Farmers & Merchants Bancorp (FMCB) Reports Increase in First Quarter 2025 Earnings Over Prior Year
Farmers & Merchants Bancorp (FMCB) reported strong Q1 2025 financial results with net income of $23.0 million, or $32.86 per diluted share, up 9.9% from Q4 2024 and 7.6% from Q1 2024. The company achieved a return on average assets of 1.70% and return on average equity of 15.65%.
Key highlights include net interest income of $53.1 million, a net interest margin of 4.20%, and strong liquidity position with $607.3 million in cash. The bank maintains robust capital ratios with a total risk-based capital ratio of 15.23%. Credit quality remains solid with minimal non-accrual loans of $193,000 and net charge-offs of $160,000.
Total assets reached $5.7 billion, with $3.6 billion in loans and leases. Total deposits increased by $278.8 million to $5.0 billion, while tangible book value per share grew 13.49% year-over-year to $843.33.
Farmers & Merchants Bancorp (FMCB) ha riportato solidi risultati finanziari nel primo trimestre del 2025 con un utile netto di 23,0 milioni di dollari, pari a 32,86 dollari per azione diluita, in aumento del 9,9% rispetto al quarto trimestre 2024 e del 7,6% rispetto al primo trimestre 2024. La società ha raggiunto un rendimento medio degli attivi dell'1,70% e un rendimento medio del capitale proprio del 15,65%.
I punti salienti includono un reddito netto da interessi di 53,1 milioni di dollari, un margine di interesse netto del 4,20% e una solida posizione di liquidità con 607,3 milioni di dollari in contanti. La banca mantiene robusti indici patrimoniali con un rapporto totale di capitale basato sul rischio del 15,23%. La qualità del credito resta solida con prestiti non in accantonamento minimi pari a 193.000 dollari e svalutazioni nette di 160.000 dollari.
Gli attivi totali hanno raggiunto i 5,7 miliardi di dollari, con 3,6 miliardi in prestiti e leasing. I depositi totali sono aumentati di 278,8 milioni di dollari raggiungendo i 5,0 miliardi, mentre il valore contabile tangibile per azione è cresciuto del 13,49% su base annua, arrivando a 843,33 dollari.
Farmers & Merchants Bancorp (FMCB) reportó sólidos resultados financieros en el primer trimestre de 2025 con un ingreso neto de 23,0 millones de dólares, o 32,86 dólares por acción diluida, un aumento del 9,9% respecto al cuarto trimestre de 2024 y del 7,6% en comparación con el primer trimestre de 2024. La empresa logró un retorno sobre activos promedio del 1,70% y un retorno sobre el patrimonio promedio del 15,65%.
Los aspectos destacados incluyen ingresos netos por intereses de 53,1 millones de dólares, un margen neto de interés del 4,20% y una fuerte posición de liquidez con 607,3 millones de dólares en efectivo. El banco mantiene sólidos índices de capital con una relación total de capital basada en riesgo del 15,23%. La calidad crediticia sigue siendo sólida con préstamos no acumulativos mínimos de 193.000 dólares y bajas netas de 160.000 dólares.
Los activos totales alcanzaron los 5,7 mil millones de dólares, con 3,6 mil millones en préstamos y arrendamientos. Los depósitos totales aumentaron en 278,8 millones de dólares hasta 5,0 mil millones, mientras que el valor contable tangible por acción creció un 13,49% interanual hasta 843,33 dólares.
Farmers & Merchants Bancorp (FMCB)는 2025년 1분기에 순이익 2,300만 달러를 기록하며 강력한 실적을 발표했으며, 희석 주당순이익은 32.86달러로 2024년 4분기 대비 9.9%, 2024년 1분기 대비 7.6% 증가했습니다. 회사는 평균 자산 수익률 1.70%와 평균 자기자본 수익률 15.65%를 달성했습니다.
