8-K
First Bancorp /Nc/ (FBNC)
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): | January 21, 2026 |
|---|
First Bancorp
(Exact Name of Registrant as Specified in its Charter)
| North Carolina | 0-15572 | 56-1421916 | ||||
|---|---|---|---|---|---|---|
| (State or Other Jurisdiction | (Commission | (I.R.S. Employer | ||||
| of Incorporation) | File Number) | Identification Number) | 300 SW Broad Street, | |||
| --- | --- | --- | ||||
| Southern Pines, | NC | 28387 | ||||
| (Address of Principal Executive Offices) | (Zip Code) |
(910) 246-2500
____________________
(Registrant’s telephone number, including area code)
Not Applicable
___________________
(Former Name or Former Address, if changed since last report)
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)) | | --- | --- |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading symbol Name of each exchange on which registered:
Common Stock, No Par Value FBNC The Nasdaq Global Select Market
First Bancorp
INDEX
| Page | |
|---|---|
| Item 2.02 – Results of Operations and Financial Condition | 3 |
| Item 9.01 – Financial Statements and Exhibits | 3 |
| Signatures | 3 |
| Exhibit 99.1 News Release dated January 21, 2026 | 4 |
| Exhibit 99.2 Earnings Release Presentation dated January 21, 2026 | 18 |
Item 2.02 - Results of Operations and Financial Condition
On January 21, 2026, First Bancorp (the “Registrant” or “Company”) issued an earnings release to announce its financial results for the three month period ended December 31, 2025. The earnings release contains forward-looking statements regarding the Company and includes cautionary language identifying important factors that could cause actual results to differ materially from those anticipated. The earnings release is furnished as Exhibit 99.1. Consequently, it is not deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section. Such materials may only be incorporated by reference into another filing under the Exchange Act or Securities Act of 1933 if such subsequent filing specifically references this Form 8-K.
Item 9.01 – Financial Statements and Exhibits
(d) Exhibits
Exhibit 99.1 – News Release issued on January 21, 2026
Exhibit 99.2 Earnings Release Presentation dated January 21, 2026
Disclosures About Forward Looking Statements
This news release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which statements are inherently subject to risks and uncertainties. Forward-looking statements are statements that include projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact. Such statements are often characterized by the use of qualifying words (and their derivatives) such as “expect,” “believe,” “estimate,” “plan,” “project,” “anticipate,” or other statements concerning opinions or judgments of the Company and its management about future events. Factors that could influence the accuracy of such forward-looking statements include, but are not limited to, the financial success or changing strategies of the Company’s customers, the Company’s level of success in integrating acquisitions, actions of government regulators, the level of market interest rates, and general economic conditions. For additional information about the factors that could affect the matters discussed in this paragraph, see the “Risk Factors” section of the Company’s most recent Annual Report on Form 10-K. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements. The Company is also not responsible for changes made to the press release by wire services, internet services or other media.
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| First Bancorp | ||
|---|---|---|
| January 21, 2026 | By: | /s/ Richard H. Moore |
| Richard H. Moore | ||
| Chief Executive Officer |
3
Document
News Release
| For Immediate Release: | For More Information, Contact: |
|---|---|
| January 21, 2026 | Katie Doyle |
| 336-286-8741 |
First Bancorp Reports Fourth Quarter and Full Year Results
| Fourth Quarter 2025 Financial Data | ||||||||
|---|---|---|---|---|---|---|---|---|
| (Dollars in 000s, except per share data) | Q3-2025 | Q4-2024 | ||||||
| Summary Income Statement | ||||||||
| Total interest income | 143,634 | $ | 144,200 | $ | 132,395 | |||
| Total interest expense | 41,711 | 43,554 | ||||||
| Net interest income | 102,489 | 88,841 | ||||||
| Provision for credit losses | 3,442 | 507 | ||||||
| Noninterest income | (12,879) | (23,177) | ||||||
| Noninterest expenses | 60,211 | 58,279 | ||||||
| Income tax expense | 5,594 | 3,327 | ||||||
| Net income | 15,713 | $ | 20,363 | $ | 3,551 | |||
| Key Metrics | ||||||||
| Diluted EPS | 0.38 | $ | 0.49 | $ | 0.08 | |||
| Adjusted diluted EPS (1) | 1.19 | $ | 1.01 | $ | 0.76 | |||
| Book value per share | 38.67 | 34.96 | ||||||
| Tangible book value per share | 26.98 | 23.17 | ||||||
| ROA | % | 0.64 | % | 0.12 | % | |||
| Adjusted ROA (1) | % | 1.31 | % | 1.03 | % | |||
| ROCE | % | 5.14 | % | 1.29 | % | |||
| Adjusted ROCE (1) | % | 10.55 | % | 8.60 | % | |||
| ROTCE | % | 7.83 | % | 1.93 | % | |||
| Adjusted ROTCE (1) | % | 15.66 | % | 13.39 | % | |||
| NIM | % | 3.46 | % | 3.05 | % | |||
| NIM- T/E | % | 3.47 | % | 3.08 | % | |||
| Quarterly NCO ratio | % | 0.14 | % | 0.04 | % | |||
| ACL ratio | % | 1.44 | % | 1.51 | % | |||
| Capital Ratios (2) | ||||||||
| Tangible common equity to tangible assets | % | 9.12 | % | 8.22 | % | |||
| Common equity tier I capital ratio | % | 14.35 | % | 14.35 | % | |||
| Total risk-based capital ratio | % | 16.58 | % | 16.63 | % | |||
| (1) Q4-2025, Q3-2025 and Q4-2024 adjusted to exclude impact of securities loss of 43.7 million (after tax 33.6 million), 27.9 million (after tax 21.4 million) and 36.8 million (after tax 28.2 million), respectively. See Appendices D, E, F and G. | ||||||||
| (2) December 31, 2025 ratios are preliminary. |
All values are in US Dollars.
| Fourth Quarter 2025 Highlights |
|---|
•Diluted earnings per share ("D-EPS") was $0.38 per share for the fourth quarter of 2025 compared to $0.49 for the linked quarter and $0.08 for the like quarter.
•Excluding the impact of the $43.7 million securities loss, adjusted D-EPS was $1.19 per share for the fourth quarter of 2025.
•Loan growth accelerated in the fourth quarter, resulting in total loans of $8.7 billion at December 31, 2025, representing an increase of $303.2 million, or 14.3% annualized. Total loan yield was 5.58%, down 11 basis points from the linked quarter and up 11 basis points from the like quarter.
•The yield on securities increased 14 basis points to 2.69% for the quarter ended December 31, 2025 from 2.55% for the linked quarter. A securities loss-earnback transaction was executed during November, including the sale of $342.0 million of securities and the purchase of $228.4 million of securities with a weighted average yield of 4.36%. The increased yield on the new purchases was included for half of the fourth quarter.
•Total cost of funds decreased 15 basis points to 1.36% for the quarter ended December 31, 2025 from 1.51% for the linked quarter and 1.62% for the like quarter.
•Average core deposits were $10.8 billion for the fourth quarter of 2025, a decrease of $7.8 million from the linked quarter. Total cost of deposits was 1.32%, a decrease of 14 basis points from 1.46% for the linked quarter and a decrease of 25 basis points from the like quarter at 1.57%.
•Expense management continues to be a focus. Noninterest expenses of $62.2 million represented a $2.0 million increase from the linked quarter and $3.9 million from the like quarter. The linked quarter increase was driven by a $1.8 million increase in Other operating expenses and a $0.6 million increase in Total personnel expense.
•During the fourth quarter of 2025, the Company sold an office building and recognized a pretax gain of $4.6 million.
•Noninterest-bearing demand deposits were $3.5 billion, representing 32% of total deposits at December 31, 2025. During the fourth quarter of 2025, period end customer deposits contracted by $132.8 million.
•The loan-to-deposit ratio increased to 81.2% as of December 31, 2025.
•The Company repaid $18 million of subordinated debt during the fourth quarter. As a result, along with loan growth, certain regulatory capital ratios declined during the quarter.
| Fourth Quarter 2025 Results |
|---|
SOUTHERN PINES, N.C. - First Bancorp (the "Company") (NASDAQ - FBNC), the parent company of First Bank, reported unaudited fourth quarter and full year earnings today. The Company announced net income of $15.7 million, or $0.38 D-EPS, for the three months ended December 31, 2025 compared to $20.4 million, or $0.49 D-EPS, for the three months ended September 30, 2025 ("linked quarter") and $3.6 million, or $0.08 D-EPS, for the fourth quarter of 2024 ("like quarter"). For the twelve months ended December 31, 2025, the Company recorded net income of $111.0 million, or $2.68 per diluted common share, compared to $76.2 million, or $1.84 per diluted common share, for the twelve months ended December 31, 2024.
Adjusting for the securities loss-earnback transaction completed in November, adjusted net income was $49.3 million, or $1.19 adjusted D-EPS, for the fourth quarter of 2025. For the twelve months ended December 31, 2025, excluding the securities loss-earnback transactions in the third and fourth quarters, adjusted net income was $166.1 million, or $4.01 adjusted D-EPS.
The Company continued to enhance net interest income and net interest margin ("NIM") during the fourth quarter of 2025. The Company recorded net interest income of $106.2 million for the fourth quarter of 2025, compared to $102.5 million for the linked quarter and $88.8 million for the like quarter. NIM for the fourth quarter of 2025 expanded to 3.58% from 3.46% for the linked quarter and 3.05% for the like quarter.
First Bancorp also continued to maintain expense control with noninterest expenses of $62.2 million for the fourth quarter of 2025, up slightly from $60.2 million for the linked quarter and $58.3 million for the like quarter. For the twelve months ended December 31, 2025, the Company recorded noninterest expense of $239.3 million, up slightly from $235.6 million, for the twelve months ended December 31, 2024.
The results for the fourth quarter 2025 include a securities loss of $43.7 million ($33.6 million after-taxes, or negative $0.81 per diluted share) from the securities loss-earnback transaction that included the sale of $342.0 million of available-for-sale securities yielding of 1.67%. The reconciliations from net income and D-EPS to adjusted net income and adjusted D-EPS (both non-GAAP measures) for the fourth quarter of 2025 are presented in Appendix D.
The results for the fourth quarter of 2025 also include a $1.6 million reduction to the potential impacts to the allowance for credit losses from Hurricane Helene ($1.2 million after-taxes or $0.03 per diluted share).The reconciliations from net income and per share impact for the fourth quarter of 2025 are presented in Appendix H.
