<PAGE> 1
                  

                                  UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-Q

                QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

For Quarterly Period ended June 30, 1997

Commission File Number 1-12141
                       ---------

                         DELPHOS CITIZENS BANCORP, INC.
                         ------------------------------
             (Exact name of registrant as specified in its charter)

Delaware                                                     34-1840187
--------                                                     ----------

(State or other jurisdiction of                              (IRS Employer
  incorporation or organization)                             Identification No.)

                    114 East 3rd Street, Delphos, Ohio 45833
                    ----------------------------------------
                    (Address of principal executive offices)

                                  (419) 692-2010
                                  --------------
              (Registrant's telephone number, including area code)

Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Securities  Exchange  Act  during the past 12 months (or for
such shorter  period that the issuer was required to file such  reports) and (2)
has been subject to such filing requirements for the past 90 days.


Yes     X       No
     ------         ------

State the number of shares  outstanding of each of the  registrant's  classes of
common equity, as of the latest practicable date.

         Class:                                   Outstanding at July 31, 1997
Common stock, $0.01 par value                       2,038,719 common shares


--------------------------------------------------------------------------------


                                                                              1.

<PAGE> 2



                         DELPHOS CITIZENS BANCORP, INC.
                                    FORM 10-Q
                           Quarter ended June 30, 1997


                         Part I - Financial Information






                                                                           Page
                                                                           ----
ITEM 1 - FINANCIAL STATEMENTS

      Consolidated Statements of Financial Condition as of
      June 30, 1997 and September 30, 1996 ............................      3

      Consolidated Statements of Income for the three and
      nine months ended June 30, 1997 and 1996.........................      4

      Condensed Consolidated Statements of Cash Flows for
      the three and nine months ended June 30, 1997 and 1996...........      6

      Notes to Consolidated Financial Statements ......................      7



ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF
  FINANCIAL CONDITION AND RESULTS OF OPERATIONS........................     14



                           Part II - Other Information

OTHER INFORMATION......................................................     17

SIGNATURES ............................................................     18








--------------------------------------------------------------------------------


                                                                              2.



<PAGE> 3

<TABLE>
<CAPTION>



                          PART I. FINANCIAL INFORMATION
                          DELPHOS CITIZENS BANCORP, INC.
                 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                                   (Unaudited)


-------------------------------------------------------------------------------------------------------------------

                                                                                  June 30,            September 30,
                                                                                    1997                  1996
                                                                                    ----                  ----

<S>                                                                          <C>                  <C>              
ASSETS
     Cash and due from banks                                                 $       1,578,478    $       1,585,654
     Interest-bearing deposits in other banks                                        6,413,677            3,109,623
                                                                             -----------------    -----------------
         Cash and cash equivalents                                                   7,992,155            4,695,277
     Investment securities held to maturity                                          4,992,276              500,000
     Mortgage-backed  securities available for sale                                    737,875              777,174
     Mortgage-backed securities held to maturity                                    11,947,810           13,437,301
     Loans receivable, net                                                          79,470,154           70,786,851
     Federal Home Loan Bank stock                                                      819,000              777,700
     Premises and equipment                                                            667,245              684,754
     Accrued interest receivable                                                       412,402              293,046
     Other assets                                                                      127,112              283,194
                                                                             -----------------    -----------------

              Total assets                                                   $     107,166,029    $      92,235,297
                                                                             =================    =================

LIABILITIES
     Deposits                                                                $      75,929,943    $      79,830,835
     Escrow accounts                                                                   266,191              206,180
     Accrued interest payable                                                           21,858               31,295
     Accrued expenses and other liabilities                                            511,582              741,541
                                                                             -----------------    -----------------
         Total liabilities                                                          76,729,574           80,809,851
                                                                             -----------------    -----------------

SHAREHOLDERS' EQUITY
     Preferred stock, authorized 1,000,000 shares, no shares
       issued and outstanding
     Common stock, $.01 par value, 4,000,000 shares
       authorized, 2,038,719 shares issued and outstanding                              20,387
     Additional paid-in capital                                                     19,737,494
     Retained earnings                                                              12,586,459           11,443,182
     Treasury stock                                                                   (413,000)
     Obligation under employee stock ownership plan                                 (1,487,061)
     Unrealized loss on available for sale securities, net                              (7,824)             (17,736)
                                                                             ------------------   ------------------
         Total shareholders' equity                                                 30,436,455           11,425,446
                                                                             -----------------    -----------------

              Total liabilities and shareholders' equity                     $     107,166,029    $      92,235,297
                                                                             =================    =================

</TABLE>

--------------------------------------------------------------------------------

                    See accompanying notes to financial statements.

