LCNB Corp. Reports Financial Results for the Three Months Ended March 31, 2026

First quarter 2026, net interest margin increased 58 basis points year-over-year to 3.83%, driving record quarterly net interest income of $18.8 million, a 15.6% year-over-year increase

Pre-tax, pre-provision for credit losses net income for the first quarter of 2026 increased 34.1% year-over-year to $7.7 million

Book value increased 6.0% year-over-year to $19.36 per share and tangible book value per share increased 10.7% year-over-year to $12.55 per share at March 31, 2026

LCNB Wealth Management assets increased 12.5% year-over-year to a record $1.57 billion at March 31, 2026, producing fiduciary income of $2.5 million for the 2026 first quarter

LEBANON, Ohio--(BUSINESS WIRE)--LCNB Corp. ("LCNB") (NASDAQ: LCNB) today announced financial results for the three months ended March 31, 2026.

Commenting on the financial results, LCNB Chief Executive Officer, Eric Meilstrup said, “LCNB achieved another solid quarter of higher core profitability and book value growth, highlighted by continued net interest margin expansion, disciplined expense management, and solid year-over-year growth at LCNB Wealth Management. As a result, pre-tax, pre-provision for credit losses income increased 34.1% year-over-year, underscoring the strength and consistency of our core earnings profile.”

Mr. Meilstrup continued, “Provision expense increased during the quarter, primarily driven by higher provisions for two participated loans within the logistics industry. In addition, given increased macroeconomic uncertainty, we have maintained a higher allowance for credit losses, which totaled $13.4 million at March 31, 2026, compared to $12.1 million a year ago, despite a reduction in nonperforming loans. The provision for credit losses during the first quarter reduced after-tax earnings by $0.13 per diluted share. Certain segments of the logistics industry have experienced increased pressure across the broader economic environment, though LCNB’s exposure to that industry remains limited. Overall, our asset‑quality metrics compare favorably to peer, and nonperforming loans declined to 0.20% of total loans at March 31, 2026, from 0.28% a year earlier.”

“While the economic environment has become more fluid, we believe 2026 will be another good year of high profitability. The mergers completed in recent years have delivered meaningful benefits to shareholders, continue to execute in line with expectations, and remain on track to generate tangible book value accretion. We expect LCNB Wealth Management to continue benefiting from organic growth and cross‑selling opportunities across our markets, and we remain focused on disciplined growth and investing in our physical and digital infrastructure to enhance the customer experience and support long‑term value creation,” concluded Mr. Meilstrup.

Income Statement

Net income for the 2026 first quarter was $4.4 million, compared to $4.6 million for the same period in 2025. Earnings per basic and diluted share for the 2026 first quarter were $0.31, compared to $0.33 for the same period in 2025.

Net interest income for the three months ended March 31, 2026 was a record $18.8 million, compared to $16.3 million for the same period in 2025. The year-over-year growth in net interest income was primarily due to an increase in the average yield on earnings assets, a reduction in interest-bearing liabilities, and a decrease in the average rate paid on interest-bearing liabilities. For the 2026 first quarter, LCNB’s tax equivalent net interest margin was 3.83%, compared to 3.25% for the same period in 2025.

Non-interest income for the three months ended March 31, 2026 was $4.7 million, compared to $5.2 million for the same period in 2025. The 10.1% year-over-year decrease was primarily due to a $0.6 million reduction in net gains from sales of loans and lower service charges and fees on deposit accounts, partially offset by $0.4 million of higher fiduciary income.

Non-interest expense for the three months ended March 31, 2026 was $15.9 million, compared to $15.8 million for the same period in 2025. The $0.1 million increase was primarily due to higher salaries and employee benefits, computer maintenance and supplies, and contracted services expenses, partially offset by lower net FDIC insurance premiums and other non-interest expenses.

Capital Allocation

For the three months ended March 31, 2026, LCNB paid $0.22 per share in dividends.

