MetroCity Bankshares, Inc. reported a significant increase in financial performance for the first quarter of 2026, with net income rising to $22.3 million, a 36.9% increase from $16.3 million in the same period last year. This growth was driven by a $13.9 million increase in net interest income, which reached $44.5 million, and a $901,000 rise in noninterest income, totaling $6.4 million. The company also recorded a recovery in credit losses of $813,000, compared to a provision of $135,000 in the prior year. Basic and diluted earnings per share improved to $0.78 and $0.77, respectively, up from $0.64 and $0.63 in the previous year.
In terms of operational metrics, total assets decreased by 1.7% to $4.69 billion, primarily due to a $50.3 million decline in loans and a $20.6 million drop in securities. Total loans held for investment were reported at $4.03 billion, reflecting a 1.2% decrease from the previous quarter. The company’s loan portfolio saw a mixed performance, with increases in construction and development loans and residential real estate loans, while commercial real estate loans decreased by $68 million. Deposits also saw a slight decline of $19.3 million, totaling $3.63 billion, although this figure represents a 32.5% increase year-over-year.
Strategically, MetroCity Bankshares completed the acquisition of First IC Corporation in December 2025, which has contributed to the growth in customer accounts and service offerings. The merger is expected to enhance operational synergies and expand the company’s product set for customers. The integration of First IC has already shown positive impacts, particularly in the increase of service charges on deposit accounts, which rose by 69.6% to $848,000.
The company’s asset quality remained strong, with nonperforming loans decreasing to 0.42% of total loans, down from 0.62% at the end of the previous quarter. The allowance for credit losses was $26.7 million, representing 0.66% of total loans, a slight decrease from the previous quarter. The company continues to maintain a robust capital position, with total capital ratios well above regulatory requirements, indicating a strong buffer against potential economic downturns.
Looking ahead, MetroCity Bankshares expressed optimism about its growth trajectory, bolstered by the recent acquisition and ongoing efforts to enhance operational efficiencies. The company anticipates that the integration of First IC will continue to yield benefits, contributing to improved financial performance in the coming quarters. However, management remains cautious about external economic factors that could impact future results, including interest rate fluctuations and market conditions.
About MetroCity Bankshares, Inc.
MetroCity Bankshares, Inc. is a bank holding company operating through its Georgia-based subsidiary, Metro City Bank. It provides personalized banking services, including loans, deposits, and treasury management, primarily to small- and medium-sized businesses and individuals in multi-ethnic communities across the U.S. Southeast and Texas. The bank emphasizes culturally competent service, diversified loan portfolios, and community-focused growth in competitive markets.
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