ATLANTA, April 24, 2026 /PRNewswire/ -- MetroCity Bankshares, Inc. ("MetroCity" or the "Company") (NASDAQ:MCBS), holding company for Metro City Bank (the "Bank"), today reported net income of $22.3 million, or $0.77 per diluted share, for the first quarter of 2026, compared to $18.3 million, or $0.68 per diluted share, for the fourth quarter of 2025, and $16.3 million, or $0.63 per diluted share, for the first quarter of 2025.

First Quarter 2026 Highlights:

Annualized return on average assets was 1.96% compared to 1.80% for the fourth quarter of 2025 and 1.85% for the first quarter of 2025.
Annualized return on average equity was 18.28%, compared to 15.45% for the fourth quarter of 2025 and 15.67% for the first quarter of 2025. Adjusted return on average shareholder's equity¹, which excluded average accumulated other comprehensive income and merger-related expenses was 19.36% for the first quarter of 2026, compared to 17.83% for the fourth quarter of 2025, and 16.37% for the first quarter of 2025.
Efficiency ratio was 42.16%, compared to 46.71% for the fourth quarter of 2025 and 38.32% for the first quarter of 2025. Operating efficiency ratio¹ was 38.87%, compared to 38.49% for the fourth quarter of 2025 and 37.59% for the first quarter of 2025
Net interest margin was 4.08%, compared to 3.73% for the fourth quarter of 2025 and 3.67% for the first quarter of 2025.

________________________

¹ Non-GAAP measure, see "Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and for a reconciliation to GAAP.

Results of Operations

Net Income

Net income was $22.3 million for the first quarter of 2026, an increase of $4.0 million, or 21.9%, from $18.3 million for the fourth quarter of 2025. This increase was primarily due to an increase in interest income of $10.7 million, offset by an increase in interest expense of $2.2 million, a decrease of $1.5 million noninterest income, an increase in noninterest expenses of $1.0 million and an increase in income tax expense of $2.9 million. Net income increased by $6.0 million, or 36.9%, in the first quarter of 2026 compared to net income of $16.3 million for the first quarter of 2025. This increase was primarily due to an increase in interest income of $18.5 million, an increase in noninterest income of $901,000, offset by an increase in interest expense of $4.5 million, increase in noninterest expenses of $7.6 million, and an increase in income tax expense of $2.1 million.

Net Interest Income and Net Interest Margin

Interest income totaled $71.0 million for the first quarter of 2026, an increase of $10.7 million or 17.8%, from the previous quarter, primarily due to a $495.0 million increase in the average gross loans, $109.0 million for total average investments balance and a 32 basis point increase in loans yield. As compared to the first quarter of 2025, interest income for the first quarter of 2026 increased by $18.5 million, or 35.2%, primarily due to an increase in average balance of gross loans of $856.2 million, and an increase in average balance of investments of $188.0 million, and a 34 basis points increase in the loan yield.

Interest expense totaled $26.5 million for the first quarter of 2026, an increase of $2.2 million, or 8.9%, from the previous quarter, primarily due to a $448.3 million increase in average interest-bearing deposits offset by a $17.6 million decrease in average borrowings and 10 basis point decrease in interest-bearing deposit costs. As compared to the first quarter of 2025, interest expense for the first quarter of 2026 increased by $4.5 million, or 20.7%, primarily due to a $695.3 million increase in average interest-bearing deposits balances and $46.3 million increase in average borrowing balances offset by a 24 basis point decrease in interest-bearing deposit costs and four basis point decrease in borrowing costs. The Company currently has interest rate derivative agreements totaling $625.0 million that are designated as cash flow hedges of our deposit accounts indexed to the Effective Federal Funds Rate (3.64% as of March 31, 2026). The weighted average pay rate for these interest rate derivatives is 2.78%. During the first quarter of 2026, we recorded a credit to interest expense of $2.3 million from the benefit received on these interest rate derivatives compared to a benefit of $2.9 million and $4.3 million recorded during the fourth quarter of 2025 and the first quarter of 2025, respectively.

The net interest margin for the first quarter of 2026 was 4.08% compared to 3.73% for the previous quarter, an increase of 35 basis points. The yield on average interest-earning assets for the first quarter of 2026 increased by 25 basis points to 6.51% from 6.26% for the previous quarter, while the cost of average interest-bearing liabilities for the first quarter of 2026 decreased by 11 basis points to 3.25% from 3.36% for the previous quarter. Average earning assets increased by $604.0 million from the previous quarter, due to an increase in average loan balances of $495.0 million, and an increase of $109.0 million in average total investments. Average interest-bearing liabilities increased by $430.8 million from the previous quarter as average interest-bearing deposits increased by $448.3 million offset by average borrowings decreased of $17.6 million.

