F.n.b. Corporation · NYSE:FNB
F.n.b — Q3 2023 Earnings Presentation
27 slides from F.n.b's earnings presentation, Oct 19, 2023
Slide 1: F.N.B. Corporation Earnings Presentation Third Quarter 2023
F.N.B. Corporation Earnings Presentation Third Quarter 2023 October 19, 2023
Slide 2: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding Forward-Looking Information This document may contain statements regarding F.N.B. Corporation’s outlook for earnings, revenues, expenses, tax rates, capital and liquidity levels and ratios, asset quality levels, financial position and other matters regarding or affecti
Slide 3: Use of Non-GAAP Financial Measures and Key Performance Indicators
Use of Non-GAAP Financial Measures and Key Performance Indicators To supplement our Consolidated Financial Statements presented in accordance with GAAP, we use certain non-GAAP financial measures, such as operating net income available to common stockholders, operating earnings per diluted common sh
Slide 4: Financial Highlights
Financial Highlights Third Quarter 2023 Highlights ❖ Earnings per diluted common share of $0.40, an increase of 5.3% year-over-year. o Revenue totaled $408 million, an increase of 7.5%. o Net income available to common shareholders totaled $143 million, an increase of 5.7%. ❖ Total loans and leases
Slide 5: Strong Financial Performance
Strong Financial Performance Strong Profitability Metrics Quarter Ended 9/30/2023 3Q23 YoY Spot Balances Growth 18.2% 51.7% ROATCE(1) Efficiency Ratio(1)(2) 12% 2% Total Loans Total Deposits 1.4% 3.26% ROATA(1) Net Interest Margin(2) 3Q23 YoY Quarterly Revenue Growth Significant Capital, Reserves &
Slide 6: Third Quarter Financial Highlights
Third Quarter Financial Highlights 3Q23 2Q23 3Q22 YTD 2023 YTD 2022 Net income available to common stockholders (millions) $143.3 $140.4 $135.5 $428.1 $293.6 Reported Earnings per diluted common share $0.40 $0.39 $0.38 $1.18 $0.83 Results Book value per common share $16.13 $15.92 $15.11 Operating ne
Slide 7: Strong Capital Position
Strong Capital Position FNB maintains capital ratios that are stronger than peer median while demonstrating a more conservative credit culture. TCE Ratio CET1 Ratio (2) (2) 7.5% 7.5% (3) (1) (1) 6.9% 10.2% 10.1% 10.3% 6.7% 6.8% 6.4% 9.4% 9.3% 9.1% 8.3% 8.4% 8.4% FNB FNB Peer Median FNB FNB Peer Medi
Slide 8: Asset Quality
Asset Quality $ in millions, unless otherwise stated 3Q23 2Q23 3Q22 3Q23 Highlights o The provision for credit losses of $25.9 million supported loan Delinquency 0.63% 0.75% 0.59% growth and included $18.8 million in additional provision for the previously disclosed $31.9 million isolated commercial
Slide 9: Asset Quality Ratios
Asset Quality Ratios Asset quality metrics remain near historical lows and FNB will continue to manage risk proactively and aggressively as part of our core credit philosophy. NCO’s (Annualized) to Average Loans NPL’s and OREO to Loans and OREO 0.47% 0.47% 0.39% 0.38% 0.36% 0.32% 0.26% 0.16% 0.18% 0
Slide 10: Loan Portfolio Mix
Loan Portfolio Mix Highly diversified, commercial-focused loan portfolio Loan Portfolio (as of September 30, 2023) C&I Owner CRE 22% 11% Other 1% Equip Finance/ Commercial Leasing Group 3% Non-Owner CRE Indirect 26% 5% HELOC 4% Home Equity 8% Residential Mortgage 20% Total Loan Portfolio: $32.2 bill
Slide 11: Non-Owner Occupied CRE Portfolio
Non-Owner Occupied CRE Portfolio Non-Owner Occupied CRE Portfolio(1) CRE - Office Loan Statistics Retail as of September 30, 2023 20.2% ❖ Long history of working with well-established sponsors with a focus on strong global cash flows. Other Office 21.9% ❖ The top 25 loans average approximately $30 m