Richard H. Moore, Chairman and CEO of the Company, stated "First Bancorp closed 2025 with strong momentum, highlighted by a 51 basis-point expansion in net interest margin for the year, solid loan growth and continued expense discipline. During the quarter we grew loans at an annualized rate of more than 14% and our earnings continued to benefit from rising asset yields as higher-yielding assets replaced lower-yielding COVID-era assets. Our liquidity, capital and credit quality remain strong and we are very pleased with the Bank's performance and its accelerating momentum as we move into 2026."
| Net Interest Income and Net Interest Margin |
|---|
Net interest income for the fourth quarter of 2025 was $106.2 million, an increase of 3.6% from the linked quarter of $102.5 million and 19.5% from the like quarter of $88.8 million. The increase in net interest income from the linked and like quarters was primarily driven by our focused efforts to manage deposit costs after the rate cuts by the Federal Reserve in 2025, while increasing loan yields through originations as well as increased securities yields resulting from the securities loss-earnback transactions executed in the fourth quarter of 2024 and the third and fourth quarters of 2025.
The Company’s NIM for the fourth quarter of 2025 was 3.58%, an increase of 12 basis points from the linked quarter and 53 basis points from the like quarter. Within interest-earning assets, average loans increased $237.8 million while loan yields decreased 11 basis points during the quarter to 5.58%, attributable to the three rate cuts by the Federal Reserve between September and December 2025. Also, we executed a securities loss-earnback
| Fourth Quarter 2025 Results |
|---|
transaction including the purchase of $228.4 million of securities with a weighted average yield of 4.36% that contributed to the 14 basis point increase in the yield on securities as compared to the linked quarter. During the quarter ended December 31, 2025, the cost of interest-bearing deposits decreased 21 basis points from the linked quarter and declined 34 basis points from the like quarter, attributable to the three rate cuts by the Federal Reserve between September and December 2024 and the three additional rate cuts between September and December 2025. The like quarter expansion of NIM was driven by the same factors described above resulting in an increase of 73 basis points in securities yield, an increase of 11 basis points in loan yields, and a decrease of 34 basis points in the cost of interest-bearing deposits.
| For the Three Months Ended | |||
|---|---|---|---|
| YIELD INFORMATION | December 31, 2025 | September 30, 2025 | December 31, 2024 |
| Yield on loans | 5.58% | 5.69% | 5.47% |
| Yield on securities | 2.69% | 2.55% | 1.96% |
| Yield on other earning assets | 4.31% | 4.64% | 4.49% |
| Yield on total interest-earning assets | 4.84% | 4.86% | 4.55% |
| Cost of interest-bearing deposits | 1.97% | 2.18% | 2.31% |
| Cost of borrowings | 7.04% | 7.20% | 7.66% |
| Cost of total interest-bearing liabilities | 2.02% | 2.24% | 2.38% |
| Total cost of funds | 1.36% | 1.51% | 1.62% |
| Cost of total deposits | 1.32% | 1.46% | 1.57% |
| Net interest margin (1) | 3.58% | 3.46% | 3.05% |
| Net interest margin - tax-equivalent (2) | 3.60% | 3.47% | 3.08% |
| Average prime rate | 7.02% | 7.46% | 7.81% |
| (1) Calculated by dividing annualized net interest income by average earning assets for the period. | |||
| (2) Calculated by dividing annualized tax-equivalent net interest income by average earning assets for the period. The tax-equivalent amount reflects the tax benefit that the Company receives related to its tax-exempt loans and securities, which carry interest rates lower than similar taxable investments due to their tax-exempt status. This amount has been computed using the expected tax rate and is reduced by the related nondeductible portion of interest expense. |
See Appendix I regarding loan purchase discount accretion and its impact on the Company's NIM.
| Provision for Credit Losses and Credit Quality |
|---|
For the three months ended December 31, 2025, September 30, 2025 and December 31, 2024, the Company recorded $4.7 million, $3.4 million and $0.5 million in provision for credit losses, respectively. The provision for the fourth quarter of 2025 was driven by net charge-offs of $1.1 million and reserves related to $303.2 million of loan growth, partially offset by the $1.6 million reduction in reserves for potential credit exposure from Hurricane Helene. The net effect of these factors was a $2.6 million increase in the allowance for credit losses to $123.6 million, or 1.42% of loans. Additionally, the $1.0 million provision for unfunded commitments during the quarter was the result of an increase in the level of available unfunded lending commitments. The provision for the fourth quarter of 2024 was driven by loan growth and net charge offs.
Based upon its continuing evaluation of the potential impacts from Hurricane Helene, the Company adjusted the incremental reserve for potential exposure from Hurricane Helene to $1.9 million as of December 31, 2025. The remaining incremental reserve contributes two basis points to the Allowance for Credit Losses at period end.
Asset quality remained strong with annualized net loan charge-offs of 0.05% for the fourth quarter of 2025. Total nonperforming assets ("NPAs") totaled $37.7 million at December 31, 2025, or 0.30% of total assets, down slightly from 0.31% at September 30, 2025 and consistent with 0.30% at December 31, 2024.
| Fourth Quarter 2025 Results |
|---|
The following table presents the summary of NPAs and asset quality ratios for each period.
| ASSET QUALITY DATA<br><br>($ in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Nonperforming assets | |||||||||
| Nonaccrual loans | $ | 36,315 | $ | 37,289 | $ | 31,779 | |||
| Accruing loans > 90 days past due | — | — | — | ||||||
| Total nonperforming loans | 36,315 | 37,289 | 31,779 | ||||||
| Foreclosed real estate | 1,425 | 1,718 | 4,965 | ||||||
| Total nonperforming assets | $ | 37,740 | $ | 39,007 | $ | 36,744 | |||
| Asset Quality Ratios | |||||||||
| Quarterly net charge-offs to average loans - annualized | 0.05 | % | 0.14 | % | 0.04 | % | |||
| Nonperforming loans to total loans | 0.42 | % | 0.44 | % | 0.39 | % | |||
| Nonperforming assets to total assets | 0.30 | % | 0.31 | % | 0.30 | % | |||
| Allowance for credit losses to total loans | 1.42 | % | 1.44 | % | 1.51 | % | |||
| Noninterest Income | |||||||||
| --- |
Total noninterest income for the fourth quarter of 2025 was negative $22.3 million, reflecting the inclusion of the $43.7 million loss on securities. Excluding the loss on securities, noninterest income totaled $21.4 million during the fourth quarter of 2025, a 42.6% increase from the $15.0 million adjusted noninterest income recorded in the linked quarter and a 57.0% increase from the $13.6 million recorded for the like quarter. As compared to the linked quarter, noninterest income, excluding the loss on securities, increased primarily due to a pretax gain of $4.6 million realized upon the sale of an office building during the quarter.
| Noninterest Expenses |
|---|
Noninterest expenses amounted to $62.2 million for the fourth quarter of 2025 compared to $60.2 million for the linked quarter and $58.3 million for the like quarter. The $2.0 million, or 3.3%, increase in noninterest expense from the linked quarter was driven by a $0.6 million increase in total personnel expenses arising from increased total personnel expense and incentives as well as a $1.8 million increase in other operating expenses. The $3.9 million increase from the like quarter was driven by a $2.3 million increase in total personnel expenses and a $1.7 million increase in other operating expenses. For the fourth quarter of 2025, other operating expenses included several elevated expense categories arising from increased customer-driven and seasonal activity.
| Income Taxes |
|---|
Income tax expense totaled $1.2 million for the fourth quarter of 2025 compared to $5.6 million for the linked quarter and $3.3 million for the like quarter. These equated to effective tax rates of 7.3%, 21.6% and 48.4% for the respective periods. The fourth quarter of 2025 included approximately $2.1 million of net discrete tax benefits, primarily arising from state taxes, including the continued NC graduated tax rate reductions.
| Balance Sheet |
|---|
Total assets at December 31, 2025 were $12.7 billion, a decrease of $81.9 million, or 2.5% annualized, from the linked quarter and an increase of $520.6 million, or 4.3%, from a year earlier.
| Fourth Quarter 2025 Results |
|---|
Key period end balance sheet components are presented below.
| BALANCES<br><br>($ in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | Change <br>4Q25 vs 3Q25 | Change <br>4Q25 vs 4Q24 | |||
|---|---|---|---|---|---|---|---|---|
| Total assets | $ | 12,668,339 | $ | 12,750,263 | $ | 12,147,694 | (0.6)% | 4.3% |
| Loans | 8,722,419 | 8,419,224 | 8,094,676 | 3.6% | 7.8% | |||
| Investment securities | 2,561,655 | 2,680,401 | 2,563,060 | (4.4)% | (0.1)% | |||
| Total cash and cash equivalents | 309,595 | 597,975 | 507,507 | (48.2)% | (39.0)% | |||
| Noninterest-bearing deposits | 3,486,985 | 3,580,560 | 3,367,624 | (2.6)% | 3.5% | |||
| Interest-bearing deposits | 7,261,436 | 7,300,610 | 7,162,901 | (0.5)% | 1.4% | |||
| Borrowings | 74,569 | 92,421 | 91,876 | (19.3)% | (18.8)% | |||
| Shareholders’ equity | 1,654,168 | 1,603,323 | 1,445,611 | 3.2% | 14.4% |
Driven by prepayments, maturities and sales in excess of reinvestments, total investment securities decreased to $2.6 billion at December 31, 2025, reflecting a $118.7 million decrease from the linked quarter. Total unrealized losses on available for sale investment securities was $194.1 million at December 31, 2025, as compared to $251.8 million at September 30, 2025 and $368.1 million at December 31, 2024. As part of the November securities loss-earnback transaction in the securities portfolio, $342.0 million of securities were sold at a loss of $43.7 million and $228.4 million of securities were purchased, with a weighted average yield of 4.36%.
Total loans amounted to $8.7 billion at December 31, 2025, an increase of $303.2 million, or 14.3% annualized, from September 30, 2025 and an increase of $627.7 million, or 7.8%, from December 31, 2024. Please see below table for total loan portfolio mix. As of December 31, 2025, there were no notable concentrations in geographies within North Carolina and South Carolina or industries, including in office or hospitality categories, which are included in the "commercial real estate - non-owner occupied" category in the table below. The Company's exposure to non-owner occupied office loans represented approximately 6.3% of the total portfolio at December 31, 2025, with the largest loan being $33.0 million and with an average loan outstanding balance of $1.4 million. Non-owner occupied office loans are generally in non-metro markets and the ten largest loans in this category represent less than 2% of the total loan portfolio.
