First Bank Announces Third Quarter 2026 Net Income Of $12.2 Million

(MENAFN- GlobeNewsWire - Nasdaq) Net interest margin expansion, loan and deposit growth, and operating efficiency drive increased earnings and tangible book value

Dividend increase declared to $0.12 per share

HAMILTON, N.J., Oct. 22, 2026 (GLOBE NEWSWIRE) -- First Bank (Nasdaq Global Market: FRBA) (the Bank) today announced net income of $12.2 million, or $0.49 per diluted share, for the third quarter of 2026. This compares to $10.9 million, or $0.43 per diluted share, in the second quarter of 2026 and $11.7 million, or $0.47 per diluted share, for the third quarter of 2025. The Bank's annualized return on average assets was 1.18%, return on average equity was 10.50%, and return on average tangible equityⁱ was 11.79% for the third quarter of 2026.

Third Quarter 2026 Performance Highlights:

• High-Quality Earnings Growth Drives Increased Tangible Book Valueⁱⁱ. Net income, and diluted earnings per share rose by 12.0% and 12.5%, respectively, compared to the linked quarter. These results drove continued and strong internal capital generation, including a 7.8% annualized increase in tangible book value per share.
  
• Broad-Based Loan Growth. Total loans grew to $3.42 billion at September 30, 2026, increasing $50.2 million, or 5.9% annualized, from June 30, 2026. Growth was strong across the Bank's commercial and industrial, owner-occupied commercial real estate (CRE), and construction and development portfolios. Average loan yields expanded by 15 basis points from the linked quarter.
  
• Robust Deposit Generation and Effective Deposit Cost Management. Total deposits grew to $3.37 billion at September 30, 2026, increasing $43.0 million, or 5.1% annualized, from June 30, 2026. The Bank's substantial deposit growth throughout the third quarter supported management's ability to reduce higher-cost borrowings by $90 million.
  
• Net Interest Margin Expansion. Net interest margin increased to 3.74% for the third quarter of 2026, compared to 3.68% and 3.71% for the linked and prior year quarters, respectively. Improvement from the linked quarter reflects relationship-driven loan and deposit growth coupled with pricing discipline and efficient balance sheet positioning.
  
• Expense Containment Reflected in Efficiency Measures. Expense growth remained well-contained, contributing to a third quarter efficiency ratioⁱⁱⁱ of 52.37%, compared to 54.52% for the linked quarter. The Bank also evaluates the ratio of noninterest expense to average assets as a measure of its efficiency. During the third quarter of 2026, this measure improved to 1.97%, reflecting the success of the Bank's cost containment and balance sheet growth initiatives.

Patrick L. Ryan, President and CEO of First Bank, stated,“We are pleased to report strong third quarter results that reflect continued momentum across our franchise. Earnings improved over both the linked and prior-year quarters, producing a healthy return on average assets of 1.18% and return on average tangible equity of 11.79%. These results reflect our team's effectiveness in delivering high-quality, relationship-based balance sheet growth while maintaining disciplined pricing and expense control. This supported a very strong efficiency ratio of 52.37%, marking our 29^th consecutive quarter below 60%.”

Mr. Ryan continued,“Our margin benefited from higher loan yields, the paydown of higher-cost borrowings and a favorable earning asset mix. We grew loans and deposits by an annualized 5.9% and 5.1%, respectively, underscoring the strength of our origination platform and our ability to fund growth with core deposits. We remain focused on managing our total cost of deposits while continuing to deepen relationships with our core customers. We positioned our balance sheet for strong performance in the current interest rate environment, including through the purchase of investment securities and the paydown of borrowings during the third quarter of 2026. We also see investor-owned commercial real estate ("CREI") growth as an opportunity as our CREI to total risk-based capital ratio has declined to 333%.”

Mr. Ryan added,“Nonperforming assets increased slightly during the quarter; however, we received a $5.6 million pay-down on a non-performing loan shortly after quarter-end bringing the total below June 30, 2026 levels. Charge-offs during the quarter were primarily from our Business Express portfolio, which continues to run-off. We remain diligent in our credit administration and proactive in working through individual credits.”

“Strong earnings generation supported growth in our capital position,” Mr. Ryan continued,“We are pleased to announce our Board of Directors' approval of a $0.03 increase to our quarterly cash dividend for the fourth quarter of 2026. This 33% increase reflects the strength of First Bank's earnings power as we approach the end of 2026. We remain committed to building long-term shareholder value through consistent earnings and prudent capital management. We remain confident in our strategy, our team, and the long-term positioning of our franchise.”

Income Statement

Net interest income increased to $36.8 million for the third quarter of 2026, growing $2.0 million, or 5.6%, from the second quarter of 2026 and $1.2 million, or 3.4%, from the third quarter of 2025. The increase in net interest income was supported by net interest margin expansion to 3.74%, as well as growth in average earning assets which outpaced growth in interest bearing liabilities. The linked quarter increase reflected growth of $2.9 million in interest income, which primarily resulted from higher average loan balances and yields. This was partially offset by growth of $949,000 in interest expense, reflecting higher average interest-bearing deposit balances and costs. The $1.2 million year-over-year increase in net interest income reflected a $2.2 million decrease in interest expense, which outpaced a $1.0 million decrease in interest income. The decrease in interest expense was primarily due to lower average borrowings and borrowing costs combined with higher average interest-bearing deposit balances and a 28 basis point reduction in the cost of interest-bearing deposits. The decrease in interest income primarily reflected lower loan yields partially offset by higher average loan balances.

