ACNB Corporation Reports 2026 First Quarter Financial Results

Rhea-AI Summary

ACNB Corporation (NASDAQ: ACNB) reported Q1 2026 net income of $13.7 million, or $1.32 diluted EPS, versus a net loss in Q1 2025 and $10.8 million in Q4 2025. Key metrics: ROA 1.71%, ROE 12.97%, FTE net interest margin 4.46%, total loans $2.35B and total deposits $2.53B at March 31, 2026. The quarter included balance sheet restructuring benefits, loan growth, stable credit metrics, and $47.54 weighted buyback activity per share.

Positive

• Net income of $13.7 million in Q1 2026
• FTE net interest margin of 4.46% for Q1 2026
• Total loans of $2.35 billion at March 31, 2026

Negative

• Investment repositioning caused an after-tax Q4 2025 loss of $2.8 million
• Merger-related expenses totaled $8.0 million in Q1 2025 (comparative period)
• Decline in total deposits of $14.2 million versus March 31, 2025

News Market Reaction – ACNB

+1.49%

+1.49% Session close to close

In the Apr 23 session, ACNB gained 1.49%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights a solid rebound from prior acquisition-related noise, with Q1 2026 net ...

Analysis

This announcement highlights a solid rebound from prior acquisition-related noise, with Q1 2026 net income of $13.7M, ROA of 1.71%, ROE of 12.97% and FTE margin of 4.46%. Loans reached $2.35B and deposits $2.53B, while nonperforming loans fell to 0.41% of totals and tangible book value rose to $32.99. Going forward, investors may focus on loan growth, deposit mix, credit trends and the impact of any further capital actions such as repurchases or share authorization changes.

Key Figures

Net income: $13.7M Diluted EPS: $1.32 Return on assets: 1.71% +5 more

8 metrics

Net income $13.7M Q1 2026

Diluted EPS $1.32 Q1 2026

Return on assets 1.71% Q1 2026

Return on equity 12.97% Q1 2026

FTE net interest margin 4.46% Q1 2026

Total loans $2.35B Balance at March 31, 2026

Total deposits $2.53B Balance at March 31, 2026

Tangible book value $32.99 Per share at March 31, 2026

Previous Earnings Reports

5 past events · Latest: Jan 22 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Jan 22	Q4/FY 2025 earnings	Positive	+0.3%	Record 2025 results with higher core earnings and stronger capital metrics.
Oct 23	Q3 2025 earnings	Positive	+3.1%	Higher net income and EPS driven by Traditions acquisition and loan growth.
Jul 24	Q2 2025 earnings	Positive	-0.8%	Strong first full post-acquisition quarter with solid margins and ROA/ROE.
Apr 24	Q1 2025 earnings	Negative	-0.9%	Net loss tied to Traditions acquisition expenses and credit loss provision.
Jan 23	Q4/FY 2024 earnings	Positive	+0.8%	Higher 2024 earnings despite merger costs ahead of Traditions closing.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Earnings releases have typically produced modest moves, with shares usually aligning with the tone of results; only one recent quarter showed a negative reaction to otherwise strong numbers.

Recent Company History

Over the last five earnings cycles from Jan 23, 2025 through Jan 22, 2026, ACNB moved from pre-acquisition results to integration and then record performance. The Traditions Bancorp deal drove step-changes in loans, deposits, and margins, with Q1 2025 showing a temporary loss before subsequent quarters delivered higher net income, ROA, and ROE. Tangible capital ratios and dividends generally trended higher. Today’s Q1 2026 release continues this post-acquisition profitability rebound and balance sheet growth pattern.

Key Terms

fully taxable equivalent, net interest margin, non-performing loans, tangible common equity, +4 more

8 terms

fully taxable equivalent financial

"Fully taxable equivalent (“FTE”) net interest margin was 4.46% for the three months..."

A fully taxable equivalent converts a tax-free yield into the pretax yield you would need from a taxable investment to get the same after-tax return, using an investor’s marginal tax rate. Think of it like inflating a discounted price to the full sticker price so you can compare items side‑by‑side; investors use it to fairly compare tax-exempt securities with taxable alternatives and choose the better after-tax income.

net interest margin financial

"Fully taxable equivalent (“FTE”) net interest margin was 4.46% for the three months..."

Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.

non-performing loans financial

"Total non-performing loans to total loans, net of unearned income, was 0.41% at March 31, 2026..."

Loans on a bank’s books where the borrower has stopped making scheduled payments for a prolonged period (commonly about 90 days), so the lender no longer expects full repayment on time. Think of them as overdue IOUs that may never be paid back; a rising level of such loans weakens a lender’s earnings and balance sheet, signals greater credit risk in the economy, and can hurt investors through lower dividends, loan losses, or declines in the lender’s stock value.

tangible common equity financial

"Tangible common equity to tangible assets ratio1 of 10.67% at March 31, 2026..."

Tangible common equity is the portion of a company’s net worth that belongs to ordinary shareholders after removing intangible items (like goodwill or patents) and any preferred claims; it’s often expressed on a per-share basis. Think of it as the hard, sellable value left for common owners if you removed non-physical assets and paid off debts—investors use it to judge how much real cushion a company has and whether the stock might be under- or over-valued.

tangible book value financial

"Tangible book value1 per share was $32.99, $32.22 and $28.23 at March 31, 2026..."

