Financial Performance - ACNB Corporation reported net income of $6.6 million, or $0.77 diluted earnings per share, for Q4 2024, a 61.0% increase from $4.1 million, or $0.48 per share in Q4 2023[2]. - For the twelve months ended December 31, 2024, net income was $31.8 million, a slight increase of 0.5% compared to $31.6 million in 2023, impacted by $2.0 million in merger-related expenses[2]. - Net income for the fourth quarter of 2024 was $6,595 thousand, a decrease from $7,204 thousand in the third quarter of 2024[28]. - Net Income for the year ended December 31, 2024, was $31,846,000, compared to $31,688,000 for the previous year, reflecting a stable performance[33]. - Basic earnings per share rose to $0.78 in Q4 2024, up from $0.48 in Q4 2023, indicating improved profitability[33]. Asset and Loan Growth - Total loans outstanding were $1.68 billion at December 31, 2024, reflecting a 3.4% increase from $1.63 billion at December 31, 2023, driven by growth in the commercial real estate portfolio[15]. - Total loans rose to $1,668,508 thousand in 2024, up from $1,573,628 thousand in 2023, marking an increase of 6.0%[38]. - Total loans amounted to $1,676,928 thousand with an average yield of 5.61% for the quarter ending December 31, 2024, compared to $1,681,280 thousand and 5.56% in the previous quarter[34]. Income and Expenses - Noninterest income for the twelve months ended December 31, 2024 was $24.7 million, an increase of 4.1% from $23.7 million in 2023, driven by growth in wealth management income and insurance commissions[11]. - Total Noninterest Income increased significantly to $5,803,000 in Q4 2024 from $970,000 in Q4 2023, marking a substantial growth[33]. - Noninterest expense for the twelve months ended December 31, 2024 increased by 7.0% to $70.1 million, driven primarily by merger-related expenses and higher salaries[14]. - Total Noninterest Expenses increased to $18,388,000 in Q4 2024 from $17,173,000 in Q4 2023, showing a rise in operational costs[33]. Capital and Equity - Total stockholders' equity was $303.3 million at December 31, 2024, down from $306.8 million at September 30, 2024, but up from $277.5 million at December 31, 2023[22]. - Tangible book value per share was $29.51 at December 31, 2024, compared to $29.90 at September 30, 2024, and $26.44 at December 31, 2023[22]. - Stockholders' equity increased to $306,008 thousand from $297,473 thousand in the prior quarter[34]. - Tangible common equity to tangible assets ratio was 10.72% in December 2024, slightly up from 9.48% in December 2023, showing improved capital efficiency[39]. Efficiency and Ratios - The return on average assets was 1.31% and return on average equity was 10.94% for the twelve months ended December 31, 2024[3]. - The efficiency ratio increased to 63.83% from 60.56% in the previous quarter, indicating a decline in operational efficiency[28]. - Efficiency ratio for the fourth quarter of 2024 was 63.83%, compared to 62.48% in the same quarter of 2023, indicating a decrease in operational efficiency[39]. Borrowings and Deposits - Total average borrowings increased by 127.2% to $288.5 million for the twelve months ended December 31, 2024, compared to the same period in 2023[9]. - Total deposits reached $1.79 billion as of December 31, 2024, reflecting a slight increase of $1.2 million, or 0.1%, from September 30, 2024, but a decrease of $69.3 million, or 3.7%, from December 31, 2023[19]. - Total borrowings were $271.2 million at December 31, 2024, a decrease of $21.9 million, or 7.5%, from September 30, 2024, but an increase of $19.0 million, or 7.5%, from December 31, 2023[20]. Credit Quality - Non-performing loans increased to $6.8 million, or 0.40% of total loans, at December 31, 2024, compared to $4.2 million, or 0.26% at December 31, 2023[17]. - The allowance for credit losses was $17,280 thousand, slightly increased from $17,214 thousand in the previous quarter[30]. - The company experienced a reversal of credit losses amounting to $(2,437,000) for the year, compared to a provision of $860,000 in the previous year, indicating improved credit quality[33]. - Annualized net charge-offs for the three months ended December 31, 2024, were 0.04% of total average loans, up from 0.01% for the three months ended September 30, 2024[18].

