Financial Performance - The company reported a net income of $39.4 million and an adjusted net income of $40.1 million for 1Q25[8,9] - Return on average assets (ROAA) was 1.21%, with an adjusted ROAA of 1.23%[8] - Diluted earnings per share were $0.84, and adjusted diluted earnings per share were $0.85[8,9] - Pre-Tax Pre-Provision Net Revenue was $51.1 million, with an adjusted figure of $52.1 million[8] Balance Sheet and Credit Quality - Loans held for investment (HFI) grew at an annualized rate of 7.14%, representing an increase of $169 million[8] - The allowance for credit losses (ACL) coverage ratio stood at 1.54%[8] - The ratio of non-performing assets to total assets decreased by 9 basis points to 0.84%[8] - Tangible Common Equity to Tangible Assets ratio was 10.5%[8] Net Interest Margin and Deposits - Net interest margin (NIM) expanded by 5 basis points to 3.55%[8] - The company experienced growth in core deposits amidst a managed runoff of higher-cost deposits[8] Merger and Acquisition - On March 31, 2025, the company announced its merger with Southern States Bancshares Inc[8]

Financial Data and Key Metrics Changes - FB Financial reported EPS of 84 cents and adjusted EPS of 85 cents for Q1 2025, with a tangible book value per share growth at a compound annual growth rate of 12.8% since its IPO in 2016 [14][15] - Pre-tax pre-provision net revenue was $51.1 million, or $52.2 million on an adjusted basis, with net interest income of $107.6 million and non-interest income of $23 million for the quarter [23][24] - The net interest margin increased by five basis points to 3.55%, while the cost of total interest-bearing deposits decreased by 24 basis points [25][26] Business Line Data and Key Metrics Changes - Loan balances grew by $169 million at an annualized rate of 7.14%, primarily in commercial and industrial (CNI) and owner-occupied commercial real estate (CRE) [15][16] - Non-interest income remained relatively flat at $23 million, with mortgage banking income up by approximately $1.8 million due to lower market interest rates [28] Market Data and Key Metrics Changes - The company operates as a regional bank across five states in the Southeast, focusing on customer service and community engagement during economic uncertainty [20] - Economic uncertainty has increased, but the company believes it presents opportunities for disciplined and prepared organizations [21] Company Strategy and Development Direction - The planned combination with Southern States Bank is expected to close in Q3 2025, with a strong conviction in the cultural fit and market opportunity of the merger [13][14] - The company aims to balance growth through organic means while integrating the Southern States transaction, emphasizing the strength of its operating foundation [17] Management's Comments on Operating Environment and Future Outlook - Management noted that economic uncertainty is rising, but the company's mission remains unchanged, focusing on serving customers and communities [19][20] - The company is prepared for various economic environments, with a strong capital position and a focus on understanding customer needs during uncertain times [21][22] Other Important Information - The allowance for credit loss balance decreased to $151 million, with an annualized net charge-off rate of 0.14% driven by credit in the C&I portfolio [31] - The company maintains strong capital ratios, including a tangible common equity to total assets ratio of 10.5% and a preliminary common equity tier one ratio of 12.8% [32] Q&A Session Summary Question: Loan growth trends and customer sentiment - Management noted some reticence about major projects at a macro level, but pipelines remain robust with an outlook for high single to low double-digit growth [40][41] Question: Performance in new markets like Asheville and Tuscaloosa - Both markets are showing positive momentum, with strong starts in Tuscaloosa and improving conditions in Asheville [43][44] Question: Stock buyback strategy - The company has $73 million remaining on its stock buyback authorization and will consider buying back shares if they believe the stock is undervalued [51] Question: Balance sheet growth expectations - The company anticipates stronger balance sheet growth in Q2, driven by core customer deposits and managing higher-cost deposits [64][65] Question: Construction commitments and risks - The company is monitoring its construction commitments closely, particularly in Nashville, but maintains a healthy concentration ratio [70] Question: Charge-off expectations and credit quality - Management expects charge-offs to be lower than historical levels, with concerns primarily in the C&I portfolio rather than real estate [92][94] Question: Expense growth and efficiency - The company anticipates a slight increase in expenses due to higher compensation-related costs but expects to stabilize in the latter half of the year [109][111]

