First BanCorp (NYSE:FBP) Reports $79.5 Million Net Income in Fourth Quarter 2023

By the editorial staff of Sin Comillas

First BanCorp (NYSE:FBP) reported that in the fourth quarter of 2023 its net income was $79.5 million ($0.46 per diluted share), compared to $73.2 million ($0.40) in the same period of 2022. In the third quarter of 2023, net income was $82.0 million ($0.46).

For the full year 2023, the bank’s profits amounted to $302.9 million, down 0.7% from $305.1 million in 2022.

First BanCorp shares rose 1.7% today, to $16.12. The highest level over the last 52 weeks was $17.15 and the lowest was $10.18.

The provision for credit losses increased from $4.4 million in the third quarter of 2023 to $18.8 million in the fourth quarter.

Non-performing assets decreased by $4.3 million to $125.9 million as of December 31, 2023. They include $7.7 million in collections and loans restored to interest, and $1.5 million in losses, partially offset by an increase of $3.3 million in consumer loans, primarily loans and auto leases, and a $1.1 million increase in auto repossessions.

Loans increased by $233.0 million, compared to the previous quarter, to $12.2 billion as of December 31, 2023. The change consisted of increases of $156.3 million in commercial and construction loans, $69.2 million in consumer loans, primarily loans and leases of automobiles, and $7.5 million in residential mortgage loans.

The increase in commercial and construction loans in the Puerto Rico region includes a participation in a $150.0 million commercial and industrial loan financed in the fourth quarter related to a public-private partnership (P3) for the improvement of infrastructure of the toll roads.

Loan originations totaled $1.3 billion in the fourth quarter of 2023, an increase of $116.5 million compared to the third quarter of 2023. The growth in total loan originations consisted of an increase of $162.5 million in commercial and insurance loans. construction, which includes the share of the aforementioned commercial loan of $150.0 million, partially offset by decreases of $27.6 million in residential mortgage loans and $18.4 million in consumer loans.

Deposits increased by $120.7 million to $16,556.0 million. Excluding brokered CDs and government deposits, total deposits decreased by $261.9 million to $12.6 billion as of December 31, 2023, reflecting decreases of $202.8 million in the Puerto Rico region, $42.8 million in the Florida region and $16.3 million in the Virgin Islands region.

Government deposits decreased in the fourth quarter of 2023 by $90.4 million and totaled $3.2 billion as of December 31, 2023.

As of September 30, total assets were $18,857.6 million, an increase of 1.7% or $316.8 million compared to September 30, 2023.