Financial Performance - Net income for the three months ended September 30, 2025, was $568 million, down from $639 million in the same period of 2024, a decline of 11.1%[15]. - Net income for the nine months ended September 30, 2025, was $1,626 million, a decrease from $2,077 million in the same period of 2024[22]. - Total revenue for the nine months ended September 30, 2025, was $7,104 million, an increase from $7,350 million in the same period of 2024, indicating a decline of about 3.4%[201]. - Basic earnings per common share for the three months ended September 30, 2025, was $43.08, down from $43.42 in 2024, and for the nine months ended September 30, 2025, it was $119.70 compared to $140.27 in 2024[174]. Asset and Deposit Growth - Total assets increased to $233,488 million as of September 30, 2025, up from $223,720 million at December 31, 2024, representing a growth of 7.9%[13]. - Total deposits reached $163,190 million as of September 30, 2025, up from $155,229 million at December 31, 2024, indicating an increase of 5.9%[13]. - Total loans and leases increased to $144.758 billion as of September 30, 2025, compared to $140.221 billion at December 31, 2024, reflecting a growth of approximately 3.8%[55]. Income and Expense Analysis - Net interest income for the three months ended September 30, 2025, was $1,734 million, a decrease of 3.5% from $1,796 million in the same period of 2024[15]. - Total noninterest income rose to $699 million for the three months ended September 30, 2025, compared to $650 million in the same period of 2024, marking an increase of 7.5%[15]. - Total noninterest expense increased to $1,491 million for the three months ended September 30, 2025, compared to $1,456 million in the same period of 2024, an increase of 2.4%[15]. Credit Losses and Provisions - Provision for credit losses increased to $191 million for the three months ended September 30, 2025, compared to $117 million in the same period of 2024, reflecting a rise of 63.2%[15]. - The provision for credit losses for the nine months ended September 30, 2025, was $460 million, compared to $276 million for the same period in 2024, representing an increase of approximately 66.7%[201]. Equity and Stockholder Information - Stockholders' equity decreased to $21,986 million as of September 30, 2025, from $22,228 million at December 31, 2024, a decline of 1.1%[13]. - The company repurchased 1,098,992 shares of Class A common stock for $2,148 million during the nine months ended September 30, 2025[22]. - Common stock outstanding as of September 30, 2025, is 11,613,444 shares for Class A and 1,005,185 shares for Class B, reflecting a decrease from 12,070,794 and 1,005,185 shares respectively as of June 30, 2025, due to repurchases[168]. Investment Securities - As of September 30, 2025, total investment securities amounted to $43.911 billion, with an amortized cost of $45.316 billion, reflecting gross unrealized losses of $1.783 billion[41]. - The total investment securities available for sale amounted to $34,963 million as of September 30, 2025, with corporate bonds valued at $250 million[141]. - The total unrealized losses on investment securities available for sale amounted to $541 million as of September 30, 2025, compared to $843 million at December 31, 2024[49]. Loan Portfolio and Quality - Total loans and leases as of September 30, 2025, amounted to $144,758 million, with a total past due of $897 million[61]. - Nonaccrual loans totaled $1,406 million as of September 30, 2025, compared to $1,184 million at December 31, 2024[61]. - The credit quality indicators for commercial loans are based on ongoing evaluations of individual borrowers, with a focus on criticized loans[62]. Segment Reporting - The General Bank segment provides a full suite of deposit products, loans, and wealth management services, generating revenue primarily from interest earned on loans and noninterest income from banking and advisory services[185][186]. - The Commercial Bank segment offers a range of lending and advisory services tailored to commercial and middle-market companies, with revenue primarily generated from interest and fees on loans[187][189]. - The company made changes to the composition of its reportable segments effective January 1, 2025, impacting the segment disclosures for 2024[182]. Legal and Regulatory Matters - The Parent Company and certain subsidiaries are defendants in legal actions with claims for damages arising from normal business activities[211]. - BancShares is exposed to litigation risk related to prior business activities of banks from which assets were acquired and liabilities assumed[211].
FIRST CITIZENS(FCNCO) - 2025 Q3 - Quarterly Report