Core Points - ACNB Corporation has received shareholder approvals for its acquisition of Traditions Bancorp, marking a significant step in the merger process [1][2] - The acquisition is expected to close on February 1, 2025, pending customary closing conditions [3] Company Overview - ACNB Corporation is a $2.42 billion financial holding company based in Gettysburg, PA, with subsidiaries including ACNB Bank and ACNB Insurance Services, Inc. [4] - Traditions Bancorp, Inc. is the holding company for Traditions Bank, which has assets of $859 million as of September 30, 2024 [5] Strategic Implications - The acquisition aims to leverage combined strengths, enhance innovation, and deliver greater value to customers and shareholders [3] - Both companies express confidence in the long-term potential of the partnership, aiming to build a stronger community bank [3]

Group 1: Acquisition Overview - ACNB Corp. has received regulatory approvals to acquire Traditions Bancorp and its subsidiary, Traditions Bank, with the deal announced in July [1] - The acquisition is an all-stock transaction valued at $73.5 million, with a termination fee of approximately 4% of the deal value [2] - The agreement stipulates that ACNB will issue 0.73 shares for each share of Traditions Bancorp's common stock, with the deal expected to close on February 1, 2025, pending approvals [3][4] Group 2: Strategic Rationale - ACNB anticipates cost savings of 35% on Traditions Bancorp's non-interest expenses, with 75% of these savings expected to be realized in 2025 [5] - The acquisition is projected to be accretive to earnings per share by 29.1% in 2025 and 29.6% in 2026, assuming successful execution of cost savings [5] - The tangible book value is expected to be diluted by approximately 9.2%, with an earn-back period of about 2.25 years [5] Group 3: Financial Projections and Growth - ACNB projects an average tangible common equity of roughly 15.4% and a 1% return on average assets, with an internal rate of return exceeding 15% [6] - The acquisition aligns with ACNB's strategic plan for inorganic growth and enhances potential for future organic growth, particularly through Traditions Bancorp's mortgage banking unit [6] - The deal will expand ACNB's branch footprint in Lancaster County and improve the deposit mix, while reducing commercial real estate loan concentration [7] Group 4: Market Performance - Year-to-date, ACNB shares have increased by 7.5%, compared to the industry's growth of 26% [8]

Core Viewpoint - ACNB Corporation has received all necessary regulatory approvals for its acquisition of Traditions Bancorp, Inc., with the transaction expected to close on February 1, 2025, pending shareholder approvals [1][2][3]. Group 1: Regulatory Approvals - The Federal Deposit Insurance Corporation and the Pennsylvania Department of Banking and Securities have approved the applications related to the acquisition [2]. - The Federal Reserve Bank of Philadelphia granted ACNB a waiver concerning its merger application requirements [2]. Group 2: Shareholder Meetings - TRBK shareholders will vote on the proposed transaction at a special meeting scheduled for December 18, 2024 [3]. - ACNB shareholders will also vote on the issuance of shares of ACNB common stock in connection with the merger on the same date [3]. Group 3: Company Profiles - ACNB Corporation is a $2.42 billion financial holding company based in Gettysburg, PA, with subsidiaries including ACNB Bank and ACNB Insurance Services, Inc. [4]. - Traditions Bancorp, Inc. is the holding company for Traditions Bank, which has assets of $859 million as of September 30, 2024 [5].

