The First Bancshares, Inc. (NYSE: FBMS) has reported its financial results for the period ending October 2024. The company, headquartered in Hattiesburg, Mississippi, is the parent company of The First Bank, with operations in Mississippi, Louisiana, Alabama, Florida, and Georgia.
In the recent period, the company has utilized non-GAAP financial measures to supplement the evaluation of its performance. The non-GAAP financial measures included in the presentation aim to allow management and investors to understand and compare results in a more consistent manner for the periods presented in the press release.
Some of the non-GAAP financial measures used by the company include diluted earnings per share, operating; net income, operating; return on average assets (ROAA), operating; pre-tax pre-provision return on average assets (PTPP ROAA), operating; return on average tangible common equity (ROATCE); return on average tangible common equity (ROATCE), operating; efficiency ratio, operating; net interest margin (NIM), fully tax equivalent (FTE); net interest income, FTE; core net interest margin, FTE; yield on securities, FTE; pre-tax pre-provision income, operating; non-interest income, operating; adjusted operating revenue; adjusted operating expense; tangible assets; tangible common equity; tangible book value per share; and tangible common equity to tangible assets ratio (TCE/TA).
The company has emphasized that these non-GAAP financial measures should be considered supplemental and not a substitute for the company’s results reported in accordance with GAAP for the periods presented. It also noted that other bank holding companies may define or calculate these measures differently.
Furthermore, the company has used fully-tax equivalent (FTE) financial metrics to evaluate corresponding GAAP financial metrics, taking into account the tax benefits associated with income sources that are exempt from state or federal taxes. Core net interest margin has been utilized by management to measure the net return on earnings assets, while "operating" financial metrics have been used to evaluate results exclusive of items not indicative of ongoing operations and impacting period-to-period comparisons.
In addition, the company has employed "tangible" financial metrics to measure the value of its assets net of intangible assets, such as goodwill. It has highlighted that these non-GAAP financial measures should not be considered in isolation and do not purport to be an alternative to their most comparable GAAP measures.
The press release contains forward-looking statements, which are subject to the protections of applicable securities laws. All statements other than those of historical fact are considered forward-looking statements.
For a detailed reconciliation of these non-GAAP financial measures to the most comparable GAAP measure, the company has provided an appendix to the presentation. Following these announcements, the company's shares moved 0.1%, and are now trading at a price of $36.66. If you want to know more, read the company's complete 8-K report here.