The tax-equivalent net interest margin was 3.74% for the third quarter of 2026, increasing from 3.68% for the second quarter of 2026 and 3.71% for the third quarter of 2025. Margin expansion during the quarter reflected higher loan yields and a favorable shift in the Bank's funding mix, including the paydown of borrowings. The total cost of deposits increased five basis points to 2.47% for the third quarter of 2026, and the yield on loans increased 15 basis points to 6.48%. Improvement from the prior year quarter was driven by nine basis points of improvement in interest rate spread, reflecting declines in average rates on deposits and borrowings which outpaced the reduction in average yields on earning assets. The Bank's tax equivalent net interest margin includes the impact of amortization and accretion of premiums and discounts from fair value measurements of assets acquired and liabilities assumed in acquisitions and prepayment penalty income. The net purchase accounting impact was $1.2 million in net interest income during the third quarter of 2026, $1.2 million during the second quarter of 2026 and $2.6 million for the third quarter of 2025. Prepayment penalty income was $329,000 in the third quarter of 2026, compared to $258,000 in the second quarter of 2026 and $54,000 in the third quarter of 2025.

Credit loss expense was $2.2 million for the third quarter of 2026, essentially unchanged from $2.2 million for the second quarter of 2026, and down from $3.0 million for the third quarter of 2025. Credit loss expense for each of the periods was impacted by net charge-offs, primarily related to small business C&I loans originated through the Bank's Business Express loan product, loan growth and increases in nonperforming loans.

Non-interest income was $2.0 million for the third quarter of 2026, compared to $2.1 million for the second quarter of 2026 and $2.4 million for the third quarter of 2025. Non-interest income decreased by $148,000 from the linked quarter primarily due to the recognition of $165,000 losses resulting from changes in the fair value of other investments during the third quarter of 2026. Non-interest income decreased by $422,000 from the prior year quarter primarily due to a larger gain on recovery of acquired loans recorded in the third quarter of 2025 and the aforementioned losses resulting from changes in the fair value of other investments.

Non-interest expense was $20.3 million for the third quarter of 2026, compared to $20.1 million for the second quarter of 2026 and $19.7 million for the third quarter of 2025. The modest increase reflects higher salaries and employee benefits, partially offset by successful execution of Bank's cost containment efforts.

Income tax expense for the third quarter of 2026 was $4.0 million with an effective tax rate of 24.96%, compared to $3.7 million with an effective tax rate of 25.51% for the second quarter of 2026 and $3.6 million with an effective tax rate of 23.42% for the third quarter of 2025. The Bank anticipates its future effective tax rate will be approximately 23% to 25%.

Balance Sheet

Total assets were $4.05 billion at September 30, 2026, compared to $4.09 billion at June 30, 2026 and $3.96 billion at December 31, 2025. The modest decline from the linked quarter primarily reflected a $131.5 million reduction in cash and cash equivalents, partially offset by $50.2 million in loan growth and $44.3 million in investment securities growth.

Total loans, net of deferred fees and costs, grew $50.2 million, or 1.5%, compared to June 30, 2026 and $129.1 million, or 3.9%, compared to December 31, 2025. Growth from the linked quarter primarily reflected higher construction and development, C&I, and owner-occupied CRE balances, partially offset by a decrease in investor CRE. Growth from December 31, 2025 reflected higher owner-occupied CRE, C&I, and investor CRE loans, partially offset by lower residential mortgage and multi-family loans. Over the twelve months ended September 30, 2026, the Bank's higher-yielding C&I portfolio grew to comprise 22.4% of total loans, compared to 21.9% at September 30, 2025, reflecting the successful expansion of our specialized lending businesses.

Total deposits grew $43.0 million, or 1.3%, compared to June 30, 2026 and $164.4 million, or 5.1%, compared to December 31, 2025. Deposit growth was primarily due to our team's success in attracting new deposit relationships while also maintaining existing relationships amid heightened industry-wide pricing competition.

Borrowings were $151.5 million at September 30, 2026, declining $90.1 million, or 37.3%, from June 30, 2026, as the Bank utilized excess liquidity to reduce wholesale funding.

During the nine months ended September 30, 2026, stockholders' equity increased by $17.3 million, or 3.9%, primarily due to net income, partially offset by dividends and share repurchases.

As of September 30, 2026, the Bank continued to exceed all regulatory capital requirements to be considered well-capitalized, with a Tier 1 Leverage ratio of 10.21%, a Tier 1 Risk-Based capital ratio of 10.87%, a Common Equity Tier 1 Capital ratio of 10.87%, and a Total Risk-Based capital ratio of 13.03%. The tangible stockholders' equity to tangible assets ratio^iv measured 10.26% as of September 30, 2026, compared to 10.04% at December 31, 2025.

