Company: EMYB
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001449794-25-000020
Chunk: 38

Company: Embassy Bancorp, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 38
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, in part, to the implementation of a new content management software and general ledger system, an increase of $15 thousand in advertising and promotion expenses, and an increase of $22 thousand in loan and real estate expenses. The Company’s efficiency ratio, a non-GAAP measure, was 65.2% and 71.7% for the three months ended June 30, 2025 and 2024, respectively. Non-interest expenses increased $929 thousand from $13.4 million for the six months ended June 30, 2024 to $14.3 million for the six months ended June 30, 2025. The increase in non-interest expenses is, in part, attributable to a $488 thousand increase in salaries and employee benefits due to annual increases in salaries and bonuses, new hires, and an increase in health insurance cost, offset by a decrease in stock grant expense and an increase in deferred loan costs. Additional increases in non-interest expenses are attributable to an increase of $73 thousand in occupancy and equipment in part due to an increase in rent and building maintenance, an increase of $248 thousand in data processing expenses due, in part, to the implementation of a new content management software and general ledger system, an increase of $52 thousand in advertising and promotion expenses, an increase of $37 thousand in professional fees, and an increase of $48 thousand in loan and real estate expenses, offset by a decrease of $50 thousand in other expenses. The Company’s efficiency ratio, a non-GAAP measure, was 65.6% and 70.2% for the six months ended June 30, 2025 and 2024, respectively. A breakdown of other expenses can be found in the Consolidated Statements of Income. Income Taxes The provision for income taxes for the three months ended June 30, 2025 totaled $691 thousand, or 16.7% of income before taxes, compared to income taxes for the three months ended June 30, 2024 totaling $506 thousand, or 16.9% of income before taxes. The decrease in the tax rate is, in part, the result of an increase in income on bank owned life insurance and the result of the change in the mix of taxable and tax free loans and investments. The provision for income taxes for the six months ended June 30, 2025 totaled $1.3 million, or 17.2% of income before taxes, compared to income taxes for the six months ended June 30