Balance Sheet

Total assets at March 31, 2026 decreased 2.8%, to $2.24 billion, from $2.30 billion at March 31, 2025. Net loans at March 31, 2026 were $1.68 billion, a decrease of 1.2%, or $21.2 million, from March 31, 2025. During the quarter ended March 31, 2026, the Company originated $87.8 million in loans and sold $10.8 million into the secondary market, which contributed $200,000 of gains to first quarter non-interest income, compared to $84.9 million in loans originated and $21.5 million of loans sold into the secondary market last year, which generated $841,000 of gains and benefited first quarter 2025 non-interest income.

Loans held for sale totaled $3.4 million at March 31, 2026, compared to $6.1 million at March 31, 2025, and were primarily composed of loans scheduled to be sold to an investor.

Total deposits at March 31, 2026 decreased 4.3%, to $1.84 billion, compared to $1.92 billion at March 31, 2025. The change includes modest growth in noninterest‑bearing demand deposit accounts, and the decline in interest‑bearing balances reflects the strategic runoff of higher‑cost certificates of deposit and IRA balances as part of the Company’s funding optimization strategy.

At March 31, 2026, shareholders' equity was $275.8 million, compared to $258.7 million at March 31, 2025. On a per-share basis, shareholders' equity at March 31, 2026 was $19.36, compared to $18.26 at March 31, 2025.

At March 31, 2026, tangible shareholders' equity was $178.8 million, compared to $160.6 million at March 31, 2025. The 11.3% year-over-year increase in tangible shareholders' equity was primarily from higher retained earnings and an improvement in the unrealized losses on the available-for-sale investment portfolio. On a per-share basis, tangible shareholders' equity was $12.55 at March 31, 2026, compared to $11.34 at March 31, 2025.

Assets Under Management

Total assets managed at March 31, 2026, were $4.18 billion, compared to $4.16 billion at March 31, 2025. The year-over-year increase in total assets managed was due to an increase in the fair value of trust and investments and investment services partially offset by lower LCNB total assets, mortgage loans serviced and cash management. Trust and investments and brokerage accounts increased due to a higher number of new LCNB Wealth Management customer accounts and an increase in the fair value of managed assets.

Asset Quality

For the 2026 first quarter, LCNB recorded a provision for credit losses of $2.3 million, compared to a provision for credit losses of $197,000 for the 2025 first quarter.

Net charge-offs for the 2026 first quarter were $2.7 million, or 0.65% of average loans, compared to net charge-offs of $39,000, or 0.01% of average loans, annualized, for the same period in 2025.

Net charge‑offs during the first quarter of 2026 primarily reflected the resolution of two unrelated credits within the logistics sector, an industry that has experienced elevated stress in recent periods across the broader economy. One of these loans, which carried a specific reserve of approximately $1.4 million at December 31, 2025, was charged off during the quarter with no additional impact to earnings, consistent with the Company’s prior disclosures. In addition, the Company recognized a charge‑off of approximately $1.3 million related to a separate logistics‑sector borrower following adverse developments subsequent to year‑end.

While these charge‑offs occurred within the logistics sector, the Company’s overall exposure to that industry remains limited. Moreover, changes in the allowance for credit losses during the quarter were not solely attributable to logistics‑related borrowers, but also reflected increased reserves and specific impairments for certain commercial and industrial borrowers in other industries impacted by continued global trade uncertainty and geopolitical conditions.

Total nonperforming loans, which include nonaccrual loans and loans past due 90 days or more and still accruing interest, were $3.36 million, or 0.20% of total loans, at March 31, 2026, compared to $4.9 million, or 0.28% of total loans, at March 31, 2025. The year‑over‑year decrease in nonperforming loans was primarily attributable to the disposition of one commercial real estate loan. The nonperforming assets to total assets ratio was 0.15% at March 31, 2026, compared to 0.21% at March 31, 2025.

About LCNB Corp.

