Slide 1: First Bank 2025 First Quarter Update
FIRST BANK 2025 First Quarter Update
Slide 2: Important Information: Caution Regarding Forward-Looking Statements
2 Important Information Caution Regarding Forward-Looking Statements This presentation contains certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, including those regarding First Bancor
Slide 3: Company Overview
3 Bank Holding Company First Bancorp Subsidiary Bank First Bank Headquarters Southern Pines, North Carolina Established 1935 as Bank of Montgomery Assets $12.4 billion Loans $8.1 billion Deposits $10.7 billion Branches 113 in NC & SC Employees* 1,350 full-time equivalent employees Ranking 4th larges
Slide 4: Our Mission and Footprint
4 Our Mission To be the best community bank in every community we serve and through every delivery channel we offer. Our Footprint Within North & South Carolina Our core values — Be committed to safety and soundness. — Provide accurate, prompt, courteous service. — Make it easy for our associates to
Slide 5: National Recognition
5 National Recognition KBW Bank Honor Roll Top 4% of Banks Over $500 million in Assets - 2022 Included for the first time in a select group of 14 banks (4% of banking industry over $500 million) for increasing earnings per share for each of the past 10 years. #1 Best Employer in North Carolina – 202
Slide 6: Q1 2025 Highlights
6 Q1 2025 Highlights Q1 2025 Q4 2024 CHANGE Net income (1)(2) $36.4 million $3.6 million $32.8 million Adjusted Net income $34.9 million $31.7 million $3.2 million Provision for Credit Losses (2) $1.1 million $0.5 million $0.6 million Diluted EPS (1)(2) $0.88 $0.08 $0.80 Adjusted Diluted EPS $0.84 $
Slide 7: Net Interest Margin (tax-equivalent)
7 3.31% 3.08% 2.97% 2.88% 2.80% 2.87% 2.90% 3.08% 3.27% 3.18% 2.95% 2.86% 2.78% 2.69% 2.77% 2.82% 2.99% 3.19% 2.50% 2.60% 2.70% 2.80% 2.90% 3.00% 3.10% 3.20% 3.30% 3.40% 3.50% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Reported Core Net Interest Margin (tax-equivalent) N
Slide 8: Monthly Margin Trends
8 Monthly Margin Trends 2.98% 3.03% 3.13% 3.23% 3.27% 3.26% 3.05% 3.25% 2.50% 2.60% 2.70% 2.80% 2.90% 3.00% 3.10% 3.20% 3.30% 3.40% October 2024 November 2024 December 2024 January 2025 February 2025 March 2025 4th Quarter 2024 1st Quarter 2025 Total Net Interest Margin 3.01% 3.06% 3.15% 3.25% 3.30%
Slide 9: Loan Yields
9 Loan Yields 5.22% 5.26% 5.32% 5.39% 5.45% 5.51% 5.51% 5.47% 5.52% 5.03% 5.08% 5.16% 5.25% 5.30% 5.37% 5.39% 5.34% 5.41% 4.90% 5.00% 5.10% 5.20% 5.30% 5.40% 5.50% 5.60% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Stated Core
Slide 10: Monthly Asset Yield Trends
10 Monthly Asset Yield Trends 1.68% 1.84% 2.30% 2.30% 2.26% 2.29% 1.96% 2.28% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% 2.20% 2.40% October 2024 November 2024 December 2024 January 2025 February 2025 March 2025 4th Quarter 2024 1st Quarter 2025 Total Securities 4.54% 4.53% 4.56% 4.63% 4.67% 4.66% 4.55% 4.
