Commercial National Financial Corporation Reports 3rd Quarter 2025 Results
ITHACA, Mich., Oct. 24, 2025 (GLOBE NEWSWIRE) — Commercial National Financial Corporation (OTCID: CEFC) reported net income for the third quarter of 2025 of $1,791,000 or $0.45 per share compared to third quarter 2024 net income of $1,408,000 or $0.36 per share. Return on Equity was 13.35% for the third quarter of 2025 compared to 11.32% for the third quarter of 2024.
Net interest income for the third quarter of 2025 increased by $460,000 or 9.8% compared to the respective 2024 period. Interest income decreased by $177,000, mainly due to a decrease in loans. Interest expense decreased by $636,000, mainly due to a decrease in wholesale funding and funding costs. Non-interest income increased by $17,000 or 3.1%. Operating expenses increased by $19,000 or 0.5%.
Total assets were $548 million as of September 30, 2025 compared to $574 million as of September 30, 2024. The decrease in assets was mainly due to the repayment of wholesale funding and trust preferred debt totaling $24 million. While total loans decreased by $30 million or 7.3% due to the high-interest rate environment and early loan payoffs, loan quality remained strong with a non-performing assets ratio of 0.26%. Additionally, CEFC’s wholly owned subsidiary, Commercial Bank, remains significantly above “well capitalized” for regulatory purposes.
Visit www.commercial-bank.com to view the latest news releases and other information about CEFC and Commercial Bank.
| Selected Financial Data (unaudited): | |||||||||||||
| Quarter Ended | Year to Date | ||||||||||||
| Sep 30, 2025 | Sep 30, 2024 | Sep 30, 2025 | Sep 30, 2024 | ||||||||||
| Return on Equity | 13.35% | 11.32% | 12.36% | 11.09% | |||||||||
| Return on Assets | 1.30% | 0.98% | 1.16% | 0.92% | |||||||||
| Net Interest Margin | 3.97% | 3.47% | 3.82% | 3.37% | |||||||||
| Sep 30, 2025 | Sep 30, 2024 | ||||||||||||
| Non-Performing Assets Ratio | 0.26% | 0.21% | |||||||||||
| Tier 1 Leverage Capital Ratio(1) | 10.86% | 10.17% | |||||||||||
| Total Risk-Based Capital Ratio(1) | 17.75% | 16.35% | |||||||||||
| Book Value Per Share | $13.90 | $12.80 | |||||||||||
| Market Value Per Share | $12.10 | $9.03 | |||||||||||
| (1)Ratios are for Commercial Bank | |||||||||||||
| Consolidated Statements of Income (unaudited): | ||||||||||||||
| Quarter Ended | Year to Date | |||||||||||||
| Sep 30, 2025 | Sep 30, 2024 | Sep 30, 2025 | Sep 30, 2024 | |||||||||||
| Interest Income | $ | 6,567,747 | $ | 6,744,483 | $ | 19,584,846 | $ | 20,069,571 | ||||||
| Interest Expense | 1,430,850 | 2,067,285 | 4,630,286 | 6,322,485 | ||||||||||
| Net Interest Income | 5,136,897 | 4,677,198 | 14,954,560 | 13,747,086 | ||||||||||
| Provision for credit losses | (22,241 | ) | 229 | (56,454 | ) | (38,972 | ) | |||||||
| Non-interest income | 566,870 | 549,612 | 1,579,482 | 1,700,596 | ||||||||||
| Operating Expenses | 3,536,970 | 3,518,227 | 10,709,151 | 10,668,945 | ||||||||||
| Income before taxes | 2,189,038 | 1,708,354 | 5,881,345 | 4,817,709 | ||||||||||
| Income tax expense | 398,025 | 300,020 | 1,053,975 | 836,080 | ||||||||||
| Net Income | $ | 1,791,013 | $ | 1,408,334 | $ | 4,827,370 | $ | 3,981,629 | ||||||
| Net Income per share – diluted | $ | 0.45 | $ | 0.36 | $ | 1.22 | $ | 1.00 | ||||||
| Dividends declared | $ | 0.14 | $ | 0.14 | $ | 0.42 | $ | 0.42 | ||||||
| Consolidated Balance Sheets (unaudited): | |||||||
| Sep 30, 2025 | Sep 30, 2024 | ||||||
| Assets | |||||||
| Cash and cash equivalents | $ | 50,432,608 | $ | 55,606,415 | |||
| Time deposits with other banks | 1,494,000 | 1,992,000 | |||||
| Securities | 87,151,048 | 77,226,328 | |||||
| Loans | 377,670,851 | 407,594,529 | |||||
| Allowance for credit losses | (3,413,163 | ) | (3,528,332 | ) | |||
| Loans, net | 374,257,688 | 404,066,197 | |||||
| Premises and equipment, net | 9,732,492 | 10,092,279 | |||||
| Other assets | 24,647,796 | 25,285,806 | |||||
| Total Assets | $ | 547,715,632 | $ | 574,269,025 | |||
| Liabilities | |||||||
| Deposits | $ | 481,103,001 | $ | 505,613,266 | |||
| FHLB borrowings | 1,000,000 | 4,000,000 | |||||
| Trust preferred | 7,310,000 | 10,310,000 | |||||
| Other liabilities | 3,605,711 | 3,598,596 | |||||
| Total Liabilities | 493,018,712 | 523,521,862 | |||||
| Equity | |||||||
| Total Equity | 54,696,920 | 50,747,163 | |||||
| Total Liabilities and Equity | $ | 547,715,632 | $ | 574,269,025 | |||
Contact:
Benjamin Z. Ogle
CFO
989-875-5562
