First Community Corporation Surpasses $1B in Assets Under Management and Sets New Earnings Record in Q2 2025

First Community Corporation (NASDAQ: FCCO) reported Q2 2025 results, including record-breaking assets under management of $1 billion and earnings of $0.68 per share. The expansion into metro Atlanta appears promising for the company.

First Community Corporation (NASDAQ: FCCO) has released its Q2 2025 quarterly results, showcasing a significant milestone with assets under management crossing the $1 billion mark for the first time. The company's earnings of $0.68 per share were also in record territory, surpassing expectations by $0.12 or 21.4%. This performance builds on the stock's strong 12-month performance, with a 23% increase when dividends are included [1].

In addition to its robust financial performance, First Community Corporation has announced a strategic acquisition to expand its geographic footprint. The company is acquiring Signature Bank of Georgia (OTCPK: SGBG) in an all-stock transaction valued at $41.6 million. This deal is expected to be accretive to the company's earnings per share by about 4.4% next year [1]. The expansion into the Metro Atlanta area is a significant push westward for First Community, which currently operates primarily within the state borders of South Carolina.

First Community Corporation's financial health is evident in its steady improvements across various segments. The company's total assets have grown to $2.05 billion, with a 4.5% increase from the end of 2024. The acquisition of Signature Bank is expected to bring this total up to around $2.3 billion. Total deposits for the company currently stand at $1.75 billion, with an impressive $476 million being non-interest-bearing. Loans held for investment have a value of $1.26 billion [1].

The company's loan portfolio is diversified, with commercial real estate taking up the largest share at $818.7 million or 65.0%. Construction real estate follows at $156 million or 12.4%, and residential mortgages at $128.8 million. First Community Corporation's net interest margin (NIM) improved to 3.16% in Q2 2025, up by 31 basis points from the same period last year [1].

First Community Corporation's Q2 2025 results also highlight its strong local economy in South Carolina. The state's real GDP grew at an annualized rate of 1.7% in Q1 2025, higher than any other state in the US. Additionally, South Carolina ranked fourth in the country in personal income growth at an annualized rate of 9.1% during the first three months of this year [1].

The company's stock is currently trading at 10.4 times its current earnings, which is a relatively attractive valuation given its strong performance. First Community Corporation's peer analysis shows that it is above average in several metrics, including price-to-earnings ratio, revenue growth, and return on assets and equity [1].

However, there are risks to consider. First Community Corporation has an elevated exposure to commercial mortgages, which could be impacted by an impending crisis in the commercial lending sector. The company's branches are primarily located within South Carolina, making it vulnerable to adverse political or economic events in the state. The upcoming merger with Signature Bank of Georgia may also face challenges in terms of cultural integration and IT system integration [1].

In conclusion, First Community Corporation's Q2 2025 results demonstrate strong financial performance and a promising expansion into the Metro Atlanta area. While there are risks to consider, the company's fundamentals and growth prospects make it an attractive investment opportunity for investors and financial professionals.

References:
[1] https://seekingalpha.com/article/4815964-expansion-into-metro-atlanta-looks-promising-for-first-community-corporation