As compared to the same period in 2025, the net interest margin for the first quarter of 2026 increased by 41 basis points to 4.08% from 3.67%, primarily due to a 20 basis points increase in the yield on average interest-earning assets of $4.4 billion and a 23 basis points decrease in the cost of average interest-bearing liabilities of $3.3 billion. Average earning assets for the first quarter of 2026 increased by $1.0 billion from the first quarter of 2025, due to a $188.0 million increase in average total investments and a $856.2 million increase in average loans. Average interest-bearing liabilities for the first quarter of 2026 increased by $741.6 million from the first quarter of 2025, driven by the increase in average interest-bearing deposits of $695.3 million, and $46.3 increase in average borrowings.

Noninterest Income

Noninterest income for the first quarter of 2026 was $6.4 million, a decrease of $1.5 million, or 18.7%, from the fourth quarter of 2025, primarily due to lower gains on sale from our residential mortgage loans, lower servicing income from our residential mortgage loans and other service changes, commission and fees, and other income from unrealized gains recognized by our equity securities, offset by higher gains on sale and servicing income from our Small Business Administration ("SBA") loans. SBA loan sales totaled $19.7 million (sales premium of 7.68%) during the first quarter of 2026 compared to $9.7 million (sales premium of 7.13%) during the fourth quarter of 2025. Mortgage loan originations totaled $101.9 million during the first quarter of 2026 compared to $111.7 million during the fourth quarter of 2025. There were no mortgage loan sales during the first quarter of 2026. Mortgage loans sales totaled $197.6 million (average sales premium 1.15%) during the fourth quarter of 2025. During the first quarter of 2026, we recorded a $666,000 fair value impairment recovery on our SBA servicing asset compared to a fair value adjustment charge of $238,000 during the fourth quarter of 2025. We also recorded no fair value impairment charge on our mortgage servicing asset during the first quarter of 2026 compared to a $16,000 fair value impairment recovery recorded during the fourth quarter of 2025.

Compared to the first quarter of 2025, noninterest income for the first quarter of 2026 increased by $901,000, or 16.5%, primarily due to higher gains on sale and servicing income from our SBA loans and service charges on deposits accounts, offset by decreases in gains on sale and servicing income from our residential mortgage loans. During the first quarter of 2025, we recorded a $104,000 fair value adjustment charge on our SBA servicing assets.

Noninterest Expense

Noninterest expense for the first quarter of 2026 totaled $21.4 million, an increase of $1.0 million, or 4.9%, from $20.4 million for the fourth quarter of 2025. This increase was primarily attributable to increases in salaries and employee benefits, occupancy and equipment and other expenses, partially offset by decrease in merger-related expenses.

Compared to the first quarter of 2025, noninterest expense during the first quarter of 2026 increased by $7.6 million, or 55.4%, primarily due to higher salaries and employee benefits, occupancy and equipment expense, data processing expense, security expense, loan expense, core deposit amortization expense and merger-related expenses.

The Company's efficiency ratio was 42.2% for the first quarter of 2026 compared to 46.7% and 38.3% for the fourth quarter of 2025 and first quarter of 2025, respectively.

Income Tax Expense

The Company's effective tax rate for the first quarter of 2026 was 26.2%, compared to 21.6% for the fourth quarter of 2025 and 26.2% for the first quarter of 2025. The effective tax rate was higher during the first quarter of 2026 due to a tax provision to tax return adjustment recorded for our 2023 state tax returns filed during the fourth quarter of 2025.

Balance Sheet

Total assets were $4.7 billion at March 31, 2026, a decrease of $80.0 million, or 1.7%, from $4.8 billion at December 31, 2025, and an increase of $1.03 billion or 28.1%, from $3.7 billion at March 31, 2025. The $80.0 million decrease in total assets at March 31, 2026 compared to December 31, 2025 was primarily due to decreases of $20.6 million in securities, $50.3 million in loans, $9.7 million in loans held for sale, and $4.1 million in Federal Home Loan Bank stock offset by an increase in cash and cash equivalents of $3.9 million. The $1.03 billion increase in total assets at March 31, 2026 compared to March 31, 2025 was primarily due to increases in loans of $868.6 million, cash and cash equivalents of $102.5 million, goodwill and core deposit intangible of $68.4 million, securities of $11.2 million, operating lease right-of-use asset of $6.5 million, servicing asset of $4.1 million, and other assets of $3.9 million partially offset by decreases in loans held for sale of $34.5 million and interest rate derivatives of $12.2 million.

Our investment securities portfolio made up only 0.96% of our total assets at March 31, 2026, compared to 1.38% and 0.93% at December 31, 2025 and March 31, 2025, respectively.

