PITTSBURGH, Oct. 2, 2024 /PRNewswire/ -- F.N.B. Corporation (NYSE: FNB) announced today a $100,000 donation to the American Red Cross for Hurricane Helene relief efforts across the southeastern United States. "Our fellow team members, branches, customers and communities have been deeply affected by this devastation, and we are committed to supporting the recovery efforts," said Vincent J. Delie, Jr., Chairman, President and Chief Executive Officer of F.N.B. Corporation and First National Bank. "We will cont ...

PITTSBURGH, Sept. 26, 2024 /PRNewswire/ -- F.N.B. Corporation (NYSE: FNB) announced today that it plans to issue financial results for the third quarter of 2024 after the market close on Thursday, October 17, 2024. Chairman, President and Chief Executive Officer, Vincent J. Delie, Jr., Chief Financial Officer, Vincent J. Calabrese, Jr., and Chief Credit Officer, Gary L. Guerrieri, plan to host a conference call to discuss the Company's financial results on Friday, October 18, 2024, at 8:30 AM ET. Participan ...

Named Among World's Best Companies by TIME Magazine and America's Most Admired Workplaces by Newsweek PITTSBURGH, Sept. 12, 2024 /PRNewswire/ -- F.N.B. Corporation (NYSE: FNB) announced today that it has been recognized by two prestigious media organizations, emphasizing the strength of the company and its status as an employer of choice. FNB was named among TIME magazine's World's Best Companies 2024, which recognizes top-performing companies worldwide based on their impact on investors, employees and a su ...

Recurring Recognition Affirms the Company's Strong, Employee-Centric Culture PITTSBURGH, Sept. 10, 2024 /PRNewswire/ -- First National Bank, the largest subsidiary of F.N.B. Corporation (NYSE: FNB), has been named a Greater Pittsburgh Top Workplace by the Pittsburgh Post Gazette for the 14th consecutive year. FNB has now appeared on the list every year since its inception in 2011. The Top Workplace awards are based on employee feedback gathered through surveys distributed by Energage, an independent researc ...

F.N.B. Corp. (FNB) remains well-poised for growth on the back of revenue growth, strategic buyouts, technological enhancements and higher rates. However, a mounting expense base, concentrated loan portfolio and deteriorating asset quality remain woes. FNB's Growth Drivers Strategic Efforts to Grow Revenues: F.N.B. Corp.'s revenues and loans witnessed a 5.4% and 7.8% compound annual growth rate (CAGR) over the five years ended 2023, respectively. While revenues witnessed a decline during the first half of 20 ...

F.N.B. Corporation (NYSE: FNB), headquartered in Pittsburgh, Pennsylvania, is a diversified financial services company operating in seven states and the District of Columbia. FNB's market coverage spans several major metropolitan areas including: Pittsburgh, Pennsylvania; Baltimore, Maryland; Cleveland, Ohio; Washington, D.C.; Charlotte, Raleigh, Durham and the Piedmont Triad (Winston-Salem, Greensboro and High Point) in North Carolina; and Charleston, South Carolina. The Company has total assets of nearly ...

Core Viewpoint - F.N.B. Corporation (FNB) reported lower-than-expected second-quarter 2024 results, with adjusted earnings per share of 34 cents, missing the Zacks Consensus Estimate by one cent and reflecting a 12.8% decline from the prior-year quarter [1] Financial Performance - Net interest margin (FTE basis) contracted by 28 basis points year over year to 3.09% [2] - Quarterly net revenues were $403.8 million, down 1.4% from the year-earlier quarter and below the Zacks Consensus Estimate of $407.6 million [16] - Non-interest income increased by 9.5% to $87.9 million, driven by a rise in all fee income components, surpassing the estimate of $82.4 million [17] - Average loans and leases reached $33.3 billion, up 2.8% sequentially, while average deposits totaled $34.6 billion, an increase of 1.2% [18] Credit Quality - FNB's provision for credit losses was $20.2 million, up 9.2% from the prior-year quarter, exceeding the estimate of $19.5 million [4] - The ratio of non-performing loans and other real estate owned (OREO) to total loans and OREO decreased by 14 basis points to 0.33% [19] - Total delinquency decreased by 12 basis points to 0.63% [11] Expenses - Non-interest expenses rose by 6.9% year over year to $226.6 million, higher than the estimate of $220.6 million [10] - Adjusted expenses, excluding significant items, increased by 6.6% to $225.8 million [10] Capital Position - As of June 30, 2024, the common equity Tier 1 (CET1) ratio was 10.2%, compared to 10.1% in the prior-year quarter [3] Industry Comparison - Hancock Whitney Corp. (HWC) reported second-quarter 2024 earnings per share of $1.31, beating the Zacks Consensus Estimate of $1.19 but down from $1.35 in the prior-year quarter [7] - HWC's net income available to common stockholders was $123 million, down 12.4% year over year, slightly below the estimate of $124.4 million [8] - Non-interest income for HWC increased, but the decline in net interest income and higher expenses and provisions negatively impacted results [14]

Financial Data and Key Metrics - Net income available to common shareholders was $123 million, or $0.34 per diluted common share [5] - Pre-provision net revenue increased over 4% linked-quarter, supported by well-managed expenses and strong non-interest income levels [5] - Tangible book value per share grew 12% year-over-year to a record high of $9.88 [5] - Loan and deposit growth was 3.6% and 1% respectively, exceeding industry benchmarks [6] - Non-interest income for the first half of the year totaled $176 million, a 10% increase over the same period in 2023 [8] - Total provision expense for the quarter was $20.2 million, with $12.8 million supporting loan growth [11] - Net interest margin was 3.09%, a 9 basis point decrease due to increased short-term borrowings [145] Business Line Performance - Mortgage banking operations grew over 50%, contributing to non-interest income growth [8] - Consumer loans grew 5% linked-quarter, led by residential mortgages [32] - Equipment finance business exceeded $1 