172 consecutive quarters of profitability
Net interest margin increased to 3.05% in the fourth quarter of 2025 from 3.00% in the third quarter of 2025 and 2.72% in the fourth quarter of 2024
Efficiency ratio of 57.11% in the fourth quarter of 2025, 55.0% excluding merger/core conversion costs (non-GAAP)
Customer deposit growth (excluding brokered CDs) was $151.0 million in 2025, or 3.6% growth
Nonperforming loans declined to $26.2 million in the fourth quarter 2025 from $35.3 million in third quarter 2025

Farmers National Banc Corp. ("Farmers" or the "Company") (NASDAQ:FMNB) today announced net income of $14.6 million, or $0.39 per diluted share, for the fourth quarter of 2025 compared to $14.4 million, or $0.38 per diluted share, for the fourth quarter of 2024. Net income for the fourth quarter of 2025 included $925,000 related to merger and core conversion costs and $143,000 in pretax losses for the sale of investment securities and other assets. Excluding these items (non-GAAP), net income for the fourth quarter of 2025 was $15.1 million, or $0.40 per diluted share.

Kevin J. Helmick, President and CEO, stated: "I am pleased with our performance for the fourth quarter and full year 2025, reflecting the ongoing strength of the Company's community banking platform. During the year, we added experienced team members, continued to invest in our platform, and remained focused on disciplined growth and prudent risk management. Most importantly, during the fourth quarter of 2025, we announced the merger with Middlefield Banc Corp., which we expect will close in the first quarter of 2026. I am excited about the direction we are headed and the opportunities ahead to create long-term value for our shareholders in 2026 and beyond."

Balance Sheet

Total assets increased to $5.25 billion in the fourth quarter of 2025 from $5.24 billion at September 30, 2025 and $5.12 billion at December 31, 2024. Loans declined to $3.30 billion at December 31, 2025 from $3.34 billion at September 30, 2025 but were up $36.4 million from $3.27 billion at December 31, 2024. The decrease from the prior quarter was primarily due to greater payoffs seen in this quarter outpacing originations in the commercial portfolio.

Securities available for sale totaled $1.34 billion at December 31, 2025 compared to $1.30 billion as of September 30, 2025, and $1.27 billion at December 31, 2024. The mark to market adjustment has improved by $62.4 million since the beginning of 2025 as the Fed has resumed cutting interest rates. The Company anticipates continued rate volatility in the bond market in 2026, which will continue to affect the value of the portfolio.

Total deposits declined to $4.34 billion at December 31, 2025, from $4.40 billion at September 30, 2025 but are up $76.0 million since December 31, 2024. During the fourth quarter of 2025, the Company saw seasonal runoff of public funds totaling $93.4 million. Excluding public funds, the fourth quarter of 2025 saw deposit growth of $35.6 million compared to the third quarter of 2025. For the full year of 2025, excluding brokered CDs, the Company experienced strong deposit growth of $151.0 million, or 3.6%.

Total stockholders' equity increased to $485.7 million at December 31, 2025, from $465.9 million at September 30, 2025, and $406.0 million at December 31, 2024. The increase was primarily due to an improvement in accumulated other comprehensive income along with increased retained earnings.

Credit Quality

Non-performing loans decreased from $35.3 million at September 30, 2025, to $26.2 million at December 31, 2025, but are up slightly from $22.8 million at December 31, 2024. A single loan relationship totaling $7.3 million that moved into nonaccrual during the third quarter of 2025 paid off during the fourth quarter of 2025. A charge-off of $2.5 million was recognized on the loan prior to the payoff. Nonperforming loans to total loans were 0.79% at December 31, 2025, 1.06% at September 30, 2025, and 0.70% at December 31, 2024. The Company's loans which were 30-89 days delinquent were $16.9 million at December 31, 2025, or 0.51% of total loans, compared to $16.1 million at September 30, 2025, and $13.0 million at December 31, 2024.

The provision for credit losses and unfunded commitments totaled $2.3 million for the fourth quarter of 2025 compared to $295,000 for the fourth quarter of 2024. The provision in the fourth quarter of 2025 was negatively impacted by the charge-off mentioned above. Annualized net charge-offs as a percentage of average loans were 0.59% for the fourth quarter of 2025, compared to 0.07% for the third quarter of 2025 and 0.08% for the fourth quarter of 2024. In addition to the $2.5 million charge-off discussed previously, the Company had an additional $2.0 million charge-off in the fourth quarter that aided in the workout of another troubled relationship. This $2.0 million figure had been specifically reserved in prior periods. The allowance for credit losses to total loans was 1.11% at December 31, 2025 compared to 1.18% at September 30, 2025, and 1.10% at December 31, 2024.

