First Community Corporation Achieves Remarkable Q3 Financial Growth
First Community Corporation's Strong Financial Performance
First Community Corporation (NASDAQ: FCCO), the parent company of First Community Bank, has marked an impressive financial milestone by reporting a net income of $3.86 million for the third quarter. This is a remarkable increase from the previous year's $1.76 million, showcasing significant growth in profitability. Diluted earnings per share (EPS) also saw an upward shift, rising to $0.50 this quarter from $0.23 last year.
Robust Loan and Deposit Growth
The bank's overall performance reflects its robust operational strategies. Total loans grew by $7.5 million during the quarter, representing a healthy 2.5% annualized growth rate. Cumulatively, this brings the year-to-date loan growth to $62.6 million, which translates to an annualized rate of 7.4%. On the deposit front, First Community Corporation experienced substantial growth, with total deposits rising by $39.5 million in the third quarter alone, which accounts for a striking 9.8% annualized growth rate. Excluding brokered CDs, customer deposits surged by $60.0 million, showcasing an impressive annualized growth rate of 15.3%.
Investment Advisory Segment Success
The investment advisory division of First Community Corporation has also contributed positively to its bottom line, surpassing $900 million in Assets Under Management (AUM). This division generated a revenue of $1.595 million for this quarter and accumulated $4.461 million year-to-date.
Credit Quality and Asset Management
First Community Corporation continues to uphold strong credit quality metrics with a non-performing assets (NPA) ratio of just 0.04% and a past-due ratio of 0.11%. For the third quarter, net charge-offs, which included overdrafts, were reported at $68 thousand, while net loan charge-offs amounted to $45 thousand when excluding overdrafts. Notably, the bank's total assets hit a significant $1.944 billion.
Consistent Dividends and Shareholder Returns
In terms of returning value to shareholders, First Community Corporation declared a cash dividend of $0.15 per common share. This announcement not only marks the 91st consecutive quarter of dividends distributed to its shareholders but also emphasizes the company's commitment to financial stability and shareholder value enhancement.
Capital Management Strategies
The Board of Directors has approved a capital management plan that enables the bank to repurchase up to $7.1 million worth of its common stock, which is equivalent to around 5.0% of the total shareholders' equity as of September 30. Even though this repurchase plan will remain active until May 2025, no shares have been repurchased so far.
Regulatory Capital Compliance
First Community Corporation's regulatory capital ratios consistently exceed the levels mandated for well-capitalized institutions. The Tangible Book Value (TBV) per common share increased to $16.78 at the quarter's end compared to $14.25 the previous year, indicating a stronger capital position.
Expanding Financial Performance
This quarter's strong performance is not an isolated incident. In the second quarter, First Community Corporation posted a net income of $3.265 million, a 25.7% increase from the first quarter. This success was accompanied by a 23.5% increase in EPS to $0.42, along with total loans demonstrating an annualized growth rate of 11.1%. Furthermore, deposits hit approximately $1.605 billion, reflecting an annualized growth rate of 11.7%.
Future Prospects
The financial stability of First Community Corporation is reflected in its ability to adapt and respond to market demands. With a reported AUM of $865.6 million—signifying a 14.6% year-to-date increase—and continued focus on shareholder value, the company is well-positioned for future opportunities. The Board's proactive approach to dividend announcements reaffirms its commitment to consistency and reliability for investors.
Frequently Asked Questions
What was First Community Corporation's net income for Q3?
The net income reported for the third quarter was $3.86 million.
How much did total loans increase in Q3?
Total loans increased by $7.5 million during the third quarter.
What is the dividend declared by First Community Corporation?
A cash dividend of $0.15 per common share was declared.
What does the NPA ratio of First Community Corporation indicate?
The non-performing assets ratio stands at a low 0.04%, indicating strong credit quality.
How long has First Community Corporation maintained dividend payments?
First Community Corporation has maintained dividend payments for 91 consecutive quarters.
About Investors Hangout
Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/
Disclaimer: The content of this article is solely for general informational purposes only; it does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice; the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. The author's interpretation of publicly available data shapes the opinions presented here; as a result, they should not be taken as advice to purchase, sell, or hold any securities mentioned or any other investments. The author does not guarantee the accuracy, completeness, or timeliness of any material, providing it "as is." Information and market conditions may change; past performance is not indicative of future outcomes. If any of the material offered here is inaccurate, please contact us for corrections.
