F.N.B. CORPORATION PITTSBURGH, Oct. 19, 2017 /PRNewswire/ -- F.N.B. Corporation (NYSE: FNB) reported earnings for the third quarter of 2017 with net income available to common stockholders of $75.7 million, or $0.23 per diluted common share. Comparatively, second quarter of 2017 net income available to common stockholders totaled $72.4 million, or $0.22 per diluted common share, and third quarter of 2016 net income available to common stockholders totaled $50.2 million, or $0.24 per diluted common share.
Third quarter operating net income per diluted common share (non-GAAP) was $0.24, which excludes the after-tax impact of merger-related expenses of $0.9 million. Comparatively, second quarter operating net income per diluted common share was $0.23, excluding the after-tax impact of $0.9 million of merger-related expenses, and third quarter of 2016 operating net income per diluted common share was $0.24, excluding the after-tax impact of $0.2 million of merger-related expenses.
"FNB delivered solid performance in the third quarter resulting in record revenue and record net income," said Vincent J. Delie Jr., President and Chief Executive Officer. "We are pleased with the growth in loans and deposits, as well as our ability to effectively manage expenses. We are also pleased with the results of several of our fee-based businesses and remain focused on our revenue growth initiatives to deliver increased value for our shareholders."
Third Quarter 2017 Highlights
(All comparisons refer to the second quarter of 2017, except as noted)
-- Growth in total average loans was $293 million, or 5.7% annualized, with
average commercial loan growth of $125 million, or 3.9% annualized, and
average consumer loan growth of $178 million, or 9.4% annualized.
-- Average total deposits increased $41 million, or 0.8% annualized,
including an increase in average non-interest bearing deposits of $61
million, partially offset by a decline in average interest-bearing
deposits of $34 million.
-- The loan to deposit ratio ended September 30, 2017 at 94.9%, compared to
97.5% at June 30, 2017, primarily due to annualized total deposit growth
of 16.5%.
-- The net interest margin (FTE) (non-GAAP) expanded 2 basis points to
3.44% from 3.42%, reflecting $1.7 million of increased incremental
purchase accounting accretion and $3.2 million of increased cash
recoveries relative to the second quarter.
-- Total revenue increased 2.4% to $291 million, reflecting a 3.1% increase
in net interest income and stable non-interest income.
-- Increased non-interest income from mortgage banking, insurance and
wealth management was offset by a decrease in capital markets revenue.
-- The efficiency ratio on an operating basis (non-GAAP) improved to 53.1%,
compared to 54.3% in the prior quarter, due to increased total revenue
and flat non-interest expense.
-- Annualized net charge-offs were 0.24% of total average loans, compared
to 0.23% in the second quarter of 2017, and 0.33% in the year-ago
quarter.
The tangible common equity to tangible assets ratio (non-GAAP) increased four basis points to 6.87% at September 30, 2017, compared to 6.83% at June 30, 2017. The tangible book value per common share (non-GAAP) was $6.12 at September 30, 2017, an increase of $0.12 from June 30, 2017.
Non-GAAP measures referenced in this release are used by management to measure performance in operating the business that management believes enhances investors' ability to better understand the underlying business performance and trends related to core business activities. Reconciliations of non-GAAP operating measures to the most directly comparable GAAP financial measures are included in the tables at the end of this release. "Incremental purchase accounting accretion" refers to the difference between total accretion and the estimated coupon interest income on acquired loans. "Organic growth" refers to growth excluding the benefit of initial balances from acquisitions.
Quarterly Results Summary 3Q17 2Q17 3Q16
---- ---- ----
Reported results
Net income available to common stockholders (millions) $75.7 $72.4 $50.2
Net income per diluted common share $0.23 $0.22 $0.24
Book value per common share (period-end) $13.39 $13.26 $11.72
Operating results (non-GAAP)
Operating net income available to common stockholders (millions) $76.6 $73.3 $50.4
Operating net income per diluted common share $0.24 $0.23 $0.24
Tangible common equity to tangible assets (period-end) 6.87% 6.83% 6.69%
Tangible book value per common share (period-end) $6.12 $6.00 $6.53
Average diluted common shares outstanding (thousands) 324,905 324,868 211,791
Significant items influencing earnings(1) (millions)
Pre-tax merger-related expenses $(1.4) $(1.4) $(0.3)
After-tax impact of merger-related expenses $(0.9) $(0.9) $(0.2)
(1) Favorable (unfavorable) impact on earnings
Third Quarter 2017 Results - Comparison to Prior Quarter
Net interest income totaled $225.2 million, increasing $6.8 million or 3.1%. The net interest margin (FTE) (non-GAAP) expanded two basis points to 3.44% and included $2.2 million of incremental purchase accounting accretion and $4.3 million of cash recoveries, compared to $0.5 million and $1.1 million, respectively, in the prior quarter. Total average earning assets increased $488 million, or 1.9%, due to average loan growth of $293 million and a $118 million increase in average securities.
Average loans totaled $20.7 billion and increased $293 million, or 5.7% annualized, reflecting solid loan growth in the commercial and consumer portfolios. Average commercial loan growth totaled $125 million, or 3.9% annualized, primarily due to origination volume in the Pittsburgh, Baltimore and Cleveland markets. Average consumer loan growth was $178 million, or 9.4% annualized, led by continued growth in indirect auto loans and residential mortgage loans.
Average deposits totaled $21.2 billion and increased $41 million, or 0.8% annualized, due to growth in non-interest bearing deposits, which was partially offset by decreased savings and interest checking balances. The loan to deposit ratio ended September 30, 2017 at 94.9%, compared to 97.5% at June 30, 2017, primarily attributable to growth in customer-based interest checking and time deposit balances. The growth reflects heightened deposit gathering efforts during the third quarter focused on attracting new customer relationships and deepening relationships with existing customers through internal lead generation efforts.
Non-interest income totaled $66.2 million, consistent with the prior quarter, and included increases in mortgage banking, insurance and wealth management, as well as $2.3 million of additional securities gains. The increases were offset by a $2.2 million decrease in capital markets revenue driven by lower activity compared to the prior quarter.
Non-interest expense totaled $163.7 million, essentially flat compared to the prior quarter. Both periods included $1.4 million of merger-related expenses. The $2.5 million decrease in salaries and employee benefits was offset by $1.0 million of higher occupancy and equipment expense, increased outside services and $0.4 million of increased other real estate owned expenses. The efficiency ratio (non-GAAP) improved to 53.1%, compared to 54.3%.