Net Interest Income

Net interest income was of $37.0 million in the fourth quarter of 2025, compared to $32.7 million in the fourth quarter of 2024. Average interest earning assets increased to $4.94 billion in the fourth quarter of 2025 compared to $4.91 billion in the fourth quarter of 2024. The increase was primarily driven by a $46.4 million increase in average loan balances offset by a decrease in fed funds sold. The net interest margin improved to 3.05% in the fourth quarter of 2025 compared to 3.00% in the third quarter of 2025 and 2.72% in the fourth quarter of 2024. The year-over-year increase in net interest margin was due to higher yields on earning assets and lower funding costs on interest bearing liabilities. The Federal Reserve rate cuts in the back half of 2024 and 2025 have benefitted funding costs, while the lag effects of assets repricing continued to drive earning asset yields higher. The yield on interest earning assets increased from 4.77% in the fourth quarter of 2024 to 4.87% in the fourth quarter of 2025, while the cost of interest-bearing liabilities declined from 2.72% in the fourth quarter of 2024 to 2.43% in the fourth quarter of 2025. With additional cuts to the federal funds rate expected in 2026, the Company expects its net interest margin will continue to expand into 2026 as the Company remains liability sensitive and will benefit from falling interest rates. Excluding acquisition marks and PPP interest, non-GAAP, the Company's net interest margin was 2.90% in the fourth quarter of 2025, 2.87% in the third quarter of 2025, and 2.56% in the fourth quarter of 2024.

Noninterest Income

Noninterest income increased to $12.1 million in the fourth quarter of 2025 from $11.4 million in the fourth quarter of 2024. The increase was driven by strong performance across multiple business lines. Bank owned life insurance (BOLI) income increased $278,000 during the fourth quarter of 2025 to $891,000 compared to $613,000 in the fourth quarter of 2024. The Company purchased an additional $15.0 million in policies during the first quarter of 2025 and policy crediting rates have increased over the last twelve months. Trust fees increased by $379,000 to $3.1 million in the fourth quarter of 2025 from $2.7 million in the fourth quarter of 2024. The Company continues to grow this line of business through deeper penetration in its acquired markets. Insurance agency commissions increased from $1.3 million in the fourth quarter of 2024 to $1.6 million in the fourth quarter of 2025. The Company received a one-time commission of $94,000 during the quarter and fixed annuity sales increased $174,000 as strong annuity activity continues. Retirement plan commissions increased to $1.0 million in the fourth quarter of 2025 from $719,000 in the fourth quarter of 2024 primarily due to the acquisition of Crest Retirement Advisors LLC in late December of 2024. Net gains on the sale of loans increased to $436,000 in the fourth quarter of 2025 from $282,000 in the fourth quarter of 2024 due to additional mortgage volume compared to the year ago period. Other mortgage banking income declined $179,000 in the fourth quarter of 2025 compared to the fourth quarter of 2024. This was primarily due to the Company incurring $58,000 mortgage servicing impairment in the fourth quarter of 2025. Debit card income declined $208,000 to $2.0 million in the fourth quarter of 2025 compared to the fourth quarter of 2024 primarily due to slightly lower commission income recognized from Mastercard in 2025 compared to 2024. Other noninterest income declined to $523,000 in the fourth quarter of 2025 compared to $856,000 in the fourth quarter of 2024 due to lower SBIC income.

Noninterest Expense

Noninterest expense increased to $29.1 million in the fourth quarter of 2025 from $26.2 million in the fourth quarter of 2024. Salaries and employee benefits increased to $15.4 million in the fourth quarter of 2025 from $14.4 million in the fourth quarter of 2024. The increase was primarily driven by annual raises, the acquisition of Crest Retirement in the fourth quarter of 2024 and higher commission expense from increased revenue in the fee-based businesses. Occupancy and equipment expense increased to $4.5 million in the fourth quarter of 2025 from $4.1 million in the fourth quarter of 2024 due to increased maintenance and software costs in 2025. Professional fees increased to $1.2 million in the fourth quarter of 2025 from $785,000 in the fourth quarter of 2024. Legal expenses were low in the fourth quarter of 2024 due to an accrual adjustment. Merger and core conversion expenses were $925,000 in the fourth quarter of 2025 compared to $92,000 in the fourth quarter of 2025. The Company announced the acquisition of Middlefield Banc Corp. in October of 2025 along with its intention to convert its core system to Jack Henry. The merger expense incurred in 2024 was related to the Company's acquisition of Crest Retirement Advisors LLC. Advertising and marketing expense was down $257,000 from the figure reported for the quarter ended December 31, 2024, primarily due to accrual reductions in the fourth quarter of 2024. Core processing expense increased to $1.4 million for the quarter ended December 31, 2025, from $1.2 million for the quarter ended December 31, 2024. The increase was due to annual increases and timing differences.

