First Community Bankshares Reports $51.60 Million Net Income for Fiscal Year 2024

First Community Bankshares, Inc. reported a net income of $51.60 million for the fiscal year ending December 31, 2024, translating to earnings of $2.80 per diluted share. This represents a 7.46% increase from the previous year's net income of $48.02 million. The company's total assets decreased slightly to $3.26 billion, down from $3.27 billion in 2023, primarily due to a reduction in loans and securities. The net interest income for the year was $126.47 million, a decrease of $1.22 million compared to 2023, attributed to higher interest expenses on deposits.

The company experienced a notable decrease in its provision for credit losses, which fell by $4.39 million to $3.60 million in 2024. This reduction was largely due to a decrease in the loan portfolio, which declined by $156.21 million, or 6.07%, during the year. Non-interest income increased by 5.17% to $39.39 million, driven by gains from the sale of closed branch properties and an increase in interchange income. However, non-interest expenses rose by 1.46% to $96.57 million, influenced by inflationary pressures and the integration of staff from the recently acquired Surrey Bancorp.

In terms of strategic developments, First Community Bankshares completed the acquisition of Surrey Bancorp on April 21, 2023, which added approximately $466.25 million in assets. The acquisition resulted in the recognition of $14.38 million in goodwill and $12.70 million in other intangible assets. The company also divested its Emporia, Virginia branch in September 2022, realizing a gain of $1.66 million from the sale.

As of December 31, 2024, First Community Bankshares operated 53 branches across Virginia, West Virginia, North Carolina, and Tennessee, with a total employee count of 582 full-time and 28 part-time employees. The company reported a slight increase in its book value per share to $28.73, up from $27.20 in the previous year. The bank's capital ratios remained strong, with a Common Equity Tier 1 ratio of 16.75%, significantly above the regulatory minimum requirement of 4.5%.

Looking ahead, First Community Bankshares anticipates continued focus on organic growth and strategic acquisitions, while managing the challenges posed by economic conditions and competitive pressures in the financial services industry. The company remains committed to enhancing its operational efficiency and maintaining strong relationships with its customers and communities.