % 20,710 464 8.91 % Investment securities: Equity securities 5,043 65 5.13 % 4,415 62 5.57 % 5,026 40 3.17 % Debt securities, taxable 260,429 1,251 1.91 % 265,736 1,273 1.90 % 262,220 1,181 1.79 % Debt securities, non-taxable (2) 18,727 197 4.18 % 22,586 209 3.67 % 19,906 206 4.12 % Total earnings assets 2,072,397 26,935 5.17 % 1,952,121 23,354 4.75 % 2,099,954 26,441 5.01 % Non-earning assets 271,546 239,182 277,003 Allowance for credit losses (11,856 ) (8,826 ) (11,281 ) Total assets $ 2,332,087 $ 2,182,477 $ 2,365,676 Interest-bearing demand and money market deposits $ 551,626 2,379 1.72 % $ 574,349 2,710 1.87 % $ 585,823 3,006 2.04 % Savings deposits 366,310 241 0.26 % 402,791 323 0.32 % $ 367,045 274 0.30 % IRA and time certificates 523,486 5,760 4.38 % 302,434 3,321 4.36 % $ 538,070 6,298 4.66 % Short-term borrowings 11 1 36.17 % 64,899 918 5.61 % $ 11 — — % Long-term debt 155,573 1,800 4.60 % 115,907 1,379 4.72 % $ 158,419 1,850 4.65 % Total interest-bearing liabilities 1,597,006 10,181 2.54 % 1,460,380 8,651 2.35 % 1,649,368 11,428 2.76 % Demand deposits 460,020 480,103 445,663 Other liabilities 21,334 21,316 21,275 Equity 253,727 220,678 249,370 Total liabilities and equity $ 2,332,087 $ 2,182,477 $ 2,365,676 Net interest rate spread (3) 2.63 % 2.40 % 2.25 % Net interest income and net interest margin on a taxable-equivalent basis (4) 16,754 3.22 % 14,703 2.99 % 15,013 2.84 % Ratio of interest-earning assets to interest-bearing liabilities 129.77 % 133.67 % 127.32 % (1) Includes non-accrual loans and loans held for sale (2) Income from tax-exempt securities is included in interest income on a taxable-equivalent basis. Interest income has been divided by a factor comprised of the complement of the incremental tax rate of 21%. (3) The net interest spread is the difference between the average rate on total interest-earning assets and interest-bearing liabilities. (4) The net interest margin is the taxable-equivalent net interest income divided by average interest-earning assets. For the Year Ended December 31, 2024 2023 Average Interest Average Average Interest Average Outstanding Earned/ Yield/ Outstanding Earned/ Yield/ Balance Paid Rate Balance Paid Rate Loans (1) $ 1,765,672 96,477 5.46 % 1,467,981 71,894 4.90 % Interest-bearing demand deposits 15,486 890 5.75 % 13,039 734 5.63 % Interest-bearing time deposits 61 — — — — — % Federal Reserve Bank stock 6,143 369 6.01 % 4,722 283 5.99 % Federal Home Loan Bank stock 19,460 1,641 8.43 % 8,293 590 7.11 % Investment securities: Equity securities 5,012 184 3.67 % 3,879 175 4.51 % Debt securities, taxable 261,856 4,847 1.85 % 277,157 5,235 1.89 % Debt securities, non-taxable (2) 19,005 768 4.04 % 24,031 871 3.62 % Total earnings assets 2,092,695 105,176 5.03 % 1,799,102 79,782 4.43 % Non-earning assets 267,894 210,509 Allowance for credit losses (11,263 ) (8,046 ) Total assets $ 2,349,326 2,001,565 Interest-bearing demand and money market deposits $ 607,144 12,877 2.12 % 535,865 7,850 1.46 % Savings deposits 368,401 1,028 0.28 % 398,299 725 0.18 % IRA and time certificates 481,516 21,933 4.55 % 233,604 7,996 3.42 % Short-term borrowings 18,987 1,117 5.88 % 75,383 4,060 5.39 % Long-term debt 156,683 7,265 4.64 % 56,798 2,619 4.61 % Total interest-bearing liabilities 1,632,731 44,220 2.71 % 1,299,949 23,250 1.79 % Demand deposits 450,147 472,232 Other liabilities 20,880 21,557 Equity 245,568 207,827 Total liabilities and equity $ 2,349,326 2,001,565 Net interest rate spread (3) 2.32 % 2.64 % Net interest income and net interest margin on a taxable-equivalent basis (4) 60,956 2.91 % 56,532 3.14 % Ratio of interest-earning assets to interest-bearing liabilities 128.17 % 138.40 % (1) Includes non-accrual loans and loans held for sale (2) Income from tax-exempt securities is included in interest income on a taxable-equivalent basis. Interest income has been divided by a factor comprised of the complement of the incremental tax rate of 21%. (3) The net interest spread is the difference between the average rate on total interest-earning assets and interest-bearing liabilities. (4) The net interest margin is the taxable-equivalent net interest income divided by average interest-earning assets. Exhibit 99.2 LCNB CORP. AND SUBSIDIARIES CONSOLIDATED CONDENSED BALANCE SHEETS (Unaudited, dollars in thousands) December 31, 2024 December 31, 2023 Unaudited Audited ASSETS: Cash and due from banks $ 20,393 36,535 Interest-bearing demand deposits 15,351 3,188 Total cash and cash equivalents 35,744 39,723 Interest-bearing time deposits 250 — Investment