- MetroCity Bankshares (MCBS, Financial) reported a net income increase of 11.4% year-over-year, reaching $16.3 million in Q1 2025.
- The bank's net interest margin improved to 3.67%, with an impressive efficiency ratio of 38.3%.
- A merger with First IC is set to create a $4.8 billion asset institution, expected to close in Q4 2025.
MetroCity Bankshares (MCBS) has reported strong financial results for the first quarter of 2025, with a net income of $16.3 million, or $0.63 per diluted share, marking an 11.4% increase from the same period in 2024. The net interest margin reached 3.67%, up from 3.24% the previous year, highlighting effective interest rate management.
The bank's efficiency ratio stood at a robust 38.3%, showcasing disciplined cost management in line with top-tier regional banks. MetroCity's annualized return on average assets was 1.85%, while return on average equity was 15.67%, both indicating healthy profitability metrics.
Significantly, MetroCity has announced a merger with First IC, anticipated to finalize in Q4 2025. This strategic transaction is expected to form an entity with approximately $4.8 billion in total assets, $3.7 billion in deposits, and $4.1 billion in loans, enhancing MetroCity's competitive positioning through increased scale.
The loan portfolio experienced targeted growth in commercial real estate, which increased by $30.1 million, reaching a total of $792.1 million. However, total loans held for investment saw a modest decrease of $26.6 million to $3.13 billion.
With total deposits stable at $2.74 billion, MetroCity's uninsured deposits accounted for 24.3% of the total, reflecting a comfortable liquidity position supported by significant borrowing capacity of $1.26 billion from various financial sources.