Slide 12: Balance Sheet Highlights
Balance Sheet Highlights Average, $ in millions 3Q23 2Q23 3Q22 QoQ ∆(1) YoY ∆ 3Q23 Highlights Securities $7,098 $7,145 $7,246 (0.7%) (2.0%) o Total securities slightly decreased quarter over quarter with average duration of 4.4 Total Loans 31,740 31,048 28,431 2.2% 11.6% years and AFS comprising 45%
Slide 13: Deposit Composition
Deposit Composition FNB Maintains a Favorable Deposit Mix. Total Deposits(1) (2009 – 3Q23) ($ amount in billions) 2009 3Q23 Δ $34.8 $34.2 $34.6 $33.8 NIB Deposits 16% 31% +15% $31.7 $29.1 Time Deposits 35% 17% -18% 34% 33% 31% 32% $24.8 34% $23.5 $22.4 31% 26% 26% 26% $16.1 $12.6 52% 52% $11.4 26% 5
Slide 14: Stable and Granular Deposit Base
Stable and Granular Deposit Base Diversified funding channels provide levers for growth and reflect long-term relationships. Deposit Composition Key Statistics as of September 30, 2023 as of September 30, 2023 Consumer Private Banking 40% 3% ❖ $34.6 billion in total deposits with a continued strateg
Slide 15: Revenue Highlights
Revenue Highlights $ in thousands, unless otherwise stated 3Q23 2Q23 3Q22 QoQ Δ(2) YoY Δ 3Q23 Highlights Total interest income $513,361 $484,200 $342,714 6.0% 49.8% o Net interest income decreased linked-quarter from higher deposit costs Total interest expense 186,780 154,956 45,589 20.5% 309.7% and
Slide 16: Interest Rate Risk Profile
Interest Rate Risk Profile Cumulative Total Deposit Betas Loan Repricing Frequency as of September 30, 2023 9/30/22 12/31/22 3/31/23 6/30/23 9/30/23 16,000,000 Fed Funds Rate 3.25% 4.50% 5.00% 5.25% 5.50% 47.1% Other Cumulative Deposit Beta 12.5% 16.6% 21.8% 26.6% 31.0% 14,000,000 39.3% 12,000,000 T
Slide 17: Non-Interest Income
Non-Interest Income $ in thousands, unless otherwise stated 3Q23 2Q23 3Q22 QoQ Δ(1) YoY Δ 3Q23 Highlights Service charges $34,766 $34,056 $35,954 2.1% (3.3%) o Service charges increased linked-quarter due to strong treasury management Trust income 10,526 10,630 9,600 (1.0%) 9.6% services. o Capital
Slide 18: Non-Interest Expense
Non-Interest Expense $ in thousands, unless otherwise stated 3Q23 2Q23 3Q22 QoQ Δ(1)(2) YoY Δ 3Q23 Highlights Salaries and employee benefits $113,351 $113,946 $106,620 (0.5%) 6.3% o Net occupancy and equipment increase was largely due to the impact Occupancy and equipment 41,573 38,034 34,839 9.3% 1
Slide 19: 2023 Financial Objectives
2023 Financial Objectives 4Q23 Guidance FY 2023 Guidance Commentary Organic loan growth driven by increasing Spot Loans Mid-to-high single digit growth market share and our diverse geographic Balance footprint. Sheet(1) Expecting year-end balances to be flattish to Spot Deposits Flattish 9/30/23 lev
Slide 20: 2023 Peer Group Listing
2023 Peer Group Listing Ticker Institution Ticker Institution ASB Associated Banc-Corp. PNFP Pinnacle Financial Partners. BKU BankUnited, Inc. RF Regions Financial Corp. BOKF BOK Financial Corp. SNV Synovus Financial Corp. CBSH Commerce Bancshares, Inc. SSB SouthState Corp. CFR Cullen/Frost Bankers,
Slide 21: Non-GAAP to GAAP Reconciliation
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Slide 22: Non-GAAP to GAAP Reconciliation
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Slide 23: Non-GAAP to GAAP Reconciliation
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Slide 24: Non-GAAP to GAAP Reconciliation
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Slide 25: Non-GAAP to GAAP Reconciliation
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Slide 26: Non-GAAP to GAAP Reconciliation
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Slide 27: Non-GAAP to GAAP Reconciliation
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