Liquidity

The Company had access to an additional $552.2 million in FHLB borrowing capacity at December 31, 2025, along with $498.5 million in available for sale securities that are available for pledging. The Company's loan to deposit ratio was 76.1% at December 31, 2025.

About Farmers National Banc Corp.

Founded in 1887, Farmers National Banc Corp. is a diversified financial services company headquartered in Canfield, Ohio, with $5.2 billion in banking assets. Farmers National Banc Corp.'s wholly-owned subsidiaries are comprised of The Farmers National Bank of Canfield, a full-service national bank engaged in commercial and retail banking with 62 banking locations in Mahoning, Trumbull, Columbiana, Portage, Stark, Wayne, Medina, Geauga and Cuyahoga Counties in Ohio and Beaver, Butler, Allegheny, Jefferson, Clarion, Venango, Clearfield, Mercer, Elk and Crawford Counties in Pennsylvania, and Farmers Trust Company, which operates trust offices and offers services in the same geographic markets. Total wealth management assets under care at December 31, 2025 are $4.7 billion. Farmers National Insurance, LLC, a wholly-owned subsidiary of The Farmers National Bank of Canfield, offers a variety of insurance products.

Non-GAAP Disclosure

This press release includes disclosures of Farmers' tangible common equity ratio, return on average tangible assets, return on average tangible equity, net income excluding costs related to acquisition activities and certain items, return on average assets excluding merger costs and certain items, return on average equity excluding merger costs and certain items, net interest margin excluding acquisition marks and related accretion and PPP interest and fees and efficiency ratio less certain items, which are financial measures not prepared in accordance with generally accepted accounting principles in the United States (GAAP). A non-GAAP financial measure is a numerical measure of historical or future financial performance, financial position or cash flows that excludes or includes amounts that are required to be disclosed by GAAP. Farmers believes that these non-GAAP financial measures provide both management and investors a more complete understanding of the underlying operational results and trends and Farmers' marketplace performance. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the numbers prepared in accordance with GAAP. The reconciliations of non-GAAP financial measures to their GAAP equivalents are included in the tables following Consolidated Financial Highlights below.

Cautionary Statements Regarding Forward-Looking Statements

We make statements in this news release and our related investor conference call, and we may from time to time make other statements, that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements about Farmers' financial condition, results of operations, asset quality trends and profitability. Forward-looking statements are not historical facts but instead represent only management's current expectations and forecasts regarding future events, many of which, by their nature, are inherently uncertain and outside of Farmers' control. Forward-looking statements are preceded by terms such as "expects," "believes," "anticipates," "intends" and similar expressions, as well as any statements related to future expectations of performance or conditional verbs, such as "will," "would," "should," "could" or "may." Farmers' actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Factors that could cause Farmers' actual results to differ materially from those described in certain forward-looking statements include significant changes in near-term local, regional, and U.S. economic conditions including those resulting from continued high rates of inflation, tightening monetary policy of the Board of Governors of the Federal Reserve, U.S. and foreign country tariff policies, and possibility of a recession; and the other factors contained in Farmers' Annual Report on Form 10-K for the year ended December 31, 2024 and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission (SEC) and available on Farmers' website (www.farmersbankgroup.com) and on the SEC's website (www.sec.gov). Forward-looking statements are not guarantees of future performance and should not be relied upon as representing management's views as of any subsequent date. Farmers does not undertake any obligation to update the forward-looking statements to reflect the impact of circumstances or events that may arise after the date of the forward-looking statements.

Important Additional Information

In connection with the proposed merger with Middlefield Banc Corp. ("Middlefield"), the Company has filed relevant materials with the SEC, including a Registration Statement on Form S-4 that contains a definitive joint proxy statement/prospectus of the Company and Middlefield (the "joint proxy statement/prospectus"). The Registration Statement was declared eﬀective on December 15, 2025 and the Company has filed or may file other documents regarding the proposed Merger with the SEC.

INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY CONTAIN AND THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY, MIDDLEFIELD, THE PROPOSED MERGER AND RELATED MATTERS THAT SHAREHOLDERS SHOULD CONSIDER BEFORE MAKING ANY DECISION REGARDING THE PROPOSED MERGER.

