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ACNB Corporation Reports 2025 Second Quarter Financial Results

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ACNB Corporation (NASDAQ: ACNB) reported strong Q2 2025 financial results, with net income of $11.6 million, or $1.11 diluted earnings per share, compared to $11.3 million in Q2 2024. The quarter marked the first full period of combined operations following the Traditions Bancorp acquisition.

Key highlights include a fully taxable equivalent net interest margin of 4.21%, total loans of $2.34 billion (up 0.8% from Q1), and a tangible common equity ratio of 9.65%. The Board approved a quarterly dividend increase of 6.3% to $0.34 per share and authorized a new share repurchase program for up to 314,000 shares.

The bank demonstrated solid performance with return on average assets of 1.43% and return on average equity of 11.96%. Asset quality remained stable with non-performing loans at 0.43% of total loans.

ACNB Corporation (NASDAQ: ACNB) ha riportato risultati finanziari solidi nel secondo trimestre 2025, con un utile netto di 11,6 milioni di dollari, ovvero 1,11 dollari per azione diluita, rispetto agli 11,3 milioni di dollari del secondo trimestre 2024. Questo trimestre ha rappresentato il primo periodo completo di operazioni combinate dopo l'acquisizione di Traditions Bancorp.

I punti salienti includono un margine di interesse netto equivalente completamente tassabile del 4,21%, prestiti totali per 2,34 miliardi di dollari (in aumento dello 0,8% rispetto al primo trimestre) e un rapporto di capitale tangibile comune del 9,65%. Il Consiglio ha approvato un aumento del dividendo trimestrale del 6,3% a 0,34 dollari per azione e ha autorizzato un nuovo programma di riacquisto azionario fino a 314.000 azioni.

La banca ha mostrato una solida performance con un rendimento medio degli attivi dell'1,43% e un rendimento medio del capitale proprio dell'11,96%. La qualità degli attivi è rimasta stabile con prestiti non performanti allo 0,43% del totale dei prestiti.

ACNB Corporation (NASDAQ: ACNB) reportó sólidos resultados financieros en el segundo trimestre de 2025, con un ingreso neto de 11,6 millones de dólares, o 1,11 dólares por acción diluida, en comparación con 11,3 millones en el segundo trimestre de 2024. Este trimestre marcó el primer período completo de operaciones combinadas tras la adquisición de Traditions Bancorp.

Los aspectos destacados incluyen un margen neto de interés equivalente totalmente imponible del 4,21%, préstamos totales por 2,34 mil millones de dólares (un aumento del 0,8% respecto al primer trimestre) y una ratio de capital tangible común del 9,65%. La Junta aprobó un aumento del dividendo trimestral del 6,3% a 0,34 dólares por acción y autorizó un nuevo programa de recompra de acciones de hasta 314,000 acciones.

El banco mostró un desempeño sólido con un retorno sobre activos promedio del 1,43% y un retorno sobre capital promedio del 11,96%. La calidad de los activos se mantuvo estable con préstamos en mora en el 0,43% del total de préstamos.

ACNB Corporation (NASDAQ: ACNB)는 2025년 2분기에 강력한 재무 실적을 보고했으며, 순이익 1,160만 달러 또는 희석 주당순이익 1.11달러를 기록하여 2024년 2분기의 1,130만 달러와 비교되었습니다. 이번 분기는 Traditions Bancorp 인수 후 첫 번째 완전 통합 운영 기간이었습니다.

주요 내용으로는 완전 과세 환산 순이자마진 4.21%, 총 대출금 23억 4천만 달러(1분기 대비 0.8% 증가), 실질 보통주 자본비율 9.65%가 포함됩니다. 이사회는 분기 배당금을 6.3% 인상하여 주당 0.34달러로 승인하고 최대 314,000주에 대한 자사주 매입 프로그램을 승인했습니다.

은행은 평균 자산 수익률 1.43%와 평균 자기자본 수익률 11.96%로 견고한 실적을 보였습니다. 자산 품질은 총 대출의 0.43%인 부실 대출 비율로 안정적으로 유지되었습니다.

ACNB Corporation (NASDAQ : ACNB) a publié de solides résultats financiers pour le deuxième trimestre 2025, avec un revenu net de 11,6 millions de dollars, soit un bénéfice dilué par action de 1,11 dollar, comparé à 11,3 millions de dollars au deuxième trimestre 2024. Ce trimestre a marqué la première période complète d'opérations combinées suite à l'acquisition de Traditions Bancorp.

Les points clés incluent une marge nette d'intérêt équivalente entièrement imposable de 4,21%, des prêts totaux de 2,34 milliards de dollars (en hausse de 0,8 % par rapport au premier trimestre) et un ratio de capitaux propres tangibles de 9,65 %. Le conseil d'administration a approuvé une augmentation du dividende trimestriel de 6,3% à 0,34 dollar par action et a autorisé un nouveau programme de rachat d'actions portant jusqu'à 314 000 actions.

La banque a démontré une performance solide avec un rendement moyen des actifs de 1,43% et un rendement moyen des capitaux propres de 11,96%. La qualité des actifs est restée stable, les prêts non performants représentant 0,43 % du total des prêts.

ACNB Corporation (NASDAQ: ACNB) meldete starke Finanzergebnisse für das zweite Quartal 2025 mit einem Nettoeinkommen von 11,6 Millionen US-Dollar bzw. 1,11 US-Dollar verwässertem Gewinn je Aktie, im Vergleich zu 11,3 Millionen US-Dollar im zweiten Quartal 2024. Das Quartal markierte die erste vollständige Periode der kombinierten Geschäftstätigkeit nach der Übernahme von Traditions Bancorp.

Zu den wichtigsten Highlights zählen eine vollständig steueräquivalente Nettozinsmarge von 4,21%, Gesamtkredite in Höhe von 2,34 Milliarden US-Dollar (ein Anstieg von 0,8 % gegenüber dem ersten Quartal) und eine greifbare Stammkapitalquote von 9,65 %. Der Vorstand genehmigte eine vierteljährliche Dividendenerhöhung um 6,3 % auf 0,34 US-Dollar je Aktie und autorisierte ein neues Aktienrückkaufprogramm für bis zu 314.000 Aktien.