주요 내용으로는 5,310만 달러의 순이자수익, 4.20%의 순이자마진, 6억 730만 달러의 현금 보유로 강력한 유동성 상태가 포함됩니다. 은행은 총 위험기반 자본비율 15.23%로 견고한 자본 비율을 유지하고 있습니다. 신용 품질도 우수하여 비수익 대출은 19만 3천 달러에 불과하며, 순 대손상각은 16만 달러입니다.
총 자산은 57억 달러에 달하며, 대출 및 리스는 36억 달러입니다. 총 예금은 2억 7,880만 달러 증가하여 50억 달러에 이르렀으며, 유형 장부가치는 전년 대비 13.49% 증가한 주당 843.33달러를 기록했습니다.
Farmers & Merchants Bancorp (FMCB) a publié de solides résultats financiers pour le premier trimestre 2025 avec un revenu net de 23,0 millions de dollars, soit 32,86 dollars par action diluée, en hausse de 9,9 % par rapport au quatrième trimestre 2024 et de 7,6 % par rapport au premier trimestre 2024. La société a réalisé un rendement moyen des actifs de 1,70 % et un rendement moyen des capitaux propres de 15,65 %.
Les points clés incluent un revenu net d’intérêts de 53,1 millions de dollars, une marge nette d’intérêt de 4,20 % et une solide position de liquidité avec 607,3 millions de dollars en liquidités. La banque maintient des ratios de capital robustes avec un ratio total de capital basé sur le risque de 15,23 %. La qualité du crédit reste bonne avec des prêts non productifs minimaux de 193 000 dollars et des pertes nettes de 160 000 dollars.
Le total des actifs a atteint 5,7 milliards de dollars, avec 3,6 milliards en prêts et locations. Les dépôts totaux ont augmenté de 278,8 millions de dollars pour atteindre 5,0 milliards, tandis que la valeur comptable tangible par action a progressé de 13,49 % sur un an pour atteindre 843,33 dollars.
Farmers & Merchants Bancorp (FMCB) meldete starke Finanzergebnisse für das erste Quartal 2025 mit einem Nettoeinkommen von 23,0 Millionen US-Dollar bzw. 32,86 US-Dollar je verwässerter Aktie, was einem Anstieg von 9,9 % gegenüber dem vierten Quartal 2024 und 7,6 % gegenüber dem ersten Quartal 2024 entspricht. Das Unternehmen erzielte eine Rendite auf das durchschnittliche Vermögen von 1,70 % und eine Eigenkapitalrendite von 15,65 %.
Zu den wichtigsten Kennzahlen gehören ein Nettozinsertrag von 53,1 Millionen US-Dollar, eine Nettozinsmarge von 4,20 % und eine starke Liquiditätsposition mit 607,3 Millionen US-Dollar in bar. Die Bank hält robuste Kapitalquoten mit einer risikobasierten Gesamtkapitalquote von 15,23 %. Die Kreditqualität bleibt solide mit minimalen notleidenden Krediten von 193.000 US-Dollar und Nettoabschreibungen von 160.000 US-Dollar.
Die Gesamtaktiva erreichten 5,7 Milliarden US-Dollar, davon 3,6 Milliarden US-Dollar in Krediten und Leasing. Die Gesamteinlagen stiegen um 278,8 Millionen US-Dollar auf 5,0 Milliarden US-Dollar, während der materielle Buchwert je Aktie im Jahresvergleich um 13,49 % auf 843,33 US-Dollar zunahm.
