CB Financial Services, Inc. Announces First Quarter 2026 Financial Results and Declares Quarterly Cash Dividend

(Neutral)

Key Terms

net interest margin financial

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.

basis points financial

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

allowance for credit losses financial

Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.

nonperforming loans financial

Nonperforming loans are loans on which borrowers have stopped making the scheduled interest or principal payments for an extended period (commonly 90 days or more) or are otherwise in serious danger of default. Think of them as IOUs that aren’t being repaid: they tie up a lender’s money, reduce future interest income, and force the lender to hold extra reserves or take losses. For investors, a rising share of nonperforming loans signals weakening credit quality, higher potential losses, and greater risk to a bank’s profitability and capital.

after-tax realized loss financial

A realized loss is the money you actually lose when you sell an investment for less than you paid, and an after-tax realized loss is that loss adjusted for the tax effect — the net hit to your wallet once any tax savings or liabilities are included. For investors this matters because it shows the true financial impact of a sale (similar to selling a used car at a loss but factoring in the tax refund you get), influences after-tax returns, cash flow, and future tax planning.

stock repurchase program financial

A stock repurchase program is when a company buys back its own shares from the market. This can make each remaining share more valuable and shows that the company believes its stock is a good investment. It’s like a business treating its shares like a limited resource, hoping to boost confidence and share prices.

treasury payments financial

Payments of interest and principal on government Treasury securities — the regular coupon payments and the return of the original loan when the bond matures. These flows matter to investors because they represent the reliable income from government debt, set a baseline for interest rates across markets, and influence the value of other investments much like a safe anchor stabilizes a boat in choppy waters.

unrealized losses financial

Unrealized losses are the drop in value of an investment you still own — the “on-paper” loss you would have if you sold it right now. Think of it like a car that’s worth less than what you paid: the loss exists, but it only becomes real if you sell. Investors care because unrealized losses reduce net worth, can lead to margin calls or forced selling, and affect financial reporting without triggering taxes until a sale.

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04/22/2026 - 04:15 PM

WASHINGTON, Penn.--(BUSINESS WIRE)-- CB Financial Services, Inc. (“CB” or the “Company”) (NASDAQGM: CBFV), the holding company of Community Bank (the “Bank”), today announced its first quarter 2026 financial results.

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25		3/31/25
(Dollars in thousands, except per share data) (Unaudited)

Net Income (Loss) (GAAP)	$	3,867		$	4,742		$	(5,696	)	$	3,949	$	1,909
Net Income Adjustments		(13	)		(943	)		9,623			—		808
Adjusted Net Income (Non-GAAP) ⁽¹⁾	$	3,854		$	3,799		$	3,927		$	3,949	$	2,717

Earnings (Loss) per Common Share - Diluted (GAAP)	$	0.73		$	0.89		$	(1.07	)	$	0.74	$	0.35
Adjusted Earnings per Common Share - Diluted (Non-GAAP) ⁽¹⁾	$	0.72		$	0.72		$	0.74		$	0.74	$	0.50

Income (Loss) Before Income Tax Expense (GAAP)	$	4,581		$	5,270		$	(7,020	)	$	4,715	$	2,336
Net Provision (Recovery) for Credit Losses		241			362			259			8		(40	)
Pre-Provision Net Revenue (“PPNR”)	$	4,822		$	5,632		$	(6,761	)	$	4,723	$	2,296
Net Income Adjustments		(16	)		(765	)		11,752			—		1,023
Adjusted PPNR (Non-GAAP) ⁽¹⁾	$	4,806		$	4,867		$	4,991		$	4,723	$	3,319

(1)	Refer to Explanation of Use of Non-GAAP Financial Measures and reconciliation of adjusted net income and adjusted earnings per common share - diluted as presented later in this Press Release.

2026 First Quarter Financial Highlights

Total assets were $1.58 billion at March 31, 2026, an increase of $35.6 million from December 31, 2025. Strong deposit growth augmented cash balances and funded investment security purchases. The Bank continues to focus efforts on repositioning the balance sheet to maximize earnings while maintaining a stable risk profile. These strategic movements include:
- Effectively managing cash and liquidity.
- Redeploying repayments of indirect automobile and residential mortgage loans into higher-yielding commercial loan products. Commercial loans totaled 61.1% of the Bank’s loan portfolio at March 31, 2026 compared to 55.6% at March 31, 2025.
- The Bank continues to strategically shift its deposit mix toward lower cost core deposit relationships and away from higher priced funding, a favorable transition driven by the ongoing onboarding of Specialty Treasury clients that began during the first quarter of 2026.
Net interest margin (NIM) improved for the sixth consecutive quarter to 3.83% for the three months ended March 31, 2026 compared to 3.76% for the three months ended December 31, 2025. The improved NIM resulted from a reduction in the cost of funds to 1.70% from 1.78% resulting from favorable changes in the Bank’s deposit mix coupled with disciplined deposit pricing and the recent reduction in the target federal funds rate. During the three months ended March 31, 2026, Specialty Treasury deposits grew by $27.6 million primarily in noninterest bearing and low interest bearing demand deposits leading to the improvement in the Bank’s deposit mix. This was partially offset as the yield on earning assets decreased to 5.47% from 5.48% due to the effect of the recent target federal funds rate cut on asset repricing.
Noninterest expenses increased $89,000 to $10.0 million for the three months ended March 31, 2026 compared to $9.9 million for the three months ended December 31, 2025. This increase was driven by increases in salaries and employee benefits due to higher payroll taxes and healthcare benefits, data processing due to the implementation of enhanced treasury and commercial banking platforms and occupancy expenses due to higher winter maintenance and utility costs.
Asset quality remains strong as nonperforming loans to total loans was 0.29% at March 31, 2026.
Book value per share and tangible book value per share (Non-GAAP) was $31.30 and $29.38, respectively at March 31, 2026. The improvements since year-end 2025 resulted from increased equity due to current period net income, partially offset by the increase in accumulated other comprehensive losses, treasury shares repurchased under the Company’s stock repurchase program and the payment of dividends.
The Bank remains well-capitalized and is positioned for future growth.

