Commercial National Financial Corporation Reports 4th Quarter 2025 Results
ITHACA, Mich., Jan. 22, 2026 (GLOBE NEWSWIRE) — Commercial National Financial Corporation (OTCID: CEFC) reported net income for the fourth quarter of 2025 of $1,784,000 or $0.45 per share compared to fourth quarter 2024 net income of $1,882,000 or $0.47 per share. Return on Equity was 12.64% for the fourth quarter of 2025 compared to 14.73% for the fourth quarter of 2024.
Net interest income for the fourth quarter of 2025 increased by $320,000 or 6.5% compared to the respective 2024 period. Interest income decreased by $196,000, mainly due to a decrease in loans. Interest expense decreased by $516,000, mainly due to a decrease in funding costs. Non-interest income decreased by $218,000, while operating expenses increased by $150,000, which was mainly due to higher wages and benefits expense.
Total assets were $554 million as of December 31, 2025 compared to $567 million as of December 31, 2024. Total deposits decreased by $27 million, which consisted of a decrease of $15 million in core deposits and $12 million in brokered deposits, which were replaced with borrowings from the Federal Home Loan Bank. While total loans decreased by $24 million or 6.1% due to the high interest rate environment and early loan payoffs, loan quality remained strong with a non-performing assets ratio of 0.17%. Additionally, CEFC’s wholly owned subsidiary, Commercial Bank, remains “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 | |||||||||||||||
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2025 | Dec 31, 2024 | |||||||||||||
| Return on Equity | 12.64 | % | 14.73 | % | 12.44 | % | 12.04 | % | ||||||||
| Return on Assets | 1.28 | % | 1.31 | % | 1.19 | % | 1.02 | % | ||||||||
| Net Interest Margin | 4.04 | % | 3.66 | % | 3.87 | % | 3.44 | % | ||||||||
| Dec 31, 2025 | Dec 31, 2024 | |||||||||||||||
| Non-Performing Assets Ratio | 0.17 | % | 0.28 | % | ||||||||||||
| Tier 1 Leverage Capital Ratio(1) | 10.88 | % | 10.32 | % | ||||||||||||
| Total Risk-Based Capital Ratio(1) | 18.30 | % | 16.99 | % | ||||||||||||
| Book Value Per Share | $ | 14.30 | $ | 12.74 | ||||||||||||
| Market Value Per Share | $ | 13.65 | $ | 9.85 | ||||||||||||
| (1) Ratios are for Commercial Bank | ||||||||||||||||
| Consolidated Statements of Income (unaudited): | ||||||||||||||||
| Quarter Ended | Year to Date | |||||||||||||||
| Dec 31, 2025 | Dec 31, 2024 | Dec 31, 2025 | Dec 31, 2024 | |||||||||||||
| Interest Income | $ | 6,496,798 | $ | 6,692,617 | $ | 26,081,644 | $ | 26,762,188 | ||||||||
| Interest Expense | 1,248,928 | 1,764,560 | 5,879,214 | 8,087,045 | ||||||||||||
| Net Interest Income | 5,247,870 | 4,928,057 | 20,202,430 | 18,675,143 | ||||||||||||
| Provision for credit losses | (19,303 | ) | (55,008 | ) | (75,757 | ) | (93,980 | ) | ||||||||
| Non-interest income | 489,029 | 706,790 | 2,068,511 | 2,407,386 | ||||||||||||
| Operating Expenses | 3,583,029 | 3,433,219 | 14,292,180 | 14,102,164 | ||||||||||||
| Income before taxes | 2,173,173 | 2,256,636 | 8,054,518 | 7,074,345 | ||||||||||||
| Income tax expense | 389,294 | 374,998 | 1,443,269 | 1,211,078 | ||||||||||||
| Net Income | $ | 1,783,879 | $ | 1,881,638 | $ | 6,611,249 | $ | 5,863,267 | ||||||||
| Net Income per share – diluted | $ | 0.45 | $ | 0.47 | $ | 1.67 | $ | 1.48 | ||||||||
| Dividends declared | $ | 0.14 | $ | 0.14 | $ | 0.56 | $ | 0.56 | ||||||||
| Consolidated Balance Sheets (unaudited): | ||||||||||||||||
| Dec 31, 2025 | Dec 31, 2024 | |||||||||||||||
| Assets | ||||||||||||||||
| Cash and cash equivalents | $ | 57,373,635 | $ | 55,588,156 | ||||||||||||
| Time deposits with other banks | – | 1,743,000 | ||||||||||||||
| Securities | 94,346,865 | 82,075,403 | ||||||||||||||
| Loans | 371,327,999 | 395,651,055 | ||||||||||||||
| Allowance for credit losses | (3,385,810 | ) | (3,482,203 | ) | ||||||||||||
| Loans, net | 367,942,189 | 392,168,852 | ||||||||||||||
| Premises and equipment, net | 9,617,442 | 10,037,771 | ||||||||||||||
| Other assets | 24,933,064 | 25,029,745 | ||||||||||||||
| Total Assets | $ | 554,213,195 | $ | 566,642,927 | ||||||||||||
| Liabilities | ||||||||||||||||
| Deposits | $ | 471,503,354 | $ | 498,507,449 | ||||||||||||
| FHLB borrowings | 16,000,000 | 4,000,000 | ||||||||||||||
| Trust preferred | 7,310,000 | 10,310,000 | ||||||||||||||
| Other liabilities | 3,115,523 | 3,295,393 | ||||||||||||||
| Total Liabilities | 497,928,877 | 516,112,842 | ||||||||||||||
| Equity | ||||||||||||||||
| Total Equity | 56,284,318 | 50,530,085 | ||||||||||||||
| Total Liabilities and Equity | $ | 554,213,195 | $ | 566,642,927 | ||||||||||||
Contact:
Benjamin Ogle
CFO
989-875-5562