Tangible book value is the accounting measure of a company’s net worth after removing intangible items like goodwill, patents and trademarks, leaving only physical and financial assets minus liabilities. For investors it offers a clearer view of the company’s hard-asset backing per share—like estimating the cash you could get by selling the furniture, machinery and cash in a house—helping gauge downside risk and whether a stock may be cheaply valued.

View in glossary

brokered time deposits financial

"Included in time deposits were $89.1 million brokered time deposits, an increase of $30.0 million..."

Brokered time deposits are interest-bearing bank deposits sold through a broker instead of directly by a bank; they lock up your money for a set period and typically pay a known rate, similar to buying a fixed-term savings note through a middleman. Investors care because these products can offer higher rates and easier access to many banks at once, but they bring trade-offs in liquidity, potential resale-price risk if you sell early, and reliance on the broker and bank for safety and insurance limits.

bank-owned life insurance financial

"Earnings on investment in bank-owned life insurance was $737 thousand for the three months..."

Bank-owned life insurance (BOLI) is a life insurance policy that a bank purchases with itself as the beneficiary, typically on the lives of selected employees, so the bank receives the payout when a covered person dies. Investors care because these policies show up as assets on a bank’s balance sheet and generate tax-advantaged income and cash flow that can help offset employee benefit costs and smooth reported earnings—think of it as a low-profile savings vehicle that also provides a death benefit, which affects a bank’s reported profitability and risk profile.

FHLB financial

"the Corporation paid off a $40.0 million FHLB 4.99% fixed rate advance..."

The Federal Home Loan Bank (FHLB) system is a group of regional cooperative banks that lend money to local lenders like banks and credit unions so they can fund mortgages and other loans. Think of it as a central ATM for member lenders: when they need short-term cash or a safe place to park collateral, they borrow from the FHLB, and changes in FHLB lending and collateral rules can signal or affect liquidity, funding costs, and credit availability in the housing and banking markets—information investors use to gauge financial stability and interest-rate sensitivity.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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GETTYSBURG, Pa., April 23, 2026 (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 $13.7 million, or $1.32 diluted earnings per share, for the three months ended March 31, 2026 compared to net loss of $272 thousand, or $0.03 diluted loss per share, for the three months ended March 31, 2025 and compared to net income of $10.8 million, or $1.04 diluted earnings per share, for the three months ended December 31, 2025.

ACNB’s 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. which was completed on February 1, 2025 (“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. Financial results for the three months ended March 31, 2025 include ACNB’s standalone results for the month of January 2025. The financial results for the three months ended December 31, 2025 were impacted by an after-tax loss of $2.8 million due to the repositioning of the investment securities portfolio as announced on Form 8-K on December 5, 2025 and, to a lesser extent, after-tax merger-related expenses of $447 thousand.

2026 First Quarter Highlights

• Return on average assets was 1.71% and return on average equity was 12.97% for the three months ended March 31, 2026
• Fully taxable equivalent (“FTE”) net interest margin was 4.46% for the three months ended March 31, 2026 compared to 4.36% for the three months ended December 31, 2025 and 4.07% for the three months ended March 31, 2025
• Total loans outstanding were $2.35 billion at March 31, 2026, an increase of 0.8% from December 31, 2025; annualized growth of 3.3%
• Total noninterest-bearing deposits were $576.1 million at March 31, 2026, an increase of 4.0% from December 31, 2025; annualized growth of 16.3%
• Total non-performing loans to total loans, net of unearned income, was 0.41% at March 31, 2026 compared to 0.46% at December 31, 2025 and 0.43% at March 31, 2025
• Net recoveries to average loans outstanding were 0.00% for the three months ended March 31, 2026 compared to net charge-offs of 0.02% for the three months ended December 31, 2025 and net charge-offs of 0.01% for the three months ended March 31, 2025
• Tangible common equity to tangible assets ratio1 of 10.67% at March 31, 2026 compared to 10.60% at December 31, 2025 and 9.33% at March 31, 2025
• ACNB repurchased 73,972 shares of ACNB common stock in open market transactions for the three months ended March 31, 2026 at a weighted average price of $47.54 per share. There are 123,099 shares remaining in the current plan

“We are pleased to report a strong start to 2026, highlighted by solid profitability, stable asset quality, and continued balance sheet growth. Our results reflect the strength of our core relationship banking strategy, disciplined expense management, and consistent execution across the franchise.” said James P. Helt, ACNB Corporation President and Chief Executive Officer.

“Loan growth was healthy during the quarter, supported by a solid pipeline and continued demand across our markets, while deposit growth remained robust and well-balanced, reinforcing our strong liquidity position. Importantly, credit quality metrics remained stable, with low levels of non-performing assets and net charge-offs, underscoring the effectiveness of our conservative underwriting approach.”

Mr. Helt continued, “We also maintained strong capital levels, providing both financial flexibility and a solid foundation to support future growth. As we move further into 2026, we remain focused on delivering sustainable earnings, maintaining disciplined risk management, and creating long-term value for our shareholders.”

