F & M Bank Corp. · OTC:FMBM
F & M Bank — Investor Presentation (September 2025)
26 slides from F & M Bank's investor presentation, Sep 3, 2025
Slide 1: F&M Bank Corp. Investor Presentation
F&M Bank Corp. Over 100 Years Strong Investor Presentation September 2025
Slide 2: Caution Regarding Forward Looking Statements
Caution Regarding Forward Looking Statements ‘suse inthis presentation, the terms “Company, subsidiary ofthe Company. Certain statements inthis presentation may constitute forward-oking statements” within the meaning o the Private Securities tigation Reform Act of 1955. Forward-looking statements ar
Slide 3: Non-GAAP Disclaimer
Non-GAAP Disclaimer “The Company uses certain non-GAAP (Generally Accepted Accounting Principle) financial measures inthis presentation including core return on average assets, core earings per share, core return on average tangiblecommon equity, core pre-provsion net revenue, core now interest expe
Slide 4: Executive Summary
Executive Summary Company Overview Community-focused financial institution founded in 1908 with headquarters in Timberville,VA > Reconstituted leadership team in April 2023; focused mandate to enhance shareholder value z = Core EPS" rose from 1.16 in 2023 to an annualized $3.06 in 2025 — a 150%+ inc
Slide 5: Executive Management - Each with 25+ Years in Banking
Executive Management - Each with 25+ Years in Banking Mike Wilkerson Chief Executive Officer Mr. Wilkerson has served as the Chief Executive Officer of the Company and the Bank since April 2023. He commenced his banking career in 1982, Starting in Dealer Financial Services before transitioning to ma
Slide 6: Executive Management - Continued
Executive Management - Continued Paul Eberly Executive VP & Chief Lending Officer Paul E. Eberly has served as Executive Vice President/Chief Lending Officer since June 2025. Prior to that, he served as Executive Vice President/Chief Development Officer from September 2022 to June 2025, Executive Vi
Slide 7: F&M Bank Corp. Board of Directors
F&M Bank Corp. Board of Directors Michael Pugh - Chairman President of Old Dominion Realty, Inc. and VP of Colonial Appraisal Service, Inc. Chair of Executive Committee Dean Withers - Vice Chairman Previously served as Chief Executive Officer Chair of ALCO & Chair of Corp. Governance Committees Mike
Slide 8: Growing Deposit Franchise
Growing Deposit Franchise ‘Well Positioned in Desirable Markets: Serving attractive growth corridors in Virginia: 81, 1-66, 1-64 V v Local market leadership in Rockingham, Shenandoah, and Augusta counties v Branches positioned to serve both rural and expanding suburban hubs > Deep community ties ena
Slide 9: Market Overview & Demographics
Market Overview & Demographics Market Drivers Market Overview > Diverse economy based on manufacturing, agriculture, and education with major industries of advanced food manufacturing, farming, retail trade, government, education, and health care 7 Winchester/Frederick County is part of the “Quad St
Slide 10: Legacy Markets
Legacy Markets iBui Market Leadership Built on Depeete a Community Relationships | ‘Top Instuttons by eposts 2019 ($0005) ___TopInsttutions by Deposits 2024 $0005) _ | _cagR. 1 Farmers & Merchants Bank. $465,677] [Farmers & Merchants Bank suisia] | 2.0% > #1market share in Rockingham County with 2 T
Slide 11: Growth Opportunities
Growth Opportunities High Ceiling in NW Shenandoah Valley > #5 market share in Augusta with $124mm in deposits —a 18.5% 5-year CAGR > Reached 7**in 2024 in Winchester since opening the branch in 2022 > Winchesterranked #9 for best small places for a business by Forbes (2025) Note Depost ata asf sune
Slide 12: Delivering Strong Core Performance
Delivering Strong Core Performance $0.86 $084 $0.70 $25.68 $0.53 2024Q1 202402 2024Q3 202404 = 025QL 202502 Core ROAA") zomar —mmaeq2— ots mee = ONS ——202502 Core ROATCE” omar —-20mqzoQs MAA — «20251 (a) Represents non-GAAP measure See appendix for on GAM reconclatons Sure St? Global laretntligecs L
Slide 13: Expense / Income Metrics
Expense / Income Metrics Core NII / AA (%) Core NIE / AA“) (%) 292% ) (%) 092%, 037% — 06% 0.83% 081% 258% 2% Z aaee. onx, | | | 252% 262% 2024Q1 «= 2024Q2--2024Q3 202404 = -2025Q1_ 202502 2024Q1 = —2024Q2- 2024Q3-2024Q4 = -2025Q1 202502 Net Interest Margin (9%) Core Efficiency Ratio" (%) 348% 205%
