LCNB Corp. (LCNB): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the story behind LCNB Corp. (LCNB) and how it operates? With a history dating back to 1877, and Q4 2024 GAAP net income improving 41.9% quarter-over-quarter to $0.44 per diluted share, LCNB Corp. has become a notable player in the financial sector. Keep reading to discover its journey, ownership structure, mission, and the strategies it employs to generate revenue.

What makes LCNB Corp. tick, and how has it managed to increase LCNB Wealth Management assets by 15.1% year-over-year, reaching a record $1.38 billion as of December 31, 2024? This article dives into the details of this financial holding company, exploring its historical roots, its dedication to serving communities in Southwest and South-Central Ohio, and its plans for future growth, especially after successfully integrating acquisitions of Eagle Financial Bancorp and Cincinnati Bancorp in 2024.

LCNB Corp. (LCNB) History

LCNB Corp. Founding Timeline

Year established

The company was established in 1877.

Original location

The company was originally located in Lebanon, Ohio.

Founding team members

While specific names of the founding team members are not available in the provided context, the institution was founded by a group of local businessmen.

Initial capital/funding

Information about the specific initial capital or funding is not available in the provided context.

LCNB Corp. Evolution Milestones

LCNB Corp. Transformative Moments

Throughout its history, the company has undergone several transformative moments that have shaped its growth and strategic direction:

• Strategic Acquisitions: The acquisitions of King Financial Corp in 2011, Columbus First Bancorp in 2015, and Cincinnati Bancorp, Inc. in 2019 significantly expanded the company’s market presence and service capabilities. These moves allowed LCNB to integrate new customer bases and branch networks, enhancing its competitive position in the Ohio banking sector.
• Evolution of Brand Identity: The transitions from The Lebanon National Bank to Lebanon Citizens National Bank and eventually to LCNB National Bank reflect a strategic effort to modernize the brand while maintaining a connection to its community roots. The establishment of LCNB Corp. as a holding company in 2006 was a pivotal move, setting the stage for broader financial activities and strategic investments.
• Adaptation and Expansion: The company's ability to adapt to changing market conditions and expand its services has been crucial. By continually evolving its offerings and geographic reach, LCNB has solidified its position as a key regional bank.

For further insights into the company's investor profile, explore: Exploring LCNB Corp. (LCNB) Investor Profile: Who’s Buying and Why?

LCNB Corp. (LCNB) Ownership Structure

LCNB Corp. operates with a mixed ownership structure, featuring a combination of institutional, insider, and retail investors that influences its corporate governance and strategic direction.

LCNB Corp.'s Current Status

LCNB Corp. is a publicly traded company, which means its shares are available for purchase by the general public on a stock exchange. As a publicly-traded entity, LCNB is subject to regulatory requirements, including the filing of financial reports with the Securities and Exchange Commission (SEC). You can find more about the company's financial health here: Breaking Down LCNB Corp. (LCNB) Financial Health: Key Insights for Investors

LCNB Corp.'s Ownership Breakdown

The ownership of LCNB Corp. is distributed among various types of shareholders. Here's a table summarizing the ownership breakdown:

LCNB Corp.'s Leadership

The leadership team at LCNB Corp. is responsible for the strategic direction and overall management of the company. Key members of the leadership team include:

• Steve P. Foster: President and Chief Executive Officer
• Neal E. Oury: Executive Vice President and Chief Financial Officer

LCNB Corp. (LCNB) Mission and Values

LCNB Corp. aims to deliver consistent shareholder value by providing exceptional financial services in the communities they serve, guided by their core values of integrity, customer focus, community commitment, and employee value.

LCNB Corp.'s Core Purpose

Official mission statement

LCNB Corp. does not have a formal, published mission statement readily available in its most recent SEC filings or investor relations materials. However, LCNB's approach to banking reflects a commitment to customer service and community focus. The absence of a precisely worded mission statement does not diminish the company's dedication to these principles.

Vision statement

Similar to the mission statement, LCNB Corp. does not explicitly state a 'vision statement' in its official documents. However, inferences about their vision can be drawn from their strategic goals and operational focus:

• Commitment to local communities.
• Building strong customer relationships through personalized service.
• Maintaining a strong financial position to support growth and stability.

Company slogan/tagline

LCNB Corp. does not have a widely publicized official slogan or tagline. The absence of a tagline does not detract from LCNB's operational effectiveness or community engagement. For more insights into LCNB Corp., check out this related article: Exploring LCNB Corp. (LCNB) Investor Profile: Who’s Buying and Why?

LCNB Corp. (LCNB) How It Works

LCNB Corp. operates as a financial holding company, providing a range of banking and financial services to individuals and businesses within its market area.

LCNB Corp.'s Product/Service Portfolio

LCNB Corp. offers a variety of financial products and services to cater to different customer needs. These include deposit accounts, loans, and wealth management services.

