Exhibit 99.1

SB Financial Group Announces Second Quarter 2022 Results

DEFIANCE, OH, July 25, 2022 -- SB Financial Group, Inc. (NASDAQ: SBFG) (“SB Financial” or the “Company”), a diversified financial services company providing full-service community banking, mortgage banking, wealth management, private client and title insurance services today reported earnings for the second quarter and six months ended June 30, 2022.

Second quarter 2022 highlights over prior-year second quarter include:

	●	Net income of $2.8 million; diluted earnings per share (“EPS”) of $0.40 or a 23.1 percent decrease

	●	Adjusted net income, excluding the impact of the Originated Mortgage Servicing Rights (“OMSR”) recapture of $0.2 million was $2.6 million, with EPS of $0.37

●

Mortgage origination volume of $95.5 million, reflects a decrease of $69.4 million, or 42.1 percent

Six months ended June 30, 2022, highlights over prior-year six months include:

	●	Net income of $5.6 million and diluted EPS of $0.79, compared to $10.8 million, or $1.49 per share or a 47.0 percent decrease

●

Adjusted net income, excluding the impact of OMSR activity of $4.8 million, down $4.0 million or 45.9 percent

Second quarter 2022 trailing twelve-month highlights include:

	●	Loans excluding Paycheck Protection Program (“PPP”) loans, increased $79.3 million, or 9.7 percent from the prior year

	●	Deposits decreased by $19.3 million, or 1.8 percent to $1.07 billion at quarter end

●

Mortgage origination volume of $472.1 million; servicing portfolio of $1.37 billion, which is up $0.05 billion, or 3.5 percent

Highlights	Three Months Ended									Six Months Ended
($ in thousands, except per share & ratios)	Jun. 2022			Jun. 2021			% Change			Jun. 2022			Jun. 2021			% Change
Operating revenue	$	14,266		$	15,694			-9.1	%	$	28,545		$	36,241			-21.2	%
Interest income		10,474			10,163			3.1	%		19,869			20,868			-4.8	%
Interest expense		881			1,006			-12.4	%		1,799			2,086			-13.8	%
Net interest income		9,593			9,157			4.8	%		18,070			18,782			-3.8	%
Provision for loan losses		-			-			0.0	%		-			750			-100.0	%
Noninterest income		4,673			6,537			-28.5	%		10,475			17,459			-40.0	%
Noninterest expense		10,802			11,076			-2.5	%		21,661			21,985			-1.5	%
Net income		2,834			3,761			-24.6	%		5,647			10,842			-47.9	%
Earnings per diluted share		0.40			0.52			-23.1	%		0.79			1.49			-47.0	%
Return on average assets		0.87	%		1.13	%		-23.0	%		0.85	%		1.66	%		-48.8	%
Return on average equity		8.88	%		10.42	%		-14.8	%		8.46	%		15.09	%		-43.9	%

Non-GAAP Measures
Adjusted net income	$	2,643		$	3,840			-31.2	%	$	4,754		$	8,783			-45.9	%
Adjusted diluted EPS		0.37			0.53			-30.2	%		0.67			1.21			-44.6	%
Adjusted return on average assets		0.81	%		1.16	%		-30.2	%		0.78	%		1.50	%		-48.0	%
Adjusted pre-tax, pre-provision income		3,223			4,717			-31.7	%		5,754			10,900			-47.2	%

“We had very strong loan growth this quarter of $45 million, which is in addition to the $28 million in growth we achieved in Q1,” said Mark A. Klein, Chairman, President, and CEO of SB Financial. “For the first half of 2022 we have grown our loan balances by 8.9 percent over 2021 year end. This growth was across all categories and we had positive growth from nearly all of our regions. The prime rate increases coupled with the loan growth resulted in interest income increasing over 11 percent from the linked quarter.”

RESULTS OF OPERATIONS

Consolidated Revenue

Total operating revenue, consisting of net interest income and noninterest income, was down 9.1 percent from the second quarter of 2021, and flat from the linked quarter.

●

Net interest income was up from the year-ago quarter by 4.8 percent, and up 13.2 percent from the linked quarter.

●

Net interest margin on a fully taxable equivalent basis (FTE) was up from both year-ago and linked quarters by 23 and 49 basis points, respectively, as loan balances were up $44.9 million from the linked quarter. Net of PPP, our net interest margin is higher by 34 basis points compared to the prior year.

●

Noninterest income was down 29 and 19 percent from the year ago and linked quarters, respectively, due to lower mortgage volume and OMSR recapture.

Mortgage Loan Business

Mortgage loan originations for the second quarter of 2022 were $95.5 million, down $69.4 million, or 42.1 percent, from the year-ago quarter; likewise, total sales of originated loans were $49.9 million, down $69.1 million, or 58.1 percent. For the first six months of 2022, SB Financial had total volume of $192.8 million, of which $141.4 million (73 percent) was new purchase/construction lending, $33.0 million was external refinance (17 percent), and the remaining $18.4 million (10 percent) was internal refinance.

