Press release
October 21, 2026
First Bancorp Reports Third Quarter Results
First Bancorp (FBNC)
Third Quarter 2026 Financial Data
(Dollars in 000s, except per share data)
Q3-2026
Q2-2026
Q3-2025
Summary Income Statement
Total interest income
$ 153,979
$ 148,315
$ 144,233
Total interest expense
39,182
37,049
41,711
Net interest income
114,797
111,266
102,522
Provision for credit losses
1,300
1,169
3,442
Noninterest income
15,117
16,034
(12,952)
Noninterest expenses
63,991
62,761
60,171
Income tax expense
13,347
12,851
5,594
Net income
$ 51,276
$ 50,519
$ 20,363
Key Metrics
Diluted EPS
$ 1.24
$ 1.22
$ 0.49
Adjusted diluted EPS (1)
1.24
1.22
1.01
Book value per share
41.38
41.49
38.67
Tangible book value per share
29.77
29.84
26.98
ROA
1.55 %
1.56 %
0.64 %
Adjusted ROA (1)
1.56 %
1.56 %
1.31 %
ROCE
11.71 %
11.89 %
5.14 %
Adjusted ROCE (1)
11.79 %
11.89 %
10.55 %
ROTCE
16.48 %
16.88 %
7.83 %
Adjusted ROTCE (1)
16.59 %
16.88 %
15.66 %
NIM
3.75 %
3.71 %
3.46 %
NIM- T/E
3.76 %
3.73 %
3.47 %
Efficiency ratio
49.09 %
49.12 %
66.92 %
Quarterly NCO ratio
0.09 %
0.04 %
0.14 %
ACL ratio
1.36 %
1.39 %
1.44 %
Capital Ratios (2)
Tangible common equity to tangible assets
9.73 %
9.83 %
9.12 %
Common equity tier I capital ratio
14.26 %
14.09 %
14.35 %
Total risk-based capital ratio
16.22 %
16.06 %
16.58 %
(1)
Q3-2026 adjusted to exclude impact of merger expenses of $0.5 million (after tax $0.3 million). Q3-2025 adjusted to exclude impact of securities loss of $27.9 million (after tax $21.4 million) See Appendices D, E, F, G and I.
(2)
September 30, 2026 ratios are preliminary.
Third Quarter 2026 Highlights
D-EPS was $1.24 per share for the third quarter of 2026 compared to $1.22 for the linked quarter and $0.49 for the like quarter.
The net interest margin was 3.75% for the quarter ended September 30, 2026, an expansion of 0.04% from the linked quarter and 0.29% from the like quarter.
The efficiency ratio for the quarter ended September 30, 2026 was 49.09%, compared to 49.12% for the linked quarter and 66.92% for the like quarter.
Total assets were $13.2 billion at September 30, 2026.
Total loans were $9.1 billion at September 30, 2026, representing an increase of $116.2 million, or 5.1% annualized.
Total loan yield was 5.75%, up 8 basis points from the linked quarter and 6 basis points from the like quarter.
The yield on securities increased 5 basis points to 2.76% from 2.71% for the linked quarter.
Total cost of funds increased 5 basis points to 1.39% for the quarter ended September 30, 2026 from 1.34% for the linked quarter and decreased 12 basis points from the like quarter.
Average deposits were $11.1 billion, an increase of $103.8 million for the linked quarter and $263.8 million from the like quarter. Total cost of deposits was 1.35%, an increase of 4 basis points for the linked quarter and a decrease of 11 basis points from the like quarter.
Noninterest expenses of $64.0 million represented a $1.2 million increase from the linked quarter and a $3.8 million increase from the like quarter. The linked quarter increase was driven by a $1.0 million increase in Total personnel expense and a $0.5 million increase in Merger and acquisition expenses.
Noninterest-bearing checking accounts were $3.6 billion, representing 33% of total deposits at September 30, 2026.
The loan-to-deposit ratio was 81.8% as of September 30, 2026.
The total risk-based capital ratio was 16.22% as of September 30, 2026, an increase of 0.16% from the linked quarter and a contraction of 0.36% from the like quarter.
Related to the pending acquisition of Carolina Bank, scheduled to close in early 2027, merger expenses of $0.5 million were recognized during the quarter.
SOUTHERN PINES, N.C., Oct. 21, 2026 /PRNewswire/ -- First Bancorp (the "Company") (NASDAQ: FBNC), the parent company of First Bank, reported unaudited third quarter earnings today. The Company reported net income of $51.3 million, or $1.24 diluted earnings per share ("D-EPS"), for the three months ended September 30, 2026 compared to $50.5 million, or $1.22 D-EPS, for the three months ended June 30, 2026 ("linked quarter") and $20.4 million, or $0.49 D-EPS, for the third quarter of 2025 ("like quarter"). Adjusting for the securities loss-earnback transaction completed in the third quarter of 2025, adjusted net income was $41.8 million, or $1.01 adjusted D-EPS, for the like quarter.
The Company continued to enhance net interest income and net interest margin ("NIM") during the third quarter of 2026. The Company recorded net interest income of $114.8 million for the current quarter, compared to $111.3 million for the linked quarter and $102.5 million for the like quarter. NIM for the third quarter of 2026 expanded to 3.75% from 3.71% for the linked quarter and 3.46% for the like quarter.
