First Bancorp Q2 2024: Assets $8.58B, Equity $199.58M

Ticker: FBP · Form: 10-Q · Filed: 2024-08-09T00:00:00.000Z

Sentiment: neutral

Topics: financials, 10-Q, banking

TL;DR

FIRST BANCORP Q2 2024: $8.58B Assets, $199.58M Equity. Operations detailed.

AI Summary

First Bancorp reported its financial results for the period ending June 30, 2024. The company's total assets stood at $8,581 million, with total equity at $199,576 million. The filing covers the period from January 1, 2024, to June 30, 2024, and includes detailed segment information for United States Operations, Treasury and Investments, and Consumer Retail Banking.

Why It Matters

This 10-Q filing provides investors with a detailed look at First Bancorp's financial health and operational performance for the second quarter of 2024, crucial for investment decisions.

Risk Assessment

Risk Level: medium — The filing contains detailed financial data and segment reporting, which requires careful analysis to fully assess the company's risk profile.

Key Numbers

Key Players & Entities

FAQ

What were the total assets of First Bancorp as of June 30, 2024?

First Bancorp's total assets were $8,581 million as of June 30, 2024.

What was the total equity reported by First Bancorp for the period ending June 30, 2024?

The total equity reported was $199,576 million for the period ending June 30, 2024.

What is the fiscal year end for First Bancorp?

First Bancorp's fiscal year ends on December 31.

Which operating segments are detailed in this 10-Q filing?

The filing details segments including United States Operations, Treasury and Investments, and Consumer Retail Banking.

What is the SIC code for First Bancorp?

The Standard Industrial Classification code for First Bancorp is 6022 (Commercial Banks).

Filing Stats: 4,298 words · 17 min read · ~14 pages · Grade level 20 · Accepted 2024-08-08 18:09:27

Key Financial Figures

Filing Documents

Financial Statements

Financial Statements: Consolidated Statements of Financial Condition (Unaudited) as of June 30, 2024 and December 31, 2023 5 Consolidated Statements of Income (Unaudited) – Quarters and Six-Month Periods ended June 30, 2024 and 2023 6 Consolidated Statements of Comprehensive Income (Unaudited) – Quarters and Six-Month Periods ended June 30, 2024 and 2023 7 Consolidated Statements of Cash Flows (Unaudited) – Quarters and Six-Month Periods ended June 30, 2024 and 2023 8 Consolidated Statements of Changes in Stockholders' Equity (Unaudited) – Quarters and Six- Month Periods ended June 30, 2024 and 2023 9

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 10 Item 2.

Management's Discussion and Analysis

Management's Discussion and Analysis of Financial Condition and Results of Operations 76 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 132 Item 4.

Controls and Procedures

Controls and Procedures 132 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 133 Item 1A.

Risk Factors

Risk Factors 133 Item 2. Item 5. Unregistered Sales of Equity Securities and Use of Proceeds Other Information 134 134 Item 6. Exhibits 135

SIGNATURES

SIGNATURES 3

Forward-Looking Statements

Forward-Looking Statements This Quarterly Report on Form 10-Q (this "Form 10-Q") contains

forward-looking statements

forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), which are subject to the safe harbor created by such sections. When used in this Form 10-Q or future filings by First BanCorp. (the "Corporation," "we," "us," or "our") with the U.S. Securities and Exchange Commission (the "SEC"), in the Corporation's press releases or in other public or stockholder communications made by the Corporation, or in oral statements made on behalf of the Corporation by, or with the approval of, an authorized executive officer of the Corporation, the words or phrases "would," "intends," "will," "expect," "should," "plans," "forecast," "anticipate," "look forward," "believes," and other terms of similar meaning or import, or the negatives of these terms or variations of them, in connection with any discussion of future operating, financial or other performance are meant to identify "forward-looking statements." The Corporation cautions readers not to place undue reliance on any such "forward-looking statements," which speak only as of the date made or, with respect to such

forward-looking statements

forward-looking statements contained in this Form 10-Q, the date hereof, and advises readers that any such

