Financial Performance - Net income for Q1 2025 was $18.1 million, or $0.93 per diluted share, compared to $13.7 million, or $0.71 per diluted share in Q4 2024, reflecting a significant increase [2]. - Excluding merger-related expenses, adjusted net income for Q1 2025 was $19.3 million, or $1.00 per diluted share, compared to $16.7 million, or $0.87 per diluted share in Q4 2024 [3]. - Net income available to common shareholders was $18.051 million for the first quarter of 2025, compared to $8.531 million for the same period in 2024, marking an increase of 111.9% [30]. - Net income for Q1 2025 was $18,051,000, compared to $13,684,000 in Q4 2024, reflecting a growth of 32.5% [39]. - Adjusted net income, excluding non-recurring charges, was $19,332,000 for the same period, reflecting an increase from $16,698,000 in the prior quarter [48]. Income and Expenses - Noninterest expenses decreased by $4.7 million to $38.2 million in Q1 2025 from $42.9 million in Q4 2024, with merger-related expenses down to $1.6 million [20]. - Total noninterest expenses decreased to $38,176,000 in Q1 2025, down from $42,930,000 in Q4 2024, a reduction of 11.5% [40]. - For the three months ended March 31, 2025, the adjusted noninterest expense was $36,527 thousand, a decrease from $38,531 thousand in the previous quarter [49]. Capital and Assets - Total risk-based capital ratio increased to 13.1% at March 31, 2025, compared to 12.4% at December 31, 2024, indicating improved capital strength [2]. - Shareholders' equity increased to $532.9 million at March 31, 2025, from $516.7 million at December 31, 2024, driven by net income and other comprehensive income [26]. - Total assets remained stable at $5.441 billion as of March 31, 2025, compared to $5.441 billion at December 31, 2024 [31]. - Total assets reached $5,425,697 thousand, reflecting a decrease from $5,464,165 thousand in the previous quarter [37]. - The company operates with $5.4 billion in total assets, providing a range of financial services across multiple counties in Pennsylvania and Maryland [51]. Interest Income and Margin - Net interest income increased to $48.761 million for the three months ended March 31, 2025, compared to $26.881 million for the same period in 2024, representing an increase of 81.5% [30]. - Net interest income for Q1 2025 was $48,761,000, a decrease of 3.6% from $50,573,000 in Q4 2024 [39]. - The taxable equivalent net interest income for the quarter was $49,203 thousand, down from $51,010 thousand in the previous quarter [37]. - The net interest margin was reported at 4.00%, a slight decrease from 4.05% in the previous quarter [37]. - Net interest margin decreased to 4.00% in Q1 2025 from 4.05% in Q4 2024, impacted by Federal Funds rate cuts [8]. Loans and Deposits - Commercial loans declined by $49.7 million, or 2%, from Q4 2024 to Q1 2025 due to strategic risk reduction actions [2]. - Deposits increased by $10.6 million to $4.6 billion at March 31, 2025, with interest-bearing demand deposits rising by $52.5 million [6]. - Total deposits increased slightly to $4,633,716,000 in Q1 2025 from $4,623,096,000 in Q4 2024 [41]. Shareholder Value - Tangible book value per common share increased to $21.99 at March 31, 2025, compared to $21.19 at December 31, 2024, reflecting enhanced shareholder value [2]. - Book value per share rose to $27.32 in Q1 2025, compared to $26.65 in Q4 2024, an increase of 2.5% [39]. - Dividends paid per share increased to $0.26 from $0.20 year-over-year, marking a 30% increase [36]. Efficiency and Performance Ratios - The efficiency ratio improved to 63.2% for the first quarter of 2025, down from 67.0% in the prior year [30]. - The efficiency ratio improved to 63.2% in Q1 2025, down from 69.4% in Q4 2024, indicating better cost management [39]. - The Company reported a return on average assets of 1.35% for the first quarter of 2025, compared to 1.11% for the same period in 2024 [30]. - Return on average assets for Q1 2025 improved to 1.35%, up from 1.00% in Q4 2024 [39]. Credit Quality - The allowance for credit losses decreased to $47.8 million at March 31, 2025, with a recovery of $0.6 million recorded for the provision for credit losses [13]. - The allowance for credit losses to total loans ratio was 1.23% as of March 31, 2025, slightly down from 1.24% in the previous quarter [42]. - Nonaccrual loans totaled $22,727,000 as of March 31, 2025, compared to $24,111,000 at December 31, 2024 [42]. - Total nonperforming assets decreased to $22,865,000 as of March 31, 2025, from $24,249,000 at December 31, 2024 [42]. Investment Portfolio - The investment portfolio had a fair value of $855,249 thousand, with 97% guaranteed by the U.S. government [50]. - The largest sector in the investment portfolio was Agency CMO, accounting for 40% of the total [50]. - The company reported a credit rating distribution of 4% AAA, 87% AA, and 5% A within its investment portfolio [50]. Forward-Looking Statements - Forward-looking statements indicate potential risks including interest rate changes and competition affecting future performance [52]. - The company cautions that actual results may differ materially from forward-looking statements due to various uncertainties [53].