Die Bank zeigte eine solide Leistung mit einer Rendite auf durchschnittliche Vermögenswerte von 1,43% und einer Rendite auf durchschnittliches Eigenkapital von 11,96%. Die Vermögensqualität blieb stabil, wobei notleidende Kredite 0,43 % der Gesamtkredite ausmachten.

Positive
  • Net income increased to $11.6 million in Q2 2025 from $11.3 million in Q2 2024
  • Net interest margin improved to 4.21% from 3.82% year-over-year
  • Quarterly dividend increased by 6.3% to $0.34 per share
  • Total loans grew by $662.2 million year-over-year
  • Strong asset quality with low 0.01% annualized net charge-offs
Negative
  • Q1 2025 showed a net loss of $272,000 due to acquisition-related expenses
  • Net unrealized loss of $36.2 million on available for sale securities portfolio
  • Non-performing loans increased to 0.43% from 0.19% year-over-year
  • Total deposits decreased by $15.5 million from Q1 2025

Insights

ACNB shows strong Q2 recovery with $11.6M profit after completing Traditions acquisition, improving net interest margin to 4.21%.

ACNB Corporation has delivered $11.6 million in quarterly net income ($1.11 diluted EPS), representing a modest increase from $11.3 million ($1.32 EPS) year-over-year, but a significant turnaround from last quarter's $272,000 net loss. This recovery underscores management's successful integration of the Traditions Bancorp acquisition completed in February 2025.

The financial metrics show encouraging trends across key performance indicators. The fully taxable equivalent net interest margin improved to 4.21%, up 39 basis points year-over-year and 14 basis points sequentially, signaling enhanced spread management despite the challenging rate environment. This expansion was partially fueled by $2.2 million in accretion from acquisition accounting adjustments.

Loan growth appears healthy at $19.6 million quarter-over-quarter (3.4% annualized), with the portfolio now totaling $2.34 billion. Asset quality remains well-controlled with non-performing loans at just 0.43% of total loans and minimal net charge-offs of 0.01%. The corporation's tangible common equity ratio strengthened to 9.65%, indicating solid capital levels.

Revenue diversification is evident with noninterest income increasing $2.3 million year-over-year to $8.7 million, driven by mortgage loan sales ($1.6 million) and insurance commissions ($2.9 million). This multi-channel approach provides resilience against interest rate fluctuations.

The 6.3% dividend increase to $0.34 per share coupled with ongoing share repurchases (71,592 shares in Q2) demonstrates management's commitment to shareholder returns. With merger-related expenses now declining ($1.9 million this quarter vs $8 million in Q1), ACNB appears well-positioned to capitalize on its expanded footprint and operational synergies in coming quarters.

GETTYSBURG, Pa., July 24, 2025 (GLOBE NEWSWIRE) -- ACNB Corporation (NASDAQ: ACNB) (“ACNB” or the “Corporation”), financial holding company for ACNB Bank and ACNB Insurance Services, Inc., announced net income of $11.6 million, or $1.11 diluted earnings per share, for the three months ended June 30, 2025 compared to net income of $11.3 million, or $1.32 diluted earnings per share, for the three months ended June 30, 2024 and compared to net loss of $272 thousand, or $0.03 diluted loss per share, for the three months ended March 31, 2025. Financial results for the three months ended March 31, 2025 were impacted by two discrete items that were related to the acquisition of Traditions Bancorp, Inc. (“Traditions”) (“Acquisition”): a provision for credit losses on non-purchase credit deteriorated (“PCD”) loans of $4.2 million, net of taxes, and merger-related expenses, net of taxes, totaling $6.2 million.

2025 Second Quarter Highlights

  • Fully taxable equivalent (“FTE”) net interest margin was 4.21% for the three months ended June 30, 2025 compared to 4.07% for the three months ended March 31, 2025 and 3.82% for the three months ended June 30, 2024.

  • Return on average assets was 1.43% and return on average equity was 11.96% for the three months ended June 30, 2025.

  • Total loans were $2.34 billion at June 30, 2025, an increase of $19.6 million, or 0.8%, from March 31, 2025, or 3.4% on an annualized basis.

  • Tangible common equity to tangible assets ratio1 of 9.65% at June 30, 2025 compared to 9.33% at March 31, 2025 and 9.84% at June 30, 2024. The net unrealized loss on the available for sale securities portfolio was $36.2 million at June 30, 2025 compared to a net unrealized loss of $39.7 million at March 31, 2025 and a net unrealized loss of $52.7 million at June 30, 2024.

  • As announced on Form 8-K on July 23, 2025, the Board of Directors approved and declared a regular quarterly cash dividend of $0.34 per share of ACNB Corporation common stock for the second quarter, reflecting a $0.02, or 6.3%, increase over the same period of 2024.

  • ACNB repurchased 71,592 shares of ACNB common stock in open market transactions during the three months ended June 30, 2025. On June 18, 2025, the Corporation announced that the Board of Directors approved a plan to repurchase, in open market transactions at prevailing market prices, up to 314,000 shares or approximately 3.0%, of the outstanding shares of ACNB’s common stock.

“We are pleased to share strong results for the second quarter of 2025 which reflect our first full quarter of combined operations including Traditions Bank, a division of ACNB Bank. After completing the acquisition in early February of this year, we are excited to share that we have successfully completed our system conversion enabling all ACNB Bank customers to bank at any convenient location,” said James P. Helt, ACNB Corporation President and Chief Executive Officer.

“Our financial results reflect our continued commitment to our community banking business model and to generating long term shareholder value. The quarter was represented by strong profitability, an increase in quarter over quarter net loan growth, stable asset quality and an active capital management strategy supported by a $0.34 second quarter dividend payment and continued open market share repurchases.”

Mr. Helt continued, “As we look to the remainder of the year, we are focused on managing through the uncertain national economic challenges by continuing to diversify our revenue streams with ACNB Insurance Services, our Wealth Management teams and Traditions Mortgage. We are optimistic that our strong capital position, ample liquidity, superior asset quality metrics and our focus on profitability will enable us to deliver on our commitment to our many different stakeholders.”