The following table presents the period end balance and portfolio percentage by loan category.
| LOAN PORTFOLIO | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | Amount | Percentage | Amount | Percentage | Amount | Percentage | ||||||
| Commercial and industrial | $ | 1,046,438 | 12 | % | $ | 904,226 | 11 | % | $ | 919,690 | 11 | % |
| Construction, development & other land loans | 753,199 | 9 | % | 688,302 | 8 | % | 647,167 | 8 | % | |||
| Commercial real estate - owner occupied | 1,353,912 | 15 | % | 1,337,345 | 16 | % | 1,248,812 | 16 | % | |||
| Commercial real estate - non-owner occupied | 2,843,555 | 33 | % | 2,773,349 | 33 | % | 2,625,554 | 33 | % | |||
| Multi-family real estate | 537,015 | 6 | % | 535,681 | 6 | % | 506,407 | 6 | % | |||
| Residential 1-4 family real estate | 1,736,453 | 20 | % | 1,743,884 | 21 | % | 1,729,322 | 21 | % | |||
| Home equity loans/lines of credit | 383,652 | 4 | % | 365,488 | 4 | % | 345,883 | 4 | % | |||
| Consumer loans | 67,458 | 1 | % | 70,031 | 1 | % | 70,653 | 1 | % | |||
| Loans, gross | 8,721,682 | 100 | % | 8,418,306 | 100 | % | 8,093,488 | 100 | % | |||
| Unamortized net deferred loan fees | 737 | 918 | 1,188 | |||||||||
| Total loans | $ | 8,722,419 | $ | 8,419,224 | $ | 8,094,676 |
Total deposits were $10.7 billion at December 31, 2025, a decrease of $132.7 million, or 4.8% annualized, from September 30, 2025 and an increase of $217.9 million, or 2.1%, from December 31, 2024.
| Fourth Quarter 2025 Results |
|---|
The Company has a diversified and granular deposit base which has remained a stable funding source with noninterest-bearing deposits comprising 32% of total deposits at December 31, 2025. As presented in the table below, our deposit mix has remained relatively consistent.
| DEPOSIT PORTFOLIO | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | Amount | Percentage | Amount | Percentage | Amount | Percentage | ||||||
| Noninterest-bearing checking accounts | $ | 3,486,985 | 32 | % | $ | 3,580,560 | 33 | % | $ | 3,367,624 | 32 | % |
| Interest-bearing checking accounts | 1,420,795 | 13 | % | 1,418,378 | 13 | % | 1,398,395 | 13 | % | |||
| Money market accounts | 4,510,356 | 42 | % | 4,527,728 | 41 | % | 4,285,405 | 41 | % | |||
| Savings accounts | 526,643 | 5 | % | 532,462 | 5 | % | 542,133 | 5 | % | |||
| Other time deposits | 493,282 | 5 | % | 504,942 | 5 | % | 566,514 | 5 | % | |||
| Time deposits >$250,000 | 305,473 | 3 | % | 312,255 | 3 | % | 360,854 | 4 | % | |||
| Total customer deposits | 10,743,534 | 100 | % | 10,876,325 | 100 | % | 10,520,925 | 100 | % | |||
| Brokered deposits | 4,887 | — | % | 4,845 | — | % | 9,600 | — | % | |||
| Total deposits | $ | 10,748,421 | 100 | % | $ | 10,881,170 | 100 | % | $ | 10,530,525 | 100 | % |
As of December 31, 2025 and September 30, 2025, estimated insured deposits totaled $6.5 billion, or 60.2% of total deposits. In addition, at December 31, 2025 and September 30, 2025, there were collateralized deposits of $730.4 million and $682.7 million, respectively, such that approximately 67.0% and 66.0%, respectively, of our total deposits were insured or collateralized at those dates.
| Capital |
|---|
The Company maintains capital in excess of well-capitalized regulatory requirements, with an estimated total risk-based capital ratio at December 31, 2025 of 16.08%, down from the linked quarter ratio of 16.58% and from the like quarter ratio of 16.63%. The decrease during the fourth quarter of 2025 in risk-based capital ratios was driven by the $303.2 million of loan growth during the quarter, which carries a higher risk weight than short term investments, along with the repayment of $18.0 million of subordinated debt during the quarter.
The Company has elected to exclude accumulated other comprehensive income ("AOCI") related primarily to available for sale securities from common equity tier 1 capital. AOCI is included in the Company’s tangible common equity ("TCE") to tangible assets ratio (a non-GAAP financial measure) which was 9.61% at December 31, 2025, an increase of 49 basis points from the linked quarter and 139 basis points from December 31, 2024. The fourth quarter increase in TCE was driven by improvements in the level of unrealized losses on the available for sale securities portfolio during the quarter, partially a result of the securities loss-earnback transaction along with market improvements. Please refer to Appendix A for a reconciliation of common equity to TCE (a non-GAAP measure) and Appendix C for a calculation of the TCE ratio (a non-GAAP measure).
| CAPITAL RATIOS | December 31, 2025 (estimated) | September 30, 2025 | December 31, 2024 |
|---|---|---|---|
| Tangible common equity to tangible assets (non-GAAP) | 9.61% | 9.12% | 8.22% |
| Common equity tier I capital ratio | 14.06% | 14.35% | 14.35% |
| Tier I leverage ratio | 11.19% | 11.18% | 11.15% |
| Tier I risk-based capital ratio | 14.83% | 15.14% | 15.17% |
| Total risk-based capital ratio | 16.08% | 16.58% | 16.63% |
| Fourth Quarter 2025 Results | |||
| --- | |||
| Liquidity | |||
| --- |
Liquidity is evaluated as both on-balance sheet (primarily cash and cash-equivalents, unpledged securities and other marketable assets) and off-balance sheet (readily available lines of credit and other funding sources). The Company continues to manage liquidity sources, including unused lines of credit, at levels believed to be adequate to meet its operating needs for the foreseeable future.
The Company's on-balance sheet liquidity ratio (net liquid assets as a percent of net liabilities) at December 31, 2025 was 14.9%. In addition, the Company had approximately $2.5 billion in available lines of credit at that date resulting in a total liquidity ratio of 32.8%.
| Fourth Quarter 2025 Results |
|---|
| About First Bancorp |
| --- |
First Bancorp is a bank holding company headquartered in Southern Pines, North Carolina, with total assets of $12.7 billion. Its principal activity is the ownership and operation of First Bank, a state-chartered community bank that operates 113 branches in North Carolina and South Carolina. Since 1935, First Bank has taken a tailored approach to banking, combining best-in-class financial solutions, helpful local expertise, and technology to manage a home or business. First Bank also provides SBA loans to customers through its nationwide network of lenders. Member FDIC, Equal Housing Lender.
Please visit our website at www.LocalFirstBank.com for more information.
First Bancorp's common stock is traded on The NASDAQ Global Select Market under the symbol "FBNC."
Caution about Forward-Looking Statements: This News Release release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which statements are inherently subject to risks and uncertainties. Forward-looking statements are statements that include projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact. Such statements are often characterized by the use of qualifying words (and their derivatives) such as “expect,” “believe,” “estimate,” “plan,” “project,” “anticipate,” or other words or phrases concerning opinions or judgments of the Company and its management about future events. Factors that could influence the accuracy of such forward-looking statements include, but are not limited to, the financial success or changing strategies of the Company’s customers, the Company’s level of success in integrating acquisitions, actions of government regulators, the level of market interest rates, and general economic conditions. For additional information about the factors that could affect the matters discussed in this paragraph, see the “Risk Factors” section of the Company’s most recent Annual Report on Form 10-K available at www.sec.gov. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements. The Company is also not responsible for changes made to this press release by wire services, internet services or other media.
| Non-GAAP Measures |
|---|
In this Earnings Release, we present certain measures of our performance that are calculated by methods other than in accordance with generally accepted accounting principles (“GAAP”). Company management uses these non-GAAP measures for purposes of evaluating our performance. Non-GAAP measures exclude or include amounts that are not normally excluded or included in the most directly comparable measure determined in accordance with GAAP. Company management believes an appropriate analysis of the Company's financial performance requires an understanding of the factors underlying such performance. Non-GAAP financial measures should not be viewed as substitutes for the most directly comparable financial measures calculated in accordance with GAAP. Please see the Appendices attached to this Earnings Release for reconciliations of return on tangible common equity, tangible common equity, tangible book value per share, the tangible common equity ratio, adjusted net income and adjusted D-EPS.
