Financial Performance - Net income for Q3 2024 was $16.7 million, a decrease of 1.4% from Q2 2024, but an increase of 46.1% compared to Q3 2023[1][3] - Noninterest income for Q3 2024 was $6.6 million, a 19.0% increase from Q2 2024 and a 149.0% increase from Q3 2023[9][10] - Net interest income for September 2024 was $30,289,000, compared to $27,085,000 for September 2023, representing an increase of 8.1%[25] - Net income for September 2024 was $16,701,000, up from $14,631,000 in September 2023, reflecting a year-over-year increase of 14.2%[25] - Net income available to common shareholders for the third quarter of 2024 was $16,701 thousand, an increase from $11,428 thousand in the same quarter of 2023, representing a growth of 46.2%[28] Asset and Liability Management - Total assets were $3.57 billion at September 30, 2024, a decrease of 1.3% from June 30, 2024, but an increase of 1.7% from September 30, 2023[15] - Total deposits were $2.72 billion at September 30, 2024, a decrease of 0.8% from June 30, 2024, but an increase of 0.2% from September 30, 2023[17] - Total liabilities decreased to $3,162,021 thousand from $3,208,142 thousand, a decline of about 1.4%[27] - Total assets as of September 30, 2024, were $3,574,669 thousand, compared to $3,476,482 thousand as of September 30, 2023, indicating a year-over-year increase of 2.8%[30] - The bank's total assets increased to $3,580,724 thousand, up from $3,425,186 thousand year-over-year[32] Credit Quality and Provisions - The company recorded a provision for credit losses of $582,000 in Q3 2024, compared to a credit of $128,000 in Q2 2024[20] - Nonperforming assets totaled $15.8 million, or 0.44% of total assets, at September 30, 2024, an increase from $14.5 million at June 30, 2024[21] - The provision for credit losses was $582,000 for September 2024, a decrease from $782,000 in September 2023, indicating improved asset quality[25] - The allowance for credit losses as a percentage of total loans was 0.60% at September 30, 2024, compared to 0.58% at June 30, 2024[21] - The net charge-offs for the period were $24 thousand, with a provision for loan losses of $653 thousand[37] Efficiency and Profitability Ratios - Efficiency ratio for Q3 2024 was 37.0%, compared to 35.9% in Q2 2024 and 43.0% in Q3 2023[13] - The effective tax rate for Q3 2024 was 26.3%, down from 27.5% in Q2 2024 and 27.0% in Q3 2023[14] - The efficiency ratio improved to 37.01% in September 2024 from 37.86% in September 2023, indicating better cost management[25] - The average yield on earning assets for the third quarter of 2024 was 6.36%, compared to 5.92% in the same quarter of 2023, reflecting an increase of 0.44 percentage points[30] Loan and Deposit Composition - Loans held for investment were $3.09 billion at September 30, 2024, a slight decrease of 0.1% from June 30, 2024, but an increase of 1.9% from September 30, 2023[17] - Noninterest-bearing deposits were $552.5 million at September 30, 2024, constituting 20.3% of total deposits[18] - Interest-bearing deposits were $2.17 billion at September 30, 2024, making up 79.7% of total deposits[18] - The bank's residential real estate loans accounted for 73.5% of gross loans held for investment, reflecting a slight decrease from 76.1% in the previous year[34] Growth in Specific Segments - SBA loan production for September 2024 was $35,839,000, significantly higher than $8,297,000 in September 2023, indicating strong growth in this segment[25] - Total noninterest income increased to $6,615 thousand in the third quarter of 2024, up from $2,657 thousand in the same quarter of 2023, marking a significant growth of 148.5%[28]

Core Points - MetroCity Bankshares, Inc. declared a quarterly cash dividend of $0.23 per share on its common stock, payable on November 8, 2024, to shareholders of record as of October 30, 2024 [1] - The board of directors approved the continuation of its share repurchase program, allowing the repurchase of up to 925,250 shares, which is the remaining amount from the previous plan, starting from October 17, 2024, to September 30, 2025 [2][3] Company Overview - MetroCity Bankshares, Inc. is a Georgia corporation and a bank holding company for its wholly-owned banking subsidiary, Metro City Bank, headquartered in the Atlanta metropolitan area, operating 20 full-service branch locations in multi-ethnic communities across several states [4]