Asset Quality

Total nonperforming assets, comprised exclusively of nonperforming loans, were $35.7 million at September 30, 2026, compared to $32.7 million at June 30, 2026 and $14.4 million at September 30, 2025. Nonperforming assets represented 0.88% of total assets at September 30, 2026, compared to 0.80% at June 30, 2026 and 0.36% at September 30, 2025. The increase in non-performing loans was primarily due to the addition of C&I loans totaling $2.1 million, partially offset by payoffs and paydowns on other nonperforming loans.

Net charge-offs were $1.9 million for the third quarter of 2026, compared to $1.6 million for the second quarter of 2026 and $1.7 million for the third quarter of 2025. Net charge-offs represented an annualized 0.22% of average loans for the third quarter of 2026. Net charge-offs for the three and nine months of 2026 primarily reflected losses related to small business C&I loans originated through the Bank's Business Express loan product.

The allowance for credit losses on loans was $47.0 million at September 30, 2026, representing 1.37% of total loans, compared to 1.38% at June 30, 2026 and 1.25% at September 30, 2025. The allowance for credit losses on loans represented 1.32 times nonperforming loans at September 30, 2026, compared to 1.43 times at June 30, 2026 and 2.93 times at September 30, 2025.

Total criticized loans, which includes loans classified as substandard and special mention, increased to $91.1 million, or 2.66% of loans at September 30, 2026, compared to $90.9 million, or 2.69% of loans at June 30, 2026 and $70.9 million or 2.10% of loans at September 30, 2025.

Liquidity, Investments and Borrowings

Management believes the Bank's current on-balance sheet liquidity position, coupled with its various contingent funding sources, provides the Bank with a strong liquidity base and a diverse source of funding options. Cash and cash equivalents were $220.0 million at September 30, 2026, a decrease of $131.5 million, or 37.4%, compared to June 30, 2026. The Bank utilized its excess liquidity to reduce borrowings by $90.1 million, or 37.3%, to $151.5 million at September 30, 2026. In addition, during the back-end of the third quarter, the Bank shifted some excess liquidity into low-risk investments, primarily government sponsored mortgage-backed securities, which will provide increased yields while maintaining adequate liquidity.

Cash Dividend Declared

On October 20, 2026, the Bank's Board of Directors declared a quarterly cash dividend of $0.12 per share to common stockholders of record at the close of business on November 6, 2026, payable on November 20, 2026. This reflects an increase compared to the Bank's prior quarterly cash dividend of $0.09 per share.

Share Repurchase Program

During the third quarter of 2026, the Bank did not repurchase shares of common stock. Through September 30, 2026, 359,007 shares were repurchased from the share repurchase plan which was authorized in November 2025 and expired on September 30, 2026, with a total cost of $5.5 million or $15.46 per share on average.

The Board of Directors authorized and the Bank received final regulatory approvals for a new share repurchase program, allowing for the repurchase of up to 1.2 million shares of First Bank common stock with an aggregate repurchase amount of up to $24.0 million. The repurchase program expires on September 30, 2027. The timing, price, and volume of any future repurchases will be based on market conditions, relevant securities laws and other factors. The stock repurchases may be made from time to time on the open market or in privately negotiated transactions. Any stock repurchase program does not require the Bank to repurchase any specific number of shares, and the Bank may terminate any active repurchase program at any time.

Conference Call and Earnings Release Supplement

Additional details on the quarterly results and the Bank are included in the attached earnings release supplement.

First Bank will host its earnings call on October 23, 2026 at 9:00 AM Eastern Time. The direct dial number for the call is 1-833-461-5787, toll free, using the meeting ID 747 757 245. The conference call will also be available (listen-only) via the internet by accessing FRBA conference call. For those unable to participate in the call, a replay will be available on the“Investor Relations” page of the Bank's website,

About First Bank

First Bank is a New Jersey state-chartered bank with a branch network that traverses the New York to Philadelphia corridor and includes a single location in Palm Beach County, Florida. With $4.05 billion in assets as of September 30, 2026, First Bank offers a full range of deposit and loan products to individuals and businesses in its markets. First Bank's common stock is listed on the Nasdaq Global Market under the symbol“FRBA.”