                                                                              3.

<PAGE> 4

<TABLE>
<CAPTION>


                         DELPHOS CITIZENS BANCORP, INC.
                        CONSOLIDATED STATEMENTS OF INCOME
                                   (Unaudited)

-------------------------------------------------------------------------------------------------------------------
                                                      Three Months Ended                  Nine months ended
                                                          June 30,                           June 30,
                                                          --------                           --------
                                                   1997               1996               1997             1996
                                                   ----               ----               ----             ----
<S>                                         <C>                <C>                <C>               <C>            
INTEREST INCOME
     First mortgage loans                   $     1,483,357    $    1,295,694     $    4,276,786    $     3,787,684
     Consumer and other loans                        30,020            23,341             81,098             74,747
     Mortgage-backed and
       investment securities                        315,863           287,660            879,077            910,759
     FHLB stock dividends                            13,898            13,077             41,505             38,908
     Interest bearing deposits                      115,995            57,949            367,803            181,239
                                            ---------------    --------------     --------------    ---------------
         Total interest income                    1,959,133         1,677,721          5,646,269          4,993,337
                                            ---------------    --------------     --------------    ---------------

INTEREST EXPENSE
     Deposits                                       923,732           988,355          2,811,395          2,997,624
                                            ---------------    --------------     --------------    ---------------

NET INTEREST INCOME                               1,035,401           689,366          2,834,874          1,995,713

Provision for loan losses                             3,000                -               9,000                 -
                                            ---------------    --------------     --------------    ---------------

NET INTEREST INCOME AFTER
  PROVISION FOR LOAN LOSSES                       1,032,401           689,366          2,825,874          1,995,713
                                            ---------------    --------------     --------------    ---------------

NON-INTEREST INCOME
     Service charges and fees                        50,634            53,723            126,115            150,978
     Gain on mortgage-backed
       securities available for sale                                       -                                  8,259
     Other non-interest income                        1,192             8,847             24,910             19,947
                                            ---------------    --------------     --------------    ---------------
         Total non-interest income                   51,826            62,570            151,025            179,184
                                            ---------------    --------------     --------------    ---------------

NON-INTEREST EXPENSE
     Compensation and benefits                      202,640           152,745            663,153            484,422
     Occupancy and equipment                         25,038            22,359             67,078             67,421
     Deposit insurance                               13,629            45,250             61,997            132,700
     Franchise taxes                                 43,209            42,741            131,991            123,580
     Other non-interest expense                     171,803            95,149            457,952            313,350
                                            ---------------    --------------     --------------    ---------------
         Total non-interest expense                 456,319           358,244          1,382,171          1,121,473
                                            ---------------    --------------     --------------    ---------------
</TABLE>


--------------------------------------------------------------------------------

                                   (Continued)

                                                                              4.
                                                                  
<PAGE> 5

<TABLE>
<CAPTION>


                              DELPHOS CITIZENS BANCORP, INC.
                       CONSOLIDATED STATEMENTS OF INCOME (CONTINUED)
                                        (Unaudited)


--------------------------------------------------------------------------------------------------------------------

                                                     Three Months Ended                  Nine Months Ended
                                                          June 30,                           June 30,
                                                          --------                           --------



                                                   1997               1996             1997              1996
                                                   ----               ----             ----              ----

<S>                                         <C>                <C>                <C>               <C>            
INCOME BEFORE INCOME TAX                    $       627,908    $      393,692     $    1,594,728    $     1,053,424

Income tax expense                                  179,375           103,800            451,450            299,954
                                            ---------------    --------------     --------------    ---------------


NET INCOME                                  $       448,533    $      289,892     $    1,143,278    $       753,470
                                            ===============    ==============     ==============    ===============


Earnings per share subsequent
  to conversion                             $        .24       $      N/A         $       .55       $       N/A
                                            ============       ==============     ===========       ===============

</TABLE>









--------------------------------------------------------------------------------

                     See accompanying notes to financial statements.

                                                                              5.


