Farmers National Q3 EPS Falls to $0.25 on Securities Loss, Adjusted EPS $0.47
FMNB sits 28% above its 52-week low of $12.12.
Summary
GAAP net income came in at $14.5 million, or $0.25 per diluted share, down from $0.33 a year ago, dragged by a $10.3 million loss on a securities restructuring and $6.1 million of Middlefield acquisition and core conversion costs. Strip those out plus $600,000 of severance and adjusted net income was $28.0 million, or $0.47 per share. The securities repositioning lifted the yield on the sold paper from 1.61% to roughly 5.25% with a 3.1-year payback, and net interest margin expanded to 3.54% from 3.00%. Credit is the soft spot: non-performing loans rose to $47.9 million, or 0.99% of total loans, from 0.93% in Q2, and the provision jumped to $2.8 million from $1.4 million a year ago. Management guided Q4 NIM to 3.43%-3.46% and said it will redeem the remaining $72.0 million of subordinated notes on December 15, 2026, ahead of the coupon resetting from 3.125% to about 6.20%.
At the time of this announcement, FMNB was trading at $15.52 on NASDAQ in the Finance sector, with a market capitalization of approximately $919.5M. The 52-week trading range was $12.12 to $16.46. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: BusinessWire.