Forward Looking Statements

This press release contains certain forward-looking statements, either express or implied, within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements regarding First Bank's future financial and business performance, business and growth strategy, projected plans, objectives for our business, products and risk management, integration of the acquired businesses and anticipated results related thereto, our ability to recognize anticipated operational efficiencies, our market presence and desirability of the markets we operate in, competition in our markets, our competitive strength, consumers behavior and relative expectations, our share repurchase programs, anticipated changes in statutes, regulations or regulatory policies applicable to us and their impacts on our business, and other projections based on macroeconomic and industry conditions and trends, which are inherently unreliable due to the multiple factors that impact economic trends, and any such variations may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions, current expectations, estimates and projections about First Bank, any of which may change over time and some of which may be beyond First Bank's control. Statements preceded by, followed by or that otherwise include the words“believes,”“expects,”“anticipates,”“intends,”“projects,”“estimates,”“plans” and similar expressions or future or conditional verbs such as“will,”“should,”“would,”“may” and“could” are generally forward-looking in nature and not historical facts, although not all forward- looking statements include the foregoing. Further, certain important factors that could affect First Bank's future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: whether First Bank can: successfully implement its growth strategy, including identifying acquisition targets, consummating and integrating suitable acquisitions and realizing anticipated efficiencies, sustain its internal growth rate, and provide competitive products and services that appeal to its customers and target markets; difficult market conditions and unfavorable economic trends in the United States generally, and particularly in the market areas in which First Bank operates and in which its loans are concentrated, including the effects of inflation, declines in housing markets and public sentiment regarding the financial services industry; the chance that we may experience material weaknesses in our internal control over financial reporting or otherwise fail to maintain an effective system of internal controls in the future; an increase in unemployment levels and slowdowns in economic growth; First Bank's level of nonperforming assets and the costs associated with resolving any problem loans including litigation and other costs; changes in market interest rates may increase funding costs or reduce earning asset yields thus reducing margin; the impact of changes in interest rates, both up and down, and the credit quality and strength of underlying collateral and the effect of such changes on the market value of First Bank's investment securities portfolio; decreases in the value of securities and other assets, adequacy of loan loss reserves, or deposit levels necessitating increased borrowing to fund loans and investments; operational risks, including, but not limited to, cybersecurity incidents, fraud, natural disasters and public health emergencies; the extensive federal and state regulation, supervision and examination governing almost every aspect of First Bank's operations, including the effect of any changes in regulations affecting financial institutions and expenses associated with complying with such regulations; uncertainties in tax estimates and valuations, including due to changes in state and federal tax law; First Bank's ability to comply with applicable capital and liquidity requirements, including the ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; and possible changes in trade, monetary and fiscal policies, accounting standards, laws and regulations and other activities of governments, agencies, and similar organizations. For discussion of these and other risks, uncertainties, and assumptions, including the important factors that may cause actual results to differ from expectations, please refer to "Forward-Looking Statements" and "Risk Factors" in First Bank's Annual Report on Form 10-K and any updates to those risk factors set forth in First Bank's subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if First Bank's underlying assumptions prove to be incorrect, actual results may differ materially from what First Bank anticipates. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and First Bank does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that First Bank or persons acting on First Bank's behalf may issue.

This press release contains“non-GAAP” financial measures, which management uses in its analysis of First Bank's performance. Management believes these non-GAAP financial measures allow for better comparability of period to period operating performance. Additionally, First Bank believes this information is utilized by regulators and market analysts to evaluate a company's financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. A reconciliation of the non-GAAP measures used in this press release to the most directly comparable GAAP measures is provided in the accompanying financial tables.

ⁱ Return on average tangible equity is a non-GAAP financial measure and is calculated by dividing net income by average tangible equity (average equity minus average goodwill and other intangible assets). For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

ⁱⁱ Tangible book value per share is a non-GAAP financial measure and is calculated by dividing tangible equity (equity minus goodwill and other intangible assets) by common shares outstanding. For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

ⁱⁱⁱ The efficiency ratio is a non-GAAP financial measure and is calculated by dividing adjusted non-interest expense by adjusted total revenue (net interest income plus non-interest income). For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

^iv Tangible stockholders' equity to tangible assets ratio is a non-GAAP financial measure and is calculated by dividing tangible equity (equity minus goodwill and other intangible assets) by tangible assets (total assets minus goodwill and other intangible assets). For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see the financial reconciliations at the end of this press release.

FIRST BANK CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (in thousands, except for share data, unaudited)
		September 30, 2026			December 31, 2025
Assets
Cash and due from banks		$	24,259				$	22,141
Restricted cash			13,920					7,780
Interest bearing deposits with banks			181,812					279,299
Cash and cash equivalents			219,991					309,220
Interest bearing time deposits with banks			1,698					747
Investment securities available for sale, at fair value (amortized cost of $162,465 and $108,635, respectively)			153,185					104,740
Investment securities held to maturity, net of allowance for credit losses of $207 and $163 (fair value of $43,900 and $37,866, respectively)			46,931					40,424
Equity securities, at fair value			1,838					1,930
Restricted investment in bank stocks			10,069					13,877
Other investments			14,780					16,033
Loans, net of deferred fees and costs			3,422,301					3,293,225
Less: Allowance for credit losses			(46,962	)				(45,384	)
Net loans			3,375,339					3,247,841
Premises and equipment, net			17,356					18,367
Accrued interest receivable			15,332					14,382
Bank-owned life insurance			90,775					88,475
Goodwill			44,166					44,166
Other intangible assets, net			5,889					7,124
Deferred income taxes, net			24,142					22,623
Other assets			32,403					28,087
Total assets		$	4,053,894				$	3,958,036
Liabilities and Stockholders' Equity
Liabilities:
Non-interest bearing deposits		$	558,429				$	572,349
Interest bearing deposits			2,808,257					2,629,959
Total deposits			3,366,686					3,202,308
Borrowings			151,477					236,672
Subordinated debentures			34,487					34,384
Accrued interest payable			4,510					4,763
Other liabilities			35,900					36,407
Total liabilities			3,593,060					3,514,534
Stockholders' Equity:
Preferred stock, par value $2 per share; 10,000,000 shares authorized; no shares issued and outstanding			-					-
Common stock, par value $5 per share; 40,000,000 shares authorized; 27,962,822 shares issued and 24,760,073 shares outstanding and 27,643,986 shares issued and 24,800,244 shares outstanding, respectively			138,285					136,788
Additional paid-in capital			127,741					126,334
Retained earnings			238,411					214,458
Accumulated other comprehensive loss			(6,851	)				(2,875	)
Treasury stock, 3,202,749 and 2,843,742 shares, respectively			(36,752	)				(31,203	)
Total stockholders' equity			460,834					443,502
Total liabilities and stockholders' equity		$	4,053,894				$	3,958,036