Noninterest expenses were $64.0 million for the third quarter of 2026, up from $62.8 million for the linked quarter, and $60.2 million for the like quarter. Merger and acquisition expenses of $0.5 million were recognized during the third quarter of 2026 related to the pending Carolina Bank acquisition. The efficiency ratio was 49.09% for the quarter ended September 30, 2026 , compared to 49.12% for the linked quarter and 66.92% for the like quarter.
Richard H. Moore, Chairman and CEO of the Company, stated, "First Bancorp delivered another strong quarter, reflecting disciplined balance sheet management, strong credit quality, loan growth and continued operating efficiency. Our performance through the first nine months of 2026 demonstrates the strength of our franchise, while liquidity and capital remain solid. We are pleased with our year-to-date results and remain confident in our ability to finish the year on a strong note. We also look forward to welcoming the Carolina Bank team and the enhancements to our South Carolina franchise."
Net Interest Income and Net Interest Margin
Net interest income for the third quarter of 2026 was $114.8 million, an increase of 3.2% from the linked quarter of $111.3 million and an increase of 12.0% from the like quarter of $102.5 million. The increase in net interest income from the linked and like quarters resulted from additional loan volume and increasing loan yield through originations as well as one additional earning day compared to the linked quarter. For the linked quarter, the cost of deposits increased 0.04% partially a result of the rate increase during the quarter by the Federal Reserve.
The Company's NIM for the third quarter of 2026 was 3.75%, an increase of 4 basis points from the linked quarter and 29 basis points from the like quarter.
The linked quarter expansion of NIM was driven by a $152.6 million increase in average loans along with an 8 basis points expansion in loan yield. Additionally, taxable securities contributed an additional $1.0 million from increased balances and higher yields. Offsetting these increases, the cost of interest bearing deposits increased 7 basis points on growth of $83.5 million in average balances. Driving these increases, the average balance of money market deposits increased $135.2 million while the cost of those deposits increased 7 basis points.
The like quarter expansion of NIM was driven by growth of $751.5 million in average loans, coupled with a 6 basis point yield increase as well as the cost of interest bearing deposits decreasing 17 basis points. The Company shifted its mix of interest-earning assets to higher yielding assets from the like quarter, with loans increasing from 70.4% of average interest-earning assets to 74.3% in the current quarter, while securities contracted from 24.8% of average interest-earning assets to 22.5% and short-term investments contracted from 4.8% of average interest-earning assets to 3.1% .
For the Three Months Ended
YIELD INFORMATION
September 30,
2026
June 30,
2026
September 30,
2025
Yield on loans
5.75 %
5.67 %
5.69 %
Yield on securities
2.76 %
2.71 %
2.55 %
Yield on other earning assets
4.08 %
3.99 %
4.64 %
Yield on all interest-earning assets
5.02 %
4.95 %
4.86 %
Cost of interest-bearing deposits
2.01 %
1.94 %
2.18 %
Cost of borrowings
6.71 %
6.64 %
7.20 %
Cost of total interest-bearing liabilities
2.06 %
1.99 %
2.24 %
Total cost of funds
1.39 %
1.34 %
1.51 %
Cost of total deposits
1.35 %
1.31 %
1.46 %
Net interest margin (1)
3.75 %
3.71 %
3.46 %
Net interest margin - tax-equivalent (2)
3.76 %
3.73 %
3.47 %
Average prime rate
6.79 %
6.75 %
7.46 %
(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 J 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 September 30, 2026, June 30, 2026 and September 30, 2025, the Company recorded $1.3 million, $1.2 million and $3.4 million in provision for credit losses, respectively. The provision for the third quarter of 2026 was driven by net charge-offs of $2.1 million, partially offset by improved economic factors and the reversal of the remaining incremental reserve for potential exposure from Hurricane Helene. The Allowance for Credit Losses decreased $0.7 million to $124.2 million, or 1.36% of loans. Additionally, the $124 thousand reversal of provision for unfunded commitments during the quarter was primarily the result of lower reserve rates.
Asset quality remained strong with annualized net loan charge-offs of 0.09% for the third quarter of 2026. Total nonperforming assets ("NPAs") totaled $45.0 million at September 30, 2026, or 0.34% of total assets, consistent with June 30, 2026 and up slightly from 0.31% at September 30, 2025.
The following table presents the summary of NPAs and asset quality ratios for each period.
ASSET QUALITY DATA
($ in thousands)
September 30,
2026
June 30,
2026
September 30,
2025
Nonperforming assets
Nonaccrual loans
$ 44,166
$ 44,283
$ 37,289
Accruing loans > 90 days past due
—
—
—
Total nonperforming loans
44,166
44,283
37,289
Foreclosed real estate
$ 793
659
1,718
Total nonperforming assets
$ 44,959
$ 44,942
$ 39,007
Asset Quality Ratios
Quarterly net charge-offs to average loans - annualized
0.09 %
0.04 %
0.14 %
Nonperforming loans to total loans
0.49 %
0.49 %
0.44 %
Nonperforming assets to total assets
0.34 %
0.34 %
0.31 %
Allowance for credit losses to total loans
1.36 %
1.39 %
1.44 %
Noninterest Income
Total noninterest income for the third quarter of 2026 was $15.1 million, a $0.9 million decrease from the linked quarter, primarily related to a $0.9 million decrease in Other income, net. Adjusting for the $27.9 million securities loss earnback transaction in the third quarter of 2025, the current quarter reflected a 1.1% increase from an adjusted $15.0 million for the like quarter.