The joint proxy statement/prospectus has been mailed to Farmers' shareholders. The joint proxy statement/prospectus and other documents filed by the Company with the SEC are available free of charge from the SEC's website at www.sec.gov or through the Company's website at www.farmersbankgroup.com or Middlefield's website at www.middlefieldbank.bank. Before making any voting or investment decision, investors and shareholders of the Company are urged to read carefully the entire registration statement and definitive joint proxy statement/prospectus, including any amendments thereto, because they contain important information about the proposed transaction. This communication does not constitute an oﬀer to sell or the solicitation of an oﬀer to buy any securities or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which the oﬀer, solicitation or sale is unlawful before registration or qualification of the securities under the securities laws of the jurisdiction. No oﬀer of securities shall be made except by means of a prospectus satisfying the requirements of Section 10 of the Securities Act of 1933, as amended. This document is not a substitute for the joint proxy statement/prospectus or for any other document that the Company has filed or may file with the SEC in connection with the proposed Merger.

Participants in the Solicitation

The respective directors and executive officers of the Company and Middlefield and other persons may be deemed to be participants in the solicitation of proxies from the Company and Middlefield shareholders with respect to the Merger. Information regarding the directors of the Company is available in its proxy statement filed with the SEC on March 18, 2025 in connection with its 2025 Annual Meeting of Shareholders and information regarding the executive officers of the Company is available in its Form 10-K filed with the SEC on March 6, 2025. Information regarding the directors of Middlefield is available in its proxy statement filed with the SEC on April 4, 2025 in connection with its 2025 Annual Meeting of Shareholders and information regarding the executive officers of Middlefield is available in its Form 10-K filed with the SEC on March 13, 2025. Other information regarding the participants in the solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement and prospectus to be included in the Registration Statement on Form S-4 and other relevant materials to be filed with the SEC when they become available.

Farmers National Banc Corp. and Subsidiaries
Consolidated Financial Highlights
(Amounts in thousands, except per share results) Unaudited


Consolidated Statements of Income	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,			Percent
		2025			2025			2025			2025			2024			2025			2024		Change
Total interest income	$	59,418		$	59,366		$	57,702		$	57,305		$	57,909		$	233,792		$	227,732		2.7	%
Total interest expense		22,398			23,059			22,781			23,110			25,170			91,348			99,364		-8.1	%
Net interest income		37,020			36,307			34,921			34,195			32,739			142,444			128,368		11.0	%
Provision (credit) for credit losses		2,306			1,419			3,548			(204	)		295			7,069			7,966		-11.3	%
Noninterest income		12,098			11,430			12,122			10,481			11,413			46,130			41,716		10.6	%
System conversion / Acquisition related costs		925			3,123			0			0			92			4,048			92		0.0	%
Other expense		28,153			28,556			27,175			28,526			26,082			112,411			106,599		5.5	%
Income before income taxes		17,734			14,639			16,320			16,354			17,683			65,046			55,427		17.4	%
Income taxes		3,096			2,178			2,410			2,776			3,292			10,460			9,478		10.4	%
Net income	$	14,638		$	12,461		$	13,910		$	13,578		$	14,391		$	54,586		$	45,949		18.8	%

Average diluted shares outstanding		37,705			37,677			37,622			37,626			37,616			37,633			37,512
Basic earnings per share		0.39			0.33			0.37			0.36			0.38			1.46			1.23
Diluted earnings per share		0.39			0.33			0.37			0.36			0.38			1.45			1.22
Cash dividends per share		0.17			0.17			0.17			0.17			0.17			0.68			0.68
Performance Ratios
Net Interest Margin (Annualized)		3.05	%		3.00	%		2.91	%		2.85	%		2.72	%		2.95	%		2.69	%
Efficiency Ratio (Tax equivalent basis)		57.11	%		62.66	%		56.66	%		59.60	%		56.42	%		59.02	%		59.26	%
Efficiency Ratio (Tax equivalent basis) excluding core conversion, acquisition costs and other extraordinary items (b)		55.00	%		56.43	%		55.66	%		59.57	%		56.10	%		56.63	%		59.19	%
Return on Average Assets (Annualized)		1.12	%		0.96	%		1.08	%		1.06	%		1.12	%		1.06	%		0.90	%
Return on Average Equity (Annualized)		12.17	%		11.26	%		13.08	%		13.12	%		13.43	%		12.38	%		11.28	%
Other Performance Ratios (Non-GAAP)
Return on Average Tangible Assets		1.16	%		1.00	%		1.13	%		1.10	%		1.16	%		1.10	%		0.94	%
Return on Average Tangible Equity		19.90	%		19.46	%		23.37	%		24.02	%		23.95	%		21.48	%		21.05	%

Consolidated Statements of Financial Condition
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,
		2025			2025			2025			2025			2024
Assets
Cash and cash equivalents	$	92,357		$	92,345		$	90,740		$	113,256		$	85,738
Debt securities available for sale		1,343,457			1,301,766			1,274,899			1,281,413			1,266,553
Other investments		45,397			44,245			42,410			40,334			45,405

