Exhibit 99.1
Monday, January 26, 2004
PRESS RELEASE
Source: Farmers National Banc Corp.
Frank L. Paden, President
20 South Broad St. P.O. Box 555
Canfield, OH 44406
330-533-3341
330-533-0451 (FAX)
Email: exec@fnbcanfield.com
FARMERS NATIONAL BANC CORP. REPORTS EARNINGS FOR
FOURTH QUARTER AND YEAR-END 2003 RESULTS
CANFIELD, Ohio (January 26, 2004) - Farmers National Banc Corp, (OTC BB:
FMNB), the parent holding company of Farmers National Bank, today reported its
net earnings for the fourth quarter of 2003 and for the year-ending December 31,
2003.
For the three months ended December 31, 2003, Farmers National Banc Corp.
achieved net income of $2.4 million. This represented an increase of 7.3% over
the same three-month period a year ago. Earnings per diluted share were $0.19
for the quarter ended December 31, 2003, up 5.6% over the $0.18 per diluted
share in the same quarter in 2002.
For the year ended December 31, 2003, Farmers National Banc Corp. recorded
net income of $9.5 million, or $.75 per diluted share, an increase of 19.9% over
the $7.9 million, and up 19.1% over the $.63 per diluted share reported for
2002.
These results equate to a 1.20% Return on Average Assets and a 11.77%
Return on Average Equity, as compared to 1.12% and 10.27% for the same period in
2002. The company's efficiency ratio improved from 59.17% for the year ending
December 2002, to 56.15% for the same period in 2003.
As of December 31, 2003, total assets for the corporation are $812.8
million, an increase of 8.7% over the $748.1 million recorded at December 31,
2002.
Net loans at December 31, 2003 were $465.5 million, an increase of 5.1%
over the $442.9 million in net loans reported on December 31, 2002. During those
same periods, the company has increased its Investment Securities portfolio by
16.4% from $251.1 million on December 31, 2002 up to $292.2 million on December
31, 2003.
Farmers National Bank operates sixteen banking offices throughout Mahoning,
Trumbull and Columbiana Counties. The bank offers a wide range of banking and
investment services to companies and individuals, and maintains a website at
www.fnbcanfield.com.
This earnings announcement presents a brief analysis of the assets and
liability structure of the Corporation and a brief discussion of the results of
operations for each of the periods presented. Certain statements in this
announcement that relate to Farmers National Banc
Corp.'s plans, objectives, or future performance may be deemed to be
forward-looking statements within the Private Securities Litigation Reform Act
of 1995. Such statements are based on management's current expectations. Actual
strategies and results in future periods may differ materially from those
currently expected because of various risks and uncertainties.
Among the important factors that could cause actual results to differ
materially are interest rates, changes in the mix of the company's business,
competitive pressures, general economic conditions and the risk factors detailed
in the company's other periodic reports and registration statements filed with
the Securities and Exchange Commission.
FINANCIAL HIGHLIGHTS
FARMERS NATIONAL BANC CORP. AND SUBSIDIARY
(Amounts in thousands, except per share data)
FOR THE YEAR ENDED DEC. 31, 2003 DEC. 31, 2002
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Net Income $9,515 $7,934
Per share * 0.75 0.63
Cash dividends paid 7,602 6,924
Per share * 0.60 0.55
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AT THE END OF TWELVE MONTHS
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Total Assets $812,815 $748,098
Net Loans 465,453 442,914
Total Deposits 627,926 588,254
Investment Securities 292,181 251,089
Stockholders' Equity 80,214 80,952
Book Value Per Share * 6.31 6.38
Shares Outstanding 12,705 12,436
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RATIOS
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Return on Average Assets 1.20% 1.12%
Return on Average Equity 11.77 10.27
Efficiency Ratio 56.15 59.17
Equity to Asset Ratio 9.87 10.82
Dividends to Net Income 79.89 87.27
Loans to Assets 58.08 60.11
Net Loans to Deposits 74.13 75.29
Allowance for Loan Losses to Total Loans 1.41 1.51
Non-performing Loans to Total Loans 0.32 0.38
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* Per share amounts have been restated to reflect the 2% stock dividend paid in
2003 and 2002.