CB Financial Services (CBFV) investor relations material

Executive summary

• Core net income for Q1 2026 was $3.9 million, up from $1.91 million in Q1 2025, with core pre-provision net revenue of $4.8 million and adjusted net income at $3.85 million, reflecting strong core earnings growth.

• Net interest margin increased to 3.83%, driven by lower cost of funds and growth in Specialty Treasury deposits.

• Total assets reached $1.58 billion, a $35.6 million increase from year-end 2025, supported by robust deposit growth and balance sheet repositioning.

• Continued focus on technology upgrades, talent acquisition, and process optimization to enhance client experience and efficiency.

• Quarterly cash dividend of $0.28 per share declared, payable May 29, 2026.

Financial highlights

• Total loans were $1.15 billion, down 0.4% from Q4 2025, mainly due to discontinued indirect auto loans; excluding these, loans grew 0.1%.

• Deposits rose 2.7% to $1.38 billion, with $39.7 million growth in core (non-time) deposits, primarily from Specialty Treasury division.

• Net interest and dividend income rose 22.6% year-over-year to $13.9 million.

• Noninterest income grew 22.2% to $962,000, mainly from higher service fees and securities gains.

• Noninterest expense increased 2.1% to $10.0 million, driven by investments in technology and higher employee benefits.

Outlook and guidance

• Ongoing investments in technology and talent are expected to drive further deposit and revenue growth.

• Management remains vigilant regarding inflation, interest rate volatility, and regulatory changes, with a focus on cost control and risk management.

• Specialty Treasury and mortgage lending initiatives are expected to drive sustainable revenue and deposit growth.

• Strong liquidity and capital positions provide flexibility to navigate macroeconomic uncertainties.