Financial Data and Key Metrics Changes - The company reported a net income available to common shareholders of $130.7 million, or $0.36 per share, with a linked quarter revenue growth of 6.5% [4][18] - Pre-provision net revenue rose 16% from the prior quarter to $192 million, and the CET1 ratio approached 11% [4][24] - The tangible common equity ratio stood at 8.5%, with tangible book value per share increasing by 13% year over year to $11.14 [4][24] Business Line Data and Key Metrics Changes - Net interest income reached a record $347 million, while non-interest income totaled $91 million, marking the highest level in the company's history [4][22] - Average loans and leases totaled $34.5 billion, reflecting a 5.3% annualized linked quarter increase, driven by consumer loans and commercial loans [19] - Non-interest income grew significantly, with capital markets income showing strong performance due to record debt capital markets income [22] Market Data and Key Metrics Changes - Average total deposits grew to over $37 billion, with a non-interest bearing demand deposit level maintained at 26% [5][20] - The loan-to-deposit ratio ended the quarter at 91.9%, down slightly from the last quarter [5][20] - The company experienced organic growth across its diverse geographic footprint, with average annualized loan growth totaling 5.3% [5][20] Company Strategy and Development Direction - The company is focused on expanding its capabilities to gain market share, particularly in non-interest income and diversifying revenue streams [6][10] - Recent expansions into public finance and corporate investment banking services are part of the strategy to enhance high-value business lines [7][10] - The integration of the eStore common application into the branch origination platform is aimed at improving customer onboarding and experience [8][10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a pickup in commercial loan growth in 2025, supported by a strong increase in the short-term commercial loan pipeline [19] - The company is closely monitoring the economic environment, including tariff impacts and geopolitical events, while maintaining strong liquidity and capital positions [11][12] - Management highlighted the importance of maintaining a disciplined approach to credit risk management, resulting in improved asset quality metrics [12][13] Other Important Information - The efficiency ratio remained favorable at 54.8%, with expectations for positive operating leverage in the second half of 2025 [24] - The company is actively managing its capital position, with a CET1 ratio of 10.8% and ongoing share repurchase activities [24][100] - The down payment assistance program costs are expected to taper off after fulfilling commitments from a settlement agreement [23][94] Q&A Session Summary Question: Margin guidance for the third quarter - Management indicated expectations for a flattish to slightly up margin in the next two quarters, with a significant increase in net interest income contributing to this outlook [31][32] Question: Increase in expenses due to the Payment Assistance Program - The increase in expenses was primarily due to the down payment assistance program, which is expected to stabilize in the coming quarters [37][38] Question: Deposit cost perspective and competition - Management noted that total interest-bearing deposit costs are expected to remain stable until the Federal Reserve makes a move, with confidence in their ability to gather deposits due to a diverse geographic footprint [46][47] Question: Future loan growth composition - The company anticipates a shift towards commercial loan growth while tapering off residential mortgage lending, with a strong short-term pipeline in commercial lending [80][84] Question: Confidence in deposit growth - Management expressed confidence in deposit growth, supported by a strong pipeline of commercial deposit prospects and a focus on non-interest bearing deposits [114]

Financial Performance - Net income available to common shareholders increased by 121% linked-quarter to $1307 million or $036 per diluted common share[10] - Revenue grew by 65% linked-quarter driven by record net interest income and non-interest income[10] - Pre-provision net revenue totaled $1920 million a 165% increase from the prior quarter[10] Balance Sheet and Asset Quality - Average total loans and leases increased by $4517 million or 53% annualized linked-quarter[10] - Average total deposits increased by $1556 million or 17% annualized linked-quarter with non-interest-bearing deposits stable at 26% of total deposits[10] - The ratio of non-performing loans and OREO to total loans and OREO decreased 14 basis points to 034% from the prior quarter[10] - Allowance for Credit Losses totaled $4321 million or 125% of loans stable with the prior quarter[10] Capital and Shareholder Returns - Record tangible book value of $1114 per share with year-over-year growth of $126 or 128%[10] - Record capital metrics CET1 ratio of 108% and tangible common equity to tangible assets of 85%[10] - The company repurchased 07 million shares of common stock at a weighted average share price of $1385 during the second quarter of 2025[10] Guidance - The company expects mid-single-digit growth for both spot loans and spot deposits[65]

