The First Bancorp(FNLC) - 2025 Q3 - Quarterly Report

Financial Performance - Net income for the quarter ended September 30, 2025, was $9,082,000, up 19.9% from $7,571,000 for the same quarter in 2024[16]. - Net income for the nine months ended September 30, 2025, was $24,222,000, an increase from $19,763,000 in the same period of 2024, representing a growth of approximately 22.8%[22]. - Basic earnings per common share increased to $2.19 for the nine months ended September 30, 2025, compared to $1.79 for the same period in 2024, reflecting a growth of 22.3%[16]. - Diluted EPS for the quarter ended September 30, 2025, was $0.81, compared to $0.68 in the same quarter of 2024, indicating a growth of 19.1%[116]. - On a PTPP basis, earnings for the nine months ended September 30, 2025, were $31.1 million, up $7.8 million, or 33.6% from the prior year[185]. Asset and Loan Growth - Total assets increased to $3,198,478,000 as of September 30, 2025, compared to $3,157,010,000 at December 31, 2024, reflecting a growth of 1.0%[15]. - Net loans reached $2,373,432,000, up from $2,316,069,000 at the end of 2024, representing a 2.5% increase[15]. - The loan portfolio grew by $57.6 million, or 2.5%, in the nine months ended September 30, 2025, with commercial loans increasing by $21.4 million[191]. - The loan portfolio totaled $2,398,510,000 as of September 30, 2025, reflecting a growth from $2,340,940,000 at December 31, 2024[51]. Income and Expenses - Total interest income for the nine months ended September 30, 2025, was $119,539,000, an increase of 8.0% from $109,833,000 for the same period in 2024[16]. - Net interest income after provision for credit losses was $54,688,000 for the nine months ended September 30, 2025, compared to $46,996,000 for the same period in 2024, marking a 16.0% increase[16]. - Non-interest income for the nine months ended September 30, 2025, was $12,606,000, up from $11,919,000 for the same period in 2024, representing a growth of 5.8%[16]. - Total non-interest expense for the nine months ended September 30, 2025, was $37,797,000, compared to $35,011,000 for the same period in 2024, an increase of 7.9%[16]. Deposits and Shareholder Equity - Total deposits rose to $2,737,550,000 as of September 30, 2025, compared to $2,725,251,000 at December 31, 2024, indicating a slight increase of 0.4%[15]. - The total shareholders' equity at September 30, 2025, was $274,566,000, an increase from $256,783,000 at September 30, 2024, marking a growth of approximately 6.9%[19]. Credit Quality and Allowance for Credit Losses - The total ending allowance balance for credit losses as of September 30, 2025, was $186,000, down from $224,000 a year earlier[44]. - The provision for credit losses on loans for the first nine months of 2025 was $1.4 million, significantly up from $58,000 in the same period of 2024[190]. - Non-performing assets stood at 0.30% of total assets as of September 30, 2025, up from 0.14% as of December 31, 2024[189]. - Total past-due loans were 0.69% of total loans as of September 30, 2025, up from 0.40% as of December 31, 2024[189]. Securities and Investments - As of September 30, 2025, the amortized cost of investment securities was $678,664,000, with an estimated fair value of $590,067,000, reflecting unrealized losses of $88,597,000[31]. - The fair value of investment securities is estimated at $273,493,000 as of September 30, 2025, with $219,417,000 in mortgage-backed securities[153]. - The total fair value of AFS debt securities in an unrealized loss position was $238,089,000, with unrealized losses amounting to $42,854,000[39]. Loan Modifications and Foreclosures - Loan modifications for borrowers experiencing financial difficulty totaled $1,391,000 in payment deferrals, $307,000 in term extensions, and $4,034,000 in rate modifications during the three months ended September 30, 2025[61]. - Loans in process of foreclosure as of September 30, 2025, total $998,000, compared to $192,000 as of December 31, 2024[68]. Economic and Market Conditions - The Federal Open Market Committee (FOMC) has lowered short-term interest rates in September and October, signaling potential further cuts depending on inflation targets[29]. - The company anticipates that changes in economic conditions and regulatory environments may impact future performance and financial results[166].