The First Bancorp Reports Strong First Quarter 2025 Results with 17.5% Net Income Growth and Higher Net Interest Margin
DAMARISCOTTA, ME, April 23, 2025 – The First Bancorp (Nasdaq: FNLC), parent of First National Bank, announced first quarter 2025 net income of $7.1 million, or $0.63 per diluted share, reflecting a 17.5% increase in net income and 17.0% growth in diluted EPS compared to Q1 2024.
Key Highlights from Q1 2025:
Net Interest Margin (NIM) rose to 2.48%, up 26 basis points from Q1 2024 and 6 bps from Q4 2024, driven by stronger asset yields and stable liability costs.
Pre-Tax, Pre-Provision (PTPP) income jumped 32.5% year-over-year to $9.0 million.
Total assets grew to $3.19 billion, with loans increasing by $42.2 million in Q1, led by commercial and multifamily lending.
Non-interest income climbed 9.9%, aided by double-digit growth in wealth management and derivatives-related income.
Efficiency ratio improved to 56.93%, down from 61.15% a year earlier.
Asset quality remains robust, with non-performing assets at 0.19% of total assets and an ACL coverage ratio of 1.05% of total loans.
CEO Tony C. McKim emphasized continued positive momentum: “Our margin expansion, balanced loan growth, and sound credit metrics show disciplined execution across all business lines. Despite some seasonal headwinds, we’ve started 2025 with solid earnings performance and a healthy balance sheet.”
Quarterly Comparisons:
Compared to Q4 2024, net income declined 2.8% mainly due to one-time compensation-related expenses and lower debit card revenues following Q4 holiday-related peaks.
Deposits fell $13.9 million, a seasonal decline in non-maturity accounts, partially offset by a $54.7 million increase in time deposits.
Available liquidity stood at $700 million, covering 147% of estimated uninsured deposits, 74% of which are fully collateralized.
Capital and Shareholder Returns:
Book value per share rose to $23.19, with tangible book value reaching $20.44, reflecting reduced unrealized losses on AFS securities.
The board declared a $0.36 per share dividend, paid on April 18, 2025.
Outlook: With stable funding costs, strong commercial loan production, and resilient fee-based revenue streams, The First Bancorp enters the remainder of 2025 with solid fundamentals and a favorable risk profile.
2025-04-24
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