| Fourth Quarter 2025 Results | |||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| First Bancorp and Subsidiaries<br>Financial Summary | |||||||||||||||||||||||||||
| --- | CONSOLIDATED INCOME STATEMENT | ||||||||||||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |||||||||||||||||
| For the Three Months Ended | For the Twelve Months Ended | ||||||||||||||||||||||||||
| ($ in thousands, except per share data - unaudited) | December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| Interest income | |||||||||||||||||||||||||||
| Interest and fees on loans | $ | 120,020 | $ | 118,822 | $ | 109,835 | $ | 462,306 | $ | 441,181 | |||||||||||||||||
| Interest on investment securities: | |||||||||||||||||||||||||||
| Taxable interest income | 18,103 | 17,571 | 12,712 | 68,055 | 47,510 | ||||||||||||||||||||||
| Tax-exempt interest income | 1,115 | 1,114 | 1,116 | 4,461 | 4,466 | ||||||||||||||||||||||
| Other, principally overnight investments | 4,396 | 6,693 | 8,732 | 22,413 | 26,083 | ||||||||||||||||||||||
| Total interest income | 143,634 | 144,200 | 132,395 | 557,235 | 519,240 | ||||||||||||||||||||||
| Interest expense | |||||||||||||||||||||||||||
| Interest on deposits | 35,959 | 40,035 | 41,786 | 152,518 | 172,085 | ||||||||||||||||||||||
| Interest on borrowings | 1,476 | 1,676 | 1,768 | 6,470 | 14,882 | ||||||||||||||||||||||
| Total interest expense | 37,435 | 41,711 | 43,554 | 158,988 | 186,967 | ||||||||||||||||||||||
| Net interest income | 106,199 | 102,489 | 88,841 | 398,247 | 332,273 | ||||||||||||||||||||||
| Provision for credit losses | 4,732 | 3,442 | 507 | 11,502 | 16,448 | ||||||||||||||||||||||
| Net interest income after provision for credit losses | 101,467 | 99,047 | 88,334 | 386,745 | 315,825 | ||||||||||||||||||||||
| Noninterest income | |||||||||||||||||||||||||||
| Service charges on deposit accounts | 4,269 | 4,225 | 4,293 | 16,237 | 16,620 | ||||||||||||||||||||||
| Other service charges and fees | 5,653 | 6,355 | 5,828 | 24,486 | 22,267 | ||||||||||||||||||||||
| Presold mortgage loan fees and gains on sale | 583 | 471 | 676 | 1,819 | 2,292 | ||||||||||||||||||||||
| Commissions from sales of financial products | 1,800 | 1,678 | 1,202 | 6,274 | 5,270 | ||||||||||||||||||||||
| SBA loan sale gains | — | 869 | 291 | 1,072 | 3,630 | ||||||||||||||||||||||
| Bank-owned life insurance income | 1,375 | 1,289 | 1,225 | 5,113 | 4,773 | ||||||||||||||||||||||
| Securities losses, net | (43,722) | (27,905) | (36,820) | (71,627) | (37,981) | ||||||||||||||||||||||
| Other Income, net | 7,743 | 139 | 128 | 8,691 | 1,028 | ||||||||||||||||||||||
| Total noninterest income | (22,299) | (12,879) | (23,177) | (7,935) | 17,899 | ||||||||||||||||||||||
| Noninterest expenses | |||||||||||||||||||||||||||
| Salaries, incentives and commissions expense | 30,747 | 31,065 | 28,447 | 119,478 | 113,853 | ||||||||||||||||||||||
| Employee benefit expense | 6,673 | 5,751 | 6,702 | 24,706 | 26,169 | ||||||||||||||||||||||
| Total personnel expense | 37,420 | 36,816 | 35,149 | 144,184 | 140,022 | ||||||||||||||||||||||
| Occupancy and equipment expense | 4,903 | 5,145 | 4,700 | 20,435 | 20,535 | ||||||||||||||||||||||
| Intangibles amortization expense | 1,294 | 1,394 | 1,563 | 5,672 | 6,604 | ||||||||||||||||||||||
| Other operating expenses | 18,606 | 16,856 | 16,867 | 69,019 | 68,446 | ||||||||||||||||||||||
| Total noninterest expenses | 62,223 | 60,211 | 58,279 | 239,310 | 235,607 | ||||||||||||||||||||||
| Income before income taxes | 16,945 | 25,957 | 6,878 | 139,500 | 98,117 | ||||||||||||||||||||||
| Income tax expense | 1,232 | 5,594 | 3,327 | 28,452 | 21,902 | ||||||||||||||||||||||
| Net income | $ | 15,713 | $ | 20,363 | $ | 3,551 | $ | 111,048 | $ | 76,215 | |||||||||||||||||
| Earnings per common share: | |||||||||||||||||||||||||||
| Basic | $ | 0.38 | $ | 0.49 | $ | 0.09 | $ | 2.68 | $ | 1.85 | |||||||||||||||||
| Diluted | 0.38 | 0.49 | 0.08 | 2.68 | 1.84 | ||||||||||||||||||||||
| Fourth Quarter 2025 Results | |||||||||||||||||||||||||||
| --- | |||||||||||||||||||||||||||
| First Bancorp and Subsidiaries<br>Financial Summary | |||||||||||||||||||||||||||
| --- | CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||||||||
| --- | --- | --- | --- | --- | |||||||||||||||||||||||
| ($ in thousands - unaudited) | December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||||||||||
| Assets | |||||||||||||||||||||||||||
| Cash and due from banks, noninterest-bearing | $ | 146,759 | $ | 138,369 | $ | 78,596 | |||||||||||||||||||||
| Due from banks, interest-bearing | 162,836 | 459,606 | 428,911 | ||||||||||||||||||||||||
| Total cash and cash equivalents | 309,595 | 597,975 | 507,507 | ||||||||||||||||||||||||
| Securities available for sale | 2,048,556 | 2,165,668 | 2,043,062 | ||||||||||||||||||||||||
| Securities held to maturity | 513,099 | 514,733 | 519,998 | ||||||||||||||||||||||||
| Presold mortgages and SBA loans held for sale | 7,790 | 4,032 | 5,942 | ||||||||||||||||||||||||
| Loans | 8,722,419 | 8,419,224 | 8,094,676 | ||||||||||||||||||||||||
| Allowance for credit losses on loans | (123,581) | (120,948) | (122,572) | ||||||||||||||||||||||||
| Net loans | 8,598,838 | 8,298,276 | 7,972,104 | ||||||||||||||||||||||||
| Premises and equipment, net | 139,125 | 141,441 | 143,459 | ||||||||||||||||||||||||
| Accrued interest receivable | 39,206 | 35,986 | 36,329 | ||||||||||||||||||||||||
| Goodwill | 478,750 | 478,750 | 478,750 | ||||||||||||||||||||||||
| Other intangible assets, net | 17,232 | 18,526 | 22,904 | ||||||||||||||||||||||||
| Bank-owned life insurance | 193,286 | 191,911 | 188,460 | ||||||||||||||||||||||||
| Other assets | 322,862 | 302,965 | 229,179 | ||||||||||||||||||||||||
| Total assets | $ | 12,668,339 | $ | 12,750,263 | $ | 12,147,694 | |||||||||||||||||||||
| Liabilities | |||||||||||||||||||||||||||
| Deposits: | |||||||||||||||||||||||||||
| Noninterest-bearing deposits | $ | 3,486,985 | $ | 3,580,560 | $ | 3,367,624 | |||||||||||||||||||||
| Interest-bearing deposits | 7,261,436 | 7,300,610 | 7,162,901 | ||||||||||||||||||||||||
| Total deposits | 10,748,421 | 10,881,170 | 10,530,525 | ||||||||||||||||||||||||
| Borrowings | 74,569 | 92,421 | 91,876 | ||||||||||||||||||||||||
| Accrued interest payable | 3,747 | 4,436 | 4,604 | ||||||||||||||||||||||||
| Other liabilities | 187,434 | 168,913 | 75,078 | ||||||||||||||||||||||||
| Total liabilities | 11,014,171 | 11,146,940 | 10,702,083 | ||||||||||||||||||||||||
| Shareholders’ equity | |||||||||||||||||||||||||||
| Common stock | 973,884 | 973,235 | 971,313 | ||||||||||||||||||||||||
| Retained earnings | 829,659 | 823,483 | 756,327 | ||||||||||||||||||||||||
| Stock in rabbi trust assumed in acquisition | (885) | (877) | (1,148) | ||||||||||||||||||||||||
| Rabbi trust obligation | 885 | 877 | 1,148 | ||||||||||||||||||||||||
| Accumulated other comprehensive loss | (149,375) | (193,395) | (282,029) | ||||||||||||||||||||||||
| Total shareholders’ equity | 1,654,168 | 1,603,323 | 1,445,611 | ||||||||||||||||||||||||
| Total liabilities and shareholders’ equity | $ | 12,668,339 | $ | 12,750,263 | $ | 12,147,694 | |||||||||||||||||||||
| Fourth Quarter 2025 Results | |||||||||||||||||||||||||||
| --- | |||||||||||||||||||||||||||
| First Bancorp and Subsidiaries<br>Financial Summary | |||||||||||||||||||||||||||
| --- | TREND INFORMATION | ||||||||||||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||||||||||
| For the Three Months Ended | |||||||||||||||||||||||||||
| December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||||||||||||||||||||
| PERFORMANCE RATIOS (annualized) | |||||||||||||||||||||||||||
| ROA (1) | 0.49 | % | 0.64 | % | 1.24 | % | 1.21 | % | 0.12 | % | |||||||||||||||||
| Adjusted ROA (2) | 1.54 | % | 1.31 | % | 1.24 | % | 1.21 | % | 1.03 | % | |||||||||||||||||
| ROCE (3) | 3.83 | % | 5.14 | % | 10.11 | % | 10.06 | % | 0.96 | % | |||||||||||||||||
| Adjusted ROCE (4) | 12.01 | % | 10.55 | % | 10.11 | % | 10.06 | % | 8.60 | % | |||||||||||||||||
| ROTCE (5) | 5.80 | % | 7.83 | % | 15.25 | % | 15.54 | % | 1.93 | % | |||||||||||||||||
| Adjusted ROTCE (6) | 17.45 | % | 15.66 | % | 15.25 | % | 15.54 | % | 13.39 | % | |||||||||||||||||
| COMMON SHARE DATA | |||||||||||||||||||||||||||
| Cash dividends declared - common | $ | 0.23 | $ | 0.23 | $ | 0.23 | $ | 0.22 | $ | 0.22 | |||||||||||||||||
| Book value per common share | $ | 39.89 | $ | 38.67 | $ | 37.53 | $ | 36.46 | $ | 34.96 | |||||||||||||||||
| Tangible book value per share (7) | $ | 28.23 | $ | 26.98 | $ | 25.82 | $ | 24.69 | $ | 23.17 | |||||||||||||||||
| Common shares outstanding at end of period | 41,466,227 | 41,465,437 | 41,468,098 | 41,368,828 | 41,347,418 | ||||||||||||||||||||||
| Weighted average shares outstanding - diluted | 41,481,132 | 41,481,542 | 41,441,393 | 41,406,525 | 41,422,973 | ||||||||||||||||||||||
| CAPITAL INFORMATION (preliminary for current quarter) | |||||||||||||||||||||||||||
| Tangible common equity to tangible assets (8) | 9.61 | % | 9.12 | % | 8.83 | % | 8.55 | % | 8.22 | % | |||||||||||||||||
| Common equity tier I capital ratio | 14.06 | % | 14.35 | % | 14.64 | % | 14.52 | % | 14.35 | % | |||||||||||||||||
| Total risk-based capital ratio | 16.08 | % | 16.58 | % | 16.90 | % | 16.80 | % | 16.63 | % | |||||||||||||||||
| (1) Calculated by dividing annualized net income by average assets. | |||||||||||||||||||||||||||
| (2) See Appendix E for a reconciliation of ROA to adjusted ROA. | |||||||||||||||||||||||||||
