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EXHIBIT 99.1 CONTACT : KATHLEEN CAMPBELL , MARKETING DIRECTOR 570-662-0422 570-662-8512 ( FAX ) FIRST CITIZENS COMMUNITY BANK 15 S. MAIN STREET MANSFIELD , PA 16933 CITIZENS FINANCIAL SERVICES , INC . REPORTS UNAUDITED FIRST QUARTER 2021 FINANCIAL RESULTS MANSFIELD , PENNSYLVANIA- April 23 , 2021 - Citizens Financial Services , Inc. ( OTC Pink : CZFS ) , parent company of First Citizens Community Bank , released today its unaudited consolidated financial results for the three months ended March 31 , 2021 . Highlights • • The financial results of the Company continue to benefit from the acquisition of MidCoast Community Bancorp , Inc. that closed in the second quarter of 2020 . Net income was $ 8.5 million for the three months ended March 31 , 2021 , which is 86.8 % higher than the net income for 2020's comparable period . The effective tax rate for the three months ended March 31 , 2021 was 16.0 % compared to 16.4 % in the comparable period in 2020 . Net interest income before the provision for loan losses was $ 16.4 million for the three months ended March 31 , 2021 , an increase of $ 3.6 million , or 27.6 % , over the same period a year ago . Non - performing assets decreased $ 215,000 from year end and $ 1,644,000 since March 31 , 2020 and total $ 12,833,000 as of March 31 , 2021. As a percent of loans , non - performing assets totaled 0.92 % , 0.93 % and 1.33 % as of March 31 , 2021 , December 31 , 2020 and March 31 , 2020 . Return on average equity for the three months ( annualized ) ended March 31 , 2021 was 17.25 % compared to 11.48 % for the three months ( annualized ) ended March 31 , 2020 . Return on average tangible equity for the three months ( annualized ) ended March 31 , 2021 was 20.74 % compared to 13.59 % for the three months ( annualized ) ended March 31 , 2020 ( non - GAAP ) . ( 1 ) Return on average assets for the three months ( annualized ) ended March 31 , 2021 was 1.77 % compared to 1.24 % for the three months ( annualized ) ended March 31 , 2020 . If the life insurance proceeds on a former employees are excluded , the return on average equity and average assets would be 14.90 % and 1.52 % , respectively , for three months ( annualized ) ended March 31 , 2021 ( non - GAAP ) . ( 1 ) Covid 19 pandemic response and loan profile • During 2021 , the Company continued to participate in the Paycheck Protection Program ( PPP ) for loans provided under the auspices of the Small Business Administration ( SBA ) . From January 1 , 2021 to March 31 , 2021 , we issued 227 loans with aggregate balances of $ 18.5 million . As of March 31 , 2021 , 99 loans that were issued under this program in 2020 remain outstanding and have a balance of $ 9.8 million . The loans earn interest at 1 % per annum and the processing fee paid by the SBA will be accreted into income over the life of the loans . The SBA has issued guidance for forgiveness with a streamlined approach for loans of $ 150,000 or less . Of the PPP loans outstanding , 278 loans , or 85.3 % of the remaining PPP loans , had an original balance less than $ 150,000 . The outstanding balance for these 278 loans as of March 31 , 2021 was approximately $ 10.3 million .