EAGLE FINANCIAL SERVICES, INC. ANNOUNCES 2025 THIRD QUARTER FINANCIAL RESULTS AND QUARTERLY DIVIDEND

Core Insights - Eagle Financial Services, Inc. reported a strong third quarter for 2025, with net income rising to $5.6 million, a 6.0% increase from the previous quarter and a 63.1% increase year-over-year [2][3][6]. Financial Performance - Consolidated net income for Q3 2025 was $5,584,000, compared to $5,270,000 in Q2 2025 and $3,424,000 in Q3 2024 [2][3]. - Earnings per share for Q3 2025 were $1.04, up from $0.98 in Q2 2025 and $0.97 in Q3 2024 [2][3]. - The annualized return on average equity was 12.20% for Q3 2025, compared to 11.93% in Q2 2025 and 11.99% in Q3 2024 [2][3]. - The annualized return on average assets was 1.10% for Q3 2025, slightly up from 1.09% in Q2 2025 and significantly higher than 0.75% in Q3 2024 [2][3]. Income and Expenses - Net interest income increased to $17.2 million in Q3 2025, a 9.6% increase from Q2 2025 and a 30.7% increase from Q3 2024 [4][6]. - Total noninterest income was $5.2 million in Q3 2025, up from $4.9 million in Q2 2025 and comparable to $5.3 million in Q3 2024 [7]. - Noninterest expense rose to $14.3 million in Q3 2025, a 7.1% increase from Q2 2025 and an 11.3% increase from Q3 2024 [8]. Asset Quality - Nonperforming assets decreased from $17.5 million (0.86% of total assets) at June 30, 2025, to $14.3 million (0.74% of total assets) at September 30, 2025 [9]. - The ratio of allowance for credit losses to total loans was 1.01% as of September 30, 2025, down from 1.11% at June 30, 2025 [13]. Balance Sheet - Total consolidated assets were $1.93 billion as of September 30, 2025, a decrease of $102.6 million (5.04%) from June 30, 2025 [14]. - Total net loans increased by $22.5 million to $1.45 billion, driven primarily by growth in commercial real estate loans [15]. - Total deposits decreased to $1.66 billion as of September 30, 2025, down from $1.77 billion at June 30, 2025 [16][17]. Capital and Dividends - The Board of Directors announced a quarterly cash dividend of $0.31 per common share, payable on November 14, 2025 [20]. - Total consolidated equity increased to $185.6 million as of September 30, 2025, up $67.7 million from the previous year [20][22].