Company: EMYB
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001449794-25-000035
Chunk: 36

Company: Embassy Bancorp, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 8
Chunk 36
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 for the nine months ended September 30, 2024. For the nine months ended September 30, 2025, there were $152 thousand of charge-offs and no recoveries. For the nine months ended September 30, 2024, there were $11 thousand of charge-offs and recoveries of $240 thousand.  The provision for credit losses is a function of the allowance for credit loss methodology that the Company uses to determine the appropriate level of the allowance for inherent credit losses after net charge-offs have been deducted. See the discussion below under “Credit Risk and Loan Quality” regarding the Company’s considerations of its September 30, 2025 allowance for credit loss levels. The allowance for credit losses is $11.9 million as of September 30, 2025, which is 0.93% of total loans receivable, compared to $12.2 million or 0.97% of total loans receivable as of September 30, 2024. At December 31, 2024, the allowance for credit losses was $12.2 million, which represented 0.96% of total loans receivable. Based principally on loan growth, economic conditions, asset quality, and loan-loss experience, including that of comparable institutions in the Company’s market area, the allowance is believed to be adequate to absorb any losses expected in the portfolio. Because future events affecting borrowers and collateral cannot be predicted with certainty, there can be no assurance that the existing allowance for credit losses is adequate, or that material increases will not be necessary should the quality of the loans deteriorate. The Company has not participated in any sub-prime lending activity. The activity in the allowance for credit losses is shown in the following table, as well as period end loans receivable and the allowance for credit losses as a percent of the total loans receivable portfolio: 3                           Three Months Ended Nine Months Ended September 30,  September 30,  2025 2024 2025 2024             (In Thousands)Loans receivable at end of period$ 1,279,148 $ 1,258,084 $ 1,279,148 $ 1,258,084Allowance for credit losses:           Balance, beginning $ 11,905 $ 12,246 $ 12,166 $ 12,461   Provision (credit) for credit losses  36   (40)   (73)   (484)   Loans charged off:                 Commercial real