FIRST BANK CONSOLIDATED STATEMENTS OF INCOME (in thousands, except for share data, unaudited)
		Three Months Ended September 30,			Nine Months Ended September 30,
		2026			2025			2026			2025
Interest and Dividend Income
Investment securities-taxable		$	1,602			$	1,225			$	4,362			$	3,659
Investment securities-tax-exempt			47				32				142				124
Interest bearing deposits with banks, Federal funds sold and other			3,351				3,643				8,843				10,127
Loans, including fees			55,172				56,274				159,951				162,220
Total interest and dividend income			60,172				61,174				173,298				176,130
Interest Expense
Deposits			21,110				21,793				59,846				63,913
Borrowings			1,648				2,679				5,906				8,347
Subordinated debentures			657				1,158				1,973				2,225
Total interest expense			23,415				25,630				67,725				74,485
Net interest income			36,757				35,544				105,573				101,645
Credit loss expense			2,249				2,998				10,034				7,100
Net interest income after credit loss expense			34,508				32,546				95,539				94,545
Non-Interest Income
Service fees on deposit accounts			361				386				1,075				1,124
Loan fees			98				141				477				1,035
Income from bank-owned life insurance			784				740				2,300				2,256
Gains on sale of loans, net			231				210				575				314
Gains on recovery of acquired loans			227				481				587				605
Gain on sale of other assets			-				-				-				397
Other non-interest income			298				463				1,516				1,363
Total non-interest income			1,999				2,421				6,530				7,094
Non-Interest Expense
Salaries and employee benefits			11,898				11,381				35,628				34,458
Occupancy and equipment			2,216				2,329				7,098				7,143
Legal fees			232				284				825				931
Other professional fees			1,004				782				2,651				2,432
Regulatory fees			571				654				1,757				2,022
Directors' fees			274				261				794				803
Data processing			754				729				2,330				2,427
Marketing and advertising			407				370				1,361				1,272
Travel and entertainment			265				270				821				757
Insurance			181				217				534				664
Other real estate owned expense, net			-				-				-				989
Other expense			2,493				2,393				7,585				7,023
Total non-interest expense			20,295				19,670				61,384				60,921
Income Before Income Taxes			16,212				15,297				40,685				40,718
Income tax expense			4,047				3,582				10,016				9,383
Net Income		$	12,165			$	11,715			$	30,669			$	31,335
Basic earnings per common share		$	0.49			$	0.47			$	1.23			$	1.25
Diluted earnings per common share		$	0.49			$	0.47			$	1.22			$	1.24
Cash dividends paid per common share		$	0.09			$	0.06			$	0.27			$	0.18
Basic weighted average common shares outstanding			24,755,043				24,844,262				24,872,772				24,996,201
Diluted weighted average common shares outstanding			24,981,579				25,110,969				25,109,917				25,263,922

FIRST BANK AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES (dollars in thousands, unaudited)
		Three Months Ended September 30,
		2026				2025
		Average							Average			Average							Average
		Balance			Interest			Rate (5)			Balance			Interest			Rate (5)
Interest earning assets
Investment securities(1) (2)		$	165,612				$	1,659					3.97	%			$	130,148				$	1,264					3.85	%
Loans(3)			3,379,917					55,172					6.48	%				3,349,869					56,274					6.66	%
Interest bearing deposits with banks,
Federal funds sold and other			321,764					3,023					3.73	%				286,532					3,199					4.43	%
Restricted investment in bank stocks			11,253					230					8.11	%				15,569					335					8.54	%
Other investments			16,671					98					2.33	%				15,720					109					2.75	%
Total interest earning assets (2)			3,895,217					60,182					6.13	%				3,797,838					61,181					6.39	%
Allowance for credit losses			(46,888	)												(40,999	)
Non-interest earning assets			242,923													248,940
Total assets		$	4,091,252												$	4,005,779
Interest bearing liabilities
Interest bearing demand deposits		$	620,288				$	3,630					2.32	%			$	561,538				$	3,415					2.41	%
Money market deposits			1,099,079					8,255					2.98	%				1,105,934					9,232					3.31	%
Savings deposits			160,576					761					1.88	%				148,737					780					2.08	%
Time deposits			921,699					8,464					3.64	%				828,019					8,366					4.01	%
Total interest bearing deposits			2,801,642					21,110					2.99	%				2,644,228					21,793					3.27	%
Borrowings			171,676					1,648					3.81	%				266,627					2,679					3.99	%
Subordinated debentures			34,464					657					7.63	%				54,554					1,158					8.49	%
Total interest bearing liabilities			3,007,782					23,415					3.09	%				2,965,409					25,630					3.43	%
Non-interest bearing deposits			586,859													569,795
Other liabilities			37,000													42,216
Stockholders' equity			459,611													428,359
Total liabilities and stockholders' equity		$	4,091,252												$	4,005,779
Net interest income/interest rate spread(2)							36,767					3.04	%								35,551					2.96	%
Net interest margin(2) (4)											3.74	%												3.71	%
Tax equivalent adjustment(2)							(10	)												(7	)
Net interest income						$	36,757												$	35,544
(1) Average balance of investment securities available for sale is based on amortized cost.
(2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 21%.
(3) Average balances of loans include loans on nonaccrual status.
(4) Net interest income divided by average total interest earning assets.
(5) Annualized.

