Financial Data and Key Metrics Changes - Earnings per share diluted was $0.95, an increase of 9% year-over-year [37] - Total core revenues were $172.2 million, up 10% compared to last year [37] - Net interest margin was 5.8%, down from 5.9% in the second quarter [44] - Total assets increased to $10.3 billion from last quarter [38] - Customer deposits were stable at approximately $8.5 billion [38] - Net charge-offs totaled $18.8 million, compared to $6.6 million in the second quarter [48] Business Line Data and Key Metrics Changes - Average loan balances increased by $188 million from the second quarter, with end-of-period balance up $144 million [7] - Loan yield was 7.84%, up 8 basis points from the second quarter [43] - Banking and wealth management revenues were $30.4 million, approximately level with the second and year-ago quarters [42] - New loan production was approximately $563 million, in line with the last five quarters [38] Market Data and Key Metrics Changes - The cumulative deposit beta was 19%, with an expectation of about 25% by year-end [8][55] - The economy in Puerto Rico is described as sound, with consumer liquidity being strong [3][11] - Early and total delinquency rates were 2.75% and 3.78%, respectively [49] Company Strategy and Development Direction - The company continues to focus on a digital-first strategy to enhance customer engagement and operational efficiency [3][39] - There is a strong commercial lending pipeline expected to continue into the fourth quarter and 2024 [11] - The company plans to maintain a balance sheet above $10 billion, leveraging loan growth opportunities [20][24] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about Puerto Rico's economic strength despite potential global economic uncertainties [10][50] - The company is monitoring the impact of interest rate changes and inflation on its operations [10] - Credit conditions are expected to remain benign, with a focus on maintaining strong credit quality [49] Other Important Information - The efficiency ratio was 52.36%, reflecting continuous growth and strong operating leverage [42] - The company opened a new branch in Dorado, indicating a commitment to physical presence alongside digital strategies [41] Q&A Session Summary Question: What is the balance of government deposits at quarter end? - The balance of government deposits is in the $350 million range [15] Question: How does the company plan to manage deposit costs and loan growth? - The company expects to mitigate potential higher deposit costs with loan growth, maintaining a focus on net interest income [16] Question: What is the outlook for net charge-offs and the allowance ratio? - The company anticipates a more normalized level of charge-offs and believes credit conditions will remain strong [18] Question: How does the company view its participation in financing opportunities like the Metropistas deal? - The company sees itself as a solid participant in such financing opportunities, contributing to infrastructure improvement in Puerto Rico [61] Question: What is the strategy regarding capital management and buybacks? - The company plans to focus on loan growth while also considering dividend growth and buybacks in its capital management strategy [64]

The information included in this document contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and involve certain risks and uncertainties that may cause actual results to differ materially from those expressed in the forward-looking statements. In addition to our financial information presented in accordance with GAAP, management uses certain "non-GAAP financial measures" withi ...

FORM 10-Q UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission File Number: 001-12647 OFG Bancorp 254 Muñoz Rivera Avenue 00918 San Juan, Puerto Rico (Zip code) (Address of princ ...