LCNB Corp. is a financial holding company headquartered in Lebanon, Ohio. Through its subsidiary, LCNB National Bank (the “Bank”), it serves customers and communities in Southwest and South-Central Ohio. A financial institution with a long tradition for building strong relationships with customers and communities, the Bank offers convenient banking locations in Butler, Clermont, Clinton, Fayette, Franklin, Hamilton, Montgomery, Preble, Ross, and Warren Counties, Ohio. The Bank continually strives to exceed customer expectations and provides an array of services for all personal and business banking needs including checking, savings, online banking, personal lending, business lending, agricultural lending, business support, deposit and treasury, investment services, trust and IRAs and stock purchases. LCNB Corp. common shares are traded on the NASDAQ Capital Market Exchange® under the symbol “LCNB.”

Learn more about LCNB Corp. at www.lcnb.com

Forward-Looking Statements

Certain statements made in this news release regarding LCNB’s financial condition, results of operations, plans, objectives, future performance and business, are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by the fact they are not historical facts and include words such as “anticipate”, “could”, “may”, “feel”, “expect”, “believe”, “plan”, and similar expressions. Please refer to LCNB’s Annual Report on Form 10-K for the year ended December 31, 2025, as well as its other filings with the SEC, for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements.

These forward-looking statements reflect management's current expectations based on all information available to management and its knowledge of LCNB’s business and operations. Additionally, LCNB’s financial condition, results of operations, plans, objectives, future performance and business are subject to risks and uncertainties that may cause actual results to differ materially. These factors include, but are not limited to:

1.	the success, impact, and timing of the implementation of LCNB’s business strategies;
2.	LCNB’s ability to integrate recent and future acquisitions may be unsuccessful or may be more difficult, time-consuming, or costly than expected;
3.	LCNB may incur increased loan charge-offs in the future and the allowance for credit losses may be inadequate;
4.	LCNB may face competitive loss of customers to both bank and nonbank financial institutions;
5.	changes in the interest rate environment, either by interest rate increases or decreases, may have results on LCNB’s operations materially different from those anticipated by LCNB’s market risk management functions;
6.	changes in general economic conditions, including the potential economic impacts of a prolonged U.S. government shutdown and increased competition could adversely affect LCNB’s operating results;
7.	changes in or instability regarding regulations and government policies affecting bank holding companies and their subsidiaries, including changes in monetary policies, could negatively impact LCNB’s operating results;
8.	LCNB may experience difficulties growing loan and deposit balances;
9.	United States trade relations with foreign countries could negatively impact the financial condition of LCNB's customers, which could adversely affect LCNB's operating results and financial condition;
10.	global and/or geopolitical relations and/or conflicts could create financial market uncertainty and have negative impacts on commodities, currency, and stability, which could adversely affect LCNB's operating results and financial condition;
11.	difficulties with technology or data security breaches, including cyberattacks or widespread outages, could negatively affect LCNB's ability to conduct business and its relationships with customers, vendors, and others;
12.	adverse weather events and natural disasters and global and/or national epidemics could negatively affect LCNB’s customers given its concentrated geographic scope, which could impact LCNB’s operating results; and
13.	government intervention in the U.S. financial system, including the effects of legislative, tax, accounting, and regulatory actions and reforms, including, the Jumpstart Our Business Startups Act, the Consumer Financial Protection Bureau, the capital ratios of Basel III as adopted by the federal banking authorities, changes in deposit insurance premium levels, and any such future regulatory actions or reforms.

Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist shareholders and potential investors in understanding current and anticipated financial operations of LCNB and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. LCNB undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made.

