$FNLC

FIRST NATIONAL LINCOLN CORP /ME/

CIK:0000765207|SEC Filings

Consolidated Statements of Income and Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Interest income
Interest and fees on loans (includes YTD tax-exempt income of $1,237,000 for June 30, 2026 and $1,388,000 for June 30, 2025)	$ 35,354	$ 35,014	$ 70,079	$ 68,938
Interest on deposits with other banks	38	51	68	107
Interest and dividends on investments (includes YTD tax-exempt income of $3,793,000 for June 30, 2026 and $3,913,000 for June 30, 2025)	4,447	4,760	8,831	9,489
Total interest income	39,839	39,825	78,978	78,534
Interest expense
Interest on deposits	16,884	19,725	33,586	38,994
Interest on borrowed funds	1,793	1,691	3,541	3,332
Total interest expense	18,677	21,416	37,127	42,326
Net interest income	21,162	18,409	41,851	36,208
Credit loss expense - loans	919	348	1,569	744
Credit loss (reduction) expense - debt securities HTM	(1)	1	(2)	2
Credit loss (reduction) expense - off-balance sheet credit exposures	17	137	(12)	132
Total credit loss expense	935	486	1,555	878
Net interest income after provision for credit losses	20,227	17,923	40,296	35,330
Non-interest income
Net gain on sale or call of securities	0	0	12	0
Other operating income	958	747	1,975	1,536
Total non-interest income	4,661	4,129	9,112	8,131
Non-interest expense
Salaries and employee benefits	7,120	6,276	14,450	13,126
Occupancy expense	836	876	1,792	1,753
Furniture and equipment expense	1,454	1,438	2,997	2,900
FDIC insurance premiums	604	701	1,174	1,395
Amortization of identified intangibles	6	6	13	13
Other operating expense	3,357	2,902	6,567	5,856
Total non-interest expense	13,377	12,199	26,993	25,043
Income before income taxes	11,511	9,853	22,415	18,418
Income tax expense	1,951	1,790	3,862	3,278
NET INCOME	$ 9,560	$ 8,063	$ 18,553	$ 15,140
Basic earnings per common share (usd per share)	$ 0.86	$ 0.73	$ 1.67	$ 1.37
Diluted earnings per common share (usd per share)	$ 0.85	$ 0.72	$ 1.65	$ 1.35
Other comprehensive income (loss) net of tax
Net unrealized (loss) gain on securities available for sale, net of taxes	$ 346	$ 1,465	$ (1,103)	$ 5,434
Net unrealized gain (loss) on transferred securities, net of taxes	3	(15)	6	(13)
Net unrealized (loss) gain on hedging derivative instruments	0	2	0	(73)
Other comprehensive (loss) gain	349	1,452	(1,097)	5,348
Comprehensive income	9,909	9,515	17,456	20,488
Investment management and fiduciary income
Non-interest income
Non-interest income	1,548	1,336	3,034	2,653
Service charges on deposit accounts
Non-interest income
Non-interest income	585	539	1,145	1,070
Mortgage origination and servicing income, net of amortization
Non-interest income
Non-interest income	195	221	371	416
Debit card income
Non-interest income
Non-interest income	$ 1,375	$ 1,286	$ 2,575	$ 2,456

