FIRST CITIZENS(FCNCO) - 2025 Q3 - Quarterly Results

Summary Financial Data & Key Metrics This section provides a comprehensive overview of the company's summary financial data and key performance metrics Results of Operations Net interest income and net income declined, due to higher credit loss provisions and rising noninterest expenses | Metric | Three Months Ended Sep 30, 2025 ($ millions) | Three Months Ended Sep 30, 2024 ($ millions) | Nine Months Ended Sep 30, 2025 ($ millions) | Nine Months Ended Sep 30, 2024 ($ millions) | | :----------------------------------- | :----------------------------------- | :----------------------------------- | :----------------------------------- | :----------------------------------- | | Net interest income | $1,734 | $1,796 | $5,092 | $5,434 | | Provision for credit losses | $191 | $117 | $460 | $276 | | Net income | $568 | $639 | $1,626 | $2,077 | | Net income available to common stockholders | $554 | $624 | $1,583 | $2,031 | | Noninterest income | $699 | $650 | $2,012 | $1,916 | | Noninterest expense | $1,491 | $1,456 | $4,484 | $4,218 | - Net interest income decreased by $62 million (3.45%) for the three months ended September 30, 2025, and by $342 million (6.29%) for the nine months ended September 30, 2025, compared to the prior year periods[1] - Provision for credit losses increased significantly by $74 million (63.25%) for the three months and $184 million (66.67%) for the nine months ended September 30, 2025, year-over-year[1] Per Share Information Diluted and adjusted EPS declined year-over-year; book and tangible book value per share increased | Metric | Three Months Ended Sep 30, 2025 ($) | Three Months Ended Sep 30, 2024 ($) | Nine Months Ended Sep 30, 2025 ($) | Nine Months Ended Sep 30, 2024 ($) | | :----------------------------------- | :----------------------------------- | :----------------------------------- | :----------------------------------- | :----------------------------------- | | Diluted earnings per common share (EPS) | $43.08 | $43.42 | $119.70 | $140.26 | | Adjusted diluted EPS | $44.62 | $45.87 | $127.03 | $149.71 | | Book value per common share at period end | $1,672.54 | $1,547.81 | N/A | N/A | | Tangible book value per common share (TBV) at period end | $1,628.64 | $1,504.75 | N/A | N/A | - Diluted EPS decreased by $0.34 (0.78%) for the quarter and $20.56 (14.66%) for the nine months ended September 30, 2025, compared to the same periods in the prior year[1] - Book value per common share increased by $124.73 (8.06%) year-over-year to $1,672.54 at September 30, 2025[1] Key Performance Metrics Key profitability ratios (ROA, ROE) and Net Interest Margin declined, with efficiency ratio worsening year-over-year | Metric | Three Months Ended Sep 30, 2025 | Three Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2025 | Nine Months Ended Sep 30, 2024 | | :----------------------------------- | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Return on average assets (ROA) | 0.98 % | 1.15 % | 0.95 % | 1.27 % | | Adjusted ROA | 1.01 % | 1.22 % | 1.01 % | 1.35 % | | Return on average common equity (ROE) | 10.26 % | 11.30 % | 9.82 % | 12.73 % | | Efficiency ratio | 61.27 % | 59.49 % | 63.12 % | 57.38 % | | Net interest margin (NIM) | 3.26 % | 3.53 % | 3.26 % | 3.62 % | - ROA decreased from 1.15% to 0.98% year-over-year for the quarter, and from 1.27% to 0.95% for the nine-month period[1] - The efficiency ratio worsened to 61.27% in Q3 2025 from 59.49% in Q3 2024, and to 63.12% for the nine months from 57.38% in the prior year, indicating higher costs relative to revenue[1] Select Balance Sheet Items at Period End Total loans and leases, investment securities, and deposits all increased year-over-year, while the loan to deposit ratio slightly decreased | Metric | Sep 30, 2025 ($ millions) | Jun 30, 2025 ($ millions) | Sep 30, 2024 ($ millions) | | :----------------------------------- | :------------------------ | :------------------------ | :------------------------ | | Total investment securities | $45,124 | $43,346 | $38,663 | | Total loans and leases | $144,758 | $141,269 | $138,695 | | Total deposits | $163,190 | $159,935 | $151,574 | | Total borrowings | $38,675 | $38,112 | $37,161 | | Loan to deposit ratio | 88.71 % | 88.33 % | 91.50 % | | Noninterest-bearing deposits to total deposits | 26.20 % | 25.56 % | 25.99 % | - Total loans and leases grew by $6.063 billion (4.37%) year-over-year to $144.758 billion[1] - Total deposits increased by $11.616 billion (7.66%) year-over-year to $163.190 billion[1] Capital Ratios at Period End Capital ratios, including Total risk-based capital, Tier 1 risk-based capital, and Common equity Tier 1, decreased year-over-year | Metric | Sep 30, 2025 | Jun 30, 2025 | Sep 30, 2024 | | :----------------------------------- | :----------- | :----------- | :----------- | | Total risk-based capital ratio | 14.05 % | 14.25 % | 15.36 % | | Tier 1 risk-based capital ratio | 12.15 % | 12.63 % | 13.78 % | | Common equity Tier 1 ratio | 11.65 % | 12.12 % | 13.24 % | | Tier 1 leverage capital ratio | 9.34 % | 9.62 % | 10.17 % | - Common equity Tier 1 ratio decreased from 13.24% in Q3 2024 to 11.65% in Q3 2025[1] - Capital ratios for the current quarter-end are preliminary[1] Asset Quality at Period End Asset quality metrics show a slight deterioration, with nonaccrual loans increasing and the net charge-off ratio rising significantly year-over-year | Metric | Sep 30, 2025 | Jun 30, 2025 | Sep 30, 2024 | | :----------------------------------- | :----------- | :----------- | :----------- | | Nonaccrual loans to total loans and leases | 0.97 % | 0.93 % | 0.90 % | | Allowance for loan and lease losses (ALLL) to loans and leases | 1.14 % | 1.18 % | 1.21 % | | Net charge-off ratio for the period | 0.65 % | 0.33 % | 0.42 % | - Nonaccrual loans to total loans and leases increased from 0.90% in Q3 2024 to 0.97% in Q3 2025[1] - The net charge-off ratio for the quarter more than doubled from 0.33% in Q2 2025 to 0.65% in Q3 2025, and increased from 0.42% in Q3 2024[1] Income Statement (unaudited) This section presents the unaudited income statement, detailing interest income and expense, noninterest income, noninterest expense, and net income [Interest Income and Expense](index=2&type=section&id=Interest%20Income%20and%20Expense