| (3) Calculated by dividing annualized tangible net income (net income adjusted for intangible asset amortization, net of tax), by average common equity. See Appendix F for the components of the calculation. | |||||||||||||||||||||||||||
| (4) See Appendix F for a reconciliation of ROCE to adjusted ROCE. | |||||||||||||||||||||||||||
| (5) Return on average tangible common equity is a non-GAAP financial measure. See Appendix G for the components of the calculation and the reconciliation of average common equity to average TCE. | |||||||||||||||||||||||||||
| (6) See Appendix G for a reconciliation of ROTCE to adjusted ROTCE. | |||||||||||||||||||||||||||
| (7) Tangible book value per share is a non-GAAP financial measure. See Appendix A for a reconciliation of common equity to tangible common equity and Appendix B for the resulting calculation. | |||||||||||||||||||||||||||
| (8) Tangible common equity ratio is a non-GAAP financial measure. See Appendix A for a reconciliation of common equity to tangible common equity and Appendix C for the resulting calculation. | For the Three Months Ended | ||||||||||||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |||||||||||||||||
| INCOME STATEMENT<br><br>($ in thousands except per share data) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| Net interest income | $ | 106,199 | $ | 102,489 | $ | 96,676 | $ | 92,883 | $ | 88,841 | |||||||||||||||||
| Provision for credit losses | 4,732 | 3,442 | 2,212 | 1,116 | 507 | ||||||||||||||||||||||
| Noninterest income | (22,299) | (12,879) | 14,341 | 12,902 | (23,177) | ||||||||||||||||||||||
| Noninterest expense | 62,223 | 60,211 | 58,983 | 57,893 | 58,279 | ||||||||||||||||||||||
| Income before income taxes | 16,945 | 25,957 | 49,822 | 46,776 | 6,878 | ||||||||||||||||||||||
| Income tax expense | 1,232 | 5,594 | 11,256 | 10,370 | 3,327 | ||||||||||||||||||||||
| Net income | 15,713 | 20,363 | 38,566 | 36,406 | 3,551 | ||||||||||||||||||||||
| Earnings per common share - diluted | $ | 0.38 | $ | 0.49 | $ | 0.93 | $ | 0.88 | $ | 0.08 | |||||||||||||||||
| Fourth Quarter 2025 Results | |||||||||||||||||||||||||||
| --- | |||||||||||||||||||||||||||
| First Bancorp and Subsidiaries<br>Financial Summary | |||||||||||||||||||||||||||
| --- |
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - QUARTERS
| For the Three Months Ended | ||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | September 30, 2025 | December 31, 2024 | ||||||||||||||||
| ($ in thousands) | Average<br>Volume | Interest<br>Earned<br>or Paid | Average<br>Rate | Average<br>Volume | Interest<br>Earned<br>or Paid | Average<br>Rate | Average<br>Volume | Interest<br>Earned<br>or Paid | Average<br>Rate | |||||||||
| Assets | ||||||||||||||||||
| Loans (1) (2) | $ | 8,535,422 | $ | 120,020 | 5.58 | % | $ | 8,297,643 | $ | 118,822 | 5.69 | % | $ | 7,993,671 | $ | 109,835 | 5.47 | % |
| Taxable securities | 2,566,169 | 18,103 | 2.82 | % | 2,637,711 | 17,571 | 2.66 | % | 2,535,232 | 12,712 | 2.01 | % | ||||||
| Non-taxable securities | 285,729 | 1,115 | 1.56 | % | 286,750 | 1,114 | 1.56 | % | 289,922 | 1,116 | 1.54 | % | ||||||
| Short-term investments, primarily interest-bearing cash | 404,658 | 4,396 | 4.31 | % | 571,922 | 6,693 | 4.64 | % | 773,655 | 8,732 | 4.49 | % | ||||||
| Total interest-earning assets | 11,791,978 | 143,634 | 4.84 | % | 11,794,026 | 144,200 | 4.86 | % | 11,592,480 | 132,395 | 4.55 | % | ||||||
| Cash and due from banks | 147,748 | 149,771 | 80,481 | |||||||||||||||
| Premises and equipment | 140,552 | 141,858 | 144,467 | |||||||||||||||
| Other assets | 635,861 | 554,361 | 426,343 | |||||||||||||||
| Total assets | $ | 12,716,139 | $ | 12,640,016 | $ | 12,243,771 | ||||||||||||
| Liabilities | ||||||||||||||||||
| Interest-bearing checking | $ | 1,381,272 | $ | 2,100 | 0.60 | % | $ | 1,403,683 | $ | 2,420 | 0.68 | % | $ | 1,389,063 | $ | 2,438 | 0.70 | % |
| Money market deposits | 4,539,138 | 28,358 | 2.48 | % | 4,510,662 | 31,674 | 2.79 | % | 4,273,170 | 31,430 | 2.93 | % | ||||||
| Savings deposits | 530,147 | 249 | 0.19 | % | 535,464 | 267 | 0.20 | % | 542,861 | 269 | 0.20 | % | ||||||
| Other time deposits | 503,149 | 2,937 | 2.32 | % | 514,143 | 3,029 | 2.34 | % | 598,152 | 4,192 | 2.79 | % | ||||||
| Time deposits >$250,000 | 305,844 | 2,315 | 3.00 | % | 328,207 | 2,645 | 3.20 | % | 377,693 | 3,457 | 3.64 | % | ||||||
| Total interest-bearing deposits | 7,259,550 | 35,959 | 1.97 | % | 7,292,159 | 40,035 | 2.18 | % | 7,180,939 | 41,786 | 2.31 | % | ||||||
| Borrowings | 83,117 | 1,476 | 7.04 | % | 92,349 | 1,676 | 7.20 | % | 91,789 | 1,768 | 7.66 | % | ||||||
| Total interest-bearing liabilities | 7,342,667 | 37,435 | 2.02 | % | 7,384,508 | 41,711 | 2.24 | % | 7,272,728 | 43,554 | 2.38 | % | ||||||
| Noninterest-bearing checking | 3,575,317 | 3,550,499 | 3,427,690 | |||||||||||||||
| Other liabilities | 170,179 | 133,905 | 77,172 | |||||||||||||||
| Shareholders’ equity | 1,627,976 | 1,571,104 | 1,466,181 | |||||||||||||||
| Total liabilities and shareholders’ equity | $ | 12,716,139 | $ | 12,640,016 | $ | 12,243,771 | ||||||||||||
| Net yield on interest-earning assets and net interest income | $ | 106,199 | 3.58 | % | $ | 102,489 | 3.46 | % | $ | 88,841 | 3.05 | % | ||||||
| Net yield on interest-earning assets and net interest income – tax-equivalent (3) | $ | 106,601 | 3.60 | % | $ | 102,828 | 3.47 | % | $ | 89,587 | 3.08 | % | ||||||
| Interest rate spread | 2.82 | % | 2.62 | % | 2.17 | % | ||||||||||||
| Average prime rate | 7.02 | % | 7.46 | % | 7.81 | % |
(1) Average loans include nonaccruing loans, the effect of which is to lower the average rate shown. Interest earned includes recognized net loan fees, including late fees, prepayment fees, and net deferred loan (cost)/fee amortization in the amounts of $(0.2) million, $(0.3) million and $(0.3) million for the three months ended December 31, 2025, September 30, 2025 and December 31, 2024, respectively.
(2) Includes accretion of discount on acquired loans of $1.3 million, $1.6 million and $2.2 million for the three months ended December 31, 2025, September 30, 2025 and December 31, 2024, respectively.
(3) Includes tax-equivalent adjustments to reflect the tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
| Fourth Quarter 2025 Results |
|---|
| First Bancorp and Subsidiaries<br>Financial Summary |
| --- |
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - YEAR-TO-DATE
| For the Twelve Months Ended | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, 2025 | December 31, 2024 | |||||||||||
| ($ in thousands) | Average<br>Volume | Interest<br>Earned<br>or Paid | Average<br>Rate | Average<br>Volume | Interest<br>Earned<br>or Paid | Average<br>Rate | ||||||
| Assets | ||||||||||||
| Loans (1) (2) | $ | 8,283,246 | $ | 462,306 | 5.58 | % | $ | 8,046,681 | $ | 441,181 | 5.48 | % |
| Taxable securities | 2,632,412 | 68,055 | 2.59 | % | 2,608,494 | 47,510 | 1.82 | % | ||||
| Non-taxable securities | 287,298 | 4,461 | 1.55 | % | 291,520 | 4,466 | 1.53 | % | ||||
| Short-term investments, primarily interest-bearing cash | 496,404 | 22,413 | 4.52 | % | 561,886 | 26,083 | 4.64 | % | ||||
| Total interest-earning assets | 11,699,360 | 557,235 | 4.76 | % | 11,508,581 | 519,240 | 4.51 | % | ||||
| Cash and due from banks | 146,136 | 84,997 | ||||||||||
| Premises and equipment | 141,884 | 147,916 | ||||||||||
| Other assets | 524,650 | 393,001 | ||||||||||
| Total assets | $ | 12,512,030 | $ | 12,134,495 | ||||||||
| Liabilities | ||||||||||||
| Interest-bearing checking | $ | 1,412,605 | $ | 9,443 | 0.67 | % | $ | 1,395,856 | $ | 9,910 | 0.71 | % |
| Money market deposits | 4,437,314 | 119,158 | 2.69 | % | 4,039,999 | 126,531 | 3.13 | % | ||||
| Savings deposits | 535,863 | 1,009 | 0.19 | % | 564,473 | 1,209 | 0.21 | % | ||||
| Other time deposits | 527,357 | 12,406 | 2.35 | % | 666,868 | 20,429 | 3.06 | % | ||||
| Time deposits >$250,000 | 332,895 | 10,502 | 3.15 | % | 373,851 | 14,006 | 3.75 | % | ||||
| Total interest-bearing deposits | 7,246,034 | 152,518 | 2.10 | % | 7,041,047 | 172,085 | 2.44 | % | ||||
| Borrowings | 89,889 | 6,470 | 7.20 | % | 232,967 | 14,882 | 6.39 | % | ||||
| Total interest-bearing liabilities | 7,335,923 | 158,988 | 2.17 | % | 7,274,014 | 186,967 | 2.57 | % | ||||
| Noninterest-bearing checking | 3,506,429 | 3,367,035 | ||||||||||
| Other liabilities | 119,805 | 76,985 | ||||||||||
| Shareholders’ equity | 1,549,873 | 1,416,461 | ||||||||||
| Total liabilities and shareholders’ equity | $ | 12,512,030 | $ | 12,134,495 | ||||||||
| Net yield on interest-earning assets and net interest income | $ | 398,247 | 3.40 | % | $ | 332,273 | 2.89 | % | ||||
| Net yield on interest-earning assets and net interest income – tax-equivalent (3) | $ | 399,636 | 3.42 | % | $ | 335,256 | 2.93 | % | ||||
| Interest rate spread | 2.59 | % | 1.94 | % | ||||||||
| Average prime rate | 7.37 | % | 8.31 | % |
(1) Average loans include nonaccruing loans, the effect of which is to lower the average rate shown. Interest earned includes recognized net loan fees, including late fees, prepayment fees, and net deferred loan (cost)/fee amortization in the amounts of $(1.1) million and $(1.6) million for the twelve months ended December 31, 2025 and December 31, 2024, respectively.
(2) Includes accretion of discount on acquired loans of $6.1 million and $8.9 million for the twelve months ended December 31, 2025 and December 31, 2024, respectively.