Loans

Loans held for investment were $4.00 billion March 31, 2026, a decrease of $50.3 million, or 1.2%, compared to $4.05 billion at December 31, 2025, and an increase of $868.6 million, or 27.7%, compared to $3.13 billion at March 31, 2025. The decrease in loans at March 31, 2026 compared to December 31, 2025 was due to a $68.0 million decrease in commercial real estate loans and a $4.5 million decrease in commercial and industrial loans, offset by a $14.1 million increase in commercial real estate loans and a $10.7 million increase in construction and development loans. There were no loans classified as held for sale at March 31, 2026. Loans classified as held for sale totaled $9.8 million and $34.5 million at December 31, 2025 and March 31, 2025, respectively.

Deposits were $3.63 billion at March 31, 2026, a decrease of $19.3 million, compared to total deposits of $3.65 billion at December 31, 2025, and an increase of $889.6 million, or 32.5%, compared to total deposits of $2.74 billion at March 31, 2025. The decrease in total deposits at March 31, 2026 compared to December 31, 2025 was due to a $27.4 million decrease in interest-bearing demand deposits, a $66.1 million decrease in time deposits, offset by a $1.1 million increase in savings accounts, $54.7 million increase in money market accounts and a $18.4 million increase in noninterest-bearing demand deposits.

Noninterest-bearing deposits were $799.2 million at March 31, 2026, compared to $780.8 million at December 31, 2025 and $540.0 million at March 31, 2025. Noninterest-bearing deposits constituted 22.0% of total deposits at March 31, 2026, compared to 21.4% at December 31, 2025 and 19.7% at March 31, 2025. Interest-bearing deposits were $2.83 billion at March 31, 2026, compared to $2.87 billion at December 31, 2025 and $2.20 billion at March 31, 2025. Interest-bearing deposits constituted 78.0% of total deposits at March 31, 2026, compared to 78.6% at December 31, 2025 and 80.3% at March 31, 2025.

Uninsured deposits were 31.9% of total deposits at March 31, 2026, compared to 29.6% and 24.3% at December 31, 2025 and March 31, 2025, respectively. As of March 31, 2026, we had $1.69 billion available borrowing capacity at the Federal Home Loan Bank ($989.1 million), Federal Reserve Discount Window ($629.8 million) and various other financial institutions (fed fund lines totaling $67.5 million).

Asset Quality

The Company recorded a recovery for credit losses of $813,000 during the first quarter of 2026, compared to a recovery for credit losses of $39,000 during the fourth quarter of 2025 and a provision for credit losses of $135,000 during the first quarter of 2025. The credit provision expense recorded during the first quarter of 2026 was primarily due to the decrease in reserves mainly due to decrease in loan balances and reserves on individually analyzed loans. Annualized net charge-offs to average loans for the first quarter of 2026 was 0.03%, compared to net recovery of 0.00% for the fourth quarter of 2025 and 0.02% for the first quarter of 2025.

Nonperforming assets totaled $17.2 million, or 0.37% of total assets, at March 31, 2026, a decrease of $8.9 million from $26.1 million, (includes $7.5 million acquired from First IC Corporation ("First IC") after our acquisition of First IC, the parent company of First IC Bank) or 0.55% of total assets, at December 31, 2025, and a decrease of $1.3 million from $18.5 million, or 0.51% of total assets, at March 31, 2025. The decrease in nonperforming assets at March 31, 2026 compared to December 31, 2025 was due to a $9.8 million decrease in nonaccrual loans offset by a $939,000 increase in other real estate owned.

Allowance for credit losses as a percentage of total loans was 0.66% at March 31, 2026, compared to 0.68% at December 31, 2025 and 0.59% at March 31, 2025. Allowance for credit losses as a percentage of nonperforming loans was 166.15% at March 31, 2026, compared to 107.48% and 110.52% at December 31, 2025 and March 31, 2025, respectively.

About MetroCity Bankshares, Inc.

MetroCity Bankshares, Inc. is a Georgia corporation and a registered bank holding company for its wholly-owned banking subsidiary, Metro City Bank, which is headquartered in the Atlanta, Georgia metropolitan area. Founded in 2006, Metro City Bank currently operates 30 full-service branch locations and two loan production offices in multi-ethnic communities in Alabama, California, Florida, Georgia, New York, New Jersey, Texas and Virginia. To learn more about Metro City Bank, visit www.metrocitybank.bank.