Financial Performance - For the three months ended June 30, 2024, net interest income was $30.712 million, an increase from $24.970 million in the same period of 2023, reflecting a year-over-year growth of 22%[138]. - Net income for the three months ended June 30, 2024, was $16.937 million, representing a 29% increase from $13.108 million in the same period of 2023[138]. - Basic earnings per share for Q2 2024 rose to $0.67 from $0.52 in Q2 2023, while diluted earnings per share increased to $0.66 from $0.51[143]. - Interest income for Q2 2024 totaled $54.1 million, up 14.0% from $47.5 million in Q2 2023, primarily due to a 51 basis points increase in loan yield[144]. - The net interest margin for Q2 2024 improved by 56 basis points to 3.66%, driven by a 55 basis points increase in the yield on average interest-earning assets[150]. - Net income for Q2 2024 was $16.9 million, a 29.2% increase from $13.1 million in Q2 2023, driven by a $5.7 million increase in net interest income[142]. Credit Losses and Allowances - The adoption of the CECL model resulted in an increase of the allowance for credit losses by $5.1 million and a reduction of retained earnings by $3.8 million[124]. - The provision for credit losses for the three months ended June 30, 2024, was a reversal of $128,000 compared to a provision of $416,000 in the same period of 2023[138]. - The allowance for credit losses as a percentage of gross loans was 0.58% as of June 30, 2024, compared to 0.60% in the same period of 2023[161]. - The allowance for credit losses was $18.0 million at June 30, 2024, a decrease of $152,000, or 0.8%, compared to $18.1 million at December 31, 2023[185]. - The adequacy of reserves for credit losses is critical, influenced by economic conditions and the quality of the loan portfolio[128]. Asset and Deposit Management - As of June 30, 2024, MetroCity Bankshares, Inc. reported total assets of $3.62 billion, total loans of $3.09 billion, total deposits of $2.75 billion, and total shareholders' equity of $407.2 million[133]. - The company's total deposits increased by 0.5% to $2.75 billion as of June 30, 2024, with uninsured deposits decreasing to 23.4% of total deposits from 26.5% at the end of 2023[141]. - Total assets increased $112.5 million, or 3.2%, to $3.62 billion at June 30, 2024 compared to $3.50 billion at December 31, 2023[178]. - The average balance of total deposits was $2,729,933 thousand with a weighted average rate of 2.91% for the six months ended June 30, 2024[197]. - Brokered deposits decreased to $751.7 million, or 27.4% of total deposits, at June 30, 2024, down from $766.3 million, or 28.1% of total deposits, at December 31, 2023[195]. Risk Management - The risk management framework must effectively mitigate various risks, including credit risk and liquidity risk, to ensure financial stability[121]. - The company highlighted the impact of prolonged elevated interest rates and inflation on its financial projections and credit quality[119]. - Interest rate risk is identified as the primary market risk, with management actively monitoring and managing this risk through various simulations and assessments[212][214]. - The company maintains off-balance sheet financial instruments, including commitments to extend credit and standby letters of credit, which involve credit and interest rate risk[210]. Operational Efficiency - The efficiency ratio for the three months ended June 30, 2024, was 35.93%, an improvement from 38.65% in the same period of 2023[138]. - The company faces challenges in maintaining expenses in line with current projections amid competitive pressures from other financial institutions[121]. - Noninterest expense for the three months ended June 30, 2024 was $13.0 million, an increase of $1.6 million, or 13.7%, compared to $11.5 million for the same period in 2023[172]. Capital and Liquidity - The company's capital ratios remain strong, with common equity Tier 1 and total capital ratios at 18.25% and 19.12%, respectively, as of June 30, 2024[141]. - The company's total capital ratio was 19.12% as of June 30, 2024, exceeding the minimum requirement for "well-capitalized" institutions[208]. - The Tier 1 capital ratio was 18.25% as of June 30, 2024, above the required 8.50%[208]. - The liquidity position is supported by management of liquid assets and access to alternative sources of funds, including wholesale/brokered deposits and additional borrowings[202]. Market and Economic Conditions - The concentration of the loan portfolio in real estate loans poses risks related to market fluctuations and borrower financial health[120]. - The company is subject to regulatory scrutiny and must comply with capital and liquidity requirements, impacting its growth plans[118]. - The Economic Value of Equity (EVE) sensitivity showed a potential decrease of (16.30)% in a +300 basis point shock scenario as of June 30, 2024[220].