<PAGE> 6

<TABLE>
<CAPTION>

                         DELPHOS CITIZENS BANCORP, INC.
                  CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)

-------------------------------------------------------------------------------------------------------------------

                                                                                          Nine Months Ended
                                                                                                June 30
                                                                                       1997                1996     
                                                                                       ----                ----

<S>                                                                             <C>                 <C>            
NET CASH (USED) PROVIDED FROM OPERATING ACTIVITIES                              $     1,120,637     $       645,858

CASH FLOWS USED IN INVESTING ACTIVITIES
     Mortgage-backed securities available for sale

         Proceeds from sales                                                                                763,370
         Proceeds from principal payments on mortgage-
           backed securities                                                             54,801              36,284
     Investment and mortgage-backed securities held to
       maturity
         Proceeds from calls, maturities and paydowns                                 2,004,808           1,854,673
         Purchase of securities held to maturity                                     (4,985,938)                  -
     Loan originations net of principal payment on loans                             (8,710,692)         (5,835,280)
     Purchases of premises and equipment                                                (19,424)            (10,392)
                                                                                ----------------   -----------------
         Net cash used in investing activities                                      (11,656,445)         (3,191,345)
                                                                                ----------------   -----------------

CASH FLOWS FROM FINANCING ACTIVITIES
     Net change in deposits                                                          (3,900,892)          2,504,020
     Net increase in mortgage escrow funds                                               60,011              78,954
     Net proceeds from sale of stock                                                 18,086,567
     Purchase treasury stock                                                           (413,000)
                                                                                ----------------   ----------------      
         Net cash from financing activities                                          13,832,686           2,582,974
                                                                                ---------------    ----------------

Net change in cash and cash equivalents                                               3,296,878              37,487

Cash and cash equivalents at beginning of period                                      4,695,277           4,257,072
                                                                                ---------------    ----------------

CASH AND CASH EQUIVALENTS AT END OF PERIOD                                      $     7,992,155    $      4,294,559
                                                                                ===============    ================

SUPPLEMENTAL  DISCLOSURES OF CASH FLOW  INFORMATION  
  CASH PAID DURING THE PERIOD FOR:
         Interest                                                               $     2,820,832    $      2,995,153
         Taxes                                                                          242,000             309,741

     NONCASH TRANSACTIONS:
         Transfer of mortgage-backed securities to
           available for sale                                                                      $      1,607,975



</TABLE>




--------------------------------------------------------------------------------


                      See accompanying notes to financial statements.
                                                                              6.



<PAGE> 7



                         DELPHOS CITIZENS BANCORP, INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)



--------------------------------------------------------------------------------

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation:  These interim financial  statements are prepared without
---------------------
audit and reflect all  adjustments  which,  in the  opinion of  management,  are
necessary to present fairly the financial  position of Delphos Citizens Bancorp,
Inc. (Company) and its sole subsidiary,  Citizens Bank of Delphos (Bank) at June
30,  1997,  and its  results  of  operations  and  cash  flows  for the  periods
presented.  All such  adjustments  are  normal  and  recurring  in  nature.  The
accompanying  financial  statements  do not purport to contain all the necessary
financial  disclosures required by generally accepted accounting principles that
might  otherwise be necessary in the  circumstances.  The annual  report for the
Bank for the year ended September 30, 1996,  contains  financial  statements and
related  notes  which  should  be  read in  conjunction  with  the  accompanying
unaudited consolidated financial statements.

Effective  November  20,  1996,  Citizens  Federal  Savings & Loan  Association,
(Association)  converted  from a  federally  chartered  mutual  savings and loan
association  to a federally  chartered  stock  savings  bank  (Citizens  Bank of
Delphos) with the concurrent  formation of a holding company  (Delphos  Citizens
Bancorp,  Inc.).  The  conversion was  accomplished  through an amendment of the
Association's  articles of  incorporation  and the sale of the Company's  common
stock in an amount equal to the pro forma market value of the Association  after
giving effect to the conversion.

Consolidation  Policy:   The  consolidated   financial  statements  include  the
---------------------
accounts of the Company and the Bank.  All significant intercompany transactions
and balances have been eliminated.

Industry Segment Information:  The Company is engaged in the business of banking
----------------------------
with  operations  conducted  through its office  located in Delphos,  Ohio.  The
Company  originates  and  holds  primarily  residential  and  consumer  loans to
customers  throughout the Allen and Van Wert County area in Northwest  Ohio. The
Company's   primary   deposit   products  are   interest-bearing   checking  and
certificates of deposit. There are no branch operations.

Use of Estimates in Preparation of Financial Statements:  In preparing financial
-------------------------------------------------------
statements,  management must make estimates and assumptions. These estimates and
assumptions  affect the amounts reported for assets,  liabilities,  revenues and
expenses as well as affecting the  disclosures  provided.  Future  results could
differ from current estimates.

Areas  involving the use of  management's  estimates and  assumptions  primarily
include the allowance for loan losses,  the  realization of deferred tax assets,
fair value of certain  securities  and the  determination  and carrying value of
impaired loans.



--------------------------------------------------------------------------------

                                    Continued
                                                                              7.

