First United Corporation Reports Strong Q1 2025 Results

First United ( (FUNC) ) has released its Q1 earnings. Here is a breakdown of the information First United presented to its investors.

First United Corporation, a bank holding company based in Oakland, Maryland, operates primarily through its subsidiary, First United Bank & Trust, providing a range of financial services including loans and deposits. The company is known for its focus on community banking and customer service.

In the first quarter of 2025, First United Corporation reported a consolidated net income of $5.8 million, or $0.89 per diluted share, marking an increase from $3.7 million, or $0.56 per diluted share, in the same quarter of the previous year. The company highlighted margin expansion, solid fee income, and controlled expenses as key contributors to its performance.

Key financial metrics for the quarter included a net interest margin of 3.56% and an annualized return on average assets of 1.19%. Loan production was moderate, with $36.1 million in commercial loan originations and $11.4 million in residential mortgage originations. Deposits increased by $48.7 million, driven by new brokered deposits. Operating expenses rose by $0.5 million compared to the previous quarter, primarily due to increased salaries and benefits.

Looking ahead, First United Corporation remains optimistic about the remainder of 2025, focusing on future growth and enhancing the customer experience. The company plans to invest in strategic hires and technology improvements, particularly in electronic banking, while maintaining consistent expense levels.

Overall, First United Corporation’s first-quarter results reflect a solid financial performance, positioning the company for continued growth amid economic and political uncertainties.