Forward-Looking Statements

Statements in this press release regarding future events and our expectations and beliefs about our future financial performance and financial condition, as well as trends in our business and markets, constitute "forward-looking statements" within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical in nature and may be identified by references to a future period or periods by the use of the words "believe," "expect," "anticipate," "intend," "plan," "estimate," "project," "outlook," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." The forward-looking statements in this press release should not be relied on because they are based on current information and on assumptions that we make about future events and circumstances that are subject to a number of known and unknown risks and uncertainties that are often difficult to predict and beyond our control. As a result of those risks and uncertainties, and other factors, our actual financial results in the future could differ, possibly materially, from those expressed in or implied by the forward-looking statements contained in this press release and could cause us to make changes to our future plans. Factors that might cause such differences include, but are not limited to: the impact of current and future economic conditions, particularly those affecting the financial services industry, including the effects of declines in the real estate market, tariffs or trade wars (including reduced consumer spending, lower economic growth or recession, reduced demand for U.S. exports, disruptions to supply chains, and decreased demand for other banking products and services), high unemployment rates, inflationary pressures, increasing insurance costs, changes in interest rates, including changes to the federal funds rate, which could have an adverse effect on the Company's profitability; impact of changes in interest rates on our financial projections, models and guidance and slowdowns in economic growth, as well as the financial stress on borrowers as a result of the foregoing; uncertain duration of trade conflicts; magnitude of the impact that the proposed tariffs may have on our customers' businesses; potential impacts of adverse developments in the banking industry, including impacts on customer confidence, deposits, liquidity and the regulatory response thereto; risks arising from negative media coverage of the banking industry; risks arising from perceived instability in the banking sector; changes in prices, values and sales volumes of residential and commercial real estate; developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; competition in our markets that may result in increased funding costs or reduced earning assets yields, thus reducing margins and net interest income; legislation or regulatory changes which could adversely affect the ability of the consolidated Company to conduct business combinations or new operations; changes in tax laws; significant turbulence or a disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities; risks associated with the recent merger of First IC with the Company (the "Merger"), including the risk that the cost savings and any revenue synergies may not be realized or take longer than anticipated to be realized as well as disruption with customers, suppliers, employee or other business partners relationships; the risk of successful integration of First IC's business into the Company; the reaction of each of the Company's and First IC's customers, suppliers, employees or other business partners to the Merger; the risk that the integration of First IC's operations into the operations of the Company will be materially delayed or will be more costly or difficult than expected; the timing and achievement of expected cost reductions following the Merger; the timing and achievement of the recovery of the reduction of tangible book value resulting from the Merger; general competitive, economic, political, and market conditions; the ability to keep pace with technological changes, including changes regarding maintaining cybersecurity and the impact of generative artificial intelligence; increased competition in the financial services industry, particularly from regional and national institutions, as well as fintech companies and other non‑bank financial service providers offering digital, automated or alternative financial products and services; the impact of a failure in, or breach of, the Company's operational or security systems or infrastructure, or those of third parties with whom the Company does business, including as a result of cyber-attacks or an increase in the incidence or severity of fraud, illegal payments, security breaches or other illegal acts impacting the Company or the Company's customers; the effects of war or other conflicts, including the ongoing conflicts in the Middle East; major political shifts domestically or internationally (including the potential for retaliatory actions by governments, market participants or clients based on diverging perspectives or otherwise and, separately, the recent shutdown of the U.S. federal government; and adverse results from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of the Company's participation in and execution of government programs, those related to credit card interest rates, and legislative, regulatory or supervisory actions related to so‑called "de‑banking," including any new prohibitions, requirements or enforcement priorities that could affect customer relationships, compliance obligations, or operational practices. Therefore, the Company can give no assurance that the results contemplated in the forward-looking statements will be realized. Additional information regarding these and other risks and uncertainties to which our business and future financial performance are subject is contained in the sections titled "Cautionary Note Regarding Forward-Looking Statements" and "Risk Factors" in the Company's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q on file with the U.S. Securities and Exchange Commission (the "SEC"), and in other documents that we file with the SEC from time to time, which are available on the SEC's website, http://www.sec.gov. In addition, our actual financial results in the future may differ from those currently expected due to additional risks and uncertainties of which we are not currently aware or which we do not currently view as, but in the future may become, material to our business or operating results. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release or to make predictions based solely on historical financial performance. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. All forward-looking statements, express or implied, included in this press release are qualified in their entirety by this cautionary statement.

Contacts

Farid Tan

President and Interim Chief Financial Officer

770-455-4978

faridtan@metrocitybank.bank

Explanation of Certain Unaudited Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles ("GAAP"). The measures entitled adjusted return on average shareholder's equity and tangible book value per share are not measures recognized under GAAP and therefore are considered non-GAAP financial measures. The most comparable GAAP measures are return on average shareholder's equity and book value per share, respectively. Adjusted return on average shareholder's equity excludes average accumulated other comprehensive income and merger-related expenses. Tangible book value per share excludes goodwill and core deposit intangibles.

Management uses these non-GAAP financial measures in its analysis of the Company's performance and believes these presentations provide useful supplemental information, and a clearer understanding of the Company's performance, and if not provided would be requested by the investor community. The Company believes the non-GAAP measures enhance investors' understanding of the Company's business and performance. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. The limitations associated with operating measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might calculate these measures differently.