<PAGE> 8


                         DELPHOS CITIZENS BANCORP, INC.
             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Securities:  The Company classifies  securities as held to maturity,  trading or
----------
available  for sale.  Securities  classified  as held to maturity are those that
management has the positive  intent and ability to hold to maturity.  Securities
held to maturity are stated at cost,  adjusted for  amortization of premiums and
accretion of discounts.

Securities classified as available for sale are those that management intends to
sell or that  could be sold for  liquidity,  investment  management,  or similar
reasons,  even if there is not a present  intention for such a sale.  Securities
available  for sale are carried at fair value with  unrealized  gains and losses
included as a separate  component of shareholders'  equity, net of tax. Gains or
losses on  dispositions  are based on net  proceeds  and the  adjusted  carrying
amount of securities sold, using the specific identification method.

Loans Receivable: Loans receivable are stated at unpaid principal balances, less
----------------
the  allowance  for loan losses,  and net deferred loan  origination  fees.  The
allowance  for loan losses is  increased  by charges to income and  decreased by
charge-offs  (net  of  recoveries).  Management's  periodic  evaluation  of  the
adequacy of the allowance is based on the Company's  past loan loss  experience,
known and inherent risks in the portfolio,  adverse  situations  that may affect
the collateral and current economic conditions.

Uncollectible  interest on loans that are contractually past due is charged off,
or an allowance is established based on management's  periodic  evaluation.  The
allowance is  established  by a charge to interest  income equal to all interest
previously accrued and unpaid, and income is subsequently recognized only to the
extent that cash payments are received  until,  in  management's  judgment,  the
borrower  demonstrates the ability to make periodic  interest  payments in which
case the loan is returned to accrual status.

On October 1, 1995, the Company  adopted SFAS No. 114,  "Accounting by Creditors
for  Impairment  of a Loan," and SFAS No.  118,  "Accounting  by  Creditors  for
Impairment  of a  Loan  -  Income  Recognition  and  Disclosures."  Under  these
standards,  loans considered to be impaired, as identified according to internal
loan review standards,  are reduced to the present value of expected future cash
flows  or to the  fair  value of  collateral  by  allocating  a  portion  of the
allowance  for loan  losses  to such  loans.  If  these  allocations  cause  the
allowance  for loan  losses to require an  increase,  such an  increase  will be
reported as a provision  for loan losses  charged to  operations.  The effect of
adopting these standards did not materially affect the allowance for loan losses
at October 1, 1995 or for the periods presented.

Management  analyzes  loans on an  individual  basis  and  classifies  a loan as
impaired  when an analysis of the  borrower's  operating  results and  financial
condition indicates that underlying cash flows are not adequate to meet its debt
service  requirements.  Often this is  associated  with a delay or  shortfall in
payments of 30 days or more. Smaller balance homogeneous loans are



--------------------------------------------------------------------------------

                                    Continued
                                                                              8.

<PAGE> 9


                         DELPHOS CITIZENS BANCORP, INC.
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

evaluated for impairment in total. Such loans include residential first mortgage
loans secured by one to four family residences,  residential construction loans,
home equity,  and other consumer loans, with balances less than $200,000.  Loans
are generally  moved to non-accrual  status when 90 days or more past due. These
loans may also be considered impaired.

Impaired loans, or portions thereof, are charged off when deemed  uncollectible.
The  nature  of the  disclosures  for  impaired  loans is  considered  generally
comparable  to prior  nonaccrual  loans  and  non-performing  and past due asset
disclosures.  The adoption of SFAS No. 114 had no impact on the comparability of
the June 30,  1997 or  September  30,  1996  allowance  for loan losses to prior
periods.

Loan Fees and Costs: Loan fees and costs are deferred,  and are recognized as an
-------------------
adjustment  to interest  income using the interest  method over the  contractual
life of the loans,  adjusted for  estimated  prepayments  based on the Company's
historical prepayment experience.

Other Real  Estate:  Other real estate owned is recorded at the lower of cost or
------------------
fair  value,  less  estimated  costs to sell.  Any  reduction  in fair  value is
reflected in a valuation  allowance  account  established by a charge to income.
Costs incurred to carry the real estate are charged to expense.

Premises  and  Equipment:  Land is carried  at cost.  Buildings,  furniture  and
------------------------
fixtures,  and equipment  are carried at cost,  less  accumulated  depreciation.
Buildings,   furniture  and  fixtures,   and  equipment  are  depreciated  using
straight-line  and  accelerated  methods over the estimated  useful lives of the
respective assets, which range from five to forty years.

Income Taxes:  The Company follows the liability method in accounting for income
------------
taxes.  The liability  method  provides that deferred tax assets and liabilities
are  recorded  based on the  difference  between  the tax  basis of  assets  and
liabilities  and  their  carrying  amounts  for  financial  reporting  purposes,
referred to as "temporary differences."

