LINKBANCORP, Inc. Reports Fourth Quarter 2025 Financial Outcomes and Dividend Declaration

HARRISBURG, PA – On January 26, 2026, LINKBANCORP, Inc. (NASDAQ: LNKB), the holding company for LINKBANK, announced its financial results for the fourth quarter and the entire year of 2025. The company reported a net income of $2.9 million, amounting to 8 cents per diluted share, for the quarter ending December 31, 2025. This marks a decline from the previous quarter where the net income reported was $7.8 million or 21 cents per diluted share.

Despite the drop in quarterly earnings, LINKBANCORP demonstrated resilience with an annual net income of $33.5 million, representing a substantial increase from $26.2 million in 2024, which corresponds to a growth of 26.8% year over year. Adjusted pre-tax, pre-provision net income rose to $11.7 million for the fourth quarter, up from $11.0 million the previous quarter.

Notable Financial Highlights

1. Significant Provision for Credit Losses: The results were impacted by a strategic increase in provisions due to a reserve for a commercial credit exposure of $5.0 million, leading to a full impairment and an after-tax effect of $4.0 million. This adjustment arises from concerns identified in the fourth quarter, where subsequent findings suggested potential fraudulent activities.
2. Dividend Declaration: In an optimistic move for shareholders, the Board of Directors declared a quarterly cash dividend of $0.075 per share, expected to be paid on March 16, 2026, to shareholders on record as of February 27, 2026.
3. Robust Annual Earnings Growth: The company saw a remarkable growth in adjusted pre-tax, pre-provision net income, increasing by 20% from $34.8 million in 2024 to $41.8 million in 2025.
4. Tangible Book Value Growth: As of December 31, 2025, the tangible book value per share climbed to $6.20, witnessing a 15.7% increase from $5.36 a year prior.
5. Expanding Deposit Franchise: LINKBANCORP reported total deposits of $2.55 billion, an increase of 10.9% year on year, reflective of the company's commitment to expanding its deposit base while adjusting for the impact of previous sales of banking operations and branches.
6. Loan Portfolio Growth: The total loan portfolio grew to $2.56 billion, marking an annual growth rate of 13.1%. Commercial loans showcased healthy growth, with commitments reaching $199.4 million in the fourth quarter.

Strategic Merger Plans

On the strategic front, the company announced a definitive agreement for a merger with Burke Herbert Financial Services Corp. The all-stock deal is valued at approximately $354.2 million, or $9.38 per share. This merger aims to create a prominent community banking entity in the Mid-Atlantic with assets nearing $11.0 billion, pending regulatory and shareholder approvals.

Andrew Samuel, Chief Executive Officer of LINKBANCORP, stated, “We are pleased with our core performance despite some challenges in the quarter. We have reached an all-time high in annual net income, which underscores our potential for robust organic growth and customer service excellence while positively impacting our shareholders' value.”

As the financial landscape continues to evolve, LINKBANCORP emphasizes its commitment to serving clients effectively and enhancing shareholder value through strategic initiatives and prudent financial management.

For more information about LINKBANCORP, Inc. and its financial updates, please visit www.linkbank.com.