Management Commentary

President and CEO John H. Montgomery commented, “Our first quarter results reflect meaningful progress across our core financial objectives, reflecting the strength of our strategy and the disciplined execution of our team. Net interest margin improvement was largely attributable to a lower cost of funds, driven by a more favorable deposit mix, disciplined deposit pricing, and the cumulative impact of federal funds target rate reductions. Complementing this, earning asset yields held up well as our balance sheet restructuring executed in the third quarter last year continued to insulate the portfolio against rate reductions on asset repricing, strengthening both our financial foundation and our ability to generate sustainable earnings growth. Throughout this period, we remained focused on advancing key strategic initiatives that we believe set the Company on a stronger trajectory as we move through 2026 and beyond.

While macroeconomic uncertainties persist, our approach remains grounded in prudent financial management, disciplined balance sheet positioning, and a consistent commitment to maintaining the credit quality our shareholders have come to expect. Total loans decreased by $4.4 million, or 0.4%, during the quarter, with decreases in consumer, commercial and industrial and commercial real estate loans more than offsetting increases in construction and residential real estate loans. Loan demand showed momentum during the quarter, with production totaling $30.5 million against $29.4 million in payoffs over the past three months. Our asset quality continues to be strong, with nonperforming loans representing 0.29% of total loans and the allowance for credit losses covering 309.5% of nonperforming assets at quarter-end. We remain confident in the overall health of our loan portfolio and our ability to manage risk effectively as we continue to grow.

During the first quarter, our Specialty Treasury Payments & Services program, a key pillar of our long-term strategy to drive sustainable revenue growth and expand our core deposit base, delivered meaningful early results. Building on the full deployment completed in the fourth quarter last year, we made measurable progress onboarding new customers and deepening relationships within the program, generating $28 million in new deposits since year-end. We remain confident this high-value investment will enhance our franchise's strength, efficiency and scalability while generating significant revenue growth over time. While bringing new customers fully onto the platform requires time, we are encouraged by the pipeline and the quality of relationships we are building.

We continue to build out our mortgage lending capabilities as a core pillar of our growth strategy, deepening customer relationships and diversifying revenue while creating meaningful cross-selling opportunities within our primary market. This initiative is a natural extension of our relationship-banking model and reinforces our broader lending and deposit growth objectives. While we pursue new avenues for growth, our commitment to the local customers and communities remains as strong as ever — they are the foundation of who we are and central to everything we do.

As we approach our 125th anniversary on July 1, 2026, we will mark this milestone through our Generations of Trust marketing campaign, reinforcing the longevity, stability, and community dedication that have defined our institution across five generations. We believe this initiative will strengthen brand awareness and deepen customer relationships in the markets we serve, supporting our long-term growth objectives.”

Dividend Declaration

The Company’s Board of Directors declared a $0.28 quarterly cash dividend per outstanding share of common stock, payable on or about May 29, 2026, to stockholders of record as of the close of business on May 15, 2026.

2026 First Quarter Financial Review

Net Interest and Dividend Income

Net interest and dividend income increased $2.6 million, or 22.6%, to $13.9 million for the three months ended March 31, 2026 compared to $11.3 million for the three months ended March 31, 2025.

Net Interest Margin (NIM) (GAAP) increased to 3.83% for the three months ended March 31, 2026 compared to 3.27% for the three months ended March 31, 2025. Fully tax equivalent (FTE) NIM (Non-GAAP) increased 60 basis points (“bps”) to 3.88% for the three months ended March 31, 2026 compared to 3.28% for the three months ended March 31, 2025.
Interest and dividend income increased $1.8 million, or 10.1%, to $19.7 million for the three months ended March 31, 2026 compared to $17.8 million for the three months ended March 31, 2025.
- Interest income on loans increased $1.4 million, or 9.8%, to $16.0 million for the three months ended March 31, 2026 compared to $14.5 million for the three months ended March 31, 2025. The average balance of loans increased $76.9 million to $1.15 billion from $1.08 billion, causing a $1.1 million increase in interest income on loans. Additionally, the average yield on loans increased 14 bps to 5.64% from 5.50% despite a 75 bp reduction in the federal funds target rate since September 2025. While this led to the downward repricing of adjustable rate loans, the impact was negated by a reduction in lower yielding consumer loans due to the discontinuation of the indirect automobile loan product with the redeployment of those funds into higher yielding commercial loan products. The increase in the average yield caused a $378,000 increase in interest income on loans.
- Interest income on investment securities increased $638,000, or 23.0%, to $3.4 million for the three months ended March 31, 2026 compared to $2.8 million for the three months ended March 31, 2025 driven by a 96 bp increase in average yields, coupled with a $6.8 million increase in average balances. The increase in yield was primarily due to the third quarter 2025 implementation of a balance sheet repositioning strategy of the Bank’s portfolio of available-for-sale investment securities in which $129.6 million in book value of lower-yielding investment securities with an average yield of 2.87% were sold for an after-tax realized loss of $9.3 million. Investment securities sold included $121.1 million of mortgage-backed securities/collateralized mortgage obligations issued by the U.S. government-sponsored agencies, $5.0 million of U.S. government agency securities and $3.5 million of municipal securities. The Bank then purchased $117.8 million of higher-yielding mortgage-backed securities/collateralized mortgage obligations issued by U.S government-sponsored agencies, municipal securities, subordinated debt investments and non-agency guaranteed securitizations with an expected tax-equivalent yield of approximately 5.43%.
- Interest income on interest-earning deposits at other banks decreased $259,000 to $200,000 for the three months ended March 31, 2026 compared to $459,000 for the three months ended March 31, 2025 driven by a 113 bp decrease in the average yield and a $17.8 million decrease in average balances. The decrease in the yield was directly related to the Federal Reserve’s reductions in the target federal funds rate while the decrease in the volume was due to the funding of loans.
Interest expense decreased $757,000, or 11.6%, to $5.8 million for the three months ended March 31, 2026 compared to $6.5 million for the three months ended March 31, 2025.
- Interest expense on deposits decreased $879,000, or 14.4%, to $5.2 million for the three months ended March 31, 2026 compared to $6.1 million for the three months ended March 31, 2025. The cost of interest-bearing deposits declined 43 bps to 2.03% for the three months ended March 31, 2026 from 2.46% for the three months ended March 31, 2025 due to the change in the deposit mix and the recent Federal Reserve federal funds target rate decreases. The decrease in the cost of interest-bearing deposits accounted for a $1.1 million decrease in interest expense. This was partially offset as average interest-bearing deposit balances increased $39.4 million, or 3.9%, to $1.05 billion as of March 31, 2026 compared to $1.01 billion as of March 31, 2025, primarily as the Bank grew core banking relationships, onboarded Specialty Treasury clients and strategically reduced time deposit only relationships. The increase in average balances accounted for a $221,000 increase in interest expense.

