FNB(FNB) - 2025 Q2 - Quarterly Results

Financial Performance - F.N.B. Corporation reported record revenue of $438 million for Q2 2025, a 6.5% increase linked-quarter, driven by margin expansion and growth in net interest income [2]. - Net income available to common shareholders was $130.7 million, or $0.36 per diluted common share, compared to $123.0 million, or $0.34 per diluted common share in Q2 2024 [2]. - Net income for 2Q25 was $524,116, an increase from $472,534 in 1Q25 and $494,851 in 2Q24, reflecting a growth trend [57]. - Operating net income available to common shareholders was $130.67 million in 2Q25, a 12.1% increase from $116.52 million in 1Q25 [56]. - Earnings per common share for 2Q25 were $0.36, a 12.5% increase from $0.32 in 1Q25 [56]. - Return on average equity for Q2 2025 was 8.09%, an increase from 7.42% in Q1 2025 and 8.20% in Q2 2024 [47]. - Return on average tangible equity for 2Q25 was 13.57%, up from 12.62% in 1Q25 and down from 14.54% in Q2 2024 [57]. Loan and Deposit Growth - Average loans and leases totaled $34.5 billion, an increase of $1.2 billion, or 3.7%, with consumer loans growing by $889 million and commercial loans by $357.8 million [4]. - Average deposits reached $37.1 billion, up $2.5 billion, or 7.3%, with a stable loan-to-deposit ratio of 92% [4]. - Total loans and leases reached $34,679 million in Q2 2025, up 1.3% from $34,235 million in Q1 2025 and 2.7% from $33,757 million in Q2 2024 [50]. - Total deposits rose to $37.748 billion, reflecting a 1.4% increase from 1Q25 and a 7.9% increase from 2Q24 [41]. - Loans and leases net of unearned income amounted to $34.679 billion, a 1.3% increase from 1Q25 and a 2.7% increase from 2Q24 [41]. Interest Income and Expenses - Net interest income was a record $347.2 million, reflecting a 7.2% increase from the prior quarter, primarily due to higher yields on earning assets [4]. - Total interest income for 2Q25 reached $582.641 million, a 4.1% increase from 1Q25 and a 4.6% increase from 2Q24 [40]. - Net interest income after provision for credit losses was $321.595 million, reflecting a 5.0% increase from 1Q25 and an 8.8% increase from 2Q24 [40]. - The yield on earning assets was 5.33% in Q2 2025, up from 5.23% in Q1 2025 and down from 5.43% in Q2 2024 [47]. - The cost of interest-bearing deposits was 2.66% in Q2 2025, down from 2.76% in Q1 2025 and 2.93% in Q2 2024 [47]. Non-Interest Income and Expenses - Non-interest income reached a record $91.0 million, an increase of 3.5% year-over-year, driven by capital markets and wealth management revenues [10]. - Non-interest income totaled $91.015 million in 2Q25, a 3.7% increase from 1Q25 and a 3.5% increase from 2Q24 [40]. - Non-interest expense totaled $246.2 million, an increase of 8.7%, driven by strategic hiring and technology-related investments [11]. - Total non-interest expense for Q2 2025 was $246,225 thousand, slightly down from $246,811 thousand in Q1 2025 [62]. - The efficiency ratio improved to 54.83% in Q2 2025, compared to 58.50% in Q1 2025 and 54.39% in Q2 2024 [62]. Credit Quality and Provisions - The provision for credit losses was $25.6 million, with net charge-offs of $21.8 million, reflecting proactive management of the loan portfolio [6]. - The provision for credit losses was $25.601 million, a 46.4% increase from 1Q25 and a 26.8% increase from 2Q24 [40]. - The allowance for credit losses was $437.1 million in Q2 2025, compared to $428.9 million in Q1 2025, indicating a slight increase in provisions [42]. - The ratio of non-performing loans and OREO to total loans and OREO decreased by 14 basis points to 0.34%, indicating solid asset quality metrics [20]. - Non-performing loans decreased to $117 million in Q2 2025, down 27.3% from $161 million in Q1 2025 and up 8.3% from $108 million in Q2 2024 [53]. Capital and Equity - The Common Equity Tier 1 (CET1) ratio was estimated at 10.8%, up from 10.2% a year ago, indicating strong capital levels [6]. - The CET1 regulatory capital ratio was estimated at 10.8%, an increase from 10.7% at the end of the previous quarter [21]. - Tangible book value per common share increased to $11.14, a 12.8% rise from the previous year [14]. - Shareholders' equity rose to $6.48 billion in Q2 2025, up from $6.37 billion in Q1 2025, reflecting a growth of 1.7% [42]. - Book value per common share increased to $18.17 in Q2 2025, up from $17.86 in Q1 2025 and $16.94 in Q2 2024 [50].