billion in balances, showing significant growth [51] - Commercial loans and leases increased by $540 million, reflecting healthy activity in C&I and equipment finance [133] - Non-interest income totaled $87.9 million, consistent with the prior quarter, driven by treasury management revenues [43] Market Performance - Double-digit year-over-year growth in commercial loans across the Carolinas, Pittsburgh, and Cleveland regions [129] - Strong deposit growth in the Southeast, particularly in Charlotte and Wilmington [158] - Pittsburgh market continues to perform well, with significant share and growth opportunities in consumer lending and C&I [159] - Cleveland market shows upside potential in C&I, with equipment finance performing well [160] Strategy and Industry Competition - The company is strategically positioning its balance sheet to benefit from lower interest rates, with $4.5 billion in short-term or floating rate borrowings [41] - FNB aims to diversify revenue streams, targeting 30% of total revenue from non-interest income [138] - The company is focused on digital engagement, with its eStore winning Best Digital Initiative at the 2024 Banking Tech Awards USA [146] - FNB is building out its presence in Virginia and the Carolinas through de novo expansion and branch openings [164] Management Commentary on Operating Environment and Future Outlook - Management expects loan growth to return to historical levels in the second half of the year, with pipelines declining due to strong production in Q2 [40] - The company anticipates a decline in the loan-to-deposit ratio in the medium term, supported by deposit initiatives [15] - FNB is well-positioned to handle economic cycles, with strong asset quality metrics and a focus on credit risk management [13] - Management is optimistic about the company's ability to gain market share and deliver positive financial outcomes in the second half of the year [181] Other Important Information - The company has a $6.9 billion CD portfolio with a nine-month duration and $1 billion in swaps maturing from 2025 [17] - FNB's spot deposit cost ended the quarter at 2.13%, with a cumulative spot deposit beta of 38% since March 2022 [18] - The company expects full-year provision expense to be between $75 million and $95 million, dependent on loan growth and charge-off activity [21] - FNB's efficiency ratio remained at a leading level of 54.4% in Q2 [44] Q&A Session Summary Question: Loan growth mix in the second half of the year [49] - Mortgage growth is expected to decline seasonally, while equipment finance and renewable energy deals will continue to grow [50][51] - Commercial pipelines are down by 10%, with sluggish activity on the consumer side [52] Question: Deposit initiatives and funding costs [82] - The company is focusing on treasury management opportunities and digital initiatives to attract low-cost deposits [83] - Deposit growth initiatives are expected to show benefits in the second half of 2024 and into 2025 [84] Question: Fee income growth and diversification [86] - FNB aims to grow fee-based businesses, particularly in capital markets, wealth management, and treasury management [87][88] - The company targets 30% of total revenue from non-interest income, with opportunities in public finance and advisory services [62][63] Question: Buyback activity and capital allocation [89] - The company plans to support loan growth with its capital and does not expect significant buyback activity in the near term [90] Question: Deposit pricing competition [98] - Competitors have reduced promotional pricing, but irrational pricing still exists in some markets [99][100] - FNB's deposit beta performance has been strong, with gradual increases from 36.5% to 38% [56] Question: NIM and balance sheet repricing [97] - An initial Fed cut may have a short-term negative impact on NIM, but further cuts could provide upside [97] - The company has flexibility in repricing deposits and borrowings, with $4.5 billion in short-term borrowings and $4 billion in non-maturity deposits [96] Question: M&A and expansion opportunities [161] - FNB is focused on internal initiatives but remains open to opportunistic M&A, particularly in Virginia and the Carolinas [162][164] Question: Credit quality and stress testing [177] - Stress testing results show improvements in potential charge-offs and losses, with strong credit risk management [177] Question: Expense management and lease carryover [166] - The company expects $7 million in double lease expenses to end in Q4 2024, with no carryover into 2025 [166]

```markdown [Executive Summary](index=1&type=section&id=Executive%20Summary) [Second Quarter 2024 Highlights](index=1&type=section&id=Second%20Quarter%202024%20Highlights) F.N.B. Corporation reported solid second-quarter 2024 results, with non-GAAP diluted EPS of **$0.34** and a record high tangible book value per share of **$9.88**, up **12%** YoY. The company achieved linked-quarter loan growth of **3.6%** and deposit growth of **0.7%**, demonstrating successful market share expansion. Asset quality remained strong with NPLs and OREO at a multiyear low of **0.33%** 2Q24 Earnings Highlights | Metric | 2Q24 (non-GAAP) | 1Q24 (non-GAAP) | 2Q23 (non-GAAP) | YoY Change | QoQ Change | | :----------------------------------- | :-------------- | :-------------- | :-------------- | :--------- | :--------- | | Diluted EPS | $0.34 | $0.34 | $0.39 | -12.8% | 0.0% | | Net Income Available to Common Stockholders (millions) | $123.7 | $122.7 | $140.5 | -12.0% | 0.8% | | Pre-provision Net Revenue (millions) | $178.0 | $172.8 | $197.8 | -10.0% | 3.0% | | Tangible Book Value Per Share | $9.88 | $9.64 | $8.79 | +12.4% | +2.5% | | CET1 Regulatory Capital Ratio | 10.2% | 10.2% | 10.1% | +0.1 ppt | 0.0 ppt | | Non-performing Loans & OREO to Total Loans & OREO | 0.33% | 0.33% | 0.45% | -12 bps | 0 bps | | Net Charge-offs (annualized) | 0.09% | 0.16% | 0.11% | -0.02 ppt | -0.07 ppt | | Loan Growth (linked-quarter) | +3.6% | | | | | | Deposit Growth (linked-quarter) | +0.7% | | | | | [Company Overview](index=9&type=section&id=Company%20Overview) [Business