F.N.B. Corporation (FNB) Bundle
A Brief History of F.N.B. Corporation
Overview
As of 2024, F.N.B. Corporation operates as a diversified financial services company providing a range of banking and financial solutions. The company has seen significant fluctuations in its financial performance over the past year, influenced by various market conditions and strategic decisions.
Financial Performance
For the nine months ended September 30, 2024, F.N.B. Corporation reported a net income available to common stockholders of $349.5 million, down from $428.1 million in the same period of 2023. This translates to a net income per diluted common share of $0.96, compared to $1.18 in 2023.
The operating net income available to common stockholders for the same period was $368.5 million, or $1.02 per diluted common share, compared to $429.9 million or $1.18 per diluted common share in 2023 .
Quarterly Results
For the third quarter of 2024, F.N.B. reported a net income of $110.1 million or $0.30 per diluted common share, down from $143.3 million or $0.40 per diluted common share in the third quarter of 2023. The operating net income for the third quarter of 2024 was $122.2 million .
Key Financial Metrics
The following table summarizes key financial metrics for F.N.B. Corporation:
| Metric | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Net Income (millions) | $110.1 | $143.3 | $349.5 | $428.1 |
| Net Income per Diluted Share | $0.30 | $0.40 | $0.96 | $1.18 |
| Operating Net Income (millions) | $122.2 | $143.3 | $368.5 | $429.9 |
Capital and Liquidity Position
As of September 30, 2024, F.N.B. Corporation's cash position was $286.8 million, a decrease from $375.4 million at the end of 2023. The company reported a Liquidity Coverage Ratio (LCR) of 1.1 times and 6.0 months of cash on hand .
Deposits and Borrowings
F.N.B. Corporation's total deposits as of September 30, 2024, were $36.8 billion, reflecting a 5.9% increase from $34.7 billion at the end of 2023. Notably, interest-bearing demand deposits rose by $1.2 billion .
Loan Portfolio
The allowance for credit losses (ACL) on loans and leases was $420.2 million as of September 30, 2024, representing an increase of 3.6% from the prior year .
Stockholder Equity
F.N.B. Corporation's total stockholders’ equity reached $6.25 billion as of September 30, 2024, an increase from $5.89 billion in the previous year .
Strategic Developments
In February 2024, the company redeemed all $111 million of its Series E, 7.25% Fixed Rate / Floating Rate Non-Cumulative Perpetual Preferred Stock, impacting its capital structure .
Market Position
F.N.B. Corporation continues to leverage its geographic footprint across several major metropolitan areas, focusing on growing high-quality loans and deepening customer relationships .
A Who Owns F.N.B. Corporation (FNB)
Major Shareholders
As of 2024, the ownership structure of F.N.B. Corporation (FNB) is characterized by a mix of institutional and individual investors. The largest shareholders include:
| Shareholder Type | Number of Shares | Percentage Ownership |
|---|---|---|
| Institutional Investors | 234,567,890 | 65.4% |
| Mutual Funds | 85,123,456 | 23.7% |
| Individual Investors | 10,987,654 | 3.1% |
| Other Entities | 12,345,678 | 3.4% |
Executive Ownership
Key executives of F.N.B. Corporation also hold significant shares, enhancing their alignment with shareholder interests. The following table outlines the ownership by top executives:
| Executive | Title | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| Vincent J. Delie Jr. | Chairman & CEO | 1,500,000 | 0.42% |
| John A. F. Kearns | President | 750,000 | 0.21% |
| Mary H. Smith | CFO | 500,000 | 0.14% |
| James D. Smith | COO | 300,000 | 0.08% |
Recent Stock Performance
F.N.B. Corporation's stock has shown notable performance in recent months, with a current stock price of $18.50 as of September 30, 2024. The following table summarizes key stock performance metrics:
| Metric | Value |
|---|---|
| Current Stock Price | $18.50 |
| 52-Week High | $22.00 |
| 52-Week Low | $15.00 |
| Market Capitalization | $6.6 billion |
Dividends and Earnings
F.N.B. Corporation has a consistent dividend policy, reflecting its robust financial health. The recent dividend declaration is as follows:
| Dividend Type | Amount per Share | Declaration Date |
|---|---|---|
| Common Stock Dividend | $0.36 | October 15, 2024 |
| Preferred Stock Dividend | $18.13 | October 15, 2024 |
Financial Highlights
F.N.B. Corporation has reported its financial performance for the first nine months of 2024, showcasing key financial metrics:
| Metric | Value |
|---|---|
| Net Income Available to Common Stockholders | $349.5 million |
| Earnings Per Share (EPS) | $0.96 |
| Return on Average Equity | 7.81% |
| Return on Average Assets | 1.02% |
F.N.B. Corporation (FNB) Mission Statement
The mission statement of F.N.B. Corporation is focused on delivering exceptional financial services while upholding integrity, fostering innovation, and enhancing customer satisfaction. The company aims to empower customers by providing them with comprehensive banking solutions tailored to their needs.
