What were First Keystone (FKYS) earnings per share and dividends in Q1 2026?

For the three months ended March 31, 2026, First Keystone reported net income per share of $0.31. Dividends totaled $0.28 per share over the same period, reflecting a meaningful payout relative to quarterly earnings.

First Keystone posts 86% jump in Q1 2026 profit

Q: How did First Keystone (FKYS) net income change in Q1 2026?

Net income for Q1 2026 rose sharply to $1,959,000, an increase of $906,000 or 86.0% compared to Q1 2025. The improvement mainly reflects higher interest income and a shift in the provision for credit losses to a credit balance.

Q: What drove First Keystone (FKYS) interest income and expense in Q1 2026?

Total interest income increased $1,032,000 or 5.7%, largely from higher balances of interest-bearing deposits at the Federal Reserve Bank. Total interest expense rose $671,000 or 7.1%, mainly due to a $1,172,000 increase in retail CD interest expense.

Q: How did the provision for credit losses affect FKYS results in Q1 2026?

The provision for credit losses became a $390,000 credit in Q1 2026, versus a $751,000 expense in Q1 2025. This change was mainly tied to a reduction in loans and the impact of two larger charge-offs recorded in early 2025.

Q: How did First Keystone’s (FKYS) deposits and assets change by March 31, 2026?

Total assets reached $1,524,919,000 at March 31, 2026, up $89,689,000 or 6.2% from a year earlier. Deposits increased $85,896,000 or 8.2%, driven by higher retail CD balances and offset by declines in other retail deposits and brokered CDs.

Q: What role did derivatives play in FKYS net interest income in Q1 2026?

Derivative agreements decreased net interest income by $281,000 in Q1 2026, compared to increasing it by $165,000 in Q1 2025. These derivatives are part of the company’s interest rate risk management strategy designed to mitigate exposure to market rate changes.

First Keystone Corporation reported much stronger results for the quarter ended March 31, 2026.

Filing Impact

(High)

Filing Sentiment

(Neutral)

Form Type

8-K

Rhea-AI Filing Summary

First Keystone Corporation reported much stronger results for the quarter ended March 31, 2026. Net income was $1,959,000, an increase of $906,000 or 86.0% from the same period in 2025, mainly driven by higher interest income.

Total interest income rose $1,032,000 or 5.7%, largely from higher interest-bearing deposits at the Federal Reserve Bank, while total interest expense increased $671,000 or 7.1%, primarily from retail CDs. The provision for credit losses swung to a $390,000 credit from $751,000 expense, helped by lower loan balances and prior charge-offs.

Non-interest income increased modestly, with net securities gains improving by $260,000, though life insurance gains recorded in 2025 did not recur. Non-interest expense rose $524,000 or 6.1%, mainly from higher salaries, benefits, and equipment costs. Total assets reached $1,524,919,000, up 6.2%, and deposits grew $85,896,000 or 8.2%, reflecting strong CD growth.

Positive

Net income nearly doubled, rising 86.0% to $1,959,000 for the three months ended March 31, 2026, mainly from higher interest income and a favorable shift in the provision for credit losses.
Balance sheet growth was solid, with total assets reaching $1,524,919,000 (up 6.2%) and deposits increasing $85,896,000 or 8.2%, led by strong retail CD growth.

Negative

None.

Insights

Strong quarter with sharply higher earnings, supported by asset and deposit growth.

First Keystone Corporation delivered an 86.0% jump in net income to $1,959,000, helped by a $1,032,000 or 5.7% rise in total interest income and a favorable swing in the provision for credit losses.

The provision moved to a $390,000 credit from a $751,000 expense, reflecting lower loan balances and prior charge-offs. While total interest expense rose $671,000 or 7.1%, earnings still expanded meaningfully, and net securities gains improved by $260,000.

Total assets grew to $1,524,919,000 and deposits rose $85,896,000 or 8.2%, driven by retail CDs. These figures point to balance sheet expansion alongside stronger profitability for the three months ended March 31, 2026, based on the unaudited results.

8-K Event Classification

2 items: 2.02, 9.01

2 items

Item 2.02 Results of Operations and Financial Condition Financial

Disclosure of earnings results, typically an earnings press release or preliminary financials.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

Key Figures

Net income: $1,959,000 Total interest income increase: $1,032,000 (5.7%) Total interest expense increase: $671,000 (7.1%) +5 more

8 metrics

Net income $1,959,000 Three months ended March 31, 2026; up 86.0% vs. prior year

Total interest income increase $1,032,000 (5.7%) Increase vs. three months ended March 31, 2025

Total interest expense increase $671,000 (7.1%) Increase vs. three months ended March 31, 2025

Provision for credit losses $390,000 credit Three months ended March 31, 2026; vs. $751,000 expense in 2025