Description](index=9&type=section&id=Business%20Description) F.N.B. Corporation is a diversified financial services company headquartered in Pittsburgh, Pennsylvania, operating across seven states and the District of Columbia. It offers a full range of commercial banking, consumer banking, and wealth management solutions through its subsidiary network, led by First National Bank of Pennsylvania - **Company Profile:** * Headquarters: Pittsburgh, Pennsylvania * Operations: Seven states and District of Columbia * Total Assets: Nearly **$48 billion** * Banking Offices: Approximately **350** * NYSE Symbol: FNB * Included in: Standard & Poor's MidCap 400 Index (GICS Regional Banks Sub-Industry Index)[16](index=16&type=chunk)[39](index=39&type=chunk)[62](index=62&type=chunk)[100](index=100&type=chunk) - **Services Offered:** * **Commercial Banking:** Corporate banking, small business banking, investment real estate financing, government banking, business credit, capital markets, lease financing * **Consumer Banking:** Deposit products, mortgage lending, consumer lending, mobile and online banking services * **Wealth Management:** Asset management, private banking, insurance[62](index=62&type=chunk) [Financial Performance Analysis](index=1&type=section&id=Financial%20Performance%20Analysis) [Net Interest Income (NII) and Net Interest Margin (NIM)](index=2&type=section&id=Net%20Interest%20Income%20(NII)%20and%20Net%20Interest%20Margin%20(NIM)) Net interest income decreased slightly both quarter-over-quarter and year-over-year, primarily due to increased deposit and borrowing costs. However, earning asset yields improved, partially offsetting these increases. The net interest margin (FTE) declined to **3.09%** Net Interest Income (NII) Trends | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Net Interest Income | $315.9 million | $319.0 million | $329.2 million | -1.0% | -4.1% | | Net Interest Margin (FTE) (non-GAAP) | 3.09% | 3.18% | 3.37% | -9 bps | -28 bps | | Yield on Earning Assets (non-GAAP) | 5.43% | 5.40% | 4.94% | +3 bps | +49 bps | | Cost of Funds | 2.46% | 2.33% | 1.64% | +13 bps | +82 bps | | Cost of Interest-Bearing Deposits | 2.93% | 2.82% | 1.97% | +11 bps | +96 bps | | Cost of Borrowings | 5.13% | | | | +122 bps (short-term) | - **Drivers of NII Change:** * Higher deposit costs due to balance migration to higher-yielding products * Increased total average borrowings to support strong loan growth * Partially offset by growth in earning assets and higher earning asset yields[27](index=27&type=chunk)[64](index=64&type=chunk)[67](index=67&type=chunk)[88](index=88&type=chunk) [Non-Interest Income](index=4&type=section&id=Non-Interest%20Income) Non-interest income remained stable quarter-over-quarter at **$87.9 million**, showing a **9.5%** increase year-over-year, driven by strong service charges, mortgage banking operations, and wealth management revenues Non-Interest Income Trends | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Total Non-Interest Income | $87.9 million | $87.9 million | $80.3 million | 0.1% | 9.5% | | Service Charges | $23.3 million | $20.6 million | $20.5 million | +13.4% | +13.6% | | Mortgage Banking Operations | $7.0 million | $7.9 million | $4.9 million | -12.1% | +41.8% | | Wealth Management Revenues (Securities commissions & fees, Trust income) | | | | +10.2% YoY | | | Securities Commissions & Fees | $8.0 million | $8.2 million | $7.0 million | -2.1% | +13.7% | | Trust Services | $11.5 million | $11.4 million | $10.6 million | +0.4% | +7.9% | | Dividends on Non-Marketable Equity Securities | $6.9 million | $6.2 million | $5.5 million | +11.3% | +26.1% | | Capital Markets Income | $5.1 million | $6.3 million | $5.9 million | -18.8% | -12.6% | - **Key Drivers:** * Service charges increased due to strong Treasury Management activity and higher consumer transaction levels * Mortgage banking operations income increased YoY due to improved gain on sale from strong production volumes, but decreased QoQ due to slight decline in sold loan volume and net fair value adjustments * Wealth Management revenues increased due to strong contributions across the geographic footprint * Dividends on non-marketable equity securities increased reflecting higher Federal Home Loan Bank (FHLB) dividends due to additional borrowings[5](index=5&type=chunk)[68](index=68&type=chunk) [Non-Interest Expense](index=5&type=section&id=Non-Interest%20Expense) Total non-interest expense decreased quarter-over-quarter but increased year-over-year. On an operating basis, expenses decreased QoQ, primarily due to lower salaries and employee benefits and marketing expenses, partially offset by technology-related investments Non-Interest Expense Trends | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Total Non-Interest Expense | $226.6 million | $237.1 million | $212.0 million | -4.4% | +6.9% | | Operating Non-Interest Expense (non-GAAP) | $225.8 million | $234.1 million | $211.8 million | -3.5% | +6.6% | | Salaries and Employee Benefits | $120.9 million | $129.1 million | $113.9 million | -6.4% | +6.1% | | Net Occupancy and Equipment | $43.0 million | $43.4 million | $38.0 million | -0.9% | +13.0% | | Marketing | $4.0 million | $5.4 million | $3.9 million | -26.2% | +1.6% | | Outside Services | $23.3 million | $22.9 million | $20.5 million | +1.6% | +13.2% | - **Significant Items Impacting Expenses:** * **2Q24:** **$0.8 million** (pre-tax) FDIC special assessment expense * **1Q24:** **$3.0 million** (pre-tax) including **$1.2 million** branch consolidation costs, **$4.4 million** FDIC special assessment, partially offset by a (**$2.6 million**) reduction to indirect auto loan sale loss * **2Q23:** **$0.2 million** (pre-tax) merger-related expenses[32](index=32&type=chunk)[66](index=66&type=chunk)[91](index=91&type=chunk) [Pre-Provision Net Revenue (PPNR)](index=2&type=section&id=Pre-Provision%20Net%20Revenue%20(PPNR)) Pre-provision net revenue (non-GAAP) increased **4.4%** quarter-over-quarter to **$177.2 million**, and **3.0%** on an operating basis, driven by decreased non-interest expense and strong non-interest income Pre-Provision