Ohio Valley Banc Corp. Reports 4th Quarter and Record Fiscal Year Earnings

Rhea-AI Summary

Ohio Valley Banc Corp. (Nasdaq: OVBC) reported record fiscal 2025 results with consolidated net income of $15.601 million (up 41.8% YoY) and EPS of $3.31 versus $2.32 in 2024. Fourth-quarter net income was $3.955 million (up 57.3% YoY) and EPS of $0.84. Net interest income rose by $8.941 million for the year driven by a 12.6% loan growth ($134 million) and higher net interest margin of 4.07% for 2025. Noninterest income declined mainly from realized losses on securities sales totaling $3.747 million during 2025. Nonperforming loans increased to 1.40% of total loans at year-end. Total assets ended at $1.583 billion and shareholders' equity rose by $19.9 million.

Positive

• Net income +41.8% YoY to $15.601M for 2025
• EPS increased to $3.31 in 2025 from $2.32 in 2024
• Net interest income +$8.941M year-over-year
• Loan growth +12.6% (up $134M) since Dec 31, 2024
• Net interest margin improved to 4.07% for 2025

Negative

• Nonperforming loans ratio rose to 1.40% from 0.46% at year-end 2024
• Provision for credit losses increased to $3.054M for 2025
• Loss on sale of securities totaled $3.747M in 2025, reducing noninterest income

News Market Reaction

+1.84%

1 alert

+1.84% News Effect

On the day this news was published, OVBC gained 1.84%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 net income: $3,955,000 2025 net income: $15,601,000 2025 EPS: $3.31 +5 more

8 metrics

Q4 2025 net income $3,955,000 Quarter ended December 31, 2025; up 57.3% year over year

2025 net income $15,601,000 Year ended December 31, 2025; up 41.8% from 2024

2025 EPS $3.31 Full-year 2025 vs $2.32 in 2024

Net interest margin 2025 4.07% Year ended December 31, 2025 vs 3.71% in 2024

Loss on securities 2025 $3,747,000 Realized losses on $36.9M of securities sold in 2025

Nonperforming loans ratio 1.40% Nonperforming loans as % of total loans at December 31, 2025

Total assets $1.583 billion Balance sheet total at December 31, 2025; up $79M from 2024

Loan growth $134 million (12.6%) Increase in loan balances since December 31, 2024

Market Reality Check

Price: $41.05 Vol: Volume 5,934 vs 20-day av...

normal vol

$41.05 Last Close

Volume Volume 5,934 vs 20-day average 7,807 (relative volume 0.76x) indicates no pre‑news rush. normal

Technical Price $40.32 trades 4% below 52-week high $42.00, well above 52-day low $22.10 and above 200-day MA $36.08.

Peers on Argus

OVBC was nearly flat (+0.02%) while close peers showed small, mixed moves: BVFL ...

OVBC was nearly flat (+0.02%) while close peers showed small, mixed moves: BVFL up 0.21%, MNSB down 2.47%, MRBK down 1.14%, others unchanged. This points to a stock-specific story rather than a sector-wide move.

Historical Context

4 past events · Latest: Jan 13 (Positive)

Pattern 4 events

Date	Event	Sentiment	Move	Catalyst
Jan 13	Dividend declaration	Positive	+1.2%	Announced $0.23 per share cash dividend payable February 10, 2026.
Oct 27	Earnings release	Positive	+2.4%	Reported Q3 2025 net income and EPS up double digits year over year.
Oct 21	Dividend declaration	Positive	+1.5%	Declared $0.23 per share dividend with commentary on strong 2025 earnings.
Aug 20	Buyback extension	Positive	+0.8%	Extended stock repurchase program authorizing up to $5M in buybacks.

Pattern Detected

Recent OVBC news on earnings, dividends, and buybacks has consistently seen positive price reactions, suggesting the market has historically rewarded shareholder-friendly actions and improving profitability.

