Company: CCNE
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0000736772-25-000202
Chunk: 209

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 209
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 Corporation's performance. Management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Corporation's management believes that investors may use these non-GAAP measures to analyze the Corporation's financial performance without the impact of unusual items or events that may obscure trends in the Corporation's underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. Limitations associated with non-GAAP financial measures include the risks that persons might disagree as to the appropriateness of items included in these measures and that different companies might calculate these measures differently. 

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Non-GAAP measures reflected within the discussion below include:

•merger transaction related expenses, net of tax;

•Income available to common (excluding merger transaction related expenses);

•Tangible book value per common share and tangible book value per common share (excluding merger transaction related expenses);

•Tangible common equity/tangible assets and tangible common equity/tangible assets (excluding merger transaction related expenses);

•Book value per common share (excluding merger transaction related expenses);

•Efficiency ratio (fully tax-equivalent basis) and efficiency ratio (fully tax-equivalent basis and excluding merger and integration costs); 

•Net interest margin (fully tax-equivalent basis) and net interest margin, excluding purchase accounting loan accretion (fully tax-equivalent basis);

•Pre-provision net revenue ("PPNR") and PPNR (excluding merger and integration costs); 

•Basic and diluted earnings per share (excluding merger transaction related expenses); 

•Dividend payout ratio (excluding merger transaction related expenses); 

•Return on average assets (excluding merger transaction related expenses); 

•Return on average equity (excluding merger transaction related expenses); and

•Return on average tangible common equity and return on average tangible common equity (excluding merger transaction related expenses)

A reconciliation of these non-GAAP financial measures is provided below in the "Non-GAAP Financial Measures" section.

PRIMARY FACTORS USED TO EVALUATE PERFORMANCE

Management considers return on average assets, return on average equity, return on average tangible common equity, earnings per common share, tangible book value per common share, asset quality, net interest margin, and other metrics as key measures of the financial performance of the Corporation. The interest rate environment will continue to play an important role in the future earnings of the Corporation. To address