ITHACA, Mich., Jan. 22, 2026 (GLOBE NEWSWIRE) -- Commercial National Financial Corporation (OTCID: CEFC) reported net income for the fourth quarter of 2025 of $1,784,000 or $0.45 per share compared to fourth quarter 2024 net income of $1,882,000 or $0.47 per share. Return on Equity was 12.64% for the fourth quarter of 2025 compared to 14.73% for the fourth quarter of 2024.
Net interest income for the fourth quarter of 2025 increased by $320,000 or 6.5% compared to the respective 2024 period. Interest income decreased by $196,000, mainly due to a decrease in loans. Interest expense decreased by $516,000, mainly due to a decrease in funding costs. Non-interest income decreased by $218,000, while operating expenses increased by $150,000, which was mainly due to higher wages and benefits expense.
Total assets were $554 million as of December 31, 2025 compared to $567 million as of December 31, 2024. Total deposits decreased by $27 million, which consisted of a decrease of $15 million in core deposits and $12 million in brokered deposits, which were replaced with borrowings from the Federal Home Loan Bank. While total loans decreased by $24 million or 6.1% due to the high interest rate environment and early loan payoffs, loan quality remained strong with a non-performing assets ratio of 0.17%. Additionally, CEFC's wholly owned subsidiary, Commercial Bank, remains "well capitalized" for regulatory purposes.
Visit www.commercial-bank.com to view the latest news releases and other information about CEFC and Commercial Bank.
Selected Financial Data (unaudited):
Quarter Ended
Year to Date
Dec 31, 2025
Dec 31, 2024
Dec 31, 2025
Dec 31, 2024
Return on Equity
12.64
%
14.73
%
12.44
%
12.04
%
Return on Assets
1.28
%
1.31
%
1.19
%
1.02
%
Net Interest Margin
4.04
%
3.66
%
3.87
%
3.44
%
Dec 31, 2025
Dec 31, 2024
Non-Performing Assets Ratio
0.17
%
0.28
%
Tier 1 Leverage Capital Ratio(1)
10.88
%
10.32
%
Total Risk-Based Capital Ratio(1)
18.30
%
16.99
%
Book Value Per Share
$
14.30
$
12.74
Market Value Per Share
$
13.65
$
9.85
(1) Ratios are for Commercial Bank
Consolidated Statements of Income (unaudited):
Quarter Ended
Year to Date
Dec 31, 2025
Dec 31, 2024
Dec 31, 2025
Dec 31, 2024
Interest Income
$
6,496,798
$
6,692,617
$
26,081,644
$
26,762,188
Interest Expense
1,248,928
1,764,560
5,879,214
8,087,045
Net Interest Income
5,247,870
4,928,057
20,202,430
18,675,143
Provision for credit losses
(19,303
)
(55,008
)
(75,757
)
(93,980
)
Non-interest income
489,029
706,790
2,068,511
2,407,386
Operating Expenses
3,583,029
3,433,219
14,292,180
14,102,164
Income before taxes
2,173,173
2,256,636
8,054,518
7,074,345
Income tax expense
389,294
374,998
1,443,269
1,211,078
Net Income
$
1,783,879
$
1,881,638
$
6,611,249
$
5,863,267
Net Income per share - diluted
$
0.45
$
0.47
$
1.67
$
1.48
Dividends declared
$
0.14
$
0.14
$
0.56
$
0.56
Consolidated Balance Sheets (unaudited):
Dec 31, 2025
Dec 31, 2024
Assets
Cash and cash equivalents
$
57,373,635
$
55,588,156
Time deposits with other banks
-
1,743,000
Securities
94,346,865
82,075,403
Loans
371,327,999
395,651,055
Allowance for credit losses
(3,385,810
)
(3,482,203
)
Loans, net
367,942,189
392,168,852
Premises and equipment, net
9,617,442
10,037,771
Other assets
24,933,064
25,029,745
Total Assets
$
554,213,195
$
566,642,927
Liabilities
Deposits
$
471,503,354
$
498,507,449
FHLB borrowings
16,000,000
4,000,000
Trust preferred
7,310,000
10,310,000
Other liabilities
3,115,523
3,295,393
Total Liabilities
497,928,877
516,112,842
Equity
Total Equity
56,284,318
50,530,085
Total Liabilities and Equity
$
554,213,195
$
566,642,927
Contact:
Benjamin Ogle
CFO
989-875-5562
