EXTON, PA — First Resource Bancorp, Inc. (OTCQX: FRSB), the holding company for First Resource Bank, reported record financial results for 2025, posting sharp gains in profit, deposits, and assets as the community lender marked its 20th anniversary with what executives called a transformative year.
Net income for the year ended December 31, 2025, rose to $8.2 million, a 54% increase from $5.3 million in 2024. Earnings per share climbed 57% to $2.72, while return on average equity improved to 14.99% from 10.91% a year earlier. Return on average assets increased to 1.17%, up from 0.87%.
President and CEO Lauren C. Ranalli said the results reflected disciplined execution and sustained balance-sheet growth across the franchise. She said the company delivered strong loan and deposit expansion while improving key performance metrics, credit quality, and shareholder value.
Total loans grew 13% during the year, ending 2025 at $678.5 million, driven primarily by commercial real estate and commercial construction lending. Total deposits increased 31% year over year, fueled by broad-based growth across all deposit categories. Noninterest-bearing deposits rose 39%, strengthening the bank’s core funding base.
Assets expanded 23% to $708.5 million, while book value per share increased 17% to $19.56. Total stockholders’ equity climbed 17% to $58.8 million, largely reflecting retained earnings from higher profitability.
The company also reported strong fourth-quarter performance. Net income for the three months ended December 31, 2025, totaled $2.3 million, or $0.78 per share, compared with $1.0 million, or $0.33 per share, in the same period a year earlier. Annualized return on average equity reached 15.87% for the quarter, nearly double the prior-year level.
Net interest income for the full year increased 25% to $25.1 million, supported by loan growth and a higher rate environment. The net interest margin expanded 32 basis points to 3.75%, reflecting improved loan yields and a lower overall cost of deposits. Management noted that a strategy to increase on-balance-sheet liquidity in the second half of the year contributed to modest margin pressure late in 2025, but strengthened the bank’s funding position.
Credit quality metrics improved despite continued balance-sheet expansion. Nonperforming assets declined to $731,000 at year-end from $1.3 million a year earlier, representing just 0.09% of total assets. The allowance for credit losses stood at 0.73% of total loans, down from 0.93% at the end of 2024, following the resolution of previously reserved credits.
During the year, First Resource completed an $8 million subordinated debt issuance at a 6.00% rate, bolstering capital and liquidity. The company said approximately 80% of total deposits were insured or otherwise collateralized at year-end.
Ranalli said deposit growth accelerated late in the year through largely organic channels, driven by targeted strategic initiatives. While acknowledging that a portion of recent inflows may be temporary, she said the company believes it is well positioned for sustainable growth.
The company’s performance in 2025 was recognized with multiple honors, including being named a Best Places to Work company by the Philadelphia Business Journal, receiving several regional Best Bank awards, and ranking among the top 100 performing U.S. community banks under $2 billion in assets by American Banker.
Management said the results demonstrate First Resource Bancorp’s growing role as a financial partner to local businesses and communities, positioning the bank for continued momentum heading into 2026.
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