Financial Performance - Net income for Q2 2024 was $16.9 million, a 15.8% increase from Q1 2024 and a 29.2% increase from Q2 2023[1][5] - Net income for the six months ended June 30, 2024, was $31.567 million, compared to $28.838 million for the same period in 2023[36] - The company reported a return on average equity of 17.10% for Q2 2024, up from 15.41% in Q1 2024 and 11.71% in Q2 2023[36] Income and Expenses - Noninterest income for Q2 2024 was $5.6 million, a decrease of 0.2% from Q1 2024, but an increase of 18.5% from Q2 2023[12][13] - Noninterest expense for Q2 2024 totaled $13.0 million, an increase of 5.4% from Q1 2024[15] - The efficiency ratio improved to 35.9% in Q2 2024 from 37.9% in Q1 2024[18] Interest and Loans - Net interest income for Q2 2024 was $30.712 million, an increase from $27.085 million in Q1 2024 and $26.122 million in Q2 2023[36] - Net interest margin increased by 42 basis points to 3.66% in Q2 2024 compared to 3.24% in Q1 2024[9] - Loans held for investment were $3.09 billion, a decrease of $25.4 million, or 0.8%, from Q1 2024[22] Assets and Liabilities - Total assets decreased by $31.8 million, or 0.9%, from Q1 2024 to $3.62 billion as of June 30, 2024[20] - Total liabilities decreased to $3,208,142,000 as of June 30, 2024, down from $3,250,615,000 as of March 31, 2024[39] - Total deposits were $2.75 billion, a decrease of $68.0 million, or 2.4%, from Q1 2024[23] Credit Quality - The company recorded a credit provision for credit losses of $128,000 in Q2 2024, a decrease from $140,000 in Q1 2024 and $416,000 in Q2 2023[27] - Nonperforming assets totaled $27.0 million, or 0.75% of total assets, as of June 30, 2024, down from $30.3 million (0.83%) at March 31, 2024, but up from $23.6 million (0.68%) at June 30, 2023[28] - The allowance for credit losses as a percentage of total loans was 0.58% as of June 30, 2024, unchanged from March 31, 2024, and down from 0.60% at June 30, 2023[29] Economic Outlook - The company anticipates potential impacts from economic conditions, including inflation and interest rate fluctuations, which may affect future financial performance[31]

Core Insights - MetroCity Bankshares, Inc. reported a net income of $16.9 million for Q2 2024, an increase from $14.6 million in Q1 2024 and $13.1 million in Q2 2023, reflecting strong financial performance [5][14] - Total assets decreased by $31.8 million, or 0.9%, from Q1 2024 to $3.62 billion, but increased by $140.3 million, or 4.0%, compared to Q2 2023 [10] - Loans held for investment were $3.09 billion, a decrease of $25.4 million, or 0.8%, from Q1 2024, but an increase of $69.8 million, or 2.3%, from Q2 2023 [10] - Total deposits were $2.75 billion, a decrease of $68.0 million, or 2.4%, from Q1 2024, but an increase of $47.4 million, or 1.8%, from Q2 2023 [11] - The efficiency ratio improved to 35.9% in Q2 2024 from 37.9% in Q1 2024 and 38.7% in Q2 2023, indicating better cost management [9] Financial Performance - Net interest income for the six months ended June 30, 2024, was $57.8 million, up from $51.2 million for the same period in 2023 [14][16] - Noninterest income for the six months ended June 30, 2024, totaled $11.1 million, compared to $10.8 million for the same period in 2023 [15] - Noninterest expense increased by $3.1 million, or 14.0%, to $25.4 million for the six months ended June 30, 2024, primarily due to higher salaries and employee benefits [9] Asset Quality - Nonperforming assets totaled $27.0 million, or 0.75% of total assets, at June 30, 2024, a decrease from $30.3 million, or 0.83% of total assets, at March 31, 2024 [12][17] - The allowance for credit losses as a percentage of total loans was 0.58% at June 30, 2024, unchanged from March 31, 2024 [12][17] Capital and Liquidity - The common equity tier 1 ratio was 18.00% at June 30, 2024, indicating strong capital adequacy [14] - The company had $1.27 billion of available borrowing capacity at the Federal Home Loan Bank and other financial institutions as of June 30, 2024 [11]

Core Viewpoint - MetroCity Bankshares, Inc. has declared a quarterly cash dividend of $0.20 per share on its common stock, payable on August 9, 2024, to shareholders of record as of July 31, 2024 [1] Company Overview - MetroCity Bankshares, Inc. is a Georgia corporation and serves as a bank holding company for its wholly-owned banking subsidiary, Metro City Bank, headquartered in the Atlanta metropolitan area [2] - Metro City Bank operates 20 full-service branch locations across multi-ethnic communities in Alabama, Florida, Georgia, New York, New Jersey, Texas, and Virginia [2]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2024 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _______ to _______ (I.R.S. Employer Identification No.) 5114 Buford Highway Doraville, Georgia 30340 (Address of principal executive offices ...