- Net income increased to $23.0 million, up 7.6% YoY
- Diluted EPS grew 9.9% QoQ to $32.86
- Net interest margin improved to 4.20% from 4.09% in Q4 2024
- Tangible book value per share increased 13.49% YoY
- Strong liquidity position with $607.3 billion in cash and $2.1 billion borrowing capacity
- Excellent credit quality with only $193,000 in non-accrual loans
- Loans and leases decreased 2.57% QoQ to $3.6 billion
- Return on average assets slightly declined to 1.70% from 1.71% YoY
First Quarter 2025 Highlights
- Net income of
$23.0 million , or basic earnings per share of$32.88 and diluted earnings per share of$32.86 ; diluted earnings per share up9.9% compared to the fourth quarter of 2024 and up7.6% compared to the first quarter of 2024; - Basic earnings per share of
$123.34 over the trailing twelve months versus$116.37 over the same trailing period a year ago and$105.65 for the same period two years ago; - Tangible book value per share increased
13.49% to$843.33 compared to$743.08 as of March 31, 2024; - Achieved return on average assets of
1.70% and return on average equity of15.65% ; - Net interest income of
$53.1 million up$0.95 million compared to in the fourth quarter of 2024; net interest margin (tax equivalent basis) of4.20% , up from4.09% in the fourth quarter of 2024; - Strong liquidity position continues with
$607.3 million in cash,$1.3 billion in investment securities of which$495.4 million are available-for-sale and a borrowing capacity of$2.1 billion as of March 31, 2025; - Continue to grow our solid capital position with a total risk-based capital ratio of
15.23% , common equity tier 1 ratio of13.75% , tier 1 leverage ratio of11.32% and a tangible common equity ratio of10.40% ; - Credit quality remains strong with a total allowance for credit losses of
2.17% ; net charge-offs for the quarter of$160,000 and non-accrual loans or leases at quarter-end of$193,000.
LODI, Calif., April 16, 2025 (GLOBE NEWSWIRE) -- Farmers & Merchants Bancorp (OTCQX: FMCB) (the “Company” or “FMCB”), the parent company of Farmers & Merchants Bank of Central California (the “Bank” or “F&M Bank”), reported net income of
Net income over the trailing twelve months was
CEO Commentary
Kent Steinwert, Farmers & Merchants Bancorp’s Chairman, President and Chief Executive Officer, stated, “We are very pleased with the Company’s financial performance in the first quarter of 2025 highlighted by net income of
Earnings
Net interest income for the quarter ended March 31, 2025 was
Balance Sheet
Total assets at quarter-end were
Credit Quality
The Company’s credit quality remained solid with only
Capital
The Company’s and Bank’s regulatory capital ratios continued to strengthen during the first quarter of 2025. At March 31, 2025, the Company’s preliminary total risk-based capital ratio was
About Farmers & Merchants Bancorp
Farmers & Merchants Bancorp, trades on the OTCQX under the symbol FMCB, and is the parent company of Farmers & Merchants Bank of Central California, also known as F&M Bank. Founded in 1916, F&M Bank is a locally owned and operated community bank, which proudly serves California through 33 convenient locations. F&M Bank is financially strong, with
Farmers & Merchants Bancorp has paid dividends for 89 consecutive years and has increased dividends for 59 consecutive years. As a result, Farmers & Merchants Bancorp is a member of a select group of only 51 publicly traded companies referred to as “Dividend Kings,” and is ranked 14th in that group based on consecutive years of dividend increases. A “Dividend King” is a stock with 50 or more consecutive years of dividend increase.
In August 2024, Farmers & Merchants Bancorp was named by Bank Director’s Magazine as the #2 best performing bank in the nation across all asset categories in their annual “Ranking Banking” study of the top performing banks for 2023. Last year the Bank was named by Bank Director’s Magazine as the #1 best performing bank in the nation across all asset categories in their annual “Ranking Banking” study of the top performing banks for 2022.
In April 2024, F&M Bank was ranked 6th on Forbes Magazine’s list of "America’s Best Banks" in 2023. Forbes’ annual “America’s Best Banks” list looks at ten metrics measuring growth, credit quality, profitability, and capital for the 2023 calendar year, as well as stock performance in the 12 months through March 18, 2024.
In December 2023, F&M Bank was ranked 4th on S&P Global Market Intelligence's “Top 50 List of Best-Performing Community Banks” in the US with assets between
In October 2021, F&M Bank was named the “Best Community Bank in California” by Newsweek magazine. Newsweek’s ranking recognizes those financial institutions that best serve their customers’ needs in each state. This recognition speaks to the superior customer service the F&M Bank team members provide to its clients.