Financial Data and Key Metrics Changes - Earnings per share diluted was $0.93, up 11% year-over-year [8] - Core revenues increased 17% to $170.5 million [8] - Net interest margin was 5.9% [8] - Provision for credit losses totaled $15 million [8] - Non-interest expenses were $89 million, with pre-provision net revenues totaling $80.8 million, up 22% year-over-year [8][17] - Return on average asset was 1.76%, and return on average tangible common equity was 17.67% [19] Business Line Data and Key Metrics Changes - New loan production increased 23% from the first quarter to approximately $692 million [9][21] - Banking and wealth management revenues were $31 million, up $2 million from the first quarter [15] - Average loan balances increased $136 million from the first quarter [20] - Non-interest expenses are expected to average about $90 million to $92 million per quarter for the rest of the year [18] Market Data and Key Metrics Changes - Customer deposits were approximately $8.5 billion [9] - Loans held for investment totaled $7.1 billion, up 3.8% from the first quarter [9] - Retail deposits declined $136 million, while government deposits increased $130 million [22] - Cumulative deposit beta was 16%, expected to reach about 25% through the cycle [23] Company Strategy and Development Direction - The company is focused on a digital-first strategy, showing excellent progress with higher sales service actions and lower branch visits [6][12] - Investments in technology are aimed at improving customer experience and operational efficiency [12][102] - The company aims to maintain a strong loan-to-deposit ratio while managing deposits effectively [40][44] Management's Comments on Operating Environment and Future Outlook - The economy in Puerto Rico continues to show resilience, with retail sales and wages rising [30][31] - Management is optimistic about the strength of Puerto Rico's economy despite potential risks from interest rate changes and inflation [31] - The company anticipates continued strong loan production and stable core deposit balances [32] Other Important Information - The CET1 ratio was 14.0%, and the company bought back about 565,000 shares during the second quarter [10] - The efficiency ratio improved to 52.13%, reflecting increased operating leverage [17] Q&A Session Summary Question: Loan-to-deposit ratio outlook - Management noted high levels of liquidity and capital, indicating a strong position in the current banking environment [36][37] Question: Commercial loan growth and pipeline - Management confirmed a strong pipeline for commercial loans and expressed confidence in replicating first-half performance in the second half [40] Question: Deposit beta guidance - Management indicated that the deposit beta guidance remains at 25%, which is considered conservative given current levels [45] Question: Credit portfolio specifics - Management clarified that specific issues with three U.S. commercial loans do not affect the overall diversified portfolio [48][49] Question: Efficiency ratio guidance - Management expects non-interest expenses to remain stable, with technology investments driving future efficiency [54][55] Question: Auto loan market outlook - Management expressed surprise at the strength of auto loan growth and noted that consumer confidence is driving purchases [56][59] Question: Capital management and buyback activity - Management is focused on loan growth, dividends, and share repurchase programs, with $19 million remaining for buybacks [60][61] Question: Deposit pressure trends - Management observed lower non-interest-bearing deposit balances as consumers deploy liquidity for purchases [68][70] Question: Digital strategy updates - Management emphasized a customer-centric approach in their digital strategy, with ongoing investments in technology [102][103]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission File Number: 001-12647 OFG Bancorp (Exact name of registrant as specified in its charter) Commonwealth of Puerto R ...

Forward Looking Statements Factors that might cause such a difference include but are not limited to (i) general business and economic conditions, including changes in interest rates; (ii) cybersecurity breaches; (iii) hurricanes, earthquakes and other natural disasters; (iv) competition in the financial services industry; and (v) the severity, magnitude and duration of the COVID-19 pandemic, and its impact on our operations, personnel, and customers. In addition to our financial information presented in ac ...

Financial Data and Key Metrics Changes - The company reported strong quarterly performance for Q1 2023, reflecting the strength of its franchise supported by high levels of liquidity and capital [5]. Business Line Data and Key Metrics Changes - All business segments performed well and contributed positively to the overall results, indicating a robust operational performance across the board [5]. Market Data and Key Metrics Changes - The company is positioned strongly in the current banking environment, benefiting from favorable market conditions [5]. Company Strategy and Development Direction and Industry Competition - The management emphasized the importance of maintaining high liquidity and capital levels to navigate the current banking landscape effectively [5]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position and performance, highlighting the positive contributions from all business lines [5]. Other Important Information - The call included forward-looking statements regarding management's goals and expectations, with a disclaimer about the risks and uncertainties involved [4]. Q&A Session All Questions and Answers - No specific questions and answers were provided in the available content.

