Company: EMYB
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001449794-25-000009
Chunk: 27

Company: Embassy Bancorp, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 27
---
2025 increased $732 thousand to $7.1 million, as compared to $6.4 million for the three months ended March 31, 2024. Average interest bearing liabilities were $1.23 billion for the three months ended March 31, 2025 and $1.16 billion for the three months ended March 31, 2024. The yield on average interest bearing liabilities was 2.34% and 2.21% for the first quarter of 2025 and 2024, respectively. The Company’s cost of funds was 1.82% and 1.72% for the three months ended March 31, 2025 and 2024, respectively. For the first quarter of 2025, the Company’s overall cost of funds decreased to 1.82% from 1.91% for the fourth quarter of 2024, respectively. Net interest income for the three months ended March 31, 2025 was $9.8 million, compared to $8.7 million for the three months ended March 31, 2024. The increase in net interest income is, in part, the result of an increase in the average balances of taxable loans, an 

26  

increase in the average balances of taxable investments, an increase in the average balances of interest bearing deposits with banks and federal funds sold, along with an increase in the rates of taxable and non-taxable loans and taxable and non-taxable investments. Also contributing to the increase in net interest income was a decrease in the average balance of savings and securities sold under agreement to repurchase and other borrowings and a decrease in the rate of money markets, certificates of deposits, and securities sold under agreement to repurchase and other borrowings. The increase in net interest income was offset by a decrease in the average balance of non-taxable loans, a decrease in the average balance of non-taxable investments, an increase in the average balance of interest bearing demand deposits, NOW and money market, and an increase in the average balance of certificates of deposit, along with a decrease in the rate of fed funds sold, interest bearing deposits with banks, and non-taxable investments, along with an increase in the rates of  NOW and savings. The Company’s net interest margin is 2.43% on a US GAAP basis and 2.46% on a tax equivalent (non-US GAAP) basis for the three months ended March 31, 2025, as compared to