Net mortgage banking revenue, consisting of gains on the sale of mortgage loans and net loan servicing fees, was $1.8 million for the second quarter of 2022, compared to $4.0 million for the year-ago quarter. The mortgage servicing valuation adjustment for the second quarter of 2022 was a positive $0.2 million, compared to a negative adjustment of $0.1 million for the second quarter of 2021. For the first six months of 2022, the recapture of servicing rights was $1.1 million compared to a recapture of $2.6 million for the prior year six months. The aggregate servicing valuation impairment ended the quarter at $0.3 million. The servicing portfolio at June 30, 2022, was $1.37 billion, up $0.05 billion, or 3.5 percent, from $1.32 billion at June 30, 2021.

Mr. Klein noted, “With fixed rate saleable mortgage rates above 5 percent for most of the quarter, we have continued to be flexible by originating more portfolio product with a special emphasis on the Private Client segment. We continue to look for ways to improve our efficiency in the mortgage business line and are committed to adding additional originators to capture market share and balance the entire business-line ecosystem.”

Mortgage Banking
($ in thousands)	Jun. 2022			Mar. 2022			Dec. 2021			Sep. 2021			Jun. 2021
Mortgage originations	$	95,454		$	97,394		$	126,611		$	152,623		$	164,883
Mortgage sales		49,915			72,154			110,543			123,083			119,064
Mortgage servicing portfolio		1,369,732			1,375,554			1,362,962			1,341,439			1,323,804
Mortgage servicing rights		13,408			13,135			12,034			11,194			10,678

Mortgage servicing revenue
Loan servicing fees		863			861			850			850			830
OMSR amortization		(496	)		(547	)		(807	)		(943	)		(948	)
Net administrative fees		367			314			43			(93	)		(118	)
OMSR valuation adjustment		239			890			581			248			(99	)
Net loan servicing fees		606			1,204			624			155			(217	)
Gain on sale of mortgages		1,196			1,676			3,194			3,947			4,255
Mortgage banking revenue, net	$	1,802		$	2,880		$	3,818		$	4,102		$	4,038

Noninterest Income and Noninterest Expense

SB Financial’s noninterest income for the quarter was down from the prior year and the linked quarter by 29 and 19 percent, respectively. Gain on sale yields on mortgage loan sales were down over 100 basis points from the prior year and the total dollars of sales were down over $69 million. Wealth management revenue was flat from the prior year as our retention efforts and new sales offset general market declines. SB Financial’s title agency, Peak Title, continued to transition to serving all of the Company’s needs by increasing commercial volume and with our new market expansions; as a result, revenue was up 31 percent compared to the prior year.

For the second quarter of 2022, noninterest expense of $10.8 million was down $0.3 million or 2.5 percent compared to the prior year. Decreased mortgage volume has been the main driver of lower operating expenses.

Mr. Klein stated, “We are committed to lowering our operating costs in both the Mortgage and Retail business lines to reflect not only lower volumes but also the change in consumer behavior of a more robust adoption of digital banking solutions.”

Noninterest Income / Noninterest Expense
($ in thousands, except ratios)	Jun. 2022			Mar. 2022			Dec. 2021			Sep. 2021			Jun. 2021
Noninterest Income (NII)	$	4,673		$	5,802		$	6,589		$	6,649		$	6,537
NII / Total Revenue		32.8	%		40.6	%		42.1	%		39.9	%		41.7	%
NII / Average Assets		1.4	%		1.7	%		2.0	%		2.0	%		2.0	%
Total Revenue Growth		-9.1	%		-46.9	%		-13.7	%		-15.3	%		-10.3	%

Noninterest Expense (NIE)	$	10,802		$	10,859		$	11,567		$	11,256		$	11,076
Efficiency Ratio		75.6	%		75.9	%		73.7	%		67.4	%		70.5	%
NIE / Average Assets		3.3	%		3.2	%		3.5	%		3.4	%		3.3	%
Net Noninterest Expense/Avg. Assets		-1.9	%		-1.5	%		-1.5	%		-1.4	%		-1.4	%
Total Expense Growth		-2.5	%		-0.5	%		8.3	%		-0.7	%		-5.0	%

Balance Sheet

Total assets as of June 30, 2022, were $1.29 billion, down $0.02 billion, or 1.4 percent, from the year ago quarter due to declining deposit levels as the consumer began to put their excess liquidity to use in the economy. Total shareholders’ equity as of June 30, 2022, was $124.6 million, down 13.5 percent from a year ago due to the valuation adjustment on the Company’s bond portfolio. Absent that negative impact, equity increased $3.2 million or 2.3 percent. SB Financial bought back 94,211 shares of our stock in the quarter at an average price of $18.08 or 122 percent of tangible book value.

