FCCO

LEXINGTON, S.C., July 22, 2026 /PRNewswire/ -- Today, First Community Corporation (Nasdaq: FCCO), the holding company for First Community Bank, announced planned changes to the bank's executive leadership team and discussed the results of operations and the company's activities during the second quarter of 2026. The company announced that J. Ted Nissen will retire from his role as CEO and President of First Community Bank and as a director of the bank and its holding company, First Community Corporation, effective December 31, 2026. Mr. Nissen is a founding member of the bank's Executive Leadership Team and he has dedicated over four decades to the banking industry, thirty-one of those years at First Community Bank. He has served many industry and community organizations throughout his career including the South Carolina Bankers Association, the South Carolina Small Business Development Corporation, and the Lexington Medical Center Foundation, all of which have benefited from his talents and his commitment to actively supporting our industry and our local community. Mike Crapps, CEO and President of First Community Corporation, commented on Mr. Nissen's retirement by saying, "Through his passion and hard work, Ted has contributed so much to so many during his very distinguished career. His contributions to First Community Bank have been significant, his impact is felt throughout our organization, and we will continue to benefit from the legacy that he has created for years to come. Words are not adequate to express our thanks to Ted for all that he has done for First Community and for all that he has meant to our board, our executive team, our employees, our customers, and our community members. We all wish him well as he moves into this next season." With Mr. Nissen's retirement, the CEO and President role will be split and effective January 1, 2027, Vaughan R. Dozier will become Chief Executive Officer of First Community Bank and Joseph A. "Drew" Painter will become President of the bank. With their new roles, Mr. Dozier and Mr. Painter will join the company's and bank's board of directors. In his new position as CEO, Mr. Dozier will be responsible for overall bank operations and the oversight of the bank's Executive Leadership Team including finance, credit, risk, operations, human resources, and marketing as well as the bank's residential mortgage lending line of business. As President, Mr. Painter will be responsible for commercial and retail banking, financial planning and investment advisory services, and government guaranteed lending, as well as the bank's Business Services and Branch Administration areas. Mr. Dozier and Mr. Painter are both seasoned bankers with long tenures with First Community, eighteen and twenty-three years, respectively. Both have much institution and industry knowledge that they will bring to their new roles. Both understand First Community's business and culture on a deep level. Each has been incredibly successful in their various roles with the bank, having most recently served as Co-Commercial and Retail Banking Officers leading significant geographic regions for the bank in addition to their service on the bank's Executive Leadership Team. Each has graduated from the First Community Bank Leadership Institute and each has also been recognized by the South Carolina Bankers Association as a Young Banker of the Year. Also, effective January 1, 2027, Michael Cromer and Trey Werner will assume the roles of Regional Executives, each responsible for the oversight of a geographic region of First Community's network of banking offices. Mr. Cromer will oversee the Midlands region of South Carolina and the CSRA region of South Carolina and Georgia, while Mr. Werner will oversee the Upstate and Piedmont regions of South Carolina as well as the Atlanta/Sandy Springs, Georgia region. Both have had successful tenures with the bank, Mr. Cromer for eighteen years and Mr. Werner for ten years. They are seasoned and talented bankers who will positively impact these important regions for the bank in their new leadership roles. Mike Crapps will continue in his role as CEO and President of First Community Corporation focusing on board and corporate governance, investor relations, strategy, balance sheet and capital management, and leadership development. Commenting on the announced leadership transition, First Community board Chairman Jimmy Chao said, "The long-term success and sustainability of First Community Bank has been and continues to be an ongoing focus of our company and we have made it a priority to invest in our people to prepare them for future leadership opportunities. This current leadership transition began in 2023 and it has been implemented in stages over these past several years. Historically, most of our bank's growth and success has been driven organically under the leadership of Vaughan and Drew. We are committed to a seamless and successful leadership transition of the CEO and President roles to Vaughan and Drew and have great confidence in their partnership leading our bank to even greater success. While Ted has chosen to leave his role a little earlier than planned due to personal health reasons, we are fortunate that he will continue in a consulting role through December 31, 2027 to help ensure a smooth transition. Our board of directors is incredibly grateful to Ted for all of his many contributions to First Community through the years. He has generously shared his time and talents with our company and led with a servant's heart to impact lives for success and significance." In addition to announcing the leadership transition, First Community announced results for the second quarter of 2026. Highlights for the second quarter of 2026 include: Net income of $7.595 million during the second quarter, an increase of 46.5% year-over-year and 38.1% on a linked quarter basis. Net income excluding merger expenses1 during the quarter of $7.979 million, an increase of 48.7% year-over-year and 18.1%, on a linked quarter basis. Net income for the six months ended June 30, 2026 of $13.093 million, a 42.6% increase over the same time period in 2025. Net income for the six months ended June 30, 2026, excluding merger expenses1, of $14.733 million, an increase of 57.4% year-over-year. Diluted EPS of $0.80 per common share during the second quarter, an increase of 19.4% year-over-year and 35.6% on a linked quarter basis. Diluted EPS excluding merger expenses1 of $0.84, an increase of 21.7% year-over-year and 16.7% on a linked quarter basis. Diluted EPS of $1.39 per common share for the six months ended June 30, 2026, an increase of 17.8% over the same time period in 2025. Diluted EPS excluding merger expenses1 of $1.56 for the six months ended June 30, 2026, an increase of 30.0% over the same time period in 2025. Total deposits were $2.025 billion at June 30, 2026. Year-to-date through June 30, 2026, total deposits have increased $275.3 million, including $229.8 million related to the acquisition of Signature Bank of Georgia that closed on January 8, 2026. Excluding the impact of day one Signature Bank acquisition balances, organic deposit growth was $45.5 million during the first six months of 2026, which represents an annualized growth rate of 5.2%. Total loans were $1.578 billion at June 30, 2026 with growth of $29.1 million during the quarter, an annualized growth rate of 7.5%. Year-to-date loan growth is $267.3 million. This growth includes $195.7 million related to the acquisition of Signature Bank. Excluding the impact of the day one Signature Bank acquisition balances, organic loan growth was $71.6 million during the first half of 2026 which represents an 11.0% annualized growth rate. Capital ratios including the Tangible common shareholders' equity to tangible assets1 (TCE) and the Leverage ratio increased to 8.37% and 9.29%, respectively. Net interest margin, on a tax equivalent basis, of 3.51%, an expansion of fourteen basis points compared to the first quarter of 2026. This is the ninth consecutive quarter of margin expansion. Key credit quality metrics continue to be strong with net charge-offs, including overdrafts, during the second quarter of 2026 of $21 thousand; net loan recoveries, excluding overdrafts, during the quarter of $3 thousand; non-performing assets of 0.04%; and past due loans of 0.26% at June 30, 2026. Investment advisory revenue of $2.286 million, an increase of 30.6% year-over-year and 0.7% on a linked quarter basis. Year to date investment advisory revenue of $4.557 million, an increase of 28.1% over the same time period in 2025. Assets under management (AUM) were $1.378 billion at June 30, 2026, compared to $1.130 billion at March 31, 2026, and $1.170 billion at December 31, 2025. Mortgage income of $1.070 million during the second quarter of the year, an increase of 21.7% year-over-year and 57.1% on a linked quarter basis. Year-to-date mortgage income of $1.751 million, an increase of 6.90% over the same time period in 2025. Government Guaranteed Lending fee income of $704 thousand in the second quarter of 2026, with $16.140 million in loan production, $8.94 million in loans sold, and a gain-on-sale margin of 7.50%. Cash dividend of $0.17 per common share, the 98th consecutive quarter of cash dividends paid to common shareholders. Earnings Net income for the second quarter of 2026 was $7.595 million with diluted earnings per common share of $0.80. This compares to net income and diluted earnings per common share of $5.186 million and $0.67, respectively, year-over-year