The ratio of non-performing loans and OREO to total loans and OREO improved 8 basis points to 0.70%. For the originated portfolio, the ratio of non-performing loans and OREO to total loans and OREO improved 17 basis points to 0.91%. Total delinquency remains at satisfactory levels, and total originated delinquency, defined as total past due and non-accrual originated loans as a percentage of total originated loans, improved 8 basis points to 0.91%, compared to 0.99% at June 30, 2017.
Net charge-offs totaled $12.5 million, or 0.24% annualized of total average loans, compared to $11.8 million, or 0.23% annualized in the prior quarter. For the originated portfolio, net charge-offs were $13.0 million, or 0.37% annualized of total average originated loans, compared to $12.7 million or 0.38% annualized. The ratio of the allowance for loan losses to total loans and leases increased to 0.82% at September 30, 2017, from 0.81% at June 30, 2017. For the originated portfolio, the allowance for loan losses to total originated loans was 1.12%, compared to 1.15% at June 30, 2017. The total provision for loan losses totaled $16.8 million in both periods.
September 30, 2017 Year-To-Date Results - Comparison to Prior Year-To-Date Period
Net interest income totaled $616.4 million, increasing $164.2 million, or 36.3%, reflecting average earning asset growth of $6.6 billion, or 36.1%, due to organic growth and the benefit of acquisitions. The net interest margin (FTE) (non-GAAP) expanded 2 basis points to 3.41% and included $2.0 million of higher incremental purchase accounting accretion and $0.7 million of higher cash recoveries compared to the first nine months of 2016.
Average loans totaled $19.1 billion, an increase of $5.0 billion, or 35.6%, due to the benefit from continued organic loan growth and acquired balances. Organic growth in total average loans equaled $907 million, or 6.3%. Total average organic consumer loan growth of $618 million, or 10.7%, was led by strong growth in residential mortgage and indirect auto loans. Organic growth in average commercial loans totaled $299 million, or 3.5%. Organic commercial loan growth for the nine months ended September 30, 2017, compared to the year-ago period was impacted by normal attrition related to the acquired commercial portfolio. Average deposits totaled $19.8 billion and increased $4.7 billion, or 30.8%, due to the benefit of acquired balances and average organic growth of $315 million or 2.0%. On an organic basis, average total transaction deposits increased $489 million or 3.8%.
Non-interest income totaled $187.3 million, increasing $36.7 million, or 24.3%. Non-interest income primarily reflects the benefit of acquisitions and continued expansion of our fee-based businesses of capital markets, mortgage banking, wealth management and insurance.
Non-interest expense totaled $515.0 million, increasing $127.7 million, or 33.0%. The first nine months of 2017 included merger-related expenses of $55.5 million, compared to $35.8 million in the first nine months of 2016. Excluding merger-related expenses, total non-interest expense increased $108.0 million, or 30.7%, with the increase primarily attributable to the expanded operations from acquisitions. The efficiency ratio (non-GAAP) was 54.7%, compared to 55.4% in the first nine months of 2016.
Credit quality results remained at satisfactory levels. For the originated portfolio, non-performing loans and OREO to total loans and OREO was 0.91%, compared to 1.08%. Total originated delinquency was 0.91% at September 30, 2017, a decrease of 9 basis points from 1.00% at September 30, 2016.
Net charge-offs for the first nine months of 2017 totaled $32.4 million, or 0.23% annualized of total average loans, compared to 0.27% annualized. Net originated charge-offs were 0.33% annualized of total average originated loans, compared to 0.32% annualized. For the originated portfolio, the allowance for loan losses to total originated loans was 1.12%, compared to 1.23% at September 30, 2016. The ratio of the allowance for loan losses to total loans decreased 24 basis points to 0.82%, with the decline due to acquired loan balances which were initially recorded at fair value without a corresponding allowance for loan losses in accordance with accounting for business combinations. The total provision for loan losses was $44.4 million, compared to $43.0 million in the prior year.
Non-GAAP Financial Measures and Key Performance Indicators
We use non-GAAP financial measures, such as operating net income available to common stockholders, operating net income per diluted common share, 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, efficiency ratio, and net interest margin (FTE) to provide information useful to investors in understanding our operating performance and trends, and to facilitate comparisons with the performance of our peers. Management uses these measures internally to assess and better understand our underlying business performance and trends related to core business activities. The non-GAAP financial measures and key performance indicators we use may differ from the non-GAAP financial measures and key performance indicators other financial institutions use to measure their performance and trends.
Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, our reported results prepared in accordance with GAAP. In the event of disclosure or release of non-GAAP financial measures, the Securities and Exchange Commission's (SEC) Regulation G requires: (i) the presentation of the most directly comparable financial measure calculated and presented in accordance with GAAP and (ii) a reconciliation of the differences between the non-GAAP financial measure presented and the most directly comparable financial measure calculated and presented in accordance with GAAP (included in the tables at the end of this release).
Management believes merger expenses are not organic costs to run our operations and facilities. These charges principally represent expenses to satisfy contractual obligations of the acquired entity without any useful benefit to us and to convert and consolidate the entity's records, systems and data onto our platforms and professional fees related to the transaction. These costs are specific to each individual transaction and may vary significantly based on the size and complexity of the transaction.
For the calculation of net interest margin and the efficiency ratio, net interest income amounts are reflected 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 35% for each period presented. We use these measures to provide an economic view believed to be the preferred industry measurement for these items and provide relevant comparison between taxable and non-taxable amounts.
Cautionary Statement Regarding Forward-Looking Information
A number of statements (i) in this earnings release, (ii) in our presentations, and (iii) in our responses to questions on our conference call discussing our quarterly results and transactions, strategies and plans may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including our expectations relative to business and financial metrics, post-Yadkin merger integration and conversion activities, our outlook regarding revenues, expenses, earnings, liquidity, asset quality and statements regarding the impact of technology enhancements and customer and business process improvements.
All forward-looking statements speak only as of the date they are made and are based on information available at that time. F.N.B. assumes no obligation to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements were made or to reflect the occurrence of unanticipated events except as required by federal securities laws. As forward-looking statements involve significant risks and uncertainties, caution should be exercised against placing undue reliance on such statements.
