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): April 21, 2006

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 April 21, 2006, the Registrant issued a press release announcing results for the quarter ended March 31, 2006. 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

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

Exhibit No.	Description
99.1	Press release dated April 21, 2006.

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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: April 21, 2006

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 April 21, 2006.

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 FIRST

QUARTER RESULTS AND QUARTERLY DIVIDEND

BERRYVILLE, Va., April 21 – Eagle Financial Services, Inc. (OTC BULLETIN BOARD: EFSI), the holding company for Bank of Clarke County, whose divisions include Bank of Clarke County Trust Department and Eagle Investment Services, announces financial results for the quarter ended March 31, 2006 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.

John R. Milleson, President and CEO of Eagle Financial Services and Bank of Clarke County, stated “Along with announcing our current financial results and a quarterly dividend, I am excited to be a part of history as we mark the bank’s Quasquicentennial. On April 1, 2006, Bank of Clarke County turned 125 years old, a significant milestone in the life of this community bank. We are celebrating a rich history and are excited about where we are headed.”

The Company’s net income for the first quarter of 2006 was $1.5 million, which represents an increase of $0.2 million or 15% over net income of $1.3 million for the first quarter of 2005. Diluted earnings per share were $0.49 and $0.45 for the first quarter of 2006 and 2005, respectively, which represents an increase of $0.04 or 9%. Net interest income was $4.4 million for the first three months of 2006 as compared to $4.1 million during the same period of 2005. This represents an increase of $0.3 million or 7%.

Total assets of the Company at March 31, 2006 were $479.2 million, which represents an increase of $55.9 million or 13% from total assets of $423.3 million at March 31, 2005. Total loans grew $40.6 million or 13% from $320.7 million at March 31, 2005 to $361.3 million at March 31, 2006. Total deposits grew $35.2 million or 10% from $337.3 million at March 31, 2005 to $372.5 million at March 31, 2006.

A dividend of $0.15 per share will be paid on May 15, 2006 to shareholders of record as of May 1, 2006. This represents an increase of $0.01 or 7% over the February 15, 2006 dividend of $0.14 per share. The Company’s total dividend was $0.50 per share for 2005 and $0.42 per share for 2004.

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 risk factors and other cautionary language in the Company’s Annual Report on Form 10-K for the year ended December 31, 2005 and other documents filed with the Securities and Exchange Commission.