Statement  of  Cash  Flows:  For  purposes  of this  statement,  cash  and  cash
--------------------------
equivalents  are defined to include the Company's  cash on hand,  due from banks
and interest-bearing deposits in other banks. The Company reports net cash flows
for  customer  loan  transactions,  deposit  transactions  and  interest-bearing
deposits made with other financial institutions.









--------------------------------------------------------------------------------

                                   Continued
                                                                              9.

<PAGE> 10


                     DELPHOS CITIZENS BANCORP, INC.
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Earnings  Per Share:  Earnings  per common  share for the three and nine  months
-------------------
ended June 30, 1997 was computed  based on earnings for the period  November 20,
1996 (conversion date), to June 30, 1997, divided by the weighted average number
of common shares outstanding for the period. Pro  rata  earnings based on number
of days was $448,533 and weighted  average shares  outstanding was 1,887,641 for
the three months ended June 30, 1997.  Pro rata earnings based on number of days
was $1,024,038 and weighted  average  shares  outstanding  was 1,882,044 for the
nine months ended June 30, 1997.  Earnings per share  information  for the three
and nine months ended June 30, 1996 is not meaningful  since the mutual to stock
conversion was not consummated until November 20, 1996.





















--------------------------------------------------------------------------------

                                     Continued
                                                                             10.


<PAGE> 11


                     DELPHOS CITIZENS BANCORP, INC.
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------

NOTE 2 - INVESTMENT AND MORTGAGE-BACKED SECURITIES

Securities are summarized as follows:

<TABLE>
<CAPTION>
                                                                   June 30, 1997
                                 ----------------------------------------------------------------------------------
                                                              Gross                 Gross               Estimated
                                      Amortized            Unrealized            Unrealized               Fair
                                        Cost                  Gains                Losses                 Value
                                        ----                  -----                ------                 -----

<S>                              <C>                   <C>                   <C>                   <C>             
AVAILABLE FOR SALE:
Mortgage-backed
    securities                   $        749,730      $          2,821      $        (14,676)     $        737,875

HELD TO MATURITY:
U.S. Treasury securities                4,992,276                 1,474                                   4,993,750
Mortgage-backed
   securities                          11,947,810               394,936               (43,897)           12,298,849
                                 ----------------      ----------------      -----------------     ----------------

                                 $     17,689,816      $        399,231      $        (58,573)     $     18,030,474
                                 ================      ================      =================     ================
</TABLE>

<TABLE>
<CAPTION>

                                                                September 30, 1996
                                 ----------------------------------------------------------------------------------
                                                              Gross                 Gross               Estimated
                                      Amortized            Unrealized            Unrealized               Fair
                                        Cost                  Gains                Losses                 Value
                                        ----                  -----                ------                 -----
<S>                              <C>                                         <C>                   <C>             
AVAILABLE FOR SALE:
Mortgage-backed
   securities                    $        804,047                            $        (26,873)     $        777,174

HELD TO MATURITY:
FHLB debt security                        500,000                                                           500,000
Mortgage-backed
   securities                          13,437,301      $        347,278              (111,858)           13,672,721
                                 ----------------       ---------------      ----------------      ----------------

                                 $     14,741,348      $        347,278      $       (138,731)     $     14,949,895
                                 ================      ================      ================      ================

</TABLE>
During  the  year  ended  September  30,  1996,  the  Company   reclassified  
mortgage-backed  securities  with  an amortized  cost  of $1,607,975  from held 
to  maturity  to available  for sale.  The  securities  were  transferred on  
November 21, 1995,  as allowed by  the  Statement  of  Financial  Accounting  
Standards  No. 115 implementation guide issued by the Financial  Accounting  
Standards Board, with the  related  unrealized  gain of $6,818  recorded net of 
tax as an increase in retained earnings.




--------------------------------------------------------------------------------

                                     Continued
                                                                             11.

<PAGE> 12

                     DELPHOS CITIZENS BANCORP, INC.
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------




NOTE 2 -  INVESTMENT AND MORTGAGE-BACKED SECURITIES (Continued)

There  were no sales of  mortgage-backed  securities  during  the three and nine
months ended June 30, 1997 and the three  months  ended June 30, 1996.  Proceeds
from the sale of mortgage-backed  securities  available for sale during the nine
months ended June 30, 1996 were $763,370. Gross gains of $8,259 were realized on
these sales.