[First Quarter 2024 Earnings Release](index=1&type=section&id=First%20Quarter%202024%20Earnings%20Release) [Results of Operations](index=1&type=section&id=Results%20of%20Operations) MetroCity Bankshares reported a **net income of $14.6 million** for Q1 2024, showing a **28.9% increase** quarter-over-quarter but a **7.0% decrease** year-over-year, with improved efficiency Q1 2024 Key Financial Results | Metric | Q1 2024 | Q4 2023 | Q1 2023 | | :--- | :--- | :--- | :--- | | Net Income (in millions) | $14.6 | $11.3 | $15.7 | | Diluted EPS | $0.57 | $0.44 | $0.62 | | Annualized ROA | 1.65% | 1.29% | 1.87% | | Annualized ROE | 15.41% | 11.71% | 18.09% | | Efficiency Ratio | 37.9% | 45.1% | 33.4% | - The **$3.3 million** quarter-over-quarter increase in net income was due to a **$0.963 million** increase in net interest income, a **$0.922 million** decrease in provision for credit losses, an **$0.856 million** increase in noninterest income, and a **$1.6 million** decrease in noninterest expense[3](index=3&type=chunk) - The **$1.1 million** year-over-year decrease in net income was attributed to a **$0.576 million** decrease in noninterest income and a **$1.6 million** increase in noninterest expense, partially offset by higher net interest income and lower credit loss provisions[3](index=3&type=chunk) [Net Interest Income and Net Interest Margin](index=2&type=section&id=Net%20Interest%20Income%20and%20Net%20Interest%20Margin) Net interest income for Q1 2024 was **$27.1 million**, with the net interest margin (NIM) increasing by **7 basis points** quarter-over-quarter to **3.24%** but decreasing **6 basis points** year-over-year Net Interest Margin Analysis | Metric | Q1 2024 | Q4 2023 | Q1 2023 | | :--- | :--- | :--- | :--- | | Net Interest Income (in millions) | $27.1 | $26.1 | $26.2 | | Net Interest Margin | 3.24% | 3.17% | 3.30% | | Yield on Earning Assets | 6.27% | 6.14% | 5.77% | | Cost of Interest-Bearing Liabilities | 3.94% | 3.91% | 3.30% | - Interest income increased by **$1.7 million** from Q4 2023, primarily due to a **23 basis point** increase in loan yield and a **$106.2 million** increase in average loan balances[4](index=4&type=chunk) - Interest expense rose by **$0.724 million** from Q4 2023, mainly because of higher costs on time deposits and borrowings, with interest rate derivatives crediting interest expense by **$4.1 million** in Q1 2024[5](index=5&type=chunk) [Noninterest Income](index=2&type=section&id=Noninterest%20Income) Noninterest income for Q1 2024 increased **18.2%** quarter-over-quarter to **$5.6 million** due to resumed SBA and residential mortgage loan sales, but decreased **9.4%** year-over-year due to lower SBA gains - Noninterest income increased by **$0.856 million** from Q4 2023, primarily due to higher gains on sale of SBA and residential mortgage loans[8](index=8&type=chunk) Loan Origination and Sales (Q1 2024) | Activity | Amount (in millions) | | :--- | :--- | | SBA Loan Sales | $24.1 | | Mortgage Loan Sales | $21.9 | | Mortgage Loan Originations | $94.0 | - Compared to Q1 2023, noninterest income decreased by **$0.576 million**, mainly due to lower gains on sale and servicing income from SBA loans[10](index=10&type=chunk) [Noninterest Expense](index=3&type=section&id=Noninterest%20Expense) Noninterest expense in Q1 2024 decreased **11.2%** quarter-over-quarter to **$12.4 million** due to lower salary and benefits, but increased **14.4%** year-over-year due to higher compensation and professional fees - Noninterest expense decreased by **$1.6 million** from Q4 2023, primarily due to lower salary and employee benefits and occupancy expense[11](index=11&type=chunk) - Noninterest expense increased by **$1.6 million** from Q1 2023, mainly due to higher salary and employee benefits, occupancy expense, FDIC insurance premiums, and professional fees[11](index=11&type=chunk) Efficiency Ratio | Period | Efficiency Ratio | | :--- | :--- | | Q1 2024 | 37.9% | | Q4 2023 | 45.1% | | Q1 2023 | 33.4% | [Income Tax Expense](index=3&type=section&id=Income%20Tax%20Expense) The company's effective tax rate for Q1 2024 was **28.4%**, compared to **29.7%** in Q4 2023 and **27.1%** in Q1 2023 Effective Tax Rate | Period | Rate | | :--- | :--- | | Q1 2024 | 28.4% | | Q4 2023 | 29.7% | | Q1 2023 | 27.1% | [Balance Sheet Analysis](index=3&type=section&id=Balance%20Sheet%20Analysis) As of March 31, 2024, total assets grew to **$3.65 billion**, a **4.1% increase** from the previous quarter, driven by higher cash and loans held for sale, while total deposits increased **3.0%** to **$2.81 billion** Key Balance Sheet Items (as of March 31, 2024) | Metric | Q1 2024 | Q4 2023 | Change (QoQ) | | :--- | :--- | :--- | :--- | | Total Assets (in billions) | $3.65 | $3.50 | +4.1% | | Loans Held for Investment (in billions) | $3.11 | $3.14 | -0.9% | | Total Deposits (in billions) | $2.81 | $2.73 | +3.0% | - The bank's investment securities portfolio constituted only **0.78%** of total assets at March 31, 2024[15](index=15&type=chunk) - Uninsured deposits decreased to **23.0%** of total deposits at March 31, 2024, down from **26.5%** at December 31, 2023[20](index=20&type=chunk) - As of March 31, 2024, the company had **$1.22 billion** of available borrowing capacity from the FHLB, Federal Reserve Discount Window, and other institutions[20](index=20&type=chunk) [Total Assets](index=3&type=section&id=Total%20Assets) Total assets reached **$3.65 billion** at the end of Q1 2024, marking a **$144.4 million (4.1%) increase** quarter-over-quarter and a **$228.2 million (6.7%) increase** year-over-year, primarily fueled by cash and loans held for sale Total Assets Growth | Date | Total Assets (in billions) | | :--- | :--- | | March 31, 2024 | $3.65 | | December 31, 2023 | $3.50 | | March 31, 2023 | $3.42 | - The primary drivers for the QoQ increase in total assets were increases in cash and cash equivalents (**+$114.0 million**) and loans held for sale (**+$52.1 million**), partially offset by a decrease in loans held for investment (**-$28.0 million**)[14](index=14&type=chunk) [Loans](index=3&type=section&id=Loans) Loans held for investment decreased **0.9%** to **$3.11 billion** in Q1 2024 due to residential mortgage loans, while loans held for sale significantly increased to **$74.4 million** Loan Portfolio Composition | Category | March 31, 2024 (in billions) | December 31, 2023 (in billions) | | :--- | :--- | :--- | | Loans Held for Investment | $3.11 | $3.14 | | Loans Held for Sale (in millions) | $74.4 | $22.3 | - The quarterly decrease in loans held for investment was driven by a **$48.7 million** reduction in residential mortgage loans, while commercial real estate loans increased by **$13.1 million**[17](index=17&type=chunk) [Deposits](index=4&type=section&id=Deposits) Total deposits grew by **3.0%** to **$2.81 billion** in Q1 2024, led by a **$50.2 million** rise in time deposits and a **$34.7 million** increase in noninterest-bearing demand deposits Deposit Composition | Deposit Type | March 31, 2024 (in billions) | December 31, 2023 (in billions) | | :--- | :--- | :--- | | Total Deposits | $2.81 | $2.73 | | Noninterest-bearing Deposits (in millions) | $546.8 | $512.0 | | Interest-bearing Deposits (in billions) | $2.27 | $2.22 | - The QoQ increase in total deposits was driven by a **$50.2 million** increase in time deposits and a **$34.7 million** increase in noninterest-bearing demand deposits[18](index=18&type=chunk) - Noninterest-bearing deposits represented **19.4%** of total deposits at March 31, 2024, compared to **18.7%** at December 31, 2023 and **21.8%** at March 31, 2023[19](index=19&type=chunk) [Asset Quality](index=4&type=section&id=Asset%20Quality) Asset quality improved in Q1 2024, with nonperforming assets (NPAs) decreasing by **$8.1 million** to **$30.3 million**, or **0.83%** of total assets, and the allowance for credit losses to nonperforming loans improving to **62.37%** - The company recorded a credit provision for credit losses of **$0.140 million** in Q1 2024, compared to a provision expense of **$0.782 million** in Q4 2023, mainly due to reclassifying residential mortgage loans to held for sale[21](index=21&type=chunk) Asset Quality Metrics | Metric | March 31, 2024 | December 31, 2023 | March 31, 2023 | | :--- | :--- | :--- | :--- | | Nonperforming Assets (NPA) (in millions) | $30.3 | $38.4 | $19.5 | | NPA to Total Assets | 0.83% | 1.10% | 0.57% | | ACL to Total Loans | 0.58% | 0.57% | 0.63% | | ACL to Nonperforming Loans | 62.37% | 49.06% | 101.22% | - The decrease in nonperforming assets from Q4 2023 was due to a **$1.4 million** decrease in nonaccrual loans and a **$6.7 million** decrease in accruing restructured loans[22](index=22&type=chunk) [Company Information and Disclosures](index=5&type=section&id=About%20MetroCity%20Bankshares%2C%20Inc.) MetroCity Bankshares, Inc., a Georgia-based bank holding company for Metro City Bank, operates **20 branches** across seven states, serving multi-ethnic communities, with the report including standard forward-looking statement disclaimers - Metro City Bank, founded in 2006 and headquartered in the Atlanta metropolitan area, operates **20 full-service branches** in Alabama, Florida, Georgia, New York, New Jersey, Texas, and Virginia[24](index=24&type=chunk) - The press release contains forward-looking statements subject to various risks and uncertainties, including economic conditions, interest rate changes, and competition[25](index=25&type=chunk) - The company cautions readers not to place undue reliance on forward-looking statements and does not commit to updating them except as required by law[26](index=26&type=chunk) [Financial Tables](index=7&type=section&id=Financial%20Tables) This section provides detailed unaudited financial statements and data for MetroCity Bankshares, Inc., including selected historical financial data, consolidated balance sheets, income statements, and detailed breakdowns of loans and nonperforming assets [Selected Financial Data](index=7&type=section&id=Selected%20Financial%20Data) This table presents a summary of key income statement data, per share data, performance ratios, asset quality metrics, and balance sheet ratios for the five quarters ending March 31, 2024 Selected Financial Data | (Dollars in thousands, except per share data) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | | :--- | :--- | :--- | :--- | :--- | :--- | | Net income | $14,631 | $11,347 | $11,428 | $13,108 | $15,730 | | Diluted income per share | $0.57 | $0.44 | $0.45 | $0.51 | $0.62 | | Dividends per share | $0.20 | $0.18 | $0.18 | $0.18 | $0.18 | | Return on average assets | 1.65% | 1.29% | 1.30% | 1.55% | 1.87% | | Net interest margin | 3.24% | 3.17% | 2.94% | 3.10% | 3.30% | | Efficiency ratio | 37.86% | 45.13% | 43.04% | 38.65% | 33.38% | [Consolidated Balance Sheets](index=8&type=section&id=Consolidated%20Balance%20Sheets) This table provides the unaudited consolidated balance sheets, detailing assets, liabilities, and shareholders' equity for the five quarters ending March 31, 2024 Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2024 | December 31, 2023 | March 31, 2023 | | :--- | :--- | :--- | :--- | | Total assets | $3,647,219 | $3,502,823 | $3,419,013 | | Cash and cash equivalents | $258,836 | $144,805 | $224,064 | | Loans less allowance | $3,096,085 | $3,123,993 | $2,993,073 | | Total liabilities | $3,250,615 | $3,121,306 | $3,066,052 | | Total deposits | $2,813,858 | $2,730,936 | $2,644,093 | | Total shareholders' equity | $396,604 | $381,517 | $352,961 | [Consolidated Statements of Income](index=9&type=section&id=Consolidated%20Statements%20of%20Income) This table presents the unaudited consolidated