Provision for Credit Losses

A provision for credit losses of $241,000 was recorded for the three months ended March 31, 2026. The provision for credit losses on loans was $228,000 and was primarily due to additional reserves required for individually assessed loans requiring specific reserves and charge-offs. Additionally, the provision for credit losses on unfunded commitments was $13,000 and was due to an increase in unfunded commitments. This compared to a recovery for credit losses of $40,000 recorded for the three months ended March 31, 2025 as the provision for credit losses on loans was $68,000 primarily due to qualitative adjustments on economic factors, and the provision for credit losses on unfunded commitments was $108,000 due to a decrease in unfunded commitments and a decrease in funding rates.

Noninterest Income

Noninterest income increased $175,000, or 22.2%, to $962,000 for the three months ended March 31, 2026, compared to $787,000 for the three months ended March 31, 2025 primarily due to a $92,000 increase in service fees related to corporate deposit and Individual Covered Health Reimbursement Arrangement accounts and a $77,000 increase in net gain on securities due to net losses of $69,000 recognized for the three months ended March 31, 2025 related primarily to the sale of equity securities.

Noninterest Expense

Noninterest expense increased $210,000, or 2.1%, to $10.0 million for the three months ended March 31, 2026 compared to $9.8 million for the three months ended March 31, 2025. Data processing expense increased $145,000 due to the implementation of enhanced treasury and commercial banking platforms in late 2025. Contracted services increased $95,000 due to outsourced information security services and robotic process automation projects. Other noninterest expense increased $76,000 due to increases in travel, meals and entertainment expenses related to sales activities and increases in dues and subscriptions and printing and office supplies expenses. Partially offsetting these increases, occupancy expense decreased $94,000 due to certain property management cost savings initiatives implemented in 2025 and salaries and benefits decreased $39,000. During the three months ended March 31, 2025, the Bank recorded $1.0 million of one-time non-recurring expenses related to a reduction in force. Excluding these one-time charges, salaries and benefits increased $1.0 million primarily due to revenue producing treasury and commercial banking personnel additions, merit increases and higher benefit compensation costs.

Statement of Financial Condition Review

Assets

Total assets increased $35.6 million, or 2.3%, to $1.58 billion at March 31, 2026, compared to $1.55 billion at December 31, 2025.

Cash and due from banks increased $23.9 million, or 75.3%, to $55.5 million at March 31, 2026, compared to $31.7 million at December 31, 2025, driven by deposit growth.
Securities increased $15.6 million, or 5.6%, to $295.5 million at March 31, 2026, compared to $279.9 million at December 31, 2025. This was primarily due to $26.0 million of security purchases, partially offset by $8.8 million of repayments on amortizing securities and a $1.9 million increase in unrealized losses on the portfolio.

Loans and Credit Quality

Total loans decreased $4.4 million, or 0.4%, to $1.158 billion compared to $1.162 billion, and included decreases in consumer, commercial and industrial and commercial real estate loans of $6.2 million, $3.4 million and $2.2 million, respectively, partially offset by increases in construction and residential real estate loans of $6.0 million and $1.5 million, respectively. The decrease in consumer loans resulted from a reduction in indirect automobile loan production due to the discontinuation of this product offering as of June 30, 2023. This portfolio is expected to continue to decline as resources are allocated and production efforts are focused on more profitable commercial products. Excluding the $5.8 million decrease in indirect automobile loans, total loans increased $1.4 million, or 0.1%. Loan production totaled $30.5 million while $29.4 million of loans were paid off since December 31, 2025.
Nonperforming loans, which include nonaccrual loans and accruing loans past due 90 days or more, were $3.3 million at March 31, 2026 and $5.3 million at December 31, 2025. Nonperforming loans to total loans ratio was 0.29% at March 31, 2026 and 0.46% at December 31, 2025. The decrease in nonperforming loans was due to the full repayment of a $2.0 million commercial real estate loan which was placed on nonaccrual status in the fourth quarter of 2025.
The allowance for credit losses (ACL) was $10.3 million at March 31, 2026 and $10.1 million at December 31, 2025. As a result, the ACL to total loans was 0.89% at March 31, 2026 and 0.87% at December 31, 2025. During the current year, the Company recorded a net provision for credit losses of $241,000. The ACL to nonperforming assets was 309.5% at March 31, 2026 and 190.5% at December 31, 2025.
Net charge-offs for the three months ended March 31, 2026 were $41,000, or 0.01% of average loans on an annualized basis. Net charge-offs for the three months ended March 31, 2025 were $54,000, or 0.02% of average loans on an annualized basis.