NOTE 3 - LOANS RECEIVABLE
<TABLE>
<CAPTION>

Loans receivable are summarized as follows:                                          June 30,        September 30,
                                                                                       1997               1996
                                                                                       ----               ----

     <S>                                                                        <C>                <C> 
     Real estate loans
         One- to four-family                                                    $    69,770,943    $     62,282,192
         Multi-family                                                                 1,311,460           1,505,896
         Commercial real estate                                                       5,577,721           4,969,530
         Construction and land                                                        3,905,916           4,871,181
                                                                                ---------------    ----------------
                                                                                     80,566,040          73,628,799
     Less:
         Mortgage loans in process                                                   (3,486,207)         (4,709,495)
         Net deferred loan origination fees                                             (71,705)            (53,316)
                                                                                ----------------   ----------------
                                                                                     77,008,128          68,865,988
                                                                                ---------------    ----------------
     Consumer and other loans
         Manufactured homes                                                              95,873              63,331
         Home equity loans                                                            1,248,702           1,038,780
         Unsecured loans                                                                283,971             241,314
         Other consumer loans                                                           948,054             680,254
                                                                                ---------------    ----------------
                                                                                      2,576,600           2,023,679
     Less:  Non-mortgage loans in process                                               (11,214)             (8,456)
                                                                                ----------------   ----------------
                                                                                      2,565,386           2,015,223
                                                                                ---------------    ----------------

     Less:  Allowance for loan losses                                                  (103,360)            (94,360)
                                                                                ----------------   ----------------

                                                                                $    79,470,154    $     70,786,851
                                                                                ===============    ================

</TABLE>





--------------------------------------------------------------------------------

                                     Continued

                                                                             12.
<PAGE> 13

                     DELPHOS CITIZENS BANCORP, INC.
               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                                   (Unaudited)

--------------------------------------------------------------------------------

NOTE 3 - LOANS RECEIVABLE (Continued)

Activity in the allowance for loan losses is summarized as follows:

<TABLE>
<CAPTION>
                                                                Nine months ended
                                                                    June 30,
                                                             1997               1996
                                                             ----               ----

     <S>                                                 <C>                 <C>        
     Balance at beginning of period                      $    94,360         $    92,360
     Provision charged to income                               9,000                   -
     Charge-offs                                                   -                   -
                                                          ----------         -----------

     Balance at end of period                            $   103,360         $    92,360
                                                         ===========         ===========

</TABLE>

As of and for the periods ended June 30, 1997 and September 30, 1996, there were
no impaired loans.

















--------------------------------------------------------------------------------
                                                                             13.


<PAGE> 14


                         DELPHOS CITIZENS BANCORP, INC.
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

--------------------------------------------------------------------------------


The following  discussion  compares the financial  condition of Delphos Citizens
Bancorp,  Inc. (Company) and its sole subsidiary Citizens Savings Bank (Bank) at
June 30, 1997 to September 30, 1996 and the results of operations  for the three
and nine months ended June 30, 1997 and 1996. This discussion  should be read in
conjunction with the interim financial statements and footnotes included herein.


FINANCIAL CONDITION

Total assets grew $15.0  million,  or 16.2% from $92.2  million at September 30,
1996 to $107.2 million at June 30, 1997. The growth is primarily attributable to
increases in  interest-bearing  deposits in other banks,  investment  securities
held to  maturity  and loans  receivable,  partially  offset by the  paydowns of
mortgage backed securities as well as a reduction in deposits.  The increase was
funded by the net proceeds from the sale of stock due to the  conversion  from a
mutual  savings and loan  association  to a stock  savings bank owned by a stock
thrift holding company.

Cash and cash  equivalents  increased  $3.3  million to $8.0 million at June 30,
1997 compared to $4.7 million at September 30, 1996.  Interest-bearing  deposits
in other banks increased $3.3 million from $3.1 million at September 30, 1996 to
$6.4 million at June 30, 1997.  The increase was primarily due to the portion of
the funds received from the conversion  which have not yet been utilized to fund
new loan originations.

At June  30,  1997,  the  Company's  mortgage-backed  securities  portfolio  was
comprised  of FHLMC  and GNMA  fixed and  adjustable  rate  securities.  The net
unrealized gain on these  securities  totaled $339,000 at June 30, 1997. A small
portion of this portfolio was classified as available for sale. The remainder of
the  portfolio  was  classified  as held to  maturity  as the  Company  does not
anticipate  the need to sell  these  securities  in the near  future  due to the
Company's strong liquidity position. Management's strategy emphasizes investment
in mortgage-backed securities guaranteed by U.S. government agencies in order to
minimize credit risk.

Loans  receivable  increased  $8.7  million,  or 12.3%,  from  $70.8  million at
September 30, 1996 to $79.5 million at June 30, 1997. The increase was primarily
due to the  increase in one- to  four-family  real estate  loans which grew $7.5
million, or 12.0% during the period.