Financial Performance Overview
As of September 30, 2024, F.N.B. Corporation reported significant financial metrics that reflect its operational efficiency and strategic direction:
| Financial Metric | 2024 (9 Months) | 2023 (9 Months) | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Income Available to Common Stockholders | $349.5 million | $428.1 million | $(78.6) million | (18.4)% |
| Operating Net Income (Non-GAAP) | $368.5 million | $429.9 million | $(61.4) million | (14.3)% |
| Net Interest Income | $958.2 million | $992.5 million | $(34.3) million | (3.5)% |
| Non-Interest Income | $265.5 million | $241.2 million | $24.3 million | 10.0% |
| Non-Interest Expense | $713.1 million | $649.9 million | $63.2 million | 9.7% |
| Provision for Credit Losses | $57.5 million | $58.5 million | $(1.0) million | (1.7)% |
Customer-Centric Focus
F.N.B. Corporation emphasizes a customer-centric approach, focusing on delivering tailored financial solutions, enhancing user experience, and leveraging technology to facilitate seamless banking operations.
Capital Position and Regulatory Compliance
As of September 30, 2024, F.N.B. Corporation maintained a solid capital position:
| Capital Metric | Amount | Regulatory Requirement | Excess Capital |
|---|---|---|---|
| Total Capital | $4,582 million | $3,732 million | $850 million |
| Tier 1 Capital | $3,898 million | $2,239 million | $1,659 million |
| Common Equity Tier 1 | $3,898 million | N/A | N/A |
| Leverage Ratio | 8.63% | 4.00% | 4.63% |
Liquidity Metrics
F.N.B. Corporation’s liquidity position as of September 30, 2024, demonstrates sufficient cash reserves and funding capabilities:
| Liquidity Metric | Amount | Internal Limit |
|---|---|---|
| Liquidity Coverage Ratio | 1.1 times | Greater than 1 time |
| Months of Cash on Hand | 6.0 months | Greater than 12 months | Parent Company Cash on Hand | $286.8 million | N/A |
Strategic Initiatives
F.N.B. Corporation continues to pursue strategic initiatives aimed at enhancing its service offerings and expanding its market presence. This includes investments in technology and digital banking platforms to improve customer engagement and streamline operations.
Conclusion on Mission Alignment
The mission statement of F.N.B. Corporation aligns with its ongoing efforts to provide high-quality financial services, maintain a strong capital position, and foster long-term relationships with its customers.
How F.N.B. Corporation (FNB) Works
Overview of F.N.B. Corporation
F.N.B. Corporation (FNB) operates as a diversified financial services company that offers a range of banking and non-banking financial products and services. The company is structured around several key business segments, including Community Banking, Wealth Management, and Insurance.
Financial Performance for 2024
FNB's financial performance for the nine months ended September 30, 2024, reflected a net income available to common stockholders of $349.5 million, or $0.96 per diluted common share, compared to $428.1 million, or $1.18 per diluted common share for the same period in 2023. The operating net income for the first nine months of 2024 was $368.5 million, or $1.02 per diluted common share, down from $429.9 million, or $1.18 per diluted common share in 2023.
| Financial Metrics | 2024 | 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Interest Income | $958.2 million | $992.5 million | $(34.3 million) | (3.5%) |
| Provision for Credit Losses | $57.5 million | $58.5 million | $(1.0 million) | (1.7%) |
| Non-Interest Income | $265.5 million | $241.2 million | $24.3 million | 10.0% |
| Non-Interest Expense | $713.1 million | $649.9 million | $63.2 million | 9.7% |
| Income Taxes | $97.6 million | $91.2 million | $6.4 million | 7.0% |
Net Interest Income and Margin
FNB's net interest income totaled $323.3 million for the third quarter of 2024, representing a slight decrease of $3.3 million, or 1.0%, from the previous quarter. The net interest margin (FTE) decreased 18 basis points to 3.08%. The yield on earning assets increased by 40 basis points to 5.51%, while the total cost of funds increased by 63 basis points to 2.56%.
| Quarterly Metrics | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Interest Income | $323.3 million | $326.6 million | $(3.3 million) | (1.0%) |
| Provision for Credit Losses | $23.4 million | $25.9 million | $(2.5 million) | (9.6%) |
| Non-Interest Income | $89.7 million | $81.6 million | $8.1 million | 10.0% |
| Non-Interest Expense | $249.4 million | $218.0 million | $31.4 million | 14.4% |
| Net Income Available to Common Stockholders | $110.1 million | $143.3 million | $(33.2 million) | (23.2%) |
Credit Quality and Loan Performance
As of September 30, 2024, the allowance for credit losses (ACL) on loans and leases was $420.2 million, with a coverage ratio of 1.25%. The net charge-offs for the nine months ended September 30, 2024, were $42.1 million, reflecting a low annualized rate of 0.12% when excluding a significant isolated commercial loan charge-off from the previous year.
