FNB Full-Year Income Drops to $278M

PITTSBURGH – F.N.B. Corp. reports full-year net income available to common stockholders of $278 million for 2020, down 26.7% from the year before. Earnings per diluted common share are 85 cents, down from $1.16 per share in 2019.

Fourth-quarter earnings totaled $70.2 million, or 22 cents per diluted common share, down from $93.2 million, or 29 cents per share, in the comparable quarter of 2019.

“In an unparalleled year for our country and industry, we maintained our commitment to drive long-term shareholder value, keeping our focus on our stated objectives and taking steps to improve efficiency and profitability. These efforts, in addition to continuous investments in our customer experience, serve as the foundation for strong financial performance and progress with fourth quarter 2020 operating earnings per share increasing 8% to $0.28, and operating return on tangible common equity increasing to 15%,” said President and CEO Vincent Delie in a statement.

Among the fourth-quarter highlights for FNB are a $2.4 billion growth in total average loans, bolstered by commercial loan growth of $2.9 billion. Average consumer loans dropped $499 million, reflecting the sale of indirect auto loans. Average net Paycheck Protection Program loans were $2.46 billion.

Also among the highlights was a loan-to-deposit ratio of 87.4%, down from 94% at the close of 2019, reflecting a significant increase in deposits. The funding mix improved with noninterest-bearing deposits totaling 31% of deposits, up five percentage points from 2019.

Net interest income rose $8 million, supported by growth in average earning assets reductions in the cost of interest-bearing-deposits, strong growth in non-interest-bearing deposits and the termination of higher-rate FHLB borrowings, largely offsetting the impacts of a lower interest rate environment on asset yields.

Key performance ratios for quarters ended Dec. 31, Sept. 30 and Dec. 31, 2020 include:

  • Net interest margin: 2.87%, 2.79%, 3.07%.
  • Return on average assets: 0.77%, 0.88%, 1.1%.
  • Efficiency ratio: 56.52%, 55.26%, 55.99%.
  • Return on average equity: 5.81%, 6.7%, 7.78%.

Total noninterest income was $68.4 million, down 7.7% from the fourth quarter of 2019. 

Nonperforming assets were $170 million, down from the $178 million reported in the third quarter and up from the $103 million at the close of 2019.

Total assets were $36.607 billion at the end of the fourth quarter, up from $33.85 billion to end 2019.

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