and $5.498 million and $0.59, respectively, on a linked quarter basis. Net income excluding merger expenses1 was $7.979 million, an increase of 48.7% year-over-year and 18.1%, on a linked quarter basis. Diluted EPS excluding merger expenses1 was $0.84, an increase of 21.7% year-over-year and 16.7% on a linked quarter basis. Results reported include the impact of the acquisition of Signature Bank, which closed on January 8, 2026. Year-to-date through June 30, 2026, net income was $13.093 million compared to $9.183 million during the first six months of 2025. Diluted earnings per share for the first half of 2026 were $1.39 compared to $1.18 during the same time period in 2025. Net income year-to-date, excluding merger expenses1, was $14.733 million, an increase of 57.4% year-over-year. Diluted EPS year-to-date, excluding merger expenses1, was $1.56, an increase of 30.0% year-over-year. Results reported include the impact of the acquisition of Signature Bank of Georgia, which was closed on January 8, 2026. Cash Dividend and Capital The Board of Directors has approved an increased cash dividend for the second quarter of 2026 of $0.17 per common share. This dividend is payable on August 18, 2026 to shareholders of record of the company's common stock as of August 4, 2026. First Community Corporation CEO and President, Mike Crapps commented, "The entire board is pleased that our performance enables the company to continue its cash dividend for the 98th consecutive quarter." Each of the regulatory capital ratios for the bank exceeds the well capitalized minimum levels currently required by regulatory statute. At June 30, 2026, the bank's regulatory capital ratios, Leverage, Tier I Risk Based and Total Risk Based, were 9.29%, 12.98%, and 14.13%, respectively. This compares to the same ratios as of June 30, 2025 of 8.44%, 13.04%, and 14.10%, respectively. As of June 30, 2026, the bank's Common Equity Tier I ratio was 12.98% compared to 13.04% at June 30, 2025. The bank's tangible common shareholders' equity to tangible assets1 (TCE) was 8.37% at June 30, 2026 compared to 7.47% at December 31, 2025 and 6.92% as of June 30, 2025. Tangible Book Value (TBV) per share1 increased during the quarter to $20.84 per share at June 30, 2026, from $19.84 per share as of December 31, 2025, and $18.28 per share at June 30, 2025. On May 7, 2026, the company announced that it had approved a plan to utilize up to $7.5 million of capital to repurchase shares of the company's common stock, which represents approximately 3.3% of total shareholders' equity as of June 30, 2026. Under the repurchase plan, the company may repurchase shares from time to time, through May 7, 2027. While the company did not repurchase any shares during the second quarter of 2026, the repurchase plan provides capital management opportunities for the company in the future. Loan Portfolio Quality/Allowance for Credit Losses The company's asset quality remains strong. The non-performing assets (NPAs) were 0.04% of total assets at June 30, 2026, with $887 thousand in NPAs, which compares to 0.04% and $853 thousand, respectively, at March 31, 2026. The past due ratio for all loans was 0.26% at June 30, 2026 compared to 0.17% at March 31, 2026. During the second quarter of 2026, the bank had net charge-offs, including overdrafts, of $21 thousand and net loan recoveries, excluding overdrafts, of $3 thousand. Year-to-date through June 30, 2026, net charge-offs, including overdrafts, of $26 thousand and net loan recoveries, excluding overdrafts, of $7 thousand. The ratio of classified loans plus Other Real Estate Owned (OREO) is 2.55% of total bank regulatory risk-based capital at June 30, 2026. Balance Sheet Total loans increased during the second quarter of 2026 by $29.1 million to $1.578 billion at June 30, 2026, a linked quarter annualized growth rate of 7.5%. Commercial loan production was $60.3 million during the second quarter of 2026. There were also advances of unfunded commercial construction loans of $24.9 million during the second quarter of 2026. Offsetting some of this loan growth were loan payoffs and paydowns in the second quarter of 2026 which were up approximately 17.6% compared to the first quarter of 2026. The yield on the loan portfolio was 6.02% in the second quarter of 2026 as compared to 5.94% in the first quarter of 2026. Purchase accounting amortization on the acquired Signature Bank loan portfolio resulted in amortization expense of $178 thousand during the second quarter of 2026 compared to $437 thousand in the first quarter of the year, thus reducing net interest margin by 0.03% during the second quarter of 2026 compared to 0.08% during the first quarter of 2026. Total deposits were $2.025 billion at June 30, 2026 compared to $2.048 billion at March 31, 2026. This decrease in deposits is largely attributable to deposit flows into some specific accounts near the end of the first quarter which reversed out early in the second quarter. In fact, average total deposits actually increased in the second quarter to $2.019 billion as compared to $1.978 billion in the first quarter. Pure deposits, which are defined as total deposits less certificates of deposit, were $1.702 billion at June 30, 2026 compared to $1.727 billion at March 31, 2026. Securities sold under agreements to repurchase, which are related to customer cash management accounts or business sweep accounts, were $96.5 million at June 30, 2026. Non-interest-bearing deposits were $527.9 million or 26.1% of total deposits at June 30, 2026. The average balance per customer deposit account as of June 30, 2026 was $34,037, with the average balance per consumer account of $18,020 and per non-consumer account of $72,669. All of the above point to the granularity and the quality of the bank's deposit franchise. Costs of deposits decreased four basis points to 1.76% in the second quarter of 2026 compared to 1.80% in the first quarter of 2026. Cost of funds decreased three basis points on a linked quarter basis to 1.82% in the second quarter of 2026 from 1.85% in the first quarter of 2026. The bank has other short-term investments, primarily interest-bearing cash at the Federal Reserve Bank, of $130.5 million at June 30, 2026 compared to $182.5 million at March 31, 2026. The investment portfolio was $510.8 million at June 30, 2026 compared to $512.6 million at March 31, 2026. The yield increased to 3.33% during the second quarter of 2026 as compared to 3.32% in the first quarter of 2026. The effective duration of the total investment portfolio is 3.4 at June 30, 2026. Accumulated Other Comprehensive Loss (AOCL) was $18.2 million at June 30, 2026 compared to $18.8 million at March 31, 2026. Net Interest Income/Net Interest Margin Net interest income was $19.501 million in the second quarter of 2026 compared to $18.369 million in the first quarter of 2026 and $15.324 million in the second quarter of 2025. The net interest margin, on a tax equivalent basis, was 3.51% for the second quarter of 2026 compared to 3.37% in the first quarter of 2026 and 3.21% in the second quarter of 2025. This margin expansion was driven by a combination of factors including improved loan portfolio yield, the growth in the loan portfolio which resulted in a better earning asset mix, a reduction in the purchase accounting amortization expense of the acquired Signature Bank loan portfolio, lower cost of deposits and lower cost of funds. Loans as a percent of earning assets were 70.4% at June 30, 2026 compared to 68.0% at March 31, 2026. Purchase accounting amortization on the acquired Signature Bank loan portfolio resulted in amortization expense of $178 thousand during the second quarter of 2026 compared to $437 thousand in the first quarter of the year, thus reducing net interest margin by 0.03% during the second quarter of 2026 compared to 0.08% during the first quarter of 2026. Cost of deposits and cost of funds also declined by 0.04% and 0.03%, respectively. Non-Interest Income Non-interest income for the second quarter of 2026 was $5.637 million, compared to $4.790 million in the first quarter of 2026 and $4.206 million in the second quarter of 2025, an increase of 17.7% and 34.0%, respectively. Total production in the mortgage line of business in the second quarter of 2026 was $53.8 million which was comprised of $38.3 million in secondary market loans, $2.3 million in adjustable rate mortgages (ARMs), and $13.2 million in construction loans. Total fee revenue in the mortgage line of business was $1.070 million in the second quarter of 2026, which includes $1.066 million associated with the secondary market loans with a gain-on-sale margin of 2.78%. This compares to production year-over-year of $62.9 million which was comprised of $31.9 million in secondary market loans, $5.7 million in ARMs, and $25.3 million in construction loans during the second quarter of 2025. Fee revenue associated with the secondary market loans in the second quarter of 2025 was $876 thousand with a gain-on-sale margin of 2.74%. Revenue from the financial planning and investment advisory line of business was $2.286 million for the second quarter of 2026 compared to $2.271 million in the first quarter of 2026 and $1.751 million in the second quarter of 2025. Assets Under Management (AUM) were $1.378 billion at June 30, 2026, compared to $1.130 billion at March 31, 2026, and $1.011 billion at June 30, 2025. Total fee revenue from the Government Guaranteed Lending line of business was $704 thousand in the second quarter of 2026 compared to $400 