First Community Bankshares (FCBC) Q3 2025 earnings summary

Executive summary

• Net income for Q3 2025 was $12.27 million ($0.67 per diluted share), down 5.89% year-over-year; nine-month net income was $36.33 million ($1.97 per diluted share), down 5.80% from 2024.

• Adjusted Q3 net income (excluding merger/non-recurring expenses) was $12.90 million, up 4.00% year-over-year.

• A merger with Hometown Bancshares is pending, expected to close in January 2026, with $787,000 in related expenses incurred YTD.

• Quarterly cash dividend of $0.31 per share declared, marking 40 consecutive years of regular dividends and 15 years of increases.

Financial highlights

• Net interest margin for Q3 2025 was 4.43%, up 2 bps year-over-year; net interest income after provision for loan losses increased 3.52%.

• Noninterest income rose 4.18% in Q3, driven by higher service charges and wealth management fees.

• Noninterest expense increased 8.69% in Q3, mainly due to higher salaries, service fees, and merger costs.

• Total assets as of September 30, 2025, were $3.19 billion; loans decreased $84.78 million (3.51%) and deposits fell $60.65 million (2.25%) since year-end 2024.

• Book value per share was $27.89, down $0.84 from year-end, mainly due to a special dividend.

Outlook and guidance

• The merger with Hometown Bancshares is expected to be minimally dilutive to tangible book value and accretive to EPS.

• No additional external financing is anticipated for the merger.

• Forward-looking statements note risks from market conditions, regulatory changes, and competition.