Civista Bancshares Reports $11M Net Income in Q2 2025, Announces Merger with Farmers Savings Bank

Civista Bancshares, Inc. reported a net income of $11.0 million for the second quarter of 2025, a significant increase from $7.1 million in the same period last year. This translates to earnings per share of $0.71, up from $0.45 in the prior year. For the first half of 2025, net income reached $21.2 million, compared to $13.4 million in the first half of 2024. The increase in profitability was driven by a rise in net interest income, which totaled $34.8 million for the quarter, up from $27.8 million a year earlier, primarily due to higher interest and fees on loans.

Total assets for Civista increased to $4.19 billion as of June 30, 2025, compared to $4.10 billion at the end of 2024, marking a 2.1% growth. This growth was largely attributed to a $69.1 million increase in net loans, which reached $3.11 billion, and a $10.1 million rise in loans held for sale. However, total deposits decreased slightly by $15.7 million to $3.20 billion, with a notable decline in noninterest-bearing deposits. The company’s loan-to-deposit ratio stood at 98.6%, up from 95.9% at the end of 2024.

Civista has also made strategic moves, including the announcement of a merger with The Farmers Savings Bank, which is expected to close in the fourth quarter of 2025. This merger will add two branches and approximately $183 million in low-cost core deposits. Additionally, the company completed a public offering of common shares, raising approximately $76 million to support growth initiatives and potential future transactions.

Operationally, Civista's total loans increased by 2.3% since the end of 2024, with notable growth in the Commercial Real Estate and Residential Real Estate segments. The company reported a decrease in provisions for credit losses, totaling $2.6 million for the first half of 2025, down from $3.6 million in the same period last year. The allowance for credit losses as a percentage of total loans was 1.28% as of June 30, 2025, slightly down from 1.29% at the end of 2024.

Looking ahead, Civista anticipates continued growth in its loan portfolio and overall financial performance, supported by its strategic initiatives and the expected benefits from the merger with Farmers. The company remains focused on managing interest rate risk and maintaining a strong capital position, with shareholders' equity increasing to $404.1 million, or 9.7% of total assets, as of June 30, 2025.