First Community (FCCO) investor relations material

Executive summary

• Net income for Q1 2026 rose to $5.5 million ($0.59 diluted EPS), up 37.6% year-over-year, driven by higher net interest income, lower provision for credit losses, increased non-interest income, and a lower effective tax rate due to purchased tax credits.

• Excluding merger expenses, net income was $6.754 million and adjusted EPS was $0.72, up 69.0% and 41.1% year-over-year, respectively.

• The acquisition of Signature Bank of Georgia (SGBG) was completed in January 2026, expanding into the Atlanta market, adding $191.4 million in loans, and introducing government guaranteed lending.

• Cash dividend of $0.16 per share declared for the 97th consecutive quarter.

Financial highlights

• Net interest income increased to $18.4 million, up 27.7% year-over-year, with net interest margin improving to 3.37%.

• Average earning assets grew by $349.2 million to $2.2 billion, primarily due to the SGBG acquisition.

• Non-interest income rose to $4.79 million, up 20.3% year-over-year, led by investment advisory fees and government guaranteed lending.

• Non-interest expense increased to $17.031 million, including $1.581 million in merger expenses.

• Loans (excluding held-for-sale) increased $238.1 million (18.2%) to $1.5 billion; deposits rose $298.7 million (17.1%) to $2.05 billion.

• Total assets reached $2.4 billion, up 16.2% from year-end 2025.

Outlook and guidance

• Management expects to remain well-capitalized and maintain strong liquidity for at least the next 12 months, with continued access to capital and liquidity to support long-term operations.

• Preferred Lender status from the SBA positions the company for future growth in government-guaranteed lending.

• Management expects continued benefits from the Signature Bank acquisition, though integration risks remain.