Richmond Mutual Bancorporation, Inc. (RMBI): Marketing Mix Analysis [Dec-2025 Updated]

You're looking for the real story on Richmond Mutual Bancorporation, Inc.'s market position as we close out 2025, and frankly, the narrative is dominated by their strategic move to merge and expand their scale. Forget just looking at their core checking accounts or residential mortgages for a second; the real action is in how this merger will instantly grow their physical footprint from 13 to 24 branches across Indiana and Ohio, while their pricing strategy is already delivering-think a Net Interest Margin of 3.07% in Q3 2025 and a loan yield hitting 6.63%. I've mapped out their entire marketing mix-Product, Place, Promotion, and Price-to show you exactly how this community bank is positioning itself for growth, right down to the recent appointment of a First Vice President of Marketing to drive the message home. Keep reading to see the precise numbers behind their investor appeal, like that 9.18% equity-to-assets ratio, and what it all means for their next chapter.

Richmond Mutual Bancorporation, Inc. (RMBI) - Marketing Mix: Product

Richmond Mutual Bancorporation, Inc., through its primary subsidiary First Bank Richmond, offers a suite of traditional banking products designed for individuals and businesses across its operational footprint in Indiana and Ohio.

The core deposit offerings forming the foundation of the balance sheet include:

• Savings deposit accounts
• Money market accounts
• NOW and demand accounts
• Certificates of Deposit (CDs)

As of September 30, 2025, total deposits stood at $1.1 billion. Of this total, noninterest-bearing deposits accounted for $110.8 million, representing 9.9% of total deposits.

The lending product set is diverse, supporting both consumer and commercial sectors. The total loans and leases, net of the allowance for credit losses, were $1.2 billion as of September 30, 2025.

The lending portfolio encompasses several key categories:

Richmond Mutual Bancorporation, Inc. shows a distinct emphasis on commercial credit expansion, as evidenced by year-to-date growth figures for the nine months ending September 30, 2025:

• Commercial Real Estate loans increased by $49.0 million.
• Multi-family loans increased by $31.1 million.
• Commercial and Industrial loans increased by $12.0 million.

Beyond primary deposit-taking and lending, Richmond Mutual Bancorporation, Inc. provides fee-based services to enhance customer value. These services include:

• Trust and estate administration, including serving as executor and trustee.
• Investment management services for individuals and institutions.
• Retirement plan administration.
• Private banking services.

While the most recent specific data point is from a prior period, total wealth management assets under management and administration were reported at $126.0 million at December 31, 2018, with fee income from these activities constituting 9.0% of total income in that year.

The announced merger agreement with The Farmers Bancorp, valued at approximately $82 million, is structured to significantly enhance the product scope. The combined entity is projected to become a premier community bank with total assets of $2.6 billion, which is expected to unlock higher lending limits and deliver broader product offerings to customers.

Richmond Mutual Bancorporation, Inc. (RMBI) - Marketing Mix: Place

You're looking at how Richmond Mutual Bancorporation, Inc. makes its services available to customers across its footprint. The Place strategy centers on a community-focused physical presence, heavily supplemented by digital access.

As of late 2025, the existing physical network for First Bank Richmond, the primary banking subsidiary, consists of a defined set of locations across two states. This network is structured to serve local markets directly.

• Indiana locations: 8 branches.
• Ohio locations: 5 branches plus 1 loan production office (LPO).

The Ohio operations are specifically branded and function under the Mutual Federal division of First Bank Richmond. This dual branding helps maintain local recognition while operating under the larger holding company structure.

A significant strategic move announced in November 2025 will reshape this distribution network. Richmond Mutual Bancorporation entered a definitive agreement to merge with The Farmers Bancorp. This transaction, valued at approximately $82 million, is designed to create a premier community bank with a substantially expanded footprint.