Net Revenue (non-GAAP) | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | | :----------------------------------- | :----------- | :----------- | :----------- | :--------- | | Pre-provision Net Revenue (reported) | $177.2 million | $169.8 million | $197.6 million | +4.4% | | Operating Pre-provision Net Revenue | $178.0 million | $172.8 million | $197.8 million | +3.0% | [Efficiency Ratio](index=2&type=section&id=Efficiency%20Ratio) The efficiency ratio (non-GAAP) remained solid at **54.4%** in Q2 2024, improving from **56.0%** in the prior quarter but higher than **50.0%** in the year-ago quarter Efficiency Ratio (non-GAAP) | Metric | 2Q24 | 1Q24 | 2Q23 | | :-------------------- | :----- | :----- | :----- | | Efficiency Ratio (FTE) | 54.39% | 56.00% | 49.96% | [Effective Tax Rate](index=4&type=section&id=Effective%20Tax%20Rate) The effective tax rate for Q2 2024 was **21.6%**, a slight increase from **20.5%** in Q2 2023 and **21.5%** in Q1 2024 Effective Tax Rate | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------- | :----- | :----- | :----- | | Effective Tax Rate | 21.6% | 21.5% | 20.5% | [Balance Sheet Analysis](index=3&type=section&id=Balance%20Sheet%20Analysis) [Loans and Leases](index=3&type=section&id=Loans%20and%20Leases) Total loans and leases experienced strong growth, increasing **7.7%** year-over-year and **3.6%** linked-quarter. This growth was broad-based, with significant contributions from commercial real estate, commercial and industrial, and residential mortgages Average Loans and Leases | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Total Average Loans & Leases | $33.3 billion | $32.4 billion | $31.0 billion | +2.7% | +7.1% | | Commercial Loans & Leases | $20.9 billion | $20.5 billion | $19.7 billion | +2.2% | +6.4% | | Commercial Real Estate | $12.7 billion | $12.3 billion | $11.7 billion | +3.2% | +8.3% | | Commercial & Industrial | $7.5 billion | $7.4 billion | $7.2 billion | +0.8% | +3.1% | | Commercial Leases | $0.7 billion | $0.7 billion | $0.6 billion | +0.1% | +11.6% | | Consumer Loans | $12.3 billion | $11.9 billion | $11.4 billion | +3.5% | +8.3% | | Residential Mortgages | $7.1 billion | $6.7 billion | $5.8 billion | +5.8% | +22.9% | | Indirect Auto Loans | $1.2 billion | $1.1 billion | $1.5 billion | +2.7% | -23.7% | Period-End Loans and Leases | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Total Period-End Loans & Leases | $33.8 billion | $32.6 billion | $31.4 billion | +3.6% | +7.7% | | Commercial Loans & Leases | $21.1 billion | $20.5 billion | $19.7 billion | +2.6% | +7.2% | | Consumer Loans | $12.7 billion | $12.0 billion | $11.7 billion | +5.3% | +8.5% | - **Key Drivers:** * Growth driven by successful execution in key markets and expanded mortgage banker team * Double-digit year-over-year growth in commercial loans across the Carolinas, with strong contributions from Pittsburgh and Cleveland regions * Residential mortgages increased due to continued successful execution in key markets and seasonal growth in originations * Indirect auto loans decreased due to a sale of **$332 million** of such loans in Q1 2024[4](index=4&type=chunk)[86](index=86&type=chunk)[92](index=92&type=chunk) [Deposits](index=5&type=section&id=Deposits) Total deposits increased both year-over-year and linked-quarter, primarily driven by growth in time deposits as customers continued to seek higher-yielding products. The mix of non-interest-bearing deposits remained stable at **29%** of total deposits Average Deposits | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Total Average Deposits | $34.6 billion | $34.2 billion | $33.8 billion | +1.1% | +2.4% | | Certificates of Deposits | +$346.4 million | | | | | | Interest-Bearing Demand Deposits | +$108.3 million | | | | | | Savings Balances | -$51.3 million | | | | | Period-End Deposits | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :----------- | :----------- | | Total Period-End Deposits | $35.0 billion | $34.7 billion | $33.8 billion | +0.7% | +3.5% | | Non-Interest-Bearing Demand | $10.1 billion | $10.0 billion | $10.9 billion | +0.8% | -7.8% | | Interest-Bearing Demand | $14.7 billion | $14.7 billion | $13.8 billion | +0.1% | +6.4% | | Savings | $3.3 billion | $3.4 billion | $3.8 billion | -1.2% | -10.9% | | Certificates and Other Time | $6.9 billion | $6.7 billion | $5.3 billion | +3.0% | +29.1% | - **Deposit Mix:** * Non-interest-bearing deposits to total deposits: **29%** (2Q24, 1Q24, 4Q23) * Loan-to-deposit ratio: **96%** (2Q24) vs. **94%** (1Q24)[8](index=8&type=chunk)[86](index=86&type=chunk)[89](index=89&type=chunk) [Capital Measures](index=3&type=section&id=Capital%20Measures) FNB maintained strong capital ratios, with the CET1 ratio stable at **10.2%** and tangible book value per common share reaching a record high of **$9.88**, reflecting a **12.4%** increase year-over-year Capital Ratios | Metric | 2Q24 | 1Q24 | 2Q23 | YoY Change | | :----------------------------------- | :----- | :----- | :----- | :--------- | | Common Equity Tier 1 (CET1) | 10.2% | 10.2% | 10.1% | +0.1 ppt | | Tangible Common Equity to Tangible Assets (non-GAAP) | 7.86% | 7.99% | 7.47% | +0.39 ppt | | Tangible Book Value Per Common Share (non-GAAP) | $9.88 | $9.64 | $8.79 | +12.4% | - **Impact of AOCI:** * AOCI reduced tangible book value per common share (non-GAAP) by **$0.67** in 2Q24, compared to **$0.99** in 2Q23 and **$0.70** in 1Q24[61](index=61&type=chunk)[64](index=64&type=chunk)[69](index=69&type=chunk) - **Share Repurchases:** * During 2Q24, the Company repurchased **250,000 shares** of common stock at a weighted average price of **$13.56**[64](index=64&type=chunk) [Asset Quality](index=4&type=section&id=Asset%20Quality) [Non-Performing Assets](index=4&type=section&id=Non-Performing%20Assets) Asset quality remained strong and stable, with non-performing loans and OREO at historically low levels Non-Performing Assets | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :----------------------------------- | :----- | :----- | :----- | :--------- | :--------- | | Non-performing Loans | $108 million | $105 million | $143 million | +2.9% | -24.5% | | Other