First munity Bancshares(FCBC) - 2025 Q2 - Quarterly Report

FORM 10-Q General Information This section provides general information about the Form 10-Q filing and the registrant's details Registrant Information Registrant details include accelerated filer status, NASDAQ listing, and 18.31 million common shares outstanding as of July 25, 2025 - First Community Bankshares, Inc. is an accelerated filer and has filed all required reports during the preceding 12 months[5][6] Common Stock Registration Details | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | | :------------------ | :---------------- | :---------------------------------------- | | Common Stock ($1.00 par value) | FCBC | NASDAQ Global Select | - As of July 25, 2025, 18,314,905 shares of common stock, $1.00 par value, were outstanding[7] INDEX This section provides an overview of the report's structure, detailing its main parts and their respective contents Report Structure The report outlines its structure, dividing content into Part I (Financial Information) and Part II (Other Information) - The report is structured into two main parts: Part I for Financial Information and Part II for Other Information[10] - Part I includes Condensed Consolidated Financial Statements, Management's Discussion and Analysis, Quantitative and Qualitative Disclosures About Market Risk, and Controls and Procedures[10] - Part II covers Legal Proceedings, Risk Factors, Unregistered Sales of Equity Securities and Use of Proceeds, Defaults Upon Senior Securities, Mine Safety Disclosures, Other Information, and Exhibits[10] CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This section cautions that forward-looking statements are not guarantees and involve risks that could cause actual results to differ Forward-Looking Statements and Risk Factors This section warns that forward-looking statements are not guarantees, detailing various economic, regulatory, technological, and acquisition risks - Forward-looking statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict[12] - Key factors that could cause financial performance to differ materially include: inflation, interest rate, market and monetary fluctuations - The strength of the U.S. economy and local economies, including tariffs or changes in trade policies - The effects of, and changes in, trade, monetary, and fiscal policies and laws, including Federal Reserve System interest rate policies - Impact of changes in financial services laws and regulations, including taxes, banking, securities, and insurance - Technological changes and the cost/effects of cyber incidents or security breaches - The effect of acquisitions, including failure to achieve expected revenue growth and/or expense savings - Unanticipated regulatory or judicial proceedings and changes in consumer spending/saving habits[15] - The Company cautions against undue reliance on forward-looking information and does not intend to update these statements to reflect changes[13] PART I. FINANCIAL INFORMATION Item 1. Financial Statements This section presents the unaudited condensed consolidated financial statements, including balance sheets, income statements, comprehensive income, equity changes, cash flows, and explanatory notes Condensed Consolidated Balance Sheets This section presents the Company's financial position at June 30, 2025, and December 31, 2024 Condensed Consolidated Balance Sheets (Amounts in thousands) | | June 30, 2025 | December 31, 2024 | | :------------------------------------- | :------------ | :---------------- | | Assets | | | | Total cash and cash equivalents | $395,057 | $377,454 | | Debt securities available-for-sale, at fair value | $132,535 | $169,849 | | Loans held for investment, net | $2,320,257 | $2,381,264 | | Total assets | $3,181,014 | $3,261,216 | | Liabilities | | | | Total deposits | $2,635,364 | $2,691,247 | | Total liabilities | $2,678,185 | $2,734,824 | | Stockholders' equity | | | | Total stockholders' equity | $502,829 | $526,392 | | Total liabilities and stockholders' equity | $3,181,014 | $3,261,216 | - Total assets decreased by $80.20 million from December 31, 2024, primarily due to decreases in loans and available-for-sale debt securities[17][141] - Total stockholders' equity decreased by $23.56 million, or 4.48%, from December 31, 2024, mainly due to a special cash dividend payment[17][141][166] Condensed Consolidated Statements of Income This section presents the Company's unaudited consolidated results of operations for the three and six months ended June 30, 2025 and 2024 Condensed Consolidated Statements of Income (Amounts in thousands, except share and per share data) | | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Total interest income | $35,388 | $36,789 | $70,557 | $72,818 | | Total interest expense | $4,731 | $4,877 | $9,602 | $9,277 | | Net interest income | $30,657 | $31,912 | $60,955 | $63,541 | | (Recovery of) provision for credit losses | $(285) | $144 | $36 | $1,155 | | Total noninterest income | $10,340 | $9,342 | $20,569 | $18,601 | | Total noninterest expense | $25,455 | $24,897 | $50,399 | $48,283 | | Net income | $12,246 | $12,686 | $24,064 | $25,531 | | Basic earnings per common share | $0.67 | $0.69 | $1.31 | $1.39 | | Diluted earnings per common share | $0.67 | $0.71 | $1.31 | $1.42 | - Net income for Q2 2025 decreased by $440 thousand (3.47%) YoY to $12.25 million[20][113][114][115] - Net income for H1 2025 decreased by $1.47 million (5.75%) YoY to $24.06 million[20][113][114][115] - Basic EPS for Q2 2025 decreased by $0.02 (2.90%) YoY to $0.67[20][113][114][115] - Basic EPS for H1 2025 decreased by $0.08 (5.76%) YoY to $1.31[20][113][114][115] Condensed Consolidated Statements of Comprehensive Income This section presents the Company's unaudited consolidated comprehensive income for the three and six months ended June 30, 2025 and 2024 Condensed Consolidated Statements of Comprehensive Income (Amounts in thousands) | | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Net income | $12,246 | $12,686 | $24,064 | $25,531 | | Other comprehensive gain (loss), net of tax | $358 | $(515) | $2,024 | $(1,463) | | Total comprehensive income | $12,604 | $12,171 | $26,088 | $24,068 | - Total comprehensive income for Q2 2025 increased to $12.60 million from $12.17 million in Q2 2024, driven by a net other comprehensive gain[22] - For the six months ended June