The First Bancorp Raises Quarterly Dividend to $0.38

The First Bancorp, Inc. (NASDAQ: FNLC) increased its quarterly dividend to $0.38 per share from $0.37, a 2.7% rise. The ex-dividend date was July 7, 2026.

The new rate equates to an annual dividend of $1.52 per share. Based on a share price of $34.80, the forward annual yield is 4.32%. The increase extends the financial-services company’s record of consecutive annual dividend growth to seven years.

Earnings and capital provide context

The First Bancorp did not identify a single reason for the dividend increase, but its recent operating performance provides context for the board’s decision. The company subsequently reported that second-quarter earnings increased from the year-earlier period, supported by a wider net interest margin, higher non-interest income and expense control. Management also described the company’s capital position as strong and liquidity as more than sufficient. The First Bancorp’s second-quarter results

The company reported second-quarter net income of $9.6 million, compared with $8.1 million a year earlier. Its net interest margin expanded to 2.88% from 2.52%, while the estimated total risk-based capital ratio stood at 14.24% at quarter-end. Those measures do not determine future dividends, but they help show the earnings and capital position surrounding the increase.

The First Bancorp is the Damariscotta, Maine-based parent of First National Bank, a community bank serving mid-coast and eastern Maine. Its operations include commercial and retail banking as well as investment-management and trust services. Company overview

What it means for income investors

At the new rate, shareholders receive a higher quarterly cash payment and an annualized dividend of $1.52 per share, assuming the rate remains unchanged. The dividend carries a SmarterDividends safety score of 94 out of 100 and an A grade.

The score indicates a strong current safety profile, but it is not a guarantee of future payments. Bank dividends remain subject to board approval and depend on factors including earnings retention and capital needs—considerations the company identifies in its dividend policy. The First Bancorp 2025 Form 10-K