Financial Performance - FB Financial reported revenue of $130.67 million for the quarter ended March 2025, representing a 21.6% increase year-over-year [1] - The earnings per share (EPS) remained stable at $0.85, unchanged from the same quarter last year [1] - The reported revenue was slightly below the Zacks Consensus Estimate of $132.69 million, resulting in a revenue surprise of -1.52% [1] Key Metrics - Efficiency Ratio was reported at 60.9%, higher than the three-analyst average estimate of 57.3% [4] - Net Interest Margin matched the estimated 3.6% [4] - Average Earning Assets were $12.39 billion, aligning with the two-analyst average estimate [4] - Net Charge-offs during the period to Average Loans outstanding were 0.1%, consistent with the two-analyst average estimate [4] - Mortgage banking income was $12.43 million, exceeding the three-analyst average estimate of $10.66 million [4] - Total Noninterest income reached $23.03 million, surpassing the three-analyst average estimate of $22.81 million [4] - Net interest income (tax-equivalent basis) was $108.43 million, slightly below the $109.51 million average estimate [4] - Other Income was reported at $1.35 million, lower than the two-analyst average estimate of $2.51 million [4] - Service charges on deposit accounts were $3.48 million, compared to the $3.40 million average estimate [4] - Net Interest Income was $107.64 million, below the two-analyst average estimate of $109.79 million [4] - ATM and interchange fees were $2.68 million, lower than the two-analyst average estimate of $2.86 million [4] - Investment services and trust income was $3.71 million, slightly above the two-analyst average estimate of $3.70 million [4] Stock Performance - FB Financial shares have returned -12.6% over the past month, compared to the Zacks S&P 500 composite's -3.6% change [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating potential for outperformance in the near term [3]

Core Viewpoint - FB Financial (FBK) reported quarterly earnings of $0.85 per share, matching the Zacks Consensus Estimate, with year-over-year earnings remaining unchanged at $0.85 per share [1] - The company posted revenues of $130.67 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 1.52%, but showing an increase from $107.45 million a year ago [2] Earnings Performance - FB Financial's earnings surprise was 1.19% as it exceeded the expected earnings of $0.84 per share from a quarter ago [1] - Over the last four quarters, the company has surpassed consensus EPS estimates three times [1] Revenue Analysis - The company has topped consensus revenue estimates only once over the last four quarters [2] - The current consensus EPS estimate for the upcoming quarter is $0.92, with expected revenues of $137.45 million, and for the current fiscal year, the EPS estimate is $3.87 on revenues of $597.74 million [7] Stock Performance - FB Financial shares have declined approximately 21.3% since the beginning of the year, compared to a decline of 8.8% for the S&P 500 [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating expectations of outperforming the market in the near future [6] Industry Outlook - The Banks - Northeast industry, to which FB Financial belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Total interest income for Q1 2025 was $179,706,000, a decrease from $186,369,000 in Q4 2024, representing a decline of 0.4%[6] - Net interest income for Q1 2025 was $107,641,000, slightly down from $108,381,000 in Q4 2024, indicating a decrease of 0.7%[6] - The adjusted net income for Q1 2025 was $40,108,000, compared to $39,835,000 in Q4 2024, reflecting an increase of 0.7%[6] - The diluted net income per share for Q1 2025 was $0.84, up from $0.81 in Q4 2024, marking a growth of 3.7%[6] - Net income applicable to FB Financial Corporation increased by 3.9% to $39,361 thousand compared to the previous quarter, and rose by 40.8% year-over-year[9] - Basic earnings per share increased by 3.70% to $0.84 compared to the previous quarter, and rose by 40.0% year-over-year[9] - Total revenue for the quarter was $130,673 thousand, a slight increase of 0.23% from the previous quarter and a 21.6% increase year-over-year[9] - Total noninterest expenses rose by 8.71% to $79,549 thousand compared to the previous quarter, and increased by 9.84% year-over-year[9] - Adjusted net income for Mar 2025 was $40,108 thousand, compared to $39,835 thousand in Dec 2024[45] - Net income for the three months ended March 2025 was $39,361 million, an increase from $37,886 million in December 2024[55] Asset and Liability Management - Total assets as of March 2025 were $13,136,449,000, a slight decrease from $13,157,482,000 in December 2024[6] - Total deposits for Q1 2025 were $11,201,998,000, remaining relatively stable compared to $11,210,434,000 in the previous quarter[6] - Total assets decreased by 0.65% to $13,136,449 million compared to the previous quarter, with a year-over-year increase of 4.69%[11] - Total liabilities decreased by 1.94% to $11,534,394 million, with a year-over-year increase of 4.21%[11] - Total common shareholders' equity increased by 8.91% to $1,601,962 million, with a year-over-year growth of 8.28%[11] - Total liabilities decreased slightly to $11,622,918 thousand from $11,629,599 thousand, while total equity increased to $1,584,051 thousand from $1,564,596 thousand[13] - Total common shareholders' equity to total assets ratio improved to 12.2% in March 2025 from 11.9% in December 2024[37] Credit Quality and Loss Provisions - The allowance for credit losses on loans held for investment (HFI) was 1.54% of loans HFI as of March 2025, down from 1.58% in December 2024[6] - Provision for credit losses on loans held for investment decreased significantly by 72.8% to $1,906 thousand compared to the previous quarter[9] - Total nonperforming loans HFI amounted to $77,160 thousand as of March 2025, down from $83,705 thousand in December 2024, indicating a decline of 7.4%[32] - Total nonperforming assets decreased to $110,429 thousand in March 2025, compared to $121,915 thousand in December 2024, representing a reduction of 9.5%[32] - The annualized net charge-offs as a percentage of average loans HFI improved to 0.14% in March 2025 from 0.47% in December 2024[32] Efficiency and Operational Metrics - The efficiency ratio for Q1 2025 was 60.9%, up from 56.1% in Q4 2024, indicating a decline in operational efficiency[6] - The efficiency ratio for the banking segment was 57.5% in Mar 2025, up from 51.7% in Dec 2024[41] - Core efficiency ratio (tax-equivalent basis) improved to 59.9% in March 2025 from 54.6% in December 2024[49] Income Sources and Growth - Noninterest income increased by 4.71% to $23,032 thousand compared to the previous quarter, and significantly increased by 189.3% year-over-year[9] - Mortgage banking income increased by 17.4% to $12,426 thousand compared to the previous quarter[9] - Mortgage segment total revenue increased to $14,254 million in March 2025, compared to $12,274 million in December 2024[51] Capital and Equity - Common Equity Tier 1 Capital remained stable at $1,466,448 thousand in March 2025, unchanged from $1,450,722 thousand in December 2024[37] - Tangible common equity rose to $1,354,295 million as of March 2025, up from $1,319,215 million in December 2024[53] - Book value per common share increased to $34.44 in March 2025, compared to $33.59 in December 2024[53] Liquidity and Funding - Cash and cash equivalents dropped by 96.4% to $794,706 million, while year-over-year it decreased by 8.73%[11] - On-balance sheet liquidity as a percentage of total assets was 11.4% in March 2025, down from 12.5% in December 2024[24] - Unsecured borrowing capacity was $3,369,107 million, representing 48% of total available sources of liquidity[24]

