Company: NWFL
Filing Date: 2025-09-19
Form Type: S-4
Source: 0001193125-25-208580
Chunk: 111

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-09-19
Form: S-4
Chunk 111
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 equivalent employees, annual salary increases and additional bonus accrual. Occupancy and equipment increased $84,000 primarily as the result of our new administrative office lease. Other expenses increased $79,000 primarily as the result of increases in stationery & supplies purchases and dues and subscriptions increases. Data and item processing decreased $122,000 primarily as the result of our investment in our information technology infrastructure in 2024. Income tax expense. Income tax expense increased $111,000, or 58.4%, to $301,000 for the six months ended June 30, 2025 from $190,000 for the six months ended June 30, 2024. The effective tax rates were 21.3% and 21.7% for the six month periods ended June 30, 2025 and 2024, respectively. The increase in income tax expense for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 was primarily due to an increase in income before income taxes and relatively consistent levels of nondeductible expenses and income not subject to taxes. 67

Average balances and yields. The following table sets forth average balance sheets, average yields and costs, and certain other information for the periods indicated. No tax-equivalentyield adjustments have been made, as the effects would be immaterial. All average balances are daily average balances. Nonaccrual loans were included in the computation of average balances. The yields set forth below include the effect of deferred fees, discounts and premiums that are amortized or accreted to interest income or interest expense.

| Interest-earning assets:                                                |     | For the Six Months Ended June 30, 
 2025                              
 Average                           
 Outstanding                       
 Balance                           
 (Dollars in thousands)            |         |   |     | Interest |        |     | Average 
 Yield/  
 Rate    
 (4)     |      |   |     | 2024        
 Average     
 Outstanding 
 Balance     |         |     | Interest |        |     | Average 
 Yield/  
 Rate    
 (4)     |      |   |
|:------------------------------------------------------------------------|:----|:----------------------------------|--------:|:--|:----|:---------|-------:|:----|:--------|-----:|:--|:----|:------------|--------:|:----|:---------|-------:|:----|:--------|-----:|:--|
| Loans