(3) Includes tax-equivalent adjustments to reflect the tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
| Fourth Quarter 2025 Results |
|---|
| Reconciliation of non-GAAP measures |
| --- |
APPENDIX A: Reconciliation of Common Equity to Tangible Common Equity ("TCE")
| For the Three Months Ended | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||
| Total shareholders' common equity | $ | 1,654,168 | $ | 1,603,323 | $ | 1,556,180 | $ | 1,508,176 | $ | 1,445,611 |
| Less: Goodwill and other intangibles, net of related taxes | (483,643) | (484,623) | (485,657) | (486,749) | (487,660) | |||||
| Tangible common equity | $ | 1,170,525 | $ | 1,118,700 | $ | 1,070,523 | $ | 1,021,427 | $ | 957,951 |
APPENDIX B: Calculation of Tangible Book Value Per Share ("TBVPS")
| For the Three Months Ended | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands except per share data) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | |||||
| Tangible common equity (Appendix A) | $ | 1,170,525 | $ | 1,118,700 | $ | 1,070,523 | $ | 1,021,427 | $ | 957,951 |
| Common shares outstanding | 41,466,227 | 41,465,437 | 41,468,098 | 41,368,828 | 41,347,418 | |||||
| Tangible book value per common share | $ | 28.23 | $ | 26.98 | $ | 25.82 | $ | 24.69 | $ | 23.17 |
APPENDIX C: TCE Ratio
| For the Three Months Ended | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||||||
| Tangible common equity (Appendix A) | $ | 1,170,525 | $ | 1,118,700 | $ | 1,070,523 | $ | 1,021,427 | $ | 957,951 | |||||
| Total assets | 12,668,339 | 12,750,263 | 12,608,265 | 12,436,245 | 12,147,694 | ||||||||||
| Less: Goodwill and other intangibles, net of related taxes | (483,643) | (484,623) | (485,657) | (486,749) | (487,660) | ||||||||||
| Tangible assets ("TA") | $ | 12,184,696 | $ | 12,265,640 | $ | 12,122,608 | $ | 11,949,496 | $ | 11,660,034 | |||||
| TCE to TA ratio | 9.61 | % | 9.12 | % | 8.83 | % | 8.55 | % | 8.22 | % | |||||
| Fourth Quarter 2025 Results | |||||||||||||||
| --- | |||||||||||||||
| Reconciliation of non-GAAP measures, continued | |||||||||||||||
| --- |
APPENDIX D: Adjusted Net Income and Adjusted D-EPS
| For the Three Months Ended | For the Twelve Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |||||
| Net income (A) | $ | 15,713 | $ | 20,363 | $ | 3,551 | $ | 111,048 | $ | 76,215 |
| Impact of loss-earnback | ||||||||||
| Securities loss from loss-earnback | 43,722 | 27,905 | 36,820 | 71,627 | 36,820 | |||||
| Less, tax impact | (10,141) | (6,472) | (8,660) | (16,613) | (8,660) | |||||
| After-tax impact of loss-earnback | 33,581 | 21,433 | 28,160 | 55,014 | 28,160 | |||||
| Adjusted net income (B) | $ | 49,294 | $ | 41,796 | $ | 31,711 | $ | 166,062 | $ | 104,375 |
| Weighted average shares outstanding - diluted (C) | 41,481,132 | 41,481,542 | 41,422,973 | 41,453,247 | 41,327,216 | |||||
| D-EPS (A/C) | $ | 0.38 | $ | 0.49 | $ | 0.09 | $ | 2.68 | $ | 1.84 |
| Adjusted D-EPS (B/C) | $ | 1.19 | $ | 1.01 | $ | 0.77 | $ | 4.01 | $ | 2.53 |
APPENDIX E: Calculation of Return on Average Assets ("ROA") and Adjusted ROA
| For the Three Months Ended | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||||||
| Net income (A) | $ | 15,713 | $ | 20,363 | $ | 38,566 | $ | 36,406 | $ | 3,551 | |||||
| After-tax impact of loss-earnback | 33,581 | 21,433 | — | — | 28,160 | ||||||||||
| Adjusted net income (B) | $ | 49,294 | $ | 41,796 | $ | 38,566 | $ | 36,406 | $ | 31,711 | |||||
| Average total assets (C) | $ | 12,716,139 | $ | 12,640,016 | $ | 12,458,372 | $ | 12,226,810 | $ | 12,243,771 | |||||
| ROA (A/C) | 0.49 | % | 0.64 | % | 1.24 | % | 1.21 | % | 0.12 | % | |||||
| Adjusted ROA (B/C) | 1.54 | % | 1.31 | % | 1.24 | % | 1.21 | % | 1.03 | % |
APPENDIX F: Calculation of Return on Common Equity ("ROCE") and Adjusted ROCE
| For the Three Months Ended | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||||||
| Net income (A) | $ | 15,713 | $ | 20,363 | $ | 38,566 | $ | 36,406 | $ | 3,551 | |||||
| After-tax impact of loss-earnback | 33,581 | 21,433 | — | — | 28,160 | ||||||||||
| Adjusted net income (B) | $ | 49,294 | $ | 41,796 | $ | 38,566 | $ | 36,406 | $ | 31,711 | |||||
| Average common equity (C) | $ | 1,627,976 | $ | 1,571,104 | $ | 1,530,550 | $ | 1,467,871 | $ | 1,466,181 | |||||
| ROCE (A/C) | 3.83 | % | 5.14 | % | 10.11 | % | 10.06 | % | 0.96 | % | |||||
| Adjusted ROCE (B/C) | 12.01 | % | 10.55 | % | 10.11 | % | 10.06 | % | 8.60 | % | |||||
| Fourth Quarter 2025 Results | |||||||||||||||
| --- | |||||||||||||||
| Reconciliation of non-GAAP measures, continued | |||||||||||||||
| --- |
APPENDIX G: Calculation of Return on TCE ("ROTCE") and Adjusted ROTCE
| For the Three Months Ended | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | June 30, 2025 | March 31, 2025 | December 31, 2024 | ||||||||||
| Net Income | $ | 15,713 | $ | 20,363 | $ | 38,566 | $ | 36,406 | $ | 3,551 | |||||
| Intangible asset amortization, net of taxes | 994 | 1,066 | 1,123 | 1,159 | 1,195 | ||||||||||
| Tangible Net income (A) | 16,707 | 21,429 | 39,689 | 37,565 | 4,746 | ||||||||||
| After-tax impact of loss-earnback | 33,581 | 21,433 | — | — | 28,160 | ||||||||||
| Adjusted tangible net income (B) | $ | 50,288 | $ | 42,862 | $ | 39,689 | $ | 37,565 | $ | 32,906 | |||||
| Average common equity | $ | 1,627,976 | $ | 1,571,104 | $ | 1,530,550 | $ | 1,467,871 | $ | 1,466,181 | |||||
| Less: Average goodwill and other intangibles, net of related taxes | (484,313) | (485,331) | (486,393) | (487,395) | (488,624) | ||||||||||
| Average TCE (C) | $ | 1,143,663 | $ | 1,085,773 | $ | 1,044,157 | $ | 980,476 | $ | 977,557 | |||||
| ROTCE (A/C) | 5.80 | % | 7.83 | % | 15.25 | % | 15.54 | % | 1.93 | % | |||||
| Adjusted ROTCE (B/C) | 17.45 | % | 15.66 | % | 15.25 | % | 15.54 | % | 13.39 | % |
APPENDIX H: Impact of Hurricane Helene
| For the Three Months Ended | For the Twelve Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |||||
| Impact of Hurricane Helene | ||||||||||
| Provision for (benefit from) credit losses | $ | (1,600) | $ | (4,000) | $ | — | $ | (11,100) | $ | 13,000 |
| Building repairs and maintenance | — | — | (24) | — | 276 | |||||
| Other | — | — | (3) | — | 93 | |||||
| Total | (1,600) | (4,000) | (27) | (11,100) | 13,369 | |||||
| Less, tax impact | 371 | 928 | 6 | 2,575 | (3,096) | |||||
| After-tax impact of Hurricane Helene | $ | (1,229) | $ | (3,072) | $ | (21) | $ | (8,525) | $ | 10,273 |
| Weighted average shares outstanding - diluted | 41,481,132 | 41,481,542 | 41,422,973 | 41,453,247 | 41,327,216 | |||||
| Impact of Hurricane Helene per diluted share | $ | 0.03 | $ | 0.07 | $ | — | $ | 0.21 | $ | (0.25) |
| Fourth Quarter 2025 Results | ||||||||||
| --- | ||||||||||
| Supplemental information | ||||||||||
| --- |
APPENDIX I: Loan purchase discount accretion and its impact on the Company's NIM
Included in interest income for the fourth quarter of 2025 was loan purchase accounting discount accretion of $1.3 million compared to $1.6 million for the linked quarter and $2.2 million for the like quarter, with the activity primarily related to the continued repayments/reduction of the loan portfolio acquired from GrandSouth Bancorporation in January of 2023. Loan discount accretion had positive impacts of three basis points, four basis points and six basis points, respectively, on the Company's NIM and NIM-T/E in the fourth quarter of 2025, the linked quarter and the like quarter.
The following table presents the impact to net interest income of the purchase accounting adjustments for each period.
| For the Three Months Ended | ||||||
|---|---|---|---|---|---|---|
| NET INTEREST INCOME PURCHASE ACCOUNTING ADJUSTMENTS<br><br>($ in thousands) | December 31, 2025 | September 30, 2025 | December 31, 2024 | |||
| Interest income - increased by accretion of loan discount on acquired loans | $ | 1,298 | $ | 1,584 | $ | 2,195 |
| Total interest income impact | 1,298 | 1,584 | 2,195 | |||
| Interest expense - increased by discount accretion on deposits | (62) | (77) | (145) | |||
| Interest expense - increased by discount accretion on borrowings | (161) | (197) | (195) | |||
| Total net interest expense impact | (223) | (274) | (340) | |||
| Total impact on net interest income | $ | 1,075 | $ | 1,310 | $ | 1,855 |
17
fbncinvestorpresentation
Fourth Quarter Update 2025
2 Important Information Caution Regarding Forward-Looking Statements This presentation contains certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, including those regarding First Bancorp's expectations or predictions of future financial or business performance or conditions. The forward-looking statements are inherently subject to risks and uncertainties. Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "target," "estimate," "continue," "positions," "prospects" or "potential," by future conditional verbs such as "will," "would," "should," "could" or "may", or by variations of such words or by similar expressions. Such forward-looking statements include, but are not limited to, statements about future financial and operating results, expected cost savings, expected impact on future earnings, the Company's plans, objectives, expectations and intentions and other statements that are not historical facts. These forward- looking statements are subject to numerous assumptions, risks and uncertainties which change over time. Forward-looking statements speak only as of the date they are made and you are cautioned not to place undue reliance on any forward-looking statements. We assume no duty to update forward-looking statements. In addition to factors previously disclosed in First Bancorp’s reports filed with the Securities and Exchange Commission (“SEC”), including without limitation its Annual Reports on Form 10-K, its Quarterly Reports on Form 10-Q, and its Current Reports on Form 8-K, the following factors, among others, could cause actual results to differ materially from forward-looking statements: the financial success or changing strategies of the Company’s customers; the Company’s level of success in integrating acquisitions; actions of government regulators; the level of market interest rates; success and timing of business initiatives; competitive conditions; the inability to realize cost savings or revenues; the impact, extent and timing of technological changes; capital management activities; and general economic conditions. Non-GAAP Measures This presentation contains financial information, performance measures and statements that include non- GAAP (Generally Accepted Accounting Principles) measures and should be read along with related earnings releases and Forms 10-Q/K for the respective quarters and period ends, which provide a reconciliation of non-GAAP measures to GAAP measures. Management believes that these non-GAAP measures provide additional useful information that allows readers to evaluate the ongoing performance of First Bancorp. Non- GAAP measures should not be considered as an alternative to any measure of performance or financial condition as determined in accordance with GAAP, and investors should consider the Company’s performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of First Bancorp. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company’s results or financial condition as reported under GAAP.