Total loans held for investment were $895.6 million at June 30, 2022, up $45.1 million, or 5.3 percent, from June 30, 2021. Excluding PPP activity from both years, loan balances were up $79.3 million, or 9.7 percent.

The investment portfolio of $271.5 million, including shares in the Federal Reserve Bank and Federal Home Loan Bank, represented 21.0 percent of assets at June 30, 2022, and was up 25.1 percent from the year-ago period. Deposit balances of $1.07 billion at June 30, 2022, decreased by $0.02 billion, or 1.8 percent, since June 30, 2021.

Mr. Klein continued, “Loan growth from the linked quarter met and exceeded our expectations and we remain very positive about the loan pipelines in all of our markets. The consumer and our small business clients began to utilize their liquidity as we saw deposit and cash levels decline this quarter.”


Loan Balances ($ in thousands, except ratios)	Jun. 2022			Mar. 2022			Dec. 2021			Sep. 2021			Jun. 2021			Annual Growth
Commercial	$	127,711		$	124,857		$	122,373		$	138,085		$	149,998		$	(22,287	)
% of Total		14.3	%		14.7	%		14.9	%		16.3	%		17.6	%		-14.9	%
Commercial RE		404,260			400,101			381,387			387,858			389,287			14,973
% of Total		45.1	%		47.0	%		46.4	%		45.8	%		45.8	%		3.8	%
Agriculture		60,586			55,741			57,473			57,374			50,895			9,691
% of Total		6.8	%		6.6	%		7.0	%		6.8	%		6.0	%		19.0	%
Residential RE		241,614			214,015			206,324			207,571			203,294			38,320
% of Total		27.0	%		25.2	%		25.1	%		24.5	%		23.9	%		18.8	%
Consumer & Other		61,440			55,957			55,157			55,660			57,039			4,401
% of Total		6.9	%		6.6	%		6.7	%		6.6	%		6.7	%		7.7	%
Total Loans	$	895,611		$	850,671		$	822,714		$	846,548		$	850,513		$	45,098
Total Growth Percentage																	5.3	%

Deposit Balances ($ in thousands, except ratios)	Jun. 2022			Mar. 2022			Dec. 2021			Sep. 2021			Jun. 2021			Annual Growth
Non-Int DDA	$	239,676		$	252,273		$	247,044		$	258,857		$	240,572		$	(896	)
% of Total		22.4	%		22.2	%		22.2	%		23.3	%		22.0	%		-0.4	%
Interest DDA		198,286			211,152			195,464			189,130			187,023			11,263
% of Total		18.5	%		18.6	%		17.6	%		17.0	%		17.1	%		6.0	%
Savings		215,285			236,394			237,571			246,414			235,231			(19,946	)
% of Total		20.1	%		20.8	%		21.3	%		22.2	%		21.6	%		-8.5	%
Money Market		276,274			289,699			276,462			258,741			255,512			20,762
% of Total		25.8	%		25.5	%		24.8	%		23.3	%		23.4	%		8.1	%
Time Deposits		142,258			148,553			156,504			158,518			172,696			(30,438	)
% of Total		13.3	%		13.1	%		14.1	%		14.3	%		15.8	%		-17.6	%
Total Deposits	$	1,071,779		$	1,138,071		$	1,113,045		$	1,111,660		$	1,091,034		$	(19,255	)
Total Growth Percentage																	-1.8	%

Asset Quality

SB Financial reported nonperforming assets of $5.4 million as of June 30, 2022, down $0.6 million or 9.5 percent from the year-ago quarter. The Company took minimal charge-offs in the quarter, and for the year, had just $4,000 in net charge-offs. The coverage of problem loans by the loan loss allowance was at 290 percent at June 30, 2022.

Nonperforming Assets																Annual
($ in thousands, except ratios)	Jun. 2022			Mar. 2022			Dec. 2021			Sep. 2021			Jun. 2021			Change
Commercial & Agriculture	$	140		$	142		$	143		$	144		$	375		$	(235	)
% of Total Com./Ag. loans		0.07	%		0.08	%		0.08	%		0.07	%		0.19	%		-62.7	%
Commercial RE		359			544			554			566			1,026			(667	)
% of Total CRE loans		0.09	%		0.14	%		0.15	%		0.15	%		0.26	%		-65.0	%
Residential RE		3,176			3,198			2,484			2,056			1,751			1,425
% of Total Res. RE loans		1.31	%		1.49	%		1.20	%		0.99	%		0.86	%		81.4	%
Consumer & Other		323			409			471			422			463			(140	)
% of Total Con./Oth. loans		0.53	%		0.73	%		0.85	%		0.76	%		0.81	%		-30.2	%
Total Nonaccruing Loans		3,998			4,293			3,652			3,188			3,615			383
% of Total loans		0.45	%		0.50	%		0.44	%		0.38	%		0.43	%		10.6	%
Accruing Restructured Loans		683			762			725			805			758			(75	)
Total Change (%)																	-9.9	%
Total Nonaccruing & Restructured Loans		4,681			5,055			4,377			3,993			4,373			308
% of Total loans		0.52	%		0.59	%		0.53	%		0.47	%		0.51	%		7.0	%
Foreclosed Assets and Other Assets		730			527			2,104			1,601			1,603			(873	)
Total Change (%)																	-54.5	%
Total Nonperforming Assets	$	5,411		$	5,582		$	6,481		$	5,594		$	5,976		$	(565	)
% of Total assets		0.42	%		0.42	%		0.49	%		0.42	%		0.46	%		-9.5	%

