FNB Q3 net interest income rises on growth in earning assets and lower deposit costs

FNB

Mon 21:45

Overview
U.S. regional bank's Q3 EPS met analyst expectations
Net interest income rose 4.8% yr/yr
Company repurchased $51 mln in shares during the quarter

Outlook
Company expects technology investments to support long-term organic growth trajectory
FNB expects loan and deposit growth to align with long-term organic growth trajectory
Company aims to diversify revenue streams by expanding fee-based businesses

Result Drivers
NET INTEREST INCOME - Growth in average earning assets and lower interest-bearing deposit costs drove higher net interest income
LOAN GROWTH - Higher consumer and commercial loan balances, especially in equipment finance and select markets, contributed to results
DEPOSIT GROWTH - Increases in interest-bearing demand, money market, and non-interest-bearing deposits supported funding and growth

Company press release: ID:nPn6cJfX6a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 EPS
Meet
$0.43
$0.43 (8 Analysts)
Q3 Adjusted Operating Earnings Per 
Share  
 
$0.43
 
Q3 Net Income
 
$152.9 mln
 
Q3 Net Interest Income
 
$376.5 mln
 
Q3 CET1 Capital Ratio
 
11.3%
 
Q3 Credit Loss Provision
 
$19.6 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for FNB Corp is $21.00, about 21.9% above its October 16 closing price of $17.23
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Reuters Recommended Reads
Oct 19 - Western Alliance Bancorp Q3 revenue slightly beats estimates, profit rises on wider interest margin
Oct 19 - Zions Bancorp Q3 EPS rises 20% on improved credit quality
Oct 19 - Fifth Third Bancorp Q3 net interest income jumps on Comerica acquisition

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)