1. FNB reported Q4 2024 net income of $109.9 million, up from $48.7 million. 2. Tangible book value per share grew 11% year-over-year, reaching $10.49. 3. Loan growth of 5.0% and deposit growth of 6.9% indicate strong demand. 4. FNB improved its CET1 ratio to a record 10.6%, enhancing capital strength. 5. Overall asset quality metrics remain solid amidst changing economic conditions.
Positive earnings and strong capital ratios bolster confidence. Past performance suggests similar results may enhance stock valuation.
Strong earnings and capital improvements are crucial indicators influencing FNB's market outlook.
Continued growth in deposits and loans indicates positive trend for future performance.
PITTSBURGH, Jan. 22, 2025 /PRNewswire/ -- F.N.B. Corporation (NYSE: FNB) reported earnings for the fourth quarter of 2024 with net income available to common stockholders of $109.9 million, or $0.30 per diluted common share. Comparatively, fourth quarter of 2023 net income available to common stockholders totaled $48.7 million, or $0.13 per diluted common share, and third quarter of 2024 net income available to common stockholders totaled $110.1 million, or $0.30 per diluted common share.
On an operating basis, fourth quarter of 2024 earnings per diluted common share (non-GAAP) was $0.38, excluding $0.08 per share of significant items impacting earnings. By comparison, the fourth quarter of 2023 was $0.38 per diluted common share (non-GAAP) on an operating basis, excluding $0.25 per diluted common share of significant items impacting earnings, and the third quarter of 2024 was $0.34 per diluted common share (non-GAAP) on an operating basis, excluding $0.04 per diluted common share of significant items impacting earnings.
For the full year of 2024, net income available to common stockholders was $459.3 million, or $1.27 per diluted common share. Comparatively, full-year 2023 net income available to common stockholders totaled $476.8 million, or $1.31 per diluted common share. On an operating basis, full-year 2024 earnings per diluted common share (non-GAAP) was $1.39, excluding $0.12 per diluted common share (non-GAAP) of significant items impacting earnings. Operating earnings per diluted common share (non-GAAP) for the full year of 2023 was $1.57, excluding $0.26 per diluted common share of significant items impacting earnings.
"Fourth quarter operating earnings per diluted common share (non-GAAP) totaled $0.38, finishing out a solid year with full-year operating earnings per diluted common share (non-GAAP) of $1.39. FNB further strengthened its liquidity and capital position, improving the loan-to-deposit ratio over 500 basis points from the peak in 2024 through strong deposit originations and achieving higher capital ratios with a record CET1 ratio of 10.6%. Tangible book value per share (non-GAAP) grew 11% year-over-year, to a record $10.49 and operating return on average tangible common equity (non-GAAP) equaled 14.5% for the full year," said F.N.B. Corporation Chairman, President and Chief Executive Officer, Vincent J. Delie, Jr.
Fourth Quarter 2024 Highlights (All comparisons refer to the fourth quarter of 2023, except as noted)
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. For more information regarding our use of non-GAAP measures, please refer to the discussion herein under the caption, Use of Non-GAAP Financial Measures and Key Performance Indicators.
| Metrics | 4Q24 | 3Q24 | 4Q23 |
|---|---|---|---|
| Net income available to common stockholders (millions) | $109.9 | $110.1 | $48.7 |
| Net income per diluted common share | 0.30 | 0.30 | 0.13 |
| Book value per common share | 17.52 | 17.38 | 16.56 |
Net interest income totaled $322.2 million, a slight decrease of $1.8 million, or 0.6%, reflecting higher deposit costs resulting from balance growth in higher yielding deposit products, partially offset by growth in earning assets and higher yields on investment securities.
The net interest margin (FTE) (non-GAAP) decreased 17 basis points to 3.04%. The yield on earning assets (non-GAAP) increased 9 basis points to 5.34% driven by a 65 basis point increase in yields on investment securities to 3.52%, which benefited from balance sheet restructuring actions in the fourth quarter of 2023 and the fourth quarter of 2024, offsetting a 3 basis point decline in yields on loans to 5.79%. Total cost of funds increased 28 basis points to 2.42% with a 35 basis point increase in interest-bearing deposit costs to 3.00% and an increase of 21 basis points in total borrowing costs.
Average loans and leases totaled $33.8 billion, an increase of $1.6 billion, or 4.8%, including growth of $946.0 million in commercial loans and leases and $616.9 million in consumer loans. Commercial real estate increased $793.9 million, or 6.6%, commercial leases increased $74.8 million, or 11.6%, and commercial and industrial loans increased $73.4 million, or 1.0%.