Net Interest Income and Margin

Net interest income for the three months ended March 31, 2026 totaled $32.5 million, an increase of $5.4 million from the three months ended March 31, 2025 and a decrease of $336 thousand from the three months ended December 31, 2025. The FTE net interest margin for the three months ended March 31, 2026 was 4.46%, a 39 basis points increase from the three months ended March 31, 2025 and a 10 basis points increase from the three months ended December 31, 2025.

The increase in net interest income and FTE net interest margin compared to the three months ended March 31, 2025 was driven primarily by the balance sheet restructuring completed during the three months ended December 31, 2025, the Acquisition and new loans and securities funded during the quarter at higher rates than those that paid off or matured. The FTE yield on total investment securities was 3.66% for the three months ended March 31, 2026, an increase of 75 basis points compared to the three months ended March 31, 2025. Increases in average balances and yields compared to the same period of the prior year were driven primarily by the impact of the Acquisition. For the three months ended March 31, 2026, total average loans increased $208.6 million, or 9.8%, compared to the three months ended March 31, 2025. The FTE yield on total loans was 6.35% for the three months ended March 31, 2026, an increase of 27 basis points compared to the three months ended March 31, 2025. For the three months ended March 31, 2026, total average interest-bearing deposits increased $151.8 million, or 8.6%, from the three months ended March 31, 2025. The average rate paid on interest-bearing deposits was 1.35% for the three months ended March 31, 2026, a decrease of 3 basis points from the three months ended March 31, 2025. For the three months ended March 31, 2026, total average noninterest-bearing demand deposits increased $41.6 million, or 8.1%, from the three months ended March 31, 2025 driven primarily by the Acquisition and promotional incentives on commercial checking accounts.

The decrease in net interest income compared to the three months ended December 31, 2025 was driven primarily by fewer days of interest accruals and, to a lesser extent, the decrease in total average earning assets of $27.6 million, or 0.9%. The decrease in interest-earning assets was driven primarily by lower invested cash balances due to the seasonal decline in the balance of one commercial deposit account as well as lower average loans held for sale and loans held for investment. While average loan balances declined, total loans increased as a result of loan closings that occurred at the end of the three months ended March 31, 2026. The FTE net interest margin increased 10 basis points compared to the three months ended December 31, 2025 driven primarily by the impact of the balance sheet restructuring completed during the three months ended December 31, 2025. The FTE yield on total investment securities increased 49 basis points compared to the three months ended December 31, 2025. For the three months ended March 31, 2026, total average interest-bearing deposits increased $3.4 million, or 0.2%, from the three months ended December 31, 2025. The average rate paid on interest-bearing deposits decreased 1 basis point from the three months ended December 31, 2025. The accretion impact of acquisition accounting adjustments on loans and deposits from the Acquisition was $1.9 million, $1.5 million and $1.9 million for the three months ended March 31, 2026, the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively.

_____________________

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

Noninterest Income

Noninterest income for the three months ended March 31, 2026 was $8.3 million, an increase of $1.1 million and $3.9 million from the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively. The increase compared to the three months ended March 31, 2025 was driven primarily by the Acquisition and compared to the three months ended December 31, 2025 was driven primarily by the repositioning of the investment securities portfolio, which generated a $3.6 million pre-tax loss on the sale of investment securities. Gain from mortgage loans held for sale for the three months ended March 31, 2026 was $1.2 million, an increase of $371 thousand from the three months ended March 31, 2025 driven primarily by the Acquisition. Earnings on investment in bank-owned life insurance was $737 thousand for the three months ended March 31, 2026, a $157 thousand increase from the three months ended March 31, 2025 driven primarily by the purchase of new policies in the third quarter of 2025 and the Acquisition. The sale of a building contributed a $177 thousand gain on assets held for sale and a death benefit contributed a $174 thousand gain on life insurance proceeds for the three months ended March 31, 2026. Service charges on deposits totaled $1.2 million, a $141 thousand increase compared to the three months ended March 31, 2025 driven primarily by the Acquisition. Wealth management income was $1.2 million, a $100 thousand increase compared to the three months ended March 31, 2025 driven primarily by growth of fee-based assets under management/ administration. Other totaled $489 thousand, a $140 thousand increase primarily attributable to a gain on a loan sale compared to the three months ended March 31, 2025.

Excluding the net gains (losses) on sales or calls of investment securities, the increase in noninterest income compared to the three months ended December 31, 2025 was impacted by a gain on life insurance proceeds of $174 thousand and the gain on assets held for sale of $177 thousand. Insurance commissions were $2.1 million, a $246 thousand increase compared to the three months ended December 31, 2025 driven primarily by higher renewals and the policy cancellation of a customer in the prior quarter. Partially offsetting the increase in noninterest income were lower gains from mortgage loans held for sale, service charges on deposits and ATM debit charges primarily driven by seasonality.