securities: Equity securities with a readily determinable fair value, at fair value $ 1,363 1,336 Equity securities without a readily determinable fair value, at cost 3,666 3,666 Debt securities, available-for-sale, at fair value 258,327 276,601 Debt securities, held-to-maturity, at cost, net of allowance for credit losses of $5 at December 31, 2024 and 2023 16,324 16,858 Federal Reserve Bank stock, at cost 6,405 5,086 Federal Home Loan Bank stock, at cost 20,710 15,176 Loans, net of allowance for credit losses of $12,001 and $10,525 at December 31, 2024 and 2023, respectively 1,709,811 1,712,946 Loans held-for-sale 5,556 — Premises and equipment, net 41,049 36,302 Operating lease right-of-use assets 5,785 6,000 Goodwill 90,310 79,509 Core deposit and other intangibles, net 11,104 9,494 Bank-owned life insurance 54,002 49,847 Interest receivable 8,701 8,405 Other assets, net 38,287 30,643 TOTAL ASSETS 2,307,394 2,291,592 LIABILITIES: Deposits: Noninterest-bearing $ 459,619 462,267 Interest-bearing 1,418,673 1,362,122 Total deposits 1,878,292 1,824,389 Short-term borrowings — 97,395 Long-term debt 155,153 113,123 Operating lease liabilities 6,115 6,261 Accrued interest and other liabilities 14,798 15,121 TOTAL LIABILITIES 2,054,358 2,056,289 COMMITMENTS AND CONTINGENT LIABILITIES — — SHAREHOLDERS' EQUITY: Preferred shares – no par value, authorized 1,000,000 shares, none outstanding — — Common shares – no par value; authorized 19,000,000 shares; issued 17,329,423 and 16,384,952 shares at December 31, 2024 and December 31, 2023, respectively; outstanding 14,118,040 and 13,173,569 shares at December 31, 2024 and December 31, 2023, respectively 186,937 173,637 Retained earnings 141,290 140,017 Treasury shares at cost, 3,211,383 and 3,211,383 shares at December 31, 2024 and December 31, 2023, respectively (56,002 ) (56,015 ) Accumulated other comprehensive loss, net of taxes (19,189 ) (22,336 ) TOTAL SHAREHOLDERS' EQUITY 253,036 235,303 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 2,307,394 2,291,592 Exhibit 99.2 LCNB CORP. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Dollars in thousands, except per share data) (Unaudited) Three Months Ended Twelve Months Ended December 31, December 31, 2024 2023 2024 2023 INTEREST INCOME: Interest and fees on loans $ 24,617 21,113 96,477 71,894 Dividends on equity securities: With a readily determinable fair value 10 9 38 43 Without a readily determinable fair value 55 53 146 132 Interest on debt securities: Taxable 1,251 1,273 4,847 5,235 Non-taxable 156 165 607 688 Other investments 805 697 2,900 1,607 TOTAL INTEREST INCOME 26,894 23,310 105,015 79,599 INTEREST EXPENSE: Interest on deposits 8,380 6,354 35,838 16,571 Interest on short-term borrowings 1 918 1,117 4,060 Interest on long-term debt 1,800 1,379 7,265 2,619 TOTAL INTEREST EXPENSE 10,181 8,651 44,220 23,250 NET INTEREST INCOME 16,713 14,659 60,795 56,349 PROVISION FOR CREDIT LOSSES 649 2,218 1,962 2,077 NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES 16,064 12,441 58,833 54,272 NON-INTEREST INCOME: Fiduciary income 2,308 1,828 8,445 7,091 Service charges and fees on deposit accounts 1,939 1,532 6,759 5,856 Net losses from sales of debt securities, available-for-sale — — (214 ) — Bank-owned life insurance income 352 306 1,665 1,136 Net gains from sales of loans 1,236 659 3,433 697 Other operating income 153 281 316 631 TOTAL NON-INTEREST INCOME 5,988 4,606 20,404 15,411 NON-INTEREST EXPENSE: Salaries and employee benefits 8,585 7,654 35,170 29,108 Equipment expenses 379 441 1,584 1,616 Occupancy expense, net 810 934 3,725 3,301 State financial institutions tax 472 439 1,881 1,628 Marketing 343 366 1,047 1,101 Amortization of intangibles 304 196 1,142 532 FDIC insurance premiums, net 450 269 1,895 932 Contracted services 777 798 3,212 2,776 Merger-related expenses 66 3,914 3,442 4,656 Other non-interest expense 2,406 2,565 10,178 8,773 TOTAL NON-INTEREST EXPENSE 14,592 17,576 63,276 54,423 INCOME (LOSS) BEFORE INCOME TAXES 7,460 (529 ) 15,961 15,260 PROVISION FOR (BENEFIT FROM) INCOME TAXES 1,340 (236 ) 2,469 2,632 NET INCOME (LOSS) $ 6,120 (293 ) 13,492 12,628 Earnings (Loss) per common share: Basic 0.44 (0.02 ) 0.97 1.10 Diluted 0.44 (0.02 ) 0.97 1.10 Weighted average common shares outstanding: Basic 14,111,636 12,378,289 13,849,578 11,417,857 Diluted 14,111,636 12,378,289 13,849,578 11,417,857

LCNB Corp. Reports Financial Results for the Three and Twelve Months Ended December 31, 2024

FAQ

Why Bullish?

How important is it?

Why Long Term?

Related Companies

Related News