Webcast and Conference Call

The Company will hold a related conference call and webcast on July 26, 2022, at 11:00 a.m. EDT. Interested parties may access the conference call by dialing 1-888-338-9469. The webcast can be accessed at ir.yourstatebank.com. An audio replay of the call will be available on the Company’s website.

About SB Financial Group

Headquartered in Defiance, Ohio, SB Financial is a diversified financial services holding company for the State Bank & Trust Company (State Bank) and SBFG Title, LLC dba Peak Title (Peak Title). State Bank provides a full range of financial services for consumers and small businesses, including wealth management, private client services, mortgage banking and commercial and agricultural lending, operating through a total of 23 offices; 22 in nine Ohio counties and one in Fort Wayne, Indiana, and 24 full-service ATMs. State Bank has five loan production offices located throughout the Tri-State region of Ohio, Indiana and Michigan. Peak Title provides title insurance and title opinions throughout the Tri-State region. SB Financial’s common stock is listed on the NASDAQ Capital Market under the symbol “SBFG”.

In April 2022, SB Financial was named to the Keefe, Bruyette & Woods, Inc. “Bank Honor Roll” of superior performers that consistently reported increases in earnings per share over the last decade. The honor roll review determined that just 17 banks in the U.S., including SB Financial, or five percent of all banks screened, qualified for inclusion.

Forward-Looking Statements

Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, the duration and scope of the COVID-19 outbreak in the United States and the market areas in which SB Financial and its subsidiaries operate, including the impact to the state and local economies of prolonged shelter in place orders and the pandemic generally, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which SB Financial and its subsidiaries operate, changes in policies by regulatory agencies, changes in accounting standards and policies, changes in tax laws, fluctuations in interest rates, demand for loans in the market areas in SB Financial and its subsidiaries operate, increases in FDIC insurance premiums, changes in the competitive environment, losses of significant customers, geopolitical events, the loss of key personnel and other risks identified in SB Financial’s Annual Report on Form 10-K and documents subsequently filed by SB Financial with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made, and SB Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made, except as required by law. All subsequent written and oral forward-looking statements attributable to SB Financial or any person acting on its behalf are qualified by these cautionary statements.

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (“GAAP”). Non-GAAP financial measures, specifically pre-tax, pre-provision income, tangible common equity, tangible assets, tangible book value per common share, tangible common equity to tangible assets, return on average tangible common equity, total interest income – FTE, net interest income – FTE and net interest margin – FTE are used by the Company’s management to measure the strength of its capital and analyze profitability, including its ability to generate earnings on tangible capital invested by its shareholders. In addition, the Company excludes the non-GAAP items of OMSR impairment and merger related costs from net income to report an adjusted net income level. Although management believes these non-GAAP measures are useful to investors by providing a greater understanding of its business, they should not be considered a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

Investor Contact Information:

Mark A. Klein

Chairman, President and

Chief Executive Officer

Mark.Klein@YourStateBank.com

Anthony V. Cosentino

Executive Vice President and

Chief Financial Officer

Tony.Cosentino@YourStateBank.com

###

SB FINANCIAL GROUP, INC.

CONSOLIDATED BALANCE SHEETS - (Unaudited)


	June			March			December			September			June
($ in thousands)	2022			2022			2021			2021			2021

ASSETS
Cash and due from banks	$	29,567		$	130,003		$	149,511		$	138,015		$	154,993
Interest bearing time deposits		1,691			1,894			2,643			2,651			2,906
Available-for-sale securities		266,162			265,311			263,259			248,815			211,756
Loans held for sale		4,242			4,737			7,472			10,335			8,731
Loans, net of unearned income		895,611			850,671			822,714			846,548			850,513
Allowance for loan losses		(13,801	)		(13,804	)		(13,805	)		(13,812	)		(13,306	)
Premises and equipment, net		23,122			23,039			23,212			23,874			24,343
Federal Reserve and FHLB Stock, at cost		5,303			5,303			5,303			5,303			5,303
Foreclosed assets and other assets		730			527			2,104			1,601			1,603
Interest receivable		3,256			2,815			2,920			2,954			3,000
Goodwill		23,239			23,239			23,191			22,091			22,091
Cash value of life insurance		28,556			17,932			17,867			17,795			17,721
Mortgage servicing rights		13,408			13,135			12,034			11,194			10,678
Other assets		12,886			10,328			12,430			12,361			12,175

