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First United is a small, well-run community bank ($2.09B assets, 23 branches in Western Maryland and NE West Virginia) that had a genuinely strong FY2025: net income rose 19.2% to $24.5M and diluted EPS 19.7% to $3.77. The quality of that gain matters — the MD&A shows the driver was net interest margin expanding from 3.38% to 3.67% (FTE net interest income +$8.1M as interest income +$8.8M outran a $0.7M rise in interest expense), plus $0.7M more wealth-management income. Credit actually improved: net charge-offs fell from $2.2M to $1.0M and the provision dropped to $2.3M, even as the ACL/loans ratio rose to 1.28%. And the reported number is understated — it absorbed a $1.3M net-of-tax OREO write-down on a legacy 2013 participation loan, so adjusted net income was $25.8M. This is a bank earning ~12% ROE with the tailwind still in front of it.

The balance sheet is being actively strengthened. Cash jumped 68% to $132M, long-term debt fell 20.7% and the current portion 73%, and management explicitly plans to use the higher cash to repay debt and brokered deposits at maturity — a direct lever on 2026 interest expense given the $50M of brokered time deposits taken in January 2025 at 4.24%. Deposits grew $160.3M and loans $40.9M (CRE +$44.4M, residential +$18.1M), with equity up 13.6% to $204M and retained earnings up 9.7%. The 9.25x liabilities/equity looks alarming out of context but is normal leverage for a bank. Capital returns are steady: $5.97M of dividends (+11.1%, ~2% yield on price) and buybacks resumed.