FIRST BANK AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES (dollars in thousands, unaudited)
		Nine Months Ended September 30,
		2026				2025
		Average							Average			Average							Average
		Balance			Interest			Rate (5)			Balance			Interest			Rate (5)
Interest earning assets
Investment securities (1) (2)		$	154,944				$	4,534					3.91	%			$	133,157				$	3,809					3.82	%
Loans (3)			3,347,755					159,951					6.39	%				3,272,879					162,220					6.63	%
Interest bearing deposits with banks,
Federal funds sold and other			279,603					7,758					3.71	%				265,877					8,853					4.45	%
Restricted investment in bank stocks			12,800					757					7.91	%				15,894					911					7.66	%
Other investments			16,908					328					2.59	%				15,064					363					3.22	%
Total interest earning assets (2)			3,812,010					173,328					6.08	%				3,702,871					176,156					6.36	%
Allowance for credit losses			(46,534	)												(39,573	)
Non-interest earning assets			243,831													253,794
Total assets		$	4,009,307												$	3,917,092
Interest bearing liabilities
Interest bearing demand deposits		$	602,327				$	10,076					2.24	%			$	604,066				$	11,143					2.47	%
Money market deposits			1,076,378					23,817					2.96	%				1,071,993					26,781					3.34	%
Savings deposits			155,345					2,027					1.74	%				143,870					2,124					1.97	%
Time deposits			876,429					23,926					3.65	%				776,136					23,865					4.11	%
Total interest bearing deposits			2,710,479					59,846					2.95	%				2,596,065					63,913					3.29	%
Borrowings			206,297					5,906					3.83	%				273,667					8,347					4.08	%
Subordinated debentures			34,430					1,973					7.64	%				39,918					2,225					7.43	%
Total interest bearing liabilities			2,951,206					67,725					3.07	%				2,909,650					74,485					3.42	%
Non-interest bearing deposits			565,794													546,643
Other liabilities			38,307													39,921
Stockholders' equity			454,000													420,878
Total liabilities and stockholders' equity		$	4,009,307												$	3,917,092
Net interest income/interest rate spread (2)							105,603					3.01	%								101,671					2.94	%
Net interest margin (2) (4)											3.70	%												3.67	%
Tax equivalent adjustment (2)							(30	)												(26	)
Net interest income						$	105,573												$	101,645
(1) Average balance of investment securities available for sale is based on amortized cost.
(2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 21%.
(3) Average balances of loans include loans on nonaccrual status.
(4) Net interest income divided by average total interest earning assets.
(5) Annualized.