Real Estate Owned (OREO) | $3 million | $3 million | $5 million | 0.0% | -40.0% | | Non-performing Assets | $111 million | $108 million | $148 million | +2.8% | -25.0% | | Non-performing Loans & OREO to Total Loans & OREO | 0.33% | 0.33% | 0.45% | 0 bps | -12 bps | [Delinquency](index=4&type=section&id=Delinquency) Total delinquency decreased slightly quarter-over-quarter and year-over-year, remaining at historically low levels Delinquency | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :----------------------------------- | :----- | :----- | :----- | :--------- | :--------- | | Total Delinquency (Past due and non-accrual loans / total loans and leases) | 0.63% | 0.64% | 0.75% | -1 bps | -12 bps | | Loans 30-89 days past due | $95 million | $87 million | $83 million | +9.2% | +14.5% | | Loans 90+ days past due | $11 million | $17 million | $8 million | -35.3% | +37.5% | [Provision for Credit Losses and Allowance for Credit Losses (ACL)](index=4&type=section&id=Provision%20for%20Credit%20Losses%20and%20Allowance%20for%20Credit%20Losses%20(ACL)) The provision for credit losses increased to support strong loan growth, while the Allowance for Credit Losses (ACL) also increased, maintaining a stable ratio to total loans and leases Provision for Credit Losses and ACL | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :----------------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Provision for Credit Losses | $20.2 million | $13.9 million | $18.5 million | +45.3% | +9.0% | | Allowance for Credit Losses (ACL) | $418.8 million | $406.3 million | $412.7 million | +3.1% | +1.5% | | ACL to Total Loans and Leases | 1.24% | 1.25% | 1.32% | -1 bps | -8 bps | [Net Charge-offs](index=4&type=section&id=Net%20Charge-offs) Net charge-offs remained at a very solid low level, decreasing both quarter-over-quarter and year-over-year Net Charge-offs | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :----------------------------------- | :----- | :----- | :----- | :--------- | :--------- | | Net Loan Charge-offs (annualized) / Total Average Loans and Leases | 0.09% | 0.16% | 0.11% | -0.07 ppt | -0.02 ppt | [Non-GAAP Financial Measures and Key Performance Indicators](index=6&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Key%20Performance%20Indicators) [Management's Rationale for Non-GAAP Measures](index=6&type=section&id=Management's%20Rationale%20for%20Non-GAAP%20Measures) FNB Corporation uses certain non-GAAP financial measures to supplement GAAP financial statements, providing investors with additional insights into operating performance and trends, and facilitating peer comparisons. These measures are used internally by management to assess core business activities - **Purpose of Non-GAAP Measures:** * Provide information useful to investors in understanding operating performance and trends * Facilitate comparisons with peer performance * Used internally by management to assess and understand underlying business performance and core business activities[33](index=33&type=chunk)[64](index=64&type=chunk)[95](index=95&type=chunk) - **Examples of Non-GAAP Measures:** Operating net income available to common stockholders, operating earnings per diluted common share, return on average tangible equity, return on average tangible common equity, operating return on average tangible common equity, return on average tangible assets, tangible book value per common share, the ratio of tangible common equity to tangible assets, pre-provision net revenue (reported), operating pre-provision net revenue, operating non-interest expense, efficiency ratio, and net interest margin (FTE)[33](index=33&type=chunk) - **Taxable-Equivalent Adjustment:** Net interest income and yield on earning assets are presented on a fully taxable equivalent (FTE) basis, which adjusts for the tax benefit of income on certain tax-exempt loans and investments using the federal statutory tax rate of **21%**[41](index=41&type=chunk)[71](index=71&type=chunk) [Reconciliations](index=18&type=section&id=Reconciliations) This section provides detailed reconciliations of various non-GAAP financial measures to their most directly comparable GAAP financial measures, as required by SEC Regulation G, offering transparency into the adjustments made for operating performance analysis Reconciliation of Net Income Available to Common Stockholders to Operating Net Income Available to Common Stockholders (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Net income available to common stockholders | $123,037 | $116,326 | $140,382 | | Preferred dividend at redemption | — | $3,995 | — | | Merger-related expense (after-tax) | — | — | $163 (pre-tax) / $129 (after-tax) | | Branch consolidation costs (after-tax) | — | $1,194 (pre-tax) / $943 (after-tax) | — | | FDIC special assessment (after-tax) | $804 (pre-tax) / $635 (after-tax) | $4,408 (pre-tax) / $3,482 (after-tax) | — | | Loss on indirect auto loan sale (after-tax) | — | ($2,603) (pre-tax) / ($2,056) (after-tax) | — | | Operating net income available to common stockholders (non-GAAP) | $123,672 | $122,690 | $140,511 | Reconciliation of Earnings Per Diluted Common Share to Operating Earnings Per Diluted Common Share (non-GAAP) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----- | :----- | :----- | | Earnings per diluted common share | $0.34 | $0.32 | $0.39 | | Operating earnings per diluted common share (non-GAAP) | $0.34 | $0.34 | $0.39 | Reconciliation of Total Non-Interest Expense to Operating Non-Interest Expense (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Total non-interest expense | $226,612 | $237,096 | $211,955 | | Branch consolidations | — | ($1,194) | — | | Merger-related | — | — | ($163) | | FDIC special assessment | ($804) | ($4,408) | — | | Loss on indirect auto loan sale | — | $2,603 | — | | Operating non-interest expense (non-GAAP) | $225,808 | $234,097 | $211,792 | Reconciliation of Pre-provision Net Revenue (reported) to Operating Pre-provision Net Revenue (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Pre-provision net revenue (reported) (non-GAAP) | $177,200 | $169,774 | $197,598 | | Operating