EPS: $0.84 reported, $0.85 adjusted.
Tangible Book Value Growth: 12.8% CAGR since IPO in 2016.
Pretax Pre-Provision Net Revenue: $51.1 million, $52.2 million adjusted.
Loan Growth: $169 million increase, 7.14% annualized rate.
Loans Held for Investment: Approximately $9.8 million at quarter end.
Adjusted Return on Average Assets: 1.23%.
Adjusted Return on Average Tangible Common Equity: 12.3%.
Tangible Common Equity to Tangible Assets Ratio: 10.5%.
Net Interest Income: $107.6 million.
Noninterest Income: $23 million.
Noninterest Expense: $79.5 million reported, $79.1 million adjusted.
Provision Expense: $2.3 million.
Net Income: $39.4 million reported, $40.1 million adjusted.
Net Interest Margin: 3.55% on a tax equivalent basis.
Cost of Total Interest-Bearing Deposits: Decreased 24 basis points.
Core Efficiency Ratio: 59.9%.
Annualized Net Charge-Off Rate: 0.14%.
Allowance for Credit Loss Balance: $151 million.
Common Equity Tier 1 Ratio: 12.8% preliminary.
Release Date: April 15, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
FB Financial Corp (NYSE:FBK) reported a solid first quarter with an EPS of $0.84 and adjusted EPS of $0.85.
The company achieved a compound annual growth rate of 12.8% in tangible book value per share since its IPO in 2016.
Loan balances grew by $169 million at an annualized rate of 7.14%, primarily in C&I and owner-occupied CRE.
FB Financial Corp (NYSE:FBK) maintained a strong capital position with a tangible common equity to tangible assets ratio of 10.5% and a CET1 ratio of 12.8%.
The planned combination with Southern States Bank is progressing well, with integration efforts underway and a Q3 close anticipated.
The adjusted return on average tangible common equity of 12.3% is below internal targets due to holding excess capital.
Net interest income was slightly down by $740,000, impacted by two fewer days in the quarter.
Noninterest expense increased to $79.2 million, resulting in a higher core efficiency ratio of 59.9% compared to the previous quarter.
Charge-offs were higher than historical levels, with an annualized net charge-off rate of 0.14%, driven by a specific C&I credit.
Economic uncertainty and market volatility pose challenges, with potential impacts on clients and communities being closely monitored.
Q: Can you provide insights on loan growth trends and how you feel about continued growth in C&I given market uncertainties? A: Christopher Holmes, President and CEO, noted that while there is some reticence about major projects, business continues as usual on a smaller scale. Travis Edmondson, Chief Banking Officer, added that pipelines remain robust, and they expect high single to low double-digit growth for the year.
Read More: Strong Loan Growth and Strategic …