Noninterest Expense

Noninterest expense for the three months ended March 31, 2026 was $23.6 million, a decrease of $5.7 million from the three months ended March 31, 2025, driven primarily by the Acquisition, and an increase of $162 thousand from the three months ended December 31, 2025. Merger-related expenses totaled $8.0 million for the three months ended March 31, 2025 and $575 thousand for the three months ended December 31, 2025 compared to no merger-related expenses for the three months ended March 31, 2026. Salaries and employee benefits expense for the three months ended March 31, 2026 increased $1.2 million and $1.0 million compared to the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively. The increase from the three months ended March 31, 2025 was driven primarily by additional employees attributable to the Acquisition as well as merit increases. The increase from the three months ended December 31, 2025 was driven primarily by seasonal expenses of $600 thousand related to incentive stock awards and $270 thousand related to ACNB’s liability for unused vacation days, which was driven primarily by headcount increases due to the Acquisition.

Equipment expense increased $320 thousand and $244 thousand from the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively, driven primarily by the Acquisition and the implementation of additional products into our core processing system compared to the three months ended March 31, 2025 and higher core processing and hardware expense compared to the three months ended December 31, 2025. Net occupancy for the three months ended March 31, 2026 increased $91 thousand and $292 thousand compared to the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively. The increase compared to the three months ended March 31, 2025 was driven primarily by the Acquisition, and the increase compared to the three months ended December 31, 2025 was driven primarily by seasonally higher snow removal and utility expenses.

Professional services increased $101 thousand and decreased $74 thousand compared to the three months ended March 31, 2025 and the three months ended December 31, 2025, respectively. The increase compared to the three months ended March 31, 2025 was driven primarily by the higher professional services for software integration and legal fees, and the decrease from the three months ended December 31, 2025 was driven primarily by higher consulting fees in 2025. Intangible assets amortization increased $199 thousand compared to the three months ended March 31, 2025 and decreased $74 thousand compared to the three months ended December 31, 2025. The increase was a result of the Acquisition and the decrease was a result of normal attrition. Other increased $343 thousand compared to the three months ended March 31, 2025 and decreased $666 thousand for the three months ended December 31, 2025. The increase from the three months ended March 31, 2025 was driven primarily by higher internet banking expenses and supplies and postage, and the decrease was driven primarily by a $475 thousand write-off of legacy accounts receivable at the insurance subsidiary and higher mortgage underwriting and software expenses during the three months ended December 31, 2025.

Loans and Asset Quality

Total loans outstanding were $2.35 billion at March 31, 2026, an increase of $18.7 million from December 31, 2025 and an increase of $27.0 million from March 31, 2025. The increase compared to December 31, 2025 was driven primarily by growth in the commercial real estate portfolio and was partially offset by a decrease in real estate construction. The growth in commercial real estate was spread across a variety of industries, including non-owner occupied apartment complex, owner occupied and non-owner occupied farming, non-owner occupied warehouse and owner occupied office complex categories. The allowance for credit losses was $23.6 million at March 31, 2026, a decrease of $57 thousand compared to December 31, 2025 and a decrease of $1.0 million compared to March 31, 2025. The decrease compared to December 31, 2025 was driven primarily by the movement of higher risk rated construction loans to lower risk rated commercial real estate loans and the paydowns of loans with a specific reserve partially offset by loan growth. 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. Total non-performing loans to total loans, net of unearned income, decreased to 0.41% as of March 31, 2026, from 0.46% and 0.43% at December 31, 2025 and March 31, 2025, respectively. The decreases from December 31, 2025 and March 31, 2025 were driven by payments received on nonperforming loans.

Deposits and Borrowings

Total deposits were $2.53 billion at March 31, 2026, an increase of $75.6 million from December 31, 2025 and a decrease of $14.2 million from March 31, 2025. Included in total deposits at March 31, 2026 were $576.1 million of noninterest-bearing deposits, which increased $22.2 million and $13.4 million from December 31, 2025 and March 31, 2025, respectively, driven primarily by growth in commercial balances due to promotional incentives on commercial checking accounts. Total interest-bearing deposits were $1.95 billion at March 31, 2026, an increase of $53.4 million from December 31, 2025 and a decrease of $27.6 million from March 31, 2025. Money markets, included in interest-bearing deposits, increased $11.2 million since December 31, 2025 and decreased $52.7 million since March 31, 2025. The increase in money market deposits from December 31, 2025 was driven primarily by growth in balances of both consumer and commercial accounts and the decrease from March 31, 2025 was driven primarily by attrition of higher cost money market deposits from the Acquisition. Time deposits increased $35.6 million and $11.4 million since December 31, 2025 and March 31, 2025, respectively. Included in time deposits were $89.1 million brokered time deposits, an increase of $30.0 million from December 31, 2025 and $35.0 million from March 31, 2025, respectively.

Total borrowings were $279.2 million at March 31, 2026, a decrease of $40.9 million and $20.3 million compared to December 31, 2025 and March 31, 2025, respectively. On February 27, 2026, the Corporation paid off a $40.0 million FHLB 4.99% fixed rate advance as a result of excess liquidity during the quarter.