This merger expands the reach into new key markets in Central and East Central Indiana, as well as Western and Central Ohio, effectively increasing the physical touchpoints available to customers. The combined entity is projected to deliver approximately 35% Earnings Per Share (EPS) accretion for Richmond Mutual Bancorporation shareholders on a run-rate basis, calculated from annualized results for the three months ended September 30, 2025.

Supplementing this physical network, digital banking and online services are critical components of the Place strategy. These digital tools allow customers to open accounts, pay loans and bills, and view statements remotely. Still, the community bank model is anchored by the administrative headquarters, which will remain in Richmond, Indiana, for the combined holding company.

Finance: draft the pro-forma branch utilization report based on the 24-branch projection by Friday.

Richmond Mutual Bancorporation, Inc. (RMBI) - Marketing Mix: Promotion

Primary promotion centers on being a community-oriented financial institution. This message is reinforced by the physical footprint, which includes operating eight locations in Indiana (Richmond, Centerville, Cambridge City, and Shelbyville) and five locations in Ohio (Sidney, Piqua, and Troy), plus a loan production office in Columbus, Ohio. This local presence is a core differentiator in communications.

Investor communication highlights financial strength, which you see reflected in key balance sheet metrics. For instance, the 9.18% equity to assets ratio as of September 30, 2025, is a key figure used to signal capital adequacy to the market. Also, the Tier 1 capital to assets ratio stood at 10.85% at that same date. Here's a quick look at some of the figures used to promote stability:

Shareholder return is promoted via a consistent quarterly cash dividend of $0.15 per share. Richmond Mutual Bancorporation, Inc. announced this rate on November 19, 2025, payable on December 18, 2025, to stockholders of record as of December 4, 2025. This consistent payout, which translates to an annual dividend of $0.60 per share, is central to communicating value return.

The November 2025 merger announcement is a key promotional message for increased scale and service. Richmond Mutual Bancorporation, Inc. entered a definitive agreement to acquire Farmers Bancorp in an all-stock transaction valued at approximately $85.1 million (or about $82 million in another report). This combination is promoted as creating a premier $2.6 billion asset community bank with a network of 24 branches across Indiana and Ohio. Management is promoting the expected financial impact, specifically targeting approximately 35% EPS accretion for Richmond Mutual shareholders following the full realization of anticipated cost savings.

Internal focus on marketing is defintely growing, with a First Vice President of Marketing appointed in March 2025. This internal structural change suggests a more formalized approach to promotional activities moving forward. You can see the focus on strategic communication through these recent activities:

• Consistent quarterly cash dividend of $0.15 per share.
• Announcement of a transformational merger on November 11, 2025.
• Highlighting Q3 2025 diluted EPS growth of 54% year-over-year.
• The merger is structured to deliver approximately 35% EPS accretion.

Richmond Mutual Bancorporation, Inc. (RMBI) - Marketing Mix: Price

You're looking at how Richmond Mutual Bancorporation, Inc. prices its core offerings, which really boils down to managing the spread between what it earns on assets and what it pays for liabilities. For the third quarter of 2025, the annualized Net Interest Margin (NIM) expanded to 3.07%. This margin performance helped drive net interest income of $11.3 million in Q3 2025. That's the bottom line of their pricing strategy right there.

Here's a quick look at the key components that make up that net interest income picture as of late 2025:

The pricing strategy clearly balances competitive deposit rates with higher loan yields to achieve that income figure. You see the asset side performing well, with the average yield earned on the loan and lease portfolio reaching 6.63% in Q3 2025. On the funding side, the cost of funds is managed, with the average rate paid on interest-bearing deposits at 3.17% in Q1 2025, which shows a focus on keeping liability costs in check, though the Q3 2025 rate was slightly lower at 3.14%.

Also important for funding costs is the low-cost base of deposits. Noninterest-bearing deposits, a low-cost funding source, totaled $110.8 million as of September 30, 2025. That's nearly 10% of total deposits, which helps keep the overall cost of funds down, defintely supporting the margin expansion you saw.