Slide 1: First Bank 2025 Fourth Quarter Update
FIRST BANK 2025 Fourth 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 * $12.7 billion Loans * $8.7 billion Deposits * $10.7 billion Branches * 113 in NC & SC Employees * 1,353 full-time equivalent employees Ranking 4
Slide 4: Our Core Values
4 Our Core Values We help our customers realize their dreams by providing financial solutions and building trusted relationships. Safety and Soundness We ensure long term financial stability by enhancing trust and confidence and providing a safe environment. Knowledge and Accuracy Employ the best as
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. Best Employer in North Carolina – 2023,
Slide 6: Q4 2025 Highlights
6 Q4 2025 Highlights Q4 2025 Q3 2025 CHANGE Net income (1) (2) $15.7 million $20.4 million -$4.7 million Provision for Credit Losses (1) $4.7 million $3.4 million -$1.3 million Diluted EPS (1) (2) $0.38 $0.49 -$0.11 Adjusted Diluted EPS $1.19 $1.01 +$0.18 ROA 0.49% 0.64% -15 bps Adjusted ROA 1.54% 1
Slide 7: Q4 2025 Summary
7 "We closed 2025 with strong momentum, highlighted by a 51 basis-point expansion in NIM for the year, solid loan growth and continued expense discipline. We have expanded our Net Interest Margin for seven consecutive quarters. ” Richard H. Moore, First Bancorp Chairman and CEO Capital Ratios Q4 202
Slide 8: Net Interest Margin
8 3.31% 3.08% 2.97% 2.88% 2.80% 2.87% 2.90% 3.08% 3.27% 3.32% 3.47% 3.60% 3.18% 2.95% 2.86% 2.78% 2.69% 2.77% 2.82% 2.99% 3.19% 3.26% 3.40% 3.54% 2.50% 2.70% 2.90% 3.10% 3.30% 3.50% 3.70% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Reported Core Ne
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% 5.53% 5.69% 5.58% 5.03% 5.08% 5.16% 5.25% 5.30% 5.37% 5.39% 5.34% 5.41% 5.44% 5.60% 5.51% 4.90% 5.00% 5.10% 5.20% 5.30% 5.40% 5.50% 5.60% 5.70% 5.80% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3
Slide 10: Asset Yield Trends
10 Asset Yield Trends 2.45% 2.61% 2.61% 2.62% 2.65% 2.81% 2.55% 2.69% 1.00% 1.20% 1.40% 1.60% 1.80% 2.00% 2.20% 2.40% 2.60% 2.80% 3.00% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Total Securities 4.82% 4.84% 4.92% 4.82% 4.82% 4.88%
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% 1.48% 1.51% 1.36% 0.75% 1.08% 1.27% 1.41% 1.56% 1.72% 1.76% 1.57% 1.46% 1.43% 1.46% 1.32% 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
Slide 12: Deposit Cost
12 Deposit Cost 2.18% 2.20% 2.15% 2.06% 1.96% 1.88% 2.18% 1.97% 1.50% 1.60% 1.70% 1.80% 1.90% 2.00% 2.10% 2.20% 2.30% July 2025 August 2025 September 2025 October 2025 November 2025 December 2025 3rd Quarter 2025 4th Quarter 2025 Interest Bearing Deposits 1.47% 1.48% 1.44% 1.38% 1.31% 1.26% 1.46% 1.
Slide 13: Strong Capital Levels
13 Strong Capital Levels First Bancorp maintains strong capital levels. The fourth quarter loan growth of $303.2 million was the driver of the decrease in regulatory capital ratios from Q3 2025 to Q4 2025, as loans have a higher risk weight than short term investments, along with the repayment of $1
Slide 14: Strong Deposit Franchise Supported by Attractive Markets
14 $10,531 $10,745 $10,830 $10,881 $10,748 1.57% 1.46% 1.43% 1.46% 1.32% 2.31% 2.14% 2.14% 2.18% 1.97% 4.50% 4.50% 4.50% 4.25% 3.75% $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% 4Q '24 1Q '25 2Q '25 3Q '25 4Q '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 8% of total deposits. Consumer deposits represent 43% of total deposits. Business deposits represent 57% of total dep
Slide 16: Allowance for Credit Losses – 12/31/25
16 Allowance for Credit Losses – 12/31/25 Loans Outstanding Allowance for Credit Losses (ex Hurricane Helene) Allowance for Credit Losses (Hurricane Helene) % of Loans Outstanding Commercial and industrial $ 1,046,438 $ 20,044 $ 0 1.92% Construction, development & other land loans 753,199 11,465 0 1
Slide 17: Asset Quality Trends
17 Asset Quality Trends 1.51% 1.49% 1.47% 1.44% 1.42% 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 ACL / Loans 0.30% 0.27% 0.28% 0.31% 0.30% 0.00% 0.05% 0.10% 0.15% 0.20% 0.25% 0.30% 0.35% 0.40% Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Nonperforming Asset Ratio 0.04% 0.17% 0.06% 0.14
Slide 18: Noninterest Income
18 Noninterest Income (Dollars in thousands) Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Service charges on deposit accounts 4,320$ 4,293$ 3,767$ 3,976$ 4,225$ 4,269$ Other service charges and fees 5,555 5,828 5,883 6,595 6,355 5,653 Presold mortgage loan fees and gains on sale 690 676 450 315 471 583 Commi
Slide 19: Noninterest Expense
19 Noninterest Expense $59,850 $58,279 $57,893 $58,983 $60,211 $62,223 61.0% 56.5% 54.2% 52.5% 50.7% 48.2% 45% 50% 55% 60% 65% $45,000 $47,500 $50,000 $52,500 $55,000 $57,500 $60,000 $62,500 $65,000 Q3 24 Q4 24 Q1 25 Q2 25 Q3 25 Q4 25 Th ou sa nd s Non interest expense Efficiency ratio (Dollars in t
Slide 20: Investment Thesis
20 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 21: Valuation: Price to Tangible Common Book Value
21 Valuation Price to Tangible Common Book Value Chart reflects data available through S&P Global, and therefore the tangible book values are as of September 30, 2025 and the stock prices are as of January 16, 2026 for all companies presented. Based on 12/31/25 amounts for tangible common book value
Slide 22: Valuation: Price to Earnings
22 Valuation Price to Earnings Based on SNL Mean Normalized 2026 EPS Estimate of $4.35, the FBNC price to earnings ratio is 13.3x based on January 16, 2026, closing price for FBNC stock of $57.92. Source: S&P Global 9.8x 10.4x 11.4x 12.1x 12.1x 12.5x 12.7x 12.8x 13.3x 13.5x TOWN AUB UCB UBSI FCBC SF
Slide 23: North Carolina & South Carolina: Great States for Business
23 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 24: Service Excellence Standards
24 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 25: Corporate Citizenship
FIRST BANK Corporate Citizenship 25
Slide 26: Corporate Citizenship
26 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 27: Social Responsibility and Diversity Council
27 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 28: Thank you!
FIRST BANK Thank you!