Noninterest Expenses
Noninterest expenses amounted to $64.0 million for the third quarter of 2026 compared to $62.8 million for the linked quarter and $60.2 million for the like quarter. The $1.2 million, or 2.0%, increase in noninterest expense from the linked quarter was driven by a $1.0 million increase in Total personnel expense. The $3.8 million increase from the like quarter was driven by a $2.6 million increase in Total personnel expense. While noninterest expenses have been increasing, they are the result of the Company's continued growth as the efficiency ratio was 49.09% for the quarter ended September 30, 2026, compared to 49.12% for the linked quarter and 66.92% for the like quarter. We recognized $0.5 million of Merger and acquisition expenses during the third quarter of 2026 related to the pending Carolina Bank acquisition.
Income Taxes
Income tax expense totaled $13.3 million for the third quarter of 2026 compared to $12.9 million for the linked quarter and $5.6 million for the like quarter, reflecting effective tax rates of 20.7%, 20.3% and 21.6% for the respective periods.
Balance Sheet
Total assets at September 30, 2026 were $13.2 billion, an increase of $109.9 million, or 3.3% annualized, from the linked quarter and $401.3 million, or 3.1%, from a year earlier.
Key period end balance sheet components are presented below.
BALANCES
($ in thousands)
September 30,
2026
June 30,
2026
September 30,
2025
Change
3Q26 vs 2Q26
Change
3Q26 vs 3Q25
Total assets
$ 13,151,553
$ 13,041,615
$ 12,750,263
0.8 %
3.1 %
Loans
9,104,899
8,988,748
8,419,224
1.3 %
8.1 %
Investment securities
2,494,124
2,448,787
2,680,401
1.9 %
(6.9) %
Total cash and cash equivalents
451,711
550,332
597,975
(17.9) %
(24.5) %
Noninterest-bearing deposits
3,626,442
3,597,565
3,580,560
0.8 %
1.3 %
Interest-bearing deposits
7,499,862
7,487,302
7,300,610
0.2 %
2.7 %
Borrowings
74,793
74,717
92,421
0.1 %
(19.1) %
Shareholders' equity
1,713,145
1,716,460
1,603,323
(0.2) %
6.8 %
Driven by the purchase of $150.0 million of US Treasury securities during the quarter, partially offset by principal paydowns and maturities and increased unrealized losses on available for sale securities, total investment securities increased to $2.5 billion at September 30, 2026, a $45.3 million increase from the linked quarter. Total unrealized losses on available for sale investment securities were $263.8 million at September 30, 2026, as compared to $204.5 million at June 30, 2026 and $251.8 million at September 30, 2025.
Total loans were $9.1 billion at September 30, 2026, an increase of $116.2 million, or 5.1% annualized, from June 30, 2026 and an increase of $685.7 million, or 8.1%, from September 30, 2025. As of September 30, 2026, there were no notable concentrations in geographies within North Carolina or South Carolina or within 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 September 30, 2026, with the largest loan being $33.0 million and with an average loan outstanding balance of $1.5 million. Non-owner occupied office loans are generally in non-metro markets and the ten largest loans in this category represent less than 2% of the total loan portfolio.
The following table presents the period end balance and portfolio percentage by loan category.
LOAN PORTFOLIO
September 30, 2026
June 30, 2026
September 30, 2025
($ in thousands)
Amount
Percentage
Amount
Percentage
Amount
Percentage
Commercial and industrial
$ 1,041,062
11 %
$ 1,014,295
11 %
$ 904,226
11 %
Construction, development & other land loans
932,510
10 %
847,912
10 %
688,302
8 %
Commercial real estate - owner occupied
1,382,601
15 %
1,358,100
15 %
1,337,345
16 %
Commercial real estate - non-owner occupied
2,963,696
33 %
2,974,749
33 %
2,773,349
33 %
Multi-family real estate
614,797
7 %
619,489
7 %
535,681
6 %
Residential 1-4 family real estate
1,726,802
19 %
1,728,367
19 %
1,743,884
21 %
Home equity loans/lines of credit
378,419
4 %
377,949
4 %
365,488
4 %
Consumer loans
66,060
1 %
68,692
1 %
70,031
1 %
Loans, gross
9,105,947
100 %
8,989,553
100 %
8,418,306
100 %
Unamortized net deferred loan fees/(costs)
(1,048)
(805)
918
Total loans
$ 9,104,899
$ 8,988,748
$ 8,419,224
Total deposits were $11.1 billion at September 30, 2026, an increase of $41.4 million, or 1.5% annualized, from June 30, 2026 and $245.1 million, or 2.3%, from September 30, 2025.
The Company has a diversified and granular deposit base which has remained a stable funding source with noninterest-bearing deposits comprising 33% of total deposits at September 30, 2026. As presented in the table below, our deposit mix has remained relatively consistent.