LCNB Corp. and Subsidiaries Financial Highlights (Dollars in thousands, except per share amounts) (Unaudited)
	Three Months Ended
	3/31/2026			12/31/2025			9/30/2025			6/30/2025			3/31/2025
Condensed Income Statement
Interest income	$	25,430			25,187			26,305			25,939			25,316
Interest expense		6,583			6,931			8,179			8,398			9,017
Net interest income		18,847			18,256			18,126			17,541			16,299
Provision for credit losses		2,339			1,510			211			18			197
Net interest income after provision for credit losses		16,508			16,746			17,915			17,523			16,102
Non-interest income		4,693			5,601			5,704			5,248			5,222
Non-interest expense		15,880			15,388			15,145			15,567			15,809
Income before income taxes		5,321			6,959			8,474			7,204			5,515
Provision for income taxes		877			1,303			1,538			1,285			906
Net income	$	4,444			5,656			6,936			5,919			4,609
Supplemental Income Statement Information
Accretion income on acquired loans	$	659			816			904			1,174			692
Amortization expenses on acquired interest-bearing liabilities		—			—			—			—			—
Tax-equivalent net interest income		18,886			18,297			18,169			17,584			16,338
Pre-provision, pre-tax net income		7,660			8,469			8,685			7,222			5,712
Per Share Data
Dividends per share	$	0.22			0.22			0.22			0.22			0.22
Basic earnings per common share	$	0.31			0.40			0.49			0.41			0.33
Diluted earnings per common share	$	0.31			0.40			0.49			0.41			0.33
Book value per share	$	19.36			19.30			19.02			18.59			18.26
Tangible book value per share	$	12.55			12.45			12.15			11.69			11.34
Weighted average common shares outstanding:
Basic		14,125,191			14,106,778			14,097,414			14,085,764			14,051,310
Diluted		14,125,191			14,106,778			14,097,414			14,085,764			14,051,310
Shares outstanding at period end		14,245,849			14,193,577			14,186,204			14,175,241			14,166,915
Selected Financial Ratios
Return on average assets		0.80	%		1.01	%		1.21	%		1.04	%		0.81	%
Return on average equity		6.52	%		8.22	%		10.33	%		9.09	%		7.33	%
Return on average tangible common equity		10.06	%		12.78	%		16.29	%		14.54	%		11.91	%
Dividend payout ratio		70.97	%		55.00	%		44.90	%		53.66	%		66.67	%
Net interest margin (tax equivalent)		3.83	%		3.69	%		3.57	%		3.47	%		3.25	%
Efficiency ratio (tax equivalent)		67.35	%		64.39	%		63.44	%		68.18	%		73.33	%
Selected Balance Sheet Items
Cash and cash equivalents	$	29,181			21,614			35,865			49,778			37,670
Debt and equity securities		276,913			280,565			292,604			302,935			305,644
Loans:
Commercial and industrial	$	100,477			104,013			107,925			110,528			112,580
Commercial, secured by real estate		1,090,718			1,100,203			1,083,748			1,110,875			1,110,276
Residential real estate		476,863			469,574			454,918			459,473			463,379
Consumer		15,834			16,928			17,748			18,452			19,030
Agricultural		14,561			15,666			15,262			14,413			13,161
Other, including deposit overdrafts		273			210			267			171			133
Deferred net origination fees		(1,052	)		(1,063	)		(840	)		(902	)		(929	)
Loans, gross		1,697,674			1,705,531			1,679,028			1,713,010			1,717,630
Less allowance for credit losses		13,372			13,704			12,170			12,108			12,124
Loans, net	$	1,684,302			1,691,827			1,666,858			1,700,902			1,705,506
Loans held for sale	$	3,438			1,718			4,018			6,026			6,098