These disclosures should not be considered an alternative to GAAP. The computations of adjusted return on average shareholder's equity and tangible book value per share and the reconciliation of these measures to return on average shareholder's equity and book value per share are set forth in the table below.

METROCITY BANKSHARES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (UNAUDITED)
	As of or For the Three Months Ended
(Dollars in thousands)	March 31, 2026			December 31, 2025			September 30, 2025			June 30, 2025			March 31, 2025
Return on average shareholder's equity reconciliation
Average shareholder's equity (GAAP)	$	494,937		$	470,299		$	436,619		$	428,644		$	421,679
Less: average accumulated other comprehensive income		(1,679)			(3,593)			(5,552)			(8,737)			(13,089)
Adjusted average shareholder's equity (non-GAAP)	$	493,258		$	466,706		$	431,067		$	419,907		$	408,590

Net income (GAAP)	$	22,314		$	18,139		$	17,270		$	16,826		$	16,297
Add: First IC-merger related expenses (net of tax effect)		1,238			2,831			222			246			194
Adjusted net income (non-GAAP)	$	23,552		$	20,970		$	17,492		$	17,072		$	16,491

Return on average shareholder's equity (GAAP)		18.28	%		15.30	%		15.69	%		15.74	%		15.67	%
Adjusted return on average shareholder's equity (non-GAAP)		19.36	%		17.83	%		16.10	%		16.31	%		16.37	%

Tangible book value per share reconciliation
Total shareholder's equity (GAAP)	$	554,156		$	544,184		$	445,888		$	436,100		$	427,969
Less: goodwill and core deposit intangible		(68,357)			(68,675)			—			—			—
Adjusted total shareholder's equity (non-GAAP)	$	485,799		$	475,509		$	445,888		$	436,100		$	427,969

Shares of common stock outstanding		28,660,042			28,817,967			25,537,746			25,537,746			25,402,782

Book value per share (GAAP)		19.34	%		18.88	%		17.46	%		17.08	%		16.85	%
Tangible book value per share (non-GAAP)		16.95	%		16.50	%		17.46	%		17.08	%		16.85	%

Noninterest expense reconciliation
Noninterest expense (GAAP)	$	21,438		$	20,434		$	14,674		$	14,113		$	13,799
First IC-merger related expenses		(1,676)			(3,833)			(301)			(333)			(262)
Adjusted noninterest expense (non-GAAP)	$	19,762		$	16,601		$	14,373		$	13,780		$	13,537

METROCITY BANKSHARES, INC. SELECTED FINANCIAL DATA

	As of and for the Three Months Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands, except per share data)	2026			2025			2025			2025			2025
Selected income statement data:
Interest income	$	70,990		$	60,257		$	54,003		$	54,049		$	52,519
Interest expense		26,503			24,332			22,211			21,871			21,965
Net interest income		44,487			35,925			31,792			32,178			30,554
Provision for credit losses		(813)			(39)			(543)			129			135
Noninterest income		6,357			7,817			6,178			5,733			5,456
Noninterest expense		21,438			20,434			14,674			14,113			13,799
Income tax expense		7,905			5,035			6,569			6,843			5,779
Net income		22,314			18,312			17,270			16,826			16,297
Per share data:
Basic income per share	$	0.78		$	0.69		$	0.68		$	0.66		$	0.64
Diluted income per share	$	0.77		$	0.68		$	0.67		$	0.65		$	0.63
Dividends per share	$	0.29		$	0.25		$	0.25		$	0.23		$	0.23
Book value per share (at period end)	$	19.34		$	18.89		$	17.46		$	17.08		$	16.85
Tangible book value per share (at period end)⁽¹⁾	$	16.95		$	16.50		$	17.46		$	17.08		$	16.85
Shares of common stock outstanding		28,660,042			28,817,967			25,537,746			25,537,746			25,402,782
Weighted average diluted shares		29,051,061			26,806,181			25,811,422			25,715,206			25,707,989
Performance ratios:
Return on average assets		1.96	%		1.80	%		1.89	%		1.87	%		1.85	%
Return on average equity		18.28			15.45			15.69			15.74			15.67
Adjusted return on average equity⁽¹⁾		19.36			17.83			16.10			16.31			16.37
Dividend payout ratio		32.49			35.08			37.23			35.01			36.14
Yield on total loans		6.74			6.42			6.37			6.49			6.40
Yield on average earning assets		6.51			6.26			6.24			6.34			6.31
Cost of average interest-bearing liabilities		3.25			3.36			3.42			3.39			3.48
Cost of interest-bearing deposits		3.12			3.22			3.28			3.25			3.36
Net interest margin		4.08			3.73			3.68			3.77			3.67
Efficiency ratio⁽²⁾		42.16			46.71			38.65			37.23			38.32
Efficiency ratio - operating ⁽¹⁾⁽²⁾		38.87			37.95			37.85			36.35			37.59
Asset quality data (at period end):														38
Net charge-offs/(recoveries) to average loans held for investment		0.03	%		(0.00)	%		0.03	%		0.01	%		0.02	%
Nonperforming assets to gross loans held for investment and OREO		0.43			0.64			0.47			0.49			0.59
ACL to nonperforming loans		166.15			107.48			137.66			129.76			110.52
ACL to loans held for investment		0.66			0.68			0.60			0.60			0.59
Balance sheet and capital ratios:
Gross loans held for investment to deposits		111.12	%		111.84	%		110.43	%		116.34	%		114.73	%
Noninterest bearing deposits to deposits		22.04			21.42			20.22			20.41			19.73
Investment securities to assets		0.96			1.38			0.94			0.93			0.93
Common equity to assets		10.52			9.98			12.29			12.06			11.69
Leverage ratio		10.47			10.00			12.21			11.91			11.76
Common equity tier 1 ratio		16.52			15.90			19.93			19.91			19.23
Tier 1 risk-based capital ratio		16.52			15.90			19.93			19.91			19.23
		17.44			16.84			20.74			20.78			20.09
Mortgage and SBA loan data:
Mortgage loans serviced for others	$	496,552		$	702,586		$	538,675		$	559,112		$	537,590
Mortgage loan production		101,948			111,717			168,562			93,156			91,122
Mortgage loan sales		—			197,553			18,248			54,309			40,051
SBA/USDA loans serviced for others		699,028			685,481			460,720			480,867			474,143
SBA loan production		20,816			32,575			17,727			29,337			20,012
SBA loan sales		19,733			9,792			13,415			20,707			16,579