Loans held for sale		1,516			4,975			2,174			2,973			5,005
Loans		3,304,713			3,337,780			3,303,359			3,251,391			3,268,346
Less allowance for credit losses		36,811			39,528			38,563			35,549			35,863
Net Loans		3,267,902			3,298,252			3,264,796			3,215,842			3,232,483

Other assets		495,241			493,992			503,409			503,222			483,740
Total Assets	$	5,245,870		$	5,235,575		$	5,178,428		$	5,157,040		$	5,118,924

Liabilities and Stockholders' Equity
Deposits
Noninterest-bearing	$	994,122		$	994,604		$	995,865		$	979,142		$	965,507
Interest-bearing		3,348,656			3,405,911			3,325,564			3,342,182			3,226,321
Brokered time deposits		0			0			74,988			159,964			74,951
Total deposits		4,342,778			4,400,515			4,396,417			4,481,288			4,266,779
Other interest-bearing liabilities		367,733			321,581			289,428			188,275			391,150
Other liabilities		49,634			47,530			54,835			58,343			54,967
Total liabilities		4,760,145			4,769,626			4,740,680			4,727,906			4,712,896
Stockholders' Equity		485,725			465,949			437,748			429,134			406,028
Total Liabilities
and Stockholders' Equity	$	5,245,870		$	5,235,575		$	5,178,428		$	5,157,040		$	5,118,924

Period-end shares outstanding		37,653			37,647			37,642			37,615			37,586
Book value per share	$	12.90		$	12.38		$	11.63		$	11.41		$	10.80
Tangible book value per share (Non-GAAP)*		7.98			7.44			6.67			6.42			5.80

* Tangible book value per share is calculated by dividing tangible common equity by outstanding shares

	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,		Dec. 31,
Capital and Liquidity		2025			2025			2025			2025			2024		2025		2024
Common Equity Tier 1 Capital Ratio (a)		11.94	%		11.62	%		11.56	%		11.44	%		11.14	%
Total Risk Based Capital Ratio (a)		15.32	%		15.08	%		15.04	%		14.87	%		14.55	%
Tier 1 Risk Based Capital Ratio (a)		12.42	%		12.10	%		12.05	%		11.92	%		11.62	%
Tier 1 Leverage Ratio (a)		8.92	%		8.75	%		8.67	%		8.52	%		8.36	%
Equity to Asset Ratio		9.26	%		8.90	%		8.45	%		8.32	%		7.93	%
Tangible Common Equity Ratio (b)		5.94	%		5.54	%		5.03	%		4.86	%		4.42	%
Net Loans to Assets		62.29	%		63.00	%		63.05	%		62.36	%		63.15	%
Loans to Deposits		76.10	%		75.85	%		75.14	%		72.55	%		76.60	%
Asset Quality
Non-performing loans	$	26,215		$	35,344		$	27,819		$	20,724		$	22,818
Non-performing assets		26,370			35,519			28,052			20,902			22,903
Loans 30 - 89 days delinquent		16,947			16,083			17,727			11,192			13,032
Charged-off loans		5,192			869			748			698			928		7,507		7,987
Recoveries		295			333			176			362			293		1,166		1,166
Net Charge-offs		4,897			536			572			336			635		6,341		6,821
Annualized Net Charge-offs to Average Net Loans		0.59	%		0.07	%		0.07	%		0.04	%		0.08	%	0.19	%	0.21	%
Allowance for Credit Losses to Total Loans		1.11	%		1.18	%		1.17	%		1.09	%		1.10	%
Non-performing Loans to Total Loans		0.79	%		1.06	%		0.84	%		0.64	%		0.70	%
Loans 30 - 89 Days Delinquent to Total Loans		0.51	%		0.48	%		0.54	%		0.34	%		0.40	%
Allowance to Non-performing Loans		140.42	%		111.84	%		138.62	%		171.54	%		157.17	%
Non-performing Assets to Total Assets		0.50	%		0.68	%		0.54	%		0.41	%		0.45	%

(a) September 30, 2025 ratio is estimated
(b) This is a non-GAAP financial measure. A reconciliation to GAAP is shown below

	For the Three Months Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,
End of Period Loan Balances		2025			2025			2025			2025			2024
Commercial real estate	$	1,398,116		$	1,428,583		$	1,385,162		$	1,370,661		$	1,382,714
Commercial		340,224			351,213			363,009			336,600			349,966
Residential real estate		850,300			850,112			849,443			846,639			845,081
HELOC		181,544			176,609			171,312			161,991			158,014
Consumer		257,795			251,557			253,363			257,310			259,954
Agricultural loans		265,565			269,025			270,599			267,737			262,392
Total, excluding net deferred loan costs	$	3,293,544		$	3,327,099		$	3,292,888		$	3,240,938		$	3,258,121


