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Dec 31, 2020
FNB Q4 2020 Earnings Report
Reported earnings per share of $0.22 and non-GAAP EPS of $0.28, driven by growth in total average loans and deposits, and an increase in mortgage banking income.
Key Takeaways
F.N.B. Corporation reported a decrease in net income available to common stockholders to $70.2 million, or $0.22 per diluted common share, compared to $93.2 million, or $0.29 per diluted common share in Q4 2019. However, on an operating basis, earnings per diluted common share (non-GAAP) was $0.28, up 8% from Q4 2019, excluding significant items. The company achieved record total non-interest income and maintained an efficiency ratio of 56%.
Total average loans grew by $2.4 billion, or 10.4%, driven by commercial loan growth.
Total average deposits increased by $4.1 billion, or 16.6%, primarily due to growth in non-interest-bearing deposits.
Net interest income rose by $8.0 million, or 3.5%, supported by asset growth and reduced deposit costs.
Mortgage banking income increased by $4.9 million, or 47.0%, due to strong production and expanded gain-on-sale margins.
FNB
FNB
FNB Revenue by Segment
Revenue by Segment
Mortgage Banking Revenue
CapyFin.com Forward Guidance
While the earnings report does not explicitly provide forward guidance, the CEO expresses optimism for improved results in 2021.
Positive Outlook
- Commitment to drive long-term shareholder value.
- Focus on stated objectives and improving efficiency.
- Continuous investments in customer experience.
- Strong financial performance and progress.
- Dedication and determination of employees.
Challenges Ahead
- Challenging interest rate environment.
- Impact of COVID-19 pandemic.
- Lower customer transaction volumes.
- Increase in non-interest expense.
- Exit of commercial loans in COVID-19 sensitive industries.