Total assets	$	1,293,972		$	1,335,130		$	1,330,855		$	1,329,725		$	1,312,507

LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits
Non interest bearing demand	$	239,676		$	252,273		$	247,044		$	258,857		$	240,572
Interest bearing demand		198,286			211,152			195,464			189,130			187,023
Savings		215,285			236,394			237,571			246,414			235,231
Money market		276,274			289,699			276,462			258,741			255,512
Time deposits		142,258			148,553			156,504			158,518			172,696

Total deposits		1,071,779			1,138,071			1,113,045			1,111,660			1,091,034

Short-term borrowings		30,772			19,035			15,320			20,771			25,096
Federal Home Loan Bank advances		25,000			5,500			5,500			5,500			5,500
Trust preferred securities		10,310			10,310			10,310			10,310			10,310
Subordinated debt net of issuance costs		19,570			19,558			19,546			19,534			19,522
Interest payable		307			536			299			576			417
Other liabilities		11,678			9,483			21,906			17,082			16,611

Total liabilities		1,169,416			1,202,493			1,185,926			1,185,433			1,168,490

Shareholders’ Equity
Common stock		61,319			61,319			54,463			54,463			54,463
Additional paid-in capital		15,069			14,872			14,944			14,875			14,906
Retained earnings		96,809			94,833			99,716			97,183			93,851
Accumulated other comprehensive income (loss)		(22,210	)		(13,659	)		(1,845	)		(699	)		499
Treasury stock		(26,431	)		(24,728	)		(22,349	)		(21,530	)		(19,702	)

Total shareholders’ equity		124,556			132,637			144,929			144,292			144,017

Total liabilities and shareholders’ equity	$	1,293,972		$	1,335,130		$	1,330,855		$	1,329,725		$	1,312,507

SB FINANCIAL GROUP, INC.

CONSOLIDATED STATEMENTS OF INCOME - (Unaudited)

	At and for the Three Months Ended											Six Months Ended
	June		March		December		September		June			June		June
($ in thousands, except per share & ratios)	2022		2022		2021		2021		2021			2022		2021
Interest income
Loans
Taxable	$	8,880	$	8,052	$	8,889	$	9,948	$	9,196		$	16,932	$	19,122
Tax exempt		73		61		59		52		47			134		95
Securities
Taxable		1,469		1,235		969		939		835			2,704		1,478
Tax exempt		52		47		86		94		85			99		173
Total interest income		10,474		9,395		10,003		11,033		10,163			19,869		20,868

Interest expense
Deposits		567		618		640		709		818			1,185		1,780
Repurchase agreements & other		11		13		7		12		12			24		23
Federal Home Loan Bank advances		38		39		41		40		51			77		107
Trust preferred securities		71		53		49		49		50			124		101
Subordinated debt		194		195		188		199		75			389		75
Total interest expense		881		918		925		1,009		1,006			1,799		2,086

Net interest income		9,593		8,477		9,078		10,024		9,157			18,070		18,782

Provision for loan losses		-		-		-		300		-			-		750


Net interest income after provision for loan losses		9,593		8,477		9,078		9,724		9,157			18,070		18,032

Noninterest income
Wealth management fees		936		955		988		959		955			1,891		1,867
Customer service fees		860		794		827		812		820			1,654		1,578
Gain on sale of mtg. loans & OMSR		1,196		1,676		3,194		3,947		4,255			2,872		10,114
Mortgage loan servicing fees, net		606		1,204		624		155		(217	)		1,810		2,161
Gain on sale of non-mortgage loans		167		169		44		52		45			336		62
Title insurance revenue		697		602		528		508		532			1,299		1,053
Gain (loss) on sale of assets		-		55		1		1		2			55		-
Other		211		347		383		215		145			558		624
Total noninterest income		4,673		5,802		6,589		6,649		6,537			10,475		17,459

Noninterest expense
Salaries and employee benefits		6,418		6,189		6,648		6,689		6,881			12,607		13,501
Net occupancy expense		719		742		846		714		748			1,461		1,488
Equipment expense		827		854		899		872		778			1,681		1,510
Data processing fees		643		576		721		671		653			1,219		1,187
Professional fees		760		950		872		817		574			1,710		1,338
Marketing expense		222		231		228		201		220			453		355
Telephone and communication expense		105		111		148		140		139			216		293
Postage and delivery expense		110		116		106		100		97			226		208
State, local and other taxes		277		278		288		286		278			555		601
Employee expense		175		136		163		186		161			311		314
Other expenses		546		676		648		580		547			1,222		1,190
Total noninterest expense		10,802		10,859		11,567		11,256		11,076			21,661		21,985

Income before income tax expense		3,464		3,420		4,100		5,117		4,618			6,884		13,506
Income tax expense		630		607		768		1,014		857			1,237		2,664

Net income	$	2,834	$	2,813	$	3,332	$	4,103	$	3,761		$	5,647	$	10,842

Common share data:
Basic earnings per common share	$	0.40	$	0.40	$	0.49	$	0.59	$	0.53		$	0.80	$	1.50
Diluted earnings per common share	$	0.40	$	0.40	$	0.49	$	0.58	$	0.52		$	0.79	$	1.49

Average shares outstanding (in thousands):
Basic:		7,075		7,035		6,906		6,966		7,148			7,055		7,232
Diluted:		7,149		7,100		6,970		7,017		7,200			7,116		7,256

SB FINANCIAL GROUP, INC.