分组1 - Orrstown Financial Services reported quarterly earnings of $1 per share, exceeding the Zacks Consensus Estimate of $0.95 per share, and up from $0.88 per share a year ago, representing an earnings surprise of 5.26% [1] - The company posted revenues of $60.39 million for the quarter ended March 2025, which missed the Zacks Consensus Estimate by 1.41%, but increased from $33.51 million year-over-year [2] - Over the last four quarters, Orrstown has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] 分组2 - The stock has underperformed, losing about 26.8% since the beginning of the year compared to the S&P 500's decline of 12.3% [3] - The current consensus EPS estimate for the coming quarter is $1.01 on revenues of $62.45 million, and for the current fiscal year, it is $4.09 on revenues of $252.65 million [7] - The Zacks Industry Rank for Banks - Northeast is currently in the top 25% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

(1) Non-GAAP measure. See Appendix A for additional information. HARRISBURG, Pa., April 22, 2025 (GLOBE NEWSWIRE) -- Orrstown Financial Services, Inc. (NASDAQ: ORRF), the parent company of Orrstown Bank (the "Bank"), announced earnings for the three months ended March 31, 2025. Net income totaled $18.1 million for the three months ended March 31, 2025, compared to net income of $13.7 million for the three months ended December 31, 2024 and net income of $8.5 million for the three months ended March 31, 2024 ...

Core Viewpoint - Orrstown Financial Services, Inc. will report its first quarter 2025 earnings on April 22, 2025, and will host a conference call and webcast to discuss the results on April 23, 2025 [1] Group 1: Earnings Announcement - The earnings release is scheduled for April 22, 2025, after market close [1] - A conference call and webcast will take place on April 23, 2025, at 9:00 a.m. ET to review the quarterly results [1] Group 2: Webcast and Conference Call Details - Interested parties can join the webcast at the provided link [2] - Telephone participation is available with specific dialing instructions for the USA and Canada [2] - A recorded playback of the conference call will be accessible until April 30, 2025, with details for accessing the recording [2] Group 3: Company Overview - Orrstown Financial Services, Inc. has $5.4 billion in assets and offers a variety of financial services across multiple counties in Pennsylvania and Maryland [3] - The company operates under the name Orrstown Bank and is an Equal Housing Lender with FDIC-insured deposits [3] - The common stock of Orrstown Financial Services, Inc. is traded on Nasdaq under the ticker symbol ORRF [3]

Core Viewpoint - Orrstown Financial Services (ORRF) is expected to report a year-over-year increase in earnings and revenues, but actual results compared to estimates will significantly impact its stock price [1][2]. Earnings Expectations - The consensus estimate for Orrstown's quarterly earnings is $0.95 per share, reflecting an 8% increase year-over-year [3]. - Expected revenues are projected at $61.25 million, which is an 82.8% increase from the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 3.21%, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Orrstown is lower than the Zacks Consensus Estimate, leading to a negative Earnings ESP of -0.87% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likelihood of actual earnings deviating from consensus estimates, with positive readings being more predictive [6][7]. - A positive Earnings ESP combined with a strong Zacks Rank (1, 2, or 3) has shown a nearly 70% success rate in predicting earnings beats [8]. Historical Performance - In the last reported quarter, Orrstown was expected to earn $1.03 per share but only achieved $0.87, resulting in a surprise of -15.53% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [13]. Conclusion - Orrstown does not currently appear to be a strong candidate for an earnings beat, and investors should consider other factors before making investment decisions [16].

Regulatory Compliance - As of December 31, 2024, the Parent Company and the Bank's regulatory capital ratios were above applicable well-capitalized standards and met the Capital Conservation Buffer requirement[71]. - The Bank is required to maintain a Capital Conservation Buffer to avoid restrictions on capital distributions and discretionary bonus payments to management[70]. - The Bank received a CRA rating of "Satisfactory" in its most recent examination prepared by the FRB on January 22, 2024[82]. - The FRB regulations require depository institutions to maintain cash reserves against specified deposit liabilities, with the reserve requirement on transaction accounts currently set at 0%[88]. - The Company is subject to federal and state laws designed to protect consumers, including the Equal Credit Opportunity Act and Fair Housing Act, which mandate certain disclosure requirements[74]. - The Company has implemented policies and procedures to comply with anti-money laundering requirements, including maintaining an anti-money laundering program and undergoing annual independent audits[85]. - The Cybersecurity Information Sharing Act allows companies to monitor their systems and share cyber threat information with third parties, providing liability protections for such actions[80]. - The final rule to strengthen and modernize the CRA regulations will become effective on January 1, 2026, adapting to changes in the banking industry[83]. Financial Performance - Adjusted net income for 2024 is reported at $56,054,000, compared to $36,643,000 in 2023[376]. - The company reported net income of $22,050,000 for 2024, down from $35,663,000 in 2023[376]. - The diluted earnings per share (GAAP) for 2024 is $1.48, down from $3.42 in 2023[376]. - Total non-recurring expenses for 2024 amounted to $43,446,000, compared to $1,059,000 in 2023[376]. - The company incurred merger-related expenses of $22,671,000 in 2024, significantly up from $1,059,000 in 2023[371]. - Tangible book value per common share decreased to $21.19 in 2024 from $23.03 in 2023, primarily due to goodwill from the merger[373]. - The company’s shareholders' equity increased to $516,682,000 in 2024 from $265,056,000 in 2023[374]. Commitments and Obligations - Total contractual obligations amount to $1,229,177,000, with $1,061,986,000 due in less than one year[366]. - Off-balance sheet commitments include home equity lines of credit totaling $538,204,000 and commercial loans of $706,783,000[368]. Company Listing - The Company is listed on the Nasdaq Capital Market under the trading symbol "ORRF" and is subject to Nasdaq's rules for listed companies[89]. - The Company’s primary source of income is dividends received from the Bank, which is subject to restrictions on its ability to dividend funds[363].