Liabilities

Total liabilities increased $34.4 million, or 2.5%, to $1.42 billion at March 31, 2026 compared to $1.39 billion at December 31, 2025.

Deposits

Total deposits increased $35.6 million, or 2.7%, to $1.38 billion as of March 31, 2026 compared to $1.34 billion at December 31, 2025. Interest-bearing demand, non interest-bearing demand and savings deposits increased $27.5 million, $9.3 million and $2.9 million, respectively, while time deposits decreased $4.1 million. This favorable change in the deposit mix occurred as the Bank began onboarding Specialty Treasury clients during the three months ended March 31, 2026. The Bank continues to focus on building core banking relationships while strategically reducing higher priced funding. Brokered time deposits totaled $98.5 million as of March 31, 2026 and December 31, 2025, all of which mature within three months and were utilized to fund the purchase of floating rate CLO securities. At March 31, 2026, FDIC insured deposits totaled approximately 58.8% of total deposits while an additional 16.7% of total deposits were collateralized with investment securities.

Stockholders’ Equity

Stockholders’ equity increased $1.2 million, or 0.8%, to $158.8 million at March 31, 2026, compared to $157.5 million at December 31, 2025. The key factors positively impacting stockholders’ equity were $3.9 million of net income for the current year and $341,000 of shares issued as a result of stock option exercises, partially offset by a $1.5 million increase in accumulated other comprehensive loss resulting from market interest rate changes, the payment of $1.4 million in dividends and $292,000 of treasury shares purchased under the stock repurchase program since December 31, 2025.

Book value per share

Book value per common share was $31.30 at March 31, 2026 compared to $31.28 at December 31, 2025, an increase of $0.02.

Tangible book value per common share (Non-GAAP) was $29.38 at March 31, 2026, compared to $29.35 at December 31, 2025, an increase of $0.03.

Refer to “Explanation of Use of Non-GAAP Financial Measures” at the end of this Press Release.

About CB Financial Services, Inc.

CB Financial Services, Inc. is the bank holding company for Community Bank, a Pennsylvania-chartered commercial bank. Community Bank operates its branch network in southwestern Pennsylvania and West Virginia. Community Bank offers a broad array of retail and commercial lending and deposit services.

For more information about CB Financial Services, Inc. and Community Bank, visit our website at www.cb.bank.

Statement About Forward-Looking Statements

Statements contained in this press release that are not historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995 and such forward-looking statements are subject to significant risks and uncertainties. The Company intends such forward-looking statements to be covered by the safe harbor provisions contained in the Act. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations and future prospects of the Company and its subsidiaries include, but are not limited to, general and local economic conditions, changes in market interest rates, deposit flows, demand for loans, real estate values and competition, competitive products and pricing, the ability of our customers to make scheduled loan payments, loan delinquency rates and trends, our ability to manage the risks involved in our business, our ability to control costs and expenses, inflation, market and monetary fluctuations, changes in federal and state legislation and regulation applicable to our business, actions by our competitors, and other factors that may be disclosed in the Company’s periodic reports as filed with the Securities and Exchange Commission. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company assumes no obligation to update any forward-looking statements except as may be required by applicable law or regulation.

CB FINANCIAL SERVICES, INC. SELECTED CONSOLIDATED FINANCIAL INFORMATION
(Dollars in thousands, except share and per share data) (Unaudited)

Selected Financial Condition Data	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
Assets
Cash and Due From Banks	$	55,549		$	31,693		$	55,890		$	64,506		$	61,274
Securities		295,452			279,895			272,559			267,171			258,699
Loans Held for Sale		—			—			107			512			230
Loans
Real Estate:
Residential		330,761			329,237			333,430			329,324			334,744
Commercial		550,029			552,180			539,395			513,197			497,316
Construction		51,394			45,419			38,905			40,680			54,597
Commercial and Industrial		157,694			161,081			143,919			138,221			107,419
Consumer		36,720			42,876			49,581			57,376			61,854
Other		31,239			31,467			38,156			32,026			32,564
Total Loans		1,157,837			1,162,260			1,143,386			1,110,824			1,088,494
Allowance for Credit Losses		(10,303	)		(10,116	)		(10,146	)		(9,722	)		(9,819	)
Loans, Net		1,147,534			1,152,144			1,133,240			1,101,102			1,078,675
Premises and Equipment, Net		19,428			19,646			19,896			20,223			20,392
Bank-Owned Life Insurance		24,964			24,812			24,660			24,506			24,358
Goodwill		9,732			9,732			9,732			9,732			9,732
Accrued Interest Receivable and Other Assets		30,633			29,771			29,430			30,232			30,096
Total Assets	$	1,583,292		$	1,547,693		$	1,545,514		$	1,517,984		$	1,483,456


Liabilities
Deposits
Noninterest-Bearing Demand Accounts	$	301,053		$	291,745		$	291,882		$	278,685		$	267,392
Interest-Bearing Demand Accounts		384,599			357,134			365,976			353,448			341,212
Money Market Accounts		209,258			209,166			206,166			225,141			228,005
Savings Accounts		172,172			169,307			169,005			172,021			176,722
Time Deposits		308,355			312,453			301,391			280,137			267,766
Total Deposits		1,375,437			1,339,805			1,334,420			1,309,432			1,281,097

Other Borrowings		34,768			34,758			34,748			34,738			34,728
Accrued Interest Payable and Other Liabilities		14,336			15,593			23,881			25,452			19,342
Total Liabilities		1,424,541			1,390,156			1,393,049			1,369,622			1,335,167