Such forward-looking statements may be expressed in a variety of ways, including the use of future and present tense language expressing expectations or predictions of future financial or business performance or conditions based on current performance and trends. Forward-looking statements are typically identified by words such as "believe," "plan," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "will," "should," "project," "goal," and other similar words and expressions. These forward-looking statements involve certain risks and uncertainties. In addition to factors previously disclosed in F.N.B.'s reports filed with the SEC, the following factors among others, could cause actual results to differ materially from forward-looking statements or historical performance: changes in asset quality and credit risk; the inability to sustain revenue and earnings growth; changes in interest rates and capital markets; inflation; potential difficulties encountered in expanding into a new and remote geographic market; customer borrowing, repayment, investment and deposit practices; customer disintermediation; the introduction, withdrawal, success and timing of business and technology initiatives; competitive conditions; the inability to realize cost savings or revenues or to implement integration plans and other consequences associated with the Yadkin merger, acquisitions and divestitures; economic conditions; and the impact, extent and timing of technological changes, capital management activities, and other actions of the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System and legislative and regulatory actions and reforms.
Actual results may differ materially from those expressed or implied as a result of these risks and uncertainties, including, but not limited to, the risk factors and other uncertainties described in F.N.B.'s Annual Report on Form 10-K for the year ended December 31, 2016, our subsequent quarterly 2017 Form 10-Q's (including the risk factors and risk management discussions) and F.N.B.'s other subsequent filings with the SEC, which are available on our corporate website at https://www.fnb-online.com/about-us/investor-relations-shareholder-services. We have included our web address as an inactive textual reference only. Information on our website is not part of this earnings release.
Conference Call
FNB's President and Chief Executive Officer, Vincent J. Delie, Jr., Chief Financial Officer, Vincent J. Calabrese, Jr., and Chief Credit Officer, Gary L. Guerrieri, will host a conference call to discuss the Company's financial results on Thursday, October 19, 2017, at 10:30 AM ET.
Participants are encouraged to pre-register for the conference call at http://dpregister.com/10112250. Callers who pre-register will be provided a conference passcode and unique PIN to gain immediate access to the call and bypass the live operator. Participants may pre-register at any time, including up to and after the call start time.
Dial-in Access: The conference call may be accessed by dialing (844) 802-2440 or (412) 317-5133 for international callers. Participants should ask to be joined into the F.N.B. Corporation call.
Webcast Access: The audio-only call and related presentation materials may be accessed via webcast through the "Shareholder and Investor Relations" section of the Corporation's website at www.fnbcorporation.com. Access to the live webcast will begin approximately 30 minutes prior to the start of the call.
Presentation Materials: Presentation slides and the earnings release will also be available on the Corporation's website at www.fnbcorporation.com.
A replay of the call will be available shortly after the completion of the call until midnight ET on Thursday, October 26, 2017. The replay can be accessed by dialing (877) 344-7529 or (412) 317-0088 for international callers; the conference replay access code is 10112250. Following the call, the related presentation materials will be posted to the "Shareholder and Investor Relations" section of F.N.B. Corporation's website at www.fnbcorporation.com.
About F.N.B. Corporation
F.N.B. Corporation (NYSE:FNB), headquartered in Pittsburgh, Pennsylvania, is a diversified financial services company operating in eight states. FNB holds a significant retail deposit market share in attractive markets including: Pittsburgh, Pennsylvania; Baltimore, Maryland; Cleveland, Ohio; and Charlotte, Raleigh, Durham and the Piedmont Triad (Winston-Salem, Greensboro and High Point) in North Carolina. The Company has total assets of $31 billion, and more than 400 banking offices throughout Pennsylvania, Ohio, Maryland, West Virginia, North Carolina and South Carolina. The Company also operates Regency Finance Company, which has more than 75 consumer finance offices in Pennsylvania, Ohio, Kentucky and Tennessee.
FNB provides a full range of commercial banking, consumer banking and wealth management solutions through our subsidiary network which is led by our largest affiliate, First National Bank of Pennsylvania, founded in 1864. Commercial banking solutions include corporate banking, small business banking, investment real estate financing, international banking, business credit, capital markets and lease financing. The consumer banking segment provides a full line of consumer banking products and services, including deposit products, mortgage lending, consumer lending and a complete suite of mobile and online banking services. FNB's wealth management services include asset management, private banking and insurance.
The common stock of F.N.B. Corporation trades on the New York Stock Exchange under the symbol "FNB" and is included in Standard & Poor's MidCap 400 Index with the Global Industry Classification Standard (GICS) Regional Banks Sub-Industry Index. Customers, shareholders and investors can learn more about this regional financial institution by visiting the F.N.B. Corporation website at www.fnbcorporation.com.
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands, except per share data)
% Variance
3Q17 3Q17 For the Nine Months Ended %
September 30,
Statement of earnings 3Q17 2Q17 3Q16 2Q17 3Q16 2017 2016 Var.