Financial Performance - Net income for Q3 2024 was $7.2 million, a decrease of $1.8 million or 20.3% compared to $9.0 million in Q3 2023[111] - Diluted earnings per share for Q3 2024 were $0.84, down 20.8% from $1.06 in Q3 2023[111] - Net income for the three months ended September 30, 2024 was $7.2 million, a decrease of $1.8 million, or 20.3%, compared to $9.0 million for the same period in 2023[126] - Diluted earnings per share decreased by 20.8% to $0.84 for the three months ended September 30, 2024, down from $1.06 in the prior year[126] - Net income for the nine months ended September 30, 2024, was $25.3 million, a decrease of $2.3 million or 8.5% compared to the prior year[139] - Diluted earnings per share for the nine months ended September 30, 2024, were $2.96, reflecting an 8.4% decrease from $3.23 in the same period of the prior year[139] Interest Income and Expenses - Net interest income for Q3 2024 was $20.9 million, a decrease of $803 thousand or 3.7% from $21.7 million in Q3 2023[112] - The net interest margin decreased to 3.77% for Q3 2024 from 4.01% in Q3 2023, a decrease of 24 basis points[113] - Net interest income totaled $20.9 million for the three months ended September 30, 2024, a decrease of $803 thousand, or 3.7%, from $21.7 million in the same period of 2023[127] - The FTE net interest margin for the three months ended September 30, 2024 was 3.77%, a decrease of 24 basis points from 4.01% for the same period in the prior year[127] - Total interest expense increased by $3.8 million, or 153.1%, during the three months ended September 30, 2024 compared to the same period in the prior year[132] - Total interest income increased by $3.0 million, or 12.3%, during the three months ended September 30, 2024, compared to the same period in 2023[131] - FTE interest income on total loans increased by $2.8 million, or 13.3%, compared to the same period of 2023[131] - Total interest expense increased by $13.1 million, or 288.3%, during the nine months ended September 30, 2024, compared to the same period in the prior year[148] Noninterest Income and Expenses - Noninterest income for Q3 2024 was $6.8 million, an increase of $536 thousand or 8.5% from $6.3 million in Q3 2023[119] - Total noninterest income for the three months ended September 30, 2024, was $6.8 million, an increase of $536 thousand or 8.5% compared to the same period last year[134] - Wealth management income increased by $235 thousand or 24.7% to $1.2 million, driven by portfolio market appreciation and new business generation[135] - Noninterest expenses increased to $18.2 million, or 11.7%, for Q3 2024 compared to $16.3 million in Q3 2023[120] - Noninterest expenses totaled $18.2 million for the three months ended September 30, 2024, representing an 11.7% increase compared to the same period last year[138] - Salaries and employee benefits, the largest component of noninterest expenses, rose by $948 thousand or 9.4% to $11.0 million[140] - Total noninterest income was $18.9 million for the nine months ended September 30, 2024, an increase of $1.5 million, or 8.3%, compared to the same period in 2023[150] - Total noninterest expenses totaled $52.3 million during the nine months ended September 30, 2024, a 6.9% increase compared to the same period of 2023[154] Loans and Credit Quality - Average loans grew by $87.2 million or 5.5% for Q3 2024 compared to the same period in the prior year[115] - Non-performing loans were $6.6 million or 0.39% of total loans at September 30, 2024, up from $3.6 million or 0.22% at September 30, 2023[117] - The allowance for credit losses is based on management's evaluation of the loan portfolio and current risk characteristics[123] - Provisions for credit losses were $81 thousand for the three months ended September 30, 2024, compared to $250 thousand for the same period of the prior year[133] - The allowance for credit losses (ACL) was $17.2 million, or 1.03% of total loans, as of September 30, 2024, down from $20.0 million, or 1.23%, at December 31, 2023[164] - Total loans, net of unearned income, increased by $49.1 million, or 3.0%, from December 31, 2023 to September 30, 2024, driven by growth in the commercial real estate portfolio[161] Deposits and Borrowings - Average interest-bearing deposits decreased by $54.4 million or 3.9% for Q3 2024 compared to Q3 2023[116] - Total deposits decreased by $70.5 million, or 3.8%, to $1.79 billion as of September 30, 2024, primarily due to an outflow of municipal deposits[167] - Time deposits increased by $24.6 million, or 10.6%, due to ongoing deposit promotions during the first nine months of 2024[167] - The loan-to-deposit ratio was 93.62% at September 30, 2024, compared to 87.44% at December 31, 2023[167] - Short-term borrowings decreased by $19.1 million, or 33.6%, to $37.8 million as of September 30, 2024[170] - Long-term borrowings increased to $255.3 million at September 30, 2024, from $195.3 million at December 31, 2023[171] Capital and Equity - Total stockholders' equity rose to $306.8 million at September 30, 2024, compared to $277.5 million at December 31, 2023[172] - The dividend payout ratio for the first nine months of 2024 was 31.64%, up from 25.94% for the same period in 2023[172] - ACNB Corporation issued 16,590 shares under its Dividend Reinvestment and Stock Purchase Plan during the nine months ended September 30, 2024, generating proceeds of $597 thousand, compared to 16,580 shares and $543 thousand in the same period of 2023[173] - As of September 30, 2024, ACNB Corporation repurchased 67,908 shares under its new stock repurchase program, which allows for the repurchase of up to 255,575 shares, approximately 3% of outstanding shares[174] - ACNB Corporation's Tier 1 leverage capital ratio was 12.46% as of September 30, 2024, significantly above the minimum requirement of 4.0%[177] - ACNB Corporation's Common Equity Tier 1 capital ratio was 16.07% as of September 30, 2024, exceeding the minimum requirement of 4.5%[177] - ACNB Corporation's Total capital ratio stood at 18.15% as of September 30, 2024, well above the minimum requirement of 8.0%[177] Securities and Investments - Total investment securities decreased by 6.5% to $483.6 million at September 30, 2024, compared to $517.2 million at December 31, 2023[159] - At September 30, 2024, the securities balance included a net unrealized loss on AFS securities of $36.8 million on an amortized cost of $454.9 million[159] - Securities sold under repurchase agreements totaled approximately $37.8 million as of September 30, 2024, compared to $26.9 million at December 31, 2023[181] Commitments and Liquidity - ACNB's banking subsidiary had a borrowing capacity of approximately $920.1 million from the FHLB as of September 30, 2024, with $684.0 million available[179] - The liquidity management strategy includes monitoring projected cash inflows and outflows daily, ensuring sufficient funding sources for both short- and long-term cash requirements[183] - As of September 30, 2024, ACNB Corporation had unfunded outstanding commitments to extend credit of $363.6 million and outstanding standby letters of credit of $14.4 million[184]

Company Performance - ACNB reported quarterly earnings of $0.84 per share, missing the Zacks Consensus Estimate of $0.88 per share, and down from $1.06 per share a year ago, representing an earnings surprise of -4.55% [1] - The company posted revenues of $27.78 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.95%, but down from $28.04 million year-over-year [1] - Over the last four quarters, ACNB has surpassed consensus EPS estimates just once and topped consensus revenue estimates two times [1] Future Outlook - The immediate price movement of ACNB's stock will depend on management's commentary during the earnings call and the company's earnings outlook [2][3] - The current consensus EPS estimate for the coming quarter is $0.81 on revenues of $26.87 million, and for the current fiscal year, it is $3.30 on revenues of $107.24 million [4] Industry Context - The Banks - Southwest industry, to which ACNB belongs, is currently in the top 18% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [5] - First Foundation, another company in the same industry, is expected to report a quarterly loss of $0.21 per share, reflecting a significant year-over-year decline of -520% [5]

Core Insights - ACNB Corporation reported a net income of $7.2 million, or $0.84 diluted earnings per share, for Q3 2024, a decrease from $9.0 million, or $1.06 per share in Q3 2023, and $11.3 million, or $1.32 per share in Q2 2024, impacted by $1.1 million in merger-related expenses due to the pending acquisition of Traditions Bancorp, Inc. [1][2] Financial Performance - Return on average assets was 1.17% and return on average equity was 9.63% for Q3 2024, with core return on average assets at 1.32% and core return on average equity at 10.81% [2]. - Fully taxable equivalent (FTE) net interest margin was 3.77% for Q3 2024, down from 4.01% in Q3 2023 and 3.82% in Q2 2024 [2][3]. - Noninterest income increased to $6.8 million, an 8.5% rise from Q3 2023, driven by wealth management and insurance commissions [4]. Asset Quality - Total loans outstanding were $1.68 billion at September 30, 2024, a slight decrease of 0.1% from Q2 2024 but an increase of 3.8% from Q3 2023 [7]. - Non-performing loans increased to $6.6 million, or 0.39% of total loans, compared to 0.19% in Q2 2024 and 0.22% in Q3 2023, primarily due to one commercial relationship in the healthcare sector [7][8]. Capital and Equity - Total stockholders' equity rose to $306.8 million at September 30, 2024, compared to $289.3 million at June 30, 2024, and $255.6 million at September 30, 2023 [9]. - Tangible book value per share increased to $29.90 from $27.82 in Q2 2024 and $23.80 in Q3 2023 [9]. Deposits and Borrowings - Total deposits were $1.79 billion, a decrease of 2.6% from Q2 2024 and 8.2% from Q3 2023 [8]. - Total borrowings decreased to $293.1 million, down 3.7% from Q2 2024 but up 91.1% from Q3 2023 [8].