Slide 11: Cost of Funds and Total Cost of Deposits
11 Cost of Funds and Total Cost of Deposits 0.94% 1.29% 1.46% 1.64% 1.79% 1.81% 1.81% 1.62% 1.51% 0.75% 1.08% 1.27% 1.41% 1.56% 1.72% 1.76% 1.57% 1.46% 0.60% 0.80% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Cost of Funds Deposits
Slide 12: Monthly Deposit Cost Trends
12 Monthly Deposit Cost Trends 2.41% 2.32% 2.22% 2.15% 2.14% 2.14% 2.31% 2.14% 1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2.10% 2.20% 2.30% 2.40% 2.50% October 2024 November 2024 December 2024 January 2025 February 2025 March 2025 4th Quarter 2024 1st Quarter 2025 Interest Bearing Deposits 1.63% 1.57% 1.50
Slide 13: Strong Capital Levels
13 Strong Capital Levels First Bancorp continues to maintain strong capital levels with growth in every measure from Q4 2024 to Q1 2025. Capital levels afford management strategic flexibility. Capital Ratios 8.22% 11.15% 14.35% 15.17% 16.63% 8.55% 11.41% 14.53% 15.34% 16.79% 4.00% 7.00% 8.50% 10.50%
Slide 14: Strong Deposit Franchise Supported by Attractive Markets
14 $10,303 $10,488 $10,505 $10,531 $10,745 1.56% 1.72% 1.76% 1.57% 1.46% 2.33% 2.54% 2.59% 2.31% 2.14% 5.50% 5.50% 5.00% 4.50% 4.50% $7,000 $7,500 $8,000 $8,500 $9,000 $9,500 $10,000 $10,500 $11,000 0.00% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 7.00% 8.00% 1Q '24 2Q '24 3Q '24 4Q '24 1Q '25 Deposits Tot
Slide 15: Granular, Diverse and Relationship-focused Customer Funding Base
15 Granular, Diverse and Relationship- focused Customer Funding Base The Company benefits from a granular deposit franchise, with the top twenty depositors representing approximately 7% of total deposits. Consumer deposits represent 43% of total deposits. Business deposits represent 57% of total dep
Slide 16: Allowance for Credit Losses – 3/31/25
16 Allowance for Credit Losses – 3/31/25 Loans Outstanding Allowance for Credit Losses (ex Hurricane Helene) Allowance for Credit Losses (Hurricane Helene) % of Loans Outstanding Commercial and industrial $ 890,071 $ 19,105 $ 170 2.17% Construction, development & other land loans 644,439 7,034 635 1
Slide 17: Asset Quality Trends
17 Asset Quality Trends 1.36% 1.36% 1.53% 1.51% 1.49% 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 ACL / Loans 0.30% 0.37% 0.38% 0.30% 0.27% 0.00% 0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Nonperforming Asset Ratio 0.08% 0.07% 0.11% 0.04% 0.17
Slide 18: Investment Thesis
18 Investment Thesis Bank that offers many of the product capabilities found in larger regional banks but delivers those services with a local community bank focus • Strong culture • Mobile Banking, Wealth Management, Credit Card, Treasury Services, and Mortgage Banking Centered in one of the fastes
Slide 19: Valuation: Price to Tangible Common Book Value
19 Valuation Price to Tangible Common Book Value Closing stock price on March 31, 2025 = $40.14 • Price to tangible book – 1.57x • Based on 3/31/25 tangible common book value of $24.69 Source: S&P Global .76x 1.19x 1.28x 1.34x 1.38x 1.41x 1.44x 1.46x 1.57x 1.87x SFST UCB AUB ABCB SBCF UBSI TOWN FBK
Slide 20: Valuation: Price to Earnings
20 Valuation Price to Earnings Based on SNL Mean Normalized EPS 2025 Estimate of $3.30, the FBNC price to earnings ratio is 11.8x based on March 31, 2025, closing price for FBNC stock of $40.14. Source: S&P Global 7.1x 9.8x 10.2x 11.1x 11.3x 11.5x 11.8x 11.8x 12.9x TOWN UCB UBSI AUB SBCF SFST FBK FB
Slide 21: North Carolina & South Carolina: Great States for Business
21 North Carolina & South Carolina Great States for Business High Influx of Population North Carolina is currently the 9th most populous state – • Projected 7th by 2040 – and within 1% of 5th most populated • 4th highest net increase in population in 2024 • Projected to grow 20% over the next 20 yea
Slide 22: Service Excellence Standards
22 Service Excellence Standards Convenience and Ease Our customers choose when, where, and how they do business with us. Courteous Service We treat customers and fellow associates with respect, effectively communicate, and celebrate our unique contributions. Knowledge and Accuracy We employ the best
Slide 23: Succession Plan Implemented
23 Succession Plan Implemented Adam Currie promoted to Chief Executive Officer of First Bank Currie’s experience and leadership • Served as President of the Bank since November 2023 • A key driver of First Bancorp’s success in multiple regions over his tenure • Served as Chief Banking Officer beginn
Slide 24: Corporate Citizenship
FIRST BANK Corporate Citizenship 24
Slide 25: Corporate Citizenship
25 Corporate Citizenship First Bank has long been a committed partner in the many communities it serves across the Carolinas. The following are just some of the investment areas made over the recent years. A proud Carolinas community partner since 1935 Ensuring Equitable Access to Education — Area p
Slide 26: Social Responsibility and Diversity Council
26 We treat customers and associates with respect, communicate effectively and celebrate the unique contributions of each individual. We strive to build an inclusive organization that represents the communities we serve. Social Responsibility Diversity Council Represent the ideas and concerns of ass
Slide 27: Thank you!
FIRST BANK Thank you!