Financial Services

F.N.B. Passes $100M in Quarterly Income for First Time

PITTSBURGH – F.N.B. Corp., the holding company of First National Bank of Pennsylvania, reports third-quarter net income of $103 million, or 31 cents per common share, marking the first time the company has surpassed $100 million in quarterly net income.

The income is ahead of the previous quarter’s $93.2 million and the year-ago quarter’s $98.8 million.

“The third quarter results were driven by top line revenue growth including record noninterest income of $80 million, consistent organic growth in loans and deposits, as well as favorable asset quality,” said President andCEO Vincent J. Delie Jr. in a statement “We continue to achieve peer-leading results with return on tangible common equity and the efficiency ratio at levels of 17%, and 54%, respectively, even as we continue to make strategic investments in our company.”

Among the third-quarter highlights for F.N.B. are:

  • Growth in total loans was $1 billion, or 4.4%, with commercial loans growing $789 million and consumer loans $164 million.
  • Total average deposits also rose $1 billion, up 4.2%, including an increase in average non-interest-bearing deposits of $241 million, or 4.0%, and an increase in interest-bearing demand deposits of $674 million, or 7.2%.
  • The loan to deposit ratio was 93.8% at September 30, 2019, compared to 92.9%.

The bank’s key performance ratios for the quarters ended Sept. 30, June 30 and Sept. 30, 2018 include:

  • Return on average equity: 8.49%, 8.09%, 8.85%.
  • Return on average assets: 1.2%, 1.13%, 1.23%.
  • Net interest margin: 3.17%, 3.2%, 3.36%.
  • Efficiency ratio: 54.11%, 54.47%, 53.73%.

Net interest income for the third quarter was $229.8 million, compared to $230.4 million in the second quarter and $234.7 million in the year-ago quarter.

Total noninterest expenses, which includes salary, equipment, Federal Deposit Insurance Corp. premiums, marketing and data processing, totaled $177.4 million, up from the $175.2 million in the previous quarter and the $170.7 million of the third quarter in 2018.

Nonperforming assets totaled $119 million, down from $125 million in the second quarter and $138 million in last year’s third quarter.

Total assets were $34.3 billion in the third quarter, up from both the second quarter’s $33.9 billion and the year-ago quarter’s $32.6 billion.

Copyright 2019 The Business Journal, Youngstown, Ohio.