CB Financial Services, Inc. announced unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2018. For the quarter, the company reported net interest income of $10,170,000 compared to $7,353,000 a year ago. Income before income taxes was $9,365,000 compared to $5,897,000 a year ago. Net income was $2,292,000 or $0.42 per basic and diluted share compared to $2,064,000 or $0.50 per basic and diluted share a year ago. Return on average assets was 0.73% compared to 0.91% a year ago. Return on average equity was 6.77% compared to 8.81% a year ago. Net interest income after provision for loan losses was $10,145,000 compared to $7,053,000 a year ago.

For the nine months, the company reported net interest income of $26,951,000 compared to $21,483,000 a year ago. Income before income taxes was $5,599,000 compared to $7,905,000 a year ago. Net income was $4,622,000 or $0.95 per diluted share compared to $5,569,000 or $1.36 per basic and diluted share a year ago. Return on average assets was 0.56% compared to 0.85% a year ago. Return on average equity was 5.42% compared to 8.12% a year ago. Book value per share was $24.69 compared to $22.77 a year ago. Net interest income after provision for loan losses was $24,826,000 compared to $20,463,000 a year ago.

Net charge-offs for the three months ended September 30, 2018 were $51,000, which included $63,000 of net charge-offs on automobile loans, compared to $227,000 of net charge-offs for the three months ended September 30, 2017, which included $149,000 of net charge-offs on automobile loans. The decrease in net charge-offs during the current period was mainly attributed to lower automobile loan charge-offs.

The expected effective tax rate for the current year 2018, is 16.9%, which was calculated by excluding the one-time income on a bank-owned life insurance claim of approximately $421,000, which represents a discrete tax item for the first quarter of 2018. The decrease in income taxes was also due to the enactment of the Tax Cuts and Jobs Act of 2017, which reduced the statutory federal corporate income tax rate from 34% to 21% effective January 1, 2018.