Quiet but Consistent: How Norwood Financial (NWFL) Earned Its Spot Among Dividend Champions

Norwood Financial Corp. (NASDAQ:NWFL) was recently included on our list of Dividend Champion vs Aristocrats: 12 Under the Radar Stocks to Buy.

 In July, the company, along with PB Bankshares, announced that their boards have approved a merger agreement under which PB Bankshares will be merged into Norwood. The merger will create a combined institution with around $3.0 billion in assets, positioning it as a leading community bank serving Northeastern, Central, and Southeastern Pennsylvania.

This move significantly broadens Norwood Financial Corp. (NASDAQ:NWFL)’s presence, extending its reach into faster-growing markets across Central and Southeastern Pennsylvania. The company recently announced earnings for its Q2 2025 and reported strong results. Its return on assets improved by 31 basis points to reach 1.06% compared to Q2 2024. Net interest margin rose 13 basis points from the previous quarter and 63 basis points year-over-year. Loan growth was strong, with annualized increases of 4.4% for the quarter and 8.2% year-to-date. Meanwhile, deposits expanded at a 15% annualized pace year-to-date, while the cost of deposits declined by 20 basis points since Q4 2024.

Norwood Financial Corp. (NASDAQ:NWFL) ended the quarter with over $53 million available in cash and cash equivalents. On June 18, the company declared a quarterly dividend of $0.31 per share, which was in line with its previous dividend. Overall, it raised its payouts for 33 years in a row. The stock has a dividend yield of 5.05%, as of July 23.

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Disclosure: None.