Deposits  decreased $3.9 million,  or 4.9%,  from $79.8 million at September 30,
1996 to $75.9 million at June 30, 1997. Due to the  significant  amount of funds
obtained in the conversion, management allowed some higher cost time deposits to
mature by choosing not to match the higher rates offered by certain  competitors
in the Company's market area.





--------------------------------------------------------------------------------

                                  (Continued)
                                                                             14.

<PAGE> 15


                   DELPHOS CITIZENS BANCORP, INC.
                  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
               FINANCIAL CONDITION AND RESULTS OF OPERATIONS

--------------------------------------------------------------------------------

RESULTS OF OPERATIONS

Net income increased  $159,000 from $290,000 for the quarter ended June 30, 1996
to $449,000  for the same period in 1997.  Net income  increased  $389,000  from
$754,000 for  the  fiscal year to date period ended June 30, 1996 to  $1,143,000
for the same period in 1997. The 1997 increase was primarily due to the increase
in  net  interest  income,  partially  offset  by  increases in compensation and
benefits and other noninterest expense.

Net interest income increased $346,000,  or 50.2%, during the quarter ended June
30,  1997 and  $839,000  or 42.0%  during the nine  months  ended June 30,  1997
compared to the same periods in 1996.  The increases  were  primarily due to the
increases  in average  loans  during the 1997  periods as  compared  to the 1996
periods,  as well as the Company's  ability to increase  interest earning assets
without increasing  interest bearing  liabilities due to the funds received from
the sale of  stock.  The  increase  in loan  income  was  partially  offset by a
reduction in income from  mortgage-backed  securities due to the decrease in the
average  balance  during  the  1997  period  as  compared  to the  1996  period.
Management  has used  paydowns  on  mortgage-backed  securities  to fund  higher
yielding loans.  Interest  expense  decreased in the three and nine months ended
June 30, 1997 compared to the same period in 1996,  due to a decline in deposits
outstanding during the periods.

A provision  for loan losses of $3,000 and $9,000 was recorded for the three and
nine months ended June 30, 1997, respectively,  based on management's assessment
of risk factors affecting the allowance for loan losses.  The allowance for loan
losses was approximately  .13% of loans, net of deferred and unearned income, as
of June 30, 1997 and September 30, 1996.  Management  believes the allowance for
loan loss is adequate to absorb potential losses;  however,  future additions to
the allowance may be necessary based on changes in economic conditions.

Non-interest  income decreased  $11,000,  or 17.2%, from $63,000 for the quarter
ended June 30, 1996 to $52,000 for the same period in 1997.  Non-interest income
decreased  $28,000,  or 15.7%,  from $179,000 for the nine months ended June 30,
1996 to $151,000 for the same period in 1997.

Non-interest expense increased $98,000, or 27.4%, for the quarter ended June 30,
1997 and $261,000 or 23.2% for the nine months  ended June 30, 1997  compared to
the similar  periods in 1996.  The increases  were primarily due to increases in
compensation and benefits expense and other non-interest  expense.  Compensation
and  benefits  increased  $50,000 or 32.7% for the three  months  ended June 30,
1997,  and increased  $179,000 or 36.9% for the nine months ended June 30, 1997,
compared to the same periods in 1996  primarily due to ESOP expense.  An expense
was  recorded in fiscal 1997 for the ESOP shares  released to  participants.  No
such expense was recorded during the similar periods in 1996 as the ESOP was not
implemented  until  the  fourth  quarter of 1996.  The  increase  in  other non-
nterest expense  was  primarily  attributable  to  an  increase in  professional
fees, advertising and office supplies.



--------------------------------------------------------------------------------

                                  (Continued)
                                                                             15.

<PAGE> 16



                      DELPHOS CITIZENS BANCORP, INC.
                  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
               FINANCIAL CONDITION AND RESULTS OF OPERATIONS

--------------------------------------------------------------------------------


LIQUIDITY

Federally  insured  banks are  required  to  maintain  minimum  levels of liquid
assets.  The Bank is currently  required to maintain an average daily balance of
liquid  assets of at least 5% of the sum of its  average  daily  balance  of net
withdrawable  deposit  accounts and  borrowings  payable in one year or less. At
June 30, 1997, the Bank was in compliance with this requirement with a liquidity
ratio of 11.9%.  Management  considers this liquidity  position adequate to meet
its expected needs for the foreseeable future.


CAPITAL RESOURCES

Savings  institutions  insured by the Federal Deposit Insurance  Corporation are
required  by federal law to meet three  regulatory  capital  requirements.  If a
requirement is not met, regulatory  authorities may take legal or administrative
actions,  including  restrictions  on growth or operations or, in extreme cases,
placing the institution in receivership or conservatorship.