Recent Company History

Over the past several months, OVBC has combined steady capital return with improving profitability. Two cash dividend announcements in October 2025 and January 2026 coincided with modest positive price moves. An August 2025 buyback extension maintained up to $5 million in repurchase capacity and also saw a favorable reaction. The October 2025 Q3 earnings report highlighted double‑digit profit growth and margin expansion, again followed by gains. Today’s record 2025 results extend this trajectory of growing earnings and disciplined balance sheet management.

Market Pulse Summary

This announcement highlighted record 2025 performance for OVBC, with net income of $15.6 million, EP...

Analysis

This announcement highlighted record 2025 performance for OVBC, with net income of $15.6 million, EPS of $3.31, and an improved net interest margin of 4.07% supported by $134 million loan growth. Management chose to realize $3.747 million in securities losses to reinvest at higher yields, trading short-term hits for potential future income. Investors may watch the rising nonperforming loan ratio, now 1.40%, alongside continued asset growth and expense control to gauge how sustainable these earnings levels remain.

Key Terms

net interest margin, nonperforming loans, allowance for credit losses, efficiency ratio, +2 more

6 terms

net interest margin financial

"For the fourth quarter of 2025, the net interest margin was 4.18%"

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.

nonperforming loans financial

"The ratio of nonperforming loans to total loans was 1.40% at December 31, 2025"

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.

allowance for credit losses financial

"The allowance for credit losses was .96% of total loans at December 31, 2025"

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.

efficiency ratio financial

"Efficiency ratio (e) | 66.43 % | 77.83 % | 65.74 % | 73.79 %"

A measure of how much a company spends to produce each dollar of revenue, usually shown as operating expenses divided by revenue and expressed as a percentage. Think of it as a household’s budget: a lower percentage means more of each dollar earned stays as profit, while a higher number means costs are eating into returns. Investors use it to judge cost control and compare how efficiently companies turn revenue into earnings, especially in banks and financial firms.

FDIC insurance regulatory

"FDIC insurance | 172 | 179 | 698 | 648"

FDIC insurance is a government-backed protection that guarantees bank deposit accounts up to a set dollar limit, so savers get their money back if a covered bank fails. It matters to investors because it lowers the risk of holding cash at insured banks, supports confidence in the banking system (like a safety net under a tightrope), and influences decisions about where to park short-term funds or assess the stability of financial institutions.

operating lease right-of-use asset technical

"Operating lease right-of-use asset, net | 923 | 1,024"

An operating lease right-of-use asset is the accounting entry that shows a company’s recorded value of its legal right to use leased property or equipment for a set period, similar to listing the worth of a long-term rental agreement on the balance sheet. It matters to investors because it makes leased obligations and the economic benefit of rented assets visible, affecting reported assets, leverage and how future lease costs are reflected in financial statements — like seeing both a rented shop’s utility and the remaining rent commitment.

AI-generated analysis. Not financial advice.

GALLIPOLIS, Ohio, Jan. 27, 2026 /PRNewswire/ -- Ohio Valley Banc Corp. [Nasdaq: OVBC] (the "Company") reported consolidated net income for the quarter ended December 31, 2025, of $3,955,000, an increase of $1,440,000, or 57.3%, from the same period the prior year. Earnings per share for the fourth quarter of 2025 were $.84 compared to $.53 for the prior year fourth quarter. For the year ended December 31, 2025, net income totaled $15,601,000, an increase of $4,602,000, or 41.8%, from the same period the prior year. Earnings per share were $3.31 for 2025 versus $2.32 for 2024. Return on average assets and return on average equity were 1.02% and 9.83%, respectively, for the year ended December 31, 2025, compared to .77% and 7.50%, respectively, for the same period in the prior year.

Ohio Valley Banc Corp. President and CEO, Larry Miller said, "As we anticipate the celebration of America's 250th birthday, your Company has reason to celebrate: the achievement of record earnings in our 153rd year in business! These results reflect the dedication of our employees to serving our customers while enhancing shareholder value and remaining rock-solid in their commitment to our Community First mission. None of this would be possible without the continued loyalty and support of our shareholders. We extend our sincere thanks to our shareholders for their continued support as we celebrate this historic milestone for both our company and our country."