____________________________

⁽¹⁾ Non-GAAP measure, see "Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and for a reconciliation to GAAP.

⁽²⁾ Represents noninterest expense divided by the sum of net interest income plus noninterest income.

METROCITY BANKSHARES, INC. CONSOLIDATED BALANCE SHEETS (UNAUDITED)

	As of the Quarter Ended
	March 31,		December 31,		September 30,		June 30,		March 31,
(Dollars in thousands)	2026		2025		2025		2025		2025
ASSETS
Cash and due from banks	$	373,956	$	370,832	$	213,941	$	273,596	$	272,317
Federal funds sold		13,645		12,844		13,217		12,415		12,738
Cash and cash equivalents		387,601		383,676		227,158		286,011		285,055
Equity securities		18,564		18,646		18,605		18,481		18,440
Securities available for sale (at fair value)		26,616		47,179		15,365		15,030		15,426
Loans held for investment		4,001,114		4,051,397		2,966,859		3,121,534		3,132,535
Allowance for credit losses		(26,700)		(27,843)		(17,940)		(18,748)		(18,592)
Loans less allowance for credit losses		3,974,414		4,023,554		2,948,919		3,102,786		3,113,943
Loans held for sale		—		9,741		231,259		4,988		34,532
Accrued interest receivable		20,299		20,298		16,912		16,528		16,498
Federal Home Loan Bank stock		23,487		27,565		22,693		22,693		22,693
Premises and equipment, net		29,633		29,879		17,836		17,872		18,045
Operating lease right-of-use asset		14,412		15,193		7,712		8,197		7,906
Foreclosed real estate, net		1,147		208		919		744		1,707
SBA servicing asset, net		11,267		10,601		6,988		6,823		7,167
Mortgage servicing asset, net		1,484		1,660		1,662		1,676		1,476
Bank owned life insurance		76,424		75,786		75,148		74,520		73,900
Goodwill		56,048		56,048		—		—		—
Core deposit intangible		12,309		12,627		—		—		—
Interest rate derivatives		4,970		6,343		9,435		12,656		17,166
Other assets		29,672		29,396		28,852		26,683		25,771
Total assets	$	4,688,347	$	4,768,400	$	3,629,463	$	3,615,688	$	3,659,725

LIABILITIES
Noninterest-bearing deposits	$	799,190	$	780,828	$	544,439	$	548,906	$	539,975
Interest-bearing deposits		2,827,484		2,865,173		2,148,645		2,140,587		2,197,055
Total deposits		3,626,674		3,646,001		2,693,084		2,689,493		2,737,030
Federal Home Loan Bank advances		425,000		510,000		425,000		425,000		425,000
Operating lease liability		14,516		15,306		7,704		8,222		7,962
Accrued interest payable		10,200		10,731		3,567		3,438		3,487
Other liabilities		57,801		42,178		54,220		53,435		58,277
Total liabilities	$	4,134,191	$	4,224,216	$	3,183,575	$	3,179,588	$	3,231,756