thousand in the first quarter of the year. Production in this line of business in the second quarter of 2026 included $16.140 million in SBA loans compared to the first quarter of the year with production of $2.36 million in SBA loans. During the second quarter of 2026, the company sold $8.94 million in loans, which resulted in a premium of $671 thousand and a gain-on-sale margin of 7.50%. This compares to the first quarter of the year with $2.021 million in loans sold for a premium of $194 thousand and a gain-on-sale margin of 9.59%. As previously reported, on April 10, 2026, First Community Bank received its Preferred Lender status from the Small Business Administration. Non-Interest Expense Non-interest expense was $15.273 million in the second quarter of 2026 compared to $17.031 million in the first quarter of the year. Merger expenses were $1.078 million lower in the second quarter as the company wrapped up the acquisition of Signature Bank of Georgia with the system conversion in mid-March. Marketing and public relations expenses were down $271 thousand on a linked quarter basis due to a planned reduced media schedule. Other expenses were down $560 thousand primarily due to lower audit, attorney and other professional fees as well as lower fraud-related losses. Further, in the second quarter of 2026, the company benefited from the reversal of a merger related accrual in the amount of $270 thousand. Other During the second quarter of 2026, the company purchased $900 thousand in 2026 South Carolina low income housing tax credits which resulted in an income tax benefit of $114 thousand. During the first quarter of 2026, the company purchased $12.544 million in federal tax credits for $11.666 million, which resulted in a benefit to income tax expense of $878 thousand. About First Community Corporation First Community Corporation stock trades on The NASDAQ Capital Market under the symbol "FCCO" and is the holding company for First Community Bank, a local community bank based in the Midlands of South Carolina. First Community Bank is a full-service commercial bank offering deposit and loan products and services, residential mortgage lending, financial planning/investment advisory services, and SBA/USDA lending. First Community serves customers in the Midlands, Aiken, Upstate and Piedmont Regions of South Carolina as well as Augusta and Atlanta, Georgia. For more information, visit www.firstcommunitysc.com. FORWARD-LOOKING STATEMENT This news release and certain statements by our management may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans, goals, projections and expectations, including statements regarding the anticipated timing and benefits of the leadership transition, the consulting arrangement with Mr. Nissen, and the expected roles and responsibilities of the company's executive officers, and are thus prospective. Forward-looking statements can be identified by words such as "anticipate", "expects", "intends", "believes", "may", "likely", "will", "plans", "positions", "future", "forward", or other statements that indicate future periods. Such risks, uncertainties and other factors, include, among others, the following: (1) the risk that anticipated cost savings or other expected benefits of the acquisition of Signature Bank of Georgia may not be realized; (2) potential disruption to client or employee relationships as a result of the acquisition of Signature Bank of Georgia; (3) competitive pressures among depository and other financial institutions may increase significantly and have an effect on pricing, spending, third-party relationships and revenues; (4) the strength of the United States economy in general and the strength of the local economies in which we conduct operations may be different than expected; (5) the rate of delinquencies and amounts of charge-offs, the level of allowance for credit loss, the rates of loan growth, or adverse changes in asset quality in our loan portfolio, which may result in increased credit risk-related losses and expenses; (6) changes in legislation, regulation, policies or administrative practices, whether by judicial, governmental, or legislative action; (7) adverse conditions in the stock market, the public debt markets and other capital markets (including changes in interest rate conditions) could continue to have a negative impact on the company; (8) changes in interest rates, which have and may continue to affect our deposit and funding costs, net income, prepayment penalty income, mortgage banking income, and other future cash flows, or the market value of our assets, including our investment securities; (9) technology and cybersecurity risks, including potential business disruptions, reputational risks, and financial losses, associated with potential attacks on or failures by our computer systems and computer systems of our vendors and other third parties; (10) elevated inflation which causes adverse risk to the overall economy, and could indirectly pose challenges to our customers and to our business; (11) any increases in FDIC assessment which has increased, and may continue to increase, our cost of doing business; (12) the adverse effects of events beyond our control that may have a destabilizing effect on financial markets and the economy, such as epidemics and pandemics, war or terrorist activities, essential utility outages, government shutdowns, deterioration in the global economy, instability in the credit markets, disruptions in our customers' supply chains or disruptions in transportation; (13) risks associated with the planned leadership transition, including the ability to retain key employees, maintain client relationships, and successfully integrate new executive responsibilities; and (14) risks, uncertainties and other factors disclosed in our most recent Annual Report on Form 10-K filed with the SEC, or in any of our Quarterly Reports on Form 10-Q or Current Reports on Form 8-K filed with the SEC since the end of the fiscal year covered by our most recently filed Annual Report on Form 10-K, which are available at the SEC's Internet site (http://www.sec.gov). Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. We can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by our company or any person that the future events, plans, or expectations contemplated by our company will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. 11.05 % 12.02 %12.39 % Return on average tangible common equity (non-GAAP)15.91 %15.18 %12.06 %12.31 %14.03 %13.78 % Net interest margin (non taxable equivalent) 3.50 %3.19 %3.35 %3.12 %3.43 %3.16 % Net interest margin (taxable equivalent)3.51 %3.21 %3.37 %3.13 %3.44 %3.17 % Efficiency ratio1 58.79 %66.04 %66.46 %69.23 %62.48 %67.59 % The tables below provide a reconciliation of non‑GAAP measures to GAAP for the periods indicated: Certain financial information presented above is determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). These non-GAAP financial measures include "Tangible book value per common share," "Tangible common shareholders' equity to tangible assets," "Return on average tangible common equity," "Pre-tax, pre-provision earnings," "Net income excluding the after-tax effect of merger expenses," "Diluted earnings per common share excluding the after-tax effect of merger expenses." "Tangible book value per common share" is defined as total equity reduced by recorded intangible assets divided by total common shares outstanding. "Tangible common shareholders' equity to tangible assets" is defined as total common equity reduced by recorded intangible assets divided by total assets reduced by recorded intangible assets. "Return on average tangible common equity" is defined as net income on an annualized basis divided by average total equity reduced by average recorded intangible assets. "Pre-tax, pre-provision earnings" is defined as net interest income plus non-interest income, reduced by non-interest expense. "Net income excluding the after-tax effect of merger expenses" is defined as net income plus merger expenses less income taxes on merger expenses. For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. "Diluted earnings per common share excluding the after-tax effect of merger expenses" is defined as ((net income plus merger expenses less income taxes on merger expenses) divided by the average number of diluted shares outstanding). For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. Our management believes that these non-GAAP measures are useful because they enhance the ability of investors and management to evaluate and compare our operating results from period-to-period in a meaningful manner. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the company's results as reported under GAAP. View original content to download multimedia:https://www.prnewswire.com/news-releases/first-community-corporation-announces-leadership-transition-second-quarter-results-and-increased-cash-dividend-302831676.html