Core Viewpoint - FB Financial (FBK) is positioned well to continue its trend of beating earnings estimates, with a solid history of performance in recent quarters [1][5]. Earnings Performance - For the most recent quarter, FB Financial reported earnings of $0.85 per share, exceeding the expected $0.84, resulting in a surprise of 1.19% [2]. - In the previous quarter, the company reported $0.86 per share against an expectation of $0.82, achieving a surprise of 4.88% [2]. Earnings Estimates and Predictions - Recent estimates for FB Financial have been increasing, with a positive Earnings ESP (Expected Surprise Prediction) indicating potential for another earnings beat [5][8]. - The current Earnings ESP for FB Financial is +0.78%, suggesting analysts are optimistic about its near-term earnings potential [8]. Zacks Rank and Success Rate - FB Financial holds a Zacks Rank of 1 (Strong Buy), which, when combined with a positive Earnings ESP, indicates a high likelihood of beating earnings estimates [8]. - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% success rate in beating consensus estimates [6].

Company Overview - FB Financial (FBK) shares increased by 8% to close at $43.13, following a notable trading volume, contrasting with an 11.4% loss over the past four weeks [1] - The bank holding company is expected to report quarterly earnings of $0.85 per share, unchanged from the previous year, with revenues projected at $132.69 million, reflecting a 23.5% increase year-over-year [2] Earnings Estimates and Trends - The consensus EPS estimate for FB Financial has remained stable over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [3] - FB Financial holds a Zacks Rank of 1 (Strong Buy), suggesting positive market sentiment [3] Industry Comparison - FB Financial is part of the Zacks Banks - Northeast industry, where Merchants Bancorp (MBIN) also operates, closing 4.6% higher at $34.77, but has seen a -8.4% return over the past month [3] - Merchants Bancorp's consensus EPS estimate has decreased by 2.6% to $1.25, representing a significant -30.6% change from the previous year, and it currently holds a Zacks Rank of 3 (Hold) [4]

