Norwood Financial Q3 Net Income Rises 85% to $8.3 Million, EPS Hits $0.89

NORWOOD FINANCIAL CORP (NASDAQ:NWFL) on October 22, 2025, announced net income of $8.3 million for the third quarter ended September 30, 2025, marking an 85% increase compared to $3.8 million in the same period of 2024. Diluted earnings per share (EPS) for Q3 2025 rose to $0.89, up from $0.48 in Q3 2024.

For the nine months ended September 30, 2025, Norwood Financial reported net income of $20.3 million, an increase of $7.8 million over the $12.5 million reported for the prior year period. Diluted EPS for the nine months stood at $2.22, up from $1.55 in the comparable 2024 period. The company's return on average assets for Q3 2025 increased by 72 basis points to 1.40% from 0.68% in Q3 2024, while the net interest margin improved by 64 basis points year-over-year to 3.63%.

Jim Donnelly, President and Chief Executive Officer, stated, "Our quarterly results continue to demonstrate the strength of our community banking franchise." He highlighted the company's ability to "maintain solid growth, while improving profitability and efficiency," attributing the performance to a "disciplined approach to growth, improving margins, and credit quality." Loans receivable grew 5.4% on an annualized basis during the third quarter and 7.3% year-to-date, reaching $1.815 billion as of September 30, 2025, an 8.3% increase from $1.675 billion a year prior. Total deposits increased 11.8% to $2.074 billion as of September 30, 2025, from $1.855 billion in 2024, with deposit costs falling 19 basis points since the fourth quarter of 2024. The efficiency ratio improved to 56.3% in Q3 2025, down from 66.0% in Q3 2024. Tangible Book Value per share increased to $22.19 as of September 30, 2025, up $2.34 from $19.85 at December 31, 2024. Total assets reached $2.412 billion at September 30, 2025, a 5.8% increase from $2.280 billion at September 30, 2024.