Core Viewpoint - Orrstown Financial Services, Inc. has announced the promotion of Adam L. Metz to Senior Executive Vice President and Chief Operating Officer, with plans for him to succeed Thomas R. Quinn, Jr. as President and CEO upon Quinn's retirement in May 2026 [1][3]. Group 1: Leadership Changes - Adam L. Metz has been with the company since February 2019, previously serving as Executive Vice President and Chief Revenue Officer [2]. - Prior to his current role, Metz was the Executive Vice President and Chief Lending Officer from September 2016 to February 2019 [2]. - Thomas R. Quinn, Jr. praised Metz's understanding of the company's mission and values, highlighting his significant contributions to the bank's success over the past decade [3]. Group 2: Company Overview - Orrstown Financial Services, Inc. has $5.4 billion in assets and offers a variety of consumer and business financial services across multiple counties in Pennsylvania and Maryland [3]. - The company's lending area extends to adjacent counties in Pennsylvania and Maryland, as well as parts of Virginia and West Virginia [3]. - Orrstown Bank is an Equal Housing Lender, and its deposits are insured by the FDIC up to the legal maximum [3].

Core Viewpoint - Orrstown Financial Services, Inc. has appointed Barbara E. Brobst to its Board of Directors, effective February 1, 2025, enhancing its governance with her extensive experience in banking and human resources [1][2]. Group 1: Appointment Details - Barbara E. Brobst has over 40 years of banking experience, previously serving as Executive Vice President and Chief Human Resources Officer from 2015 to 2022 [2]. - Brobst's prior roles include Senior Vice President for Human Resources and Senior Trust Officer at Orrstown Bank, showcasing her long-standing commitment to the organization [2]. - The appointment is expected to provide valuable insights into wealth management and human capital management, particularly in the south-central Pennsylvania markets [3]. Group 2: Company Overview - Orrstown Financial Services, Inc. has $5.4 billion in assets and offers a variety of consumer and business financial services across multiple counties in Pennsylvania and Maryland [4]. - The company's lending area extends to adjacent counties in Pennsylvania and Maryland, as well as parts of Virginia and West Virginia [4]. - Orrstown Bank is an Equal Housing Lender, with deposits insured by the FDIC up to the legal maximum [4].

Company Overview - Orrstown Financial Services (ORRF) is headquartered in Harrisburg and operates in the Finance sector [3] - The stock has experienced a price change of -0.74% since the beginning of the year [3] Dividend Information - Orrstown Financial Services currently pays a dividend of $0.23 per share, resulting in a dividend yield of 2.53% [3] - The company's annualized dividend of $0.92 has increased by 7% from the previous year [4] - Over the last five years, Orrstown has raised its dividend four times, averaging an annual increase of 5.61% [4] - The current payout ratio is 25%, indicating that 25% of its trailing 12-month earnings per share (EPS) is distributed as dividends [4] Earnings Growth - The Zacks Consensus Estimate for 2025 projects earnings of $4.37 per share, reflecting a year-over-year growth rate of 16.22% [5] Investment Considerations - Orrstown is considered a strong dividend play, appealing to income investors due to its consistent dividend payments [7] - The stock holds a Zacks Rank of 3 (Hold), suggesting a stable investment opportunity [7]

Group 1: Earnings Performance - Orrstown Financial Services reported quarterly earnings of $0.87 per share, missing the Zacks Consensus Estimate of $1.03 per share, representing an earnings surprise of -15.53% [1] - The company posted revenues of $61.82 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 3.33%, compared to year-ago revenues of $32.51 million [2] - Over the last four quarters, Orrstown has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times [2] Group 2: Stock Performance and Outlook - Orrstown shares have not added value since the beginning of the year, while the S&P 500 has gained 3.2% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $1.03 on revenues of $63.55 million, and for the current fiscal year, it is $4.37 on revenues of $259.85 million [7] Group 3: Industry Context - The Zacks Industry Rank for Banks - Northeast is currently in the top 7% of over 250 Zacks industries, indicating a favorable outlook for the sector [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5] - The current status of estimate revisions for Orrstown translates into a Zacks Rank 3 (Hold), suggesting the shares are expected to perform in line with the market in the near future [6]