F.N.B. Corporation Reports Second Quarter Earnings Record Revenue of $438 Million Grew 6.5% Linked-Quarter With Increased Profitability Driving Record Capital Levels PITTSBURGH, PA – July 17, 2025 – F.N.B. Corporation (NYSE: FNB) reported earnings for the second quarter of 2025 with net income available to common shareholders of $130.7 million, or $0.36 per diluted common share. Comparatively, second quarter of 2024 net income available to common shareholders totaled $123.0 million ($123.7 million on an ope ...

Core Insights - F.N.B. reported revenue of $438.21 million for Q2 2025, an 8.5% year-over-year increase, with EPS of $0.36 compared to $0.34 a year ago, exceeding Zacks Consensus Estimates [1] - The revenue surprise was +4.13% over the estimated $420.82 million, while the EPS surprise was +9.09% over the consensus estimate of $0.33 [1] Financial Performance Metrics - Efficiency Ratio stood at 54.8%, better than the average estimate of 56.3% from three analysts [4] - Net Interest Margin was 3.2%, surpassing the average estimate of 3.1% from three analysts [4] - Average Balance of Total Interest Earning Assets was $44.04 billion, exceeding the average estimate of $43.87 billion from two analysts [4] - Total Non-Performing Loans were reported at $117 million, significantly lower than the estimated $171.33 million [4] - Net charge-offs to average loans were 0.3%, slightly above the estimated 0.2% [4] - Mortgage banking operations generated $6.31 million, below the average estimate of $7.62 million [4] - Total Non-Interest Income was $91.02 million, exceeding the average estimate of $89.16 million [4] - Insurance commissions and fees were $5.11 million, slightly below the estimated $5.43 million [4] - Net Interest Income reached $347.2 million, higher than the average estimate of $332.4 million [4] - Bank owned life insurance income was $3.84 million, below the average estimate of $5.14 million [4] - Capital markets income was $6.9 million, exceeding the average estimate of $5.13 million [4] - Trust services income was $11.59 million, slightly below the average estimate of $11.82 million [4] Stock Performance - F.N.B. shares returned +12.6% over the past month, outperforming the Zacks S&P 500 composite's +4.2% change [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for near-term outperformance against the broader market [3]

Company Performance - F.N.B. reported quarterly earnings of $0.36 per share, exceeding the Zacks Consensus Estimate of $0.33 per share, and showing an increase from $0.34 per share a year ago, resulting in an earnings surprise of +9.09% [1] - The company posted revenues of $438.21 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 4.13% and up from $403.81 million year-over-year [2] - Over the last four quarters, F.N.B. has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times [2] Stock Outlook - F.N.B. shares have increased approximately 4.9% since the beginning of the year, compared to the S&P 500's gain of 6.5% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.36 on revenues of $435.17 million, and for the current fiscal year, it is $1.41 on revenues of $1.72 billion [7] Industry Context - The Zacks Industry Rank indicates that the Banks - Southeast industry is currently in the top 23% of over 250 Zacks industries, suggesting a favorable environment for stocks in this sector [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors or through tools like the Zacks Rank [5][6]