Core Viewpoint - Wall Street analysts forecast that FB Financial (FBK) will report quarterly earnings of $0.85 per share, indicating no change from the previous year, with anticipated revenues of $132.69 million, reflecting a 23.5% increase year-over-year [1]. Earnings Estimates - Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter, indicating stability in analysts' forecasts [2]. - Changes in earnings estimates are crucial for predicting investor reactions to the stock, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock price performance [3]. Key Financial Metrics - Analysts estimate the 'Efficiency Ratio' to be 57.3%, down from 67.4% in the previous year [5]. - The 'Net Interest Margin' is projected to reach 3.6%, compared to 3.4% in the same quarter last year [5]. - 'Average Earning Assets' are expected to be $12.39 billion, up from $11.80 billion year-over-year [5]. Income Projections - 'Mortgage banking income' is forecasted at $10.66 million, down from $12.59 million in the previous year [6]. - 'Total Noninterest income' is estimated to be $22.81 million, compared to $7.96 million in the same quarter last year [6]. - 'Net interest income (tax-equivalent basis)' is projected at $109.51 million, up from $100.20 million year-over-year [7]. - 'Service charges on deposit accounts' are expected to reach $3.40 million, compared to $3.14 million in the same quarter last year [7]. - 'Net Interest Income' is anticipated to be $109.79 million, compared to $99.49 million in the previous year [8]. - 'Investment services and trust income' is estimated at $3.70 million, up from $3.23 million in the same quarter last year [8]. Stock Performance - FB Financial shares have decreased by 11.4% over the past month, compared to a 13.5% decline in the Zacks S&P 500 composite [8]. - With a Zacks Rank 1 (Strong Buy), FBK is expected to outperform the overall market in the near future [8].

Core Viewpoint - Wall Street anticipates flat earnings for FB Financial (FBK) compared to the previous year, with a consensus EPS estimate of $0.85 and revenues expected to rise by 18.7% to $127.54 million [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for April 14, and stock movement may depend on whether actual results exceed or fall short of expectations [2]. - A positive Earnings ESP of +0.78% indicates analysts have recently become more optimistic about the company's earnings prospects [10]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, reflecting a stable outlook from covering analysts [4]. - The Most Accurate Estimate being higher than the Zacks Consensus Estimate suggests a bullish sentiment among analysts [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. - FB Financial currently holds a Zacks Rank of 2, reinforcing the likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, FB Financial exceeded the expected EPS of $0.84 by delivering $0.85, resulting in a surprise of +1.19% [12]. - The company has successfully beaten consensus EPS estimates in all of the last four quarters [13]. Conclusion - While FB Financial is positioned as a compelling earnings-beat candidate, other factors should also be considered when evaluating the stock ahead of its earnings release [16].

Core Viewpoint - FB Financial Corporation and Southern States Bancshares, Inc. have entered into a definitive merger agreement, with Southern States being merged into FB Financial, enhancing FB Financial's market presence and growth potential in key areas [1][6]. Company Overview - FB Financial Corporation is headquartered in Nashville, Tennessee, operating through FirstBank with 77 branches across Tennessee, Alabama, Kentucky, and North Georgia, and has total assets of approximately $13.2 billion as of December 31, 2024 [10]. - Southern States Bancshares, Inc. is based in Anniston, Alabama, with 15 branches in Alabama and Georgia, and two loan production offices in the Atlanta MSA, reporting total assets of $2.8 billion, loans of $2.2 billion, and deposits of $2.4 billion as of December 31, 2024 [2][11]. Merger Details - Under the merger agreement, Southern States' shareholders will receive 0.800 shares of FB Financial common stock for each share of Southern States stock, valuing the transaction at approximately $381 million based on FB Financial's closing stock price of $47.05 as of March 28, 2025 [4]. - The merger is expected to close in late Q3 or early Q4 of 2025, pending regulatory approvals and shareholder consent [6]. Leadership and Integration - Both companies' CEOs expressed enthusiasm for the merger, highlighting cultural alignment and the potential benefits for shareholders and customers [3]. - Key executives from Southern States, including its President and CFO, will retain significant roles in the combined entity, ensuring continuity and integration of operations [3]. Financial Advisors - Keefe, Bruyette, & Woods, Inc. acted as financial advisor for FB Financial, while Performance Trust Capital Partners, LLC served as financial advisor for Southern States [7].