Stockholders’ Equity		158,751			157,537			152,465			148,362			148,289
Total Liabilities and Stockholders’ Equity	$	1,583,292		$	1,547,693		$	1,545,514		$	1,517,984		$	1,483,456

(Dollars in thousands, except share and per share data) (Unaudited)

	Three Months Ended
Selected Operating Data	3/31/26		12/31/25		9/30/25			6/30/25			3/31/25
Interest and Dividend Income:
Loans, Including Fees	$	15,957	$	16,077	$	15,973		$	15,492		$	14,528
Securities:
Taxable		2,999		3,035		2,848			2,860			2,777
Tax-Exempt		416		415		146			—			—
Dividends		7		7		7			9			28
Other Interest and Dividend Income		272		458		367			399			514
Total Interest and Dividend Income		19,651		19,992		19,341			18,760			17,847
Interest Expense:
Deposits		5,232		5,802		5,810			5,721			6,111
Short-Term Borrowings		188		—		68			108			23
Other Borrowings		359		364		364			391			402
Total Interest Expense		5,779		6,166		6,242			6,220			6,536
Net Interest and Dividend Income		13,872		13,826		13,099			12,540			11,311
Provision (Recovery) for Credit Losses - Loans		228		265		336			(136	)		68
Provision (Recovery) for Credit Losses - Unfunded Commitments		13		97		(77	)		144			(108	)
Net Interest and Dividend Income After Net Provision (Recovery) for Credit Losses		13,631		13,464		12,840			12,532			11,351
Noninterest Income:
Service Fees		554		585		574			559			462
Insurance Commissions		1		1		1			1			1
Other Commissions		75		60		63			66			63
Net Gain on Sale of Loans		11		6		50			26			22
Net Gain (Loss) on Securities		8		14		(11,752	)		—			(69	)
Net Gain on Purchased Tax Credits		10		4		4			4			4
Net Gain on Disposal of Premises and Equipment		—		40		—			—			—
Income from Bank-Owned Life Insurance		152		152		154			148			149
Other Income		151		867		229			127			155
Total Noninterest Income (Loss)		962		1,729		(10,677	)		931			787
Noninterest Expense:
Salaries and Employee Benefits		5,997		5,842		5,247			5,088			6,036
Occupancy		656		573		574			616			750
Equipment		349		382		367			372			330
Data Processing		942		790		708			761			797
Federal Deposit Insurance Corporation Assessment		173		171		173			203			176
Pennsylvania Shares Tax		286		242		306			143			257
Contracted Services		405		481		371			382			310
Legal and Professional Fees		221		234		411			117			262
Advertising		142		192		132			124			119
Other Real Estate Owned		—		55		8			1			—
Other Expense		841		961		886			941			765
Total Noninterest Expense		10,012		9,923		9,183			8,748			9,802
Income (Loss) Before Income Tax Expense		4,581		5,270		(7,020	)		4,715			2,336
Income Tax Expense (Benefit)		714		528		(1,324	)		766			427
Net Income (Loss)	$	3,867	$	4,742	$	(5,696	)	$	3,949		$	1,909

	Three Months Ended
Per Common Share Data	3/31/26		12/31/25		9/30/25			6/30/25		3/31/25
Dividends Per Common Share	$	0.28	$	0.26	$	0.26		$	0.25	$	0.25
Earnings (Loss) Per Common Share - Basic		0.77		0.95		(1.14	)		0.79		0.37
Earnings (Loss) Per Common Share - Diluted		0.73		0.89		(1.07	)		0.74		0.35

Weighted Average Common Shares Outstanding - Basic		5,053,586		5,015,025		4,985,188			5,022,813		5,125,577
Weighted Average Common Shares Outstanding - Diluted		5,318,874		5,304,685		5,319,594			5,332,026		5,471,006

	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
Common Shares Outstanding		5,072,183			5,036,509			4,998,383			4,972,300			5,099,069
Book Value Per Common Share	$	31.30		$	31.28		$	30.50		$	29.84		$	29.08
Tangible Book Value per Common Share ⁽¹⁾		29.38			29.35			28.56			27.88			27.17
Stockholders’ Equity to Assets		10.0	%		10.2	%		9.9	%		9.8	%		10.0	%
Tangible Common Equity to Tangible Assets ⁽¹⁾		9.5			9.6			9.3			9.2			9.4

	Three Months Ended
Selected Financial Ratios ⁽²⁾	3/31/26		12/31/25		9/30/25		6/30/25		3/31/25
Return on Average Assets	1.01	%	1.22	%	(1.50	)%	1.06	%	0.53	%
Return on Average Equity	9.84		12.14		(15.15	)	10.76		5.24
Average Interest-Earning Assets to Average Interest-Bearing Liabilities	133.68		134.05		134.42		135.33		134.70
Average Equity to Average Assets	10.24		10.02		9.93		9.88		10.07
Net Interest Rate Spread	3.29		3.18		3.05		2.91		2.61
Net Interest Rate Spread (FTE) ⁽¹⁾	3.34		3.23		3.08		2.93		2.63
Net Interest Margin	3.83		3.76		3.64		3.54		3.27
Net Interest Margin (FTE) ⁽¹⁾	3.88		3.80		3.67		3.55		3.28
Net Charge-Offs (Recoveries) to Average Loans	0.01		0.10		(0.03	)	(0.01	)	0.02
Efficiency Ratio	67.49		63.79		379.15		64.94		81.02

