First Seacoast Bancorp, Inc. (FSEA): History, Ownership, Mission, How It Works & Makes Money

Given its recent Q3 2025 net income of $390 thousand, but a year-to-date net loss of $(0.76) million, should you view First Seacoast Bancorp, Inc. (FSEA) as a resilient community bank or a micro-cap stock facing structural headwinds?

This regional financial institution, with $609.6 million in total assets as of November 2025, is focused on the New Hampshire Seacoast, but its leveraged investment strategy and interest rate risk exposure are critical factors to understand.

We'll break down how this 135-year-old bank, with an institutional ownership of nearly 25%, truly makes money, so you can map the near-term risks to a clear investment action.

First Seacoast Bancorp, Inc. (FSEA) History

You're looking for the bedrock of First Seacoast Bancorp, Inc., and honestly, the story starts way back. This isn't a tech startup; it's a community institution with roots stretching over a century. The core takeaway is that the company's evolution has been a steady, deliberate march from a local cooperative to a publicly traded bank holding company, driven by strategic acquisitions and a major conversion to stock ownership.

Given Company's Founding Timeline

The original entity that became First Seacoast Bancorp has a long history, founded when the financial landscape looked entirely different. It was built on the idea of a cooperative bank, which means putting local community needs first.

Year established

The bank was established in 1890.

Original location

The original location was in Dover, New Hampshire, which remains the headquarters today.

Founding team members

The specific founding team members are not detailed in public records, but the institution began as a cooperative bank, implying a group of local citizens and business leaders.

Initial capital/funding

The initial capital or funding amounts are not specified in the available historical resources.

Given Company's Evolution Milestones

The company's trajectory is defined by key structural changes and smart, regional acquisitions that cemented its presence in the New Hampshire Seacoast and southern Maine markets. Here's the quick math on their growth strategy: buy and integrate.

Given Company's Transformative Moments

The most transformative period wasn't a single acquisition, but the shift to a fully public, stock-owned structure, plus a recent leadership change. That 2023 conversion allowed First Seacoast Bancorp, Inc. to raise capital by selling common stock, which is defintely a game-changer for a community bank.

The bank's financial picture as of the third quarter of 2025 shows the impact of this evolution. While the company reported a return to profitability in the quarter with net income of $390 thousand, the year-to-date results (nine months ended September 30, 2025) still showed a net loss of $758 thousand.

Still, their balance sheet is substantial, reflecting decades of growth and mergers:

• Total Assets stood at $609.6 million as of November 3, 2025.
• Total Deposits reached $480.0 million.
• Stockholders' Equity was $63.16 million.

A more recent, but still highly important, moment was the executive leadership transition on May 29, 2025, which saw James R. Brannen appointed Chief Executive Officer and Richard M. Donovan stepping into the role of President and Chief Financial Officer. This move signals a focus on continuity and executing the bank's current strategic priorities. You can dive deeper into those priorities by reading Mission Statement, Vision, & Core Values of First Seacoast Bancorp, Inc. (FSEA).

First Seacoast Bancorp, Inc. (FSEA) Ownership Structure

First Seacoast Bancorp, Inc. (FSEA) is a publicly traded bank holding company, listed on the NASDAQ Capital Market, which means its ownership is distributed among institutional funds, company insiders, and the general public. The structure is unique for a community bank, with a significant portion of shares held by non-institutional, retail investors, plus a substantial stake dedicated to the Employee Stock Ownership Plan (ESOP).

The company operates as the holding company for its wholly-owned subsidiary, First Seacoast Bank, headquartered in Dover, New Hampshire. This dual structure is typical for financial institutions following a mutual-to-stock conversion, but it still requires careful attention to the different stakeholder interests. If you want to dive deeper into the financials, you can check out Breaking Down First Seacoast Bancorp, Inc. (FSEA) Financial Health: Key Insights for Investors.

Given Company's Current Status

First Seacoast Bancorp, Inc. is a publicly traded entity (NASDAQ: FSEA) and, as of November 2025, it has approximately 4.70 million shares of common stock outstanding. The company reported a net loss of $(758) thousand for the first nine months of the 2025 fiscal year, a sharp reversal from the prior year, highlighting the margin pressures community banks currently face. Still, the bank's total assets stood at a solid $609.6 million as of November 14, 2025. The public status allows for capital raising but also subjects the company to rigorous SEC reporting and market volatility.

