Primis Q2 Net Income Nearly Quadruples to $9.4M, NIM Expands to 3.45%
FRST sits 64% above its 52-week low of $9.55.
Summary
Primis Financial delivered a standout Q2, with net income surging to $9.4M ($0.38 EPS) from $2.4M a year ago, driven by a 34% jump in net interest income and a 59 bps NIM expansion to 3.45%. Pre-tax pre-provision operating income nearly tripled to $11.7M. The quarter included a $5.9M gain from the Bearing Insurance sale, offset by a provision on a large office CRE loan and a small legal settlement. NPAs dropped 37%, and the allowance coverage ratio improved to 73%. Management also announced a digital core conversion expected to add $6.1M in annual earnings enhancements starting Q4 2026, split between revenue and expense improvements. The board declared a $0.10 quarterly dividend. This follows the Q1 10-Q that showed a turnaround in adjusted net income but flagged rising NPAs and a material weakness—the sharp NPA reduction here directly addresses that concern. The core bank's loan pipeline grew 28% to $158M, and mortgage volume rose 30% to $421M, signaling broad-based momentum. With tangible book value per share at $13.72 and the stock at $15.69, the valuation remains modest against improving profitability. The pending S-3 shelf ($150M) and the digital conversion timeline are key items to track.
At the time of this announcement, FRST was trading at $15.69 on NASDAQ in the Finance sector, with a market capitalization of approximately $390.3M. The 52-week trading range was $9.55 to $16.77. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: PR Newswire.