Stockholders’ Equity

Total stockholders’ equity was $425.5 million at March 31, 2026 compared to $420.0 million at December 31, 2025 and $386.9 million at March 31, 2025. The increase at March 31, 2026 compared to December 31, 2025 was driven primarily by net income of $13.7 million partially offset by dividends paid of $3.9 million, common stock repurchases of $3.6 million, and a $1.3 million change in unrealized losses in available for sale investment securities. The increase at March 31, 2026 compared to March 31, 2025 was driven primarily by growth in retained earnings and a change in unrealized losses in available for sale investment securities. Tangible book value1 per share was $32.99, $32.22 and $28.23 at March 31, 2026, December 31, 2025 and March 31, 2025, respectively.

_____________________

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 $3.27 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 two loan offices located in the Pennsylvania counties of Adams, Berks, 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 #2026-02
April 23, 2026

ACNB Corporation Financial Highlights
Selected Financial Data by Respective Quarter End
(Unaudited)

(Dollars in thousands, except per share data)	March 31, 2026		December 31, 2025		September 30, 2025		June 30, 2025		March 31, 2025
BALANCE SHEET DATA
Total assets	$	3,269,864	$	3,228,126	$	3,250,838	$	3,259,528	$	3,270,041
Investment securities	535,760		531,131		526,570		520,758		521,306
Total loans, net of unearned income	2,349,245		2,330,514		2,336,605		2,341,816		2,322,209
Allowance for credit losses	(23,615)		(23,672)		(23,660)		(24,353)		(24,646)
Deposits	2,525,772		2,450,185		2,465,896		2,524,541		2,540,009
Allowance for unfunded commitments	1,818		1,831		1,384		1,529		1,883
Borrowings	279,215		320,116		335,833		298,395		299,531
Stockholders’ equity	425,476		419,974		408,642		395,151		386,883
INCOME STATEMENT DATA
Interest and dividend income	$	42,232	$	42,856	$	42,490	$	41,576	$	36,290
Interest expense	9,717		10,005		10,353		10,564		9,200
Net interest income	32,515		32,851		32,137		31,012		27,090
(Reversal of) provision for credit losses	(76)		106		(584)		(228)		5,968
(Reversal of) provision for unfunded commitments	(13)		447		(145)		(354)		(480)
Net interest income after (reversal of) provisions for credit losses and unfunded commitments	32,604		32,298		32,866		31,594		21,602
Noninterest income	8,274		4,332		8,411		8,682		7,184
Noninterest expenses	23,615		23,453		22,361		25,366		29,335
Income (loss) before income taxes	17,263		13,177		18,916		14,910		(549)
Income tax expense (benefit)	3,560		2,372		4,046		3,262		(277)
Net income (loss)	$	13,703	$	10,805	$	14,870	$	11,648	$	(272)
PROFITABILITY RATIOS
Total loans, net of unearned income to deposits	93.01 %		95.12 %		94.76 %		92.76 %		91.43 %
Return on average assets (annualized)	1.71		1.30		1.80		1.43		(0.04)
Return on average equity (annualized)	12.97		10.31		14.66		11.96		(0.31)
Efficiency ratio1	55.84		53.39		51.96		56.21		60.13
FTE Net interest margin	4.46		4.36		4.27		4.21		4.07
Yield on average earning assets	5.78		5.69		5.64		5.64		5.45
Yield on investment securities	3.66		3.17		3.03		2.95		2.91
Yield on total loans	6.35		6.33		6.29		6.29		6.08
Cost of funds	1.41		1.40		1.45		1.50		1.45
PER SHARE DATA
Diluted earnings (loss) per share	$	1.32	$	1.04	$	1.42	$	1.11	$	(0.03)
Cash dividends paid per share	0.38		0.38		0.34		0.34		0.32
Tangible book value per share1	32.99		32.22		30.87		29.30		28.23
CAPITAL RATIOS2
Tier 1 leverage ratio	11.74 %		11.40 %		11.22 %		10.97 %		11.81 %
Common equity tier 1 ratio	14.92		14.74		14.45		13.96		13.65
Tier 1 risk based capital ratio	15.14		14.96		14.67		14.17		13.86
Total risk based capital ratio	16.73		16.54		16.22		15.75		15.45
CREDIT QUALITY
Net (recoveries) charge-offs to average loans outstanding (annualized)	(0.00)%		0.02 %		0.02 %		0.01 %		0.01 %
Total non-performing loans to total loans, net of unearned income3	0.41		0.46		0.43		0.43		0.43
Total non-performing assets to total assets4	0.29		0.33		0.31		0.31		0.32
Allowance for credit losses to total loans, net of unearned income	1.01		1.02		1.01		1.04		1.06