pre-provision net revenue (non-GAAP) | $178,004 | $172,773 | $197,761 | Reconciliation of Return on Average Tangible Equity (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible net income (annualized) (non-GAAP) | $508,764 | $506,127 | $587,115 | | Average tangible stockholders' equity (non-GAAP) | $3,498,529 | $3,495,541 | $3,274,555 | | Return on average tangible equity (non-GAAP) | 14.54% | 14.48% | 17.93% | Reconciliation of Return on Average Tangible Common Equity (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible net income available to common stockholders (annualized) (non-GAAP) | $508,764 | $481,974 | $579,057 | | Average tangible common equity (non-GAAP) | $3,498,529 | $3,442,687 | $3,167,673 | | Return on average tangible common equity (non-GAAP) | 14.54% | 14.00% | 18.28% | Reconciliation of Operating Return on Average Tangible Common Equity (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible operating net income available to common stockholders (annualized) (non-GAAP) | $511,319 | $507,571 | $579,572 | | Average tangible common equity (non-GAAP) | $3,498,529 | $3,442,687 | $3,167,673 | | Operating return on average tangible common equity (non-GAAP) | 14.62% | 14.74% | 18.30% | Reconciliation of Return on Average Tangible Assets (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible net income (annualized) (non-GAAP) | $508,764 | $506,127 | $587,115 | | Average tangible assets (non-GAAP) | $43,932,071 | $43,133,557 | $41,851,681 | | Return on average tangible assets (non-GAAP) | 1.16% | 1.17% | 1.40% | Reconciliation of Tangible Book Value Per Common Share (non-GAAP) (Dollars in thousands, except per share data) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible common equity (non-GAAP) | $3,552,102 | $3,463,651 | $3,154,560 | | Common shares outstanding | 359,558,026 | 359,366,316 | 358,820,568 | | Tangible book value per common share (non-GAAP) | $9.88 | $9.64 | $8.79 | Reconciliation of Tangible Common Equity to Tangible Assets (non-GAAP) (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Tangible common equity (non-GAAP) | $3,552,102 | $3,463,651 | $3,154,560 | | Tangible assets (non-GAAP) | $45,177,210 | $43,353,663 | $42,221,657 | | Tangible common equity to tangible assets (non-GAAP) | 7.86% | 7.99% | 7.47% | [Cautionary Statement Regarding Forward-Looking Information](index=6&type=section&id=Cautionary%20Statement%20Regarding%20Forward-Looking%20Information) [Principal Risks and Uncertainties](index=6&type=section&id=Principal%20Risks%20and%20Uncertainties) This section highlights that the document contains forward-looking statements subject to various assumptions, risks, and uncertainties that can cause actual results to differ materially from expectations. The company does not undertake to update these statements except as required by law - **Key Risk Categories:** * Business, economic, and political circumstances (e.g., U.S. and global financial markets, economic slowdown, inflation, trade policies, sociopolitical environment) * Regulatory examination and supervision processes, including failure to satisfy requirements imposed by federal bank regulatory agencies or other governmental agencies * Ability to effectively identify and manage inherent business risks (e.g., credit losses due to CECL, operational/security system failures, increased funding costs) * Competition impacting customer acquisition, growth, retention, and pricing * Ability to adapt to technological changes and significant industry/economic events * Unpredictable uncertainties (e.g., natural disasters, wars, pandemics, geopolitical instability, labor shortages, supply chain disruptions, cyber-attacks) * Legal, regulatory, and accounting developments * Reputational impacts[12](index=12&type=chunk)[13](index=13&type=chunk)[35](index=35&type=chunk)[73](index=73&type=chunk)[96](index=96&type=chunk) [Conference Call Information](index=8&type=section&id=Conference%20Call%20Information) [Call Details](index=8&type=section&id=Call%20Details) F.N.B. Corporation hosted a conference call on July 18, 2024, to discuss Q2 2024 financial results. Key executives participated to provide insights - **Call Date & Time:** Thursday, July 18, 2024, at **8:30 AM ET** **Participants:** Chairman, President and CEO Vincent J. Delie, Jr., CFO Vincent J. Calabrese, Jr., and Chief Credit Officer Gary L. Guerrieri[98](index=98&type=chunk) [Webcast and Replay Access](index=8&type=section&id=Webcast%20and%20Replay%20Access) Access details for the live webcast, dial-in, and replay of the conference call are provided for investors and the public - **Dial-in Access:** (844) 802-2440 (domestic callers) or (412) 317-5133 (international callers). Participants can pre-register at https://dpregister.com/sreg/10190236/fce8da90f0 to bypass the live operator **Webcast Access:** Audio-only call and presentation materials available via the "About Us" tab of www.fnbcorporation.com, then "Investor Relations" and "Investor Conference Calls" **Replay Availability:** A replay will be available shortly after the call until midnight ET on Thursday, July 25, 2024. Access by dialing 877-344-7529 (domestic) or 412-317-0088 (international); conference replay access code is **2016205** **Presentation Materials:** Presentation slides and the earnings release will be posted to the "Investor Relations" section of F.N.B. Corporation's website[14](index=14&type=chunk)[15](index=15&type=chunk)[37](index=37&type=chunk)[38](index=38&type=chunk)[74](index=74&type=chunk)[99](index=99&type=chunk) - **Contacts:** * **Analyst/Institutional Investor Contact:** Lisa Hajdu, 412-385-4773, hajdul@fnb-corp.com * **Media Contact:** Jennifer Reel, 724-983-4856, 724-699-6389 (cell), reel@fnb-corp.com[76](index=76&type=chunk) [Consolidated Financial Statements](index=10&type=section&id=Consolidated%20Financial%20Statements) [Consolidated Statements of Income](index=10&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20INCOME) The Consolidated Statements of Income provide a detailed breakdown of F.N.B. Corporation's revenues, expenses, and net income for the second quarter of 