First Bancorp Q2 net income rises on margin gains

Overview

• US community bank's Q2 net income rose 19% yr/yr on margin expansion and efficiency gains

• Diluted EPS for Q2 increased 18% yr/yr to $0.85

• Quarterly dividend raised to $0.38 per share

Outlook

• Company expects strong local deposit inflow through year-end based on seasonal patterns

• First Bancorp says it is well positioned for continued growth as credit costs normalize

Result Drivers

• NET INTEREST MARGIN EXPANSION - Co said improved margin was due to stable earning asset yields and reduced funding costs, lifting net interest income 15% yr/yr

• NON-INTEREST INCOME GROWTH - Wealth management and debit card revenue increases boosted non-interest income

• EFFICIENCY IMPROVEMENT - Lower efficiency ratio attributed to overall revenue growth and disciplined expense control

Company press release: ID:nBw97XK7Da

Key Details

Reuters Recommended Reads

• July 22 - First Bancorp North Carolina Q2 profit rises on higher loan yields

• July 21 - Southern First Bancshares' Q2 profit rises on loan growth and margin expansion

• July 20 - ServisFirst Bancshares Q2 EPS rises 40% on loan growth, higher net interest margin

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)