F.N.B. Corp. Net Income Increases to $75M

PITTSBURGH – F.N.B. Corp., holding company of First National Bank of Pennsylvania, Thursday reported net income available to common shareholders of $75.78 million, or 23 cents per common share.

This compares to $72.49 million, or 22 cents per common share, for the second quarter and $50.25 million, or 24 cents a common share, for the quarter ended Sept. 30, 2016.

Total net income for the third quarter was $77.79 million, F.N.B. reported, compared to $74.41 million the previous quarter and $52.12 million the year-ago quarter.

F.N.B. announced yesterday that its board of directors declared a quarterly cash dividend of $18.13 per share on F.N.B. Corp.’s non-cumulative perpetual preferred stock, payable Nov. 15 to shareholders of record Oct. 31. Its board also declared a quarterly cash dividend of 12 cents per share on common stock, payable Dec. 15 to shareholders of record Dec. 1.

In a prepared statement, the president and CEO of F.N.B., Vincent J. Delie Jr., said,  “We are pleased with the growth in loans and deposits, as well as our ability to effectively manage expenses. We are also pleased with the results of several of our fee-based businesses and remain focused on our revenue growth initiatives to deliver increased value for our shareholders.”

In its earnings release, F.N.B. cited these highlights:

• Growth in total average loans was $293 million, or 5.7%, with average commercial loan growth of $125 million, or 3.9%.
• Average total deposits increased $41 million, or 0.8%, including an average non-interest bearing deposits of $61 million, partially offset by a decline in average interest-bearing deposits of $34 million.

• Total revenue increased 2.4% to $291 million, reflecting a 3.1% increase in net interest income and stable non-interest income.

Key performance ratios for the quarters ended Sept. 30, June 30 and Sept. 30, 2016:

• Return on average equity, 6.96%, 6.80%, 8.10%.
• Return on average assets, 1.00%, 0.98%, 0.97%.
• Net interest margin, 3.44%, 3.42%, 3.36%.
• Efficiency ratio, 53.15%, 54.26%, 54.38%.

Net interest income was $225.23 million for the quarter, surpassing the $218.42 million reported the second quarter and $157.50 million the third quarter of 2016.

Noninterest income (includes service charges, trust income, insurance commissions and fees) was $66.25 million, close to $66.17 million the previous quarter and up from $53.24 million the year-ago quarter.

Noninterest expense (salaries and benefits, rents, data processing, marketing, Federal Deposit Insurance Corp. premiums, acquisition-related expense) was $163.74 million for the quarter ended Sept. 30, similar to the $163.71 million reported for the quarter ended June 30 and up from $121.05 million the quarter ended Sept. 30, 2016.

Total nonperforming assets fell to $146.26 million from $160.50 million at June 30 and up from $135.99 million at Sept. 30, 2016. 

Total assets increased to $31.123 billion while total deposits rose to $21.939 billion. 

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