The market expects Popular (BPOP) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This company that runs Banco Popular and other banks in Puerto Rico and the U.S. is expected to post quarterly earnings of $3.69 per share in its upcoming report, which represents a year-over-year change of +19.4%. Revenues are expected to be $842.26 million, up 5.3% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.27% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Popular, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that Popular will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Popular would post earnings of $3.3 per share when it actually produced earnings of $3.78, delivering a surprise of +14.55%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Popular doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. First Community (FCCO), another stock in the Zacks Banks - Southeast industry, is expected to report earnings per share of $0.69 for the quarter ended June 2026. This estimate points to a year-over-year change of +3%. Revenues for the quarter are expected to be $24.75 million, up 26.7% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for First Community has remained unchanged. Nevertheless, the company now has an Earnings ESP of -1.45%, reflecting a lower Most Accurate Estimate. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP makes it difficult to conclusively predict that First Community will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Popular, Inc. (BPOP) : Free Stock Analysis Report First Community Corporation (FCCO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

First Community (FCCO) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 22. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This holding company for First Community Bank is expected to post quarterly earnings of $0.69 per share in its upcoming report, which represents a year-over-year change of +3%. Revenues are expected to be $24.75 million, up 26.7% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For First Community, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.45%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination makes it difficult to conclusively predict that First Community will beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that First Community would post earnings of $0.64 per share when it actually produced earnings of $0.72, delivering a surprise of +12.50%. Over the last four quarters, the company has beaten consensus EPS estimates four times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. First Community doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Community Corporation (FCCO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

First Community (FCCO) came out with quarterly earnings of $0.72 per share, beating the Zacks Consensus Estimate of $0.64 per share. This compares to earnings of $0.51 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +12.50%. A quarter ago, it was expected that this holding company for First Community Bank would post earnings of $0.67 per share when it actually produced earnings of $0.69, delivering a surprise of +2.99%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. First Community, which belongs to the Zacks Banks - Southeast industry, posted revenues of $23.16 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 3.94%. This compares to year-ago revenues of $18.37 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. First Community shares have added about 1.9% since the beginning of the year versus the S&P 500's gain of 3.2%. While First Community has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for First Community was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.74 on $25.24 million in revenues for the coming quarter and $2.99 on $101.99 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Southeast is currently in the top 21% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. USCB Financial Holdings, Inc. (USCB), another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on April 23. This company is expected to post quarterly earnings of $0.47 per share in its upcoming report, which represents a year-over-year change of +23.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. USCB Financial Holdings, Inc.'s revenues are expected to be $25.9 million, up 13.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Community Corporation (FCCO) : Free Stock Analysis Report USCB Financial Holdings, Inc. (USCB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

LEXINGTON, S.C., April 22, 2026 /PRNewswire/ -- Highlights for First Quarter 2026 Net income of $5.498 million, an increase of 37.6% year-over-year and 13.8% on a linked quarter basis. Net income excluding merger expenses1 of $6.754 million, an increase of 69.0% year-over-year and 26.1%, on a linked quarter basis. Diluted EPS of $0.59 per common share, an increase of 15.7% year-over-year and a decrease of 4.8% on a linked quarter basis. Diluted EPS excluding merger expenses1 of $0.72, an increase of 41.1% year-over-year and 4.3% on a linked quarter basis. Total deposits were $2.048 billion at March 31, 2026 with growth of $298.7 million during the quarter, including $229.8 related to the acquisition of Signature Bank of Georgia ("Signature Bank"). Excluding the impact of the day one Signature Bank acquisition balances, organic deposit growth was $68.9 during the first quarter of 2026, which represents 16.0% linked quarter annualized growth. Total loans were $1.549 billion at March 31, 2026 with growth of $238.1 million during the quarter, including $195.5 million related to the acquisition of Signature Bank. Excluding the impact of the day one Signature Bank acquisition balances, organic loan growth was $42.6 million during the first quarter of 2026, which represents 13.2% linked quarter annualized growth. Capital ratios including the Tangible common shareholders' equity to tangible assets1 (TCE) and the Leverage ratio increased to 7.93% and 9.06%, respectively. Net interest margin, on a tax equivalent basis, of 3.37%, an expansion of five basis points compared to the fourth quarter of 2025. This is the eighth consecutive quarter of margin expansion. Key credit quality metrics continue to be strong with net charge-offs, including overdrafts, during the first quarter of 2026 of $5 thousand; net loan recoveries, excluding overdrafts, during the quarter of $4 thousand; non-performing assets of 0.04%; and past due loans of 0.17% at March 31, 2026. Investment advisory revenue of $2.271 million. Assets under management (AUM) were $1.130 billion at March 31, 2026, compared to the December 31, 2025 AUM amount of $1.170 billion. Cash dividend of $0.16 per common share, the 97th consecutive quarter of cash dividends paid to common shareholders. Today, First Community Corporation (Nasdaq: FCCO), the holding company for First Community Bank, announced earnings and discussed the results of operations and the company's activities during the first quarter of 2026. First Community reported net income for the first quarter of 2026 of $5.498 million with diluted earnings per common share of $0.59. This compares to net income and diluted earnings per common share of $3.997 million and $0.51, respectively, year-over-year and $4.830 million and $0.62, respectively, on a linked quarter basis. First quarter of 2026 results include the impact of the acquisition of Signature Bank, which was closed on January 8, 2026. Net income excluding merger expenses1 was $6.754 million, an increase of 69.0% year-over-year and 26.1%, on a linked quarter basis. Diluted EPS excluding merger expenses1 was $0.72, an increase of 41.1% year-over-year and 4.3% on a linked quarter basis. Cash Dividend and Capital The Board of Directors has approved a cash dividend for the first quarter of 2026 of $0.16 per common share. This dividend is payable on May 19, 2026 to shareholders of record of the company's common stock as of May 5, 2026. First Community President and CEO, Mike Crapps commented, "The entire board is pleased that our performance enables the company to continue its cash dividend for the 97th consecutive quarter." Each of the regulatory capital ratios for the bank exceeds the well capitalized minimum levels currently required by regulatory statute. At March 31, 2026, the bank's regulatory capital ratios, Leverage, Tier I Risk Based and Total Risk Based, were 9.06%, 12.80%, and 13.95%, respectively. This compares to the same ratios as of March 31, 2025 of 8.45%, 12.90%, and 13.99%, respectively. As of March 31, 2026, the bank's Common Equity Tier I ratio was 12.80% compared to 12.90% at March 31, 2025. The bank's Tangible common shareholders' equity to tangible assets1 (TCE) was 7.93% at March 31, 2026 compared to 7.47% at December 31, 2025 and 6.66% as of March 31, 2025. Tangible Book Value (TBV) per share1 increased during the quarter to $19.88 per share at March 31, 2026, from $19.84 per share as of December 31, 2025, and $17.56 at March 31, 2025. During the first quarter of 2026, under the previously approved Share Repurchase Plan, a total of 1,483 shares of the company's common stock were repurchased at an average price of $27.77 and a total value of $41,180. Loan Portfolio Quality/Allowance for Credit Losses The company's asset quality remains strong. The non-performing assets (NPAs) were 0.04% of total assets at March 31, 2026, with $853 thousand in NPAs, which compares to 0.02% and $372 thousand at December 31, 2025. The past due ratio for all loans was 0.17% at March 31, 2026, compared to 0.07% at December 31, 2025. During the first quarter of 2026, the bank had net charge-offs, including overdrafts, of $5 thousand and net loan recoveries, excluding overdrafts, of $4 thousand. During the first quarter of 2026, substandard loans increased $2.7 million primarily due to a $2.4 million loan that was identified during due diligence related to the acquisition of Signature Bank. Although principal and interest payments continue as agreed, the underlying real estate project is unfinished, therefore creating a credit mark of $2.0 million in recognition of the collateral