F&M Bank is the 16th largest bank lender to agriculture in the United States. F&M Bank operates in the mid-Central Valley of California, including Sacramento, San Joaquin, Solano, Stanislaus, and Merced counties and the east region of the San Francisco Bay Area, including Napa, Alameda and Contra Costa counties.
F&M Bank was inducted into the National Agriculture Science Center’s “Ag Hall of Fame” at the end of 2021 for providing resources, financial advice, guidance, and support to the agribusiness communities as well as to students in the next generation of agribusiness workforce. F&M Bank is dedicated to helping California remain the premier agricultural region in the world and will continue to work with the next generation of farmers, ranchers, and processors. F&M Bank remains committed to servicing the needs of agribusiness in California as has been the case since its founding over 109 years ago.
F&M Bank offers a full complement of loan, deposit, equipment leasing and treasury management products to businesses, as well as a full suite of consumer banking products. The FDIC awarded F&M Bank the highest possible rating of "Outstanding" in their last Community Reinvestment Act (“CRA”) evaluation.
Forward-Looking Statements
This press release may contain certain forward-looking statements that are based on management's current expectations regarding the Company’s financial performance. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “intend,” “estimate” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could” or “may.” Forward-looking statements in this press release include, without limitation, statements regarding loan and deposit production levels of net interest margin, the ability to control costs and expenses, the competitive environment, financial and regulatory policies of the United States government, general economic conditions, inflation, recessions, tariffs, economic uncertainty in the United States, and changes in interest rates. Forward-looking statements in this earnings release include matters that involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from results expressed or implied by such forward-looking statements. Such risk factors include, among others: the effects of and changes in monetary and fiscal policies, including the interest rate policies of the Federal Reserve Board and their effects on inflation risk; political and economic uncertainty, including any decline in global, domestic or local economic conditions or the stability of credit and financial markets; and other relevant risks detailed in the Company’s Form 10-K, Form 10-Qs, and various other securities law filings made periodically by the Company, copies of which are available from the Company’s website. All such factors are difficult to predict and are beyond the Company's ability to control or predict. There also may be additional risks that the Company does not presently know, or that the Company currently believes to be immaterial, that could also cause actual results to differ materially and adversely from those contained in these forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or circumstances after the date of this press release or otherwise, except as may be required by applicable law.
For more information about Farmers & Merchants Bancorp and F&M Bank, visit fmbonline.com.
Investor Relations Contact
Farmers & Merchants Bancorp
Bart R. Olson
Executive Vice President and Chief Financial Officer
Phone: 209-367-2485
bolson@fmbonline.com
| FINANCIAL HIGHLIGHTS | ||||||||||||||
| Three Months Ended | ||||||||||||||
| (dollars in thousands, except per share amounts) | March 31, 2025 | December 31, 2024 | March 31, 2024 | |||||||||||
| Earnings and Profitability: | ||||||||||||||
| Interest income | $ | 67,138 | $ | 66,870 | $ | 66,641 | ||||||||
| Interest expense | 13,997 | 14,681 | 14,928 | |||||||||||