Core Viewpoint - F.N.B. Corporation reported strong second quarter results for 2025, achieving record revenue of $438 million, a 6.5% increase from the previous quarter, driven by margin expansion and growth in both net interest and non-interest income [2][3] Financial Performance - Net income available to common shareholders reached $130.7 million, or $0.36 per diluted common share, compared to $123.0 million ($0.34 per diluted common share) in the second quarter of 2024 and $116.5 million ($0.32 per diluted common share) in the first quarter of 2025 [1][3] - Pre-provision net revenue (non-GAAP) grew significantly with a linked-quarter increase of 16% [2] - Non-interest income totaled a record $91.0 million, up from $87.9 million, with capital markets income increasing by 34.1% [11][21] Capital and Asset Quality - The Common Equity Tier 1 (CET1) ratio was estimated at 10.8%, up from 10.2% a year ago, indicating strong capital levels [4][15] - Tangible book value per common share (non-GAAP) increased to $11.14, a 12.8% rise year-over-year [15][24] - The ratio of non-performing loans and other real estate owned (OREO) to total loans decreased to 0.34%, reflecting solid asset quality metrics [13][23] Loan and Deposit Growth - Average loans and leases totaled $34.5 billion, an increase of $1.2 billion, or 3.7%, with notable growth in consumer loans and commercial loans [5][9] - Average deposits reached $37.1 billion, a rise of $2.5 billion, or 7.3%, driven by increases in interest-bearing demand deposits [10][19] Expense Management - Non-interest expense totaled $246.2 million, an increase of $19.6 million, or 8.7%, primarily due to strategic hiring and technology investments [12][22] - The efficiency ratio (non-GAAP) improved to 54.8%, down from 58.5% in the previous quarter [22]

Core Insights - F.N.B. Corporation's largest subsidiary, First National Bank, has been recognized as a 2025 Top Workplace for Financial Services by Energage, marking the fourth consecutive year of receiving this award since its inception in 2021 [1][2] - The company has also been acknowledged as a Top Workplace in Northeast Ohio for eleven consecutive years by The Plain Dealer and Cleveland.com [1] Company Culture and Employee Engagement - F.N.B. Corporation has received over 80 workplace excellence awards, reflecting its commitment to a differentiated culture under current leadership [2] - The company emphasizes innovation, collaboration, and a team-oriented environment, supported by investments in AI, data management, and digital technology [3] - Employee feedback is central to the Top Workplace awards, with anonymous surveys assessing various workplace categories such as values, communication, and leadership [3] Employee Experience and Benefits - F.N.B. Corporation focuses on high levels of workplace engagement, inclusivity, and performance, continually evaluating employee experiences to align with current trends [4] - The company offers family-friendly benefits, formal recognition programs, continuous learning and development opportunities, and a competitive compensation package [4] Recognition and Leadership - In 2025, F.N.B. Corporation received multiple accolades, including being named one of America's Greatest Workplaces and a Top Workplace USA by Energage and USA Today [5] - The leadership team, including CEO Vincent J. Delie, has been recognized for their performance and responsible corporate citizenship [5] Company Overview - F.N.B. Corporation, headquartered in Pittsburgh, Pennsylvania, operates in seven states and the District of Columbia, with total assets of $49 billion and approximately 350 banking offices [7] - The company provides a full range of commercial banking, consumer banking, and wealth management solutions through its subsidiary network [8] - F.N.B. Corporation's common stock trades on the New York Stock Exchange under the symbol "FNB" and is included in the S&P MidCap 400 Index [9]

Group 1 - The Zacks Premium service provides tools for investors to enhance their stock market engagement and confidence [1][2] - It includes daily updates on Zacks Rank and Zacks Industry Rank, access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens [1][2] Group 2 - The Zacks Style Scores rate stocks based on value, growth, and momentum characteristics, helping investors identify securities likely to outperform the market in the short term [3][4] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [4] Group 3 - The Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Cash Flow [4] - The Growth Score assesses stocks based on projected earnings and sales growth [5] - The Momentum Score identifies trends in stock prices and earnings estimates to optimize entry points for investments [6] Group 4 - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and positive momentum [7] - The Zacks Rank model uses earnings estimate revisions to guide investors in building successful portfolios [8] Group 5 - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +23.62% since 1988, significantly outperforming the S&P 500 [9] - There are typically over 800 stocks rated 1 or 2, which can be overwhelming for investors [9][10] Group 6 - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [10][11] - Stocks with lower ranks, even with good Style Scores, may still face declining earnings forecasts [11] Group 7 - F.N.B. Corporation, a financial holding company based in Pittsburgh, PA, is currently rated 3 (Hold) with a VGM Score of B [12] - FNB has a Momentum Style Score of A, with shares increasing by 16.2% over the past four weeks [13] - The Zacks Consensus Estimate for FNB's earnings has increased to $1.41 per share, with an average earnings surprise of +3.4% [13]