Net income per share $0.31 per share Three months ended March 31, 2026

Dividends per share $0.28 per share Three months ended March 31, 2026

Total assets $1,524,919,000 As of March 31, 2026; up 6.2% vs. March 31, 2025

Deposit growth $85,896,000 (8.2%) Increase in deposits at March 31, 2026 vs. March 31, 2025

Key Terms

provision for credit losses, derivative agreements, net securities gains/losses, brokered CDs, +1 more

5 terms

provision for credit losses financial

"The provision for credit losses for the three month period decreased by $1,141,000 to a credit balance of $390,000"

Provision for credit losses is an amount set aside by a financial institution to cover potential future losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution manage risks and stay financially healthy. For investors, it signals how cautious a lender is about potential loan defaults and can impact the company's profitability and financial stability.

derivative agreements financial

"The net effect of derivative agreements decreased net interest income by $281,000"

net securities gains/losses financial

"Net securities gains/losses improved by $260,000 to a gain of $174,000 compared to a loss of $86,000"

brokered CDs financial

"Average brokered CD balances were $87,410,000 for the three months ended March 31, 2026 vs. $100,462,000"

accumulated other comprehensive loss financial

"Stockholders’ equity increased $7,691,000 or 7.2% mainly due to an improvement of $6,237,000 in accumulated other comprehensive loss"

Accumulated other comprehensive loss is the running negative total of certain gains and losses that companies record outside their regular profit-and-loss statement, such as changes in the value of some investments, pension adjustments, or currency translation effects. It matters to investors because it reduces shareholders’ equity and reveals economic swings that haven’t affected reported net income yet — like a side ledger showing pending ups and downs that could influence future cash flow or balance-sheet strength.

Earnings Snapshot

Net income: $1,959,000

Q1 2026

Net income $1,959,000 +86.0% YoY

Net income per share $0.31

Total interest income change +$1,032,000 +5.7% YoY

Total assets $1,524,919,000 +6.2% YoY

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How did First Keystone (FKYS) net income change in Q1 2026?

Net income for Q1 2026 rose sharply to $1,959,000, an increase of $906,000 or 86.0% compared to Q1 2025. The improvement mainly reflects higher interest income and a shift in the provision for credit losses to a credit balance.

What drove First Keystone (FKYS) interest income and expense in Q1 2026?

Total interest income increased $1,032,000 or 5.7%, largely from higher balances of interest-bearing deposits at the Federal Reserve Bank. Total interest expense rose $671,000 or 7.1%, mainly due to a $1,172,000 increase in retail CD interest expense.

How did the provision for credit losses affect FKYS results in Q1 2026?

The provision for credit losses became a $390,000 credit in Q1 2026, versus a $751,000 expense in Q1 2025. This change was mainly tied to a reduction in loans and the impact of two larger charge-offs recorded in early 2025.

How did First Keystone’s (FKYS) deposits and assets change by March 31, 2026?

Total assets reached $1,524,919,000 at March 31, 2026, up $89,689,000 or 6.2% from a year earlier. Deposits increased $85,896,000 or 8.2%, driven by higher retail CD balances and offset by declines in other retail deposits and brokered CDs.

What role did derivatives play in FKYS net interest income in Q1 2026?

Derivative agreements decreased net interest income by $281,000 in Q1 2026, compared to increasing it by $165,000 in Q1 2025. These derivatives are part of the company’s interest rate risk management strategy designed to mitigate exposure to market rate changes.

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

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Accepted by SEC EDGAR 05/01/2026 - 11:24 AM

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest reported): April 30, 2026

FIRST KEYSTONE CORPORATION

(Exact name of registrant as specified in its Charter)


PENNSYLVANIA	000-21344	23-2249083
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.


111 West Front Street, Berwick, Pennsylvania	18603
(Address of principal executive offices)	(Zip Code)

Registrant's telephone number, including area code: (570) 752-3671

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):


	☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


	☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


	☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))


	☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the Registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading symbol	Name of each exchange on which registered
Common Stock	FKYS	OTCID

ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On April 30, 2026, First Keystone Corporation, parent company of First Keystone Community Bank, announced its unaudited earnings for the period ending March 31, 2026. The press release announcing first quarter earnings is filed as Exhibit 99.1 and incorporated herein by reference.

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS

(a) Not applicable

(b) Not applicable

(d) Exhibits

Exhibit No.	Description
99.1	Press Release of First Keystone Corporation dated April 30, 2026.
104	Cover Page Interactive Data File (the cover page XBRL tags are embedded in the Inline XBRL document).

Signatures

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, there unto duly authorized.