--------------------- ---- ---- ---- ---- ---- ---- ---- ----
Interest income $263,514 $251,034 $175,110 5.0 50.5 $709,241 $501,795 41.3
Interest expense 38,283 32,619 17,604 17.4 117.5 92,843 49,566 87.3
Net interest income 225,231 218,415 157,506 3.1 43.0 616,398 452,229 36.3
Provision for credit losses 16,768 16,756 14,639 0.1 14.5 44,374 43,047 3.1
Non-interest income:
Service charges 33,610 33,389 25,411 0.7 32.3 91,806 72,349 26.9
Trust services 5,748 5,715 5,268 0.6 9.1 17,210 15,955 7.9
Insurance commissions and fees 5,029 4,347 4,866 15.7 3.3 14,517 13,892 4.5
Securities commissions and fees 4,038 3,887 3,404 3.9 18.6 11,548 10,400 11.0
Capital markets income 2,822 5,004 4,497 (43.6) (37.2) 11,673 11,493 1.6
Mortgage banking operations 5,437 5,173 3,564 5.1 52.6 14,400 7,912 82.0
Net securities gains (losses) 2,777 493 299 n/m n/m 5,895 596 n/m
Other 6,690 8,070 5,931 (17.1) 12.8 20,296 18,098 12.1
----- ------
Total non-interest income 66,151 66,078 53,240 0.1 24.3 187,345 150,695 24.3
------ ------ ------ ------- -------
Total revenue 291,382 284,493 210,746 2.4 38.3 803,743 602,924 33.3
Non-interest expense:
Salaries and employee benefits 82,383 84,899 60,927 (3.0) 35.2 240,860 178,681 34.8
Occupancy and equipment 27,434 26,480 20,367 3.6 34.7 74,893 58,396 28.3
FDIC insurance 9,183 9,376 5,274 (2.1) 74.1 23,946 14,345 66.9
Amortization of intangibles 4,805 4,813 3,571 (0.2) 34.6 12,716 9,608 32.3
Other real estate owned 1,421 1,008 1,172 41.0 21.2 3,412 2,752 24.0
Merger-related 1,381 1,354 299 n/m n/m 55,459 35,790 n/m
Other 37,136 35,784 29,440 3.8 26.1 103,726 87,755 18.2
------ ------ ------ ------- ------
Total non-interest expense 163,743 163,714 121,050 - 35.3 515,012 387,327 33.0
------- ------- ------- ------- -------
Income before income taxes 110,871 104,023 75,057 6.6 47.7 244,357 172,550 41.6
Income taxes 33,178 29,617 22,889 12.0 45.0 69,279 52,950 30.8
Net income 77,693 74,406 52,168 4.4 48.9 175,078 119,600 46.4
Preferred stock dividends 2,010 2,010 2,010 - - 6,030 6,030 -
Net income available to $75,683 $72,396 $50,158 4.5 50.9 $169,048 $113,570 48.8
common stockholders
Earnings per common share
Basic $0.23 $0.22 $0.24 4.5 (4.2) $0.57 $0.55 3.6
Diluted $0.23 $0.22 $0.24 4.5 (4.2) $0.57 $0.55 3.6
n/m - not meaningful
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands, except per share data)
% Variance
3Q17 3Q17
Balance Sheet (at period end) 3Q17 2Q17 3Q16 2Q17 3Q16
----------------------------
Assets
Cash and due from banks $433,442 $397,482 $326,599 9.0 32.7
Interest bearing deposits with banks 81,898 125,136 118,651 (34.6) (31.0)
------ ------- -------
Cash and cash equivalents 515,340 522,618 445,250 (1.4) 15.7
Securities available for sale 2,855,350 2,593,455 2,077,616 10.1 37.4
Securities held to maturity 2,985,921 3,075,634 2,249,245 (2.9) 32.8
Loans held for sale 113,778 168,727 17,862 (32.6) 537.0
Loans and leases, net of unearned income 20,817,436 20,533,298 14,773,446 1.4 40.9
Allowance for credit losses (170,016) (165,699) (156,894) - -
-------- -------- --------
Net loans and leases 20,647,420 20,367,599 14,616,552 1.4 41.3
Premises and equipment, net 336,294 335,297 228,622 0.3 47.1
Goodwill 2,254,831 2,244,972 1,022,006 0.4 120.6
Core deposit and other intangible assets, net 129,042 131,410 81,646 (1.8) 58.1
Bank owned life insurance 498,698 476,363 327,874 4.7 52.1
Other assets 786,621 837,651 517,241 (6.1) 52.1
Total Assets $31,123,295 $30,753,726 $21,583,914 1.2 44.2
=========== =========== ===========
Liabilities
Deposits:
Non-interest bearing demand $5,569,239 $5,544,753 $4,082,145 0.4 36.4
Interest bearing demand 9,675,170 9,221,408 7,032,744 4.9 37.6
Savings 2,420,632 2,562,259 2,299,408 (5.5) 5.3
Certificates and other time deposits 4,264,130 3,723,287 2,562,587 14.5 66.4
--------- --------- ---------
Total Deposits 21,929,171 21,051,707 15,976,884 4.2 37.3
Short-term borrowings 3,872,301 4,425,967 2,236,105 (12.5) 73.2
Long-term borrowings 658,783 656,883 587,500 0.3 12.1
Other liabilities 227,119 226,731 212,845 0.2 6.7
------- ------- -------
Total Liabilities 26,687,374 26,361,288 19,013,334 1.2 40.4
Stockholders' Equity
Preferred Stock 106,882 106,882 106,882 - -
Common stock 3,251 3,250 2,117 - 53.6
Additional paid-in capital 4,029,334 4,024,576 2,223,530 0.1 81.2
Retained earnings 369,861 333,201 280,654 11.0 31.8
Accumulated other comprehensive loss (54,310) (56,383) (27,853) - -
Treasury stock (19,097) (19,088) (14,750) - -
Total Stockholders' Equity 4,435,921 4,392,438 2,570,580 1.0 72.6
--------- --------- ---------
Total Liabilities and Stockholders' Equity $31,123,295 $30,753,726 $21,583,914 1.2 44.2
=========== =========== ===========
F.N.B. Corporation 3Q17 2Q17 3Q16
(Unaudited) Interest Average Interest Average Interest Average
(Dollars in thousands) Average Earned Yield Average Earned Yield Average Earned Yield
Outstanding or Paid or Rate Outstanding or Paid or Rate Outstanding or Paid or Rate
----------- -------
Assets
Interest bearing deposits with banks $117,602 $320 1.08% $87,750 $161 0.74% $140,713 $143 0.40%
Federal funds sold - - - % - - - % - - - %
Taxable investment securities (2) 4,913,122 24,763 2.02% 4,923,492 25,130 2.04% 3,919,203 18,432 1.88%
Non-taxable investment securities (1) 812,305 8,515 4.19% 683,465 7,128 4.17% 321,360 3,456 4.30%
Loans held for sale 139,693 2,091 5.97% 93,312 1,702 8.70% 22,476 235 4.19%
Loans and leases (1) (3) 20,654,316 232,998 4.48% 20,361,047 221,387 4.37% 14,641,729 155,739 4.23%
Total Interest Earning Assets (1) 26,637,038 268,687 4.01% 26,149,066 255,508 3.92% 19,045,481 178,005 3.72%
---------- ----------
Cash and due from banks 374,542 338,752 287,208
Allowance for loan losses (169,283) (165,888) (158,901)
Premises and equipment 334,870 350,255 229,133
Other assets 3,733,497 3,692,460 1,983,235
Total Assets $30,910,664 $30,364,645 $21,386,156
=========== =========== ===========
Liabilities
Deposits:
Interest-bearing demand $9,376,003 9,338 0.40% $9,297,726 8,256 0.36% $6,772,963 4,094 0.24%
Savings 2,480,626 792 0.13% 2,592,726 641 0.10% 2,289,836 449 0.08%
Certificates and other time 3,812,916 8,857 0.92% 3,798,714 7,856 0.83% 2,588,035 5,934 0.91%
Short-term borrowings 4,394,106 14,387 1.29% 3,886,410 10,959 1.13% 2,303,389 3,607 0.62%
Long-term borrowings 658,495 4,909 2.96% 680,414 4,907 2.89% 616,141 3,520 2.27%
Total Interest Bearing Liabilities 20,722,146 38,283 0.73% 20,255,990 32,619 0.65% 14,570,364 17,604 0.48%
---------- ----------
Non-interest bearing demand deposits 5,527,180 5,466,286 4,021,023
Other liabilities 234,358 255,931 232,076
Total Liabilities 26,483,684 25,978,207 18,823,463
Stockholders' equity 4,426,980 4,386,438 2,562,693
Total Liabilities and Stockholders' Equity $30,910,664 $30,364,645 $21,386,156
=========== =========== ===========
Net Interest Earning Assets $5,914,892 $5,893,076 $4,475,117
Net Interest Income (FTE) (1) 230,404 222,889 160,401
Tax Equivalent Adjustment (5,173) (4,474) (2,895)
------ ------ ------
Net Interest Income $225,231 $218,415 $157,506
======== ======== ========
Net Interest Spread 3.28% 3.27% 3.24%
==== ==== ====
Net Interest Margin (1) 3.44% 3.42% 3.36%
==== ==== ====
(1) The net interest margin and
yield on earning assets (all
non-GAAP measures) 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 35% for each
period presented.