deficiency. Related to this same matter, the allowance for credit losses increased from 1.05% to 1.19%. The ratio of classified loans plus Other Real Estate Owned (OREO) is 1.83% of total bank regulatory risk-based capital at March 31, 2026. Balance Sheet Total loans increased during the first quarter of 2026 by $238.1 million to $1.549 billion at March 31, 2026, compared to $1.311 billion at December 31, 2025. This increase includes $195.5 million related to the acquisition of Signature Bank. Excluding the impact of the day one Signature Bank acquisition balances, organic loan growth was $42.6 million during the first quarter of 2026, which represents 13.2% linked quarter annualized growth. Commercial loan production was a record high at $91.2 million during the first quarter of 2026, a 64.9% increase in production compared to the fourth quarter of 2025. There were also advances of unfunded commercial construction loans of $10.2 million during the first quarter of 2026. Offsetting some of this loan growth were loan payoffs and paydowns in the first quarter of 2026 which were up approximately 57% compared to the fourth quarter of 2025. The yield on the loan portfolio was 5.94% in the first quarter of 2026 as compared to 5.84% in the fourth quarter of 2025. Purchase accounting loan amortization on the acquired Signature Bank loan portfolio resulted in amortization expense of $437 thousand thus reducing loan yields by 0.12% during the first quarter of 2026. Total deposits increased $298.7 million during the first quarter of 2026 to $2.048 billion at March 31, 2026 compared to $1.750 billion at December 31, 2025, including $229.8 related to the acquisition of Signature Bank. Excluding the impact of the day one Signature Bank acquisition balances, organic deposit growth was $68.9 during the first quarter of 2026, which represents 16.0% linked quarter annualized growth. Pure deposits, which are defined as total deposits less certificates of deposit, increased $291 million on a linked quarter basis to $1.727 billion at March 31, 2026. Securities sold under agreements to repurchase, which are related to customer cash management accounts or business sweep accounts, were $99.8 million at March 31, 2026, a decrease of $7.4 million on a linked quarter basis. Non-interest-bearing deposits increased by $76.6 million on a linked quarter basis to $543.8 million or 26.6% of total deposits at March 31, 2026. The average balance per customer deposit account as of March 31, 2026 was $34,882, with the average balance per consumer account of $18,169 and per non-consumer account of $75,642. All of the above point to the granularity and the quality of the bank's deposit franchise. Costs of deposits increased seven basis points to 1.80% in the first quarter of 2026 compared to 1.73% in the fourth quarter of 2025. Cost of funds increased five basis points on a linked quarter basis to 1.85% in the first quarter of 2026 from 1.80% in the fourth quarter of 2025. The bank has other short-term investments, primarily interest bearing cash at the Federal Reserve Bank, of $182.5 million at March 31, 2026 compared to $137.2 million at December 31, 2025. The investment portfolio was $512.6 million at March 31, 2026 compared to $492.2 million at December 31, 2025. The yield increased to 3.32% during the first quarter of 2026 as compared to 3.30% in the fourth quarter of 2025. The effective duration of the total investment portfolio is 3.3 at March 31, 2026. Accumulated Other Comprehensive Loss (AOCL) was $18.8 million at March 31, 2026 compared to $18.4 million at December 31, 2025. Net Interest Income/Net Interest Margin Net interest income was $18.4 million in the first quarter of 2026 compared to $16.3 million in the fourth quarter of 2025 and $14.4 million in the first quarter of 2025. The net interest margin, on a tax equivalent basis, was 3.37% for the first quarter of 2026 compared to 3.32% in the fourth quarter of 2025 and 3.13% in the first quarter of 2025. This margin expansion was driven by a combination of factors including improved loan portfolio yield and the growth in the loan portfolio. Purchase accounting amortization on the acquired Signature Bank loan portfolio resulted in amortization expense of $437 thousand thus reducing net interest margin by 0.08% during the first quarter of 2026. Non-Interest Income Non-interest income for the first quarter of 2026 was $4.790 million, compared to $4.288 million in the fourth quarter of 2025 and $3.982 million in the first quarter of 2025, an increase of 11.7% and 20.3%, respectively. Non-interest income for the first quarter of 2026 includes income from the Government Guaranteed Lending line of business that was part of the acquisition of Signature Bank and is discussed further below. Total production in the mortgage line of business in the first quarter of 2026 was $42.0 million which was comprised of $25.4 million in secondary market loans, $1.9 million in adjustable rate mortgages (ARMs), and $14.7 million in construction loans. Total fee revenue in the mortgage line of business was $681 thousand in the first quarter of 2026, which includes $673 thousand associated with the secondary market loans with a gain-on-sale margin of 2.65%. This compares to production year-over-year of $43.9 million which was comprised of $25.8 million in secondary market loans, $4.0 million in ARMs, and $14.1 million in construction loans during the first quarter of 2025. Fee revenue associated with the secondary market loans in the first quarter of 2025 was $755 thousand with a gain-on-sale margin of 2.93%. Revenue from the financial planning and investment advisory line of business was $2.271 million for the first quarter of 2026 compared to $2.146 million in the fourth quarter of 2025 and $1.806 million in the first quarter of 2025. Assets Under Management (AUM) were $1.130 billion at March 31, 2026, compared to $1.170 billion at December 31, 2025 and $892.8 million at March 31, 2025. Fee revenue from the Government Guaranteed Lending line of business was $395 thousand in the first quarter of 2026. Production in this line of business in the first quarter of 2026 included $2.36 million in SBA loans. During the quarter, the company sold $2.021 million in loans, which resulted in a premium of $194 thousand and a gain-on-sale margin of 9.59%. Loan volume was temporarily impacted by the federal government shutdowns which affected the processing of loans in the pipeline. On April 10, 2026, First Community Bank received the Preferred Lender status from the Small Business Administration. With the shutdown resolved and the Preferred Lender status in place, the company is well positioned for future production in this line of business. Non-Interest Expense Non-interest expense was $17.031 million in the first quarter of 2026 which included $1.581million in merger expenses. Other On January 8, 2026, the company closed its previously announced acquisition of Signature Bank and completed the bank systems conversion in March of 2026. With this acquisition, the company expanded its footprint into the Atlanta, Georgia market and added a Government Guaranteed Lending line of business. During the first quarter of 2026, the company purchased $12.544 million in federal tax credits for $11.666 million, which resulted in a benefit to income tax expense of $878 thousand. About First Community Corporation First Community Corporation stock trades on The NASDAQ Capital Market under the symbol "FCCO" and is the holding company for First Community Bank, a local community bank based in the Midlands of South Carolina. First Community Bank is a full-service commercial bank offering deposit and loan products and services, residential mortgage lending, financial planning/investment advisory services, and SBA/USDA lending. First Community serves customers in the Midlands, Aiken, Upstate and Piedmont Regions of South Carolina as well as Augusta and Atlanta, Georgia. For more information, visit www.firstcommunitysc.com. FORWARD-LOOKING STATEMENTS This news release and certain statements by our management may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans, goals, projections and expectations, and are thus prospective. Forward-looking statements can be identified by words such as "anticipate", "expects", "intends", "believes", "may", "likely", "will", "plans", "positions", "future", "forward", or other statements that indicate future periods. Such risks, uncertainties and other factors, include, among others, the following: (1) the risk that anticipated cost savings or other expected benefits of the acquisition of Signature Bank of Georgia may not be realized; (2) potential disruption to client or employee relationships as a result of the acquisition of Signature Bank of Georgia; (3) competitive pressures among depository and other financial institutions may increase significantly and have an effect on pricing, spending, third-party relationships and revenues; (4) the strength of the United States economy in general and the strength of the local economies in which we conduct operations may be different than expected; (5) the rate of delinquencies and amounts of charge-offs, the level of allowance for credit loss, the rates of loan growth, or adverse changes in asset quality in our loan portfolio, which may result in increased credit risk-related losses and expenses; (6) changes in legislation, regulation, policies or administrative practices, whether by judicial, governmental, or legislative action; (7) adverse conditions in the stock