FIRST BANK QUARTERLY FINANCIAL HIGHLIGHTS (in thousands, except for share and employee data, unaudited)
		As of or For the Quarter Ended
		9/30/2026			6/30/2026			3/31/2026			12/31/2025			9/30/2025
EARNINGS
Net interest income		$	36,757				$	34,807				$	34,009				$	36,177				$	35,544
Credit loss expense			2,249					2,232					5,553					4,789					2,998
Non-interest income			1,999					2,147					2,384					2,283					2,421
Non-interest expense			20,295					20,146					20,943					17,085					19,670
Income tax expense			4,047					3,718					2,251					4,262					3,582
Net income			12,165					10,858					7,646					12,324					11,715
PERFORMANCE RATIOS
Return on average assets (1)			1.18	%				1.09	%				0.79	%				1.21	%				1.16	%
Return on average equity (1)			10.50	%				9.62	%				6.89	%				11.11	%				10.85	%
Return on average tangible equity (1) (2)			11.79	%				10.84	%				7.78	%				12.58	%				12.35	%
Net interest margin (1) (3)			3.74	%				3.68	%				3.69	%				3.74	%				3.71	%
Yield on loans (1)			6.48	%				6.33	%				6.35	%				6.57	%				6.66	%
Total cost of deposits (1)			2.47	%				2.42	%				2.43	%				2.54	%				2.69	%
Non interest expense/ Average assets (1)			1.97	%				2.00	%				2.11	%				1.67	%				1.95	%
Efficiency ratio (2)			52.37	%				54.52	%				57.55	%				49.46	%				51.81	%
SHARE DATA
Common shares outstanding			24,760,073					24,747,673					25,061,700					24,800,244					24,799,049
Basic earnings per share		$	0.49				$	0.44				$	0.31				$	0.50				$	0.47
Diluted earnings per share			0.49					0.43					0.30					0.49					0.47
Adjusted diluted earnings per share (2)			0.49					0.43					0.30					0.43					0.47
Book value per share			18.61					18.31					17.93					17.88					17.41
Tangible book value per share (2)			16.59					16.27					15.90					15.81					15.33
MARKET DATA
Market value per share		$	17.24				$	17.73				$	16.00				$	16.46				$	16.29
Market value / Tangible book value (2)			103.92	%				108.94	%				100.63	%				104.08	%				106.24	%
Market capitalization		$	426,864				$	438,776				$	400,987				$	408,212				$	403,977
CAPITAL & LIQUIDITY
Stockholders' equity / assets			11.37	%				11.09	%				11.32	%				11.21	%				10.71	%
Tangible stockholders' equity / tangible assets (2)			10.26	%				9.98	%				10.17	%				10.04	%				9.55	%
Loans / deposits			101.65	%				101.46	%				102.38	%				102.84	%				104.66	%
ASSET QUALITY
Net charge-offs (recoveries)		$	1,892				$	1,625				$	5,034				$	1,686				$	1,737
Nonperforming loans			35,682					32,662					26,169					18,381					14,420
Nonperforming assets			35,682					32,662					26,169					18,381					14,420
Net charge offs (recoveries)/ average loans (1)			0.22	%				0.19	%				0.62	%				0.20	%				0.21	%
Nonperforming loans / total loans			1.04	%				0.97	%				0.79	%				0.56	%				0.43	%
Nonperforming assets / total assets			0.88	%				0.80	%				0.66	%				0.46	%				0.36	%
Allowance for credit losses on loans / total loans			1.37	%				1.38	%				1.39	%				1.38	%				1.25	%
Allowance for credit losses on loans / nonperforming loans			131.61	%				142.77	%				175.47	%				246.91	%				292.73	%
OTHER DATA
Total assets		$	4,053,894				$	4,087,406				$	3,970,761				$	3,958,036				$	4,032,636
Total loans			3,422,301					3,372,136					3,304,110					3,293,225					3,373,910
Total deposits			3,366,686					3,323,677					3,227,439					3,202,308					3,223,607
Total stockholders' equity			460,834					453,224					449,378					443,502					431,875
Number of full-time equivalent employees			329					338					327					334					332
(1) Annualized.
(2) Non-GAAP financial measure that we believe provides management and investors with information that is useful in understanding our financial performance and condition. See accompanying table, "Non-GAAP Financial Measures," for calculation and reconciliation.
(3) Tax equivalent using a federal income tax rate of 21%.

FIRST BANK QUARTERLY FINANCIAL HIGHLIGHTS (dollars in thousands, unaudited)
		As of the Quarter Ended
		9/30/2026			6/30/2026			3/31/2026			12/31/2025			9/30/2025
LOAN COMPOSITION
Commercial and industrial		$	768,524				$	752,208				$	722,312				$	727,075				$	740,350
Commercial real estate:
Owner-occupied			735,480					722,838					670,240					662,245					685,277
Investor			1,173,318					1,180,531					1,165,319					1,148,297					1,211,491
Construction and development			202,069					177,671					184,252					193,312					181,855
Multi-family			269,294					270,951					284,134					282,854					284,983
Total commercial real estate			2,380,161					2,351,991					2,303,945					2,286,708					2,363,606
Residential real estate:
Residential mortgage and first lien home equity loans			137,616					141,914					154,533					154,167					151,372
Home equity–second lien loans and revolving lines of credit			83,728					75,718					72,584					72,919					65,129
Total residential real estate			221,344					217,632					227,117					227,086					216,501
Consumer and other			56,460					54,177					54,235					55,862					57,222
Total loans prior to deferred loan fees and costs			3,426,489					3,376,008					3,307,609					3,296,731					3,377,679
Net deferred loan fees and costs			(4,188	)				(3,872	)				(3,499	)				(3,506	)				(3,769	)
Total loans		$	3,422,301				$	3,372,136				$	3,304,110				$	3,293,225				$	3,373,910
LOAN MIX
Commercial and industrial			22.4	%				22.3	%				21.9	%				22.1	%				21.9	%
Commercial real estate:
Owner-occupied			21.5	%				21.4	%				20.3	%				20.1	%				20.3	%
Investor			34.3	%				35.0	%				35.2	%				34.9	%				35.9	%
Construction and development			5.9	%				5.3	%				5.6	%				5.9	%				5.4	%
Multi-family			7.9	%				8.0	%				8.6	%				8.5	%				8.5	%
Total commercial real estate			69.6	%				69.7	%				69.7	%				69.4	%				70.1	%
Residential real estate:
Residential mortgage and first lien home equity loans			4.0	%				4.2	%				4.7	%				4.7	%				4.5	%
Home equity–second lien loans and revolving lines of credit			2.5	%				2.3	%				2.2	%				2.2	%				1.9	%
Total residential real estate			6.5	%				6.5	%				6.9	%				6.9	%				6.4	%
Consumer and other			1.6	%				1.6	%				1.6	%				1.7	%				1.7	%
Net deferred loan fees and costs			(0.1	%)				(0.1	%)				(0.1	%)				(0.1	%)				(0.1	%)
Total loans			100.0	%				100.0	%				100.0	%				100.0	%				100.0	%