DEPOSIT PORTFOLIO
September 30, 2026
June 30, 2026
September 30, 2025
($ in thousands)
Amount
Percentage
Amount
Percentage
Amount
Percentage
Noninterest-bearing checking accounts
$ 3,626,442
33 %
$ 3,597,565
32 %
$ 3,580,560
33 %
Interest-bearing checking accounts
1,402,172
13 %
1,422,592
13 %
1,418,378
13 %
Money market accounts
4,806,229
43 %
4,754,782
43 %
4,527,728
41 %
Savings accounts
505,937
4 %
510,392
5 %
532,462
5 %
Other time deposits
466,980
4 %
475,744
4 %
504,942
5 %
Time deposits >$250,000
318,544
3 %
318,821
3 %
312,255
3 %
Total customer deposits
11,126,304
100 %
11,079,896
100 %
10,876,325
100 %
Brokered deposits
—
— %
4,971
— %
4,845
— %
Total deposits
$ 11,126,304
100 %
$ 11,084,867
100 %
$ 10,881,170
100 %
As of September 30, 2026 and June 30, 2026, estimated insured deposits totaled $6.6 billion, or 58.9%, and $6.5 billion, or 58.9%, of total deposits, respectively. In addition, at September 30, 2026 and June 30, 2026, there were collateralized deposits of $694.0 million and $748.7 million, respectively, such that approximately 65.2% and 65.7%, 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 September 30, 2026 of 16.22%, up from the linked quarter ratio of 16.06% and down from the like quarter ratio of 16.58%.
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 9.73% at September 30, 2026, a decrease of 10 basis points from the linked quarter and a increase of 61 basis points from September 30, 2025. The increase in TCE from the like quarter was driven by increased retained earnings. 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
September 30,
2026
(estimated)
June 30,
2026
September 30,
2025
Tangible common equity to tangible assets (non-GAAP)
9.73 %
9.83 %
9.12 %
Common equity tier I capital ratio
14.26 %
14.09 %
14.35 %
Tier I leverage ratio
11.79 %
11.60 %
11.18 %
Tier I risk-based capital ratio
14.97 %
14.81 %
15.14 %
Total risk-based capital ratio
16.22 %
16.06 %
16.58 %
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 September 30, 2026 was 15.1%. In addition, the Company had approximately $3.7 billion in available lines of credit at that date resulting in a total liquidity ratio of 38.7%.
About First Bancorp
First Bancorp is a bank holding company headquartered in Southern Pines, North Carolina, with total assets of $13.2 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 risks and uncertainties relating to the level of success in integrating acquisitions, (including the ability to successfully integrate First Carolina into First Bank; to realize the anticipated benefits of the acquisition; deposit attrition, customer loss or other revenue loss following completed acquisitions may be greater than anticipated; and the integration of operations and personnel may require more time and expense); 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 News 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 News 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, adjusted diluted earnings per share, adjusted return on average assets, adjusted return on common equity and the adjusted efficiency ratio.
First Bancorp and Subsidiaries
Financial Summary
CONSOLIDATED INCOME STATEMENT
For the Three Months Ended
For the Nine Months Ended
($ in thousands except per share data - unaudited)
September 30,
2026
June 30,
2026
September 30,
2025
September 30,
2026
September 30,
2025
Interest income
Interest and fees on loans
$ 131,056
$ 125,845
$ 118,855
$ 377,648
$ 342,273
Interest on investment securities:
Taxable interest income
17,882
16,925
17,571
52,363
49,952
Tax-exempt interest income
1,113
1,115
1,114
3,343
3,346
Other interest income
3,928
4,430
6,693
11,330
18,017
Total interest income
153,979
148,315
144,233
444,684
413,588
Interest expense
Interest on deposits
37,919
35,812
40,035
107,777
116,559
Interest on borrowings
1,263
1,237
1,676
3,728
4,994
Total interest expense
39,182
37,049
41,711
111,505
121,553
Net interest income
114,797
111,266
102,522
333,179
292,035
Provision for credit losses
1,300
1,169
3,442
5,552
6,770
Net interest income after provision for credit losses
113,497
110,097
99,080
327,627
285,265
Noninterest income
Service charges on deposit accounts
4,574
4,205
4,225
12,733
11,968
Other service charges, commissions, and fees
5,500
5,986
6,322
17,428
18,846
Presold mortgage loan fees and gains on sale
379
660
471
1,708
1,236
Commissions from sales of insurance and financial products
