Q3 Net Income Climbs 12.7% to $5.5M as Margin Expansion Streak Hits 11 Quarters
FFMH has more than doubled off its 52-week low of $26.83.
Summary
First Farmers and Merchants posted Q3 net income of $5.5M, up 12.7% year over year, with net interest margin at 3.71% — 48 bps higher and the 11th consecutive quarterly expansion. Net interest income rose 14.9% to $15.7M, the core profit driver. Loan growth is running hot: the book reached $1.099B, up $62.8M from the prior quarter, roughly a 24% annualized pace. That growth is being funded partly by new borrowings of $33.5M versus none previously, while deposits slipped $31.7M to $1.533B on what the release describes as seasonal municipal outflows. The margin-led earnings trend is intact, but the funding mix is shifting toward borrowed money as deposit balances decline — the key thing to track is whether loan growth can continue without further deposit pressure or margin erosion.
At the time of this announcement, FFMH was trading at $63.19 on OTC in the Finance sector, with a market capitalization of approximately $249.4M. The 52-week trading range was $26.83 to $64.00. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Wiseek News.