ACNB’s financial results for any periods ended prior to February 1, 2025 reflect ACNB on a standalone basis. As a result, ACNB’s financial results for the three months ended June 30, 2025 may not be directly comparable to prior reported periods.

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1 Non-GAAP financial measure. Please refer to the calculation on the page titled “Non-GAAP Reconciliation” at the end of this document.

Net Interest Income and Margin

Net interest income for the three months ended June 30, 2025 totaled $31.0 million, an increase of $10.0 million from the three months ended June 30, 2024 and an increase of $3.9 million from the three months ended March 31, 2025. The increases were driven primarily by the Acquisition. The FTE net interest margin for the three months ended June 30, 2025 was 4.21%, a 39 basis points increase from the three months ended June 30, 2024 and a 14 basis points increase from the three months ended March 31, 2025. The accretion impact of acquisition accounting adjustments on loans and deposits from the Acquisition was $2.2 million and $1.5 million for the three months ended June 30, 2025 and the three months ended March 31, 2025, respectively. The following discussion of increases in average balances and yields compared to the previous periods were driven primarily by the Acquisition. For the three months ended June 30, 2025, total average loans increased $678.7 million and $217.1 million compared to the three months ended June 30, 2024 and the three months ended March 31, 2025, respectively. The yield on total loans was 6.29% for the three months ended June 30, 2025, an increase of 76 basis points compared to the three months ended June 30, 2024 and an increase of 21 basis points from the three months ended March 31, 2025. For the three months ended June 30, 2025, total average interest- bearing deposits increased $613.8 million from the three months ended June 30, 2024 and increased $203.0 million from the three months ended March 31, 2025. The average rate paid on interest-bearing deposits was 1.49% for the three months ended June 30, 2025, an increase of 70 basis points from the three months ended June 30, 2024 and an increase of 11 basis points from the three months ended March 31, 2025. For the three months ended June 30, 2025, total average noninterest-bearing demand deposits increased $78.0 million from the three months ended June 30, 2024 and increased $50.4 million from the three months ended March 31, 2025.

Noninterest Income

Noninterest income for the three months ended June 30, 2025 was $8.7 million, an increase of $2.3 million from the three months ended June 30, 2024 and an increase of $1.5 million from the three months ended March 31, 2025. Gain from mortgage loans held for sale for the three months ended June 30, 2025 was $1.6 million, an increase of $1.5 million from the three months ended June 30, 2024 and an increase of $720 thousand from the three months ended March 31, 2025. Insurance commissions for the three months ended June 30, 2025 were $2.9 million, an increase of $161 thousand from the three months ended June 30, 2024 driven primarily by timing of policy renewals and new business and an increase of $761 thousand from the three months ended March 31, 2025 driven primarily by seasonally stronger policy renewals and an increase in contingent commission income during the three months ended June 30, 2025 for contingent commissions earned in 2024. Service charges on deposits were $1.2 million, an increase of $158 thousand from the three months ended June 30, 2024 and an increase of $85 thousand from the three months ended March 31, 2025 driven primarily by the Acquisition.

Noninterest Expense

Noninterest expense for the three months ended June 30, 2025 increased $9.0 million from the three months ended June 30, 2024 and decreased $4.0 million from the three months ended March 31, 2025. Merger-related expenses totaled $1.9 million for the three months ended June 30, 2025 compared to $23 thousand for the three months ended June 30, 2024 and $8.0 million for the three months ended March 31, 2025. Salaries and employee benefits expense increased $3.3 million during the three months ended June 30, 2025 compared to the three months ended June 30, 2024 and increased $832 thousand compared to three months ended March 31, 2025 driven primarily by an increased number of employees attributable to the Acquisition, merit increases and higher mortgage commissions. Net occupancy increased $286 thousand for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 driven primarily by the Acquisition and decreased $165 thousand compared to the three months ended March 31, 2025 driven primarily by lower snow removal costs. Equipment expense increased $969 thousand for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 and increased $259 thousand compared to the three months ended March 31, 2025 driven primarily by the Acquisition and the implementation of new additional products into our core processing system. Other tax decreased $136 thousand for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 and decreased $307 thousand compared to the three months ended March 31, 2025 driven primarily by earned income tax credits recognized in the period. Intangible assets amortization increased $826 thousand during the three months ended June 30, 2025 compared to the three months ended June 30, 2024 and increased $284 thousand compared to the three months ended March 31, 2025 driven by the Acquisition. Other increased $1.5 million for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 and increased $1.0 million compared to the three months ended March 31, 2025 driven primarily by the Acquisition, earned income tax related donations, and higher internet banking services.

Loans and Asset Quality

Total loans outstanding were $2.34 billion at June 30, 2025, an increase of $19.6 million from March 31, 2025 and an increase of $662.2 million from June 30, 2024. The growth from March 31, 2025 was spread across real estate construction, commercial and industrial, home equity lines of credit and residential mortgage. The increase compared to June 30, 2024 was spread across all loan categories and was driven primarily by the Acquisition. The allowance for credit losses was $24.4 million at June 30, 2025, a decrease of $293 thousand compared to March 31, 2025 and an increase of $7.2 million compared to June 30, 2024. The decrease compared to March 31, 2025 was driven primarily by the incorporation of post-COVID lower credit loss history in the bank’s allowance for credit losses model. The increase compared to June 30, 2024 was driven primarily by the Acquisition. The allowance for unfunded commitments was $1.5 million at June 30, 2025, a decrease of $354 thousand compared to March 31, 2025 and an increase of $219 thousand compared to June 30, 2024. The decrease compared to March 31, 2025 was driven primarily by the incorporation of post-COVID lower credit loss history in the bank’s allowance for unfunded commitments model and lower commitments. The increase compared to June 30, 2024 was driven primarily by the Acquisition.