market, the public debt markets and other capital markets (including changes in interest rate conditions) could continue to have a negative impact on the company; (8) changes in interest rates, which have and may continue to affect our deposit and funding costs, net income, prepayment penalty income, mortgage banking income, and other future cash flows, or the market value of our assets, including our investment securities; (9) technology and cybersecurity risks, including potential business disruptions, reputational risks, and financial losses, associated with potential attacks on or failures by our computer systems and computer systems of our vendors and other third parties; (10) elevated inflation which causes adverse risk to the overall economy, and could indirectly pose challenges to our customers and to our business; (11) any increases in FDIC assessment which has increased, and may continue to increase, our cost of doing business; (12) the adverse effects of events beyond our control that may have a destabilizing effect on financial markets and the economy, such as epidemics and pandemics, war or terrorist activities, essential utility outages, government shutdowns, deterioration in the global economy, instability in the credit markets, disruptions in our customers' supply chains or disruption in transportation; and (13) risks, uncertainties and other factors disclosed in our most recent Annual Report on Form 10-K filed with the SEC, or in any of our Quarterly Reports on Form 10-Q or Current Reports on Form 8-K filed with the SEC since the end of the fiscal year covered by our most recently filed Annual Report on Form 10-K, which are available at the SEC's Internet site (http://www.sec.gov). Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. We can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by our company or any person that the future events, plans, or expectations contemplated by our company will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. The tables below provide a reconciliation of non‑GAAP measures to GAAP for the periods indicated: Certain financial information presented above is determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). These non-GAAP financial measures include "Tangible book value per common share," "Tangible common shareholders' equity to tangible assets," "Return on average tangible common equity," "Pre-tax, pre-provision earnings," "Net income excluding the after-tax effect of merger expenses," "Diluted earnings per common share excluding the after-tax effect of merger expenses." "Tangible book value per common share" is defined as total equity reduced by recorded intangible assets divided by total common shares outstanding. "Tangible common shareholders' equity to tangible assets" is defined as total common equity reduced by recorded intangible assets divided by total assets reduced by recorded intangible assets. "Return on average tangible common equity" is defined as net income on an annualized basis divided by average total equity reduced by average recorded intangible assets. "Pre-tax, pre-provision earnings" is defined as net interest income plus non-interest income, reduced by non-interest expense. "Net income excluding the after-tax effect of merger expenses" is defined as net income plus merger expenses less income taxes on merger expenses. For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. "Diluted earnings per common share excluding the after-tax effect of merger expenses" is defined as net income plus merger expenses, less income taxes on merger expenses, divided by the average number of diluted shares outstanding. For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. Our management believes that these non-GAAP measures are useful because they enhance the ability of investors and management to evaluate and compare our operating results from period-to-period in a meaningful manner. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the company's results as reported under GAAP. View original content to download multimedia:https://www.prnewswire.com/news-releases/first-community-corporation-announces-first-quarter-results-and-cash-dividend-302749625.html

LEXINGTON, S.C., Jan. 28, 2026 /PRNewswire/ -- Highlights Net income of $4.830 million for the fourth quarter of 2025 and $19.205 million for the year ended December 31, 2025. Net income, excluding the after-tax effect of merger expenses, of $5.357 million for the fourth quarter of 2025, and $20.348 million for the year ended December 31, 2025. Diluted EPS of $0.62 per common share for the fourth quarter of 2025 and $2.47 per common share for the year ended December 31, 2025. Diluted EPS per common share, excluding the after-tax effect of merger expenses, of $0.69, for the fourth quarter of 2025 and $2.62 for the year ended December 31, 2025. Net interest margin on a tax equivalent basis of 3.32% with margin expansion of five basis points during the fourth quarter of 2025 compared to the prior linked quarter. This is the seventh consecutive quarter of margin expansion. Total loan growth of $90.5 million, or 7.4%, during the year ended December 31, 2025 and $31.7 million during the fourth quarter of 2025, an annualized growth rate of 9.8%. Total deposits increased $73.6 million, or 4.4%, during the year ended December 31, 2025. Total deposits declined $21.6 million, or 1.2%, during the fourth quarter of 2025 compared to the prior linked quarter. Total deposit growth, excluding brokered CDs, was $84.1 million during the year ended December 31, 2025, a 5.0% growth rate. There were no brokered CDs at December 31, 2025 compared to $10.4 million at December 31, 2024. Average total deposits and average pure deposits (total deposits less certificates of deposit) increased $17.8 million and $18.8 million, respectively, in the fourth quarter of 2025 compared to the third quarter of the year. In the investment advisory line of business, assets under management (AUM) were a record $1.170 billion at December 31, 2025, up from $1.103 billion at September 30, 2025 and $926.0 million at December 31, 2024. Investment advisory revenue was $2.146 million for the fourth quarter of 2025 and $7.565 million for the year ended December 31, 2025. Mortgage line of business total production in the fourth quarter of 2025 was $44.4 million with fee revenue of $698 thousand and for the year ended December 31, 2025 total production was $202.7 million with fee revenue of $3.3 million. Key credit quality metrics continue to be excellent with 2025 net charge-offs of $52 thousand; net loan recoveries, excluding overdrafts, of $23 thousand; non-performing assets of 0.02% and past due loans of 0.07% at year-end 2025. Cash dividend of $0.16 per common share, the 96th consecutive quarter of cash dividends paid to common shareholders. On January 8, 2026, the company completed its acquisition of Signature Bank of Georgia. Today, First Community Corporation (Nasdaq: FCCO), the holding company for First Community Bank, reported net income for the fourth quarter of 2025 of $4.830 million as compared to $5.192 million in the third quarter of 2025 and $4.232 million in the fourth quarter of 2024. Diluted earnings per common share were $0.62 for the fourth quarter of 2025 as compared to $0.67 for the third quarter of 2025 and $0.55 for the fourth quarter of 2024. Net income, excluding the after-tax effect of merger expenses was $5.357 million for the fourth quarter of 2025. Diluted earnings per common share, excluding the after-tax effect of merger expenses, was $0.69. For the year ended December 31, 2025, net income was $19.205 million compared to $13.955 million for 2024, an increase of 37.6%. Diluted earnings per share for the year ended December 31, 2025 was $2.47, compared to $1.81 for 2024, an increase of 36.5%. Net income, excluding the after-tax impact of merger expenses, was $20.348 million for the year ended December 31, 2025. Diluted earnings per common share for year ended December 31, 2025, excluding the after-tax effect of merger expenses, was $2.62. Cash Dividend and Capital The Board of Directors has approved a cash dividend for the fourth quarter of 2025 of $0.16 per common share. This dividend is payable on February 24, 2026 to shareholders of record of the company's common stock as of February 10, 2026. First Community Corporation President and CEO, Mike Crapps commented, "The entire board is pleased that our performance enables the company to continue our cash dividend uninterrupted for 96 consecutive quarters." The company's Board of Directors has approved a plan to utilize up to $7.5 million of capital to repurchase shares of its common stock, which represented approximately 4.5% of total shareholders' equity as of December 31, 2025. This share repurchase plan expires on May 8, 2026. Under the repurchase plan, the company may repurchase shares from time to time. No shares have been repurchased under this plan. Mr. Crapps noted, "This approved share repurchase provides us with some flexibility in managing capital going forward." Each of the regulatory capital ratios for the bank exceed the well capitalized minimum levels currently required by regulatory statute. At December 31, 2025, the bank's regulatory capital ratios (Leverage, Tier I Risk Based and Total Risk Based) were 8.66%, 13.11%, and 14.16%, respectively. This compares to the same ratios as of December 31, 2024 of 8.40%, 12.87%, and 13.94%, respectively. As of December 31, 2025, the bank's Common Equity Tier I ratio was 13.11% compared to 12.87% at December 31, 