Financial Performance - ACNB Corporation reported net income of $7.2 million, or $0.84 diluted earnings per share, for Q3 2024, down from $9.0 million, or $1.06 per share in Q3 2023[1]. - Net income for Q3 2024 reached $7,204 thousand, compared to $6,768 thousand in Q2 2024, reflecting a growth of 6.43%[21]. - Net Income for Q3 2024 decreased to $7,204,000, down 20.4% from $9,044,000 in Q3 2023[24]. - Basic earnings per share for Q3 2024 were $0.85, compared to $1.06 in Q3 2023, reflecting a decline of 19.8%[24]. - The company reported a core net income of $8,083 thousand for the three months ended September 30, 2024[29]. Income and Expenses - Net interest income for Q3 2024 was $20.9 million, a decrease of $803 thousand, or 3.7%, compared to Q3 2023, driven by a decrease in the fully taxable equivalent net interest margin[6]. - Noninterest income increased by $536 thousand, or 8.5%, to $6.8 million in Q3 2024 compared to Q3 2023, with wealth management income rising to $1.2 million[8]. - Noninterest expense rose to $18.2 million, an increase of $1.9 million, or 11.7%, from Q3 2023, primarily due to merger-related expenses and higher salaries[10]. - Total Noninterest Income increased to $6,833,000 in Q3 2024, up 8.5% from $6,297,000 in Q3 2023[24]. - Total Noninterest Expenses rose to $18,244,000 in Q3 2024, an increase of 11.7% from $16,336,000 in Q3 2023[24]. Asset and Loan Management - Total loans outstanding were $1.68 billion at September 30, 2024, a decrease of $2.5 million, or 0.1%, from June 30, 2024, but an increase of $61.1 million, or 3.8%, from September 30, 2023[12]. - Total loans amounted to $1,681,280,000, with a taxable yield of 5.68% for the quarter ended September 30, 2024, compared to 5.66% in the prior quarter[25]. - Total loans, net of unearned income, stood at $1,677,112 thousand, a marginal increase from $1,664,980 thousand in the previous quarter[21]. - Total loans increased to $1,665,681 thousand as of September 30, 2024, from $1,555,347 thousand in the same period last year, a growth of 7.09%[26]. Equity and Dividends - Total stockholders' equity increased to $306.8 million as of September 30, 2024, up from $289.3 million at June 30, 2024, and $255.6 million at September 30, 2023[17]. - The Board of Directors declared a quarterly cash dividend of $0.32 per share, reflecting a $0.02 increase or 6.7% from the same quarter of 2023[17]. - Cash dividends paid per share rose to $0.32 in Q3 2024 from $0.30 in Q2 2024, marking a 6.67% increase[21]. - The company’s total stockholders' equity reached $306,755,000, an increase from $289,331,000 in the previous quarter[23]. Risk Factors and Forward-Looking Statements - The company faces risks including economic conditions, regulatory changes, and competition that may impact future performance[19]. - Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from projections[20]. - Management considers subsequent events that may require adjustments to financial statements up to the filing date with the SEC[20]. Operational Efficiency - The efficiency ratio improved to 60.56% in Q3 2024 from 66.18% in Q2 2024, indicating enhanced operational efficiency[21]. - Efficiency ratio for the three months ended September 30, 2024, was 60.56%, up from 58.61% in the previous quarter, indicating a decline in operational efficiency[27]. Asset Growth - Total assets as of September 30, 2024, increased to $2,420,914 thousand from $2,414,288 thousand as of March 31, 2024, representing a growth of 0.27%[21]. - Total assets for ACNB Corporation as of September 30, 2024, were $2,440,116,000, showing a slight increase from $2,439,298,000 in the previous quarter[25]. - Total assets increased to $2,436,169 thousand as of September 30, 2024, compared to $2,387,403 thousand in the same period last year, reflecting a growth of 2.04%[26].

GETTYSBURG, Pa., Oct. 16, 2024 (GLOBE NEWSWIRE) -- ACNB Corporation (NASDAQ: ACNB), financial holding company for ACNB Bank and ACNB Insurance Services, Inc., announced today that the Board of Directors approved and declared a regular quarterly cash dividend of $0.32 per share of ACNB Corporation common stock payable on December 13, 2024, to shareholders of record as of November 29, 2024. This per share amount reflects a 6.7% increase over the $0.30 per share paid in the fourth quarter of 2023. This dividen ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______ Commission file number 1-35015 ACNB CORPORATION (Exact name of Registrant as specified in its charter) Pennsylvania 23-2233457 (State or other ...