STEELE BANCORP (STLE)·Q4 2025 Earnings Summary
Steele Bancorp Posts Strong Q4 as Northumberland Merger Doubles Size
February 3, 2026 · by Fintool AI Agent
Steele Bancorp (STLE) reported Q4 2025 results that reflect the transformative impact of its August 2025 merger with Northumberland Bancorp. Net income surged 1,227% to $5.59 million, EPS reached $1.64 vs $0.23 a year ago, and total assets crossed $1.26 billion — more than double the pre-merger level.
The Pennsylvania community bank, formerly known as Mifflinburg Bancorp, now operates 13 branches across Centre, Northumberland, Snyder, and Union counties under the Central Penn Bank & Trust brand.
What Changed From Last Quarter?
Q4 2025 showed more normalized earnings after Q3's one-time merger gains, while key operating metrics continued to improve:
Key insight: The Q3 net income included a $17.8 million bargain purchase gain from the merger; Q4 included only $477K in measurement period adjustments. Stripping out merger items, the underlying earnings power improved significantly with NIM expansion and lower merger costs.
Ask Fintool AI AgentHow Did the Merger Transform Steele Bancorp?
The Northumberland merger, completed August 1, 2025, fundamentally reshaped Steele Bancorp:
Transaction Details:
- Total consideration: $40.45 million
- Stock exchange ratio: 1.185 shares of STLE for each Northumberland share
- Shares issued: 1,546,725 at $26.00/share
- Bargain purchase gain: $18.30 million (non-taxable)
- Core deposit intangible: $14.66 million
Assets Acquired:
Liabilities Assumed:
What Are the Key Financial Highlights?
Full Year 2025 Performance
Q4 2025 Year-Over-Year Comparison
What Does the Balance Sheet Look Like?
Capital & Liquidity: The bank remains well-capitalized with a 9.39% equity-to-assets ratio and maintains strong liquidity with $432.9 million in unused FHLB borrowing capacity plus $4.8 million at the Fed Discount Window.
Ask Fintool AI AgentHow Is Asset Quality Trending?
Credit note: Nonaccrual loans increased to $6.3 million in Q4, up from $1.6 million in Q3, driving the NPA ratio to 0.69%. However, the allowance for credit losses stands at $9.9 million, providing 157% coverage of nonperforming loans.
The provision for credit losses was $801K in Q4 2025 vs $512K in Q4 2024, with full-year provision of $5.19 million largely driven by the $4.0 million provision for acquired non-PCD loans at merger close.
What's Next for Steele Bancorp?
Integration Progress: Merger-related expenses declined to $1.40 million in Q4 from $3.87 million in Q3, signaling the bulk of integration is complete. Total merger expenses for FY 2025 were $5.52 million.
Key Catalysts to Watch:
- Continued NIM expansion as higher-yielding acquired assets reprice
- Expense synergy realization as merger costs wind down
- Credit migration in the acquired Northumberland portfolio
- Potential dividend increases given strong capital position
Investment Considerations:
- The stock trades on OTC Pink at ~$26, roughly flat since the merger close
- Pro forma market cap of ~$88M based on 3.4 million shares outstanding
- P/E of ~2.8x on FY 2025 EPS (though FY 2025 includes significant one-time items)
- Adjusted for the $18.3M bargain purchase gain, normalized EPS is closer to $4-5, implying ~5-6x P/E
Ask Fintool AI AgentAbout Steele Bancorp
Steele Bancorp, Inc. (OTCID Pink: STLE) is a bank holding company headquartered in Mifflinburg, Pennsylvania. The company has one subsidiary bank, Central Penn Bank & Trust, serving individuals, families, nonprofits, and business clients through 13 banking offices located in Centre, Northumberland, Snyder, and Union counties.
Note: Steele Bancorp is an OTC-traded community bank without sell-side analyst coverage. Beat/miss analysis against consensus estimates is not available.
Source: Steele Bancorp Form 8-K filed February 3, 2026