2024. Further, the company's Tangible Common Equity to Tangible Assets (TCE) ratio was 7.47% as of December 31, 2025 compared to 7.15% at September 30, 2025 and 6.66% as of December 31, 2024. Tangible Book Value (TBV) per share increased during the quarter to $19.84 per share as of December 31, 2025 as compared to $19.06 as of September 30, 2025 and $16.93 as of December 31, 2024. Asset Quality The company's asset quality remains excellent. The non-performing assets (NPAs) were 0.02% of total assets at December 31, 2025 with $372 thousand in NPAs compared to 0.04% at September 30, 2025. The past due ratio for all loans was 0.07% at year-end 2025, unchanged from September 30, 2025. During the fourth quarter of 2025, the bank experienced net charge-offs of $40 thousand with overall net charge-offs for the year ended December 31, 2025 of $52 thousand. Net loan charge-offs excluding overdrafts were $4 thousand during the fourth quarter of 2025, with overall net loan recoveries excluding overdrafts for the year ended December 31, 2025 of $23 thousand. Other Loans Especially Mentioned (OLEM) increased to $5.2 million, an increase of $2.2 million, primarily due to two unrelated loan relationships, where financial performance has not been as planned; however, no losses are anticipated. The ratio of classified loans plus OREO stands at 0.76% of total bank regulatory risk-based capital as of December 31, 2025 compared to 0.80% on a linked quarter and 1.06% at the end of 2024. Balance Sheet Total loans increased during the fourth quarter of 2025 by $31.7 million to $1.311 billion at December 31, 2025, compared to $1.279 billion at September 30, 2025, which is an annualized growth rate of 9.8%. For the year ended December 31, 2025, loan growth was $90.5 million which is a 7.4% annual growth rate. Commercial loan production was $55.3 million during the fourth quarter of 2025 and $202.6 million for the year ended December 31, 2025, with advances of unfunded commercial construction loans of $14.3 million during the quarter and $48.8 million during the year. Loan payoffs and paydowns in 2025 were up approximately 6.4% compared to 2024. First Community Bank President and CEO Ted Nissen noted, "Loan growth was strong in 2025; a combination of loan production and advances of unfunded commercial loans available for draws even with the headwinds of payoffs and paydowns during the year." The yield on the loan portfolio was 5.84% in the fourth quarter of 2025 unchanged from the prior quarter even as the Federal Reserve lowered the federal funds rate three times in the fourth quarter of 2025. As previously disclosed, effective May 5, 2023, the company entered into a pay-fixed swap agreement with initial notional value of $150.0 million ($127.4 million at December 31, 2025 compared to $136.6 million at September 30, 2025) designated as a fair value hedge for fixed rate loans in the closed loan portfolio ("Loan Pay-Fixed Swap"). This fair value hedge converts the fixed rate to a synthetic floating SOFR rate and will mature on May 5, 2026. Excluding the Loan Pay-Fixed Swap, the yield on the loan portfolio was 5.79% in the fourth quarter of 2025 compared to 5.76% in the prior quarter. At December 31, 2025, total deposits were $1.750 billion compared to $1.676 billion at December 31, 2024, an increase of $73.6 million, representing an annual growth rate of 4.4%. Total deposits decreased $21.6 million during the fourth quarter of 2025 to $1.750 billion at December 31, 2025 compared to $1.771 billion at September 30, 2025. Average deposits in the fourth quarter of 2025 were $1.772 billion compared to $1.755 billion in the third quarter of 2025, an increase of $17.8 million. Pure deposits, which are defined as total deposits less certificates of deposit, decreased $26.4 million on a linked quarter basis to $1.436 billion at December 31, 2025. Average pure deposits were $1.461 billion in the fourth quarter of 2025 compared to $1.442 billion in the third quarter of the year, an increase of $18.8 million. Securities sold under agreements to repurchase, which are related to customer cash management accounts or business sweep accounts, were $107.2 million at December 31, 2025, an increase of $7.6 million on a linked quarter basis, a 30.2% annualized growth rate. As of December 31, 2025, the bank had no brokered deposits compared to $10.4 million at December 31, 2024. Total deposit growth in 2025, excluding brokered deposits, was $84.1 million for an annualized growth rate of 5.0%. Costs of deposits decreased eight basis points to 1.73% in the fourth quarter of 2025 compared to 1.81% in the third quarter of the year. Cost of funds decreased nine basis points on a linked quarter basis to 1.80% in the fourth quarter of 2025 from 1.89% in the third quarter of the year. Non-interest bearing deposits decreased by $16.0 million on a linked quarter basis to $467.3 million or 26.7% of total deposits and increased on an average basis for the quarter to $485.9 million from $475.3 million in the quarter ending September 30, 2025. Mr. Nissen commented, "A strength of our bank has been and continues to be the value of our deposit franchise." The bank has other short-term investments, primarily interest bearing cash at the Federal Reserve Bank, of $137.2 million at December 31, 2025 compared to $163.2 million at September 30, 2025. Further, the bank has additional sources of liquidity in the form of federal funds purchased lines of credit in the total amount of $102.5 million with four financial institutions and $10.0 million through the Federal Reserve Discount Window. The bank also has substantial borrowing capacity at the Federal Home Loan Bank (FHLB) of Atlanta with an approved line of credit of up to 25% of assets. There were no borrowings against these lines of credit as of December 31, 2025. The investment portfolio was $492.2 million at December 31, 2025 compared to $501.3 million at September 30, 2025. The yield was 3.30% during the fourth quarter of 2025 as compared to 3.41% in the third quarter of 2025. The effective duration of the investment portfolio was 3.1 at December 31, 2025. Accumulated Other Comprehensive Loss (AOCL) improved to $18.4 million at December 31, 2025 from $20.2 million at September 30, 2025. Revenue Net Interest Income/Net Interest Margin Net interest income for the for the year ended December 31, 2025 increased 19.2% to $62.0 million compared to $52.0 million for 2024. On a linked quarter basis, net interest income increased to $16.3 million in the fourth quarter of 2025 from $16.0 million in the third quarter of the year, an annualized increase of 7.9%. The net interest margin, on a taxable equivalent basis, was 3.32% for the fourth quarter of 2025 compared to 3.27% in the third quarter of 2025. This represents seven consecutive quarters of net interest margin expansion, with what the company believes is positive momentum entering the first quarter of 2026. The Loan Pay-Fixed Swap positively impacted interest on loans by $150 thousand during the fourth quarter of 2025 and $1.0 million for the year ended December 31, 2025. Loan yields and net interest margin both benefitted with an increase of five basis points and three basis points, respectively, during the fourth quarter of 2025 and eight basis points and five basis points, respectively, for the year ended December 31, 2025. Non-Interest Income Total non-interest income was $4.288 million in the fourth quarter of 2025 compared to $4.469 million in the third quarter of the year and $3.608 million in the fourth quarter of 2024. Total non-interest income, for the year ended December 31, 2025 was $16.945 million, compared to $14.004 million for 2024. Total production in the mortgage line of business in the fourth quarter of 2025 was $44.4 million which was comprised of $25.8 million in secondary market loans, $3.0 million in adjustable rate mortgages (ARMs) and $15.6 million in construction loans. Fee revenue associated with the secondary market loans was $693 thousand in the fourth quarter of 2025 with a gain-on-sale margin of 2.69%. This compares to production in the third quarter of 2025 of $38.1 million which was comprised of $19.5 million in secondary market loans, $8.7 million in ARMs, and $9.9 million in construction loans. Fee revenue associated with the secondary market loans in the third quarter of 2025 was $930.7 thousand with a gain-on-sale margin of 2.91%. Production in the fourth quarter of 2024 was $41.88 million which was comprised of $24.04 million in secondary market loans, $7.92 million in ARMs, and $9.92 million in construction loans. Fee revenue associated with the secondary market loans was $707 thousand in the fourth quarter of 2024 with a gain-on-sale margin of 2.94%. Mr. Nissen noted, "While we are still experiencing the headwinds of a higher interest rate environment and low housing inventory, we are encouraged by recent trends." Revenue in the investment advisory line of business was $2.146 million in the fourth quarter of 2025 compared to $1.862 million in the third quarter of 2025 and $1.720 million in the fourth quarter of 2024. Total revenue in the investment advisory line of business in 2025 was $7.565 million compared to $6.181 million in 2024. AUM ended 2025 at $1.170 billion compared to $1.103 billion at September 30, 2025, and $926.0 million at year-end 2024. Non-Interest Expense / Taxes Total non-interest expense was $13.827 million in the fourth quarter of 2025, up $153 thousand from non-interest expense of $13.674 million in the third quarter of the