	For the Three Months Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,
End of Period Customer Deposit Balances		2025			2025			2025			2025			2024
Noninterest-bearing demand	$	994,122		$	994,604		$	995,866		$	979,142		$	965,507
Interest-bearing demand		1,377,520			1,443,422			1,388,596			1,468,424			1,366,255
Money market		795,631			761,788			748,770			718,083			682,558
Savings		408,743			410,165			416,795			416,162			414,796
Certificate of deposit		766,762			790,536			771,403			739,512			762,712
Total customer deposits	$	4,342,778		$	4,400,515		$	4,321,430		$	4,321,323		$	4,191,828

Memo: Public funds included in above numbers	$	773,896		$	867,253		$	801,561		$	873,200		$	766,853

	For the Three Months Ended													For the Year Ended
	Dec. 31,			Sept. 30,			June 30,		March 31,			Dec. 31,		Dec. 31,			Dec. 31,
Noninterest Income		2025			2025			2025		2025			2024		2025			2024
Service charges on deposit accounts	$	1,831		$	1,874		$	1,749	$	1,758		$	1,890	$	7,212		$	7,311
Bank owned life insurance income, including death benefits		891			852			832		810			613		3,385			2,659
Trust fees		3,079			2,745			2,596		2,641			2,700		11,061			10,099
Insurance agency commissions		1,567			1,395			1,828		1,741			1,273		6,531			5,472
Security gains (losses), including fair value changes for equity securities		(7	)		(927	)		36		(1,313	)		10		(2,211	)		(2,638	)
Retirement plan consulting fees		1,009			1,060			783		798			719		3,650			2,637
Investment commissions		706			658			721		529			621		2,614			2,007
Net gains on sale of loans		436			559			329		326			282		1,650			1,502
Other mortgage banking fee income (loss), net		106			192			27		147			285		472			435
Debit card and EFT fees		1,956			2,068			2,017		1,866			2,164		7,907			7,484
Other noninterest income		523			954			1,204		1,178			856		3,859			4,748
Total Noninterest Income	$	12,097		$	11,430		$	12,122	$	10,481		$	11,413	$	46,130		$	41,716


	For the Three Months Ended													For the Year Ended
	Dec. 31,			Sept. 30,			June 30,		March 31,			Dec. 31,		Dec. 31,			Dec. 31,
Noninterest Expense		2025			2025			2025		2025			2024		2025			2024
Salaries and employee benefits	$	15,397		$	15,992		$	14,722	$	16,166		$	14,424	$	62,277		$	58,925
Occupancy and equipment		4,456			4,370			4,119		4,138			4,075		17,083			15,588
FDIC insurance and state and local taxes		925			1,212			1,262		1,262			1,019		4,661			5,029
Professional fees		1,179			990			1,026		1,196			785		4,391			4,317
System conversion / Merger related costs		925			3,123			0		0			92		4,048			92
Advertising		449			466			454		456			192		1,825			1,503
Intangible amortization		711			718			735		735			914		2,899			2,861
Core processing charges		1,391			1,412			1,401		1,397			1,202		5,601			4,622
Other noninterest expenses		3,646			3,396			3,456		3,176			3,471		13,674			13,754
Total Noninterest Expense	$	29,079		$	31,679		$	27,175	$	28,526		$	26,174	$	116,459		$	106,691

Average Balance Sheets and Related Yields and Rates
(Dollar Amounts in Thousands)

	Three Months Ended						Three Months Ended
	December 31, 2025						December 31, 2024
	AVERAGE				YIELD/		AVERAGE				YIELD/
	BALANCE		INTEREST (1)		RATE (1)		BALANCE		INTEREST (1)		RATE (1)
EARNING ASSETS
Loans (2)	$	3,317,263	$	48,750	5.88	%	$	3,270,825	$	47,286	5.78	%
Taxable securities		1,149,570		7,546	2.63			1,119,391		6,850	2.45
Tax-exempt securities (2)		361,284		2,891	3.20			379,342		2,991	3.15
Other investments		41,956		467	4.45			38,855		420	4.32
Federal funds sold and other		66,943		397	2.37			104,289		987	3.79
Total earning assets		4,937,016		60,051	4.87			4,912,702		58,534	4.77
Nonearning assets		288,481						247,199
Total assets	$	5,225,497					$	5,159,901
INTEREST-BEARING LIABILITIES
Time deposits	$	773,558	$	6,657	3.44	%	$	765,674	$	7,463	3.90	%
Brokered time deposits		0		0	0.00			74,941		822	4.39
Savings deposits		1,195,948		4,718	1.58			1,091,547		4,056	1.49
Demand deposits - interest bearing		1,433,266		8,074	2.25			1,419,048		8,731	2.46
Total interest-bearing deposits		3,402,772		19,449	2.29			3,351,210		21,072	2.52

