First Community Bankshares Inc. Files 10-Q for Q1 2024

TL;DR

<b>First Community Bankshares Inc. reported $18.4 million in net income for Q1 2024, with total assets reaching $27.5 billion.</b>

AI Summary

FIRST COMMUNITY BANKSHARES INC /VA/ (FCBC) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. Total assets reported at $27,522,635,000 as of March 31, 2024. Net income for the quarter ended March 31, 2024, was $18,413,088. Earnings per share (EPS) for the quarter were $0.70. Total debt stood at $18,502,396,000 as of March 31, 2024. The company reported $27,522,547,000 in total liabilities as of March 31, 2024.

Why It Matters

For investors and stakeholders tracking FIRST COMMUNITY BANKSHARES INC /VA/, this filing contains several important signals. The filing details significant fair value adjustments on acquired loan portfolios and deposit accounts, impacting reported asset values. Changes in deferred tax assets and goodwill were also noted, reflecting adjustments from acquisitions and accounting standards.

Risk Assessment

Risk Level: medium — FIRST COMMUNITY BANKSHARES INC /VA/ shows moderate risk based on this filing. The company's financial health is tied to its loan portfolio and interest rate sensitivity, with potential impacts from economic downturns and regulatory changes.

Analyst Insight

Monitor the company's net interest margin and loan loss provisions in upcoming filings for signs of credit quality deterioration or improvement.

Key Numbers

• 27,522,635,000 — Total Assets (As of March 31, 2024)
• 18,413,088 — Net Income (For the quarter ended March 31, 2024)
• 0.70 — Earnings Per Share (For the quarter ended March 31, 2024)
• 18,502,396,000 — Total Debt (As of March 31, 2024)
• 27,522,547,000 — Total Liabilities (As of March 31, 2024)
• 0.73 — Earnings Per Share (For the quarter ended March 31, 2023)
• 11,782 — Net Income (For the quarter ended March 31, 2023)
• 33.26 — Operating Margin (For the quarter ended March 31, 2024)

Key Players & Entities

• FIRST COMMUNITY BANKSHARES INC /VA/ (company) — Filer
• 2024-03-31 (date) — Conformed Period of Report
• 2024-05-03 (date) — Filed as of date
• 2024-03-31 (date) — Fiscal quarter end
• 2023-12-31 (date) — Prior fiscal year end
• 2023-03-31 (date) — Prior year comparable quarter end
• 2024-01-01 (date) — Current year quarter start
• 2023-01-01 (date) — Prior year comparable quarter start

FAQ

Risk Factors

• Fair Value Adjustments [medium — financial]: The company made significant fair value adjustments to acquired loan portfolios and deposit accounts, impacting reported asset values.
• Deferred Tax Assets and Goodwill [medium — financial]: Adjustments were made to record deferred tax assets and goodwill, reflecting acquisition accounting and potential impairments.
• Allowance for Credit Losses [medium — financial]: The allowance for credit losses on acquired loan portfolios was $2.94 million, indicating potential credit risks.

Key Financial Figures

• $1.00 — nge on which registered Common Stock ($1.00 par value) FCBC NASDAQ Global Selec

Filing Documents

• fcbc20240331_10q.htm (10-Q) — 4490KB
• ex_615907.htm (EX-31.1) — 13KB
• ex_615908.htm (EX-31.2) — 13KB
• ex_615909.htm (EX-32) — 7KB
• 0001437749-24-014678.txt (&nbsp;) — 19707KB
• fcbc-20240331.xsd (EX-101.SCH) — 73KB
• fcbc-20240331_cal.xml (EX-101.CAL) — 68KB
• fcbc-20240331_def.xml (EX-101.DEF) — 494KB
• fcbc-20240331_lab.xml (EX-101.LAB) — 431KB
• fcbc-20240331_pre.xml (EX-101.PRE) — 537KB
• fcbc20240331_10q_htm.xml (XML) — 6207KB

Financial Statements

Financial Statements Condensed Consolidated Balance Sheets as of March 31, 2024 (Unaudited) and December 31, 2023 4 Condensed Consolidated Statements of Income for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 5 Condensed Consolidated Statements of Comprehensive Income for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 6 Condensed Consolidated Statements of Changes in Stockholders' Equity for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 7 Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 8 Notes to Condensed Consolidated Financial Statements (Unaudited) 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 35 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 49 Item 4.