	Three Months Ended
	3/31/2026			12/31/2025			9/30/2025			6/30/2025			3/31/2025
Selected Balance Sheet Items, continued
Allowance for Credit Losses on Loans:
Allowance for credit losses, beginning of period	$	13,704			12,170			12,108			12,124			12,001
Provision for credit losses on loans		2,398			1,520			231			63			162
Losses charged off		(2,766	)		(67	)		(193	)		(95	)		(53	)
Recoveries		36			81			24			16			14
Allowance for credit losses, end of period	$	13,372			13,704			12,170			12,108			12,124
Total earning assets	$	1,986,777			1,993,785			1,983,606			2,034,540			2,038,666
Goodwill		90,310			90,310			90,310			90,310			90,310
Core deposit intangibles		6,705			6,931			7,161			7,408			7,708
Mortgage servicing rights		2,188			2,340			2,519			2,698			2,908
Other non-earning assets		151,856			147,403			160,769			172,844			163,153
Total non-earning assets		251,059			246,984			260,759			273,260			264,079
Total assets		2,237,836			2,240,769			2,244,365			2,307,800			2,302,745
Total deposits		1,838,793			1,840,355			1,849,082			1,919,372			1,921,649
Long-term debt		104,133			104,428			104,717			105,000			104,637
Total shareholders’ equity		275,816			273,929			269,870			263,474			258,651
Equity to assets ratio		12.33	%		12.22	%		12.02	%		11.42	%		11.23	%
Loans to deposits ratio		92.33	%		92.67	%		90.80	%		89.25	%		89.38	%
Tangible common equity (TCE)	$	178,801			176,689			172,399			165,756			160,633
Tangible common assets (TCA)		2,140,821			2,143,529			2,146,894			2,210,082			2,204,727
TCE/TCA		8.35	%		8.24	%		8.03	%		7.50	%		7.29	%
Selected Average Balance Sheet Items
Cash and cash equivalents	$	35,116			29,395			38,466			34,256			36,125
Debt and equity securities		278,950			285,810			298,341			302,475			304,033
Loans, including loans held for sale	$	1,707,948			1,675,449			1,706,281			1,718,959			1,721,894
Less allowance for credit losses on loans		12,812			12,186			12,099			12,117			11,996
Net loans	$	1,695,136			1,663,263			1,694,182			1,706,842			1,709,898
Total earning assets	$	2,000,595			1,968,188			2,017,294			2,031,261			2,036,514
Goodwill		90,310			90,310			90,310			90,310			90,310
Core deposit intangibles		6,816			7,043			7,275			7,555			7,854
Mortgage servicing rights		2,340			2,520			2,699			2,908			3,099
Other non-earning assets		153,437			153,528			159,328			158,251			160,281
Total non-earning assets		252,903			253,401			259,612			259,024			261,544
Total assets		2,253,498			2,221,589			2,276,906			2,290,285			2,298,058
Total deposits		1,846,345			1,822,412			1,884,748			1,906,305			1,896,443
Short-term borrowings		4,795			—			52			63			72
Long-term debt		104,376			104,664			104,951			104,701			127,289
Total shareholders’ equity		276,362			272,856			266,489			261,193			255,120
Equity to assets ratio		12.26	%		12.28	%		11.70	%		11.40	%		11.10	%
Loans to deposits ratio		92.50	%		91.94	%		90.53	%		90.17	%		90.80	%
Asset Quality
Net charge-offs (recoveries)	$	2,730			(14	)		169			79			39
Other real estate owned		—			—			—			—			—
Non-accrual loans	$	3,227			1,794			1,793			4,500			4,710
Loans past due 90 days or more and still accruing		136			530			163			271			181
Total nonperforming loans	$	3,363			2,324			1,956			4,771			4,891
Net charge-offs to average loans		0.65	%		0.00	%		0.04	%		0.02	%		0.01	%
Allowance for credit losses on loans to total loans		0.79	%		0.80	%		0.72	%		0.71	%		0.71	%
Nonperforming loans to total loans		0.20	%		0.14	%		0.12	%		0.28	%		0.28	%
Nonperforming assets to total assets		0.15	%		0.10	%		0.09	%		0.21	%		0.21	%