(2) The average balances and
yields earned on taxable
investment securities are
based on historical cost.
(3) Average balances for loans
include non-accrual loans.
Loans and leases consist of
average total loans and
leases less average unearned
income. The amount of loan
fees included in interest
income is immaterial.
F.N.B. Corporation Nine Months Ended September 30,
(Unaudited) 2017 2016
(Dollars in thousands) Interest Average Interest Average
Average Earned Yield Average Earned Yield
Outstanding or Paid or Rate Outstanding or Paid or Rate
Assets
Interest bearing deposits with banks $97,122 $660 0.91% $124,589 $357 0.38%
Federal funds sold 1,509 9 0.72% - - - %
Taxable investment securities (2) 4,773,606 72,373 2.02% 3,635,224 52,901 1.94%
Non-taxable investment securities (1) 666,469 20,833 4.17% 296,860 9,815 4.41%
Loans held for sale 82,254 3,960 6.43% 14,807 504 4.54%
Loans and leases (1) (3) 19,084,962 624,575 4.37% 14,078,612 446,366 4.23%
Total Interest Earning Assets (1) 24,705,922 722,410 3.91% 18,150,092 509,943 3.75%
----------
Cash and due from banks 336,303 273,457
Allowance for loan losses (165,543) (150,807)
Premises and equipment 319,901 213,957
Other assets 3,274,305 1,878,111
Total Assets $28,470,888 $20,364,810
=========== ===========
Liabilities
Deposits:
Interest-bearing demand $8,703,870 22,426 0.34% $6,545,529 11,600 0.24%
Savings 2,495,632 1,954 0.10% 2,212,213 1,278 0.08%
Certificates and other time 3,503,637 23,100 0.88% 2,613,664 17,509 0.89%
Short-term borrowings 3,831,883 32,020 1.11% 1,861,438 8,527 0.61%
Long-term borrowings 625,010 13,343 2.85% 640,474 10,652 2.22%
Total Interest Bearing Liabilities 19,160,032 92,843 0.65% 13,873,318 49,566 0.48%
----------
Non-interest bearing demand deposits 5,140,016 3,804,828
Other liabilities 225,219 211,466
Total Liabilities 24,525,267 17,889,612
Stockholders' equity 3,945,621 2,475,198
Total Liabilities and Stockholders' Equity $28,470,888 $20,364,810
=========== ===========
Net Interest Earning Assets $5,545,890 $4,276,774
Net Interest Income (FTE) (1) 629,567 460,377
Tax Equivalent Adjustment (13,169) (8,148)
------- ------
Net Interest Income $616,398 $452,229
======== ========
Net Interest Spread 3.26% 3.27%
==== ====
Net Interest Margin (1) 3.41% 3.39%
==== ====
(1) The net interest margin and
yield on earning assets (all
non-GAAP measures) 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 35% for each
period presented.
(2) The average balances and
yields earned on taxable
investment securities are
based on historical cost.
(3) Average balances for loans
include non-accrual loans.
Loans and leases consist of
average total loans and
leases less average unearned
income. The amount of loan
fees included in interest
income is immaterial.
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands)
For the Nine Months Ended
September 30,
3Q17 2Q17 3Q16 2017 2016
---- ---- ---- ---- ----
Performance ratios
------------------
Return on average equity 6.96% 6.80% 8.10% 5.93% 6.45%
Return on average tangible equity (1) 15.39% 15.26% 14.75% 12.79% 11.79%
Return on average tangible common equity (1) 15.82% 15.69% 15.32% 13.10% 12.14%
Return on average assets 1.00% 0.98% 0.97% 0.82% 0.78%
Return on average tangible assets (1) 1.12% 1.11% 1.07% 0.93% 0.87%
Net interest margin (FTE) (2) 3.44% 3.42% 3.36% 3.41% 3.39%
Yield on earning assets (FTE) (2) 4.01% 3.92% 3.72% 3.91% 3.75%
Cost of interest-bearing liabilities 0.73% 0.65% 0.48% 0.65% 0.48%
Cost of funds 0.58% 0.51% 0.38% 0.51% 0.37%
Efficiency ratio (1) 53.15% 54.26% 54.38% 54.68% 55.36%
Effective tax rate 29.92% 28.47% 30.50% 28.35% 30.69%
Capital ratios
--------------
Equity / assets (period end) 14.25% 14.28% 11.91%
Common equity / assets (period end) 13.91% 13.94% 11.41%
Leverage ratio 7.61% 7.63% 7.63%
Tangible equity / tangible assets (period end) (1) 7.24% 7.20% 7.22%
Tangible common equity / tangible assets (period end) (1) 6.87% 6.83% 6.69%
Common stock data
-----------------
Average diluted shares outstanding 324,904,768 324,867,759 211,790,730 296,652,796 206,133,740
Period end shares outstanding 323,301,548 323,226,474 210,224,194
Book value per common share $13.39 $13.26 $11.72
Tangible book value per common share (1) $6.12 $6.00 $6.53
Dividend payout ratio (common) 51.56% 53.89% 50.69% 61.27% 67.04%
(1) See non-GAAP financial
measures section of this
Press Release for additional
information relating to the
calculation of this item.