For the three months ended December 31, 2025, net interest income increased $2,403,000, and for the year ended December 31, 2025, net interest income increased $8,941,000 from the same respective periods last year. These increases were related to the increase in both average earning assets and the net interest margin for the respective periods. For the year ended December 31, 2025, average earning assets increased $103 million from the same period last year, led by the $75 million growth in average loans and the $53 million growth in average securities. The growth in average loans was related to the commercial real estate, commercial and industrial, and residential real estate lending segments. The growth in these segments was partially offset by a decrease in consumer loans, as this segment was deemphasized by the Company starting in 2024 to focus on more profitable portfolio segments. The growth in average securities was related to the Company participating in a program offered by the Ohio Treasurer called Ohio Homebuyer Plus starting in the third quarter of 2024. As a participant in the program, the Company developed the Sweet Home Ohio deposit account to offer participants an above-market interest rate along with a deposit bonus to assist customers in achieving their home savings goals. At December 31, 2025, the balance of Sweet Home Ohio accounts totaled $9.5 million, as compared to $6.8 million at December 31, 2024. For each Sweet Home Ohio account that was opened, the Company received a deposit from the Ohio Treasurer at a subsidized interest rate. At December 31, 2025, the amount deposited by the Treasurer totaled $69.9 million, a decrease from $97.4 million at December 31, 2024. Since the Treasurer deposits are classified as public funds, which are required to be collateralized, the Company invested the funds in securities to be pledged as collateral to the Treasurer. The investment of these funds was the primary contributor to the increase in securities from 2024. For the same period, the average balance of cash maintained at the Federal Reserve decreased $25 million to assist with funding loan growth and to generate a higher rate of return. Most of the growth in other funding sources occurred in average NOW, money market accounts, and savings accounts which increased $58 million from 2024. A large portion of this growth was related to the Ohio Treasurer's matching funds received for the Ohio Homebuyer Plus program along with the deposits made to the Sweet Home Ohio account. Based on the growth in these lower-cost deposits, the average growth in higher-cost certificates of deposit was limited to $34 million for 2025 versus the same period last year.

For the fourth quarter of 2025, the net interest margin was 4.18%, an increase from 3.70% for the fourth quarter of 2024. For the year ended December 31, 2025, the net interest margin was 4.07%, an increase from 3.71% for the same period last year. The increase in the net interest margin was related to the yield on earning assets increasing, while the cost of funding sources decreased. The yield on earning assets improved in relation to the growth in higher yielding loans and securities, along with the recognition of a market discount on purchased loans totaling $817,000 during the second quarter and another $832,000 during the fourth quarter. The cost of funding sources decreased as the composition of funding sources shifted to lower cost deposit sources, such as, NOW, money market, and savings accounts. Furthermore, the average cost of certificates of deposit decreased as higher costing certificates repriced to lower current market rates.

For the three months ended December 31, 2025, the provision for credit loss expense totaled $378,000, a decrease of $239,000 from the same period last year. The quarterly provision for credit loss expense was primarily associated with the $65 million quarterly increase in loan balances and the quarter-to-date net charge-offs of $225,000, which were partially offset by the decrease in certain qualitative risk factors. For the year ended December 31, 2025, the provision for credit losses was $3,054,000, an increase of $585,000 from the same period last year. The year-to-date provision for credit loss expense was primarily associated with net charge-offs of $1,334,000, loan growth of $134 million and an increase in modeled loss rates due to the regression in GDP and unemployment projections, which items were partially offset by the decrease in certain qualitative risk factors. The ratio of nonperforming loans to total loans was 1.40% at December 31, 2025, compared to .46% at December 31, 2024. The increase in nonperforming loans was primarily related to two commercial loans being placed on nonaccrual status. The loans are secured by commercial real estate and deemed adequately collateralized. The allowance for credit losses was .96% of total loans at December 31, 2025, compared to .95% at December 31, 2024.