Asset Quality Ratios	3/31/26		12/31/25		9/30/25		6/30/25		3/31/25
Allowance for Credit Losses to Total Loans	0.89	%	0.87	%	0.89	%	0.88	%	0.90	%
Allowance for Credit Losses to Nonperforming Loans ⁽³⁾	309.49		190.51		464.99		550.20		414.48
Delinquent and Nonaccrual Loans to Total Loans⁽⁴⁾	0.54		0.86		0.59		0.49		0.54
Nonperforming Loans to Total Loans ⁽³⁾	0.29		0.46		0.19		0.16		0.22
Nonperforming Assets to Total Assets ⁽⁵⁾	0.21		0.34		0.15		0.13		0.16

Capital Ratios ⁽⁶⁾	3/31/26		12/31/25		9/30/25		6/30/25		3/31/25
Common Equity Tier 1 Capital (to Risk Weighted Assets)	14.70	%	13.92	%	14.19	%	15.28	%	14.94	%
Tier 1 Capital (to Risk Weighted Assets)	14.70		13.92		14.19		15.28		14.94
Total Capital (to Risk Weighted Assets)	15.71		14.89		15.20		16.29		15.95
Tier 1 Leverage (to Adjusted Total Assets)	10.34		10.15		10.06		10.49		10.36

(1)	Refer to Explanation of Use of Non-GAAP Financial Measures in this Press Release for the calculation of the measure and reconciliation to the most comparable GAAP measure.
(2)	Interim period ratios are calculated on an annualized basis.
(3)	Nonperforming loans consist of all nonaccrual loans and accruing loans that are 90 days or more past due.
(4)	Delinquent loans consist of accruing loans that are 30 days or more past due.
(5)	Nonperforming assets consist of nonperforming loans and other real estate owned.
(6)	Capital ratios are for Community Bank only.
Certain items previously reported may have been reclassified to conform with the current reporting period’s format.

AVERAGE BALANCES AND YIELDS

	Three Months Ended
	March 31, 2026						December 31, 2025						September 30, 2025						June 30, 2025						March 31, 2025
	Average Balance		Interest and Dividends		Yield / Cost ⁽¹⁾		Average Balance		Interest and Dividends		Yield / Cost ⁽¹⁾		Average Balance		Interest and Dividends		Yield / Cost ⁽¹⁾		Average Balance		Interest and Dividends		Yield / Cost ⁽¹⁾		Average Balance		Interest and Dividends		Yield / Cost ⁽¹⁾
(Dollars in thousands) (Unaudited)
Assets:
Interest-Earning Assets:
Loans, Net ⁽²⁾	$	1,151,941	$	16,023	5.64	%	$	1,138,734	$	16,145	5.62	%	$	1,120,036	$	16,034	5.68	%	$	1,098,698	$	15,549	5.68	%	$	1,075,083	$	14,584	5.50	%
Debt Securities
Taxable		249,917		2,999	4.80			241,449		3,035	5.03			259,196		2,848	4.40			284,499		2,860	4.02			278,362		2,777	3.99
Tax-Exempt		35,218		527	5.99			35,243		525	5.96			12,461		185	5.94			—		—	—			—		—	—
Equity Securities		1,000		7	2.80			1,000		7	2.80			1,000		7	2.80			1,000		9	3.60			2,674		28	4.19
Interest-Earning Deposits at Banks		27,236		200	2.94			41,222		384	3.73			29,682		293	3.95			33,564		331	3.94			45,056		459	4.07
Other Interest-Earning Assets		3,874		72	7.54			2,998		74	9.79			3,972		74	7.39			3,767		68	7.24			3,196		55	6.98
Total Interest-Earning Assets		1,469,186		19,828	5.47			1,460,646		20,170	5.48			1,426,347		19,441	5.41			1,421,528		18,817	5.31			1,404,371		17,903	5.17
Noninterest-Earning Assets		87,352						85,605						75,480						67,513						63,324
Total Assets	$	1,556,538					$	1,546,251					$	1,501,827					$	1,489,041					$	1,467,695
Liabilities and Stockholders' Equity:
Interest-Bearing Liabilities:
Interest-Bearing Demand Accounts	$	365,729	$	1,642	1.82	%	$	367,382	$	1,850	2.00	%	$	350,232	$	1,835	2.08	%	$	334,752	$	1,677	2.01	%	$	317,799	$	1,526	1.95	%
Money Market Accounts		209,181		1,104	2.14			212,212		1,232	2.30			211,660		1,401	2.63			238,195		1,747	2.94			230,634		1,726	3.04
Savings Accounts		169,568		40	0.10			168,853		45	0.11			171,188		43	0.10			174,055		42	0.10			172,322		41	0.10
Time Deposits		300,781		2,446	3.30			306,395		2,675	3.46			287,646		2,531	3.49			259,506		2,255	3.49			285,093		2,818	4.01
Total Interest-Bearing Deposits		1,045,259		5,232	2.03			1,054,842		5,802	2.18			1,020,726		5,810	2.26			1,006,508		5,721	2.28			1,005,848		6,111	2.46
Short-Term Borrowings		18,990		188	4.01			16		—	4.71			5,655		68	4.77			9,143		108	4.74			1,985		23	4.70
Other Borrowings		34,764		359	4.19			34,754		364	4.16			34,743		364	4.16			34,733		391	4.52			34,723		402	4.70
Total Interest-Bearing Liabilities		1,099,013		5,779	2.13			1,089,612		6,166	2.25			1,061,124		6,242	2.33			1,050,384		6,220	2.38			1,042,556		6,536	2.54
Noninterest-Bearing Demand Deposits		283,546						285,269						271,462						270,729						265,522
Total Funding and Cost of Funds		1,382,559			1.70			1,374,881			1.78			1,332,586			1.86			1,321,113			1.89			1,308,078			2.03
Other Liabilities		14,564						16,367						20,120						20,789						11,854
Total Liabilities		1,397,123						1,391,248						1,352,706						1,341,902						1,319,932
Stockholders' Equity		159,415						155,003						149,121						147,139						147,763
Total Liabilities and Stockholders' Equity	$	1,556,538					$	1,546,251					$	1,501,827					$	1,489,041					$	1,467,695
Net Interest Income (FTE) (Non-GAAP) ⁽³⁾			$	14,049					$	14,004					$	13,199					$	12,597					$	11,367
Net Interest-Earning Assets ⁽⁴⁾		370,173						371,034						365,223						371,144						361,815
Net Interest Rate Spread (FTE) (Non-GAAP) ^{(3) (5)}					3.34	%					3.23	%					3.08	%					2.93	%					2.63	%
Net Interest Margin (FTE) (Non-GAAP)⁽³⁾⁽⁶⁾					3.88						3.80						3.67						3.55						3.28