(2) The net interest margin and
yield on earning assets (all
non-GAAP measures) 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 35% for each
period presented.
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands)
Percent Variance
3Q17 3Q17
3Q17 2Q17 3Q16 2Q17 3Q16
---- ---- ---- ---- ----
Balances at period end
----------------------
Loans and Leases:
-----------------
Commercial real estate $8,822,023 $8,822,929 $5,367,291 - 64.4
Commercial and industrial 3,980,584 3,910,927 3,088,405 1.8 28.9
Commercial leases 238,724 226,483 195,271 5.4 22.3
------- ------- -------
Commercial loans and leases 13,041,331 12,960,339 8,650,967 0.6 50.7
Direct installment 1,925,995 1,949,979 1,837,395 (1.2) 4.8
Residential mortgages 2,609,663 2,429,843 1,779,867 7.4 46.6
Indirect installment 1,431,273 1,374,524 1,150,812 4.1 24.4
Consumer LOC 1,769,376 1,788,534 1,303,223 (1.1) 35.8
Other 39,798 30,079 51,182 32.3 (22.2)
Total loans and leases $20,817,436 $20,533,298 $14,773,446 1.4 40.9
=========== =========== ===========
Percent Variance
Average balances 3Q17 3Q17 For the Nine Months Ended %
September 30,
---
Loans and Leases: 3Q17 2Q17 3Q16 2Q17 3Q16 2017 2016 Var.
----------------- ---- ---- ---- ---- ---- ---- ---- ----
Commercial real estate $8,779,426 $8,779,618 $5,343,485 - 64.3 $7,912,199 $5,161,333 53.3
Commercial and industrial 3,945,756 3,851,803 3,084,005 2.4 27.9 3,707,970 2,954,000 25.5
Commercial leases 231,030 199,648 196,600 15.7 17.5 209,074 200,752 4.1
------- ------- ------- ------- -------
Commercial loans and leases 12,956,212 12,831,069 8,624,090 1.0 50.2 11,829,243 8,316,085 42.2
Direct installment 1,937,394 1,956,027 1,834,558 (1.0) 5.6 1,921,129 1,796,790 6.9
Residential mortgages 2,535,398 2,412,881 1,721,162 5.1 47.3 2,307,958 1,598,782 44.4
Indirect installment 1,406,318 1,310,729 1,109,047 7.3 26.8 1,315,170 1,053,822 24.8
Consumer LOC 1,775,640 1,797,266 1,295,035 (1.2) 37.1 1,664,347 1,260,936 32.0
Other 43,354 53,075 57,837 (18.3) (25.0) 47,115 52,197 (9.7)
Total loans and leases $20,654,316 $20,361,047 $14,641,729 1.4 41.1 $19,084,962 $14,078,612 35.6
=========== =========== =========== =========== ===========
F.N.B. CORPORATION
------------------
(Unaudited) Percent Variance
(Dollars in thousands) 3Q17 3Q17
Asset Quality Data 3Q17 2Q17 3Q16 2Q17 3Q16
------------------
Non-Performing Assets
---------------------
Non-performing loans (1)
Non-accrual loans $87,698 $95,303 $74,828 (8.0) 17.2
Restructured loans 23,147 19,487 20,638 18.8 12.2
------ ------ ------
Non-performing loans 110,845 114,790 95,466 (3.4) 16.1
Other real estate owned (OREO) (2) 35,416 45,712 40,523 (22.5) (12.6)
------ ------ ------
Total non-performing assets $146,261 $160,502 $135,989 (8.9) 7.6
======== ======== ========
Non-performing loans / total loans and leases 0.53% 0.56% 0.65%
Non-performing loans / total originated loans and leases (3) 0.69% 0.75% 0.76%
Non-performing loans + OREO / total loans and leases + OREO 0.70% 0.78% 0.92%
Non-performing loans + OREO / total originated loans and leases + OREO (3) 0.91% 1.08% 1.08%
Non-performing assets / total assets 0.47% 0.52% 0.63%
Delinquency - Originated Portfolio (3)
-------------------------------------
Loans 30-89 days past due $44,454 $43,684 $43,071 1.8 3.2
Loans 90+ days past due 10,278 8,448 6,906 21.7 48.8
Non-accrual loans 77,091 84,651 71,498 (8.9) 7.8
------ ------ ------
Total past due and non-accrual loans $131,823 $136,783 $121,475 (3.6) 8.5
======== ======== ========
Total past due and non-accrual loans / total originated loans 0.91% 0.99% 1.00%
Delinquency - Acquired Portfolio (4) (5)
---------------------------------------
Loans 30-89 days past due $75,839 $86,943 $29,087 (12.8) 160.7
Loans 90+ days past due 88,195 61,422 42,584 43.6 107.1
Non-accrual loans 10,607 10,652 3,330 (0.4) 218.5
Total past due and non-accrual loans $174,641 $159,017 $75,001 9.8 132.9
======== ======== =======
Delinquency - Total Portfolio
-----------------------------
Loans 30-89 days past due $120,293 $130,627 $72,158 (7.9) 66.7
Loans 90+ days past due 98,473 69,870 49,490 40.9 99.0
Non-accrual loans 87,698 95,303 74,828 (8.0) 17.2
Total past due and non-accrual loans $306,464 $295,800 $196,476 3.6 56.0
======== ======== ========
n/m - not meaningful
(1) Does not include loans acquired
at fair value ("acquired
portfolio").
(2) Includes all other real estate
owned, including those balances
acquired through business
combinations that have been in
acquired loans prior to
foreclosure.
(3) "Originated Portfolio" or
"Originated Loans and Leases"
equals loans and leases not
included by definition in the
Acquired Portfolio.