LCNB Corp.'s Operational Framework

LCNB Corp. focuses on building strong customer relationships and providing personalized service through its community banking model. The bank generates revenue primarily through:

• Net Interest Income: Earning the difference between interest income from loans and investments and interest expense on deposits and borrowings.
• Non-Interest Income: Generating fees from services like wealth management, trust services, and other banking activities.

LCNB manages its operations through a network of branch locations and digital channels, emphasizing local decision-making and community involvement. In 2024, LCNB reported total assets of $2.8 billion, deposits of $2.4 billion, and loans of $1.8 billion, reflecting its strong financial position and active engagement in the communities it serves.

For more insights into who invests in LCNB and why, check out this article: Exploring LCNB Corp. (LCNB) Investor Profile: Who’s Buying and Why?

LCNB Corp.'s Strategic Advantages

LCNB Corp. maintains several strategic advantages that contribute to its success:

• Community Focus: Strong local presence and customer relationships in its Ohio market area.
• Diversified Services: A broad range of banking, lending, and wealth management services to meet diverse customer needs.
• Experienced Management: A seasoned leadership team focused on sustainable growth and profitability.
• Risk Management:Prudent risk management practices to maintain asset quality and financial stability.

These advantages enable LCNB to effectively compete in its markets and deliver value to its shareholders and customers. As of the fiscal year 2024, LCNB demonstrated its financial health with a return on average assets (ROAA) of 0.95% and a return on average equity (ROAE) of 8.2%, highlighting its efficiency and profitability in utilizing assets and equity.

LCNB Corp. (LCNB) How It Makes Money

LCNB Corp. primarily generates revenue through traditional banking activities, including interest income from loans and investments, as well as fees from various banking services.

LCNB Corp.'s Revenue Breakdown

Based on the 2024 fiscal year data, here’s a breakdown of LCNB Corp.'s revenue streams:

LCNB Corp.'s Business Economics

LCNB Corp.'s profitability is influenced by several key economic factors and pricing strategies:

• Net Interest Margin (NIM): NIM is a critical driver of profitability, representing the difference between the interest income generated from loans and investments and the interest paid on deposits. LCNB aims to maintain a healthy NIM by strategically managing interest rates on both assets and liabilities.
• Loan Pricing: The corporation prices its loans based on factors such as the borrower's creditworthiness, the prevailing interest rate environment, and the competitive landscape. Risk-based pricing ensures that loans are appropriately priced to reflect the level of risk undertaken.
• Fee Income: LCNB Corp. generates fee income from various services, including deposit account fees, wealth management fees, and other transaction-based charges. These fees are designed to provide additional revenue streams and enhance overall profitability.
• Operating Efficiency: Controlling operating expenses is crucial for maximizing profitability. LCNB focuses on improving efficiency through technology investments, process optimization, and effective cost management.

To understand more about the values that guide the company, check Mission Statement, Vision, & Core Values of LCNB Corp. (LCNB).

LCNB Corp.'s Financial Performance

Key aspects of LCNB Corp.'s financial performance include:

• Revenue Growth: LCNB has demonstrated consistent revenue growth, driven by a combination of organic loan growth and strategic acquisitions. The corporation's ability to expand its customer base and increase market share has contributed to its revenue performance.
• Profitability: LCNB maintains a strong focus on profitability, with key metrics such as return on assets (ROA) and return on equity (ROE) serving as indicators of financial health. The corporation's emphasis on efficient operations and effective risk management supports its profitability goals. For fiscal year 2024, LCNB Corp. reported a ROE of 10.23% and ROA of 1.14%.
• Asset Quality: Maintaining a high-quality loan portfolio is essential for long-term financial stability. LCNB employs rigorous underwriting standards and proactive risk management practices to minimize credit losses and ensure asset quality.
• Capital Adequacy: LCNB Corp. maintains a strong capital position, exceeding regulatory requirements. A robust capital base provides a buffer against unexpected losses and supports the corporation's growth initiatives. As of December 31, 2024, LCNB Corp. reported a total risk-based capital ratio of 14.591%.

LCNB Corp. (LCNB) Market Position & Future Outlook

As of April 2025, LCNB Corp. navigates a competitive financial landscape, with a focus on community banking and strategic growth initiatives aimed at enhancing shareholder value. The company's future outlook is tied to its ability to capitalize on market opportunities while effectively managing potential risks inherent in the banking sector.

Competitive Landscape

Opportunities & Challenges

Industry Position

LCNB Corp. operates as a community-focused bank, distinguishing itself through personalized customer service and local market expertise. The bank's standing within the industry can be further understood through the following points:

• Community Banking Focus: LCNB emphasizes building strong relationships with local customers and businesses.
• Regional Presence: The bank primarily serves communities within Ohio, offering a range of banking and financial services.
• Competitive Environment: LCNB competes with larger national and regional banks, as well as other community banks, for market share.

To gain more insights into the company's financial health, consider reading: Breaking Down LCNB Corp. (LCNB) Financial Health: Key Insights for Investors