Controls and Procedures

Controls and Procedures 49 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 49 Item 1A.

Risk Factors

Risk Factors 49 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 50 Item 3. Defaults Upon Senior Securities 50 Item 4. Mine Safety Disclosures 50 Item 5. Other Information 50 Item 6. Exhibits 51

Signatures

Signatures 53 2 Table of Contents CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS Forward-looking statements in filings with the Securities and Exchange Commission, including this Quarterly Report on Form 10-Q and the accompanying Exhibits, filings incorporated by reference, reports to shareholders, and other communications that represent the Company's beliefs, plans, objectives, goals, guidelines, expectations, anticipations, estimates, and intentions are made in good faith pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions that are difficult to predict. The words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," and other similar expressions identify forward-looking statements. The following factors, among others, could cause financial performance to differ materially from that expressed in such forward-looking statements: inflation, interest rate, market and monetary fluctuations; the strength of the U.S. economy in general and the strength of the local economies in which we conduct operations; the effects of, and changes in, trade, monetary, and fiscal policies and laws, including interest rate policies of the Federal Reserve System; timely development of competitive new products and services and the acceptance of these products and services by new and existing customers; the willingness of customers to substitute competitors' products and services for the Company's products and services and vice versa; the impact of changes in financial services laws and regulations, including laws about taxes, banking, securities, and insurance; the impact of the U.S. Department of the Treasury and federal banking regulators' continued implementation of programs to address capital and liquidity in the banking system; technological changes; t

Financial Statemen ts

Item 1. Financial Statemen ts CONDENSED CONSOLIDATED BALANCE SHEETS March 31, December 31, 2024 2023(1) (Amounts in thousands, except share and per share data) (Unaudited) Assets Cash and due from banks $ 67,128 $ 77,563 Federal funds sold 179,943 37,312 Interest-bearing deposits in banks 1,834 1,545 Total cash and cash equivalents 248,905 116,420 Debt securities available-for-sale, at fair value 166,247 280,961 Loans held for investment, net of unearned income 2,519,833 2,572,298 Allowance for credit losses ( 35,461 ) ( 36,189 ) Loans held for investment, net 2,484,372 2,536,109 Premises and equipment, net 51,333 50,680 Other real estate owned 374 192 Interest receivable 10,719 10,881 Goodwill 143,946 143,946 Other intangible assets 14,615 15,145 Other assets 115,470 114,211 Total assets $ 3,235,981 $ 3,268,545 Liabilities Deposits Noninterest-bearing $ 902,396 $ 931,920 Interest-bearing 1,779,819 1,790,405 Total deposits 2,682,215 2,722,325 Securities sold under agreements to repurchase 1,006 1,119 Interest, taxes, and other liabilities 45,816 41,807 Total liabilities 2,729,037 2,765,251 Stockholders' equity Preferred stock, undesignated par value; 1,000,000 shares authorized; Series A Noncumulative Convertible Preferred Stock, $ 0.01 par value; 25,000 shares authorized; none outstanding - - Common stock, $ 1 par value; 50,000,000 shares authorized; 27,522,635 shares issued and 18,413,088 outstanding at March 31, 2024; 27,522,547 shares issued and 18,502,396 outstanding at December 31, 2023 18,413 18,502 Additional paid-in capital 173,041 175,841 Retained earnings 327,389 319,902 Accumulated other comprehensive loss ( 11,899 ) ( 10,951 ) Total stockholders' equity 506,944 503,294 Total liabilities and stockholders' equity $ 3,235,981 $ 3,268,545 (1) Derived from audited financial statements See Notes to Condensed Consolidated Financial Statements. 4 Table

View Full Filing

View this 10-Q filing on SEC EDGAR