Company: EMYB
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001449794-25-000020
Chunk: 45

Company: Embassy Bancorp, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 45
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 31, 2024. The increase in capital was the result of net income of $6.3 million, an increase in common stock of $19 thousand, an increase in surplus of $341 thousand due to employee stock purchases and stock grants with compensation expense, and a decrease of $4.8 million in accumulated other comprehensive loss, offset by dividends declared of $3.7 million. The accumulated other comprehensive losses are excluded from both the Bank’s and the Company’s Tier 1 regulatory capital calculations.  The Company’s tangible book value per share, calculated as total stockholders’ equity divided by outstanding common stock shares, was $14.95 and $13.96 at June 30, 2025 and December 31, 2024, respectively.    The Company and the Bank are subject to various regulatory capital requirements administered by banking regulators. Failure to meet minimum capital requirements can initiate certain actions by regulators that could have a material effect on the consolidated financial statements. The regulations require that banks maintain minimum amounts and ratios of total and Tier 1 capital (as defined in the regulations) to risk weighted assets (as defined in the regulations), and Tier 1 capital to average assets (as defined in the regulations). As of June 30, 2025, the Bank met the minimum requirements. In addition, the Bank’s capital ratios exceeded the amounts required to be considered “well capitalized” as defined in the regulations.The following table provides a comparison of the Bank’s risk-based capital ratios and leverage ratios:                Consolidated Bank           June 30, 2025  December 31, 2024         (Dollars In Thousands) Tier 1, common stockholders' equity$ 159,880 $ 156,892Tier 2, allowable portion of allowance for credit losses  11,975   12,258Total capital$ 171,855 $ 169,150        Common equity tier 1 capital ratio  14.0%   13.9%Tier 1 risk based capital ratio  14.0%   13.9%Total risk based capital ratio  15.0%   14.9%Tier 1 leverage ratio  8.9%   9.0%        Note: Unrealized gains and losses on securities available for sale are excluded from regulatory capital components of risk-based capital and leverage ratios.

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 In addition to the risk-based capital guidelines, the federal banking regulators established minimum leverage ratio (Tier 1 capital to