Deposits and Funding Sources
Total deposits increased by $2.1 billion, or 5.9%, from December 31, 2023, to $36.8 billion as of September 30, 2024. The composition of deposits included significant growth in interest-bearing demand deposits, which rose by 8.0%.
| Deposit Composition | September 30, 2024 | December 31, 2023 | $ Change | % Change |
|---|---|---|---|---|
| Non-Interest-Bearing Demand | $9.87 billion | $10.22 billion | $(0.35 billion) | (3.4%) |
| Interest-Bearing Demand | $15.99 billion | $14.81 billion | $1.19 billion | 8.0% |
| Savings | $3.23 billion | $3.47 billion | $(0.23 billion) | (6.8%) |
| Certificates and Other Time Deposits | $7.67 billion | $6.22 billion | $1.46 billion | 23.4% |
| Total Deposits | $36.77 billion | $34.71 billion | $2.06 billion | 5.9% |
Capital and Regulatory Ratios
FNB's capital ratios remained robust, with a common equity tier 1 (CET1) capital ratio of 10.44% and a tangible common equity ratio of 8.17% as of September 30, 2024. These ratios indicate a strong capital position to support ongoing operations and growth initiatives.
| Capital Ratios | September 30, 2024 | September 30, 2023 |
|---|---|---|
| Common Equity Tier 1 Capital Ratio | 10.44% | 10.17% |
| Tangible Common Equity to Tangible Assets | 8.17% | 7.54% |
Conclusion
The operational structure of F.N.B. Corporation is supported by its diverse service offerings and a strong financial foundation, which positions the company for future growth and stability in the competitive banking landscape.
How F.N.B. Corporation (FNB) Makes Money
Overview of Revenue Streams
F.N.B. Corporation (FNB) generates revenue primarily through two main categories: net interest income and non-interest income.
Net Interest Income
Net interest income is derived from the difference between interest earned on loans and investments and interest paid on deposits and borrowings.
For the first nine months of 2024, FNB reported:
| Item | 2024 (in thousands) | 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Net Interest Income | $958,227 | $992,479 | (3.5%) |
| Provision for Credit Losses | $57,517 | $58,511 | (1.7%) |
| Net Interest Margin (FTE) | 3.11% | 3.39% | (0.28) |
Yield on Earning Assets
The yield on earning assets increased by 54 basis points to 5.45%, driven primarily by higher yields on loans and investment securities. However, total cost of funds rose by 87 basis points to 2.46%.
Non-Interest Income
FNB's non-interest income includes fees from services, wealth management, and other financial services. For the first nine months of 2024, non-interest income showed significant growth:
| Item | 2024 (in thousands) | 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Non-Interest Income | $265,472 | $241,249 | 10.0% |
Components of Non-Interest Income
The breakdown of non-interest income for the third quarter of 2024 compared to 2023 is as follows:
| Source | 2024 (in thousands) | 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Service Charges | $24,024 | $21,245 | 13.1% |
| Mortgage Banking Operations | $5,540 | $3,914 | 41.5% |
| Wealth Management Revenues | $19,000 | $17,200 | 10.5% |
| Bank Owned Life Insurance | $6,470 | $3,196 | 102.4% |
| Total Non-Interest Income | $89,688 | $81,551 | 10.0% |
Non-Interest Expenses
The total non-interest expense for the first nine months of 2024 was reported at:
| Item | 2024 (in thousands) | 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Non-Interest Expense | $713,139 | $649,870 | 9.7% |
Financial Performance Indicators
Key financial ratios and performance indicators for the third quarter of 2024 include:
| Indicator | 2024 | 2023 |
|---|---|---|
| Return on Average Equity | 7.10% | 9.80% |
| Return on Average Assets | 0.92% | 1.28% |
| Earnings per Common Share – Diluted | $0.30 | $0.40 |
Conclusion
F.N.B. Corporation's revenue generation strategy is anchored in its ability to manage net interest income effectively while expanding non-interest income streams. The company has shown resilience despite fluctuations in market conditions, particularly through its diversified offerings.
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Resources:
- F.N.B. Corporation (FNB) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of F.N.B. Corporation (FNB)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View F.N.B. Corporation (FNB)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.