First Carolina Financial Services (FCBM) Registration filing summary

Company overview and business model

• Operates as a diversified financial services company with commercial banking, payments, consumer banking, and wealth management lines, serving over 650,000 deposit accounts as of March 31, 2026.

• Focuses on relationship-driven service, technology-forward platforms, and data-driven marketing and risk management.

• Acquired BM Technologies in 2025, expanding its national payments and digital banking presence, especially in higher education disbursements.

• Commercial banking is concentrated in the Southeast, with a strong presence in North Carolina, Georgia, South Carolina, and Virginia.

• Payments business serves over 750 higher education campuses in 46 states, holding a 73% market share in its sector.

Financial performance and metrics

• As of March 31, 2026: total assets $3.4B, total loans $2.7B, total deposits $3.0B, shareholders' equity $353.4M.

• Net income for Q1 2026 was $5.9M, up from $4.7M in Q1 2025; net interest income for Q1 2026 was $25.5M.

• 2025 net income was $12.2M, down from $20.9M in 2024, reflecting increased provision for credit losses and BM Tech integration costs.

• Return on average assets (ROAA) was 0.70% for Q1 2026; net interest margin was 3.25%.

• Nonperforming loans to total loans at 0.83% as of March 31, 2026; allowance for credit losses at 0.79% of total loans.

Use of proceeds and capital allocation

• IPO expected to raise approximately $73.6M (or $85.1M if underwriters' option exercised), net of expenses, at an assumed price of $15.00 per share.

• Proceeds will be used for general corporate purposes, including organic growth, potential acquisitions, refinancing debt, and working capital.

• Management has broad discretion over capital allocation.