3 Bank Holding Company First Bancorp Subsidiary Bank First Bank Headquarters Southern Pines, North Carolina Established 1935 as Bank of Montgomery Assets * $12.7 billion Loans * $8.7 billion Deposits * $10.7 billion Branches * 113 in NC & SC Employees * 1,353 full-time equivalent employees Ranking 4th largest bank headquartered in NC (largest community bank) Market Capitalization # $2.4 billion – Ticker FBNC Stock Market/Indices NASDAQ Global Select Market, S&P SmallCap 600 Index, Russell 2000 Daily Average Trading Volume # 373,000 shares Insider Ownership # 2.28% Institutional Ownership # 80.01% Member of Russell 2000 Yes * Data is as of 12/31/25 # Data is as of 1/16/26 Company Overview
4 Our Core Values We help our customers realize their dreams by providing financial solutions and building trusted relationships. Safety and Soundness We ensure long term financial stability by enhancing trust and confidence and providing a safe environment. Knowledge and Accuracy Employ the best associates and ensure all are well trained, establish quality standards and hold each other accountable. Courteous Service We treat customers and associates with respect, communicate effectively, and celebrate our unique contributions Convenience and Ease Our customers choose when, where and how they do business with us. Our Promise Our Footprint
5 National Recognition KBW Bank Honor Roll Top 4% of Banks Over $500 million in Assets - 2022 Included for the first time in a select group of 14 banks (4% of banking industry over $500 million) for increasing earnings per share for each of the past 10 years. Best Employer in North Carolina – 2023, 2024, and 2025 First Bank has formally been named BEST EMPLOYER in North Carolina, in the extra-large employer category, by Business NC for the last three years. First Bank was #1 in 2023 and 2024. S&P Global – Top 10 Public Banks Ranked 10th in performance of all public banks over $10 billion in assets for 2022. Forbes - Best In- State Banks Recognition – 2019, 2020, 2021, 2024 Ranked 1st or 2nd in North Carolina. Based on customer survey on satisfaction and the following attributes: • Trust • Terms & Conditions • Branch Services • Digital Services • Financial Advice
6 Q4 2025 Highlights Q4 2025 Q3 2025 CHANGE Net income (1) (2) $15.7 million $20.4 million -$4.7 million Provision for Credit Losses (1) $4.7 million $3.4 million -$1.3 million Diluted EPS (1) (2) $0.38 $0.49 -$0.11 Adjusted Diluted EPS $1.19 $1.01 +$0.18 ROA 0.49% 0.64% -15 bps Adjusted ROA 1.54% 1.31% +23 bps ROCE 3.83% 5.14% -131 bps Adjusted ROCE 12.01% 10.55% +146 bps ROTCE (3) 5.80% 7.83% -203 bps Adjusted ROTCE 17.45% 15.66% +179 bps Net Interest Margin (4) 3.58% 3.46% +12 bps Loan Yield 5.58% 5.69% -11 bps Total Cost of Deposits 1.32% 1.46% -14 bps Total Cost of Funds 1.36% 1.51% -15 bps 1. Q3 25 and Q4 25 include reductions of credit reserves for Hurricane Helene of $4.0 million pre-tax, or $0.07 per share after-tax and $1.6 million pre-tax, or $0.03 per share after-tax, respectively. 2. Q3 25 and Q4 25 include securities losses of $27.9 million pre-tax, or $0.52 per share after-tax, and $43.7 million pre-tax, or $0.81 per share after-tax, respectively, due to a securities loss-earnback transactions. 3. Annualized net income divided by: average common shareholders’ equity less average total intangible assets, net. 4. Net-interest income divided by average earning assets.
7 "We closed 2025 with strong momentum, highlighted by a 51 basis-point expansion in NIM for the year, solid loan growth and continued expense discipline. We have expanded our Net Interest Margin for seven consecutive quarters. ” Richard H. Moore, First Bancorp Chairman and CEO Capital Ratios Q4 2025 Summary • 4Q 25 net income of $15.7 million ($49.3 million on an adjusted basis) • ROA of 0.49% (Adjusted ROA of 1.54%) $49.3 million $15.7 million • ROCE of 3.83% (Adjusted ROCE of 12.01%) Adjusted net income Net income • ROTCE 5.80% (Adjusted ROTCE of 17.45%) • Management continues to control expenses resulting in $62.2 million of NIE • NIM increased 12 basis points to 3.58% • Net Interest Income +$3.7 million to $106.2 million $1.19 $0.38 • Loan Yield declined10 bps to 5.58% Adjusted diluted EPS Diluted EPS • Securities yield of 2.69% (+14 bps) • Total Cost of Deposits improved 15 bps to 1.32% • Total assets down $81.9 million 3.58% $106.2 million • Loan growth of $303.2 million NIM Net Interest Income • Securities loss-earnback transaction, resulting in a loss of $43.7 million • Deposits had seasonal decline of $132.7 million • ACL coverage ratio of 1.42% 48.2% 1.54% • Annualized net charge-offs of 0.05% ($1.1 million) Efficiency ratio Adjusted ROA • Foreclosed real estate decreased to $1.4 million • Helene credit reserves total $1.9 million • NPA/Assets ratio remains low at 0.30% • Capital position remains strong – o Tangible Common Equity Ratio 9.61% (+49 bps) Linked quarter loan growth Linked quarter deposit growth o CET 1 Ratio 14.06%1 (-29 bps) o Total Risk-Based Capital 16.08%1 (-50 bps) o C&D and CRE concentration ratios within target range 1.42% 14.06%1 • Book value of $39.89 per share, (+ $1.22) ACL ratio CET1 ratio • Tangible book value of $28.23 per share, (+ $1.25) Earnings Margin Balance Sheet Credit $303.2 million, or +14.3% $132.7 million, or +4.8% Capital 1. Preliminary
8 3.31% 3.08% 2.97% 2.88% 2.80% 2.87% 2.90% 3.08% 3.27% 3.32% 3.47% 3.60% 3.18% 2.95% 2.86% 2.78% 2.69% 2.77% 2.82% 2.99% 3.19% 3.26% 3.40% 3.54% 2.50% 2.70% 2.90% 3.10% 3.30% 3.50% 3.70% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Reported Core Net Interest Margin (tax-equivalent) Net interest margin is calculated by dividing tax- equivalent net interest income by average earning assets. Core net interest margin excludes accretion from purchase accounting loan discounts
9 Loan Yields 5.22% 5.26% 5.32% 5.39% 5.45% 5.51% 5.51% 5.47% 5.52% 5.53% 5.69% 5.58% 5.03% 5.08% 5.16% 5.25% 5.30% 5.37% 5.39% 5.34% 5.41% 5.44% 5.60% 5.51% 4.90% 5.00% 5.10% 5.20% 5.30% 5.40% 5.50% 5.60% 5.70% 5.80% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Stated Core
10 Asset Yield Trends 2.45% 2.61% 2.61% 2.62% 2.65% 2.81% 2.55% 2.69% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% 2.20% 2.40% 2.60% 2.80% 3.00% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Total Securities 4.82% 4.84% 4.92% 4.82% 4.82% 4.88% 4.86% 4.84% 4.00% 4.10% 4.20% 4.30% 4.40% 4.50% 4.60% 4.70% 4.80% 4.90% 5.00% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Interest Earning Assets 5.67% 5.65% 5.75% 5.60% 5.58% 5.58% 5.69% 5.58% 5.00% 5.10% 5.20% 5.30% 5.40% 5.50% 5.60% 5.70% 5.80% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Total Loans, Fees, & Accretion
11 Cost of Funds and Total Cost of Deposits 0.94% 1.29% 1.46% 1.64% 1.79% 1.81% 1.81% 1.62% 1.51% 1.48% 1.51% 1.36% 0.75% 1.08% 1.27% 1.41% 1.56% 1.72% 1.76% 1.57% 1.46% 1.43% 1.46% 1.32% 0.60% 0.80% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Cost of Funds Deposits
12 Deposit Cost 2.18% 2.20% 2.15% 2.06% 1.96% 1.88% 2.18% 1.97% 1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2.10% 2.20% 2.30% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Interest Bearing Deposits 1.47% 1.48% 1.44% 1.38% 1.31% 1.26% 1.46% 1.32% 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Total Cost of Deposits
13 Strong Capital Levels First Bancorp maintains strong capital levels. The fourth quarter loan growth of $303.2 million was the driver of the decrease in regulatory capital ratios from Q3 2025 to Q4 2025, as loans have a higher risk weight than short term investments, along with the repayment of $18.0 million of subordinated debt during the quarter. Capital levels afford management strategic flexibility. Capital Ratios 9.12% 11.18% 14.35% 15.14% 16.58% 9.61% 11.19% 14.06% 14.83% 16.08% 4.00% 7.00% 8.50% 10.50% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 18.00% TCE Tier 1 Leverage Capital Common Equity Tier 1 Tier 1 Capital Total Capital 9/30/2025 12/31/2025 Minimum 49 bps 1 bps 29 bps 31 bps 50 bps Capital ratios for Q4 2025 are preliminary and subject to change.
