If you select the text displayed (when you edit the component), you’ll see that the bound text has a formula that outputs the first letter of the text value. You can modify it to your needs here. You might want to add a prop to distinguish last name and first name
I believe you are at the instance level here. Without changing the inner logic of the component, it will behaves the same.
So yes, right now, whatever you put in your instance, it will always output the first letter.
If you haven’t done that already, you’ll first want to import the component to your project so you can have access to its edit mode.
Once you are inside of your component, you’ll need to apply the same logic you showed but with the component properties instead of the collection data. Let me know if you get stuck somewhere!