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 March 31, 2026 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)	March 31, 2026		December 31, 2025		March 31, 2025
ASSETS
Cash and due from banks	$	25,649	$	20,611	$	23,422
Interest-bearing deposits with banks	67,986		45,037		100,141
Total Cash and Cash Equivalents	93,635		65,648		123,563
Equity securities with readily determinable fair values	942		949		933
Investment securities available for sale, at estimated fair value	471,659		466,894		455,819
Investment securities held to maturity, at amortized cost (fair value
$56,248, $57,537 and $56,219)	63,159		63,288		64,554
Loans held for sale	15,155		28,170		21,413
Total loans, net of unearned income	2,349,245		2,330,514		2,322,209
Less: Allowance for credit losses	(23,615)		(23,672)		(24,646)
Loans, net	2,325,630		2,306,842		2,297,563
Premises and equipment, net	30,373		30,648		32,398
Right of use asset	4,053		4,155		5,440
Restricted investment in bank stocks	12,574		14,237		13,560
Investment in bank-owned life insurance	105,667		105,840		98,814
Investments in low-income housing partnerships	720		751		846
Goodwill	64,449		64,449		64,449
Intangible assets, net	21,379		22,435		25,835
Assets held for sale	—		275		—
Other assets	60,469		53,545		64,854
Total Assets	$	3,269,864	$	3,228,126	$	3,270,041
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deposits:
Noninterest-bearing	$	576,056	$	553,855	$	562,700
Interest-bearing	1,949,716		1,896,330		1,977,309
Total Deposits	2,525,772		2,450,185		2,540,009
Short-term borrowings	63,828		64,740		44,188
Long-term borrowings	215,387		255,376		255,343
Lease liability	4,352		4,451		5,790
Allowance for unfunded commitments	1,818		1,831		1,883
Other liabilities	33,231		31,569		35,945
Total Liabilities	2,844,388		2,808,152		2,883,158
Stockholders’ Equity:
Preferred Stock, $2.50 par value, 20,000,000 shares authorized; no shares outstanding at March 31, 2026, December 31, 2025 and March 31, 2025	—		—		—
Common stock, $2.50 par value, 20,000,000 shares authorized; 11,068,063, 11,028,152, and 11,011,051 shares issued; 10,338,190, 10,372,251, and 10,543,671 shares outstanding at March 31, 2026, December 31, 2025 and March 31, 2025, respectively	27,664		27,564		27,521
Treasury stock, at cost, 729,873, 655,901, and 467,380 at March 31,
2026, December 31, 2025, and March 31, 2025, respectively	(25,927)		(22,367)		(14,309)
Additional paid-in capital	180,132		179,658		178,011
Retained earnings	267,066		257,293		230,978
Accumulated other comprehensive loss	(23,459)		(22,174)		(35,318)
Total Stockholders’ Equity	425,476		419,974		386,883
Total Liabilities and Stockholders’ Equity	$	3,269,864	$	3,228,126	$	3,270,041

Consolidated Income (Loss) Statements
(Unaudited)

	Three Months Ended
(Dollars in thousands, except per share data)	March 31, 2026		December 31, 2025		March 31, 2025
INTEREST AND DIVIDEND INCOME
Loans, including fees:
Taxable	$	36,302	$	37,293	$	31,676
Tax-exempt	338		343		292
Investment securities:
Taxable	4,241		3,580		2,902
Tax-exempt	314		297		288
Dividends	334		320		340
Other	703		1,023		792
Total Interest and Dividend Income	42,232		42,856		36,290
INTEREST EXPENSE
Deposits	6,387		6,547		5,996
Short-term borrowings	563		491		294
Long-term borrowings	2,767		2,967		2,910
Total Interest Expense	9,717		10,005		9,200
Net Interest Income	32,515		32,851		27,090
(Reversal of) provision for credit losses	(76)		106		5,968
(Reversal of) provision for unfunded commitments	(13)		447		(480)
Net Interest Income after (Reversal of) Provisions for Credit Losses and Unfunded Commitments	32,604		32,298		21,602
NONINTEREST INCOME
Insurance commissions	2,128		1,882		2,147
Gain from mortgage loans held for sale	1,226		1,373		855
Service charges on deposits	1,235		1,282		1,094
Wealth management	1,160		1,200		1,060
ATM debit card charges	906		923		831
Earnings on investment in bank-owned life insurance	737		735		580
Gain on assets held for sale	177		—		—
Gain on life insurance proceeds	174		—		254
Other	489		490		349
Net gains (losses) on sales or calls of investment securities	49		(3,557)		—
Net (losses) gains on equity securities	(7)		4		14
Total Noninterest Income	8,274		4,332		7,184
NONINTEREST EXPENSES
Salaries and employee benefits	14,027		13,034		12,861
Equipment	2,600		2,356		2,280
Net occupancy	1,533		1,241		1,442
Intangible assets amortization	1,056		1,130		857
Professional services	678		752		577
Other tax	577		539		527
FDIC and regulatory	442		458		401
Merger-related	—		575		8,031
Other	2,702		3,368		2,359
Total Noninterest Expenses	23,615		23,453		29,335
Income (Loss) Before Income Taxes	17,263		13,177		(549)
Income tax expense (benefit)	3,560		2,372		(277)
Net Income (Loss)	$	13,703	$	10,805	$	(272)
PER SHARE DATA
Basic earnings (loss)	$	1.32	$	1.04	$	(0.03)
Diluted earnings (loss)	$	1.32	$	1.04	$	(0.03)
Weighted average shares basic	10,348,531		10,351,613		9,806,299
Weighted average shares diluted	10,366,230		10,386,137		9,823,475