CONSOLIDATED FINANCIAL HIGHLIGHTS - (Unaudited)

	At and for the Three Months Ended															Six Months Ended
($ in thousands, except per share & ratios)	June 2022			March 2022			December 2021			September 2021			June 2021			June 2022			June 2021
SUMMARY OF OPERATIONS
Net interest income	$	9,593		$	8,477		$	9,078		$	10,024		$	9,157		$	18,070		$	18,782
Tax-equivalent adjustment		33			29			39			39			35			62			71
Tax-equivalent net interest income		9,626			8,506			9,117			10,063			9,192			18,132			18,853
Provision for loan loss		-			-			-			300			-			-			750
Noninterest income		4,673			5,802			6,589			6,649			6,537			10,475			17,459
Total operating revenue		14,266			14,279			15,667			16,673			15,694			28,545			36,241
Noninterest expense		10,802			10,859			11,567			11,256			11,076			21,661			21,985
Pre-tax pre-provision income		3,464			3,420			4,100			5,417			4,618			6,884			14,256
Pretax income		3,464			3,420			4,100			5,117			4,618			6,884			13,506
Net income		2,834			2,813			3,332			4,103			3,761			5,647			10,842

PER SHARE INFORMATION:
Basic earnings per share (EPS)		0.40			0.40			0.49			0.59			0.53			0.80			1.50
Diluted earnings per share		0.40			0.40			0.49			0.58			0.52			0.79			1.49
Common dividends		0.120			0.115			0.115			0.110			0.110			0.235			0.215
Book value per common share		17.75			18.65			21.05			20.83			20.49			17.75			20.49
Tangible book value per common share (TBV)		14.36			15.31			17.60			17.55			17.25			14.36			17.25
Market price per common share		17.26			19.91			19.67			18.18			18.50			17.26			18.50
Market price to TBV		120.2	%		130.1	%		111.8	%		103.6	%		107.2	%		120.2	%		107.2	%
Market price to trailing 12 month EPS		9.3			10.0			7.7			6.7			6.5			9.3			6.5

PERFORMANCE RATIOS:
Return on average assets (ROAA)		0.87	%		0.83	%		0.99	%		1.23	%		1.13	%		0.85	%		1.66	%
Pre-tax pre-provision ROAA		1.06	%		1.01	%		1.22	%		1.63	%		1.39	%		1.11	%		2.32	%
Return on average equity		8.89	%		8.08	%		9.21	%		11.35	%		10.42	%		8.46	%		15.09	%
Return on average tangible equity		10.93	%		9.75	%		10.92	%		13.47	%		12.37	%		10.30	%		17.92	%
Efficiency ratio		75.60	%		75.93	%		73.72	%		67.40	%		70.46	%		75.76	%		60.56	%
Earning asset yield		3.45	%		2.96	%		3.17	%		3.25	%		3.56	%		3.20	%		3.40	%
Cost of interest bearing liabilities		0.39	%		0.39	%		0.40	%		0.44	%		0.44	%		0.38	%		0.47	%
Net interest margin		3.15	%		2.67	%		2.87	%		3.20	%		2.93	%		2.91	%		3.06	%
Tax equivalent effect		0.01	%		0.01	%		0.02	%		0.01	%		0.01	%		0.01	%		0.01	%
Net interest margin, tax equivalent		3.16	%		2.68	%		2.89	%		3.21	%		2.94	%		2.92	%		3.07	%
Non interest income/Average assets		1.43	%		1.72	%		1.96	%		1.99	%		1.97	%		1.58	%		2.67	%
Non interest expense/Average assets		3.31	%		3.22	%		3.45	%		3.38	%		3.33	%		3.26	%		3.37	%
Net noninterest expense/Average assets		-1.88	%		-1.50	%		-1.48	%		-1.38	%		-1.37	%		-1.68	%		-0.70	%