Non-performing loans were $10.1 million, or 0.43%, of total loans, net of unearned income, at June 30, 2025 compared to $10.0 million, or 0.43%, of total loans at March 31, 2025 and $3.1 million, or 0.19%, of total loans at June 30, 2024. The increase in non-performing loans at June 30, 2025 compared to June 30, 2024 was driven primarily by one long-standing commercial relationship in the healthcare industry, comprised of both owner-occupied commercial real estate and commercial and industrial loans, that moved into non-performing loan status during 2024 and by the Acquisition. Annualized net charge-offs for the three months ended June 30, 2025 were 0.01% of total average loans compared to 0.01% for the three months ended March 31, 2025 and 0.00% for the three months ended June 30, 2024.

Deposits and Borrowings

Deposits totaled $2.52 billion at June 30, 2025, a decrease of $15.5 million from March 31, 2025 and an increase of $686.0 million from June 30, 2024. Included in total deposits at June 30, 2025 were $568.3 million of noninterest-bearing deposits, which increased $5.6 million and $88.6 million from March 31, 2025 and June 30, 2024, respectively. Total interest-bearing deposits were $1.96 billion at June 30, 2025 a decrease of $21.1 million from March 31, 2025 and an increase of $597.4 million from June 30, 2024. The decrease from March 31, 2025 was driven primarily by the withdrawal of a significant 1031 Exchange deposit held on behalf of a commercial customer. Time deposits, included in interest-bearing deposits, increased $3.3 million and $225.0 million since March 31, 2025 and June 30, 2024, respectively. In June 2025, ACNB Bank issued $20.0 million in brokered time deposits to partially offset the 1031 Exchange deposit withdrawal and the maturity of a $5.0 million brokered deposit during the quarter. The overall increase in total deposits compared to June 30, 2024 was driven primarily by the Acquisition.

Total borrowings were $298.4 million at June 30, 2025, a decrease of $1.1 million and $5.9 million compared to March 31, 2025 and June 30, 2024, respectively.

Stockholders’ Equity

Total stockholders’ equity was $395.2 million at June 30, 2025 compared to $386.9 million at March 31, 2025 and $289.3 million at June 30, 2024. The increase at June 30, 2025 compared to March 31, 2025 was driven primarily by net income of $11.6 million slightly offset by dividends paid of $3.5 million and common stock repurchased of $3.1 million for the three months ended June 30, 2025. The increase at June 30, 2025 compared to June 30, 2024 was driven primarily by the common stock equity issued in the Acquisition.

Tangible book value1 per share was $29.30, $28.23 and $27.82 at June 30, 2025, March 31, 2025 and June 30, 2024, respectively.

ACNB repurchased 71,592 shares of ACNB common stock in open market transactions during the three months ended June 30, 2025. On June 18, 2025, the Corporation announced that the Board of Directors approved a plan to repurchase, in open market transactions at prevailing market prices, up to 314,000 shares or approximately 3.0%, of the outstanding shares of ACNB’s common stock. This new common stock open market repurchase plan replaces and supersedes any and all earlier announced repurchase plans. There were no shares repurchased under this plan during the three months ended June 30, 2025.

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1 Non-GAAP financial measure. Please refer to the calculation on the page titled “Non-GAAP Reconciliation” at the end of this document.

About ACNB Corporation

ACNB Corporation, headquartered in Gettysburg, PA, is the independent $3.26 billion financial holding company for the wholly-owned subsidiaries of ACNB Bank, Gettysburg, PA, including its operating divisions Traditions Bank and Traditions Mortgage, and ACNB Insurance Services, Inc., Westminster, MD. Originally founded in 1857, ACNB Bank serves its marketplace with banking and wealth management services, including trust and retail brokerage, via a network of 33 community banking offices and one loan office located in the Pennsylvania counties of Adams, Cumberland, Franklin, Lancaster and York, and the Maryland counties of Baltimore, Carroll and Frederick. ACNB Insurance Services, Inc. is a full-service insurance agency with licenses in 46 states. The agency offers a broad range of property, casualty, health, life and disability insurance serving personal and commercial clients through office locations in Westminster, MD and Gettysburg, PA. For more information regarding ACNB Corporation and its subsidiaries, please visit investor.acnb.com.

SAFE HARBOR AND FORWARD-LOOKING STATEMENTS - Should there be a material subsequent event prior to the filing of the Quarterly Report on Form 10-Q with the Securities and Exchange Commission, the financial information reported in this press release is subject to change to reflect the subsequent event. In addition to historical information, this press release may contain forward-looking statements. Examples of forward-looking statements include, but are not limited to, (a) projections or statements regarding future earnings, expenses, net interest income, other income, earnings or loss per share, asset mix and quality, growth prospects, capital structure, and other financial terms, (b) statements of plans and objectives of Management or the Board of Directors, and (c) statements of assumptions, such as economic conditions in the Corporation’s market areas. Such forward-looking statements can be identified by the use of forward-looking terminology such as “believes”, “expects”, “may”, “intends”, “will”, “should”, “anticipates”, or the negative of any of the foregoing or other variations thereon or comparable terminology, or by discussion of strategy. Forward-looking statements are subject to certain risks and uncertainties such as national, regional and local economic conditions, competitive factors, and regulatory limitations. Actual results may differ materially from those projected in the forward-looking statements. Such risks, uncertainties, and other factors that could cause actual results and experience to differ from those projected include, but are not limited to, the following: short-term and long-term effects of inflation and rising costs on the Corporation, customers and economy; banking instability caused by bank failures and financial uncertainty of various banks which may adversely impact the Corporation and its securities and loan values, deposit stability, capital adequacy, financial condition, operations, liquidity, and results of operations; effects of governmental and fiscal policies, as well as legislative and regulatory changes; effects of new laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) and their application with which the Corporation and its subsidiaries must comply; impacts of the capital and liquidity requirements of the Basel III standards; effects of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Financial Accounting Standards Board and other accounting standard setters; ineffectiveness of the business strategy due to changes in current or future market conditions; future actions or inactions of the United States government, including the effects of short-term and long-term federal budget and tax negotiations and a failure to increase the government debt limit or a prolonged shutdown of the federal government; effects of economic conditions particularly with regard to the negative impact of any pandemic, epidemic or health-related crisis and the responses thereto on the operations of the Corporation and current customers, specifically the effect of the economy on loan customers’ ability to repay loans; effects of competition, and of changes in laws and regulations on competition, including industry consolidation and development of competing financial products and services; inflation, securities market and monetary fluctuations; risks of changes in interest rates on the level and composition of deposits, loan demand, and the values of loan collateral, securities, and interest rate protection agreements, as well as interest rate risks; difficulties in acquisitions and integrating and operating acquired business operations, including information technology difficulties; challenges in establishing and maintaining operations in new markets; effects of technology changes; effects of general economic conditions and more specifically in the Corporation’s market areas; failure of assumptions underlying the establishment of reserves for credit losses and estimations of values of collateral and various financial assets and liabilities; acts of war or terrorism or geopolitical instability; disruption of credit and equity markets; ability to manage current levels of impaired assets; loss of certain key officers; ability to maintain the value and image of the Corporation’s brand and protect the Corporation’s intellectual property rights; continued relationships with major customers; and, potential impacts to the Corporation from continually evolving cybersecurity and other technological risks and attacks, including additional costs, reputational damage, regulatory penalties, and financial losses. Management considers subsequent events occurring after the balance sheet date for matters which may require adjustment to, or disclosure in, the consolidated financial statements. The review period for subsequent events extends up to and including the filing date of the Corporation's consolidated financial statements when filed with the SEC. Accordingly, the financial information in this announcement is subject to change. We caution readers not to place undue reliance on these forward-looking statements. They only reflect Management’s analysis as of this date. The Corporation does not revise or update these forward-looking statements to reflect events or changed circumstances. Please carefully review the risk factors described in other documents the Corporation files from time to time with the SEC, including the Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. Please also carefully review any Current Reports on Form 8-K filed by the Corporation with the SEC.