(1)	Annualized based on three months ended results.
(2)	Net of the allowance for credit losses and includes nonaccrual loans with a zero yield and Loans Held for Sale if applicable.
(3)	Refer to Explanation and Use of Non-GAAP Financial Measures in this Press Release for the calculation of the measure and reconciliation to the most comparable GAAP measure.
(4)	Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
(5)	Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.
(6)	Net interest margin represents annualized net interest income divided by average total interest-earning assets.

Explanation of Use of Non-GAAP Financial Measures

In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), we use, and this Press Release contains or references, certain Non-GAAP financial measures. We believe these Non-GAAP financial measures provide useful information in understanding our underlying results of operations or financial position and our business and performance trends as they facilitate comparisons with the performance of other companies in the financial services industry. Non-GAAP adjusted items impacting the Company's financial performance are identified to assist investors in providing a complete understanding of factors and trends affecting the Company’s business and in analyzing the Company’s operating results on the same basis as that applied by management. Although we believe that these Non-GAAP financial measures enhance the understanding of our business and performance, they should not be considered an alternative to GAAP or considered to be more important than financial results determined in accordance with GAAP, nor are they necessarily comparable with similar Non-GAAP measures which may be presented by other companies. Where Non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found herein.

	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands, except share and per share data) (Unaudited)

Total Assets (GAAP)	$	1,583,292		$	1,547,693		$	1,545,514		$	1,517,984		$	1,483,456
Goodwill and Intangible Assets, Net		(9,732	)		(9,732	)		(9,732	)		(9,732	)		(9,732	)
Tangible Assets (Non-GAAP) (Numerator)	$	1,573,560		$	1,537,961		$	1,535,782		$	1,508,252		$	1,473,724
Stockholders' Equity (GAAP)	$	158,751		$	157,537		$	152,465		$	148,362		$	148,289
Goodwill and Intangible Assets, Net		(9,732	)		(9,732	)		(9,732	)		(9,732	)		(9,732	)
Tangible Common Equity or Tangible Book Value (Non-GAAP) (Denominator)	$	149,019		$	147,805		$	142,733		$	138,630		$	138,557
Stockholders’ Equity to Assets (GAAP)		10.0	%		10.2	%		9.9	%		9.8	%		10.0	%
Tangible Common Equity to Tangible Assets (Non-GAAP)		9.5	%		9.6	%		9.3	%		9.2	%		9.4	%
Common Shares Outstanding (Denominator)		5,072,183			5,036,509			4,998,383			4,972,300			5,099,069
Book Value per Common Share (GAAP)	$	31.30		$	31.28		$	30.50		$	29.84		$	29.08
Tangible Book Value per Common Share (Non-GAAP)	$	29.38		$	29.35		$	28.56		$	27.88		$	27.17

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands) (Unaudited)

Net Income (Loss) (GAAP)	$	3,867		$	4,742		$	(5,696	)	$	3,949		$	1,909
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Stockholders' Equity (GAAP)	$	159,415		$	155,003		$	149,121		$	147,139		$	147,763
Average Goodwill and Intangible Assets, Net		(9,732	)		(9,732	)		(9,732	)		(9,732	)		(9,732	)
Average Tangible Common Equity (Non-GAAP) (Denominator)	$	149,683		$	145,271		$	139,389		$	137,407		$	138,031
Return on Average Equity (GAAP)		9.84	%		12.14	%		(15.15	)%		10.76	%		5.24	%
Return on Average Tangible Common Equity (Non-GAAP)		10.48	%		12.95	%		(16.21	)%		11.53	%		5.61	%

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands) (Unaudited)

Interest Income (GAAP)	$	19,651		$	19,992		$	19,341		$	18,760		$	17,847
Adjustment to FTE Basis		177			178			100			57			56
Interest Income (FTE) (Non-GAAP)		19,828			20,170			19,441			18,817			17,903
Interest Expense (GAAP)		5,779			6,166			6,242			6,220			6,536
Net Interest Income (FTE) (Non-GAAP)	$	14,049		$	14,004		$	13,199		$	12,597		$	11,367

Net Interest Rate Spread (GAAP)		3.29	%		3.18	%		3.05	%		2.91	%		2.61	%
Adjustment to FTE Basis		0.05			0.05			0.03			0.02			0.02
Net Interest Rate Spread (FTE) (Non-GAAP)		3.34	%		3.23	%		3.08	%		2.93	%		2.63	%

Net Interest Margin (GAAP)		3.83	%		3.76	%		3.64	%		3.54	%		3.27	%
Adjustment to FTE Basis		0.05			0.04			0.03			0.01			0.01
Net Interest Margin (FTE) (Non-GAAP)		3.88	%		3.80	%		3.67	%		3.55	%		3.28	%

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands) (Unaudited)