ASSET QUALITY RATIOS:
Gross charge-offs		9			9			34			24			26			18			78
Recoveries		6			8			27			230			6			14			60
Net charge-offs		3			1			7			(206	)		20			4			18
Nonaccruing loans/Total loans		0.45	%		0.50	%		0.44	%		0.38	%		0.43	%		0.45	%		0.43	%
Nonperforming loans/Total loans		0.52	%		0.59	%		0.53	%		0.47	%		0.51	%		0.52	%		0.51	%
Nonperforming assets/Loans & OREO		0.60	%		0.66	%		0.79	%		0.66	%		0.70	%		0.60	%		0.70	%
Nonperforming assets/Total assets		0.42	%		0.42	%		0.49	%		0.42	%		0.46	%		0.42	%		0.46	%
Allowance for loan loss/Nonperforming loans		294.83	%		273.08	%		315.40	%		345.91	%		304.28	%		294.83	%		304.28	%
Allowance for loan loss/Total loans		1.54	%		1.62	%		1.68	%		1.63	%		1.56	%		1.54	%		1.56	%
Net loan charge-offs/Average loans (ann.)		0.00	%		0.00	%		0.00	%		(0.10	%)		0.01	%		0.00	%		0.00	%

CAPITAL & LIQUIDITY RATIOS:
Loans/ Deposits		83.56	%		74.75	%		73.92	%		76.15	%		77.95	%		83.56	%		77.95	%
Equity/ Assets		9.63	%		9.93	%		10.89	%		10.85	%		10.97	%		9.63	%		10.97	%
Tangible equity/Tangible assets		7.93	%		8.30	%		9.27	%		9.30	%		9.41	%		7.93	%		9.41	%
Common equity tier 1 ratio (Bank)		14.08	%		13.71	%		13.94	%		13.23	%		13.11	%		14.08	%		13.11	%

END OF PERIOD BALANCES
Total assets		1,293,972			1,335,130			1,330,855			1,329,725			1,312,507			1,293,972			1,312,507
Total loans		895,611			850,671			822,714			846,548			850,513			895,611			850,513
Deposits		1,071,779			1,138,071			1,113,045			1,111,660			1,091,034			1,071,779			1,091,034
Stockholders equity		124,556			132,637			144,929			144,292			144,017			124,556			144,017
Goodwill and intangibles		23,804			23,804			23,774			22,692			22,710			23,804			22,710
Tangible equity		100,752			108,833			121,155			121,600			121,307			100,752			121,307
Mortgage servicing portfolio		1,369,732			1,375,554			1,362,962			1,341,439			1,323,804			1,369,732			1,323,804
Wealth/Brokerage assets under care		500,487			560,698			618,279			588,319			600,904			500,487			600,904
Total assets under care		3,164,191			3,271,382			3,312,096			3,259,483			3,237,215			3,164,191			3,237,215
Full-time equivalent employees		267			256			269			264			256			267			256
Period end common shares outstanding		7,017			7,111			6,884			6,927			7,027			7,017			7,027
Market capitalization (all)		121,105			141,575			135,415			125,935			130,000			121,105			130,000

AVERAGE BALANCES
Total assets		1,305,815			1,350,982			1,342,202			1,333,369			1,329,348			1,328,216			1,306,355
Total earning assets		1,216,124			1,270,218			1,263,431			1,253,722			1,251,213			1,243,017			1,227,359
Total loans		870,439			832,825			845,078			856,486			853,794			851,736			858,321
Deposits		1,108,890			1,134,234			1,123,843			1,109,491			1,115,186			1,121,373			1,094,269
Stockholders equity		127,519			139,214			144,749			144,565			144,315			133,471			143,709
Goodwill and intangibles		23,796			23,801			22,701			22,701			22,718			23,798			22,727
Tangible equity		103,723			115,413			122,048			121,864			121,597			109,673			120,982
Average basic shares outstanding		7,075			7,035			6,906			6,966			7,148			7,055			7,232
Average diluted shares outstanding		7,149			7,100			6,970			7,017			7,200			7,116			7,256

SB FINANCIAL GROUP, INC.

Rate Volume Analysis - (Unaudited)

For the Three and Six Months Ended June 30, 2022 and 2021

	Three Months Ended Jun. 30, 2022								Three Months Ended Jun. 30, 2021
	Average					Average			Average					Average
($ in thousands)	Balance			Interest		Rate			Balance			Interest		Rate
Assets
Taxable securities/cash	$	337,226		$	1,469		1.74	%	$	390,036		$	835		0.86	%
Nontaxable securities		8,459			52		2.46	%		7,383			85		4.61	%
Loans, net		870,439			8,953		4.11	%		853,794			9,243		4.33	%
Total earning assets		1,216,124			10,474		3.45	%		1,251,213			10,163		3.25	%

Cash and due from banks		7,177								6,992
Allowance for loan losses		(13,803	)							(13,565	)
Premises and equipment		23,741								23,988
Other assets		72,576								60,720
Total assets	$	1,305,815							$	1,329,348