ACNB #2025-10
July 24, 2025

ACNB Corporation Financial Highlights Selected Financial Data by Respective Quarter End (Unaudited)
 
(Dollars in thousands, except per share data)June 30, 2025March 31, 2025December 31, 2024September 30, 2024June 30, 2024
BALANCE SHEET DATA     
Total Assets$        3,259,528 $3,270,041 $2,394,830 $2,420,914 $2,457,753 
Investment securities 520,758  521,306  459,472  483,604  483,868 
Total loans, net of unearned income 2,341,816  2,322,209  1,682,910  1,677,112  1,679,600 
Allowance for credit losses (24,353) (24,646) (17,280) (17,214) (17,162)
Deposits 2,524,541  2,540,009  1,792,501  1,791,317  1,838,588 
Allowance for unfunded commitments 1,529  1,883  1,394  1,349  1,310 
Borrowings 298,395  299,531  271,159  293,091  304,286 
Stockholders’ equity 395,151  386,883  303,273  306,755  289,331 
INCOME STATEMENT DATA     
Interest and dividend income$        41,576 $36,290 $27,381 $27,241 $26,869 
Interest expense 10,564  9,200  6,269  6,299  5,905 
Net interest income 31,012  27,090  21,112  20,942  20,964 
(Reversal of) provision for credit losses (228) 5,968  249  81  (2,990)
(Reversal of) provision for unfunded commitments (354) (480) 44  40  (259)
Net interest income after (reversal of) provisions for credit losses and unfunded commitments 31,594  21,602  20,819  20,821  24,213 
Noninterest income 8,682  7,184  5,803  6,833  6,427 
Noninterest expenses 25,366  29,335  18,388  18,244  16,391 
Income (loss) before income taxes 14,910  (549) 8,234  9,410  14,249 
Income tax expense (benefit) 3,262  (277) 1,639  2,206  2,970 
Net income (loss)$        11,648 $(272)$6,595 $7,204 $11,279 
PROFITABILITY RATIOS     
Total loans, net of unearned income to deposits 92.76 % 91.43% 93.89% 93.62% 91.35%
Return on average assets (annualized) 1.43  (0.04) 1.08  1.17  1.86 
Return on average equity (annualized) 11.96  (0.31) 8.57  9.63  16.12 
Efficiency ratio1 56.21  60.13  63.83  60.56  58.61 
FTE Net interest margin 4.21  4.07  3.81  3.77  3.82 
Yield on average earning assets 5.64  5.45  4.93  4.90  4.89 
Yield on investment securities 2.95  2.91  2.58  2.59  2.65 
Yield on total loans 6.29  6.08  5.61  5.56  5.53 
Cost of funds 1.50  1.45  1.19  1.19  1.12 
PER SHARE DATA     
Diluted earnings (loss) per share$        1.11 $(0.03)$0.77 $0.84 $1.32 
Cash dividends paid per share 0.34  0.32  0.32  0.32  0.32 
Tangible book value per share1 29.30  28.23  29.51  29.90  27.82 
CAPITAL RATIOS2
Tier 1 leverage ratio 10.97 % 11.81% 12.52% 12.46% 12.25%
Common equity tier 1 ratio 13.96  13.65  16.27  16.07  15.78 
Tier 1 risk based capital ratio 14.17  13.86  16.56  16.36  16.07 
Total risk based capital ratio 15.75  15.45  18.36  18.15  17.86 
CREDIT QUALITY               
Net charge-offs to average loans outstanding (annualized) 0.01% 0.01% 0.04% 0.01% 0.00%
Total non-performing loans to total loans, net of unearned income3 0.43  0.43  0.40  0.39  0.19 
Total non-performing assets to total assets4 0.31  0.32  0.30  0.29  0.14 
Allowance for credit losses to total loans, net of unearned income 1.04  1.06  1.03  1.03  1.02 
                

_______________
1 Non-GAAP financial measure. Please refer to the calculation on the page titled “Non-GAAP Reconciliation” at the end of this document.
2 Regulatory capital ratios as of June 30, 2025 are preliminary.
3 Non-performing Loans consists of loans on nonaccrual status and loans greater than 90 days past due and still accruing interest.
4 Non-performing Assets consists of Non-performing Loans and Foreclosed assets held for resale.