| Net interest income | 53,141 | 52,189 | 51,713 | |||||||||||
| Provision for credit losses | 300 | - | - | |||||||||||
| Noninterest income | 5,021 | 4,578 | 5,075 | |||||||||||
| Noninterest expense | 25,509 | 26,434 | 25,521 | |||||||||||
| Income before taxes | 32,353 | 30,333 | 31,267 | |||||||||||
| Income tax expense | 9,344 | 8,487 | 8,544 | |||||||||||
| Net income | $ | 23,009 | $ | 21,846 | $ | 22,723 | ||||||||
| Basic earnings per share | $ | 32.88 | $ | 29.89 | $ | 30.56 | ||||||||
| Diluted earnings per share | $ | 32.86 | $ | 29.89 | $ | 30.56 | ||||||||
| Return on average assets | 1.70% | 1.62% | 1.71% | |||||||||||
| Return on average equity | 15.65% | 15.30% | 16.33% | |||||||||||
| Loan yield | 6.07% | 6.08% | 6.09% | |||||||||||
| Cost of average total deposits | 1.17% | 1.23% | 1.27% | |||||||||||
| Net interest margin - tax equivalent | 4.20% | 4.09% | 4.14% | |||||||||||
| Effective tax rate | 28.88% | 27.98% | 27.33% | |||||||||||
| Efficiency ratio | 43.86% | 46.57% | 44.94% | |||||||||||
| Book value per share | $ | 861.55 | $ | 818.91 | $ | 760.96 | ||||||||
| Tangible book value per share | $ | 843.33 | $ | 800.52 | $ | 743.08 | ||||||||
| Balance Sheet: | ||||||||||||||
| Total assets | $ | 5,680,024 | $ | 5,370,196 | $ | 5,714,573 | ||||||||
| Cash and cash equivalents | 607,254 | 212,563 | 738,397 | |||||||||||
| of which held at Fed | 515,758 | 141,505 | 672,601 | |||||||||||
| Total investment securities | 1,255,204 | 1,233,857 | 1,046,827 | |||||||||||
| of which available-for-sale | 495,433 | 464,414 | 239,856 | |||||||||||
| of which held-to-maturity | 759,771 | 769,443 | 806,971 | |||||||||||
| Gross loans and leases | 3,595,511 | 3,690,221 | 3,706,437 | |||||||||||
| Allowance for credit losses - loans and leases | 75,423 | 75,283 | 75,018 | |||||||||||
| Total deposits | 4,977,968 | 4,699,139 | 4,959,589 | |||||||||||
| Borrowings | - | - | 100,000 | |||||||||||
| Subordinated debentures | 10,310 | 10,310 | 10,310 | |||||||||||
| Total shareholders' equity | $ | 602,306 | $ | 573,072 | $ | 565,217 | ||||||||
| Loan-to-deposit ratio | 72.23% | 78.53% | 74.73% | |||||||||||
| Percentage of checking deposits to total deposits | 45.76% | 51.08% | 49.39% | |||||||||||
| Capital ratios (Bancorp) (1) | ||||||||||||||
| Common equity tier 1 capital to risk-weighted assets | 13.75% | 13.04% | 12.73% | |||||||||||
| Tier 1 capital to risk-weighted assets | 13.97% | 13.26% | 12.95% | |||||||||||
| Risk-based capital to risk-weighted assets | 15.23% | 14.52% | 14.21% | |||||||||||
| Tier 1 leverage capital ratio | 11.32% | 10.95% | 10.83% | |||||||||||
| Tangible common equity ratio (2) | 10.40% | 10.46% | 9.68% | |||||||||||
| (1) Capital information is preliminary for March 31, 2025 | ||||||||||||||
| (2) Non-GAAP measurement | ||||||||||||||
| Non-GAAP measurement reconciliation: | ||||||||||||||
| (Dollars in thousands) | March 31, 2025 | December 31, 2024 | March 31, 2024 | |||||||||||
| Shareholders' equity | $ | 602,306 | $ | 573,072 | $ | 565,217 | ||||||||
| Less: Intangible assets | 12,740 | 12,870 | 13,282 | |||||||||||
| Tangible common equity | $ | 589,566 | $ | 560,202 | $ | 551,935 | ||||||||
| Total assets | $ | 5,680,024 | $ | 5,370,196 | $ | 5,714,573 | ||||||||
| Less: Intangible assets | 12,740 | 12,870 | 13,282 | |||||||||||
| Tangible assets | $ | 5,667,284 | $ | 5,357,326 | $ | 5,701,291 | ||||||||
| Tangible common equity ratio (1) | 10.40% | 10.46% | 9.68% | |||||||||||
| (1) Tangible common equity divided by tangible assets | ||||||||||||||
FAQ
What was FMCB's earnings per share (EPS) for Q1 2025?
How much did FMCB's tangible book value per share grow in Q1 2025?
What is FMCB's current loan quality status as of Q1 2025?
How did FMCB's deposits perform in Q1 2025?
What are FMCB's current capital ratios in Q1 2025?
