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Primis Financial Corp. Reports Strong Results for Q1 2026

Primis Financial Corp. (NASDAQ: FRST) and its subsidiary, Primis Bank, have announced their financial performance for the first quarter of 2026, revealing robust profitability metrics despite facing market challenges. The net income available to common shareholders stood at $7.3 million, equating to $0.30 per diluted share. This marks a decrease from the $22.6 million or $0.92 per diluted share reported during the same period last year.

Operating net income for the first quarter was reported at $8.1 million, yielding $0.33 per diluted share, compared to $3.6 million or $0.14 per diluted share in Q1 2025, reflecting a significant year-over-year growth. This increase illustrates strategic improvements and the company's resilience through typically slower financial seasons.

Key Financial Highlights

Profitability and Efficiency Metrics

The results highlight notable year-over-year growth in various financial metrics:

• - Operating Net Income increased by 126% to $8.1 million.
• - Operating Return on Average Assets (ROAA) improved to 0.84%, up from 0.40% last year.
• - Operating Return on Tangible Common Equity (ROTCE) surged to 10.19%, showcasing operational efficiency.
• - Net Interest Income rose by 22% to $32.1 million, and the Net Interest Margin increased to 3.43%, up 28 basis points year-over-year.

Asset and Loan Growth

As of March 31, 2026, total assets reached $4.25 billion, an increase of 15% compared to last year. Gross loans held for investment were up 12%, hitting approximately $3.4 billion. Deposits also demonstrated healthy growth, reaching $3.4 billion, representing an 8% increase from the previous year. The company's effective management and marketing initiatives contributed significantly to raising its retail mortgage volume to $367 million, up 122% from last year.

Dividend Declaration

In line with its commitment to shareholder returns, Primis Financial Corp. declared a quarterly cash dividend of $0.10 per share, reflecting the company's overall financial health. This dividend will be payable on May 22, 2026, to shareholders of record as of May 8, 2026. This marks the 58th consecutive quarterly dividend, underscoring the company's stability and commitment to rewarding its investors.

Future Outlook

Looking forward, Primis is optimistic about sustaining this robust level of profitability throughout 2026. The CEO, Dennis J. Zember, Jr., noted that the company is strategically aligned to maximize outcomes given its enhanced balance sheet and operational leverage. The gradual adoption of artificial intelligence tools across its operations is anticipated to further fuel efficiency improvements and scalability.

The executive team remains committed to driving growth while managing operational costs effectively, positioning Primis Financial Corp. as a competitive player in the financial services sector. The diversified services offered through its full-service branches and digital platforms aim to retain customer engagement and increase market penetration.

In conclusion, the financial results for the first quarter of 2026 reflect Primis Financial Corp.'s sustained growth trajectory and focus on shareholder value. The strategic initiatives in place aim to enhance profitability and provide continued returns in the coming quarters.