Average Balances, Income and Expenses, Yields and Rates

	Three Months Ended					Three Months Ended					Three Months Ended					Three Months Ended					Three Months Ended
	March 31, 2026					December 31, 2025					September 30, 2025					June 30, 2025					March 31, 2025
(Dollars in thousands)	Average Balance		Interest1		Yield/ Rate	Average Balance		Interest1		Yield/ Rate	Average Balance		Interest1		Yield/ Rate	Average Balance		Interest1		Yield/ Rate	Average Balance		Interest1		Yield/ Rate
ASSETS
Loans:
Taxable	$	2,290,463	$	36,302	6.43 %	$	2,305,296	$	37,293	6.42 %	$	2,298,054	$	36,961	6.38 %	$	2,296,429	$	36,555	6.38 %	$	2,080,231	$	31,676	6.18 %
Tax-exempt	56,344		428		3.08	58,740		434		2.93	58,587		410		2.78	58,903		401		2.73	57,969		370		2.59
Total Loans2	2,346,807		36,730		6.35	2,364,036		37,727		6.33	2,356,641		37,371		6.29	2,355,332		36,956		6.29	2,138,200		32,046		6.08
Investment Securities:
Taxable	494,221		4,575		3.75	480,987		3,900		3.22	485,309		3,762		3.08	482,933		3,590		2.98	447,986		3,242		2.93
Tax-exempt	56,036		397		2.87	54,518		376		2.74	53,165		356		2.66	54,261		358		2.65	54,659		365		2.71
Total Investments3	550,257		4,972		3.66	535,505		4,276		3.17	538,474		4,118		3.03	537,194		3,948		2.95	502,645		3,607		2.91
Interest-bearing deposits with banks	76,769		703		3.71	101,846		1,023		3.99	103,290		1,162		4.46	77,348		831		4.31	73,181		792		4.39
Total Earning Assets	2,973,833		42,405		5.78	3,001,387		43,026		5.69	2,998,405		42,651		5.64	2,969,874		41,735		5.64	2,714,026		36,445		5.45
Cash and due from banks	24,482					25,686					26,709					25,610					20,603
Premises and equipment	30,611					31,297					31,514					32,019					29,903
Other assets	249,769					250,508					245,899					255,624					224,522
Allowance for credit losses	(23,682)					(23,646)					(24,312)					(24,615)					(19,939)
Total Assets	$	3,255,013				$	3,285,232				$	3,278,215				$	3,258,512				$	2,969,115
LIABILITIES
Interest-bearing demand deposits	$	616,311	$	460	0.30 %	$	633,593	$	545	0.34 %	$	616,565	$	570	0.37 %	$	612,812	$	514	0.34 %	$	573,341	$	524	0.37 %
Money markets	489,957		2,227		1.84	491,932		2,322		1.87	510,655		2,530		1.97	536,755		2,706		2.02	447,297		1,984		1.80
Savings deposits	335,398		26		0.03	331,309		27		0.03	335,083		26		0.03	342,327		27		0.03	331,103		27		0.03
Time deposits	472,621		3,674		3.15	454,083		3,653		3.19	454,625		3,746		3.27	473,589		4,037		3.42	410,749		3,461		3.42
Total Interest-Bearing Deposits	1,914,287		6,387		1.35	1,910,917		6,547		1.36	1,916,928		6,872		1.42	1,965,483		7,284		1.49	1,762,490		5,996		1.38
Short-term borrowings	74,562		563		3.06	69,326		491		2.81	70,389		513		2.89	44,515		341		3.07	38,721		294		3.08
Long-term borrowings	243,880		2,767		4.60	255,369		2,967		4.61	255,358		2,968		4.61	255,347		2,939		4.62	257,558		2,910		4.58
Total Borrowings	318,442		3,330		4.24	324,695		3,458		4.23	325,747		3,481		4.24	299,862		3,280		4.39	296,279		3,204		4.39
Total Interest-Bearing Liabilities	2,232,729		9,717		1.77	2,235,612		10,005		1.78	2,242,675		10,353		1.83	2,265,345		10,564		1.87	2,058,769		9,200		1.81
Noninterest-bearing demand deposits	554,591					592,956					593,800					563,321					512,966
Other liabilities	39,174					40,963					39,397					39,271					36,934
Stockholders’ Equity	428,519					415,701					402,343					390,575					360,446
Total Liabilities and Stockholders’ Equity	$	3,255,013				$	3,285,232				$	3,278,215				$	3,258,512				$	2,969,115
Taxable Equivalent Net Interest Income			32,688					33,021					32,298					31,171					27,245
Taxable Equivalent Adjustment			(173)					(170)					(161)					(159)					(155)
Net Interest Income			$	32,515				$	32,851				$	32,137				$	31,012				$	27,090
Cost of Funds					1.41%					1.40 %					1.45 %					1.50 %					1.45 %
FTE Net Interest Margin					4.46%					4.36 %					4.27 %					4.21 %					4.07 %

_____________________

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.