14 $10,531 $10,745 $10,830 $10,881 $10,748 1.57% 1.46% 1.43% 1.46% 1.32% 2.31% 2.14% 2.14% 2.18% 1.97% 4.50% 4.50% 4.50% 4.25% 3.75% $7,000 $7,500 $8,000 $8,500 $9,000 $9,500 $10,000 $10,500 $11,000 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 8.00% 4Q '24 1Q '25 2Q '25 3Q '25 4Q '25 Deposits Total cost of deposits Interest bearing deposits Fed funds Strong Deposit Franchise Supported by Attractive Markets Total deposits ended at $10.7 billion, a decrease of $133 million for the quarter, or 5% annualized. Brokered deposits remain minimal at $5 million as of December 31, 2025. Management has controlled interest expense, with total cost of deposits decreasing 14 basis points in Q4 2025 after increasing 3 basis points in Q3 2025 and reductions of 3 basis points, 11 basis points and 19 basis points for the three prior quarters, respectively. Deposits End-of-Period ($ in millions)
15 Granular, Diverse and Relationship- focused Customer Funding Base The Company benefits from a granular deposit franchise, with the top twenty depositors representing approximately 8% of total deposits. Consumer deposits represent 43% of total deposits. Business deposits represent 57% of total deposits. Uninsured and uncollateralized deposits represent approximately 33% of total deposits. Deposits End-of-Period ($ in millions) 9% 8% 8% 8% 8% 0% 0% 0% 0% 0% 41% 41% 41% 41% 42% 5% 5% 5% 5% 5% 13% 14% 13% 13% 13% 32% 32% 33% 33% 32% 4Q '24 1Q '25 2Q '25 3Q '25 4Q '25 Time deposits Brokered Money market Savings NOW Nonint trans accts $10,531 $10,745 $10,830 $10,881 $10,748
16 Allowance for Credit Losses – 12/31/25 Loans Outstanding Allowance for Credit Losses (ex Hurricane Helene) Allowance for Credit Losses (Hurricane Helene) % of Loans Outstanding Commercial and industrial $ 1,046,438 $ 20,044 $ 0 1.92% Construction, development & other land loans 753,199 11,465 0 1.52% Commercial real estate - owner occupied 1,353,912 20,298 0 1.50% Commercial real estate - non owner occupied 2,843,555 25,017 0 0.88% Multi-family real estate 537,015 5,205 0 0.97% Residential 1-4 family real estate 1,736,453 32,442 1,626 1.96% Home equity loans/lines of credit 383,652 3,245 274 0.92% Consumer loans 67,458 3,965 0 5.88% Unamortized net deferred loan costs (fees) 737 Total loans $ 8,722,419 $ 121,681 $ 1,900 1.42%
17 Asset Quality Trends 1.51% 1.49% 1.47% 1.44% 1.42% 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 ACL / Loans 0.30% 0.27% 0.28% 0.31% 0.30% 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% 0.35% 0.40% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Nonperforming Asset Ratio 0.04% 0.17% 0.06% 0.14% 0.05% 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Annualized Net Charge Offs 0.39% 0.36% 0.42% 0.44% 0.42% 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Nonperforming Loan Ratio
18 Noninterest Income (Dollars in thousands) Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Service charges on deposit accounts 4,320$ 4,293$ 3,767$ 3,976$ 4,225$ 4,269$ Other service charges and fees 5,555 5,828 5,883 6,595 6,355 5,653 Presold mortgage loan fees and gains on sale 690 676 450 315 471 583 Commissions from sales of financial products 1,371 1,202 1,408 1,388 1,678 1,800 SBA loan sale gains 1,108 291 52 151 869 - Bank-owned life insurance income 1,205 1,225 1,228 1,221 1,289 1,375 Securities losses, net - (36,820) - - (27,905) (43,722) Other income, net (670) 128 114 695 139 7,743 Total noninterest income 13,579$ (23,177)$ 12,902$ 14,341$ (12,879)$ (22,299)$ Our Noninterest income primarily relates to providing excellent services to our customers in the form of deposit and transaction services, mortgage financing and other financial products. These services are relatively stable across interest rate environments. Noninterest income also includes amounts related to other noninterest earning investments and gains/losses on the sales of investment securities. During the fourth quarter of 2025, the Company realized a $4.6 million gain from the sale of an office building.
19 Noninterest Expense $59,850 $58,279 $57,893 $58,983 $60,211 $62,223 61.0% 56.5% 54.2% 52.5% 50.7% 48.2% 45% 50% 55% 60% 65% $45,000 $47,500 $50,000 $52,500 $55,000 $57,500 $60,000 $62,500 $65,000 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Th ou sa nd s Non interest expense Efficiency ratio (Dollars in thousands) Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Salaries, incentives and commissions expense $29,995 $28,447 $28,661 $29,005 $31,065 $30,747 Employee benefit expense 6,495 6,702 6,095 6,187 5,751 6,673 Total personnel expense 36,490 35,149 34,756 35,192 36,816 37,420 Occupancy and equipment expense 4,883 4,700 5,192 5,195 5,145 4,903 Intangibles amortization expense 1,613 1,563 1,516 1,468 1,394 1,294 Other operating expenses 16,903 16,867 16,429 17,128 16,856 18,606 Total noninterest expenses $59,889 $58,279 $57,893 $58,983 $60,211 $62,223
20 Investment Thesis Bank that offers many of the product capabilities found in larger regional banks but delivers those services with a local community bank focus • Strong culture • Mobile Banking, Wealth Management, Credit Card, Treasury Services, and Mortgage Banking Centered in one of the fastest-growing regions in the U.S. Focused on high growth markets Stable, low-cost core deposit franchise • Built over 90 years of serving our communities • Strength of rural markets • Q4 2025 Total Cost of Deposits was 1.46% • Minimal wholesale funding Conservative Balance Sheet • Minimal credit risk in investment portfolio • Core funded • In market loan portfolio – almost no participations Market disruptions provide opportunity
21 Valuation Price to Tangible Common Book Value Chart reflects data available through S&P Global, and therefore the tangible book values are as of September 30, 2025 and the stock prices are as of January 16, 2026 for all companies presented. Based on 12/31/25 amounts for tangible common book value ($28.23) and FBNC stock price ($50.79), the Price to Tangible Book was 1.80x at that date. Source: S&P Global The above chart reflects the 1/16/2026 closing stock price and 9/30/2025 tangible common book value. 1.28x 1.57x 1.62x 1.72x 1.78x 1.86x 1.92x 2.x 2.02x 2.15x - 0.50 1.00 1.50 2.00 SFST UCB TOWN UBSI FCBC ABCB SBCF FBK AUB FBNC Price / Tangible Common Book Value Median = 1.82X
22 Valuation Price to Earnings Based on SNL Mean Normalized 2026 EPS Estimate of $4.35, the FBNC price to earnings ratio is 13.3x based on January 16, 2026, closing price for FBNC stock of $57.92. Source: S&P Global 9.8x 10.4x 11.4x 12.1x 12.1x 12.5x 12.7x 12.8x 13.3x 13.5x TOWN AUB UCB UBSI FCBC SFST FBK ABCB FBNC SBCF Price / 2026 Consensus EPS - Normalized Median – 12.3x The above chart reflects the 1/16/2026 closing stock price and 2026 EPS Estimate as of that date.
23 North Carolina & South Carolina Great States for Business High Influx of Population North Carolina is currently the 9th most populous state – • Projected 7th by 2040 – and within 1% of 5th most populated • 4th highest net increase in population in 2024 • Projected to grow 20% over the next 20 years – 5th highest total growth South Carolina is the 23rd most populous state – • The No. 1 fastest growing state by percentage change in 2023 and 4th fastest in 2024. 5th highest net increase in population in 2023 and 10th highest in 2024. • Projected to increase 18% between 2024 and 2042 America’s Top States for Business • North Carolina ranked No. 1 in America’s Top States for Business – 2022 and 2023 (CNBC), 2022 (Forbes), and Top Five in 2024 (CNBC, Forbes, CEO Magazine, Business Facilities). • South Carolina has trended up 20 points since 2021 to No. 19 for 2024 (CNBC) • South Carolina’s economy is 12th in the nation (CNBC) Tax-friendly states – NC is phasing out corporate income tax and SC’s corporate tax rate is among the lowest in the Southeast North Carolina Pension System – Ranked strongest in the nation by Moody’s Both states have an AAA Bond Rating
24 Service Excellence Standards Convenience and Ease Our customers choose when, where, and how they do business with us. Courteous Service We treat customers and fellow associates with respect, effectively communicate, and celebrate our unique contributions. Knowledge and Accuracy We employ the best associates and ensure all associates are well trained, establish quality standards, and hold each other accountable. Safety and Soundness We ensure long term financial stability by enhancing trust and confidence by providing a safe environment.
25 Corporate Citizenship
26 Corporate Citizenship First Bank has long been a committed partner in the many communities it serves across the Carolinas. The following are just some of the investment areas made over the recent years. A proud Carolinas community partner since 1935 Ensuring Equitable Access to Education — Area public schools and community colleges — Communities in schools — STEAM Programs — Summer camps Improving the Lives of Neighbors in Need — HBCU and college scholarships — Literacy programs and book drives — Boys and Girls Club chapters — United Way chapters across the Carolinas — Habitat for Humanity affiliates as volunteers and with our Habitat Loan Origination Program — Women’s shelters and organizations — Food banks and numerous drives — The American Red Cross — Partnership for Children — Smart Start — COVID relief funds, meals for frontline workers, and programs for victims of domestic violence Promoting Business and Economic Growth — Foundations — Business incubators — Local community economic development organizations — Entrepreneurship competitions — Small business financial education seminars — Events recognizing local business leaders
27 We treat customers and associates with respect, communicate effectively and celebrate the unique contributions of each individual. We strive to build an inclusive organization that represents the communities we serve. Social Responsibility Diversity Council Represent the ideas and concerns of associates regarding diversity and inclusion and ensure all efforts align with Our Promise to Service Excellence Serve as a communication channel, providing advice and assistance to leadership in promoting respect, inclusion, opportunity and community in our workplace Create a work environment that demonstrates all views are respected and provides equal access to opportunities for growth and advancement Ensure all open positions have a diverse pool of candidates, and our job requirements align with the markets we serve • Established recruiting relationships with North Carolina HBCUs • Joined NCWorks to improve visibility of open positions Diversity and Inclusion We provide financial education resources and tools to help members of our communities build brighter financial futures. Financial Wellness Teach Children to Save First Bank is an active participant in the American Bankers Association’s Teach Children to Save efforts, with associates making more than 185 visits to schools across the Carolinas and the bank matching those visits with $172,000 in donations. First@Work Through the Bank’s First@Work program, Bank associates offer in-person and online financial education seminars for employees at local businesses and at events in their communities. Educational Resources First Bank maintains many educational resources covering a range of topics like personal finance, budgeting, starting a business, buying a home, and understanding a credit score. These are frequently and widely shared through the Bank’s social media channels, including Facebook, Twitter, LinkedIn, and Instagram. The Learning Lab Built specifically for teens ages 12-18, the Learning Lab online modules provide financial education through fun, game-like scenarios on a variety of topics, including budgeting, savings, and investing.
28 Thank you!