	FIRST KEYSTONE CORPORATION
	(Registrant)

	By:	/s/ Jack W. Jones
	Jack W. Jones
	President and CEO

Date: May 1, 2026

Exhibit 99.1

FIRST KEYSTONE ANNOUNCES

FIRST QUARTER 2026 EARNINGS (UNAUDITED)

Berwick, Pennsylvania – April 30, 2026 - First Keystone Corporation (OTCID: FKYS), parent company of First Keystone Community Bank, reported an increase in total interest income of $1,032,000 or 5.7%, as compared to the three months ended March 31, 2025. The increase was predominantly due to interest earned on increased balances of interest bearing deposits held at the Federal Reserve Bank compared to the same period in 2025. Total interest expense increased by $671,000 or 7.1% overall, mainly due to an increase of $524,000 in interest expense related to deposits. The increased deposit interest for the three months ended March 31, 2026 is mainly due to an increase of $1,172,000 in expense related to retail CDs, offset by a decrease of $515,000 in expense related to other retail deposits and a decrease of $133,000 in expense related to brokered CDs. Average retail CD balances have increased $127,910,000 at March 31, 2026 vs. March 31, 2025, while average other interest bearing retail deposit account balances decreased by $21,203,000 overall during the three month period. Average brokered CD balances were $87,410,000 for the three months ended March 31, 2026 vs. $100,462,000 for the three months ended March 31, 2025. The net effect of derivative agreements decreased net interest income by $281,000 for the three months ended March 31, 2026 and increased net interest income by $165,000 for the three months ended March 31, 2025. These derivative agreements are part of the Corporation’s interest rate risk management strategy and are intended to mitigate exposure to changes in market interest rates. The provision for credit losses for the three month period decreased by $1,141,000 to a credit balance of $390,000 for the three months ended March 31, 2026 compared to expense of $751,000 for the three months ended March 31, 2025. The decrease in the provision for credit losses was mainly the result of a decrease of $31,566,000 in loans from $956,113,000 at March 31, 2025 to $932,615,000 at March 31, 2026. There were also two larger charge-offs completed during the first quarter of 2025 which impacted the balance of the provision for credit losses for the three months ended March 31, 2025.

Non-interest income increased by $54,000 or 3.1% for the three months ended March 31, 2026 as compared to the same period in 2025. Net securities gains/losses improved by $260,000 to a gain of $174,000 compared to a loss of $86,000 as a result of changes in the mark-to-market adjustment on held equity securities. Other non-interest income decreased $226,000 mainly due to $235,000 in gains from life insurance proceeds realized from a death benefit received during the first quarter of 2025, offset by a $26,000 increase in gains on sales of mortgage loans.

Non-interest expense increased by $524,000 or 6.1% for the three months ended March 31, 2026 as compared to the same period in 2025. The increase was mainly due to a $337,000 increase in salaries and employee benefits mainly driven by increased costs associated with healthcare, a $165,000 increase in furniture, equipment and computers expense, a $85,000 increase in professional services expense, and a $67,000 increase in provision for unfunded commitments, offset by a decrease of $307,000 in other non-interest expense related to a fraud write off associated with a customer account realized in the first quarter of 2025.

Net income for the three months ended March 31, 2026 was $1,959,000. Net income per share was $0.31 while dividends totaled $0.28 per share for the three months ended March 31, 2026. Net income increased by $906,000 or 86.0% as compared to the same period in 2025. The increase was primarily due to increased interest income.

Total Assets increased to $1,524,919,000 at March 31, 2026, an increase of $89,689,000 or 6.2% as compared to March 31, 2025. Securities and restricted stocks increased $7,809,000 or 2.0% as compared to March 31, 2025. Deposits increased by $85,896,000 or 8.2% at March 31, 2026 as compared to March 31, 2025 due to increases in retail CDs offset with decreases in other retail deposits and brokered CDs as discussed above. Stockholders’ equity increased $7,691,000 or 7.2% mainly due to an improvement of $6,237,000 in accumulated other comprehensive loss as a result of market value improvement.

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 a public company’s consolidated financial statements when filed with the Securities and Exchange Commission (“SEC”). Accordingly, the financial information in this announcement is subject to change.

First Keystone Community Bank provides innovative business and personal banking products that focus on “Yesterday’s Traditions. Tomorrow’s Vision.” The Bank currently operates offices in Columbia (5), Luzerne (8), Montour (1), Monroe (4), and Northampton (1) counties.

Inquiries regarding the purchase of the Corporation’s stock may be made through the following brokers: RBC Dain Rauscher, 800-223-4207; Janney Montgomery Scott, Inc., 800-526-6397; and Stifel Nicolaus & Co. Inc., 800-679-5446.

Note: This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various factors. These factors include operating, legal and regulatory risks, changing economic and competitive conditions and other risks and uncertainties.

For more information on First Keystone Community Bank or its parent company, First Keystone Corporation, please contact Jack W. Jones at 570-752-3671.

Source: View Original Filing on SEC EDGAR

Filing Exhibits & Attachments

4 documents

Press Releases

EX-99.1 EX-99.1 9.5 KB

First Keystone posts 86% jump in Q1 2026 profit