FNB Corp. Reports Record Revenue of $1.6B in 2023

PITTSBURGH, Pa. – F.N.B. Corp. on Thursday reported full-year record revenue, as well as tangible book value per share growth of 14.5%.

Overall, 2023 totaled $476.8 million in net income available to common stockholders, or $1.31 per diluted common share. That was up over 2022 when net income totaled $431.1 million, or $1.22 per common share.

The full-year figures came as F.N.B Corp. released its fourth quarter 2023 numbers, listing a net income available to common stockholders of $48.7 million, or 13 cents per diluted common share. The full-year revenue was $1.6 billion.

The fourth quarter was comparatively lower than the fourth quarter of 2022, when net income available to common stockholders totaled $137.5 million, or 38 cents per diluted common share. It was also lower than the third quarter of 2023, when it stood at $143.3 million, or 40 cents per diluted common share.

F.N.B. reports as part of an ongoing proactive balance sheet management strategy, the company completed the sale of about $650 million of available-for-sale investment securities in mid-December and transferred $355 million of indirect auto loans to held-for-sale. The sale of the $650 million in securities resulted in a realized pre-tax loss of $67.5 million in the fourth quarter of 2023, but F.N.B. Corp. reinvested the proceeds from the sale of those investment securities, which had an average yield of 1.08% into investment securities with yields approximately 350 basis points higher. 

Additionally, F.N.B. intends to sell the $355 million of indirect auto loans to held-for sale, with a negative valuation allowance of $16.7 million pretax, due to changes in interest rates from the time when the loans occurred, with the sale expected to close in the first quarter of 2024. 

Excluding those auto loans held-for-sale, the period ended with loans and leases increased by $2.1 billion.

Other highlights of the 2023 fourth quarter compared with the fourth quarter of 2022 included commercial loans increasing $862 million, or 7.9%. Net interest income totaled $324 million, a decrease of 3.2%. Average deposits totaled $34.4 billion, with a growth in average time deposits of $2.7 billion. Average savings deposits were $552.1 million, and average interest-bearing demand deposits were $297.8 million as customers continued to migrate balances into higher-yielding products. Additionally, the increase in average total deposits was $486.9 million, indicating growth with new and existing customers.

Other figures of note included noninterest income totaling $13.1 million, compared with $80.6 million a year ago. Wealth management revenues grew by $1.9 million. Capital markets income decreased by $2.7 million.

Compared with the third quarter of 2023, the fourth quarter saw a slight decrease of $2.6 million in net interest income.

The complete report can be found HERE.

Published by The Business Journal, Youngstown, Ohio.