1,611
1,707
1,678
4,810
4,474
SBA loan sale gains
924
529
869
2,356
1,072
Bank-owned life insurance income
1,395
1,358
1,289
4,093
3,738
Security losses, net
—
—
(27,905)
—
(27,905)
Other income, net
734
1,589
99
3,201
867
Total noninterest income
15,117
16,034
(12,952)
46,329
14,296
Noninterest expenses
Salaries expense
32,652
31,529
31,065
94,159
88,731
Employee benefit expense
6,810
6,958
5,751
20,284
18,033
Total personnel expense
39,462
38,487
36,816
114,443
106,764
Occupancy and equipment related expense
5,253
4,961
5,145
15,569
15,532
Merger and acquisition expenses
450
—
—
450
—
Intangibles amortization expense
1,153
1,199
1,394
3,599
4,378
Other operating expenses
17,673
18,114
16,816
52,909
50,332
Total noninterest expenses
63,991
62,761
60,171
186,970
177,006
Income before income taxes
64,623
63,370
25,957
186,986
122,555
Income tax expense
13,347
12,851
5,594
38,532
27,220
Net Income
$ 51,276
$ 50,519
$ 20,363
$ 148,454
$ 95,335
Earnings per common share:
Basic
$ 1.24
$ 1.22
$ 0.49
$ 3.59
$ 2.30
Diluted
1.24
1.22
0.49
3.59
2.30
First Bancorp and Subsidiaries
Financial Summary
CONSOLIDATED BALANCE SHEETS
($ in thousands - unaudited)
September 30,
2026
June 30,
2026
September 30,
2025
Assets
Cash and due from banks, noninterest bearing
$ 131,879
$ 128,424
$ 138,369
Due from banks, interest bearing
319,832
421,908
459,606
Total cash and cash equivalents
451,711
550,332
597,975
Securities available for sale
1,986,024
1,939,075
2,165,668
Securities held to maturity
508,100
509,712
514,733
Presold mortgages and SBA loans held for sale
2,677
12,304
4,032
Loans
9,104,899
8,988,748
8,419,224
Allowance for credit losses on loans
(124,241)
(124,894)
(120,948)
Net loans
8,980,658
8,863,854
8,298,276
Premises and equipment, net
140,053
138,129
141,441
Accrued interest receivable
38,594
38,272
35,986
Goodwill
478,750
478,750
478,750
Other intangible assets, net
13,633
14,786
18,526
Bank-owned life insurance
197,379
195,984
191,911
Other assets
353,974
300,417
302,965
Total assets
$ 13,151,553
$ 13,041,615
$ 12,750,263
Liabilities
Deposits:
Noninterest-bearing deposits
$ 3,626,442
$ 3,597,565
$ 3,580,560
Interest-bearing deposits
7,499,862
7,487,302
7,300,610
Total deposits
11,126,304
11,084,867
10,881,170
Borrowings
74,793
74,717
92,421
Accrued interest payable
4,092
3,813
4,436
Other liabilities
233,219
161,758
168,913
Total liabilities
11,438,408
11,325,155
11,146,940
Shareholders' equity
Common stock
967,738
966,777
973,235
Retained earnings
948,317
906,976
823,483
Stock in rabbi trust assumed in acquisition
(541)
(534)
(877)
Rabbi trust obligation
541
534
877
Accumulated other comprehensive (loss) income
(202,910)
(157,293)
(193,395)
Total shareholders' equity
1,713,145
1,716,460
1,603,323
Total liabilities and shareholders' equity
$ 13,151,553
$ 13,041,615
$ 12,750,263
First Bancorp and Subsidiaries
Financial Summary
TREND INFORMATION
For the Three Months Ended
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
PERFORMANCE RATIOS (annualized)
ROA (1)
1.55 %
1.56 %
1.48 %
0.49 %
0.64 %
Adjusted ROA (2)
1.56 %
1.56 %
1.48 %
1.54 %
1.31 %
ROCE (3)
11.71 %
11.89 %
11.22 %
3.83 %
5.14 %
Adjusted ROCE (4)
11.79 %
11.89 %
11.22 %
12.01 %
10.55 %
ROTCE (5)
16.48 %
16.88 %
16.05 %
5.80 %
7.83 %
Adjusted ROTCE (6)
16.59 %
16.88 %
16.05 %
17.45 %
15.66 %
Efficiency ratio (7)
49.09 %
49.12 %
49.05 %
73.75 %
66.92 %
Adjusted efficiency ratio (7)
48.74 %
49.12 %
49.05 %
48.53 %
51.07 %
COMMON SHARE DATA
Cash dividends declared - common
$ 0.24
$ 0.24
$ 0.24
$ 0.23
$ 0.23
Book value per common share
$ 41.38
$ 41.49
$ 40.68
$ 39.89
$ 38.67
Tangible book value per share (8)
$ 29.77
$ 29.84
$ 29.01
$ 28.23
$ 26.98
Common shares outstanding at end of period
41,399,233
41,374,221
41,375,026
41,466,227
41,465,437
Weighted average shares outstanding - diluted
41,393,792
41,375,377
41,459,357
41,481,132
41,481,542
CAPITAL INFORMATION (preliminary for current quarter)
Tangible common equity to tangible assets (9)
9.73 %
9.83 %
9.63 %
9.61 %
9.12 %
Common equity tier I capital ratio
14.26 %
14.09 %
14.13 %
14.10 %
14.35 %
Total risk-based capital ratio
16.22 %
16.06 %
16.12 %
16.12 %
16.58 %
(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)
See Appendix I for a reconciliation of the efficiency ratio to the adjusted efficiency ratio.
(8)
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.
(9)
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.
