Company: EMYB
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001449794-25-000009
Chunk: 35

Company: Embassy Bancorp, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 35
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 The effective duration of the securities portfolio remains approximately 6 years at March 31, 2025.  Loans The loan portfolio comprises a major component of the Company’s earning assets. All of the Company’s loans are to domestic borrowers. Net loans receivable remained at $1.26 billion at March 31, 2025 and December 31, 2024, with a slight increase of $4.5 million. The gross loan-to-deposit ratio decreased to 79% at March 31, 2025, compared to 82% at December 31, 2024. The Company’s loan portfolio at March 31, 2025 was comprised of residential real estate and consumer loans of $667.7 million, a decrease of $1.5 million from December 31, 2024, and commercial loans of $604.6 million, an increase of $6.0 million from December 31, 2024. The Company has not originated, nor does it intend to originate, sub-prime mortgage loans.  Credit Risk and Loan Quality The Company’s allowance for credit losses was $12.2 million at March 31, 2025 and December 31, 2024, with a slight increase of $56 thousand. At March 31, 2025 and December 31, 2024, the allowance for credit losses represented 0.96% of total loans receivable, respectively. The Company’s non-performing loans to total loans receivable were 0.04% at March 31, 2025, compared to 0.02% at March 31, 2024, and 0.04% at December 31, 2024. In the three months ended March 31, 2025, there were no charge-offs and no recoveries. In the three months ended March 31, 2024, there were no charge-offs and recoveries of $240 thousand. The aggregate balances on non-performing loans are included in the following table.  At March 31, 2025, approximately 95% of the Company’s loan portfolio is collateralized by real estate. Our loan portfolio includes a large amount of commercial real estate loans. Management believes the commercial real estate loan portfolio is well-diversified. At March 31, 2025 and December 31, 2024, high volatility commercial real estate exposures were $11.3 million and $11.0 million, respectively.  Commercial real