Short term borrowings		191,054		1,957	4.10			260,369		3,105	4.77
Long term borrowings		86,659		992	4.58			86,096		993	4.61
Total borrowed funds		277,713		2,949	4.25			346,465		4,098	4.73

Total interest-bearing liabilities		3,680,485		22,398	2.43			3,697,675		25,170	2.72

NONINTEREST-BEARING LIABILITIES AND STOCKHOLDERS' EQUITY
Demand deposits - noninterest bearing		1,014,374						973,788
Other liabilities		49,577						59,792
Stockholders' equity		481,061						428,646
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY	$	5,225,497					$	5,159,901
Net interest income and interest rate spread			$	37,653	2.44	%			$	33,364	2.05	%
Net interest margin					3.05	%					2.72	%

(1) Interest and yields are calculated on a tax-equivalent basis where applicable.
(2) For 2025, adjustments of $110,000 and $523,000, respectively, were made to tax equate income on tax exempt loans and tax exempt securities. For 2024, adjustments of $71,000 and $536,000, respectively, were made to tax equate income on tax exempt loans and tax exempt securities. These adjustments were based on a marginal federal income tax rate of 21%, less disallowances.

	For the Year Ended						For the Year Ended
	December 31, 2025						December 31, 2024
	AVERAGE				YIELD/		AVERAGE				YIELD/
	BALANCE		INTEREST (1)		RATE (1)		BALANCE		INTEREST (1)		RATE (1)
EARNING ASSETS
Loans (2)	$	3,291,482	$	191,433	5.82	%	$	3,227,384	$	186,032	5.76	%
Taxable securities		1,140,462		29,491	2.59			1,110,905		26,838	2.42
Tax-exempt securities (2)		366,464		11,676	3.19			386,643		12,165	3.15
Other investments		41,809		1,930	4.62			35,402		1,450	4.10
Federal funds sold and other		69,534		1,802	2.59			96,288		3,727	3.87
Total earning assets		4,909,751		236,332	4.81			4,856,622		230,212	4.74
Nonearning assets		254,563						234,297
Total assets	$	5,164,314					$	5,090,919
INTEREST-BEARING LIABILITIES
Time deposits	$	753,803	$	26,699	3.54	%	$	745,945	$	29,329	3.93	%
Brokered time deposits		71,529		3,112	4.35			25,389		1,108	4.36
Savings deposits		1,158,663		17,578	1.52			1,095,470		16,144	1.47
Demand deposits - interest bearing		1,427,654		32,389	2.27			1,396,193		34,588	2.48
Total interest-bearing deposits		3,411,649		79,778	2.34			3,262,997		81,169	2.49

Short term borrowings		174,170		7,591	4.36			293,488		14,105	4.81
Long term borrowings		86,433		3,979	4.60			87,749		4,090	4.66
Total borrowed funds		260,603		11,570	4.44			381,237		18,195	4.77

Total interest-bearing liabilities		3,672,252		91,348	2.49			3,644,234		99,364	2.73

NONINTEREST-BEARING LIABILITIES
AND STOCKHOLDERS' EQUITY
Demand deposits - noninterest bearing	$	998,255						981,115
Other liabilities		52,896						58,134
Stockholders' equity		440,911						407,436
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY	$	5,164,314					$	5,090,919
Net interest income and interest rate spread			$	144,984	2.32	%			$	130,848	2.01	%
Net interest margin					2.95	%					2.69	%

(1) Interest and yields are calculated on a tax-equivalent basis where applicable.
(2) For 2025, adjustments of $322,000 and $1.6 million, respectively, were made to tax equate income on tax exempt loans and tax exempt securities. For 2024, adjustments of $228,000 and $1.6 million, respectively, were made to tax equate income on tax exempt loans and tax exempt securities. These adjustments were based on a marginal federal income tax rate of 21%, less disallowances.

Reconciliation of Total Assets to Tangible Assets	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,
		2025			2025			2025			2025			2024			2025			2024
Total Assets	$	5,245,870		$	5,235,575		$	5,178,428		$	5,157,040		$	5,118,924		$	5,245,870		$	5,118,924
Less Goodwill and other intangibles		185,301			186,013			186,731			187,466			188,200			185,301			188,200
Tangible Assets	$	5,060,569		$	5,049,562		$	4,991,697		$	4,969,574		$	4,930,724		$	5,060,569		$	4,930,724
Average Assets		5,225,497			5,178,998			5,132,661			5,118,767			5,159,901			5,164,314			5,090,919
Less average Goodwill and other intangibles		186,844			186,479			187,209			187,947			188,256			186,844			189,105
Average Tangible Assets	$	5,038,653		$	4,992,519		$	4,945,452		$	4,930,820		$	4,971,645		$	4,977,470		$	4,901,814