statements of income, showing revenues, expenses, and net income for the five quarters ending March 31, 2024 Consolidated Income Statement Highlights (in thousands) | Account | Q1 2024 | Q4 2023 | Q1 2023 | | :--- | :--- | :--- | :--- | | Total interest income | $52,358 | $50,671 | $45,965 | | Total interest expense | $25,273 | $24,549 | $19,732 | | Net interest income | $27,085 | $26,122 | $26,233 | | Provision for credit losses | $(140) | $782 | $— | | Total noninterest income | $5,568 | $4,712 | $6,144 | | Total noninterest expense | $12,361 | $13,915 | $10,807 | | Net income | $14,631 | $11,347 | $15,730 | [Average Balances and Yields/Rates](index=10&type=section&id=Average%20Balances%20and%20Yields%2FRates) This table provides a detailed analysis of average asset and liability balances, along with their corresponding yields and rates, for Q1 2024, Q4 2023, and Q1 2023, culminating in the net interest margin calculation Yields and Rates Analysis | Metric | Q1 2024 | Q4 2023 | Q1 2023 | | :--- | :--- | :--- | :--- | | Yield on Earning Assets | 6.27% | 6.14% | 5.77% | | Cost of Interest-Bearing Liabilities | 3.94% | 3.91% | 3.30% | | Net Interest Spread | 2.33% | 2.23% | 2.47% | | Net Interest Margin | 3.24% | 3.17% | 3.30% | [Loan Data](index=11&type=section&id=Loan%20Data) This table details the composition of the gross loans held for investment portfolio by category for the five quarters ending March 31, 2024 Gross Loans Held for Investment (in thousands) | Loan Category | March 31, 2024 | % of Total | December 31, 2023 | % of Total | | :--- | :--- | :--- | :--- | :--- | | Commercial real estate | $724,263 | 23.2% | $711,177 | 22.6% | | Residential real estate | $2,301,596 | 73.7% | $2,350,299 | 74.6% | | **Total Gross Loans** | **$3,122,428** | **100.0%** | **$3,150,961** | **100.0%** | [Nonperforming Assets](index=11&type=section&id=Nonperforming%20Assets) This table provides a breakdown of nonperforming assets, including nonaccrual loans and other real estate owned (OREO), and related asset quality ratios for the five quarters ending March 31, 2024 Nonperforming Assets (in thousands) | Category | March 31, 2024 | December 31, 2023 | March 31, 2023 | | :--- | :--- | :--- | :--- | | Nonaccrual loans | $13,297 | $14,682 | $9,064 | | Accruing restructured loans | $15,534 | $22,233 | $9,654 | | **Total non-performing loans** | **$28,831** | **$36,915** | **$18,718** | | Other real estate owned | $1,452 | $1,466 | $766 | | **Total non-performing assets** | **$30,283** | **$38,381** | **$19,484** | [Allowance for Loan Losses](index=12&type=section&id=Allowance%20for%20Loan%20Losses) This table presents a reconciliation of the allowance for loan losses, showing the beginning balance, net charge-offs/recoveries, provisions, and the ending balance for the five quarters ending March 31, 2024 Allowance for Loan Losses Reconciliation (in thousands) | Category | Q1 2024 | Q4 2023 | Q1 2023 | | :--- | :--- | :--- | :--- | | Beginning Balance | $18,112 | $17,660 | $13,888 | | Total net charge-offs/(recoveries) | $(4) | $309 | $(4) | | Provision for loan losses | $(134) | $761 | $— | | **Ending Balance** | **$17,982** | **$18,112** | **$18,947** |

ATLANTA, April 17, 2024 /PRNewswire/ -- MetroCity Bankshares, Inc. (NASDAQ: MCBS) announced today that its board of directors declared a quarterly cash dividend of $0.20 per share on its common stock. The cash dividend is payable on May 10, 2024 to shareholders of record as of May 1, 2024. About MetroCity Bankshares, Inc. MetroCity Bankshares, Inc. is a Georgia corporation and a bank holding company for its wholly-owned banking subsidiary, Metro City Bank, which is headquartered in the Atlanta metropolitan ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _____. Commission File Number 001-39068 METROCITY BANKSHARES, INC. (Exact name of registrant as specified in its charter) (State or othe ...