Slide 1: Financial Results 3Q 2024
Financial Results 3Q 2024
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains “forward-looking statements” concerning the Corporation’s future economic, operational and financial performance. The words or phrases “expect,” “anticipate,” “intend,” “should,” “would,” “will,” “plans,” “forecast,” “believe” and similar express
Slide 3: Agenda
AGENDA 3Q 2024 Quarter Highlights Aurelio Alemán, President and Chief Executive Officer 3Q 2024 Results of Operations Orlando Berges, Executive Vice President and Chief Financial Officer Questions and Answers 3
Slide 4: Financial Performance Highlights
THIRD QUARTER 2024 Financial Performance Highlights ▪ Net income of $73.7 million ($0.45 per diluted share), compared to $75.8 million ($0.46 per diluted share) in 2Q 2024 ▪ Solid return on average assets (“ROAA”) of 1.55%, compared to 1.61% in 2Q 2024 Profitability ▪ On a non-GAAP basis, adjusted p
Slide 5: Franchise Highlights and Operating Environment
FRANCHISE HIGHLIGHTS AND OPERATING ENVIRONMENT KEY HIGHLIGHTS POSITIVE ECONOMIC BACKDROP PR Economic Activity Index (EAI)(2) ROAA: 1.55% CET1 Ratio: 16.2% 15% Growth in YoY Change 1 2 3 Tangible Book Value Adj. ROACE(1): 13.5% ACL Coverage: 1.98% 127.5 125.7 125.4 126.9 (Linked-Quarter) 119.8 121.1
Slide 6: Results of Operations
Cred Bancorn | Results of Operations
Slide 7: Discussion of Results
THIRD QUARTER 2024 Discussion of Results Income Statement and Selected Financial Data Non-GAAP Reconciliation – Selected Data(1) 3Q 2024 2Q 2024 Variance 3Q 2023 3Q24 Adjusted Tangible Common Equity Ratio ($ in thousands, except per share data and financial ratios) Interest income $ 274,675 $ 272,24
Slide 8: Profitability Dynamics: Net Interest Income
THIRD QUARTER 2024 Profitability Dynamics Net Interest Income ($MM) Evolution of Loan Yields and Cost of Funds(1) 250 10 7.67% 7.73% 7.79% 7.84% 7.83% $202.1 9 $199.7 $196.7 $196.5 $199.6 200 8 7 150 6 4.15% 4.14% 4.16% 4.22% 4.25% 5 6.21% 6.13% 6.11% 6.15% 6.14% 100 4 3 1.60% 1.68% 1.69% 1.69% 1.46
Slide 9: Profitability Dynamics: Non-Interest Income and Expenses
THIRD QUARTER 2024 Profitability Dynamics Non-Interest Income ($MM) Non-Interest Expenses ($MM) 35 $33.6 $34.0 $32.5 10 $30.3 $32.0 140 $126.6 10 $116.6 $120.9 $118.7 $122.9 30 120 8 8 25 $21.4 100 $21.8 $18.9 $19.6 $55.6 $57.5 $59.1 20 $17.9 6 $56.5 $59.5 6 80 15 4 $71.1 4 10 $2.8 $2.1 $2.9 $3.4 $3
Slide 10: Asset Quality
THIRD QUARTER 2024 Asset Quality Non-Performing Assets ($MM) Repossessed Assets and Other Residential Commercial Repossessed Assets and Other Loans HFI NPAs/Assets Consumer Construction 140 $130 $130 $127 140 $130 $130 $127 10 $126 1.0 $126 $119 $119 120 120 $37 $37 $31 0.9 $37 $37 $31 100 $42 $30 1
Slide 11: ACL and Capital
THIRD QUARTER 2024 ACL and Capital Evolution of ACL ($MM) and Capital Ratios (%) ACL on Loans to Total Loans (%) 18.8 18.6 18.4 18.2 18.3 300 $271.1 16.4 16.4 16.2 16.2 $260.9 16.1 16.1 15.9 15.9 15.8 15.8 $248.0 $2.7 $4.8 $252.1 250 $4.0 $1.8 $4.5 $1.6 $3.5 7.5 $8.0 200 10.6 10.8 10.7 10.6 11.0 $15
Slide 12: Appendix and Non-GAAP Financial Measures
3Q 2024 Financial Results Appendix and Non-GAAP Financial Measures
Slide 13: Appendix – Balance Sheet Highlights
THIRD QUARTER 2024 Appendix – Balance Sheet Highlights Loan Portfolio - $MM Commercial Loan Portfolio Distribution - $MM Total Deposits (excluding Brokered CDs) - $MM C&I $12,193 $12,324 $12,396 $12,459 $5,677 Office CRE (PR) $16,125 $15,904 $11,960 $15,773 $15,820 $15,827 $7 $12 $10 $13 Loans HFS $
Slide 14: Appendix - Puerto Rico Government Exposure
THIRD QUARTER 2024 Appendix - Puerto Rico Government Exposure Government Loans Government Deposits Government Unit Source of Repayment Total Government Unit Time Deposits Transaction Accounts Total Puerto Rico Securities $ 3.0 Municipalities $ 51.8 $ 551.4 $ 603.2 Public Agencies 70.2 962.5 1,032.7
Slide 15: Appendix - NPL Migration
THIRD QUARTER 2024 Appendix - NPL Migration 3Q 2024 Residential Commercial Commercial & Construction Consumer Total Mortgage Mortgage Industrial Beginning balance $ 31,396 $ 11,736 $ 27,661 $ 4,742 $ 20,638 $ 96,173 Plus: Additions to non-performing 4,678 100 902 - 32,983 38,663 Less: Non-performing
Slide 16: Appendix - Use of Non-GAAP Financial Measures
THIRD QUARTER 2024 Appendix - Use of Non-GAAP Financial Measures Basis of Presentation: Use of Non-GAAP Financial Measures This presentation contains non-GAAP financial measures. Non-GAAP financial measures are used when management believes that the presentation of these non-GAAP financial measures
Slide 17: Appendix - Use of Non-GAAP Financial Measures
THIRD QUARTER 2024 Appendix - Use of Non-GAAP Financial Measures Basis of Presentation: Use of Non-GAAP Financial Measures This presentation contains non-GAAP financial measures. Non-GAAP financial measures are used when management believes that the presentation of these non-GAAP financial measures
Slide 18: Appendix - Use of Non-GAAP Financial Measures
THIRD QUARTER 2024 Appendix - Use of Non-GAAP Financial Measures Basis of Presentation: Use of Non-GAAP Financial Measures This presentation contains non-GAAP financial measures. Non-GAAP financial measures are used when management believes that the presentation of these non-GAAP financial measures
Slide 19: BLD LLLESSeee eer
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