Slide 14: Diversified, High-Quality Loan Portfolio
Diversified, High-Quality Loan Portfolio Loan portfolio wel-diversified across agriculture, residential, CRE, and consumer segments Sesser. smansio eons SMS gazzo07 SARTO > Conservative underwriting standards and relationship-based lending philosophy > Strong expertise in agriculture lending with de
Slide 15: Serving Shenandoah Valley Agriculture Businesses
Serving Shenandoah Valley Agriculture Businesses Commentary > F&M has originated over $230 million in agriculture loans in the last 6.5 years Majority in the Shenandoah Valley > Agriculture portfolio balance is $134 million > Portfolio is diversified across poultry, beef, dairy, crops, and other > E
Slide 16: Ag Expansion Opportunity East of Shenandoah
Ag Expansion Opportunity East of Shenandoah Commentary > Red Oval - Shenandoah Valley — 6,584 total farms §2.2 billion in farm products sold - $8.1 billion of agricultural assets > Bi East of the Blue Ridge — 5,709 total farms $479 million in farm products sold - $8.4 billion of agricultural assets
Slide 17: Granular, Valuable Deposit Franchise
Granular, Valuable Deposit Franchise Total Deposits Commentary > 23% noninterest-bearing, or $278mm total in Q2 2025 08 imma umes $200, sui > Cost oftotal deposits declined to 2.0896 in Q2 2025, indicating disciplined pricing and favorable mix z fon » Diversified customer base across retail, commerc
Slide 18: Valuable, Recurring Noninterest Income Diversified Fee Income Engine
Valuable, Recurring Noninterest Income 1 Diversified Fee Income Engine > $28million in noninterest income in Q22025 > _ Noninterest income accounts for 24% of total revenue = _ Relative to 16% median for peers, highlighting the Bank's diversified revenue base > Reduces dependence on net interest mar
Slide 19: Capital Ratios Trends
Capital Ratios Trends Bank Tier 1 Risk Based Capital Ratio pouar " aomaz " 2oreas " omens " reas "202502 (2 RepreentsnonGiAP measure See apoendi for nonGHAP mconcisbons Source Sue Glbalaratteligece Le anwar "ana " 20003 " romae " 20501” 202502 Bank Total Risk-Based Capital Ratio nm zowar "amar rors
Slide 20: Asset Quality Trends
Asset Quality Trends Consistent Strong Asset Quality ——] NPAs (excl. TDRs) / Assets (%) > NPAlevels healthy at 0.58% of assets, an 11 bps QoQ decline = = = nt > 0.25% net charge-offs of average loans in Q2 2025, demonstrating continued credit risk management LLRs / Loans HF! (96) ose. osx. 202403 oe
Slide 21: Key Investment Considerations
Key Investment Considerations Strategic Goals for 2025+ Deepen market share in core agriculture and commercial banking segments Expand geographic reach into growth markets Scale high-margin fee businesses (w Ith, mortgage, title) U funding costs through deposit mix optimization Accelerate digital ca
Slide 22: Appendix
Appendix
Slide 23: Non-GAAP Reconciliation (page 1 of 4)
Non-GAAP Reconciliation (page 1 of 4) zoaa_—_20a2___ 20003 2024042028 34705 $ 10827 § 19974 Provision for Credit Losses 1025 a4 (sr) ‘02 107 4187 1083 Noninterest Income 9426 2334 2998 28 2686 22 5637 Realized Gains on Securties - - : - : - . Non Recurring Revenue or - : - - : - NoninerestExpence 36
Slide 24: Non-GAAP Reconciliation (page 2 of 4)
Non-GAAP Reconciliation (page 2 of 4) 2o24an 2o2aca 202403 202404 ‘Common Equity $ M1616 § som $ MIs $ 6A S S191 § S478 § 47H Cioran Assets 3199 3196 3:83 3:75 3:68 3:68 3160 3:52 3152 Tangible Common Eqaty $ waza “5 _74509 5 79403 S 6ai9 "S €2970 | e297 S$ GSIS1 5 S1SE9 § 1589 (aoc (1017) __ 6202 _
Slide 25: Non-GAAP Reconciliation (page 3 of 4)
Non-GAAP Reconciliation (page 3 of 4) 2oasv_ 20240200420 0M 20Y_—_ 207501202502 __207577D Pretax Net Income $ 205 $ 126 $ 3486 $ 82 $ 2599 $ 7923 $ 287 $ 3400 $ 620 ()Reatzed Gains on Secures J " a a 2 J ()Non-Recuring Revenue on : E A q ; 5 ()Non-Recuring Expense 2.300 37 (500) 27 - ‘Core Pretax Ne
Slide 26: Non-GAAP Reconciliation (page 4 of 4)
Non-GAAP Reconciliation (page 4 of 4) mors 202502_ 202510 “otal Noninterest income $ wai $ 234 $ 2998 $ 278 $ 2606 § 1076 $ 287 $ 2702 § 5637 (Realized Gain on Secures = : : : : - : . - (Non Recurring Revenue eat : : : : : : - ‘Core Noninterestincome 3 one Sass Sass Same Stee Soe Ste Sam SST “otal N