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FNCB Bancorp , Inc. Press Release FOR IMMEDIATE RELEASE Exhibit 99.1 FNCB Bancorp , Inc. Announces 54.6 % Increase in Third Quarter 2021 Net Income Dunmore , Pa . , October 29 , 2021 / Globe Newswire / -FNCB Bancorp , Inc. ( NASDAQ : FNCB ; www.fncb.com ) , the parent company of Dunmore - based FNCB Bank ( the " Bank ” ) , ( collectively , " FNCB " ) today reported net income of $ 6.4 million , or $ 0.31 per basic and diluted share , for the three months ended September 30 , 2021 , an increase of $ 2.3 million , or 54.6 % from $ 4.1 million , or $ 0.20 per basic and diluted share , for the same three months of 2020. The increase in third quarter 2021 earnings was largely due to a $ 2.9 million increase in net interest income , coupled with a $ 0.5 million release of loan and lease loss reserves and a $ 0.3 million decrease in non - interest expense . These positive factors were partially offset by a $ 1.1 million reduction in non - interest income . For the nine months ended September 30 , 2021 , net income totaled $ 17.4 million , or $ 0.86 per basic and diluted share , an increase of $ 7.2 million , or 70.9 % , from $ 10.2 million , or $ 0.50 per basic and diluted share , for the same nine months of 2020. The earnings improvement for the year - to - date period ending September 30 , 2021 was primarily due to a $ 7.6 million increase in net interest income . Additionally , a $ 0.2 million release of reserves for the year - to - date period of 2021 compared to a provision of loan and lease losses of $ 2.1 million for the same period of 2020 , contributed to the improvement in earnings . Partially offsetting these favorable variances was a $ 0.8 million decrease in non - interest income and a $ 0.4 million increase in non - interest expense . For the three and nine months ended September 30 , 2021 , the annualized return on average assets was 1.58 % and 1.52 % , respectively , and 1.15 % and 1.03 % , respectively , for the same period of 2020. The annualized return on average equity was 15.61 % and 14.76 % , respectively for the three and nine months ended September 30 , 2021 , compared to 11.05 % and 9.63 % , for the comparable periods of 2020. FNCB declared and paid dividends to holders of common stock of $ 0.075 per share for the third quarter of 2021 and $ 0.195 per share for the nine months ended September 30 , 2021 , compared to $ 0.055 and $ 0.165 per share for the same periods of 2020 . Third quarter 2021 results as compared to the third quarter of 2020 : • Third quarter net income increased $ 2.3 million , or 54.6 % , to $ 6.4 million , or $ 0.31 per share in 2021 compared to $ 4.1 million , or $ 0.20 per share in 2020 ; Yield on earning assets ( FTE ) decreased 2 basis points to 3.63 % in 2021 from 3.65 % in 2020 ; • • Cost of funds decreased 36 basis points to 0.23 % in 2021 from 0.59 % in 2020 ; • Net interest margin ( FTE ) increased 27 basis points to 3.46 % in 2021 , compared to 3.19 % in 2020 ; • Credit for loan and lease losses of $ 0.5 million in 2021 , compared to a $ 0.1 million provision in 2020 ; • Non - interest income decreased $ 1.1 million , or 38.0 % ; • Non - interest expense decreased $ 0.3 million , or 4.4 % ; and • Efficiency ratio improved to 51.18 % in 2021 compared to 66.66 % in 2020 . Summary financial position at September 30 , 2021 as compared to December 31 , 2020 : • Total assets grew $ 200.2 million , or 13.7 % , to $ 1.666 billion at September 30 , 2021 from $ 1.466 billion at December 31 , 2020 ; • • • • • Loans and leases , net of deferred loan fees and cost and unearned income , increased $ 57.3 million , or 6.4 % , to $ 958.4 million at September 30 , 2021 from $ 901.1 million at December 31 , 2020 ; Included in net loans and leases , were PPP loans outstanding , net of loan origination fees and costs , of $ 47.5 million at September 30 , 2021 , and $ 76.0 million at December 31 , 2020 ; Total deposits increased $ 194.6 million , or 15.1 % to $ 1.482 billion at September 30 , 2021 from $ 1.287 billion at December 31 , 2020 ; Non - performing loans as a percentage of total loans improved to 0.47 % at September 30 , 2021 from 0.62 % at December 31 , 2020 ; Tangible book value was $ 8.10 per share at September 30 , 2021 , an increase of $ 0.40 per share , or 5.2 % , from $ 7.70 per share at December 31 , 2020 ; and The Bank was well capitalized with total risk - based capital and leverage ratios of 15.91 % and 9.80 % , respectively , at September 30 , 2021 , and 15.79 % and 9.57 % , respectively , at December 31 , 2020 . " We are very pleased with our third quarter 2021 results , " stated Gerard A. Champi , President and CEO . " We continued to expand our balance sheet , with total assets increasing $ 200.2 million year - to - date , as we strategically redirected excess liquidity from deposit inflows , into the investment portfolio . Our net interest income continued to be favorably impacted by reduced funding costs , origination fees recognized on forgiven PPP loans and organic loan growth , as borrowers took advantage of our proprietary " WOW " mortgage product . During the third quarter , we also expanded our commercial credit product offerings to include commercial equipment financing , through direct finance leases and simple interest loans . We hired a team of experienced professionals to establish this lending program , which is doing business under the name of 1st Equipment Finance . We expect that this new product offering will positively impact future revenues and enhance our net interest margin going forward . We continue to experience improvement in asset quality with further reductions in non - accrual loan levels and delinquency rates . We believe our balance sheet is well positioned as we look ahead to 2022 , " concluded Champi . 1