	Three Months Ended
	3/31/2026		12/31/2025		9/30/2025		6/30/2025		3/31/2025
Assets Under Management
LCNB Corp. total assets	$	2,237,836		2,240,769		2,244,365		2,307,800		2,302,745
Trust and investments (fair value)		1,081,558		1,053,887		1,041,270		990,699		957,359
Mortgage loans serviced		325,133		333,518		341,548		348,003		354,593
Cash management		39,979		10,935		73,002		62,737		100,830
Investment services (fair value)		491,890		504,123		494,947		466,299		441,621
Total assets managed	$	4,176,396		4,143,232		4,195,132		4,175,538		4,157,148

	Three Months Ended March 31,
	2026								2025
	Average			Interest		Average			Average			Interest		Average
	Outstanding			Earned/		Yield/			Outstanding			Earned/		Yield/
	Balance			Paid		Rate			Balance			Paid		Rate
Loans^(1)	$	1,707,948			23,433		5.56	%		1,721,894			23,181		5.46	%
Interest-bearing demand deposits		10,987			107		3.95	%		10,337			130		5.10	%
Interest-bearing time deposits		2,710			25		3.74	%		250			—		—	%
Federal Reserve Bank stock		6,405			94		5.95	%		6,405			95		6.02	%
Federal Home Loan Bank stock		20,710			392		7.68	%		20,710			469		9.18	%
Investment securities:
Equity securities		5,104			37		2.94	%		5,043			39		3.14	%
Debt securities, taxable		230,649			1,196		2.10	%		254,715			1,256		2.00	%
Debt securities, non-taxable ^(2)		16,082			185		4.67	%		17,160			185		4.37	%
Total earnings assets		2,000,595			25,469		5.16	%		2,036,514			25,355		5.05	%
Non-earning assets		265,726								273,545
Allowance for credit losses		(12,823	)							(12,001	)
Total assets	$	2,253,498								2,298,058
Interest-bearing demand and money market deposits	$	682,183			2,465		1.47	%		570,473			2,337		1.66	%
Savings deposits		356,622			207		0.24	%		365,876			195		0.22	%
IRA and time certificates		343,061			2,609		3.08	%		497,178			5,027		4.10	%
Short-term borrowings		4,795			46		3.89	%		72			1		5.63	%
Long-term debt		104,376			1,256		4.88	%		127,289			1,457		4.64	%
Total interest-bearing liabilities		1,491,037			6,583		1.79	%		1,560,888			9,017		2.34	%
Demand deposits		464,479								462,916
Other liabilities		21,620								19,134
Equity		276,362								255,120
Total liabilities and equity	$	2,253,498								2,298,058
Net interest rate spread ^(3)							3.37	%							2.71	%
Net interest income and net interest margin on a taxable-equivalent basis ^(4)					18,886		3.83	%					16,338		3.25	%
Ratio of interest-earning assets to interest-bearing liabilities		134.17	%							130.47	%

(1)	Includes non-accrual loans and loans held for sale
(2)	Income from tax-exempt securities is included in interest income on a taxable-equivalent basis. Interest income has been divided by a factor comprised of the complement of the incremental tax rate of 21%.
(3)	The net interest spread is the difference between the average rate on total interest-earning assets and interest-bearing liabilities.
(4)	The net interest margin is the taxable-equivalent net interest income divided by average interest-earning assets.