For the three and twelve months ended December 31, 2025, noninterest income decreased $3,192,000 and $4,201,000, respectively, from the same periods last year. The decreases were largely due to the loss on the sale of securities. During the fourth quarter of 2025, the Company sold $25.9 million in securities at a loss of $2,528,000. The securities sold were yielding 1.36% and were reinvested in similar securities with a longer duration that are yielding 4.59%. During the third quarter of 2025 a similar strategy was implemented. The Company sold $11.0 million in securities at a loss of $1,219,000 that were yielding 1.32%.  The proceeds were reinvested into securities yielding 4.37%. Collectively, during 2025, the Company sold $36.9 million in securities at a loss of $3,747,000. The yield on securities sold went from 1.35% to 4.52% on the securities purchased. The Company believes that this strategy will increase future interest income by increasing its net interest margin. Also contributing to lower noninterest income was a decrease in other noninterest income, which for the three months ended December 31, 2025 decreased $733,000, and, for the year ended 2025, decreased $690,000 from the same periods the prior year, respectively. The decreases were largely related to lower earnings from a tax processing agreement and the disposition of certain assets. Partially offsetting these decreases was interchange income earned on debit and credit cards, which increased $45,000 and $196,000 during the three and twelve months ended December 31, 2025, compared to the same periods from 2024, respectively.

For the three months ended December 31, 2025, noninterest expense totaled $10,853,000, a decrease of $2,453,000 from the same period last year. For the year ended December 31, 2025, noninterest expense totaled $44,209,000, a decrease of $1,921,000 from the same period last year. The Company's largest noninterest expense, salaries and employee benefits, decreased $2,497,000 as compared to the fourth quarter of 2024, and decreased $2,873,000 as compared to the year ended December 31, 2024. The decreases were primarily related to the cost incurred from the implementation of a voluntary early retirement program in the fourth quarter of 2024, which resulted in an expense of $3,338,000. The savings from the early retirement program were partially offset by annual merit increases and data processing and marketing expense. For the three months and year ended December 31, 2025, data processing increased $44,000 and $457,000, respectively, from the same periods last year. Higher costs in this category were related to debit and credit card processing due to higher transaction volume and conversion costs for the Company's new rewards platform. For the three months and year ended December 31, 2025, marketing expense increased $221,000 and $385,000, respectively, from the same periods last year. The increases were primarily related to advertising, a higher contribution to our own foundation fund and costs associated with supporting the communities we serve.

The Company's total assets at December 31, 2025 were $1.583 billion, an increase of $79 million from December 31, 2024. Since December 31, 2024, loan balances increased $134 million, or 12.6%. The growth in loans occurred mostly in the targeted areas of commercial real estate, commercial and industrial, and residential real estate. The growth in these segments was partially offset by a decrease in consumer loans, as this segment has been deemphasized by the Company due to profitability relative to other loan portfolio segments. The increase in loans was primarily funded by a $54 million increase in total deposits, led by time deposits, and a $36 million decrease in balances maintained at the Federal Reserve. At December 31, 2025, shareholders' equity increased $19.9 million from year end 2024. This was primarily from year-to-date net income of $15.6 million and an increase in accumulated other comprehensive income of $8.6 million, partially offset by cash dividends paid of $4.3 million. The increase in accumulated other comprehensive income was related to the $5.6 million, net of tax, market appreciation of securities due to a decrease in market interest rates and the recognition of a $3.0 million, net of tax, realized loss on the sale of securities that was previously unrealized.

Ohio Valley Banc Corp. common stock is traded on the NASDAQ Global Market under the symbol OVBC. The holding company owns The Ohio Valley Bank Company with 18 offices in Ohio and West Virginia, and Loan Central, Inc. with  six consumer finance offices in Ohio. Learn more about Ohio Valley Banc Corp. at www.ovbc.com.

