First · NYSE:FCF

First — First Commonwealth Financial — Q4 2022 Earnings Presentation

16 slides from First's earnings presentation, Jan 25, 2023

  1. Slide 1: First Commonwealth NYSE: FCF

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  2. Slide 2: 4Q 2022 Earnings Release Webcast Presentation

    4Q 2022 Earnings Release Webcast Presentation January 25, 2022 2

  3. Slide 3: Forward-Looking Statements

    FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements about First Commonwealth’s future plans, strategies and financial performance. These statements can be identified by the fact that they do not relate strictly to historical or current facts and often include words such

  4. Slide 4: Fourth Quarter 2022 Highlights

    4Q 2022 Earnings Release Webcast Presentation FOURTH QUARTER 2022 HIGHLIGHTS Diversified revenue streams and regional leadership Highlights continues to enhance the earnings growth of the company $55.3 million  Total loans grew $291 million, or 15.7% annualized from the previous quarter driven by b

  5. Slide 5: Net Interest Income and Net Interest Margin

    4Q 2022 Earnings Release Webcast Presentation NET INTEREST INCOME AND NET INTEREST MARGIN  Net interest income (FTE) of $88.3 million Net Interest Income(1) increased by $5.7 million from LQ and $17.8 million YoY − $7.9 million increase in income on variable and adjustable rate loans, partially off

  6. Slide 6: Loans

    4Q 2022 Earnings Release Webcast Presentation LOANS Average Average Loans(1)  Average loans increased $229.6 million $7,491 from LQ $7,262 $6,792 – Excluding PPP loans, average loans increased $232.2 million from LQ, or 12.7% annualized  The yield on loans increased 46bps from LQ (excluding PPP lo

  7. Slide 7: Deposits

    4Q 2022 Earnings Release Webcast Presentation DEPOSITS Average Deposits Average  Average deposits decreased $75.2 million, or 3.7% annualized from LQ  Average interest-bearing demand and savings deposits decreased $68.0 million, partially offset by a $9.4 million increase in time deposits  The to

  8. Slide 8: Noninterest Income

    4Q 2022 Earnings Release Webcast Presentation NONINTEREST INCOME Change from 4Q22 3Q22 4Q21 3Q22 4Q21  Total noninterest income decreased $1.6 Interchange $7.0 $7.0 $7.1 $0.0 ($0.1) Service charges 4.9 5.2 4.9 (0.3) 0.0 million from LQ and decreased $1.8 million Trust 2.5 2.8 2.8 (0.3) (0.3) YoY Re

  9. Slide 9: Noninterest Expense

    4Q 2022 Earnings Release Webcast Presentation NONINTEREST EXPENSE Change from 3Q22 3Q22 4Q21 3Q22 4Q21 Salaries and benefits Occupancy $31.7 4.5 $32.4 4.6 $31.4 4.0 ($0.7) (0.1) $0.3 0.5  Total noninterest expense decreased $1.6 Furniture and equipment 4.0 4.0 3.8 0.0 0.2 million from LQ and increa

  10. Slide 10: Credit Quality

    4Q 2022 Earnings Release Webcast Presentation CREDIT QUALITY  Provision expense of $9.1 million Provision Expense and Net Charge-offs increased $3.2 million from LQ and increased $11.8 million YoY − Strong loan growth drove a $4.6 million of the increase in the allowance for credit losses − Additio

  11. Slide 11: Capital Return

    4Q 2022 Earnings Release Webcast Presentation CAPITAL RETURN Payout Ratios  Strong capital levels allow us to continue to return capital to shareholders  On April 25, 2022, the Board of Directors authorized a 4.3% increase in the quarterly cash dividend to shareholders  There were no shares repur

  12. Slide 12: Appendix

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  13. Slide 13: Non-GAAP Measures

    4Q 2022 Earnings Release Webcast Presentation NON-GAAP MEASURES Operating Revenue 4Q22 3Q22 2Q22 1Q22 4Q21 Net Interest Income $88.0 $82.4 $73.7 $68.2 $70.2 Tax equivalent adjustment 0.3 0.2 0.2 0.2 0.3 Net Interest Income (FTE) 88.3 82.6 73.9 68.4 70.5 Noninterest Income (Reported) 24.3 25.9 24.5 2

  14. Slide 14: Non-GAAP Measures

    4Q 2022 Earnings Release Webcast Presentation NON-GAAP MEASURES Core Earnings per Share 4Q22 3Q22 2Q22 1Q22 4Q21 Net Income (GAAP) $35.7 $34.0 $30.8 $27.7 $34.8 (after tax) Less: Covid-19 related (after tax) 0.0 0.0 0.0 0.0 0.0 Less: Merger and acquisition related (after tax) 1.0 0.4 0.0 0.0 0.0 Les

  15. Slide 15: Non-GAAP Measures

    4Q 2022 Earnings Release Webcast Presentation NON-GAAP MEASURES Return on Average Tangible Common Equity (%) 4Q22 3Q22 2Q22 1Q22 4Q21 Average Equity $1,041 $1,063 $1,064 $1,107 $1,117 Less: Average intangible assets 314 314 314 314 315 Less: Average preferred stock 0 0 0 0 0 Average Tangible Common

  16. Slide 16: Non-GAAP Measures

    4Q 2022 Earnings Release Webcast Presentation NON-GAAP MEASURES Core Net Interest Margin (%) 4Q22 3Q22 2Q22 1Q22 4Q21 Net Interest Income (FTE) $88.3 $82.6 $73.9 $68.4 $70.5 Less: Income from Paycheck Protection Program Loans 0.0 (0.3) (0.6) (1.8) (4.1) Less: Income from excess cash (0.3) (0.5) (0.6

First Commonwealth Financial — Q4 2022 Earnings Presentation on 6ix