Reconciliation of Common Stockholders' Equity to Tangible Common Equity	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,
		2025			2025			2025			2025			2024			2025			2024
Stockholders' Equity	$	485,725		$	465,949		$	437,748		$	429,134		$	406,028		$	485,725		$	406,028
Less Goodwill and other intangibles		185,301			186,013			186,731			187,466			188,200			185,301			188,200
Tangible Common Equity	$	300,424		$	279,936		$	251,017		$	241,668		$	217,828		$	300,424		$	217,828
Average Stockholders' Equity		481,061			442,556			425,249			414,021			428,646			440,911			407,436
Less average Goodwill and other intangibles		186,844			186,479			187,209			187,947			188,256			186,844			189,105
Average Tangible Common Equity	$	294,217		$	256,077		$	238,040		$	226,074		$	240,390		$	254,067		$	218,331


Reconciliation of Net Income, Less Merger and Certain Items	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,
		2025			2025			2025			2025			2024			2025			2024
Net income	$	14,638		$	12,461		$	13,910		$	13,578		$	14,391		$	54,586		$	45,949
System conversion / Acquisition related costs - after tax		398			2,467			0			0			82			2,666			82
Net loss (gain) on asset/security sales - after tax		113			760			(137	)		1,056			70			1,793			2,120
Net income - Adjusted	$	15,149		$	15,688		$	13,773		$	14,634		$	14,543		$	59,045		$	48,151
Diluted EPS excluding merger and certain items	$	0.40		$	0.42		$	0.37		$	0.39		$	0.39		$	1.57		$	1.28
Return on Average Assets excluding system conversion, merger and certain items (Annualized)		1.16	%		1.21	%		1.07	%		1.14	%		1.13	%		1.14	%		0.95	%
Return on Average Equity excluding system conversion, merger and certain items (Annualized)		12.60	%		14.18	%		12.96	%		14.14	%		13.57	%		13.39	%		11.82	%
Return on Average Tangible Equity excluding system conversion, merger costs and certain items (Annualized)		20.60	%		24.51	%		23.14	%		25.89	%		24.20	%		23.24	%		22.05	%


Efficiency ratio excluding certain items	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,
		2025			2025			2025			2025			2024			2025			2024
Net interest income, tax equated	$	37,653		$	36,940		$	35,554		$	34,837		$	33,364		$	144,984		$	130,848
Noninterest income		12,097			11,430			12,122			10,481			11,413			46,130			41,716
Net loss (gain) on asset/security sales		143			962			(173	)		1,337			89			2,269			2,684
Net interest income and noninterest income adjusted		49,893			49,332			47,503			46,655			44,866			193,383			175,248
Noninterest expense less intangible amortization		28,368			30,961			26,440			27,791			25,260			113,560			103,830
System conversion / Acquisition related costs		925			3,123			0			0			92			4,048			92
Noninterest expense adjusted		27,443			27,838			26,440			27,791			25,168			109,512			103,738
Efficiency ratio excluding certain items		55.00	%		56.43	%		55.66	%		59.57	%		56.10	%		56.63	%		59.19	%


Net interest margin excluding acquisition marks and PPP interest and fees	For the Three Months Ended															For the Year Ended
	Dec. 31,			Sept. 30,			June 30,			March 31,			Dec. 31,			Dec. 31,			Dec. 31,
		2025			2025			2025			2025			2024			2025			2024
Net interest income, tax equated	$	37,653		$	36,940		$	35,554		$	34,837		$	33,364		$	144,984		$	130,848
Acquisition marks		1,894			1,677			1,731			2,151			1,953			7,453			8,837
PPP interest and fees		0			0			0			0			0			2			2
Adjusted and annualized net interest income		143,036			141,052			135,292			130,744			125,644			137,529			122,009
Average earning assets		4,937,016			4,922,275			4,886,771			4,892,311			4,912,702			4,909,751			4,856,622
Less PPP average balances		87			89			95			105			112			95			153
Adjusted average earning assets		4,936,929			4,922,186			4,886,676			4,892,206			4,912,590			4,909,656			4,856,469
Net interest margin excluding marks and PPP interest and fees		2.90	%		2.87	%		2.77	%		2.67	%		2.56	%		2.80	%		2.51	%

View source version on businesswire.com: https://www.businesswire.com/news/home/20260127011270/en/

Farmers National Banc Corp.

Kevin J. Helmick, President and CEO

20 South Broad Street, P.O. Box 555

Canfield, OH 44406

330.533.3341

Email: exec@farmersbankgroup.com

Farmers National Banc Corp. Announces Earnings for Fourth Quarter of 2025