Caution Regarding Forward-Looking Information

Certain statements contained in this earnings release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believes," "anticipates," "expects," "appears," "intends," "targeted" and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying those statements. Forward-looking statements involve risks and uncertainties. Actual results may differ materially from those predicted by the forward-looking statements because of various factors and possible events, including: (i) changes in political, economic or other factors, such as inflation rates, recessionary or expansive trends, taxes, the effects of implementation of federal legislation with respect to taxes, tariffs and government spending and the continuing economic uncertainty in various parts of the world; (ii) competitive pressures;  (iii) fluctuations in interest rates; (iv) the level of defaults and prepayment on loans made by the Company; (v) unanticipated litigation, claims, or assessments; (vi) fluctuations in the cost of obtaining funds to make loans; (vii) regulatory changes; and (viii) other factors that may be described in the Company's Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission from time to time. Forward-looking statements speak only as of the date on which they are made, and the Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made to reflect unanticipated events.

OHIO VALLEY BANC CORP - Financial Highlights (Unaudited)
			Three months ended				Twelve months ended
			December 31,				December 31,
			2025		2024		2025		2024
PER SHARE DATA
Earnings per share			$             0.84		$             0.53		$               3.31		$             2.32
Dividends per share			$             0.23		$             0.22		$               0.91		$             0.88
Book value per share			$           36.14		$           31.91		$            36.14		$           31.91
Dividend payout ratio (a)			27.39 %		41.21 %		27.48 %		37.98 %
Weighted average shares outstanding			4,711,001		4,711,001		4,711,001		4,736,820
DIVIDEND REINVESTMENT (in 000's)
Dividends reinvested under
employee stock ownership plan (b)			$                  -		$                  -		$                195		$              202
Dividends reinvested under
dividend reinvestment plan (c)			$              334		$              368		$            1,373		$           1,524
PERFORMANCE RATIOS
Return on average equity			9.49 %		6.62 %		9.83 %		7.50 %
Return on average assets			1.00 %		0.66 %		1.02 %		0.77 %
Net interest margin (d)			4.18 %		3.70 %		4.07 %		3.71 %
Efficiency ratio (e)			66.43 %		77.83 %		65.74 %		73.79 %
Average earning assets (in 000's)			$   1,483,069		$   1,414,863		$     1,433,515		$   1,330,841
(a) Total dividends paid as a percentage of net income.
(b) Shares may be purchased from OVBC and on secondary market.
(c) Shares may be purchased from OVBC and on secondary market.
(d) Fully tax-equivalent net interest income as a percentage of average earning assets.
(e) Noninterest expense as a percentage of fully tax-equivalent net interest income plus noninterest income.
OHIO VALLEY BANC CORP - Consolidated Statements of Income (Unaudited)
			Three months ended				Twelve months ended
(in $000's)			December 31,				December 31,
			2025		2024		2025		2024
Interest income:
Interest and fees on loans			$         19,989		$         16,864		$          73,327		$         64,938
Interest and dividends on securities			2,428		2,364		9,448		6,378
Interest on interest-bearing deposits with banks			434		794		2,462		4,447
Total interest income			22,851		20,022		85,237		75,763
Interest expense:
Deposits			6,845		6,393		25,408		24,639
Borrowings			533		559		2,084		2,320
Total interest expense			7,378		6,952		27,492		26,959
Net interest income			15,473		13,070		57,745		48,804
Provision for (recovery of) credit losses			378		617		3,054		2,469
Noninterest income:
Service charges on deposit accounts			767		773		3,033		3,039
Trust fees			89		100		376		404
Income from bank owned life insurance and
annuity assets			267		241		986		929
Mortgage banking income			60		45		182		163
Electronic refund check/deposit fees			0		0		676		675
Debit / credit card interchange income			1,319		1,274		5,164		4,968
Loss on sale of securities			(2,528)		0		(3,747)		0
Tax preparation fees			4		4		641		644
Other			750		1,483		1,659		2,349
Total noninterest income			728		3,920		8,970		13,171
Noninterest expense:
Salaries and employee benefits			6,336		8,833		24,909		27,782
Occupancy			482		447		2,017		1,938
Furniture and equipment			294		313		1,328		1,300
Professional fees			288		370		1,803		1,873
Marketing expense			367		146		1,205		820
FDIC insurance			172		179		698		648
Data processing			723		679		3,551		3,094
Software			644		556		2,363		2,260
Other			1,547		1,783		6,335		6,415
Total noninterest expense			10,853		13,306		44,209		46,130
Income before income taxes			4,970		3,067		19,452		13,376
Income taxes			1,015		552		3,851		2,377
NET INCOME			$           3,955		$           2,515		$          15,601		$         10,999
OHIO VALLEY BANC CORP - Consolidated Balance Sheets (Unaudited)
(in $000's, except share data)							December 31,		December 31,
							2025		2024
ASSETS
Cash and noninterest-bearing deposits with banks							$          14,845		$         15,704
Interest-bearing deposits with banks							31,052		67,403
Total cash and cash equivalents							45,897		83,107
Securities available for sale							253,906		268,120
Securities held to maturity, net of allowance for credit losses of $1 in 2025 and 2024							5,452		7,049
Restricted investments in bank stocks							5,258		5,007
Total loans							1,196,018		1,061,825
Less:  Allowance for credit losses							(11,519)		(10,088)
Net loans							1,184,499		1,051,737
Premises and equipment, net							20,509		21,229
Premises and equipment held for sale, net							400		507
Accrued interest receivable							5,476		4,805
Goodwill							7,319		7,319
Bank owned life insurance and annuity assets							43,305		42,048
Operating lease right-of-use asset, net							923		1,024
Deferred tax assets							5,621		7,218
Other assets							4,089		4,242
Total assets							$     1,582,654		$   1,503,412
LIABILITIES
Noninterest-bearing deposits							$        314,131		$       322,383
Interest-bearing deposits							1,015,536		952,795
Total deposits							1,329,667		1,275,178
Other borrowed funds							44,848		39,740
Subordinated debentures							8,500		8,500
Operating lease liability							923		1,024
Allowance for credit losses on off-balance sheet commitments							871		582
Other liabilities							27,588		28,060
Total liabilities							1,412,397		1,353,084
SHAREHOLDERS' EQUITY
Common stock ($1.00 stated value per share, 10,000,000 shares authorized;
5,490,995 shares issued)							5,491		5,491
Additional paid-in capital							52,321		52,321
Retained earnings							133,007		121,693
Accumulated other comprehensive income (loss)							(1,869)		(10,484)
Treasury stock, at cost (779,994 shares)							(18,693)		(18,693)
Total shareholders' equity							170,257		150,328
Total liabilities and shareholders' equity							$     1,582,654		$   1,503,412