year. Salaries and Benefits expense increased $114 thousand on a linked-quarter basis. Other expenses increased $183 thousand, primarily due to computer service charges and other miscellaneous items. Merger-related expenses were $120 thousand lower on a linked quarter. Other Special meetings of shareholders related to the merger were held on Wednesday, November 19, 2025, with shareholders of both First Community Corporation and Signature Bank of Georgia approving the transaction. Required regulatory approvals were also received during the fourth quarter of 2025. On January 8, 2026, First Community Corporation completed the financial closing of its acquisition of Signature Bank of Georgia, with the operational systems conversion scheduled for mid‑March 2026. This acquisition provides First Community with entry into a new market as well as a new line of business focused on SBA and other government‑guaranteed lending. At December 31, 2025, Signature Bank of Georgia reported $197.8 million in loans and $235.3 million in deposits. The bank recorded a net interest margin of 4.44% for the fourth quarter of 2025. The financial information relating to Signature Bank of Georgia reflects historical, unaudited, standalone information for periods prior to the completion of the acquisition and is provided solely for informational purposes. Such information is not included in the company's consolidated financial statements for the periods presented and should not be considered indicative of the company's results of operations following the acquisition. The net interest margin of Signature Bank of Georgia represents a performance metric historically used by Signature Bank of Georgia in managing its operations and may not be calculated in the same manner as net interest margin reported by the company or other financial institutions. Accordingly, this information is not intended to be comparable to the company's net interest margin or to any pro forma financial information. About First Community Corporation First Community Corporation stock trades on The NASDAQ Capital Market under the symbol "FCCO" and is the holding company for First Community Bank, a local community bank based in the Midlands of South Carolina. First Community Bank is a full-service commercial bank offering deposit and loan products and services, residential mortgage lending, financial planning/investment advisory services, and SBA/USDA lending. First Community serves customers in the Midlands, Aiken, Upstate and Piedmont Regions of South Carolina as well as Augusta and Atlanta, Georgia. For more information, visit www.firstcommunitysc.com. FORWARD-LOOKING STATEMENTS This news release and certain statements by our management may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans, goals, projections and expectations, and are thus prospective. Forward looking statements can be identified by words such as "anticipate", "expects", "intends", "believes", "may", "likely", "will", "plans", "positions", "future", "forward", or other statements that indicate future periods. Such risks, uncertainties and other factors, include, among others, the following: (1)the risk that anticipated cost savings or other expected benefits of the acquisition of Signature Bank of Georgia may not be realized; (2) potential disruption to client or employee relationships as a result of the acquisition of Signature Bank of Georgia; (3) competitive pressures among depository and other financial institutions may increase significantly and have an effect on pricing, spending, third-party relationships and revenues; (4) the strength of the United States economy in general and the strength of the local economies in which we conduct operations may be different than expected; (5) the rate of delinquencies and amounts of charge-offs, the level of allowance for credit loss, the rates of loan growth, or adverse changes in asset quality in our loan portfolio, which may result in increased credit risk-related losses and expenses; (6) changes in legislation, regulation, policies or administrative practices, whether by judicial, governmental, or legislative action; (7) adverse conditions in the stock market, the public debt markets and other capital markets (including changes in interest rate conditions) could continue to have a negative impact on the company; (8) changes in interest rates, which have and may continue to affect our deposit and funding costs, net income, prepayment penalty income, mortgage banking income, and other future cash flows, or the market value of our assets, including our investment securities; (9) technology and cybersecurity risks, including potential business disruptions, reputational risks, and financial losses, associated with potential attacks on or failures by our computer systems and computer systems of our vendors and other third parties; (10) elevated inflation which causes adverse risk to the overall economy, and could indirectly pose challenges to our customers and to our business; (11) any increases in FDIC assessment which has increased, and may continue to increase, our cost of doing business; (12) the adverse effects of events beyond our control that may have a destabilizing effect on financial markets and the economy, such as epidemics and pandemics, war or terrorist activities, essential utility outages, government shutdowns, deterioration in the global economy, instability in the credit markets, disruptions in our customers' supply chains or disruption in transportation; and (13) risks, uncertainties and other factors disclosed in our most recent Annual Report on Form 10-K filed with the SEC, or in any of our Quarterly Reports on Form 10-Q or Current Reports on Form 8-K filed with the SEC since the end of the fiscal year covered by our most recently filed Annual Report on Form 10-K, which are available at the SEC's Internet site (http://www.sec.gov). Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. We can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by our company or any person that the future events, plans, or expectations contemplated by our company will be achieved. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. 7,662,9237,616,502 Average number of shares outstanding - diluted 7,786,731 7,738,048 7,786,177 7,722,276 7,786,757 7,695,476 7,767,978 7,679,771 7,760,869 7,702,343 Shares outstanding period end 7,693,215 7,644,424 7,689,694 7,640,648 7,685,754 7,635,145 7,681,601 7,629,005 7,693,215 7,644,424 Return on average assets 0.92 % 0.86 % 1.00 % 0.80 % 1.02 % 0.71 % 0.82 % 0.56 % 0.94 % 0.74 % Return on average common equity 11.65 % 11.71 % 13.04 % 11.04 % 13.68 % 9.82 % 11.05 % 7.91 % 12.36 % 10.17 % Return on average tangible common equity (non-GAAP) 12.81 % 13.09 % 14.40 % 12.39 % 15.18 % 11.08 % 12.31 % 8.95 % 13.68 % 11.44 % Net interest margin (non taxable equivalent) 3.29 % 2.99 % 3.26 % 2.95 % 3.19 % 2.92 % 3.12 % 2.78 % 3.22 % 2.91 % Net interest margin (taxable equivalent) 3.32 % 3.00 % 3.27 % 2.96 % 3.21 % 2.93 % 3.13 % 2.79 % 3.23 % 2.92 % Efficiency ratio1 64.51 % 66.67 % 64.44 % 70.48 % 66.04 % 72.75 % 69.23 % 77.15 % 65.97 % 71.56 % The tables below provide a reconciliation of non‑GAAP measures to GAAP for the periods indicated: Certain financial information presented above is determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). These non-GAAP financial measures include "Tangible book value per common share," "Tangible common shareholders' equity to tangible assets," "Return on average tangible common equity," "Pre-tax, pre-provision earnings," "Net income excluding the after-tax effect of merger expenses," "Diluted earnings per common share excluding the after-tax effect of merger expenses." "Tangible book value per common share" is defined as total equity reduced by recorded intangible assets divided by total common shares outstanding. "Tangible common shareholders' equity to tangible assets" is defined as total common equity reduced by recorded intangible assets divided by total assets reduced by recorded intangible assets. "Return on average tangible common equity" is defined as net income on an annualized basis divided by average total equity reduced by average recorded intangible assets. "Pre-tax, pre-provision earnings" is defined as net interest income plus non-interest income, reduced by non-interest expense. "Net income excluding the after-tax effect of merger expenses" is defined as net income plus merger expenses less income taxes on merger expenses. For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. "Diluted earnings per common share excluding the after-tax effect of merger expenses" is defined as ((net income plus merger expenses less income taxes on merger expenses) divided by the average number of diluted shares outstanding). For purposes of our non‑GAAP reconciliation, deductible merger expenses were tax‑effected at our marginal tax rate of 23.84%, while non‑deductible merger‑related costs were tax‑effected at 0%. The after‑tax adjustment represents the combination of these two components. Our management believes that these non-GAAP measures are useful because they enhance the ability of investors and management to evaluate and compare our operating results from period-to-period in a meaningful manner. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the company's results as reported under GAAP. View original content to download multimedia:https://www.prnewswire.com/news-releases/first-community-corporation-announces-fourth-quarter-and-year-end-2025-results-and-cash-dividend-302671969.html