Today, First Community Corporation (Nasdaq:  FCCO), the holding company for First Community Bank, reported net income for the fourth quarter and year end of 2022.  Net income for the fourth quarter of 2022 was $4.043 million and diluted earnings per common share were $0.53 compared to $3.919 million and $0.52 in the fourth quarter of 2021 and $3.951 million and $0.52 in the third quarter of 2022, an increase in net income of 3.2% year-over-year and 2.3% on a linked quarter basis.  Pre-tax pre-provision earnings (PTPPE) in the fourth quarter of 2022 were $5.184 million compared to fourth quarter of 2021 PTPPE of $4.912 million and third quarter 2022 PTPPE of $5.050 million, an increase of 5.5% year-over-year and 2.7% on a linked quarter.  Income related to PPP loans, including interest and deferred fees, was $1 thousand in the fourth quarter of 2022 compared to $254 thousand in the fourth quarter of 2021.

For the year ended December 31, 2022, net income was $14.613 million compared to $15.465 million in 2021.  Diluted earnings per common share were $1.92 for 2022 compared to $2.05 in 2021.  For the year ended December 31, 2022 PTPPE were $18.259 million compared to $19.982 million for the year ended December 31, 2021.  It should be noted that total income related to interest and deferred fees on PPP loans for 2022 was $49 thousand compared to $3.340 million for the year of 2021.

Cash Dividend and Capital

The Board of Directors has approved an increased cash dividend for the fourth quarter of 2022 of $0.14 per common share.  This dividend is payable on February 14, 2023 to shareholders of record of the company's common stock as of January 31, 2023.  First Community President and CEO, Mike Crapps commented, "The entire board is pleased that our performance enables the company to increase our cash dividend which has continued uninterrupted for 84 consecutive quarters."

As previously announced, the company's Board of Directors has approved a share repurchase plan that provides for the repurchase of up to 375,000 shares of its common stock, which represents approximately 5% of the company's 7,577,912 shares outstanding on December 31, 2022.  Under the repurchase plan, the company may repurchase shares from time to time.  No shares have been repurchased under this plan.

Each of the regulatory capital ratios for the bank exceed the well capitalized minimum levels currently required by regulatory statute.  At December 31, 2022, the bank's regulatory capital ratios (Leverage, Tier I Risk Based and Total Risk Based) were 8.63%, 13.45%, and 14.49%, respectively.  This compares to the same ratios as of December 31, 2021 of 8.45%, 13.97%, and 15.15%, respectively. As of December 31, 2022, the bank's Common Equity Tier One ratio was 13.45% compared to 13.97% at December 31, 2021.  Further, the company's Tangible Common Equity to Tangible Assets (TCE) ratio was 6.21% as of December 31, 2022 compared to 6.03% at September 30, 2022 and 8.00% as of December 31, 2021.  The TCE ratio, excluding the Accumulated Other Comprehensive Loss (AOCL), increased during the fourth quarter to 8.01% compared to 7.90% as of September 30, 2022 and 7.80% at December 31, 2021.