Given Company's Ownership Breakdown

The company's shareholder base is a mix of large financial institutions, internal stakeholders, and a majority of public investors. This breakdown is critical because it shows who holds the most sway in voting matters and strategic direction. For example, a large institutional stake can signal confidence, but a high retail float can lead to lower trading liquidity.

Given Company's Leadership

The executive team at First Seacoast Bancorp has seen a recent, planned transition in 2025 to ensure continuity and focus on strategic priorities, which is defintely a good sign for stability. On May 29, 2025, the company executed a succession plan, separating the CEO and President roles. This move allows the CEO to focus on long-term vision while the President manages daily operations and financial rigor.

Here's the current core leadership steering the organization as of November 2025:

• James R. Brannen: Chief Executive Officer (CEO). He transitioned to the CEO-only role in May 2025, focusing on overall strategy and vision.
• Richard M. Donovan: President and Chief Financial Officer (CFO). Appointed President in May 2025, he continues his CFO duties, directly overseeing the bank's financial health and operational execution.
• John E. Swenson: Executive Vice President, Chief Operating Officer (COO). He manages the bank's operations, eBanking, and IT functions.
• Timothy F. Dargan: Executive Vice President, Senior Commercial Loan Officer. He leads the commercial lending strategy, a key revenue driver for the bank.
• James M. Jalbert: Chairman of the Board of Directors. He provides independent oversight and governance from the Board.

First Seacoast Bancorp, Inc. (FSEA) Mission and Values

First Seacoast Bancorp, Inc. (FSEA) is a community bank holding company that anchors its strategy in a dual mandate: prioritize the Seacoast communities it serves while simultaneously creating financial value for its shareholders. This community-first approach is the cultural DNA, guiding decisions from lending to capital allocation.

You're looking past the stock ticker to understand the company's long-term aspiration, and honestly, that's smart. The mission is what keeps a bank stable, especially when market volatility is high, like the interest rate environment we saw in 2025.

First Seacoast Bancorp's Core Purpose

The core purpose of First Seacoast Bancorp, Inc., through its subsidiary First Seacoast Bank, is rooted in its 135-year history of local commitment. This isn't just about deposits; it's about being an economic engine for the New Hampshire and Maine Seacoast region.

For example, while the bank reported a year-to-date net loss of $758,000 as of September 30, 2025, that figure is balanced against an exceptional asset quality, with non-performing loans totaling only $194,000, or a minimal 0.04% of total loans. This suggests a defintely conservative and community-focused lending practice, which aligns with their core purpose of maintaining public trust and sound financial operation. They are a community bank, not a Wall Street trading house.

Official mission statement

The formal mission statement is a clear, actionable directive that maps out the primary stakeholders and the value proposition for each one:

• Put the people and places we serve first by providing progressive financial products and services to our customers.
• Strengthen our communities.
• Create value for our employees and shareholders.

This mission is further supported by a commitment to meeting the financial service expectations of individuals, families, and locally owned businesses in their market area, focusing on four key pillars:

• Provide high-quality, personalized, convenient service.
• Offer a challenging and rewarding work environment to the team.
• Maintain public trust by operating in an ethical and sound financial manner.
• Empower employees to make a difference by actively and positively contributing to the quality of life in their communities.

To be fair, a bank's mission is only as good as its execution. You can explore the Mission Statement, Vision, & Core Values of First Seacoast Bancorp, Inc. (FSEA). for a deeper dive.

Vision statement

The vision statement looks ahead, aiming to leverage the bank's long history-established in 1890-to secure a leadership position in the regional market.

• Foster the relationships we have built since 1890.
• Embrace innovation.
• Become the leading community financial institution in the Seacoast region.

Here's the quick math: The focus on being the 'leading' community institution means they aren't chasing national scale, but rather market share and influence within their core operating area, which includes New Hampshire and Maine. It's a focus on depth, not breadth. This local focus helped them achieve a Q3 2025 net income of $390,000, driven by a Net Interest Margin (NIM) expansion to 2.32%.

First Seacoast Bancorp slogan/tagline

The bank often communicates its identity through phrases that emphasize its deep local ties and commitment to the future, which essentially act as its public-facing tagline.

• Deep Roots, Local Impact.
• 135 Years Strong: Honoring Our Legacy, Investing in Your Future.

The '135 Years Strong' message, highlighted in their July 2025 communications, reinforces the long-term stability and trustworthiness that is crucial for any financial institution. It's a simple, powerful message that connects their history to your future financial goals.

