MetroCity Bankshares (MCBS) Q2 2025 earnings summary

Executive summary

• Net income for Q2 2025 was $16.8 million ($0.66 basic/$0.65 diluted per share), down 0.7% year-over-year but up 3.2% sequentially; six-month net income rose 4.9% to $33.1 million.

• Total assets at June 30, 2025 were $3.62 billion; total loans were $3.12 billion.

• Return on average assets for Q2 2025 was 1.87%; return on average equity was 15.74%.

• Efficiency ratio improved to 37.2% in Q2 2025 from 38.3% in Q1 2025.

• Pending acquisition of First IC Corporation, expected to close early Q4 2025, will increase pro forma assets to $4.8 billion.

Financial highlights

• Net interest margin for Q2 2025 was 3.77%, up from 3.66% a year ago and 3.67% in Q1 2025.

• Net interest income for Q2 2025 was $32.2 million; interest income was $54.0 million and interest expense was $21.9 million.

• Noninterest income for Q2 2025 was $5.7 million, up 3.1% year-over-year and 5.1% sequentially.

• Noninterest expense for Q2 2025 was $14.1 million, up 8.3% year-over-year and 2.3% sequentially, including $333,000 in merger-related costs.

• Provision for credit losses was $129,000 in Q2 2025, compared to a credit of $128,000 in Q2 2024.

Outlook and guidance

• Management expects the First IC merger to close in early Q4 2025, with pro forma assets of $4.8 billion.

• Interest rate derivatives are expected to provide a $7.4 million credit to interest expense for the remainder of 2025.

• Forward-looking statements highlight risks from economic conditions, interest rates, and integration of the First IC merger.

• No material changes to risk factors or guidance since the prior annual report.