Income (Loss) Before Income Tax Expense (GAAP)	$	4,581		$	5,270		$	(7,020	)	$	4,715		$	2,336
Net Provision (Recovery) for Credit Losses		241			362			259			8			(40	)
PPNR (Non-GAAP)		4,822			5,632			(6,761	)		4,723			2,296
Adjustments
Net (Gain) Loss on Securities		(8	)		(14	)		11,752			—			69
Net Gain on Disposal of Premises and Equipment		—			(40	)		—			—			—
Earn-out Payment Related to the Sale of EU		(8	)		(711	)		—			—			(49	)
Reduction in Force Expenses		—			—			—			—			1,003
Adjusted PPNR (Non-GAAP) (Numerator)	$	4,806		$	4,867		$	4,991		$	4,723		$	3,319
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Assets (Denominator)	$	1,556,538		$	1,546,251		$	1,501,827		$	1,489,041		$	1,467,695
Adjusted PPNR Return on Average Assets (Non-GAAP)		1.25	%		1.25	%		1.32	%		1.27	%		0.92	%

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands, except share and per share data) (Unaudited)

Net Income (Loss) (GAAP)	$	3,867		$	4,742		$	(5,696	)	$	3,949		$	1,909

Adjustments
Net (Gain) Loss on Securities		(8	)		(14	)		11,752			—			69
Net Gain on Disposal of Premises and Equipment		—			(40	)		—			—			—
Earn-out Payment Related to the Sale of EU		(8	)		(711	)		—			—			(49	)
Reduction in Force Expenses		—			—			—			—			1,003
Tax effect		3			(178	)		(2,129	)		—			(215	)
Adjusted Net Income (Non-GAAP)	$	3,854		$	3,799		$	3,927		$	3,949		$	2,717
Weighted-Average Diluted Common Shares and Common Stock Equivalents Outstanding		5,318,874			5,304,685			5,319,594			5,332,026			5,471,006
Earnings (Loss) per Common Share - Diluted (GAAP)	$	0.73		$	0.89		$	(1.07	)	$	0.74		$	0.35
Adjusted Earnings per Common Share - Diluted (Non-GAAP)	$	0.72		$	0.72		$	0.74		$	0.74		$	0.50
Net Income (Loss) (GAAP) (Numerator)	$	3,867		$	4,742		$	(5,696	)	$	3,949		$	1,909
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Assets (Denominator)		1,556,538			1,546,251			1,501,827			1,489,041			1,467,695
Return on Average Assets (GAAP)		1.01	%		1.22	%		(1.50	)%		1.06	%		0.53	%
Adjusted Net Income (Non-GAAP) (Numerator)	$	3,854		$	3,799		$	3,927		$	3,949		$	2,717
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Assets (Denominator)		1,556,538			1,546,251			1,501,827			1,489,041			1,467,695
Adjusted Return on Average Assets (Non-GAAP)		1.00	%		0.97	%		1.04	%		1.06	%		0.75	%

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands) (Unaudited)

Net Income (Loss) (GAAP) (Numerator)	$	3,867		$	4,742		$	(5,696	)	$	3,949		$	1,909
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Equity (GAAP) (Denominator)		159,415			155,003			149,121			147,139			147,763
Return on Average Equity (GAAP)		9.84	%		12.14	%		(15.15	)%		10.76	%		5.24	%
Adjusted Net Income (Non-GAAP) (Numerator)	$	3,854		$	3,799		$	3,927		$	3,949		$	2,717
Annualization Factor		4.06			3.97			3.97			4.01			4.06
Average Equity (GAAP) (Denominator)		159,415			155,003			149,121			147,139			147,763
Adjusted Return on Average Equity (Non-GAAP)		9.80	%		9.72	%		10.45	%		10.76	%		7.46	%

	Three Months Ended
	3/31/26			12/31/25			9/30/25			6/30/25			3/31/25
(Dollars in thousands) (Unaudited)

Noninterest Expense (GAAP) (Numerator)	$	10,012		$	9,923		$	9,183		$	8,748		$	9,802

Net Interest and Dividend Income (GAAP)	$	13,872		$	13,826		$	13,099		$	12,540		$	11,311

Noninterest Income (Loss) (GAAP)		962			1,729			(10,677	)		931			787
Operating Revenue (GAAP) (Denominator)	$	14,834		$	15,555		$	2,422		$	13,471		$	12,098
Efficiency Ratio (GAAP)		67.49	%		63.79	%		379.15	%		64.94	%		81.02	%

Noninterest Expense (GAAP)	$	10,012		$	9,923		$	9,183		$	8,748		$	9,802
Adjustments:
Reduction in Force Expenses		—			—			—			—			(1,003	)
Adjusted Noninterest Expense (Non-GAAP) (Numerator)	$	10,012		$	9,923		$	9,183		$	8,748		$	8,799

Net Interest and Dividend Income (GAAP)	$	13,872		$	13,826		$	13,099		$	12,540		$	11,311
Noninterest Income (Loss) (GAAP)		962			1,729			(10,677	)		931			787
Adjustments:
Net (Gain) Loss on Securities		(8	)		(14	)		11,752			—			69
Net Gain on Disposal of Premises and Equipment		—			(40	)		—			—			—
Earn-out Payment Related to the Sale of EU		(8	)		(711	)		—			—			(49	)
Adjusted Noninterest Income (Non-GAAP)	$	946		$	964		$	1,075		$	931		$	807
Adjusted Operating Revenue (Non-GAAP) (Denominator)	$	14,818		$	14,790		$	14,174		$	13,471		$	12,118
Adjusted Efficiency Ratio (Non-GAAP)		67.56	%		67.09	%		64.79	%		64.94	%		72.61	%

View source version on businesswire.com: https://www.businesswire.com/news/home/20260422104490/en/

Company Contact:
John H. Montgomery
President and Chief Executive Officer
Phone: (724) 223-8317

Source: CB Financial Services, Inc.

CB Financial Services, Inc. Announces First Quarter 2026 Financial Results and Declares Quarterly Cash Dividend

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