SHAREHOLDERS' EQUITY
Preferred stock		—		—		—		—		—
Common stock		1,157		1,159		255		255		254
Additional paid-in capital		134,660		138,675		51,151		50,212		49,645
Retained earnings		417,750		402,684		390,971		380,046		369,110
Accumulated other comprehensive income		589		1,666		3,511		5,587		8,960
Total shareholders' equity		554,156		544,184		445,888		436,100		427,969
Total liabilities and shareholders' equity	$	4,688,347	$	4,768,400	$	3,629,463	$	3,615,688	$	3,659,725

METROCITY BANKSHARES, INC. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

	Three Months Ended
	March 31,		December 31,		September 30,		June 30,		March 31,
(Dollars in thousands)	2026		2025		2025		2025		2025
Interest and dividend income:
Loans, including fees	$	67,139	$	57,335	$	50,975	$	50,936	$	50,253
Other investment income		3,730		2,790		2,884		2,970		2,126
Federal funds sold		121		132		144		143		140
Total interest income		70,990		60,257		54,003		54,049		52,519

Interest expense:
Deposits		22,077		19,623		17,799		17,496		17,977
FHLB advances and other borrowings		4,426		4,709		4,412		4,375		3,988
Total interest expense		26,503		24,332		22,211		21,871		21,965

Net interest income		44,487		35,925		31,792		32,178		30,554

Provision (recovery) for credit losses		(813)		(39)		(543)		129		135

Net interest income after provision for loan losses		45,300		35,964		32,335		32,049		30,419

Noninterest income:
Service charges on deposit accounts		848		772		551		505		500
Other service charges, commissions and fees		1,581		1,748		2,376		1,620		1,596
Gain on sale of residential mortgage loans		—		2,808		166		579		399
Mortgage servicing income, net		306		504		516		781		618
Gain on sale of SBA loans		1,045		463		558		643		658
SBA servicing income, net		1,905		800		1,203		642		913
Other income		672		722		808		963		772
Total noninterest income		6,357		7,817		6,178		5,733		5,456

Noninterest expense:
Salaries and employee benefits		11,501		10,674		8,953		8,554		8,493
Occupancy and equipment		2,434		1,581		1,410		1,380		1,417
Data Processing		682		466		394		329		345
Advertising		223		180		161		149		167
Merger-related expenses		1,676		3,833		301		333		262
Other expenses		4,922		3,937		3,455		3,368		3,115
Total noninterest expense		21,438		20,671		14,674		14,113		13,799

Income before provision for income taxes		30,219		23,110		23,839		23,669		22,076
Provision for income taxes		7,905		4,971		6,569		6,843		5,779
Net income available to common shareholders	$	22,314	$	18,139	$	17,270	$	16,826	$	16,297

METROCITY BANKSHARES, INC. QTD AVERAGE BALANCES AND YIELDS/RATES

	Three Months Ended
	March 31, 2026						December 31, 2025						March 31, 2025
	Average		Interest and		Yield /		Average		Interest and		Yield /		Average		Interest and		Yield /
(Dollars in thousands)	Balance		Fees		Rate		Balance		Fees		Rate		Balance		Fees		Rate
Earning Assets:
Federal funds sold and other investments⁽¹⁾	$	318,318	$	2,882	3.67	%	$	221,304	$	2,551	4.57	%	$	159,478	$	2,098	5.34	%
Investment securities		61,169		969	6.42			49,212		371	2.99			32,034		168	2.13
Total investments		379,487		3,851	4.12			270,516		2,922	4.29			191,512		2,266	4.80
Construction and development		43,100		794	7.47			35,440		692	7.75			23,321		480	8.35
Commercial real estate		1,290,296		29,836	9.38			1,062,523		22,717	8.48			779,884		16,157	8.40
Commercial and industrial		86,547		1,572	7.37			79,867		1,731	8.60			72,799		1,588	8.85
Residential real estate		2,619,786		34,922	5.41			2,367,289		32,141	5.39			2,308,071		31,986	5.62
Consumer and other		847		15	7.18			441		54	48.58			276		42	61.71
Gross loans⁽²⁾		4,040,576		67,139	6.74			3,545,560		57,335	6.42			3,184,351		50,253	6.40
Total earning assets		4,420,063		70,990	6.51			3,816,076		60,257	6.26			3,375,863		52,519	6.31
Noninterest-earning assets		202,774						212,002						197,272
Total assets		4,622,837						4,028,078						3,573,135
Interest-bearing liabilities:
NOW and savings deposits		272,645		1,552	2.31			238,695		1,603	2.66			153,739		952	2.51
Money market deposits		1,175,909		7,506	2.59			1,027,611		6,895	2.66			1,010,471		6,321	2.54
Time deposits		1,417,623		13,019	3.72			1,151,537		11,125	3.83			1,006,677		10,704	4.31
Total interest-bearing deposits		2,866,177		22,077	3.12			2,417,843		19,623	3.22			2,170,887		17,977	3.36
Borrowings		436,344		4,426	4.11			453,928		4,709	4.12			390,000		3,988	4.15
Total interest-bearing liabilities		3,302,521		26,503	3.25			2,871,771		24,332	3.36			2,560,887		21,965	3.48
Noninterest-bearing liabilities:
Noninterest-bearing deposits		774,905						614,242						519,125
Other noninterest-bearing liabilities		50,474						71,766						71,444
Total noninterest-bearing liabilities		825,379						686,008						590,569
Shareholders' equity		494,937						470,299						421,679
Total liabilities and shareholders' equity	$	4,622,837					$	4,028,078					$	3,573,135
Net interest income			$	44,487					$	35,925					$	30,554
Net interest spread					3.26						2.90						2.83
Net interest margin					4.08						3.73						3.67