(4) "Acquired Portfolio" or
"Acquired Loans" equals loans
acquired at fair value,
accounted for in accordance
with ASC 805 which was
effective January 1, 2009. The
risk of credit loss on these
loans has been considered by
virtue of our estimate of
acquisition-date fair value
and these loans are considered
accruing as we primarily
recognize interest income
through accretion of the
difference between the carrying
value of these loans and their
expected cash flows. Because
acquired loans are initially
recorded at an amount estimated
to be collectible, losses on
such loans, when incurred, are
first applied against the non-
accretable difference
established in purchase
accounting and then to any
allowance for loan losses
recognized subsequent to
acquisition.
(5) Represents contractual balances.
F.N.B. CORPORATION
------------------
(Unaudited) Percent Variance
(Dollars in thousands) 3Q17 3Q17 For the Nine Months Ended %
September 30,
Allowance Rollforward 3Q17 2Q17 3Q16 2Q17 3Q16 2017 2016 Var.
--------------------- ---- ---- ---- ---- ---- ----
Allowance for Credit Losses - Originated Portfolio (2)
Balance at beginning of period $159,092 $154,214 $148,719 3.2 7.0 $150,791 $135,285 11.5
Provision for credit losses 17,175 17,538 14,072 (2.1) 22.1 46,050 43,296 6.4
Net loan charge-offs (13,033) (12,660) (12,278) 2.9 6.1 (33,607) (28,068) 19.7
Allowance for credit losses - originated portfolio (2) $163,234 $159,092 $150,513 2.6 8.5 $163,234 $150,513 8.5
======== ======== ======== ======== ========
Allowance for credit losses (originated loans and leases) / 1.12% 1.15% 1.23%
total originated loans and leases (2)
Allowance for credit losses (originated loans and leases) / 162.85% 152.77% 163.36%
total non-performing loans (1)
Net loan charge-offs on originated loans and leases (annualized) / 0.37% 0.38% 0.41% 0.33% 0.32%
total average originated loans and leases (2)
Allowance for Credit Losses - Acquired Portfolio (3)
Balance at beginning of period $6,607 $6,568 $5,650 0.6 16.9 $7,268 $6,727 8.0
Provision for credit losses (407) (782) 567 (48.0) (171.8) (1,676) (249) 573.1
Net loan (charge-offs)/recoveries 582 821 164 (145.7) 254.9 1,190 (97) (1,326.8)
--- --- --- ----- ---
Allowance for credit losses - acquired portfolio (3) $6,782 $6,607 $6,381 2.6 6.3 $6,782 $6,381 6.3
Allowance for Credit Losses - Total Portfolio
Balance at beginning of period $165,699 $160,782 $154,369 3.1 7.3 $158,059 $142,012 11.3
Provision for credit losses 16,768 16,756 14,639 0.1 14.5 44,374 43,047 3.1
Net loan (charge-offs)/recoveries (12,451) (11,839) (12,114) 5.2 2.8 (32,417) (28,165) 15.1
------- ------- ------- ------- -------
Total allowance for credit losses $170,016 $165,699 $156,894 2.6 8.4 $170,016 $156,894 8.4
======== ======== ======== ======== ========
Allowance for credit losses / total loans and leases 0.82% 0.81% 1.06%
Net loan charge-offs (annualized) / total average loans and leases 0.24% 0.23% 0.33% 0.23% 0.27%
(1) Does not include loans
acquired at fair value
("acquired portfolio").
(2) "Originated Portfolio" or
"Originated Loans and Leases"
equals loans and leases not
included by definition in the
Acquired Portfolio.
(3) "Acquired Portfolio" or
"Acquired Loans" equals loans
acquired at fair value,
accounted for in accordance
with ASC 805 which was
effective January 1, 2009.
The risk of credit loss on
these loans has been
considered by virtue of our
estimate of acquisition-date
fair value and these loans
are considered accruing as we
primarily recognize interest
income through accretion of
the difference between the
carrying value of these loans
and their expected cash
flows. Because acquired
loans are initially recorded
at an amount estimated to be
collectible, losses on such
loans, when incurred, are
first applied against the
non-accretable difference
established in purchase
accounting and then to any
allowance for loan losses
recognized subsequent to
acquisition.
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands, except per share data)
NON-GAAP FINANCIAL MEASURES AND KEY PERFORMANCE INDICATORS
----------------------------------------------------------
We believe the following non-GAAP financial measures provide information useful to investors in understanding our operating performance and trends, and facilitate comparisons with the performance of our peers. The non-GAAP financial measures we use may differ from the non-GAAP financial measures other financial institutions use to measure their results of operations. Non-GAAP financial measures should be viewed in addition to, and not
as an alternative for, our reported results prepared in accordance with U.S. GAAP. The following tables summarize the non-GAAP financial measures included in this press release and derived from amounts reported in our financial statements.
% Variance
3Q17 3Q17 For the Nine Months %
Ended
September 30,
Operating net income available to common 3Q17 2Q17 3Q16 2Q17 3Q16 2017 2016 Var.