Liabilities
Savings, MMDA and interest bearing demand	$	713,367		$	353		0.20	%	$	672,803		$	464		0.28	%
Time deposits		145,694			214		0.59	%		183,138			354		0.77	%
Repurchase agreements & other		18,671			11		0.24	%		23,607			12		0.20	%
Advances from Federal Home Loan Bank		3,989			38		3.81	%		7,066			51		2.89	%
Trust preferred securities		10,310			71		2.75	%		10,310			50		1.94	%
Subordinated debt		19,564			194		3.97	%		9,880			75		0.00	%
Total interest bearing liabilities		911,595			881		0.39	%		906,804			1,006		0.44	%
Non interest bearing demand		249,829			-					259,245			-
Total funding		1,161,424					0.30	%		1,166,049					0.35	%
Other liabilities		16,872								18,984
Total liabilities		1,178,296								1,185,033
Equity		127,519								144,315
Total liabilities and equity	$	1,305,815							$	1,329,348
Net interest income				$	9,593							$	9,157

Net interest income as a percent of average interest-earning assets - GAAP measure							3.155	%							2.93	%

Net interest income as a percent of average interest-earning assets - non GAAP - Computed on a fully tax equivalent (FTE) basis							3.164	%							2.94	%

	Six Months Ended Jun. 30, 2022								Six Months Ended Jun. 30, 2021
	Average					Average			Average					Average
	Balance			Interest		Rate			Balance			Interest		Rate
Assets
Taxable securities/cash	$	383,272		$	2,704		1.41	%	$	361,566		$	1,478		0.82	%
Nontaxable securities		8,009			99		2.47	%		7,472			173		4.63	%
Loans, net		851,736			17,066		4.01	%		858,321			19,217		4.48	%
Total earning assets		1,243,017			19,869		3.20	%		1,227,359			20,868		3.40	%
Cash and due from banks		7,593								7,769
Allowance for loan losses		(13,805	)							(13,206	)
Premises and equipment		24,522								23,743
Other assets		66,889								60,690
Total assets	$	1,328,216							$	1,306,355

Liabilities
Savings, MMDA and interest bearing demand	$	723,176		$	751		0.21	%	$	643,962		$	972		0.30	%
Time deposits		156,268			435		0.56	%		194,955			808		0.83	%
Repurchase agreements & Other		21,876			24		0.22	%		23,869			23		0.19	%
Advances from Federal Home Loan Bank		4,740			77		3.25	%		7,530			107		2.84	%
Trust preferred securities		10,310			124		2.41	%		10,310			101		1.96	%
Subordinated debt		19,558			389		3.98	%		5,646			75		2.66	%
Total interest bearing liabilities		935,928			1,799		0.38	%		886,272			2,086		0.47	%
Non interest bearing demand		241,929					0.31	%		255,352					0.37	%
Total funding		1,177,857								1,141,624
Other liabilities		16,888								21,022
Total liabilities		1,194,745								1,162,646
Equity		133,471								143,709
Total liabilities and equity	$	1,328,216							$	1,306,355
Net interest income				$	18,070							$	18,782

Net interest income as a percent of average interest-earning assets - GAAP measure							2.91	%							3.06	%

Net interest income as a percent of average interest-earning assets - non GAAP - Computed on a fully tax equivalent (FTE) basis							2.92	%							3.07	%

Non-GAAP reconciliation	Three Months Ended						Six Months Ended
($ in thousands, except per share & ratios)	Jun. 30, 2022			Jun. 30, 2021			Jun. 30, 2022			Jun. 30, 2021
Total Operating Revenue	$	14,266		$	15,694		$	28,545		$	36,241
Adjustment to (deduct)/add OMSR recapture/impairment*		(239	)		99			(1,128	)		(2,606	)
Adjusted Total Operating Revenue		14,027			15,793			27,417			33,635

Income before Income Taxes		3,464			4,618			6,884			13,506
Adjustment for OMSR		(239	)		99			(1,128	)		(2,606	)
Adjusted Income before Income Taxes		3,225			4,717			5,756			10,900

Provision for Income Taxes		630			857			1,237			2,664
Adjustment for OMSR **		(50	)		21			(237	)		(547	)
Adjusted Provision for Income Taxes		580			878			1,000			2,118

Net Income		2,834			3,761			5,647			10,842
Adjustment for OMSR		(189	)		79			(891	)		(2,059	)
Adjusted Net Income		2,645			3,840			4,756			8,783

Diluted Earnings per Share		0.40			0.52			0.79			1.49
Adjustment for OMSR		(0.03	)		0.01			(0.13	)		(0.28	)
Adjusted Diluted Earnings per Share	$	0.37		$	0.53		$	0.67		$	1.21

Return on Average Assets		0.87	%		1.13	%		0.85	%		1.66	%
Adjustment for OMSR		-0.06	%		0.02	%		-0.07	%		-0.16	%
Adjusted Return on Average Assets		0.81	%		1.15	%		0.78	%		1.50	%

valuation adjustment to the Company’s mortgage servicing rights

tax effect is calculated using a 21% statutory federal corporate income tax rate