Franklin Financial Services Corporation (FRAF) reported a substantial increase in fourth-quarter 2025 net income, rising to $6 million or $1.35 per diluted share, up from $487 thousand or 11 cents per diluted share a year earlier. This surge in profits came on the heels of a substantial 91.2% year-over-year increase in full-year net income, totaling $21.2 million or $4.74 per diluted share, aided by strong net interest income and the absence of previous securities-related losses. For the same quarter, net interest income climbed 23.3% to $18.6 million, while full-year net interest income grew 21.1% to $69.6 million.
As of December 31, 2025, total assets stood at $2.239 billion, marking a 1.9% increase from the previous year, while net loans increased 11.6% to $1.541 billion. Total deposits showed a modest growth of 1.1% to $1.836 billion. The bank’s performance ratios improved significantly, with the return on average assets up to 1.05% from 0.09% and the return on average equity increasing to 14.20% from 1.32%.
Franklin Financial also reported a total of $2.3 million in wealth management fees for the quarter, a 4.6% increase from the prior year, concluding the year with $1.421 billion in assets under management. The company currently remains “well-capitalized” under regulatory guidelines, although some deterioration in credit quality was noted with nonaccrual loans rising to 0.55% of total gross loans.