Core Insights - Zacks Premium provides various tools to enhance stock market investment confidence and knowledge [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [3] Zacks Style Scores Overview - The Zacks Style Scores rate stocks using an alphabetic system from A to F based on value, growth, and momentum characteristics [4] - The Style Scores consist of four categories: Value Score, Growth Score, Momentum Score, and VGM Score [4][5][6][7] Value Score - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [4] Growth Score - The Growth Score focuses on a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [5] Momentum Score - The Momentum Score assesses trends in stock prices and earnings outlooks, utilizing factors like one-week price change and monthly earnings estimate changes [6] VGM Score - The VGM Score combines the three Style Scores to identify stocks with the best value, growth potential, and momentum [7] Zacks Rank Integration - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in stock selection, with 1 (Strong Buy) stocks achieving an average annual return of +23.62% since 1988 [8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal investment potential [10] Stock Example: F.N.B. Corporation - F.N.B. Corporation, a financial holding company based in Pittsburgh, PA, is currently rated 3 (Hold) with a VGM Score of B [12] - The company has a Value Style Score of B, supported by a forward P/E ratio of 11.23, making it appealing to value investors [13] - Recent upward revisions in earnings estimates for fiscal 2025 have increased the Zacks Consensus Estimate to $1.41 per share, with an average earnings surprise of +3.4% [13]

Core Insights - The upcoming earnings report for F.N.B. (FNB) is anticipated to show quarterly earnings of $0.33 per share, reflecting a 2.9% decline year-over-year, while revenues are expected to increase by 4.4% to $421.73 million [1] - Analysts have revised the consensus EPS estimate downward by 1.4% over the past 30 days, indicating a reassessment of initial projections [2] - The correlation between earnings estimate revisions and short-term stock price performance is well-documented, suggesting that these revisions are significant indicators for investor behavior [3] Financial Metrics - Analysts predict an 'Efficiency Ratio' of 56.2%, up from 54.4% in the same quarter last year [5] - The 'Net Interest Margin' is expected to remain stable at 3.1%, consistent with the previous year's figure [5] - The 'Average Balance - Total interest earning assets' is projected to reach $43.80 billion, an increase from $41.42 billion year-over-year [6] - 'Total Non-Performing Loans' are expected to rise to $157.76 million, compared to $108.00 million in the same quarter last year [6] - 'Mortgage banking operations' are estimated at $7.58 million, up from $6.96 million a year ago [7] - 'Total Non-Interest Income' is forecasted to be $89.13 million, slightly higher than $87.92 million reported last year [7] - 'Insurance commissions and fees' are expected to decrease to $5.48 million from $5.97 million in the previous year [8] - 'Net Interest Income' is projected to increase to $332.40 million from $315.89 million year-over-year [8] - 'Bank owned life insurance' is expected to reach $5.18 million, up from $3.42 million last year [9] - 'Capital markets income' is forecasted at $5.19 million, slightly above the previous year's $5.14 million [9] - 'Trust services' are expected to increase to $11.68 million from $11.48 million last year [9] - 'Other Non-Interest Income' is projected to decrease to $3.62 million from $3.75 million year-over-year [10] Stock Performance - F.N.B. shares have increased by 16% over the past month, outperforming the Zacks S&P 500 composite, which rose by 4% [10]