Consolidated Statements of Condition
(Unaudited)
(Dollars in thousands, except per share data)June 30, 2025March 31, 2025June 30, 2024
ASSETS   
Cash and due from banks$        32,834 $23,422 $26,681 
Interest-bearing deposits with banks 70,275  100,141  59,593 
Total Cash and Cash Equivalents 103,109  123,563  86,274 
Equity securities with readily determinable fair values 936  933  919 
Investment securities available for sale, at estimated fair value 455,317  455,819  418,364 
Investment securities held to maturity, at amortized cost (fair value $56,420, $56,219 and $57,026) 64,505  64,554  64,585 
Loans held for sale 16,455  21,413  1,801 
Total loans, net of unearned income 2,341,816  2,322,209  1,679,600 
Less: Allowance for credit losses (24,353) (24,646) (17,162)
Loans, net 2,317,463  2,297,563  1,662,438 
Premises and equipment, net 31,581  32,398  25,760 
Right of use asset 4,657  5,440  2,278 
Restricted investment in bank stocks 13,533  13,560  11,853 
Investment in bank-owned life insurance 96,104  98,814  80,841 
Investments in low-income housing partnerships 814  846  940 
Goodwill 64,449  64,449  44,185 
Intangible assets, net 24,694  25,835  8,446 
Foreclosed assets held for resale 32  438  406 
Other assets 65,879  64,416  48,663 
Total Assets$        3,259,528 $3,270,041 $2,457,753 
    
LIABILITIES AND STOCKHOLDERS’ EQUITY   
Deposits:   
Noninterest-bearing$        568,301 $562,700 $479,726 
Interest-bearing 1,956,240  1,977,309  1,358,862 
Total Deposits 2,524,541  2,540,009  1,838,588 
Short-term borrowings 43,041  44,188  48,974 
Long-term borrowings 255,354  255,343  255,312 
Lease liability 4,946  5,790  2,278 
Allowance for unfunded commitments 1,529  1,883  1,310 
Other liabilities 34,966  35,945  21,960 
Total Liabilities 2,864,377  2,883,158  2,168,422 
    
Stockholders’ Equity:   
Preferred Stock, $2.50 par value; 20,000,000 shares authorized; no shares outstanding at June 30, 2025, March 31, 2025 and June 30, 2024 —  —  — 
Common stock, $2.50 par value; 20,000,000 shares authorized; 11,017,121, 11,011,051, and 8,934,495 shares issued; 10,478,149, 10,543,671, and 8,545,629 shares outstanding at June 30, 2025, March 31, 2025 and June 30, 2024, respectively 27,539  27,521  22,330 
Treasury stock, at cost; 538,972, 467,380, and 388,866 at June 30, 2025, March 31, 2025, and June 30, 2024, respectively (17,167) (14,309) (11,101)
Additional paid-in capital 178,553  178,011  98,230 
Retained earnings 239,077  230,978  226,271 
Accumulated other comprehensive loss (32,851) (35,318) (46,399)
Total Stockholders’ Equity 395,151  386,883  289,331 
Total Liabilities and Stockholders’ Equity$        3,259,528 $3,270,041 $2,457,753 
          


Consolidated Income Statements
(Unaudited)
 
 Three Months Ended June 30,Six Months Ended June 30,
(Dollars in thousands, except per share data) 2025  2024  2025  2024 
INTEREST AND DIVIDEND INCOME    
Loans, including fees    
Taxable$        36,555 $22,675 $        68,231 $44,145 
Tax-exempt 317  313  609  632 
Investment securities:    
Taxable 3,283  2,665  6,185  5,576 
Tax-exempt 283  284  571  568 
Dividends 307  248  647  488 
Other 831  684  1,623  1,434 
Total Interest and Dividend Income 41,576  26,869  77,866  52,843 
INTEREST EXPENSE    
Deposits 7,284  2,643  13,280  4,803 
Short-term borrowings 341  304  635  643 
Long-term borrowings 2,939  2,958  5,849  5,840 
Total Interest Expense 10,564  5,905  19,764  11,286 
Net Interest Income 31,012  20,964  58,102  41,557 
(Reversal of) provision for credit losses (228) (2,990) 5,740  (2,767)
(Reversal of) provision for unfunded commitments (354) (259) (834) (410)
Net Interest Income after (Reversal of) Provisions for Credit Losses and Unfunded Commitments 31,594  24,213  53,196  44,734 
NONINTEREST INCOME    
Insurance commissions 2,908  2,747  5,055  4,862 
Service charges on deposits 1,179  1,021  2,273  2,012 
Wealth management 1,090  1,069  2,150  2,031 
Gain from mortgage loans held for sale 1,575  34  2,430  82 
ATM debit card charges 905  841  1,736  1,660 
Earnings on investment in bank-owned life insurance 627  493  1,207  970 
Gain on life insurance proceeds 31  —  285  — 
Net gains on sales or calls of investment securities 22  —  22  69 
Net gains (losses) on equity securities 3  1  17  (9)
Other 342  221  691  417 
Total Noninterest Income 8,682  6,427  15,866  12,094 
NONINTEREST EXPENSES    
Salaries and employee benefits 13,693  10,426  26,554  21,594 
Equipment 2,539  1,570  4,819  3,299 
Net occupancy 1,277  991  2,719  2,121 
Professional services 743  529  1,320  1,145 
FDIC and regulatory 435  348  836  723 
Other tax 220  356  747  726 
Intangible assets amortization 1,141  315  1,998  636 
Merger-related 1,943  23  9,974  23 
Other 3,375  1,833  5,734  3,786 
Total Noninterest Expenses 25,366  16,391  54,701  34,053 
Income Before Income Taxes 14,910  14,249  14,361  22,775 
Income tax expense 3,262  2,970  2,985  4,728 
Net Income$        11,648 $11,279 $        11,376 $18,047 
PER SHARE DATA    
Basic earnings$        1.11 $1.32 $        1.12 $2.12 
Diluted earnings$        1.11 $1.32 $        1.12 $2.12 
Weighted average shares basic 10,451,469  8,502,268  10,130,666  8,497,686 
Weighted average shares diluted 10,487,519  8,540,706  10,157,331  8,526,177 
             