____________________________

(1) Includes income and average balances for term federal funds sold, interest-earning cash accounts and other miscellaneous interest-earning assets.

(2) Average loan balances include nonaccrual loans and loans held for sale.

METROCITY BANKSHARES, INC. LOAN DATA

	As of the Quarter Ended
	March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
			% of				% of				% of				% of				% of
(Dollars in thousands)	Amount		Total		Amount		Total		Amount		Total		Amount		Total		Amount		Total
Construction and development	$	52,452	1.3	%	$	41,796	1.0	%	$	32,415	1.1	%	$	30,149	1.0	%	$	28,403	0.9	%
Commercial real estate		1,492,703	37.0			1,560,728	38.3			814,464	27.4			803,384	25.7			792,149	25.2
Commercial and industrial		91,877	2.3			96,360	2.4			69,430	2.3			73,832	2.3			71,518	2.3
Residential real estate		2,392,444	59.4			2,378,311	58.3			2,057,281	69.2			2,221,316	71.0			2,248,028	71.6
Consumer and other		643	—			627	—			325	—			200	—			67	—
Gross loans held for investment	$	4,030,119	100.0	%	$	4,077,822	100.0	%	$	2,973,915	100.0	%	$	3,128,881	100.0	%	$	3,140,165	100.0	%
Unearned income		(10,093)				(6,621)				(7,056)				(7,347)				(7,630)
Loan discounts		(18,912)				(19,804)				—				—				—
Allowance for credit losses		(26,700)				(27,843)				(17,940)				(18,748)				(18,592)
Net loans held for investment	$	3,974,414			$	4,023,554			$	2,948,919			$	3,102,786			$	3,113,943

METROCITY BANKSHARES, INC. NONPERFORMING ASSETS

	As of the Quarter Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2026			2025			2025			2025			2025
Nonaccrual loans	$	16,070		$	25,906		$	13,032		$	14,448		$	16,823
Past due loans 90 days or more and still accruing		—			—			—			—			—
Total non-performing loans		16,070			25,906			13,032			14,448			16,823
Other real estate owned		1,147			208			919			744			1,707
Total non-performing assets	$	17,217		$	26,114		$	13,951		$	15,192		$	18,530

Nonperforming loans to gross loans held for investment		0.40	%		0.64	%		0.44	%		0.46	%		0.54	%
Nonperforming assets to total assets		0.37			0.55			0.38			0.42			0.51
Allowance for credit losses to non-performing loans		166.15			107.48			137.66			129.76			110.52

METROCITY BANKSHARES, INC. ALLOWANCE FOR LOAN LOSSES

	As of and for the Three Months Ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2026			2025			2025			2025			2025
Balance, beginning of period	$	27,843		$	17,940		$	18,748		$	18,592		$	18,744
First IC Day 1 ACL balance		—			9,885			—			—			—
Net charge-offs/(recoveries):
Construction and development		—			—			—			—			—
Commercial real estate		185			(1)			110			62			(1)
Commercial and industrial		89			(5)			117			(2)			170
Residential real estate		—			—			—			—			—
Consumer and other		—			—			—			—			—
Total net charge-offs/(recoveries)		274			(6)			227			60			169
Provision (recovery) for loan losses		(869)			12			(581)			216			17
Balance, end of period	$	26,700		$	27,843		$	17,940		$	18,748		$	18,592
Total loans at end of period⁽¹⁾	$	4,030,119		$	4,077,822		$	2,973,915		$	3,128,881		$	3,140,165
Average loans⁽¹⁾	$	4,035,706		$	3,441,913		$	3,124,291		$	3,130,515		$	3,167,085
Net charge-offs/(recoveries) to average loans		0.03	%		(0.00)	%		0.03	%		0.01	%		0.02	%
Allowance for loan losses to total loans		0.66			0.68			0.60			0.60			0.59

____________________________

(1) Excludes loans held for sale.

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SOURCE MetroCity Bankshares, Inc.

METROCITY BANKSHARES, INC. REPORTS EARNINGS FOR FIRST QUARTER 2026