Q2 2024 First BanCorp Earnings Call Transcript
Key Points
- First BanCorp (FBP) reported a solid quarter with $76 million in net income and a strong return on assets of 1.61%.
- Total loans grew by 2.4% linked quarter annualized, driven by growth across all business segments.
- Core deposits, particularly non-interest-bearing accounts, improved and now represent 34% of total deposits.
- The company maintained a strong CET1 ratio of 15.8%, indicating robust capital strength.
- Net interest income grew by $3 million, and the net interest margin expanded by 6 basis points to 4.22%.
- Early delinquency and charge-off trends within the consumer book are returning to historical levels, indicating potential future credit issues.
- Non-performing loans increased by $3.2 million, primarily in commercial and construction sectors.
- The provision for credit losses was $11.6 million, reflecting higher charge-offs in the consumer portfolio.
- Funding costs increased, particularly in time deposits, which saw a 16 basis point rise in average cost.
- The efficiency ratio was 51.2%, which, while in line with guidance, indicates room for improvement in operational efficiency.
Good morning, everyone. My name is Kiki, and I will be your conference operator today. I would like to welcome everyone to the Bancorp 2Q 2024 financial results. (Operator Instructions).
I will now hand you over to Ramon Rodriguez Corporate Strategy and Investor Relations for First BanCorp to begin. Ramon, please go ahead.
Thank you, operator. Good morning, everyone, and thank you for joining First BanCorp's conference call and webcast to discuss the company's financial results for the second quarter of 2024. Joining you today from First BanCorp are our Aurelio Aleman, President and Chief Executive Officer, and Orlando Berges, Executive Vice President and Chief Financial Officer.
Before we begin today's call, it is my responsibility to inform you that this call may involve certain forward-looking statements such as projections of revenue, earnings, and capital structure, as well as statements on the plans and objectives of the company's business.
The company's actual
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