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities
Net income	$ 18,553	$ 15,140
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation	1,086	1,090
Change in deferred taxes	508	178
Credit loss expense	1,555	878
Loans originated for resale	(3,004)	(5,198)
Proceeds from sales and transfers of loans	2,883	5,312
Net gain on sales of loans	(69)	(114)
Net gain on sale or call of securities	(12)	0
Net amortization of premiums on investments	240	281
Net gain on sale of other real estate owned	0	(33)
Equity compensation expense	612	510
Net increase in other assets and accrued interest	(11,897)	(8,279)
Net decrease in other liabilities	(1,642)	(847)
Net loss (gain) on disposal of premises and equipment	1	(10)
Amortization of investment in limited partnership	977	626
Net acquisition amortization	13	13
Net cash provided by operating activities	9,804	9,547
Cash flows from investing activities
Decrease in interest-bearing deposits in other banks	1,409	18,847
Proceeds from sales of securities available for sale	1,410	0
Proceeds from maturities, payments and calls of securities available for sale	19,317	17,151
Proceeds from maturities, payments, calls and sales of securities to be held to maturity	5,909	2,549
Proceeds from sales of other real estate owned	0	206
Purchases of securities available for sale	(33,866)	(14,109)
Purchases of securities to be held to maturity	(2,000)	(750)
Change in restricted equity securities	(462)	(531)
Net increase in loans	(31,981)	(53,853)
Capital expenditures	(715)	(1,487)
Proceeds from disposal of premises and equipment	0	43
Net cash used by investing activities	(40,979)	(31,934)
Cash flows from financing activities
Net decrease in demand, savings, and money market accounts	(87,316)	(83,956)
Net increase in certificates of deposit	102,342	64,042
Net increase in short-term borrowings	51,248	49,892
Repayment on long-term borrowings	(25,000)	0
Payment to repurchase common stock	(299)	(275)
Proceeds from sale of common stock	504	453
Dividends paid	(8,324)	(8,045)
Net cash provided by financing activities	33,155	22,111
Net increase (decrease) in cash and cash equivalents	1,980	(276)
Cash and cash equivalents at beginning of period	27,779	27,636
Cash and cash equivalents at end of period	29,759	27,360
Interest paid	36,867	42,250
Income taxes paid	2,720	2,060
Non-cash transactions
Change in net unrealized loss on available for sale securities, net of tax	$ 1,103	$ (5,434)

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025	Jun. 30, 2025
Assets
Cash and cash equivalents	$ 29,759	$ 27,779	$ 27,360
Interest bearing deposits in other banks	2,715	4,124	3,253
Securities available for sale	276,032	264,480	278,248
Securities held-to-maturity (net of ACL), fair value of $311,221,000 at June 30, 2026, $315,482,000 at December 31, 2025 and $312,508,000 at June 30, 2025	351,991	355,928	367,873
Restricted equity securities, at cost	8,737	8,275	7,734
Loans held for sale	190	0	0
Loans	2,423,711	2,394,109	2,394,007
Less allowance for credit losses	24,555	25,365	24,829
Net loans	2,399,156	2,368,744	2,369,178
Accrued interest receivable	20,106	14,185	19,386
Premises and equipment, net	28,351	28,767	28,198
Goodwill	30,646	30,646	30,646
Other assets	68,414	63,375	67,634
Total assets	3,216,097	3,166,303	3,199,510
Liabilities
Demand deposits	282,691	279,912	291,150
NOW deposits	645,223	689,083	590,536
Money market deposits	422,077	469,689	388,214
Savings deposits	250,182	248,805	256,584
Certificates of deposit	1,079,605	977,263	1,178,853
Total deposits	2,679,778	2,664,752	2,705,337
Borrowed funds – short term	178,569	92,321	101,170
Borrowed funds – long term	35,500	95,500	95,000
Other liabilities	29,290	30,587	32,511
Total liabilities	2,923,137	2,883,160	2,934,018
Shareholders' equity
Common stock, one cent par value per share	113	112	112
Additional paid-in capital	74,829	73,714	72,795
Retained earnings	250,254	240,456	229,511
Accumulated other comprehensive income (loss)
Net unrealized loss on securities available-for-sale	(32,444)	(31,341)	(37,237)
Net unrealized loss on securities transferred from available-for-sale to held-to-maturity	(32)	(38)	(60)
Net unrealized gain on cash flow hedging derivative instruments	0	0	84
Net unrealized gain on postretirement costs	240	240	287
Total shareholders' equity	292,960	283,143	265,492
Total liabilities & shareholders' equity	$ 3,216,097	$ 3,166,303	$ 3,199,510
Common Stock
Number of shares authorized (in shares)	18,000,000	18,000,000	18,000,000
Number of shares issued (in shares)	11,278,777	11,222,363	11,205,861
Number of shares outstanding (in shares)	11,278,777	11,222,363	11,205,861
Book value per common share (usd per share)	$ 25.97	$ 25.23	$ 23.69
Tangible book value per common share (usd per share)	$ 23.25	$ 22.49	$ 20.94