First Bank Corp announces quaterly earnings
SAN JUAN, PUERTO RICO
First BanCorp, the bank holding company for FirstBank Puerto Rico, today reported net income of $19.1 million for the third quarter of 2012, or $0.09 per diluted share, an improvement compared to net income of $9.4 million, or $0.05 per diluted share, for the second quarter of 2012 and a net loss of $24.0 million, or $1.46 loss per diluted share, for the third quarter of 2011. The net income for the nine-month period ended September 30, 2012, was $15.2 million, or $0.07 per diluted share, compared to a net loss of $67.4 million, or $4.17 loss per diluted share, for the same period in 2011. Net income of $19.1 million.
Growth in net interest income and margin: Net interest income, excluding fair value adjustments of $0.2 million, increased by $17.1 million. Net interest margin, excluding fair value adjustments, increased by 54 basis points to 3.98%. Provision for loan and lease losses of $29.0 million, up $4.1 million. Total non-performing assets decreased for the tenth consecutive quarter, declining by $48.8 million. The level of nonperforming loans decreased by $57.6 million from the previous quarter to $1.01 billion. Inflows of loans into non-performing status declined by $12.0 million, or 12%, from the previous quarter. Net chargeoffs declined by $11.1 million to $40.6 million, or an annualized 1.58% of average loans. Increase of $1.1 million in noninterest income: Full quarter impact of the credit cards portfolio acquisition from FIA Card Services reflects an increase of $2.0 million in interchange and other related fees.
Non-cash charge associated with the equity in losses of unconsolidated entities of $2.2 million, compared to losses of $2.5 million in the second quarter of 2012. Increase of $4.9 million in non-interest expenses led by higher losses on real estate owned (REO) operations and expenses related to the recently acquired credit cards portfolio. Total capital, Tier 1 capital and leverage ratios of the Corporation of 17.52%,16.20% and 12.71%, respectively, as of September 30, 2012, compared to 17.30%, 15.98% and 12.51%, respectively, as of June 30, 2012.