Loan and Deposit Detail by Type

							Variance
(Dollars in thousands)	March 31, 2026		December 31, 2025		March 31, 2025		March 2026 vs. December 2025		March 2026 vs. March 2025
Loans
Commercial real estate	$	1,301,807	$	1,273,813	$	1,254,402	$	27,994	$	47,405
Residential mortgage	602,305		599,051		591,488		3,254		10,817
Commercial and industrial	204,714		205,452		220,774		(738)		(16,060)
Home equity lines of credit	126,473		127,341		119,085		(868)		7,388
Real estate construction	106,128		116,680		127,663		(10,552)		(21,535)
Consumer	9,864		10,140		10,526		(276)		(662)
Gross loans	2,351,291		2,332,477		2,323,938		18,814		27,353
Unearned income	(2,046)		(1,963)		(1,729)		(83)		(317)
Total loans, net of unearned income	$	2,349,245	$	2,330,514	$	2,322,209	$	18,731	$	27,036

							Variance
(Dollars in thousands)	March 31, 2026		December 31, 2025		March 31, 2025		March 2026 vs. December 2025		March 2026 vs. March 2025
Deposits
Noninterest-bearing demand deposits	$	576,056	$	553,855	$	562,700	$	22,201	$	13,356
Interest-bearing demand deposits	625,363		623,620		609,187		1,743		16,176
Money market	497,031		485,808		549,704		11,223		(52,673)
Savings	338,763		333,973		341,291		4,790		(2,528)
Total demand and savings	2,037,213		1,997,256		2,062,882		39,957		(25,669)
Time	488,559		452,929		477,127		35,630		11,432
Total deposits	$	2,525,772	$	2,450,185	$	2,540,009	$	75,587	$	(14,237)

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)	March 31, 2026		December 31, 2025		September 30, 2025		June 30, 2025		March 31, 2025
Tangible book value per share
Stockholders’ equity	$	425,476	$	419,974	$	408,642	$	395,151	$	386,883
Less: Goodwill and intangible assets	(85,828)		(86,884)		(88,014)		(89,143)		(90,284)
Tangible common stockholders’ equity (numerator)	$	339,648	$	333,090	$	320,628	$	306,008	$	296,599
Shares outstanding, less unvested shares, end of period (denominator)	10,296,825		10,337,757		10,387,135		10,442,269		10,506,822
Tangible book value per share	$	32.99	$	32.22	$	30.87	$	29.30	$	28.23
Tangible common equity to tangible assets (TCE/TA Ratio)
Tangible common stockholders’ equity (numerator)	$	339,648	$	333,090	$	320,628	$	306,008	$	296,599
Total assets	$	3,269,864	$	3,228,126	$	3,250,838	$	3,259,528	$	3,270,041
Less: Goodwill and intangible assets	(85,828)		(86,884)		(88,014)		(89,143)		(90,284)
Total tangible assets (denominator)	$	3,184,036	$	3,141,242	$	3,162,824	$	3,170,385	$	3,179,757
Tangible common equity to tangible assets	10.67 %		10.60 %		10.14 %		9.65 %		9.33 %
Efficiency Ratio
Noninterest expense	$	23,615	$	23,453	$	22,361	$	25,366	$	29,335
Less: Intangible amortization	1,056		1,130		1,129		1,141		857
Less: Merger-related expense	—		575		169		1,943		8,031
Noninterest expense (numerator)	$	22,559	$	21,748	$	21,063	$	22,282	$	20,447
Net interest income	$	32,515	$	32,851	$	32,137	$	31,012	$	27,090
Plus: Total noninterest income	8,274		4,332		8,411		8,682		7,184
Less: Gain on assets held for sale	177		—		—		—		—
Less: Gain on life insurance proceeds	174		—		—		31		254
Less: Net gains (losses) on sales or calls of securities	49		(3,557)		—		22		—
Less: Net (losses) gains on equity securities	(7)		4		9		3		14
Total revenue (denominator)	$	40,396	$	40,736	$	40,539	$	39,638	$	34,006
Efficiency ratio	55.84 %		53.39 %		51.96 %		56.21 %		60.13 %

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

FAQ

What were ACNB's reported earnings and EPS for Q1 2026 (ACNB)?

ACNB reported net income of $13.7 million, or $1.32 diluted EPS, for Q1 2026. According to the company, results compare to a Q1 2025 net loss and reflect acquisition and balance-sheet effects from recent periods.

How did ACNB's net interest margin and net interest income perform in Q1 2026 (ACNB)?

ACNB reported an FTE net interest margin of 4.46% and net interest income of $32.5 million for Q1 2026. According to the company, margin expansion was driven by balance-sheet restructuring, the acquisition, and higher-yielding loans and securities.

What were ACNB's loan and deposit balances at March 31, 2026 (ACNB)?

Total loans were $2.35 billion and total deposits were $2.53 billion at March 31, 2026. According to the company, loan growth was driven by commercial real estate while noninterest deposits rose due to commercial checking promotions.

What did ACNB report about credit quality and allowance for Q1 2026 (ACNB)?

ACNB reported nonperforming loans of 0.41% of loans and an allowance for credit losses of $23.6 million at March 31, 2026. According to the company, credit metrics were stable with decreases driven by payments and risk-rating shifts.

Did ACNB repurchase shares in Q1 2026 and what was the activity (ACNB)?

ACNB repurchased 73,972 shares in open market transactions in Q1 2026 at a weighted average price of $47.54. According to the company, 123,099 shares remain available under the current repurchase plan.