LCNB CORP. AND SUBSIDIARIES CONSOLIDATED CONDENSED BALANCE SHEETS (Unaudited, dollars in thousands)
	March 31, 2026			December 31, 2025
	Unaudited			Audited
ASSETS:
Cash and due from banks	$	23,141			18,353
Interest-bearing demand deposits		6,040			3,261
Total cash and cash equivalents		29,181			21,614
Interest-bearing time deposits		2,712			2,710
Investment securities:
Equity securities with a readily determinable fair value, at fair value		1,422			1,433
Equity securities without a readily determinable fair value, at cost		3,666			3,666
Debt securities, available-for-sale, at fair value		228,750			232,271
Debt securities, held-to-maturity, at cost, net of allowance for credit losses of $10 and $11 at March 31, 2026 and December 31, 2025, respectively		15,960			16,080
Federal Reserve Bank stock, at cost		6,405			6,405
Federal Home Loan Bank stock, at cost		20,710			20,710
Loans held-for-sale		3,438			1,718
Loans, net of allowance for credit losses of $13,372 and $13,704 at March 31, 2026 and December 31, 2025, respectively		1,684,302			1,691,827
Premises and equipment, net		38,965			39,196
Operating lease right-of-use assets		6,388			6,475
Goodwill		90,310			90,310
Core deposit and other intangibles, net		8,893			9,271
Bank-owned life insurance		55,783			55,424
Interest receivable		8,312			7,968
Other assets, net		32,639			33,691
TOTAL ASSETS	$	2,237,836			2,240,769
LIABILITIES:
Deposits:
Noninterest-bearing	$	469,767			466,094
Interest-bearing		1,369,026			1,374,261
Total deposits		1,838,793			1,840,355
Long-term debt		104,133			104,428
Operating lease liabilities		6,758			6,877
Accrued interest and other liabilities		12,336			15,180
TOTAL LIABILITIES		1,962,020			1,966,840
COMMITMENTS AND CONTINGENT LIABILITIES		—			—
SHAREHOLDERS' EQUITY:
Preferred shares – no par value, authorized 1,000,000 shares, none outstanding		—			—
Common shares – no par value; authorized 19,000,000 shares; issued 17,462,306 and 17,409,085 shares at March 31, 2026 and December 31, 2025, respectively; outstanding 14,245,849 and 14,193,577 shares at March 31, 2026 and December 31, 2025, respectively		188,620			188,212
Retained earnings		153,250			151,938
Treasury shares at cost, 3,216,457 and 3,215,508 shares at March 31, 2026 and December 31, 2025, respectively		(56,087	)		(56,071	)
Accumulated other comprehensive loss, net of taxes		(9,967	)		(10,150	)
TOTAL SHAREHOLDERS' EQUITY		275,816			273,929
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	2,237,836			2,240,769

LCNB CORP. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Dollars in thousands, except per share data) (Unaudited)
	Three Months Ended
	March 31,
	2026		2025
INTEREST INCOME:
Interest and fees on loans	$	23,433		23,181
Dividends on equity securities:
With a readily determinable fair value		11		10
Without a readily determinable fair value		26		29
Interest on debt securities:
Taxable		1,196		1,256
Non-taxable		146		146
Other investments		618		694
TOTAL INTEREST INCOME		25,430		25,316
INTEREST EXPENSE:
Interest on deposits		5,281		7,559
Interest on short-term borrowings		46		1
Interest on long-term debt		1,256		1,457
TOTAL INTEREST EXPENSE		6,583		9,017
NET INTEREST INCOME		18,847		16,299
PROVISION FOR CREDIT LOSSES		2,339		197
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES		16,508		16,102
NON-INTEREST INCOME:
Fiduciary income		2,539		2,164
Service charges and fees on deposit accounts		1,485		1,766
Bank-owned life insurance income		359		346
Net gains from sales of loans		200		841
Net other operating income		110		105
TOTAL NON-INTEREST INCOME		4,693		5,222
NON-INTEREST EXPENSE:
Salaries and employee benefits		9,467		9,172
Equipment expenses		392		382
Occupancy expense, net		1,021		1,010
State financial institutions tax		447		453
Marketing		294		315
Amortization of intangibles		225		297
FDIC insurance premiums, net		275		410
Computer maintenance and supplies		405		380
Contracted services		979		870
Other non-interest expense		2,375		2,520
TOTAL NON-INTEREST EXPENSE		15,880		15,809
INCOME BEFORE INCOME TAXES		5,321		5,515
PROVISION FOR INCOME TAXES		877		906
NET INCOME	$	4,444		4,609
Earnings per common share:
Basic		0.31		0.33
Diluted		0.31		0.33
Weighted average common shares outstanding:
Basic		14,125,191		14,051,310
Diluted		14,125,191		14,051,310