8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 20, 2005

EAGLE FINANCIAL SERVICES, INC.

(Exact name of registrant as specified in its charter)

Virginia	0-20146	54-1601306
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

2 East Main Street P.O. Box 391 Berryville, Virginia	22611
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (540) 955-2510

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition

On July 20, 2005, the Registrant issued a press release announcing results for the quarter ended June 30, 2005. A copy of the press release is being furnished as an exhibit to this report and is incorporated by reference into this Item 2.02.

Item 9.01 Financial Statements and Exhibits

(c) Exhibits. The following exhibit is being furnished pursuant to Item 2.02 above.

Exhibit No.	Description
99.1	Press release dated July 20, 2005.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: July 20, 2005

Eagle Financial Services, Inc.
By:	/s/ JAMES W. MCCARTY, JR.
	James W. McCarty, Jr.
	Vice President, Chief Financial Officer,
	and Secretary-Treasurer

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Exhibit Index

Exhibit No.	Description
99.1	Press release dated July 20, 2005.

EX-99.1

EXHIBIT 99.1

Contact:	Jim McCarty
	Vice President and Chief Financial Officer
	540-955-2510
	jmccarty@bankofclarke.com

EAGLE FINANCIAL SERVICES, INC. ANNOUNCES SECOND

QUARTER RESULTS AND QUARTERLY DIVIDEND

BERRYVILLE, Va., July 20 — EAGLE FINANCIAL SERVICES, INC. (OTC BULLETIN BOARD: EFSI), the holding company for Bank of Clarke County, Bank of Clarke County Trust Department and Eagle Investment Services, announces financial results for the second quarter of 2005 and a quarterly dividend. The Company’s common stock is listed for trading on the Over-the-Counter (OTC) Bulletin Board under the ticker symbol EFSI.

The Company’s net income for the first six months of 2005 was $2.8 million, which represents an increase of $0.8 million or 40% over net income of $2.0 million for the first six months of 2004. The Company’s net income for the second quarter of 2005 was $1.5 million, which is an increase of $0.4 million over net income of $1.1 million for the second quarter of 2004. Diluted earnings per share were $1.85 and $1.34 for the first six months of 2005 and 2004, respectively, which represents an increase of $0.51 or 38%. Diluted earnings per share were $0.96 and $0.74 for the second quarter of 2005 and 2004, respectively. Net interest income was $8.2 million for the first six months of 2005 as compared to $7.1 million during the same period of 2004, which represents an increase of $1.1 million or 16%. Noninterest income was $2.5 million and $2.1 million for the first six months of 2005 and 2004, respectively, which represents an increase of $0.4 million or 17%. Noninterest expenses were $6.5 million and $6.1 million for the first six months of 2005 and 2004, respectively, which represents an increase of $0.4 million or 7%.

Total assets of the Company at June 30, 2005 were $436.5 million, which represents an increase of $62.0 million or 17% from total assets of $374.5 million at June 30, 2004. Total loans increased $30.8 million or 10% from $295.4 million at June 30, 2004 to $326.2 million at June 30, 2005. Total deposits increased $46.8 million or 16% from $301.3 million to $348.1 million during the same period.

A dividend of $0.27 per share will be paid on August 15, 2005 to shareholders on record as of August 1, 2005. This represents an increase of $0.06 or 29% over the August 16, 2004 dividend of $0.21 per share and an increase of $0.04 per share or 17% over the May 16, 2005 dividend of $0.23 per share. This dividend of $0.27 per share results in a year-to-date dividend of $0.72 per share during the first three quarters of 2005. The Company’s total dividend was $0.84 per share for 2004 and $0.75 per share for 2003.

This press release may contain “forward-looking statements,” as defined by federal securities laws, which may involve significant risks and uncertainties. The statements are based on estimates and assumptions made by the Company in conjunction with other factors it believes are appropriate in the circumstances. Actual results could differ materially from those contained in or implied by such statements. Consequently, all forward-looking statements made herein are qualified by the cautionary language in the Company’s most recent Form 10-K and other documents filed with the Securities and Exchange Commission.