First BanCorp (FBP) investor relations material

Executive summary

• Q3 net income was $96.1M, or $0.63 per diluted share, flat QoQ; 9M net income reached $281.0M and diluted EPS was $1.82.

• Loans grew 3.3% annualized QoQ and core deposits increased $120.4M; credit quality remained broadly stable.

• ROAA was 1.98%, marking the 19th consecutive quarter above 1.5%.

Financial highlights

• Net interest income was $227.5M, down $1.6M QoQ but up from $217.9M a year earlier; 9M NII rose to $677.6M from $646.2M.

• GAAP NIM was 4.73%, down 14 bps QoQ; prior-quarter purchase discount and deferred-fee acceleration partly explain the decline.

• Non-interest income was $32.6M, down from $35.7M QoQ, while non-interest expenses rose to $130.2M from $127.3M; prior-quarter gains and a $2.8M contingency reserve affected comparisons.

• Adjusted pre-tax, pre-provision income was $129.9M, down 5.6% QoQ; lower provision and tax expense partly offset softer income and higher expenses.

Outlook and guidance

• 2026 organic loan growth target remains 3%-5%; YTD growth was 1.8%, with stronger originations and pipelines supporting year-end growth expectations.

• Q4 NIM is expected to remain relatively stable near Q3 levels as loan repricing and securities reinvestment benefits offset funding-cost pressure.

• Q4 securities cash flows of ~$252M are expected to be reinvested at high-5% to low-6% yields.

• Capital returns are targeted at 100% of 2026 earnings; management expects another $50M of Q4 buybacks, with 2027 guidance to follow.