F&M Bank Corp. announced a robust increase in its net income for the second quarter of 2026, totaling $5.37 million, equating to $1.50 per diluted share. This marks a significant rise from the net income of $3.23 million ($0.91 per diluted share) reported in the first quarter of 2026 and a jump from $2.97 million ($0.83 per diluted share) in the same quarter of 2025.
For the first half of 2026, the bank's net income reached $8.59 million, reflecting an increase from $5.42 million during the same period last year. F&M Bank's total assets rose by $24.2 million (1.76%), reaching $1.4 billion. Total loans also saw growth, climbing by $39.0 million (4.40%), while total deposits increased by $12.2 million (0.98%).
During the second quarter, a one-time pre-tax gain of $4.8 million from the sale of Bearing Insurance contributed to the strong earnings. However, this gain was partially offset by a $3.5 million pre-tax loss incurred when restructuring the bank's securities portfolio. The net effect of these transactions resulted in a $1.3 million pre-tax gain, indicating the impact of non-recurring activities on overall financial performance.
CEO Mike Wilkerson highlighted the bank's achievements across various sectors, emphasizing improved results across all business lines, which contributed to the strong performance. The bank is also planning to open a new office in the Blackwell Building in September 2026, following renovations, augmenting their presence in key markets, particularly in commercial and agricultural sectors.
F&M Bank's asset quality metrics showed improvement, with nonperforming loans decreasing to 0.43% of total loans. Furthermore, the bank's Board of Directors declared a dividend of $0.26 per share, set to be paid on August 28, 2026. This decision reflects an annualized yield of 2.63% based on the recent share price.
F&M Bank Corp. reported a net income of $5.37 million, or $1.50 per diluted share, for the second quarter of 2026. This was an increase compared to a net income of $3.23 million, or $0.91 per diluted share, in the first quarter of 2026, and $2.97 million, or $0.83 per diluted share, from the second quarter of 2025.
As of June 30, 2026, F&M Bank Corp. had total assets of $1.40 billion and total loans held for investment amounting to $925.3 million. This reflects an increase in both categories, with total assets growing by $24.2 million and total loans by $39.0 million since December 31, 2025.
During the second quarter of 2026, F&M Bank Corp. recognised a one-time, pre-tax gain of $4.8 million from selling Bearing Insurance. This gain, alongside a restructuring loss of approximately $3.5 million related to securities available for sale, resulted in a net pre-tax gain of $1.3 million. These non-recurring transactions contributed positively to the net income but their exceptional nature means future earnings may not reflect such gains.
On July 23, 2026, F&M Bank Corp.'s Board of Directors declared a dividend of $0.26 per share. This dividend is set to be paid on August 28, 2026, to shareholders who are on record as of August 14, 2026, resulting in an annualised yield of 2.63% based on a recent trade price of $39.54.
In the second quarter of 2026, total loans increased by $28.4 million or 3.17%, whereas total deposits decreased by $17.6 million or 1.38%. This highlights a contrasting trend where loan growth continued while deposit amounts declined.
F&M Bank Corp.'s asset quality improved, with nonperforming loans as a percentage of total loans declining to 0.43% as of June 30, 2026, compared to 0.68% a year earlier. Additionally, net charge-offs as a percentage of average loans were at 0.06%, down from 0.25% in the second quarter of 2025.
F&M Bank Corp. achieved a return on average equity of 19.54% in the second quarter of 2026, which is significantly higher compared to 12.18% in the first quarter of 2026 and 12.81% during the same quarter in 2025.
F&M Bank Corp.'s book value per share increased from $29.49 at December 31, 2025, to $31.56 at June 30, 2026, which signifies a positive trend in shareholder equity.