forward-looking statements

forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties, estimates, and assumptions by us that are difficult to predict . Various factors, some of which are beyond our control, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. Factors that could cause results to differ materially from those expressed in, or implied by, the Corporation's forward-looking statements include, but are not limited to, risks described or referenced in Part I, Item 1A, "Risk Factors," in the Corporation's Annual Report on Form 10-K for the fiscal year ended December 31, 2023 (the "2023 Annual Report on Form 10-K"), Part II, Item 1A., "Risk Factors," in the Corporation's Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, and the following: the effect of the current global interest rate environment and inflation levels or changes in interest rates on the level, composition and performance of the Corporation's assets and liabilities, and corresponding effects on the Corporation's net interest income, net interest margin, loan originations, deposit attrition, overall results of operations, and liquidity position; the effects of changes in the interest rate environment, including any adverse change in the Corporation's ability to attract and retain clients and gain acceptance from current and prospective customers for new products and services, including those related to the offering of digital banking and financial services; volatility in the financial services industry, including failures or rumored failures of other depository institutions, and actions taken by governmental agencies to stabilize the financial system, which could result in, among other things, bank deposit runoffs, liquidity constraints, and increased regul

business

business acquisitions, dispositions, strategic partnerships, strategic operational investments, including systems conversions, and any anticipated efficiencies or other expected results related thereto; uncertainty as to the implementation of the debt restructuring plan of Puerto Rico ("Plan of Adjustment" or "PoA") and the fiscal plan for Puerto Rico as certified on June 5, 2024 (the "2024 Fiscal Plan") by the oversight board established by the Puerto Rico Oversight, Management, and Economic Stability Act ("PROMESA"), or any revisions to it, on our clients and loan portfolios, and any potential impact from future economic or political developments and tax regulations in Puerto Rico; the impact of changes in accounting standards, or determinations and assumptions in applying those standards, and of forecasts of economic variables considered for the determination of the allowance for credit losses ("ACL"); the ability of FirstBank to realize the benefits of its net deferred tax assets; the ability of FirstBank to generate sufficient cash flow to pay dividends to the Corporation; environmental, social, and governance matters, including our climate-related initiatives and commitments; the impacts of natural or man-made disasters, the emergence or continuation of widespread health emergencies, geopolitical conflicts (including sanctions, war or armed conflict, such as the ongoing conflict in Ukraine, the conflict between Israel and Hamas, and the possible expansion of such conflicts in surrounding areas and potential geopolitical consequences), terrorist attacks, or other catastrophic external events, including impacts of such events on general economic conditions and on the Corporation's assumptions regarding forecasts of economic variables; the risk that additional portions of the unrealized losses in the Corporation's debt securitie

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS PAGE Note 1 – Basis of Presentation and Significant Accounting Policies 11 Note 2 – Debt Securities 12 Note 3 – Loans Held for Investment 22 Note 4 – Allowance for Credit Losses for Loans and Finance Leases 42 Note 5 – Other Real Estate Owned ("OREO") 45 Note 6 – Goodwill and Other Intangibles 46 Note 7 – Non-Consolidated Variable Interest Entities ("VIEs") and Servicing Assets 47 Note 8 – Deposits 51 Note 9 – Advances from the Federal Home Loan Bank ("FHLB") 52 Note 10 – Other Long-Term Borrowings 52 Note 11 – Earnings per Common Share 53 Note 12 – Stock-Based Compensation 54 Note 13 – Stockholders' Equity 57 Note 14 – Accumulated Other Comprehensive Loss 59 Note 15 – Employee Benefit Plans 59 Note 16 – Income Taxes 60 Note 17 – Fair Value 61 Note 18 – Revenue from Contracts with Customers 66 Note 19 – Segment Information 68 Note 20 – Supplemental Statement of Cash Flows Information 70 Note 21 – Regulatory Matters, Commitments, and Contingencies 71 Note 22 – First BanCorp. (Holding Company Only) Financial Information 74 11 FIRST BANCORP. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE 1 – BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES The Consolidated Financial Statements (unaudited) for the quarter and six-month period ended June 30, 2024 (the "unaudited consolidated financial statements") of First BanCorp. (the "Corporation") have been prepared in conformity with the accounting policies stated in the Corporation's Audited Consolidated Financial Statements for the fiscal year ended December 31, 2023 (the "audited consolidated financial statements") included in the 2023 Annual Report on Form 10-K, as updated by the information contained in this report. Certain information and note disclosures normally included in the financial statements prepared in accordance with generally

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