Average Balances, Income and Expenses, Yields and Rates
        
 Three months ended
June 30, 2025		Three months ended
March 31, 2025
Three months ended
December 31, 2024
Three months ended
September 30, 2024
Three months ended
June 30, 2024

(Dollars in thousands)		Average
Balance		Interest1Yield/
Rate		Average
Balance

Interest1		Yield/
Rate		Average
Balance

Interest1		Yield/
Rate		Average
Balance

Interest1		Yield/
Rate		Average
Balance

Interest1		Yield/
Rate
ASSETS              
Loans:              
Taxable$2,296,429 $ 36,555 6.38 %$2,080,231 $31,6766.18%$1,619,245 $23,2945.72%$1,618,879 $23,1085.68%$1,612,380 $22,6755.66%
Tax-exempt 58,903  401 2.73  57,969  3702.59  57,683  3662.52  62,401  3942.51  64,276  3962.48 
Total Loans2 2,355,332  36,956 6.29  2,138,200  32,0466.08  1,676,928  23,6605.61  1,681,280  23,5025.56  1,676,656  23,0715.53 
Investment Securities:                 
Taxable 482,933  3,590 2.98  447,986  3,2422.93  431,338  2,7862.57  441,135  2,8682.59  442,390  2,9132.65 
Tax-exempt 54,261  358 2.65  54,659  3652.71  54,453  3592.62  54,549  3592.62  54,644  3592.64 
Total Investments3 537,194  3,948 2.95  502,645  3,6072.91  485,791  3,1452.58  495,684  3,2272.59  497,034  3,2722.65 
Interest-bearing deposits with banks 77,348  831 4.31  73,181  7924.39  60,104  7284.82  48,794  6705.46  50,851  6845.41 
Total Earning Assets 2,969,874  41,735 5.64  2,714,026  36,4455.45  2,222,823  27,5334.93  2,225,758  27,3994.90  2,224,541  27,0274.89 
Cash and due from banks 25,610       20,603    20,413    21,684    21,041   
Premises and equipment 32,019       29,903    25,679    25,716    25,903   
Other assets 255,624       224,522    181,180    184,105    187,937   
Allowance for credit losses (24,615)      (19,939)   (17,153)   (17,147)   (20,124)  
Total Assets$3,258,512      $2,969,115   $2,432,942   $2,440,116   $2,439,298   
LIABILITIES                   
Interest-bearing demand deposits$ 612,812 $        514 0.34%$573,341  $524 0.37%$519,833  $511 0.39%$518,368  $552 0.42%$513,163  $275 0.22%
Money markets 536,755  2,706 2.02  447,297   1,984 1.80  251,781   747 1.18  246,653   692 1.12  248,191   613 0.99 
Savings deposits 342,327  27 0.03  331,103   27 0.03  315,512   34 0.04  318,291   26 0.03  327,274   30 0.04 
Time deposits 473,589  4,037 3.42  410,749   3,461 3.42  268,559   1,987 2.94  258,053   1,842 2.84  263,045   1,725 2.64 
Total Interest-Bearing Deposits 1,965,483  7,284 1.49  1,762,490   5,996 1.38  1,355,685   3,279 0.96  1,341,365   3,112 0.92  1,351,673   2,643 0.79 
Short-term borrowings 44,515  341 3.07  38,721   294 3.08  23,087   12 0.21  38,666   204 2.10  37,256   304 3.28 
Long-term borrowings 255,347  2,939 4.62  257,558   2,910 4.58  255,326   2,978 4.64  255,316   2,983 4.65  255,305   2,958 4.66 
Total Borrowings 299,862  3,280 4.39  296,279   3,204 4.39  278,413   2,990 4.27  293,982   3,187 4.31  292,561   3,262 4.48 
Total Interest-Bearing Liabilities 2,265,345  10,564 1.87  2,058,769   9,200 1.81  1,634,098   6,269 1.53  1,635,347   6,299 1.53  1,644,234   5,905 1.44 
Noninterest-bearing demand deposits 563,321    512,966     464,949     477,350     485,351    
Other liabilities 39,271    36,934     27,887     29,946     28,348    
Stockholders’ Equity 390,575    360,446     306,008     297,473     281,365    
Total Liabilities and Stockholders’ Equity$3,258,512   $2,969,115    $2,432,942    $2,440,116    $2,439,298    
Taxable Equivalent Net Interest Income  31,171     27,245     21,264     21,100     21,122  
Taxable Equivalent Adjustment  (159)    (155)    (152)    (158)    (158) 
Net Interest Income $ 31,012    $27,090    $21,112    $20,942    $20,964  
Cost of Funds  1.50%   1.45%   1.19%   1.19%   1.12%
FTE Net Interest Margin  4.21%   4.07%   3.81%   3.77%   3.82%
                         

_______________
1 Income on interest-earning assets has been computed on a fully taxable equivalent (FTE) basis using the 21% federal income tax statutory rate.
2 Average balances include non-accrual loans and are net of unearned income.
3 Average balances of investment securities is computed at fair value.

