Ofg Bancorp · NYSE:OFG
Ofg Bancorp — Q2 2025 Earnings Presentation
26 slides from Ofg Bancorp's earnings presentation, Jul 17, 2025
Slide 1: Quarterly Results 2Q25 Conference Call
Quarterly Results 2Q25 Conference Call July 17, 2025
Slide 2: Forward Looking Statements
Forward Looking Statements The information included in this document contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and involve certain risks and uncertainties tha
Slide 3: 2Q25 Summary
2Q25 Summary Income Statement Balance Sheet (EOP) Capital Capital Actions • EPS $1.15 • Total Assets $12.2B • CET1 13.99% • Stock Repurchase • Total Core Revenues • Customer Deposits $9.9B • Tier 1 Risk-Based 13.99% Authorization: Board of $182.2M Directors approved new • Loans Held for Investment •
Slide 4: Our "Digital First" Strategy at Work
Our “Digital First” Strategy at Work 2Q25 New Products/Services Retail Digital/Self-Service Channel Use (2Q25) • 96% of all routine transactions • 97% of all deposit transactions • 70% of all loan payments Key Drivers (2Q25 vs. 2Q24) • 8% growth digital enrollment • 11% growth digital loan payments
Slide 5: Financial Highlights
Financial Highlights Total Core Revenues ($M) EPS TBV Per Common Share $182 $182 $27.67 $179 $178 $1.15 $26.66 $1.08 $1.09 $26.15 $174 $174 $1.05 $25.43 $1.00 $1.00 $24.18 $23.55 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Efficiency Ratio ROAA ROATCE 16
Slide 6: Operational Highlights
Operational Highlights Loans ($B, Avg. Balance) Core Deposits ($B, Avg. Balance) New Loan Origination ($M) $7.96 $9.74 $9.53 $9.60 $9.59 $9.56 $9.62 $784 $7.72 $7.78 $7.61 $7.63 $7.54 $609 $589 $572 $559 $537 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 L
Slide 7: Credit Quality & Capital Strength
Credit Quality & Capital Strength NCO Rate Provision ($M) NPL Rate $30.2 $25.7 $21.4 $21.7 1.05% 1.05% 0.90% 1.11% 1.19% $15.1 $15.6 1.03% 1.01% 1.03% 1.06% 0.64% 0.79% 0.82% 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 CET1 Ratio Total Stockholder's Equi
Slide 8: Outlook: Constructively Positive
Outlook: Constructively Positive Puerto Rico • Wages and employment are at historically high levels • Business environment is constructively positive • Closely monitoring increased global economic and geopolitical volatility OFG • Digital First strategy proving highly effective • Ongoing investments
Slide 9: Appendix
Appendix
Slide 10: Snapshot (June 30, 2025)
Snapshot (June 30, 2025) Branches, Kiosks, ATMs & ITMs in All Major PR & USVI Markets Value Proposition Puerto Rico USVI Total • Puerto Rico’s challenger bank Branches 42 2 44 • Target specific retail and commercial customer Self-Service Kiosks 16 2 18 segments ATMs 302 12 314 • “Más Que Listo (More
Slide 11: History of Capital Management & Growth
History of Capital Management & Growth • Organic growth and acquisitions have transformed OFG's Oriental into a full- Assets ($B) Loans ($B) service, island-wide financial institution $12.2 $8.0 $7.4 $7.6 • From 2002-2024, our local $11.3 $11.5 $6.6 $6.7 $6.5 deposits have expanded 9.6x $6.3 $9.9 wh
Slide 12: 2Q25 Asset Balance Evolution ($M)
2Q25 Asset Balance Evolution ($M) $141 $12,232 $321 $42 $(1) $119 $11,729 $66 $54 $11,501 $(11) 12/31/2024 Loans Other Investment Cash 3/31/2025 Loans Other Investment Cash 6/30/2025 12
Slide 13: 2Q25 Loan Balance Evolution ($M)
2Q25 Loan Balance Evolution ($M) $69 $8,181 $270 $10 $44 $7,853 $7,792 $50 $2 $(21) $(35) 12/31/2024 Mortgage Commercial Consumer Auto 3/31/2025 Mortgage Commercial Consumer Auto 6/30/2025 13
Slide 14: 2Q25 Core Deposit Balance Evolution ($M)
2Q25 Core Deposit Balance Evolution ($M) $155 $24 $9,896 $214 $9,757 $9,449 $52 $42 $(40) 12/31/2024 Time Savings Demand 3/31/2025 Time Savings Demand 6/30/2025 14