First Seacoast Bancorp, Inc. (FSEA) How It Works

First Seacoast Bancorp, Inc. operates as a traditional community bank holding company, First Seacoast Bank, generating most of its revenue by taking in customer deposits and then deploying those funds into various lending products and investment securities. Its business model centers on the classic interest rate spread, where the interest earned on its loan and investment portfolio exceeds the interest paid on deposits and borrowings, plus it earns non-interest income from services like wealth management.

First Seacoast Bancorp, Inc.'s Product/Service Portfolio

The company maintains a focused portfolio across four core areas: residential lending, commercial banking, personal banking, and wealth management, primarily serving the Seacoast region of New Hampshire and southern Maine.

First Seacoast Bancorp, Inc.'s Operational Framework

The operational framework is built on a community banking model that prioritizes local decision-making and relationship-driven service, which is defintely a key differentiator against larger national banks.

The company's primary value creation process is straightforward: attract lower-cost core deposits and strategically invest the funds into higher-yielding assets, mainly loans. The operational focus for 2025 has been a balance sheet repositioning strategy, including the sale of lower-yielding securities to purchase higher-yielding investments to improve net interest margin.

• Funding and Liquidity: Attract deposits from the general public, which totaled $480.0 million as of Q3 2025, and use borrowings from entities like the Federal Home Loan Bank.
• Asset Deployment: Invest funds primarily into a loan portfolio, which stood at $433.5 million as of September 30, 2025, with a strategic emphasis on commercial real estate and industrial loans.
• Non-Interest Revenue: Generates additional income from mortgage servicing activities, with an unpaid principal balance of $29.5 million being serviced for others as of Q3 2025.
• Expense Management: Actively managing funding costs and non-interest expenses to offset pressure on the net interest margin, which is crucial given the first nine months of 2025 resulted in a net loss of $758 thousand.

First Seacoast Bancorp, Inc.'s Strategic Advantages

First Seacoast Bancorp's market success is rooted in its deep local presence and disciplined financial management, which shields it somewhat from the volatility of larger markets. You can see more about this in Breaking Down First Seacoast Bancorp, Inc. (FSEA) Financial Health: Key Insights for Investors.

The bank's advantages are not in scale, but in focus and quality. They know their market, so they can underwrite loans effectively.

• Strong Asset Quality: The bank maintains exceptionally strong credit quality, with non-accrual loans at a very low $194 thousand as of September 30, 2025, reflecting conservative underwriting and local market knowledge.
• Community Franchise Value: A long-standing history dating back to 1890 and a strong favorable brand recognition in the greater Seacoast market fosters a loyal, well-diversified customer base.
• Capital and Liquidity Position: The company maintains strong liquidity and capital reserves, which provides a buffer against economic headwinds and supports disciplined growth.
• Targeted Lending Focus: A clear strategic focus on growing the commercial real estate and industrial loan portfolio, leveraging local expertise to manage risk in these segments.

First Seacoast Bancorp, Inc. (FSEA) How It Makes Money

First Seacoast Bancorp, Inc. primarily makes money the way most community banks do: by borrowing short and lending long-what we call the core banking spread. This means taking in customer deposits, which are liabilities, and then investing those funds into interest-earning assets, mainly loans, with the difference being their Net Interest Income. Plus, they earn a smaller, but important, stream of non-interest income from various fee-based services.

First Seacoast Bancorp's Revenue Breakdown

Looking at the Q3 2025 results, the bank's revenue streams clearly show its reliance on traditional lending. Here's the quick math on the third quarter's total revenue of approximately $3.99 million (Net Interest Income of $3.45 million plus Non-Interest Income of $0.544 million).

Net Interest and Dividend Income is the financial engine, making up over 86% of their revenue in the third quarter of 2025, rising to $3.45 million from $2.98 million a year prior. This increase is a solid sign of core operational strength, driven by improved asset yields and slightly easing interest expense. Non-Interest Income, while a smaller piece at $544 thousand in Q3 2025, is still important for diversification, and it also increased year-over-year.

Business Economics

The bank operates on a classic community bank business model, headquartered in Dover, New Hampshire, and focused on the Seacoast region. Their core strategy is to attract low-cost retail deposits-your checking and savings accounts-and deploy that capital into higher-yielding loans, predominantly real estate. This is a simple, time-tested model, but it is highly sensitive to the interest rate environment.

