First Bank (FRBA) investor relations material

Executive summary

• Q3 net income was $12.165M, or $0.49 per diluted share, versus $10.9M and $0.43 in Q2 and $11.7M and $0.47 a year earlier.

• Earnings growth reflected margin expansion, loan and deposit growth, and expense control; return on average assets was 1.18%.

• Assets totaled $4.05B, loans $3.42B and deposits $3.367B at September 30, 2026.

• Management expects to finish 2026 strongly and sees prospects for higher profitability in 2027, supported by loan growth, expense discipline and capital flexibility.

Financial highlights

• Net interest income was $36.757M, up 5.6% QoQ and 3.4% YoY; tax-equivalent NIM rose to 3.74% from 3.68% in Q2 and 3.71% a year earlier.

• Noninterest expense was $20.295M, versus $20.1M in Q2 and $19.7M a year earlier; noninterest income was $2.0M, versus $2.1M and $2.4M, respectively.

• Credit loss expense was $2.2M, essentially flat QoQ and down from $3.0M a year earlier.

• Total assets were $4.05B, down from $4.09B at June 30; cash declined $131.5M as loans and securities grew.

Outlook and guidance

• 2027 loan growth target rises to closer to $300M from the prior annual target of $200M; probable loan funding pipeline was $363M at September 30.

• Management expects stable NIM with potential slight improvement, while deposit pricing competition remains a headwind.

• Expense-to-average-assets target is 1.90%, potentially achievable by mid-2027; longer-term performance could range from 1.80% to 1.90%.

• Expected future effective tax rate is 23%–25%.

• Growth priorities include core deposit generation, commercial and middle-market capabilities, Treasury Management, and scaling Private Equity and Asset-Based Lending units.