INCOME STATEMENT
For the Three Months Ended
($ in thousands except per share data)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Net interest income
$ 114,797
$ 111,266
$ 107,116
$ 106,199
$ 102,522
Provision for credit losses
1,300
1,169
3,083
4,732
3,442
Noninterest income
15,117
16,034
15,178
(22,299)
(12,952)
Merger and acquisition costs
450
—
—
—
—
Noninterest expense
63,541
62,761
60,218
62,223
60,171
Income before income taxes
64,623
63,370
58,993
16,945
25,957
Income tax expense
13,347
12,851
12,334
1,232
5,594
Net Income
$ 51,276
$ 50,519
$ 46,659
$ 15,713
$ 20,363
Earnings per common share - diluted
$ 1.24
$ 1.22
$ 1.13
$ 0.38
$ 0.49
First Bancorp and Subsidiaries
Financial Summary
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - QUARTERS
For the Three Months Ended
September 30, 2026
June 30, 2026
September 30, 2025
($ in thousands)
Average
Volume
Interest
Earned
or Paid
Average
Rate
Average
Volume
Interest
Earned
or Paid
Average
Rate
Average
Volume
Interest
Earned
or Paid
Average
Rate
Assets
Loans (1) (2)
$ 9,049,189
$ 131,056
5.75 %
$ 8,896,592
$ 125,845
5.67 %
$ 8,297,643
$ 118,855
5.69 %
Taxable securities
2,464,205
17,882
2.90 %
2,384,076
16,925
2.84 %
2,637,711
17,571
2.66 %
Non-taxable securities
282,540
1,113
1.58 %
283,645
1,115
1.57 %
286,750
1,114
1.56 %
Short-term investments, primarily interest-bearing cash
381,784
3,928
4.08 %
444,845
4,430
3.99 %
571,922
6,693
4.64 %
Total interest-earning assets
12,177,718
153,979
5.02 %
12,009,158
148,315
4.95 %
11,794,026
144,233
4.86 %
Cash and due from banks
129,562
136,181
149,771
Premises and equipment
139,675
139,177
141,858
Other assets
651,018
664,823
554,361
Total assets
$ 13,097,973
$ 12,949,339
$ 12,640,016
Liabilities
Interest-bearing checking
$ 1,383,578
$ 2,159
0.62 %
$ 1,420,738
$ 2,233
0.63 %
$ 1,403,683
$ 2,420
0.68 %
Money market deposits
4,801,217
30,306
2.50 %
4,666,044
28,268
2.43 %
4,510,662
31,674
2.79 %
Savings deposits
509,584
261
0.20 %
516,779
250
0.19 %
535,464
267
0.20 %
Other time deposits
475,896
2,810
2.34 %
487,071
2,790
2.30 %
514,143
3,029
2.34 %
Time deposits >$250,000
318,347
2,383
2.97 %
314,506
2,271
2.90 %
328,207
2,645
3.20 %
Total interest-bearing deposits
7,488,622
37,919
2.01 %
7,405,138
35,812
1.94 %
7,292,159
40,035
2.18 %
Short-term borrowings
719
1
0.61 %
757
1
0.72 %
785
1
0.49 %
Long-term borrowings
74,038
1,262
6.76 %
73,950
1,236
6.70 %
91,564
1,675
7.26 %
Total interest-bearing liabilities
7,563,379
39,182
2.06 %
7,479,845
37,049
1.99 %
7,384,508
41,711
2.24 %
Noninterest-bearing checking
3,617,819
3,597,511
3,550,499
Other liabilities
180,012
167,595
133,905
Shareholders' equity
1,736,763
1,704,388
1,571,104
Total liabilities and shareholders' equity
13,097,973
12,949,339
12,640,016
Net yield on interest-earning assets and net interest income
$ 114,797
3.75 %
$ 111,266
3.71 %
$ 102,522
3.46 %
Net yield on interest-earning assets and net interest income – tax-equivalent (3)
$ 115,247
3.76 %
$ 111,732
3.73 %
$ 102,861
3.47 %
Interest rate spread
2.96 %
2.96 %
2.62 %
Average prime rate
6.79 %
6.75 %
7.46 %
(1)
Average loans include nonaccruing loans, the effect of which is to lower the average rate shown.
(2)
Includes accretion of discount on acquired loans of $0.8 million, $1.1 million and $1.6 million for the three months ended September 30, 2026, June 30, 2026 and September 30, 2025, respectively.