FIRST BANK QUARTERLY FINANCIAL HIGHLIGHTS (dollars in thousands, unaudited)
		As of the Quarter Ended
		9/30/2026			6/30/2026			3/31/2026			12/31/2025			9/30/2025
DEPOSIT COMPOSITION
Non-interest bearing demand deposits		$	558,429				$	607,104				$	561,963				$	572,349				$	578,345
Interest bearing demand deposits			625,734					595,751					582,519					608,076					561,365
Money market and savings deposits			1,276,431					1,211,116					1,228,983					1,205,275					1,228,758
Time deposits			906,092					909,706					853,974					816,608					855,139
Total Deposits		$	3,366,686				$	3,323,677				$	3,227,439				$	3,202,308				$	3,223,607
DEPOSIT MIX
Non-interest bearing demand deposits			16.6	%				18.3	%				17.4	%				17.9	%				18.0	%
Interest bearing demand deposits			18.6	%				17.9	%				18.0	%				19.0	%				17.4	%
Money market and savings deposits			37.9	%				36.4	%				38.1	%				37.6	%				38.1	%
Time deposits			26.9	%				27.4	%				26.5	%				25.5	%				26.5	%
Total Deposits			100.0	%				100.0	%				100.0	%				100.0	%				100.0	%

FIRST BANK NON-GAAP FINANCIAL MEASURES (in thousands, except for share data, unaudited)
		As of or For the Quarter Ended
		9/30/2026			6/30/2026			3/31/2026			12/31/2025			9/30/2025
Return on Average Tangible Equity
Net income (numerator)		$	12,165				$	10,858				$	7,646				$	12,324				$	11,715
Average stockholders' equity		$	459,611				$	452,546				$	449,734				$	440,059				$	428,359
Less: Average Goodwill and other intangible assets, net			50,252					50,705					51,143					51,434					51,882
Average Tangible stockholders' equity (denominator)		$	409,359				$	401,841				$	398,591				$	388,625				$	376,477
Return on average tangible equity(1)			11.79	%				10.84	%				7.78	%				12.58	%				12.35	%
Tangible Book Value Per Share
Stockholders' equity		$	460,834				$	453,224				$	449,378				$	443,502				$	431,875
Less: Goodwill and other intangible assets, net			50,055					50,473					50,905					51,290					51,633
Tangible stockholders' equity (numerator)		$	410,779				$	402,751				$	398,473				$	392,212				$	380,242
Common shares outstanding (denominator)			24,760,073					24,747,673					25,061,700					24,800,244					24,799,049
Tangible book value per share		$	16.59				$	16.27				$	15.90				$	15.81				$	15.33
Tangible Equity / Tangible Assets
Stockholders' equity		$	460,834				$	453,224				$	449,378				$	443,502				$	431,875
Less: Goodwill and other intangible assets, net			50,055					50,473					50,905					51,290					51,633
Tangible stockholders' equity (numerator)		$	410,779				$	402,751				$	398,473				$	392,212				$	380,242
Total assets		$	4,053,894				$	4,087,406				$	3,970,761				$	3,958,036				$	4,032,636
Less: Goodwill and other intangible assets, net			50,055					50,473					50,905					51,290					51,633
Tangible total assets (denominator)		$	4,003,839				$	4,036,933				$	3,919,856				$	3,906,746				$	3,981,003
Tangible stockholders' equity / tangible assets			10.26	%				9.98	%				10.17	%				10.04	%				9.55	%
Efficiency Ratio
Non-interest expense		$	20,295				$	20,146				$	20,943				$	17,085				$	19,670
Add: Gains on sale of other real estate owned			-					-					-					1,938					-
Adjusted non-interest expense (numerator)		$	20,295				$	20,146				$	20,943				$	19,023				$	19,670
Net interest income		$	36,757				$	34,807				$	34,009				$	36,177				$	35,544
Non-interest income			1,999					2,147					2,384					2,283					2,421
Total revenue			38,756					36,954					36,393					38,460					37,965
Less: Gain on sale of other assets			-					-					-					-					-
Adjusted total revenue (denominator)		$	38,756				$	36,954				$	36,393				$	38,460				$	37,965
Efficiency ratio			52.37	%				54.52	%				57.55	%				49.46	%				51.81	%
(1) Annualized.

CONTACT: Andrew Hibshman, Chief Financial Officer
(609) 643-0058,...

MENAFN22102026004107003653ID1111853287