Company: NWFL
Filing Date: 2025-09-19
Form Type: S-4
Source: 0001193125-25-208580
Chunk: 229

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-09-19
Form: S-4
Chunk 229
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 |   |
|:----------------------------------------------|:----|:--|----------:|:--|:----|:--|----------:|:--|
| Net income                                    |     | $ |     1,772 |   |     | $ |     1,919 |   |
| Weighted average common shares outstanding    |     |   | 2,503,442 |   |     |   | 2,669,501 |   |
| Less: Average unearned ESOP shares            |     |   |  (188,823 | ) |     |   |  (199,932 | ) |
| Weighted average shares outstanding (basic)   |     |   | 2,314,619 |   |     |   | 2,469,569 |   |
| Dilutive common stock equivalents             |     |   |    22,894 |   |     |   |    18,057 |   |
| Weighted average shares outstanding (diluted) |     |   | 2,337,513 |   |     |   | 2,487,626 |   |
| Basic earnings per common share               |     | $ |      0.77 |   |     | $ |      0.78 |   |
| Diluted earnings per common share             |     | $ |      0.76 |   |     | $ |      0.77 |   |

F-33

PB BANKSHARES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

15. Fair Value of Financial Instruments

The Company groups its assets and liabilities generally measured at fair value in three levels, based on the markets in which the assets and liabilities are
traded and the reliability of the assumptions used to determine fair value.

Level 1 - Valuation is based on unadjusted quoted
prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active
exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities.

Level 2 - Valuation is based on inputs other than quoted prices included within level 1 that are observable for the asset or
liability, either directly or indirectly. The valuation may be based on quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other