NASDAQ$FMNB

Farmers National Banc Corp · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported a decrease in net income due to a commercial credit charge-off, but experienced strong loan and deposit growth.

Farmers National Banc Corp. reported a net income of $8.5 million, or $0.23 per diluted share, for Q3 2024. This is a decrease compared to Q3 2023, which had a net income of $13.3 million, or $0.36 per diluted share. The results were impacted by a $12.5 million commercial credit, which led to a $4.4 million charge-off and a $1.2 million specific reserve.

  • Net income was $8.5 million, or $0.23 per diluted share, for the quarter ended September 30, 2024.
  • Commercial loan growth was strong at $35.2 million, or 7.2% annualized.
  • Overall loan growth reached $43.1 million, or 5.3% annualized.
  • Customer deposits grew by $81.1 million, or 7.7% annualized.

Headline financials

Total Revenue

$44.2M

Previous: $43.6M+1.4%
EPS (adj)

$0.23

Previous: $0.40-42.5%
Capital Expenditures

-$3.47M

Previous: -$1.98M-75.4%
Free Cash Flow

$8.54M

Previous: $13.3M-35.9%
Net Income

$8.54M

Previous: $13.3M-35.9%
Operating Income

$6.86M

Previous: $17.1M-59.9%
Gross Profit

$37.2M

Previous: $43.4M-14.2%
Cash & Equivalents

$21.1M

Previous: $25.3M-16.5%
Total Assets

$5.24B

Previous: $4.97B+5.3%
Stock-Based Comp

$668K

Previous: $744K-10.2%

Revenue & EPS history

Farmers National · Revenue · Quarterly

$44.2M

Q3 2024+1.4%vs Q3 2023
Beat estimate in 7 of 14 quarters(50%)
ActualEstimate

Forward guidance

Farmers National Banc Corp. anticipates total loans to increase by approximately 2.8% - 3.0% for 2024.

Tailwinds

  • Company anticipates total loans to increase by approximately 2.8% - 3.0% for 2024.
  • Company remains committed to maintaining solid asset quality.
  • Company remains committed to prudent pricing standards.
  • These factors are expected to contribute to higher overall profitability.
  • Federal Reserve’s 50 basis point cut in the fed funds rate at the end of September 2024 will have a positive impact on the Company’s net interest margin in the fourth quarter of 2024.

Headwinds

  • Net income in the third quarter of 2024 was impacted by a single $12.5 million commercial credit backed by office space.
  • This resulted in a $4.4 million charge-off along with the establishment of a specific reserve on the credit in the amount of $1.2 million.
  • The impact of this credit reduced third quarter results by $0.12 per diluted share.
  • Company still expects bond market volatility to continue for the remainder of 2024 and into 2025.
  • The year-over-year decline in net interest margin was due to higher funding costs outstripping the increase in yields on earning assets.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-0.0%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+1.8%

Avg return

30 days after

50%

33 / 66 earnings

Positive

+8.6%

Q2 2024

Best reaction

-9.3%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%+3.3%+3.1%
Q4 2025-6.2%-4.2%-4.9%
Q3 2025-4.7%-3.7%-4.6%
Q2 2025-1.0%-2.6%+1.7%
Q1 2025+2.7%+5.1%+13.2%
Q4 2024+2.6%+0.1%+5.7%
Q3 2024-7.1%-5.4%+5.8%
Q2 2024+8.6%+4.9%+2.5%
Q1 2024-3.7%-5.1%-2.1%
Q4 2023+3.9%+4.0%+0.0%
Q3 2023+4.1%+5.0%+18.5%
Q2 2023-1.4%-0.6%-8.7%
Q1 2023+3.4%+8.2%+10.1%
Q4 2022-8.2%-4.0%-0.3%
Q3 2022-2.5%-0.1%+10.4%
Q2 2022-9.3%-8.4%-7.0%
Q1 2022-1.2%-0.4%-0.4%
Q4 2021-3.8%-4.5%-5.1%
Q3 2021+4.6%-0.7%-1.9%
Q2 2021-0.8%-0.3%+3.6%
Q1 2021+2.2%+0.0%+5.7%
Q4 2020+3.3%+3.1%+3.7%
Q3 2020+1.5%-4.4%+12.2%
Q2 2020-0.5%-0.3%+5.3%
Q1 2020-3.1%-13.2%-5.2%
Q4 2019+1.1%+1.1%-5.2%
Q3 2019-1.0%-0.5%+2.2%
Q2 2019-0.6%+0.8%-7.7%
Q1 2019+2.0%+4.8%+2.6%
Q4 2018+0.2%+3.7%+15.1%
Q3 2018-0.1%-4.9%-3.5%
Q2 2018+1.2%+3.4%-2.5%
Q1 2018+2.4%+3.8%+9.3%
Q4 2017-2.3%-8.8%-8.2%
Q3 2017+2.3%-5.5%-8.1%
Q2 2017-4.7%-6.8%-8.8%
Q1 2017+3.8%+6.4%+2.3%
Q4 2016+1.5%-8.6%+4.1%
Q3 2016+1.0%+0.9%+12.3%
Q2 2016+2.8%+9.4%+7.9%
Q1 2016-0.1%
Q4 2015-0.1%
Q3 2015+0.0%
Q2 2015+1.1%
Q1 2015-1.9%
Q4 2014+0.3%
Q3 2014-1.1%
Q2 2014+1.4%
Q1 2014-1.7%
Q4 2013+3.9%
Q3 2013-0.3%
Q2 2013+1.0%
Q1 2013-2.1%
Q4 2011+0.0%
Q4 2012+2.1%
Q3 2012+0.0%
Q2 2012-4.1%
Q1 2012-1.2%
Q4 2009+1.9%
Q3 2011+1.9%
Q4 2010+0.9%
Q2 2011+0.9%
Q1 2011+1.0%
Q3 2010+1.4%
Q2 2010+0.0%
Q1 2010+0.2%

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