• Primary Asset Focus: The loan portfolio is heavily weighted toward real estate, with total loans at $433.5 million as of September 30, 2025. This includes commercial real estate, multi-family, and 1-4 family residential loans.
• Net Interest Margin (NIM): NIM is the key profitability metric here, and it improved to 2.32% in Q3 2025. This expansion is crucial because it shows the bank is successfully managing its funding costs relative to the interest it earns on its assets.
• Non-Core Funding Risk: To be fair, the bank has increased its reliance on brokered time deposits, which are generally more expensive and less stable than local retail deposits. These brokered deposits surged to $75 million as of September 30, 2025, representing a higher-risk funding strategy to fuel asset growth. That's defintely something to watch.
• Fee-Based Services: Non-Interest Income comes from services like wealth management, which offers non-FDIC insured products, and other service charges. This revenue stream is less volatile than lending and provides a necessary buffer against interest rate fluctuations.

First Seacoast Bancorp's Financial Performance

The financial picture as of Q3 2025 is a mix of strong operational improvement in the quarter but year-to-date volatility. The total asset base is expanding, reaching $609.6 million as of September 30, 2025, up from the prior year-end. This expansion signals continued deployment of capital. You can get a deeper dive into the bank's stability here: Breaking Down First Seacoast Bancorp, Inc. (FSEA) Financial Health: Key Insights for Investors

• Quarterly Profitability: The bank returned to profitability in Q3 2025, posting net income of $390 thousand, a significant jump from $44 thousand in the same quarter last year.
• Year-to-Date Loss: Despite the strong quarter, the nine-month period ending September 30, 2025, still shows a net loss of $(758 thousand). This year-to-date loss is primarily due to a non-recurring gain on the sale of land and buildings that boosted 2024's income, making the year-over-year comparison look worse than the core banking performance suggests.
• Asset Quality: Credit quality remains exceptionally strong, which is a major positive. Non-performing loans total only $194 thousand, which is a minimal 0.05% of total loans. This tells you management is being very prudent on the lending side.
• Capital Strength: The bank's capital ratios are robust, with the Total Risk-Based Capital Ratio at 15.53%, well above the 10.50% regulatory minimum for a 'well capitalized' institution.

First Seacoast Bancorp, Inc. (FSEA) Market Position & Future Outlook

First Seacoast Bancorp, Inc. is positioned as a small-cap community bank focused on navigating the interest rate environment by prioritizing commercial loan growth and managing its funding costs. The company's future trajectory hinges on successfully executing its strategy to shift the loan portfolio toward higher-yielding commercial real estate (CRE) and Commercial and Industrial (C&I) loans, while maintaining its deep local market presence.

The company reported total assets of approximately $609.6 million as of the third quarter of 2025, which shows a modest expansion from the prior year, but its nine-month net loss of $758 thousand indicates a clear need for sustained profitability improvements moving into the final quarter of the year.

Competitive Landscape

In the New Hampshire and Southern Maine Seacoast region, First Seacoast Bancorp competes with both larger regional banks and similarly-sized community institutions. Since true regional market share data is often proprietary, a comparison of total assets provides a useful proxy for competitive scale among its peers.

Here's the quick math: when comparing First Seacoast Bancorp's $609.6 million in assets against two comparable New Hampshire community banks, it holds the smallest share, suggesting an uphill battle for scale, but also a tighter focus on its core market.

Opportunities & Challenges

Looking ahead to 2026, the bank has clear opportunities to grow its net interest margin (NIM), but it must defintely manage the persistent risks of a volatile rate environment and rising operational costs.

Industry Position

First Seacoast Bancorp occupies a niche position as a community-focused savings bank in a relatively affluent, yet competitive, New England market. Its primary strength is its century-plus legacy and local entrenchment, which drives a stable, relationship-based deposit base.

The bank's strategic initiatives are clearly aimed at improving profitability after a period of pressure, highlighted by the Q3 2025 return to a quarterly net income of $390 thousand. Key actions include:

• Shifting the loan mix to higher-margin commercial loans.
• Aggressively managing capital via a stock repurchase program, with an authorization expiring in December 2025.
• Utilizing interest rate hedging strategies (swaps) to convert fixed-rate assets to floating-rate to manage interest rate sensitivity.

The challenge is that the bank's total assets of $609.6 million place it firmly in the small-cap community bank tier, meaning it lacks the scale of larger competitors to absorb significant economic shocks or large-scale technology investments easily. For a deeper dive into the numbers, check out Breaking Down First Seacoast Bancorp, Inc. (FSEA) Financial Health: Key Insights for Investors.