(3)
Includes tax-equivalent adjustments to reflect the net tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
First Bancorp and Subsidiaries
Financial Summary
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - YEAR-TO-DATE
For the Nine Months Ended
September 30, 2026
September 30, 2025
($ in thousands)
Average
Volume
Interest
Earned
or Paid
Average
Rate
Average
Volume
Interest
Earned
or Paid
Average
Rate
Assets
Loans (1) (2)
$ 8,910,149
$ 377,648
5.66 %
$ 8,198,263
$ 342,273
5.58 %
Taxable securities
2,430,221
52,363
2.87 %
2,654,737
49,952
2.51 %
Non-taxable securities
283,625
3,343
1.57 %
287,826
3,346
1.55 %
Short-term investments, primarily interest-bearing cash
368,086
11,330
4.12 %
527,322
18,017
4.57 %
Total interest-earning assets
11,992,081
444,684
4.95 %
11,668,148
413,588
4.74 %
Cash and due from banks
137,558
145,593
Premises and equipment
139,542
142,333
Other assets
668,755
487,172
Total assets
$ 12,937,936
$ 12,443,246
Liabilities
Interest-bearing checking
$ 1,406,851
$ 6,621
0.63 %
$ 1,423,164
$ 7,343
0.69 %
Money market deposits
4,678,750
85,091
2.43 %
4,403,000
90,801
2.76 %
Savings deposits
516,775
752
0.19 %
537,790
759
0.19 %
Other time deposits
485,957
8,418
2.32 %
535,515
9,470
2.36 %
Time deposits >$250,000
312,367
6,895
2.95 %
342,011
8,186
3.20 %
Total interest-bearing deposits
7,400,700
107,777
1.95 %
7,241,480
116,559
2.15 %
Short-term borrowings
740
4
0.65 %
809
4
0.74 %
Long-term borrowings
73,949
3,724
6.73 %
91,362
4,990
7.30 %
Total interest-bearing liabilities
7,475,389
111,505
1.99 %
7,333,651
121,553
2.22 %
Noninterest-bearing checking
3,577,272
3,483,214
Other liabilities
175,787
102,828
Shareholders' equity
1,709,488
1,523,553
Total liabilities and shareholders' equity
12,937,936
12,443,246
Net yield on interest-earning assets and net interest income
$ 333,179
3.71 %
$ 292,035
3.34 %
Net yield on interest-earning assets and net interest income – tax-equivalent (3)
$ 334,574
3.73 %
$ 293,022
3.35 %
Interest rate spread
2.96 %
2.52 %
Average prime rate
6.76 %
7.49 %
(1)
Average loans include nonaccruing loans, the effect of which is to lower the average rate shown.
(2)
Includes accretion of discount on acquired loans of $2.9 million and $4.8 million for the nine months ended September 30, 2026 and September 30, 2025, respectively.
(3)
Includes tax-equivalent adjustments to reflect the net tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
Reconciliation of non-GAAP measures
APPENDIX A: Reconciliation of Common Equity to Tangible Common Equity ("TCE")
For the Three Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Total shareholders' common equity
$ 1,713,145
$ 1,716,460
$ 1,682,950
$ 1,654,168
$ 1,603,323
Less: Goodwill and other intangibles, net of related taxes
(480,741)
(481,673)
(482,640)
(483,644)
(484,623)
Tangible common equity
$ 1,232,404
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
APPENDIX B: Calculation of Tangible Book Value Per Share
For the Three Months Ended
($ in thousands except per share data)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Tangible common equity (Appendix A)
$ 1,232,404
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
Common shares outstanding
41,399,233
41,374,221
41,375,026
41,466,227
41,465,437
Tangible book value per common share
$ 29.77
$ 29.84
$ 29.01
$ 28.23
$ 26.98
APPENDIX C: TCE Ratio
For the Three Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Tangible common equity (Appendix A)
$ 1,232,404
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
Total assets
13,151,553
13,041,615
12,947,734
12,668,339
12,750,263
Less: Goodwill and other intangibles, net of related taxes
(480,741)
(481,673)
(482,640)
(483,644)
(484,623)
Tangible assets ("TA")
$ 12,670,812
$ 12,559,942
$ 12,465,094
$ 12,184,695
$ 12,265,640
TCE to TA ratio
9.73 %
9.83 %
9.63 %
9.61 %
9.12 %
APPENDIX D: Adjusted Net Income and Adjusted D-EPS
For the Three Months Ended
For the Nine Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
September 30,
2025
September 30,
2026
September 30,
2025
Net income (A)
$ 51,276
$ 50,519
$ 20,363
$ 148,454
$ 95,335
Impact of loss-earnback
Securities loss from loss-earnback
—
—
27,905
—
27,905
Less, tax impact
—
—
(6,472)
—
(6,472)
After-tax impact of securities loss-earnback
—
—
21,433
—
21,433
Impact of Merger and acquisition expenses
Merger and acquisition expenses
450
—
—
450
—
Less, tax impact
(104)
—
—
(104)
—
After-tax impact of merger and acquisition expenses
346
—
—
346
—
Adjusted net income (B)
$51,622
$50,519
$41,796
$148,800
$116,768
Weighted average shares outstanding - diluted (C)
41,393,792
41,375,377
41,481,542
41,409,330
41,443,636
D-EPS (A/C)
$ 1.24
$ 1.22
$ 0.49
$ 3.59
$ 2.30
Adjusted D-EPS (B/C)
$ 1.24
$ 1.22
$ 1.01
$ 3.59
$ 2.82
NOTE: Certain merger related expenses may not be fully tax deductible.