stockholders:
------------- ---
Net income available to common stockholders $75,683 $72,396 $50,158 $169,048 $113,570
Merger-related expense 1,381 1,354 299 55,459 35,790
Tax benefit of merger-related expense (483) (419) (105) (18,481) (12,209)
Merger-related net securities gains - - - (2,609) -
Tax expense of merger-related net securities gains - - - 913 -
Operating net income available to common $76,581 $73,331 $50,352 4.4 52.1 $204,330 $137,151 49.0
stockholders (non-GAAP)
Operating earnings per diluted common share:
--------------------------------------------
Earnings per diluted common share $0.23 $0.22 $0.24 $0.57 $0.55
Merger-related expense 0.01 0.01 - 0.19 0.18
Tax benefit of merger-related expense - - - (0.06) (0.06)
Merger-related net securities gains - - - (0.01) -
Tax expense of merger-related net securities gains - - - - -
Operating earnings per diluted common share $0.24 $0.23 $0.24 4.3 - $0.69 $0.67 3.0
(non-GAAP)
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands, except per share data) For the Nine Months Ended
September 30,
3Q17 2Q17 3Q16 2017 2016
---- ---- ---- ---- ----
Return on average tangible equity:
----------------------------------
Net income (annualized) $308,237 $298,443 $207,540 $234,078 $159,757
Amortization of intangibles, net of tax (annualized) 12,392 12,547 9,234 11,051 8,342
------ ------ ----- ------ -----
Tangible net income (annualized) $320,629 $310,990 $216,774 $245,129 $168,099
Average total stockholders' equity $4,426,980 $4,386,438 $2,562,693 $3,945,621 $2,475,198
Less: Average intangibles(1) (2,344,077) (2,348,767) (1,093,378) (2,028,377) (1,049,998)
---------- ---------- ---------- ---------- ----------
Average tangible stockholders' equity $2,082,903 $2,037,671 $1,469,315 $1,917,244 $1,425,200
Return on average tangible equity (non-GAAP) 15.39% 15.26% 14.75% 12.79% 11.79%
===== ===== ===== ===== =====
Return on average tangible common equity:
-----------------------------------------
Net income available to common stockholders $300,266 $290,381 $199,543 $226,017 $151,703
(annualized)
Amortization of intangibles, net of tax (annualized) 12,392 12,547 9,234 11,051 8,342
------ ------ ----- ------ -----
Tangible net income available to common stockholders $312,658 $302,928 $208,777 $237,068 $160,045
(annualized)
Average total stockholders' equity $4,426,980 $4,386,438 $2,562,693 $3,945,621 $2,475,198
Less: Average preferred stockholders' equity (106,882) (106,882) (106,882) (106,882) (106,882)
Less: Average intangibles(1) (2,344,077) (2,348,767) (1,093,378) (2,028,377) (1,049,998)
---------- ---------- ---------- ---------- ----------
Average tangible common equity $1,976,021 $1,930,789 $1,362,433 $1,810,362 $1,318,318
Return on average tangible common equity (non-GAAP) 15.82% 15.69% 15.32% 13.10% 12.14%
===== ===== ===== ===== =====
Return on average tangible assets:
----------------------------------
Net income (annualized) $308,237 $298,443 $207,540 $234,078 $159,757
Amortization of intangibles, net of tax (annualized) 12,392 12,547 9,234 11,051 8,342
------ ------ ----- ------ -----
Tangible net income (annualized) $320,629 $310,990 $216,774 $245,129 $168,099
Average total assets $30,910,664 $30,364,645 $21,386,156 $28,470,888 $20,364,810
Less: Average intangibles(1) (2,344,077) (2,348,767) (1,093,378) (2,028,377) (1,049,998)
---------- ---------- ---------- ---------- ----------
Average tangible assets $28,566,587 $28,015,878 $20,292,778 $26,442,511 $19,314,812
Return on average tangible assets (non-GAAP) 1.12% 1.11% 1.07% 0.93% 0.87%
==== ==== ==== ==== ====
Tangible book value per common share:
-------------------------------------
Total stockholders' equity $4,435,921 $4,392,438 $2,570,580
Less: preferred stockholders' equity (106,882) (106,882) (106,882)
Less: intangibles(1) (2,351,707) (2,346,653) (1,091,876)
---------- ---------- ----------
Tangible common equity $1,977,332 $1,938,903 $1,371,822
Common shares outstanding 323,301,548 323,226,474 210,224,194
Tangible book value per common share (non-GAAP) $6.12 $6.00 $6.53
===== ===== =====
(1) Excludes loan servicing rights
F.N.B. CORPORATION
------------------
(Unaudited)
(Dollars in thousands) For the Nine Months Ended
September 30,
3Q17 2Q17 3Q16 2017 2016
---- ---- ---- ---- ----
Tangible equity / tangible assets (period end):
-----------------------------------------------
Total shareholders' equity $4,435,921 $4,392,438 $2,570,580
Less: intangibles(1) (2,351,707) (2,346,653) (1,091,876)
---------- ---------- ----------
Tangible equity $2,084,214 $2,045,785 $1,478,704
Total assets $31,123,295 $30,753,726 $21,583,914
Less: intangibles(1) (2,351,707) (2,346,653) (1,091,876)
---------- ---------- ----------
Tangible assets $28,771,588 $28,407,073 $20,492,038
Tangible equity / tangible assets (period end) (non-GAAP) 7.24% 7.20% 7.22%
==== ==== ====
Tangible common equity / tangible assets (period end):
------------------------------------------------------
Total stockholders' equity $4,435,921 $4,392,438 $2,570,580
Less: preferred stockholders' equity (106,882) (106,882) (106,882)
Less: intangibles (1) (2,351,707) (2,346,653) (1,091,876)
---------- ---------- ----------
Tangible common equity $1,977,332 $1,938,903 $1,371,822
Total assets $31,123,295 $30,753,726 $21,583,914
Less: intangibles(1) (2,351,707) (2,346,653) (1,091,876)
---------- ---------- ----------
Tangible assets $28,771,588 $28,407,073 $20,492,038
Tangible common equity / tangible assets (period end) 6.87% 6.83% 6.69%
(non-GAAP)
KEY PERFORMANCE INDICATORS
--------------------------
Efficiency ratio (FTE):
-----------------------
Total non-interest expense $163,743 $163,714 $121,050 $515,012 $387,327
Less: amortization of intangibles (4,805) (4,813) (3,571) (12,716) (9,608)
Less: OREO expense (1,421) (1,008) (1,172) (3,412) (2,752)
Less: merger-related expense (1,381) (1,354) (299) (55,459) (35,790)
Less: impairment charge on other assets - - - - (2,585)
--- --- --- --- ------
Adjusted non-interest expense $156,136 $156,539 $116,008 $443,425 $336,592
Net interest income $225,231 $218,415 $157,506 $616,398 $452,229
Taxable equivalent adjustment 5,173 4,474 2,895 13,169 8,148
Non-interest income 66,151 66,078 53,240 187,345 150,695
Less: net securities gains (2,777) (493) (299) (5,895) (596)
Less: gain on redemption of trust preferred securities - - - - (2,422)
--- --- --- --- ------
Adjusted net interest income (FTE) + non-interest income $293,778 $288,474 $213,342 $811,017 $608,054
Efficiency ratio (FTE) (non-GAAP) 53.15% 54.26% 54.38% 54.68% 55.36%
===== ===== ===== ===== =====
(1) Excludes loan servicing rights
View original content:http://www.prnewswire.com/news-releases/fnb-corporation-reports-third-quarter-2017-earnings-300539432.html
SOURCE F.N.B. Corporation