Contact: Scott Shockey, CFO (740) 446-2631

View original content:https://www.prnewswire.com/news-releases/ohio-valley-banc-corp-reports-4th-quarter-and-record-fiscal-year-earnings-302671721.html

SOURCE Ohio Valley Banc Corp.

FAQ

What were Ohio Valley Banc Corp. (OVBC) full-year 2025 net income and EPS?

OVBC reported full-year 2025 net income of $15.601 million and EPS of $3.31.

How did OVBC's net interest margin and net interest income change in 2025?

OVBC's net interest margin rose to 4.07% in 2025 and net interest income increased by $8.941 million year-over-year.

What caused the decline in OVBC's noninterest income in 2025?

Noninterest income fell largely due to realized losses on securities sales totaling $3.747 million during 2025.

How much did OVBC loans grow in 2025 and which segments led growth?

Total loans grew 12.6% (about $134 million), led by commercial real estate, commercial and industrial, and residential real estate lending.

What change occurred in OVBC's credit metrics at year-end 2025?

Nonperforming loans rose to 1.40% of total loans and the allowance for credit losses was 0.96% of total loans at Dec 31, 2025.

What were OVBC's total assets and shareholders' equity at Dec 31, 2025?

Total assets were $1.583 billion and shareholders' equity increased by $19.9 million versus year-end 2024.