APPENDIX E: Calculation of Return on Average Assets ("ROA") and Adjusted ROA
For the Three Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Net income (A)
$ 51,276
$ 50,519
$ 46,659
$ 15,713
$ 20,363
After-tax impact of securities loss-earnback
—
—
—
33,581
21,433
After-tax impact of merger and acquisition expenses
346
—
—
—
—
Adjusted net income (B)
$ 51,622
$ 50,519
$ 46,659
$ 49,294
$ 41,796
Average total assets (C)
$ 13,097,973
$ 12,949,339
$ 12,762,814
$ 12,716,139
$ 12,640,016
ROA (A/C)
1.55 %
1.56 %
1.48 %
0.49 %
0.64 %
Adjusted ROA (B/C)
1.56 %
1.56 %
1.48 %
1.54 %
1.31 %
Reconciliation of non-GAAP measures, continued
APPENDIX F: Calculation of Return on Common Equity ("ROCE") and Adjusted ROCE
For the Three Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Net income (A)
$ 51,276
$ 50,519
$ 46,659
$ 15,713
$ 20,363
After-tax impact of securities loss-earnback
—
—
—
33,581
21,433
After-tax impact of merger and acquisition expenses
346
—
—
—
—
Adjusted net income (B)
$ 51,622
$ 50,519
$ 46,659
$ 49,294
$ 41,796
Average common equity (C)
$ 1,736,763
$ 1,704,388
$ 1,686,763
$ 1,627,976
$ 1,571,104
ROCE (A/C)
11.71 %
11.89 %
11.22 %
3.83 %
5.14 %
Adjusted ROCE (B/C)
11.79 %
11.89 %
11.22 %
12.01 %
10.55 %
APPENDIX G: Calculation of Return on TCE ("ROTCE") and Adjusted ROTCE
For the Three Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Net income
$ 51,276
$ 50,519
$ 46,659
$ 15,713
$ 20,363
Intangible asset amortization, net of taxes
887
923
960
994
1,066
Tangible Net income (A)
52,163
51,442
47,619
16,707
21,429
After-tax impact of securities loss-earnback
—
—
—
33,581
21,433
After-tax impact of merger and acquisition expenses
346
—
—
—
—
Adjusted tangible Net income (B)
$ 52,509
$ 51,442
$ 47,619
$ 50,288
$ 42,862
Average Common Equity
$ 1,736,763
$ 1,704,388
$ 1,686,763
$ 1,627,976
$ 1,571,104
Less: Average Goodwill and Other Intangibles, net of related taxes
(481,346)
(482,326)
(483,314)
(484,313)
(485,331)
Average TCE (C)
$ 1,255,417
$ 1,222,062
$ 1,203,449
$ 1,143,663
$ 1,085,773
ROTCE (A/C)
16.48 %
16.88 %
16.05 %
5.80 %
7.83 %
Adjusted ROTCE (B/C)
16.59 %
16.88 %
16.05 %
17.45 %
15.66 %
APPENDIX H: Impact of Hurricane Helene
For the Three Months Ended
For the Nine Months Ended
($ in thousands)
September 30,
2026
June 30,
2026
September 30,
2025
September 30,
2026
September 30,
2025
Impact of Hurricane Helene
Provision for (benefit from) credit losses
$ (1,900)
$ —
$ (4,000)
$ (1,900)
$ (9,500)
Total
(1,900)
—
(4,000)
(1,900)
(9,500)
Less, tax impact
438
—
928
438
2,203
After-tax impact of Hurricane Helene
$ (1,462)
$ —
$ (3,072)
$ (1,462)
$ (7,297)
Weighted average shares outstanding - diluted
41,393,792
41,375,377
41,481,542
41,409,330
41,443,636
Impact of Hurricane Helene per diluted share
$ 0.04
$ —
$ 0.07
$ 0.04
$ 0.18
APPENDIX I: Efficiency Ratio and Adjusted Efficiency Ratio
For the Three Months Ended
September 30,
2026
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
Noninterest expenses (A)
$ 63,991
$ 62,761
$ 60,218
$ 62,043
$ 60,171
Merger & acquisition expenses
450
—
—
—
—
Adjusted noninterest expenses (B)
63,541
62,761
60,218
62,043
60,171
Noninterest income (C)
15,117
16,034
15,178
(22,479)
(12,952)
Securities losses, net
—
—
—
(43,722)
(27,905)
Adjusted noninterest income (D)
15,117
16,034
15,178
21,243
14,953
Net interest income - tax equivalent (E)
115,247
111,732
107,595
106,601
102,861
Efficiency ratio A/(C+E)
49.09 %
49.12 %
49.05 %
73.75 %
66.92 %
Adjusted efficiency ratio B/(D+E)
48.74 %
49.12 %
49.05 %
48.53 %
51.07 %
Supplemental information
APPENDIX J: Loan purchase discount accretion and its impact on the Company's NIM
Included in interest income for the third quarter of 2026 was a loan purchase accounting discount accretion of $0.8 million compared to $1.1 million for the linked quarter and $1.6 million for the like quarter, with the activity primarily related to the continued repayments/reduction of the loan portfolio acquired from GrandSouth Bancorporation in January of 2023. Loan discount accretion had positive impacts of two basis points, three basis points and four basis points, respectively, on the Company's NIM and NIM-T/E in the third quarter of 2026, the linked quarter and the like quarter.
The following table presents the impact to net interest income of the purchase accounting adjustments for each period.
For the Three Months Ended
NET INTEREST INCOME PURCHASE ACCOUNTING ADJUSTMENTS
($ in thousands)
September 30,
2026
June 30,
2026
September 30,
2025
Interest income - increased by accretion of loan discount on acquired loans
$ 800
$ 1,083
$ 1,584
Total interest income impact
800
1,083
1,584
Interest expense - increased by discount accretion on deposits
(43)
(62)
(77)
Interest expense - increased by discount accretion on borrowings
(89)
(87)
(197)
Total net interest expense impact
(132)
(149)
(274)
Total impact on net interest income
$ 668
$ 934
$ 1,310
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SOURCE First Bancorp