Financial Performance - In the fourth quarter of 2022, total core revenue grew by 7.3% compared to the third quarter of 2022, reaching $168.3 million[220]. - Earnings per share (EPS) diluted increased to $0.97 in the fourth quarter of 2022, up from $0.87 in the third quarter of 2022 and $0.66 in the fourth quarter of 2021[220]. - Net interest income for the fourth quarter of 2022 was $135.3 million, compared to $126.5 million in the third quarter of 2022 and $104.2 million in the fourth quarter of 2021[221]. - The net interest margin expanded to 5.69% in the fourth quarter of 2022, up from 5.23% in the third quarter of 2022, reflecting Federal Reserve interest rate increases[221]. - Diluted EPS for 2022 was $3.44, up from $2.81 in 2021, with total core revenues increasing to $607.8 million from $536.6 million[234]. - Non-interest income totaled $131.7 million, a slight decrease of 1.1% from $133.2 million in 2021[249]. - Total assets increased to $10.8 billion in 2022 from $9.9 billion in 2021, reflecting growth in the company's balance sheet[258]. Credit and Loan Performance - Provision for credit losses in the fourth quarter of 2022 was $8.8 million, compared to $7.1 million in the third quarter of 2022 and $7.2 million in the fourth quarter of 2021[226]. - Net charge-offs for Q4 2022 were $11.2 million, a slight decrease from $11.3 million in Q3 2022 and a significant drop from $32.5 million in Q4 2021[227]. - Total loans outstanding under the payment accommodations program amounted to $33.1 million as of December 31, 2022[200]. - The total loan portfolio stood at $6.835 billion as of December 31, 2022, with various categories including mortgage, commercial, consumer, and auto loans[278]. - Total charge-offs for 2022 amounted to $63.8 million, a decrease of 26.3% compared to $86.5 million in 2021[304]. - Non-performing assets decreased by 10.3% to $115.7 million in 2022 from $129.0 million in 2021[311]. Expenses and Efficiency - Non-interest expenses increased to $91.6 million in Q4 2022, up from $87.5 million in Q3 2022 and $86.5 million in Q4 2021, primarily due to higher compensation expenses and technology staffing[228]. - The efficiency ratio improved to 56.85% in 2022 from 60.70% in 2021, indicating better cost management[237]. - Non-interest expenses increased by 6.1% to $345.5 million in 2022 from $325.8 million in 2021, driven by a $9.5 million increase in compensation and employee benefits[253]. Capital and Dividends - The Board of Directors approved an increase in the regular quarterly cash dividend to $0.20 per common share starting from the quarter ended September 30, 2022[201]. - Stockholders' equity was $1.042 billion at December 31, 2022, a 3% decrease from $1.069 billion in 2021[318]. - Cash dividends declared increased by 63.8% from $20,505 thousand in 2021 to $33,593 thousand in 2022, with a payout ratio of 20.35%[326]. Risk Management - The company’s risk management program is overseen by the Chief Risk and Compliance Officer and includes a comprehensive credit policy to monitor loan portfolio quality[6]. - OFG's interest rate risk management strategy incorporates the use of derivative instruments to minimize fluctuations in earnings caused by interest rate volatility[7]. - The Board of Directors has established policies to manage liquidity risk, ensuring sufficient cash generation to meet obligations[10]. Market and Economic Conditions - The Puerto Rico Economic Activity Index has been increasing for over a year, indicating a stable upward trend in the local economy despite the impacts of Hurricane Fiona[205]. - The Federal Reserve increased the federal funds rate seven times during fiscal year 2022, with the last increase of 50 basis points on December 14, 2022[204]. Shareholder Actions - The company repurchased 2.4 million shares of common stock for $64.1 million by December 31, 2022, under a $100 million stock repurchase program[202]. - As of December 31, 2022, OFG has $35.9 million remaining under the $100 million stock buyback program, allowing for the purchase of approximately 1,302,242 shares at a closing price of $27.56[2].

Financial Data and Key Metrics Changes - The company reported strong performance for the fourth quarter and fiscal year 2022, reflecting significant progress in executing its strategies [3] - The financial results indicate a solid position as a challenger bank, differentiating from competitors through technology deployment and network expansion [3] Business Line Data and Key Metrics Changes - The company has expanded its self-service banking options, now offering seven self-service banking kiosks and 23 Interactive Teller Machines, enhancing customer experience [8] Market Data and Key Metrics Changes - The company is focusing on a digital-first business transformation, which is expected to solidify its market position and improve competitiveness [3] Company Strategy and Development Direction - The company is committed to investing in technology and talent, aiming to enhance its service offerings and operational efficiency [3] - The strategic focus on digital transformation is intended to differentiate the company from traditional banks and improve customer engagement [3] Management's Comments on Operating Environment and Future Outlook - Management expressed pride in the company's achievements over the past year and emphasized the importance of ongoing investments in technology and customer service [3] Other Important Information - The call included forward-looking statements regarding management's goals and expectations, with a disclaimer about potential risks and uncertainties [4] Q&A Session Summary Question: What are the company's future growth strategies? - Management highlighted the focus on digital transformation and enhancing customer service as key growth strategies moving forward [3]

January 26, 2023 Factors that might cause such a difference include but are not limited to (i) general business and economic conditions, including changes in interest rates; (ii) cybersecurity breaches; (iii) hurricanes, earthquakes and other natural disasters; (iv) competition in the financial services industry; and (v) the severity, magnitude and duration of the COVID-19 pandemic, and its impact on our operations, personnel, and customers. Quarterly Results 4Q22 Conference Call Forward Looking Statements ...