First Community Corporation Reports 46% Increase in Net Income to $7.6 Million

First Community Corporation reported significant financial growth in its latest quarterly results, with net income for the three months ending June 30, 2026, reaching $7.6 million, a 46% increase from $5.2 million in the same period last year. This translates to diluted earnings per share of $0.80, up from $0.67. The increase in net income was primarily driven by a $4.2 million rise in net interest income, attributed to a $310.6 million increase in average earning assets and a 31 basis point improvement in net interest margin, which reached 3.50%. Non-interest income also saw a boost, increasing by $1.4 million to $5.6 million, largely due to growth in mortgage banking and investment advisory fees.

In comparison to the previous fiscal period, First Community Corporation's total assets increased by $314.6 million, or 15.3%, to $2.4 billion as of June 30, 2026. This growth was fueled by a $267.3 million increase in loans held-for-investment, which rose to $1.6 billion, and a $14.8 million increase in goodwill following the acquisition of Signature Bank of Georgia. The company’s total deposits also grew by $275.3 million, or 15.7%, to $2.02 billion, reflecting a strategic focus on increasing low-cost deposits to manage funding costs effectively.

Operationally, First Community Corporation has expanded its customer base and product offerings. The acquisition of Signature Bank of Georgia, completed on January 8, 2026, has introduced a new government guaranteed lending segment, contributing to the overall increase in non-interest income. The company reported a total of 298 full-time equivalent employees as of June 30, 2026, up from 273 a year earlier, indicating a commitment to enhancing service capacity and operational efficiency.

The filing also highlighted a provision for credit losses of $319,000 for the first half of 2026, reflecting the company's proactive approach to managing credit risk amid growing loan volumes. The allowance for credit losses increased to $18.5 million, representing 1.17% of total loans. The non-performing asset ratio was reported at 0.04% of total assets, with non-accrual loans increasing to $300,000 from $202,000 at the end of 2025, indicating a slight uptick in credit risk.

Looking ahead, First Community Corporation remains optimistic about its growth trajectory, bolstered by the recent acquisition and a strong capital position. The company continues to focus on expanding its loan portfolio while maintaining a conservative approach to credit risk management. The effective tax rate for the first half of 2026 was reported at 16.47%, down from 22.60% in the previous year, further enhancing profitability. The management anticipates that the strategic initiatives and operational efficiencies will support continued growth in the upcoming quarters.