First Community Bankshares (FCBC) investor relations material

Executive summary

• Net income for Q1 2026 was $12.03 million ($0.63 per diluted share), up 1.77% year-over-year; adjusted net income excluding merger and non-recurring expenses was $13.83 million ($0.73 per diluted share), up 17.02% year-over-year.

• Completed acquisition of Hometown Bancshares, Inc. on January 23, 2026, adding $393.81 million in assets and expanding consolidated assets to $3.64 billion.

• Declared a quarterly cash dividend of $0.31 per share, marking the 41st consecutive year of regular dividends and 16th consecutive year of increases.

Financial highlights

• Net interest margin was 4.37% in Q1 2026, up 3 basis points year-over-year; net interest income after provision for loan losses rose 9.80%.

• Tax-equivalent net interest income increased by $3.05 million (10.02%) year-over-year, driven by higher average earning assets and lower funding costs.

• Noninterest income rose 12.00% year-over-year, mainly from higher service charges and fees.

• Noninterest expense increased 15.21% year-over-year, primarily due to $2.31 million in merger expenses and higher salaries/benefits.

Outlook and guidance

• Forward-looking statements highlight risks from market conditions, regulatory changes, competition, and geopolitical events.