Slide 15: 2Q25 Deposit Balance Evolution: Retail vs. Commercial
2Q25 Deposit Balance Evolution: Retail vs. Commercial, Ex-Public Funds ($M) $153 $8,220 $85 $8,273 $63 $8,004 $(32) 12/31/2024 Retail Commercial 3/31/2025 Retail Commercial 6/30/2025 15
Slide 16: Residential Mortgage Loans ($M)
Residential Mortgage Loans ($M) Portfolio New Loan Origination $56 $1,519 $1,485 $1,484 $1,471 $1,436 $1,415 $43 $39 $37 $37 $32 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 NPLs NCO Rate -0.20% -0.14% -0.22% -0.06% -0.14% -0.16% $19.3 $19.0 $17.6 $16.0 $17.2 $17.1
Slide 17: Commercial Loans ($M)
Commercial Loans ($M) Portfolio New Loan Origination $147 $825 $741 $662 $680 $704 $727 $2,598 $44 $254 $2,420 $2,438 $2,399 $2,426 $17 $27 $2,311 $67 $211 $58 $186 $192 $163 $150 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 NPLs NCO Rate 0.58% $39 P.R. 0.03% -0.01%
Slide 18: Auto Loans ($M)
Auto Loans ($M) Portfolio New Loan Origination $2,593 $2,662 $2,484 $2,549 $251 $250 $2,428 $242 $2,341 $232 $232 $233 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 NPLs NCO Rate $20.1 $16.7 $17.0 $15.0 1.64% 1.63% $14.5 $14.0 1.42% 1.11% 1.63% 1.11% 1Q24 2Q24 3Q24 4
Slide 19: Consumer Loans ($M)
Consumer Loans ($M) Portfolio New Loan Origination $664 $669 $671 $681 $628 $644 $87 $80 $77 $69 $69 $68 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 NPLs NCO Rate 4.70% 4.45% 4.42% 4.34% $4.2 $3.9 $3.8 $3.6 $3.5 $3.3 3.72% 3.50% 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2
Slide 20: Credit Quality
Credit Quality NCO Rate NPL Rate 1.19% 1.06% 1.11% 1.05% 1.05% 1.03% 1.01% 1.03% 0.90% 0.79% 0.82% 0.64% 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Early Delinquency Rate Total Delinquency Rate* 2.95% 4.38% 2.81% 2.78% 4.10% 2.41% 2.46% 3.71% 3.59% 2.19% 3.49% 3.30% 1Q24 2Q24 3Q24 4
Slide 21: Allowance
Allowance ACL / Total Loans Held for Investment 2.26% 2.31% 2.32% 2.25% 2.17% 2.14% 2.08% 2.06% 2.08% 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 ACL by % of Portfolio 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 6/30/25 Auto 3.16 % 3.25 % 3.23 % 3.
Slide 22: Core Non-Interest Income ($M)
Core Non-Interest Income ($M) Total Banking Services $18.8 $17.3 $32.1 $32.8 $16.0 $16.0 $30.1 $30.2 $15.6 $15.3 $29.2 $26.3 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 Wealth Management Mortgage Banking $6.8 $10.6 $5.3 $4.7 $4.9 $4.8 $8.9 $8.1 $8.4 $8.4 $8.5 $2.3 1Q24 2Q24 3Q24 4Q24
Slide 23: Capital: Fortress Balance Sheet
Capital: Fortress Balance Sheet Basel III Standardized ($ in millions except per share) 2Q24 3Q24 4Q24 1Q25 2Q25 CET1 Capital $ 1,223.0 $ 1,260.9 $ 1,256.9 $ 1,261.7 $ 1,293.0 CET1 Capital Ratio 14.29 % 14.37 % 14.26 % 14.27 % 13.99 % Tier 1 Capital $ 1,223.0 $ 1,260.9 $ 1,256.9 $ 1,261.7 $ 1,293.0
Slide 24: Income Statement Highlights: 2Q25 vs. 1Q25
Income Statement Highlights: 2Q25 vs. 1Q25 $ in millions 2Q25 1Q25 Δ Comment Total Interest Income • Cash $ 8.1 $ 6.3 $ 1.8 • 26% higher average balance & 2 bps higher yield • Investment Securities 29.3 29.5 -0.2 • 1% lower average balance & 0 bps higher yield • Loans 157.0 153.4 3.6 • 2% higher ave
Slide 25: Income Statement Highlights: 2Q25 vs. 2Q24
Income Statement Highlights: 2Q25 vs. 2Q24 $ in millions 2Q25 2Q24 Δ Comment Total Interest Income • Cash $ 8.1 $ 8.7 $ (0.6) • 14% higher average balance & 101 bps lower yield • Investment Securities 29.3 24.7 4.6 • 11% higher average balance & 29 bps higher yield • Loans 157.0 154.3 2.7 • 5% highe
Slide 26: Thank you.
Thank you. Contact: IR Coordinators Gary Fishman gfishman@ofgbancorp.com Michael Wichman mwichman@ofgbancorp.com 212-532-3232