Company: CCNE
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0000736772-25-000087
Chunk: 86

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-05-07
Form: 10-Q
Item: Item 1
Chunk 86
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%$78,122 Interest expense/Earning assets2.36 33,948 2.43 32,683 Net interest margin (fully tax-equivalent)3.37 %$48,691 3.38 %$45,439 

(1) Includes unamortized discounts and premiums.

(2) Average yields are stated on a fully taxable equivalent basis (calculated using statutory rates of 21%) resulting from tax-free municipal securities in the investment portfolio and tax-free municipal loans in the commercial loan portfolio. The taxable equivalent adjustment to net interest income for the three months ended March 31, 2025 and 2024 was $260 thousand and $217 thousand, respectively.

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(3) Average loans receivable outstanding includes the average balance outstanding of all nonaccrual loans. Loans receivable consist of the average of total loans receivable less average unearned income. In addition, loans receivable interest income consists of loans receivable fees, including PPP deferred processing fees.

(4) Average balance is computed using the fair value of AFS securities and amortized cost of HTM securities. Average yield has been computed using amortized cost average balance for AFS and HTM securities. The adjustment to the average balance for securities in the calculation of average yield for the three months ended March 31, 2025 and 2024 was $(48.1) million and $(55.1) million, respectively.

VOLUME ANALYSIS OF CHANGES IN NET INTEREST INCOME

The following table presents the change in net interest income for the three months ended March 31, 2025 and 2024:

Net Interest Income Rate-Volume VarianceFor Three Months Ended March 31, 2025 over (under) March 31, 2024 Due to Change In (1)VolumeRateNetAssetsSecurities:Taxable$356 $1,454 $1,810 Tax-exempt (2)(16)6 (10)Equity securities (2)8 4 12 Total securities348 1,464 1,812 Loans receivable:Commercial (2)428 (578)(150)Mortgage (2) (3)1,613 (444)1,169 Consumer(180)67 (113)Total loans receivable1,861 (955)906 Other earning assets2,880 (1,081)1,799 Total