Average Balances, Income and Expenses, Yields and Rates
                  
 Six months ended June 30, 2025 Six months ended June 30, 2024
(Dollars in thousands) Average Balance  Interest1 Yield/ Rate   Average Balance  Interest1 Yield/ Rate 
ASSETS                 
Loans:                 
Taxable$        2,188,852 $        68,231 6.29 % $1,592,745 $44,145 5.57%
Tax-exempt 58,438  771 2.66   65,050 800 2.47 
Total Loans2 2,247,290  69,002 6.19   1,657,795 44,945 5.45 
Investment Securities:          
Taxable 465,556  6,832 2.96   454,928 6,064 2.68 
Tax-exempt 54,459  723 2.68   54,692 719 2.64 
Total Investments3 520,015  7,555 2.93   509,620 6,783 2.68 
Interest-bearing deposits with banks 75,276  1,623 4.35   52,504 1,434 5.49 
Total Earning Assets 2,842,581  78,180 5.55   2,219,919 53,162 4.82 
Cash and due from banks 23,120      20,790   
Premises and equipment 30,967      26,051   
Other assets 240,235      187,458   
Allowance for credit losses (22,290)     (20,044)  
Total Assets$         3,114,613     $2,434,174   
LIABILITIES      
Interest-bearing demand deposits$        593,185 $        1,038 0.35 % $512,932 $540 0.21%
Money markets 492,273  4,690 1.92   248,244  1,149 0.93 
Savings deposits 336,746  54 0.03   331,244  58 0.04 
Time deposits 442,343  7,498 3.42   253,763  3,056 2.42 
Total Interest-Bearing Deposits 1,864,547  13,280 1.44   1,346,183  4,803 0.72 
Short-term borrowings 41,634  635 3.08   42,170  643 3.07 
Long-term borrowings 256,447  5,849 4.60   252,004  5,840 4.66 
Total Borrowings 298,081  6,484 4.39   294,174  6,483 4.43 
Total Interest-Bearing Liabilities 2,162,628  19,764 1.84   1,640,357  11,286 1.38 
Noninterest-bearing demand deposits 538,282      485,999     
Other liabilities 38,109      27,626     
Stockholders’ Equity 375,594      280,192     
Total Liabilities and Stockholders’ Equity$        3,114,613     $2,434,174     
Taxable Equivalent Net Interest Income  58,416      41,876  
Taxable Equivalent Adjustment  (314)     (319) 
Net Interest Income $         58,102     $41,557  
Cost of Funds  1.48 %   1.07%
FTE Net Interest Margin  4.14 %   3.79%

_______________
1 Income on interest-earning assets has been computed on a fully taxable equivalent basis (FTE) using the 21% federal income tax statutory rate.
2 Average balances include non-accrual loans and are net of unearned income.
3 Average balances of investment securities is computed at fair value.

Non-GAAP Reconciliation

Note: The Corporation has presented the following non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation’s results of operations and financial condition. These non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation’s industry. Investors should recognize that the Corporation’s presentation of these non- GAAP financial measures might not be comparable to similarly-titled measures of other corporations. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures, and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety.

 Three Months Ended
(Dollars in thousands, except per share data)June 30, 2025March 31, 2025December 31, 2024September 30, 2024June 30, 2024
Tangible book value per share     
Stockholders’ equity$        395,151 $386,883 $303,273 $306,755 $289,331 
Less: Goodwill and intangible assets (89,143) (90,284) (52,023) (52,327) (52,631)
Tangible common stockholders’ equity (numerator)$        306,008 $296,599 $251,250 $254,428 $236,700 
Shares outstanding, less unvested shares, end of period (denominator) 10,442,269  10,506,822  8,515,347  8,510,187  8,507,191 
Tangible book value per share$        29.30 $28.23 $29.51 $29.90 $27.82 
Tangible common equity to tangible assets (TCE/TA Ratio)     
Tangible common stockholders’ equity (numerator)$        306,008 $296,599 $251,250 $254,428 $236,700 
Total assets$        3,259,528 $3,270,041 $2,394,830 $2,420,914 $2,457,753 
Less: Goodwill and intangible assets (89,143) (90,284) (52,023) (52,327) (52,631)
Total tangible assets (denominator)$        3,170,385 $3,179,757 $2,342,807 $2,368,587 $2,405,122 
Tangible common equity to tangible assets 9.65 % 9.33% 10.72% 10.74% 9.84%
Efficiency Ratio     
Noninterest expense$        25,366 $29,335 $18,388 $18,244 $16,391 
Less: Intangible amortization 1,141  857  304  304  315 
Less: Merger-related expense 1,943  8,031  885  1,137  23 
Noninterest expense (numerator)$        22,282 $20,447 $17,199 $16,803 $16,053 
Net interest income$        31,012 $27,090 $21,112 $20,942 $20,964 
Plus: Total noninterest income 8,682  7,184  5,803  6,833  6,427 
Less: Gain on life insurance proceeds 31  254  —  —  — 
Less: Net gains on sales or calls of securities 22  —  —  —  — 
Less: Net gains (losses) on equity securities 3  14  (28) 28  1 
Total revenue (denominator)$        39,638 $34,006 $26,943 $27,747 $27,390 
Efficiency ratio 56.21 % 60.13% 63.83% 60.56% 58.61%
                


Contact:  Jason H. Weber
EVP/Treasurer & Chief Financial Officer
717.339.5090
jweber@acnb.com
   

FAQ

What were ACNB's earnings per share for Q2 2025?

ACNB reported diluted earnings per share of $1.11 for Q2 2025, compared to $1.32 in Q2 2024.

How much is ACNB's new quarterly dividend?

ACNB's Board approved a quarterly cash dividend of $0.34 per share, representing a 6.3% increase over the same period in 2024.

What is the size of ACNB's new share repurchase program?

ACNB announced a new share repurchase program to buy back up to 314,000 shares, approximately 3.0% of outstanding common stock.

How did ACNB's loan portfolio perform in Q2 2025?

Total loans reached $2.34 billion, increasing by $19.6 million (0.8%) from Q1 2025 and $662.2 million from Q2 2024.

What was ACNB's net interest margin in Q2 2025?

ACNB's fully taxable equivalent net interest margin was 4.21%, up from 4.07% in Q1 2025 and 3.82% in Q2 2024.
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Acnb Corp

NASDAQ:ACNB

ACNB Rankings

#4455 Ranked by Market Cap
#1028 Ranked by Dividends

ACNB Latest News

Jul 24, 2025
ACNB Corporation Announces Third Quarter Cash Dividend
Jun 18, 2025
ACNB Corporation Announces Common Stock Repurchase Program
Apr 24, 2025
ACNB Corporation Reports 2025 First Quarter Financial Results
Apr 23, 2025
ACNB Corporation Announces Second Quarter Cash Dividend
Feb 4, 2025
CORRECTION - ACNB Corporation Announces Completion of Traditions Bancorp, Inc. Acquisition

ACNB Latest SEC Filings

Jul 24, 2025
[8-K] ACNB Corp Reports Material Event
Jul 23, 2025
[8-K] ACNB Corp Reports Material Event

ACNB Stock Data

450.47M
10.09M
3.88%
30.33%
0.56%
Banks - Regional
State Commercial Banks
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United States
GETTYSBURG

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