Related Articles
- Biotalys Successfully Concludes Share Placement for Growth
- HighCo Reports Slightly Improved Q3 2024 Gross Profit Insights
- Celebrating Community Champions: PepsiCo Foundation's Awards
- Kimbell Royalty Partners Eyes Future Growth Amid Strategy Changes
- Progress Software Achieves Record Stock High of $67.5 Amid Growth
- CarMax's Future Looks Bright: Advancements in Strategy and Growth
- COURTOIS SA Reports Impressive Q3 Revenue Growth Metrics
- Freight Farms Welcomes New CEO Brad Griffith to Lead Growth
- Mesabi Trust Achieves New Milestone with Stock Surge
- Axogen Inc. Achieves New Heights with Stock Surge to $15.12
Recent Articles
- How Financial Advisors Adapt to the Great Wealth Transfer Trends
- Silvaco Group Inc Faces Price Target Reduction but Remains Strong
- Oppenheimer Maintains Positive Outlook for Q32 Bio's Progress
- JPMorgan Affirms Positive Outlook on Roivant Sciences Amid Growth
- ACNB Corporation Boosts Q4 Dividend, Announces Major Merger
- Maxeon Solar Welcomes New CEO George Guo for Future Growth
- Celebrating Oregon's Best Small Businesses of 2024
- FibroBiologics Earns Patent for Innovative Cancer Treatment
- Verra Mobility's Innovative Path to Safer Urban Roads
- BMO Upgrades Rio Tinto's Stock Rating Amid Positive Growth Outlook
- Star Fashion Culture Holdings Limited Raises $8.6 Million in IPO
- Amazon Partners with Tech Giants to Boost Nuclear Energy Sector
- Tencent and Guillemot Family Discuss Ubisoft Buyout Potential
- Nvidia's Stock Resilience: Why It Remains a Top Pick for Investors
- 2024 Holiday Season: Consumers Embrace Shopping with Caution
- Understanding Ares Capital's Market Sentiment and Future Outlook
- Walmart Business Partners with Fiserv to Enhance SMB Growth
- Understanding Sea's Recent Short Selling Activity and Trends
- Nicole Morgan Joins Invest in Others as Chief Development Officer
- Drive Faster Innovation: Amplitude's New A/B Testing Feature
- Analyzing Market Sentiment Surrounding Live Nation Entertainment
- Verra Mobility Launches First Automated Speed Safety Program
- Antavo Unveils Innovative AI Agent to Enhance Loyalty Programs
- Boosting Influenza Vaccination Rates with Cell-Based Strategies
- Precisely Recognizes Innovation with Data Integrity Awards
- Navigating FDA LDT Compliance with Expert Guidance
- S&W Seed Company Updates on Filing Delay for 2024 Report
- Better Battery Co. Launches Eco-Friendly Products at Walmart
- Horace Mann Enhances Financial Tools for Educators Through Alliance
- MedCana's Colombian Subsidiary Partners with Australian Firm
- GAC's AION V Takes Center Stage at the Paris Motor Show
- ProductLife Group Expands Global Presence with Halloran Acquisition
- Spectra7 and I-PEX Team Up for Innovative Data Center Solutions
- Revolutionizing Hair Care: Discover Hairapy's New Approach
- Ferrari Set to Reveal Q3 Financial Results This November
- Firefly Neuroscience and Bright Minds Partner on Phase 1 Study Insights
- Celebrating Excellence: Achievers Honored with Great Workplace Recognition
- Renovaro Restructures Leadership to Enhance Cancer Diagnostics
- Zynex Announces Q3 2024 Earnings Call Details for Investors
- Transforming Workforce Learning with Cornerstone's Immerse Companion
- Abbott Laboratories Reports Strong Q3 Results: Growth and EPS Rise
- Unlocking Marketing Success: Join Our Insightful Webinar
- XTM Unveils PayNow: A New Era for Temporary Workers
- Jim Beam Winter Reserve: Celebrate the Festive Spirit
- Biomerica's Q1 Revenue Grows with New FDA Approvals
- Understanding the Impact of Weight Loss on Muscle Health
- Maxeon Solar Technologies Welcomes New CEO George Guo
- Plumas Bancorp's Earnings Reveal Solid Financial Performance
- BRW Enhances Logistics Efficiency with Made4net Technology
- Ali Malik's New Role at Bayview Asset Management Revealed