2024, compared to the prior quarter and prior year quarter Consolidated Statements of Income (Dollars in thousands, except per share data) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Total Interest Income | $557,188 | $543,497 | $484,200 | | Total Interest Expense | $241,298 | $224,489 | $154,956 | | Net Interest Income | $315,890 | $319,008 | $329,244 | | Provision for Credit Losses | $20,189 | $13,890 | $18,516 | | Total Non-Interest Income | $87,922 | $87,862 | $80,309 | | Total Non-Interest Expense | $226,612 | $237,096 | $211,955 | | Income Before Income Taxes | $157,011 | $155,884 | $179,082 | | Income Taxes | $33,974 | $33,553 | $36,690 | | Net Income | $123,037 | $122,331 | $142,392 | | Net Income Available to Common Stockholders | $123,037 | $116,326 | $140,382 | | Diluted Earnings Per Common Share | $0.34 | $0.32 | $0.39 | [Average Balance Sheets and Net Interest Income Analysis](index=12&type=section&id=Average%20Balance%20Sheets%20and%20Net%20Interest%20Income%20Analysis) This section presents the average balances of assets and liabilities, along with interest income, interest expense, and corresponding yields/rates, providing insight into the company's net interest income and margin drivers Average Balance Sheets and Net Interest Income Analysis (Dollars in thousands) | Metric | 2Q24 Average Balance | 2Q24 Interest Income/Expense | 2Q24 Yield/Rate | 1Q24 Average Balance | 1Q24 Interest Income/Expense | 1Q24 Yield/Rate | 2Q23 Average Balance | 2Q23 Interest Income/Expense | 2Q23 Yield/Rate | | :----------------------------------- | :------------------- | :--------------------------- | :-------------- | :------------------- | :--------------------------- | :-------------- | :------------------- | :--------------------------- | :-------------- | | Total Interest Earning Assets | $41,423,442 | $560,103 | 5.43% | $40,653,202 | $546,407 | 5.40% | $39,529,429 | $487,469 | 4.94% | | Total Assets | $46,471,781 | | | $45,677,589 | | | $44,410,312 | | | | Total Interest-Bearing Deposits | $24,669,049 | $179,960 | 2.93% | $24,265,607 | $170,398 | 2.82% | $22,769,582 | $111,798 | 1.97% | | Total Interest-Bearing Liabilities | $29,475,017 | $241,298 | 3.29% | $28,723,528 | $224,489 | 3.14% | $26,813,852 | $154,956 | 2.32% | | Total Liabilities | $40,433,542 | | | $39,638,016 | | | $38,577,126 | | | | Total Stockholders' Equity | $6,038,239 | | | $6,039,573 | | | $5,833,186 | | | | Net Interest Income (FTE) | | $318,805 | | | $321,918 | | | $332,513 | | | Net Interest Income | | $315,890 | | | $319,008 | | | $329,244 | | | Net Interest Margin (FTE) | | | 3.09% | | | 3.18% | | | 3.37% | [Period-End Balance Sheets](index=11&type=section&id=Period-End%20Balance%20Sheets) The Period-End Balance Sheets provide a snapshot of F.N.B. Corporation's assets, liabilities, and equity at the end of the second quarter of 2024, compared to the prior quarter and prior year quarter Period-End Balance Sheets (Dollars in thousands) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Total Assets | $47,715,000 | $45,896,000 | $44,778,000 | | Net Loans and Leases | $33,338,000 | $32,178,000 | $30,941,000 | | Total Deposits | $34,994,000 | $34,735,000 | $33,825,000 | | Total Liabilities | $41,625,000 | $39,890,000 | $38,960,000 | | Total Stockholders' Equity | $6,090,000 | $6,006,000 | $5,818,000 | [Loans and Leases Detail](index=15&type=section&id=Loans%20and%20Leases%20Detail) This section provides a detailed breakdown of F.N.B. Corporation's loan and lease portfolio by category, showing both period-end and average balances and their changes over time Period-End Loans and Leases by Category (Dollars in millions) | Category | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Commercial Real Estate | $12,664 | $12,447 | $11,689 | +1.7% | +8.3% | | Commercial and Industrial | $7,597 | $7,347 | $7,248 | +3.4% | +4.8% | | Commercial Leases | $683 | $615 | $618 | +11.1% | +10.5% | | Commercial Loans and Leases | $21,089 | $20,549 | $19,676 | +2.6% | +7.2% | | Direct Installment | $2,700 | $2,712 | $2,747 | -0.4% | -1.7% | | Residential Mortgages | $7,459 | $6,887 | $6,089 | +8.3% | +22.5% | | Indirect Installment | $1,188 | $1,142 | $1,539 | +4.0% | -22.8% | | Consumer LOC | $1,321 | $1,294 | $1,303 | +2.1% | +1.4% | | Consumer Loans | $12,668 | $12,035 | $11,678 | +5.3% | +8.5% | | Total Loans and Leases | $33,757 | $32,584 | $31,354 | +3.6% | +7.7% | Average Loans and Leases by Category (Dollars in millions) | Category | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :-------------------------- | :----------- | :----------- | :----------- | :--------- | :--------- | | Commercial Real Estate | $12,663 | $12,274 | $11,693 | +3.2% | +8.3% | | Commercial and Industrial | $7,472 | $7,414 | $7,247 | +0.8% | +3.1% | | Commercial Leases | $659 | $658 | $591 | +0.1% | +11.6% | | Commercial Loans and Leases | $20,936 | $20,482 | $19,672 | +2.2% | +6.4% | | Direct Installment | $2,704 | $2,727 | $2,742 | -0.8% | -1.4% | | Residential Mortgages | $7,137 | $6,745 | $5,805 | +5.8% | +22.9% | | Indirect Installment | $1,168 | $1,138 | $1,531 | +2.7% | -23.7% | | Consumer LOC | $1,310 | $1,290 | $1,297 | +1.6% | +1.0% | | Consumer Loans | $12,320 | $11,899 | $11,376 | +3.5% | +8.3% | | Total Loans and Leases | $33,256 | $32,381 | $31,048 | +2.7% | +7.1% | [Asset Quality Data](index=16&type=section&id=Asset%20Quality%20Data) This section provides key asset quality metrics, including non-performing assets and delinquency rates, illustrating the health of the company's loan portfolio Asset Quality Data (Dollars in millions) | Metric | 2Q24 | 1Q24 | 2Q23 | QoQ Change | YoY Change | | :----------------------------------- | :----- | :----- | :----- | :--------- | :--------- | | Non-performing Loans | $108 | $105 | $143 | +2.9% | -24.5% | | Other Real Estate Owned (OREO) | $3 | $3 | $5 | 0.0% | -40.0% | | Non-performing Assets | $111 | $108 | $148 | +2.8% | -25.0% | | Non-performing Loans / Total Loans and Leases | 0.32% | 0.32% | 0.45% | 0 bps | -13 bps | | Loans 30-89 days past due | $95 | $87 | $83 | +9.2% | +14.5% | | Loans 90+ days past due | $11 | $17 | $8 | -35.3% | +37.5% | | Non-accrual loans | $108 | $105 | $143 | +2.9% | -24.5% | | Past due and non-accrual loans | $214 | $209 | $234 | +2.4% | -8.5% | | Past due and non-accrual loans / total loans and leases | 0.63% | 0.64% | 0.75% | -1 bps | -12 bps | [Allowance for Credit Losses Rollforward](index=17&type=section&id=Allowance%20on%20Loans%20and%20Leases%20and%20Allowance%20for%20Unfunded%20Loan%20Commitments%20Rollforward) This table details the changes in the allowance for credit losses on loans and leases, including provisions, net charge-offs, and the ending balance, as well as the allowance for unfunded loan commitments Allowance for Credit Losses on Loans and Leases Rollforward (Dollars in millions) | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----- | :----- | :----- | | Balance at beginning of period | $406.3 | $405.6 | $403.4 | | Provision for credit losses | $20.3 | $13.5 | $18.0 | | Net loan (charge-offs)/recoveries | ($7.8) | ($12.8) | ($8.7) | | Allowance for credit losses on loans and leases (end of period) | $418.8 | $406.3 | $412.7 | | Allowance for credit losses on loans and leases / total loans and leases | 1.24% | 1.25% | 1.32% | | Net loan charge-offs (annualized) / total average loans and leases | 0.09% | 0.16% | 0.11% | [Performance Ratios](index=14&type=section&id=Performance%20Ratios) This section provides a comprehensive overview of key performance ratios, including profitability, efficiency, and net interest margin, offering insights into the company's operational effectiveness and financial health Performance Ratios | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----- | :----- | :----- | | Return on average equity | 8.20% | 8.15% | 9.79% | | Return on average tangible equity (non-GAAP) | 14.54% | 14.48% | 17.93% | | Return on average tangible common equity (non-GAAP) | 14.54% | 14.00% | 18.28% | | Return on average assets | 1.06% | 1.08% | 1.29% | | Return on average tangible assets (non-GAAP) | 1.16% | 1.17% | 1.40% | | Net interest margin (FTE) (non-GAAP) | 3.09% | 3.18% | 3.37% | | Yield on earning assets (FTE) (non-GAAP) | 5.43% | 5.40% | 4.94% | | Cost of interest-bearing deposits | 2.93% | 2.82% | 1.97% | | Cost of interest-bearing liabilities | 3.29% | 3.14% | 2.32% | | Cost of funds | 2.46% | 2.33% | 1.64% | | Efficiency ratio (FTE) (non-GAAP) | 54.39% | 56.00% | 49.96% | | Effective tax rate | 21.64% | 21.52% | 20.49% | [Capital Ratios](index=14&type=section&id=Capital%20Ratios) This section details the company's capital adequacy ratios, including equity to assets, common equity tier 1, and tangible common equity to tangible assets, demonstrating its financial strength and regulatory compliance Capital Ratios | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----- | :----- | :----- | | Equity / assets (period end) | 12.76% | 13.09% | 12.99% | | Common equity / assets (period end) | 12.76% | 13.09% | 12.75% | | Common equity tier 1 | 10.2% | 10.2% | 10.1% | | Leverage ratio | 8.63% | 8.62% | 8.68% | | Tangible common equity / tangible (1) assets (period end) | 7.86% | 7.99% | 7.47% | [Common Stock Data](index=14&type=section&id=Common%20Stock%20Data) This section provides key data related to F.N.B. Corporation's common stock, including shares outstanding, book value, tangible book value, and dividend payout ratio Common Stock Data | Metric | 2Q24 | 1Q24 | 2Q23 | | :----------------------------------- | :----------- | :----------- | :----------- | | Average diluted common shares outstanding | 362,701,233 | 362,619,278 | 362,626,182 | | Period end common shares outstanding | 359,558,026 | 359,366,316 | 358,820,568 | | Book value per common share | $16.94 | $16.71 | $15.92 | | Tangible book value per common (1) share | $9.88 | $9.64 | $8.79 | | Dividend payout ratio (common) | 35.42% | 37.76% | 30.88% | ```

Core Viewpoint - F.N.B. Corporation reported solid second quarter results for 2024, with net income available to common stockholders of $123.0 million, reflecting a slight decrease compared to the previous year, but showing growth from the first quarter of 2024. The company demonstrated strong loan and deposit growth, alongside stable asset quality metrics. Financial Performance - Net income available to common stockholders for Q2 2024 was $123.0 million, or $0.34 per diluted common share, compared to $140.4 million, or $0.39 per diluted common share in Q2 2023, and $116.3 million, or $0.32 per diluted common share in Q1 2024 [1][4] - On an operating basis, Q2 2024 earnings per diluted common share (non-GAAP) was $0.34, consistent with Q1 2024, but down from $0.39 in Q2 2023 [2] - Pre-provision net revenue (non-GAAP) increased over 4% on a linked-quarter basis to $177.2 million, supported by well-managed expenses and strong non-interest income levels [3] Loan and Deposit Growth - Total loans and leases increased by $2.4 billion, or 7.7%, year-over-year, with commercial loans and leases up $1.4 billion, or 7.2%, and consumer loans up $989.5 million, or 8.5% [13] - Average deposits totaled $34.6 billion, an increase of $813.8 million, or 2.4%, from the prior-year quarter, driven by growth in time deposits and interest-bearing demand deposits [7] Asset Quality - The ratio of non-performing loans and OREO to total loans and OREO remained stable at 0.33%, with total delinquency decreasing to 0.63% [12][16] - Net charge-offs for Q2 2024 were $7.8 million, or 0.09% annualized of total average loans, compared to $12.8 million, or 0.16% annualized in the previous year [12][17] Capital Position - The Common Equity Tier 1 (CET1) regulatory capital ratio was 10.2% at June 30, 2024, compared to 10.1% a year ago [18] - Tangible book value per common share (non-GAAP) increased by 12.4% year-over-year to $9.88 [18] Non-Interest Income and Expenses - Non-interest income totaled $87.9 million, a 9.5% increase compared to $80.3 million in Q2 2023, driven by strong Treasury Management activity and higher consumer transaction levels [8][20] - Non-interest expense totaled $226.6 million, an increase of 6.9% year-over-year, primarily due to higher salaries and benefits and technology-related investments [9]