The following table presents the Bank's compliance with its capital requirements
at June 30, 1997:

<TABLE>
<CAPTION>

(Dollars in thousands)

                      Tangible Capital                    Core Capital                   Risk Based Capital
                      ----------------                    ------------                   ------------------
                               Amount  %                         Amount   %                       Amount    %
                               ------  -                         ------   -                       ------    -

<S>             <C>                  <C>          <C>                   <C>          <C>                  <C>  
Actual          $       20,817       20.4%        $        20,817       20.4%        $       20,920       42.4%
Required                 1,532        1.5                   3,064        3.0                  3,849        8.0
                --------------    -------         ---------------    -------         --------------   --------

Excess          $       19,285       18.9%        $        17,753       17.4%        $       17,071       34.4%
                ==============    =======         ===============    =======         ==============   ========
</TABLE>

The Bank's  tangible  capital  consists  solely of  shareholders'  equity.  Core
capital consists of tangible capital plus certain  intangible  assets,  of which
the Bank has none. Risk based capital consists of core capital plus general loan
loss allowances less certain assets required to be deducted.

At June  30,  1997  the  Bank  was  considered  well  capitalized  under  Prompt
Corrective Action Regulations.


THRIFT RECHARTERING LEGISLATION

     The Deposit Insurance Funds Act of 1996 provides that the Bank Insurance
Fund ("BIF") and Savings Association Insurance Fund ("SAIF") will merge on
January 1, 1999 if there are no more savings associations as of that date.
Various proposals to eliminate the federal thrift charter, create a uniform
financial institutions charter and abolish the OTS have been introduced in
Congress.  The House Banking Committee reported a bill in July 1997 that would
require federal savings institutions to convert to a national or state bank
charter within two years of enactment.  The bill would allow banks resulting
from the conversion of a savings association to continue to engage in activities
(and hold assets) in which it was lawfully engaged on the day before enactment.
Holding companies for savings institutions would become subject to the same
regulation as holding companies that control commercial banks, with a limited
grandfather provision for unitary savings and loan holding company activities.
The OTS would be merged with the Office of the Comptroller of the Currency, the
agency that regulates national banks.  The Company is unable to predict whether
such legislation will be enacted, the extent to which the legislation would
restrict or disrupt its operations or whether the BIF and SAIF funds will
eventually merge.
                                 



--------------------------------------------------------------------------------


                                                                             16.
<PAGE> 17




                                FORM 10-Q
                       Quarter ended June 30, 1997
                       PART II - OTHER INFORMATION

--------------------------------------------------------------------------------


Items 1-  3 are not applicable.

Item 4 -  Submission of Matters to a Vote of Security Holders

<TABLE>
<CAPTION>
                                            Director          FOR          WITHHELD
                                            --------          ---          --------

<S>                                      <C>                <C>             <C>   
                                         Ms. Rumschlag      1,588,379       57,641


                                              FOR           AGAINST         ABSTAIN
                                              ---           -------         -------
Approval of 1997 Incentive Plan            1,110,975        216,242         59,731
     
Appointment of Crowe, Chizek &
Company LLP as independent auditors        1,617,178          8,250         20,542

</TABLE>

Item 5 -  not applicable

Item 6 -  Exhibits and Reports on Form 8-K:
          (a)  Exhibits

          Exhibit
          Number                     Description
          ------                     -----------

            3.1     Certificate of Incorporation of Delphos Citizens Bancorp,
                       Inc. (1)

            3.2     Bylaws of Delphos Citizens Bancorp, Inc. (1)

            4.0     Stock Certificate of Delphos Citizens Bancorp, Inc. (1)

            27      Financial Data Schedule (2)

          (b)  No  current  reports  on Form  8-K were  filed by the  Company
                  during  the quarter  ended June 30, 1997.


----------------------
(1)   Incorporated  herein   by  reference from  the  Exhibits  to the
      Registration  Statement  on  Form S-1,  as   amended,  filed  on
      August 22, 1996, Registration No. 333-10639.
(2)   Filed  only  in electronic format pursuant to Item 601(b)(27) of
      Regulation  S-K.


<PAGE> 18



                                   SIGNATURES

Pursuant  to the  requirement  of the  Securities  Exchange  Act  of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                           DELPHOS CITIZENS BANCORP INC.
                                           -----------------------------
                                           (Registrant)



Date: August 13, 1997                      /s/Joseph R. Reinemeyer
                                           -----------------------
                                           Joseph R. Reinemeyer
                                           President and Chief Executive Officer
                                           (Principal Executive Officer)