First BanCorp Reports Strong Financial Performance

News Summary

First BanCorp has announced a remarkable net income of $298.7 million for the year, showcasing substantial growth in revenues and earnings. The bank’s loan portfolio expanded significantly, focusing on commercial, construction, and consumer lending. Additionally, First BanCorp demonstrated a commitment to key industries, including small businesses and affordable housing projects, while also ensuring increased returns for shareholders. With improving asset quality and operational efficiency, First BanCorp continues to solidify its financial stability and customer confidence across its operating regions.

First BanCorp Reports Strong Financial Performance for 2024

First BanCorp, the parent company of FirstBank Puerto Rico, has posted impressive financial results for the year 2024. The bank reported a net income of $298.7 million, demonstrating its solid market position and financial health. In the fourth quarter of 2024, the net income stood at $75.7 million, translating to $0.46 per diluted share, which shows an increase from $73.7 million or $0.45 per diluted share in the third quarter.

Annual Highlights

For the entire year ending December 31, 2024, First BanCorp achieved a diluted earnings per share of $1.81, up from $1.71 in 2023. The bank also reached record revenues with total net interest income climbing to $807.5 million in 2024, which is an increase from $797.1 million in the previous year. This demonstrates a strong trajectory for the bank’s profitability and operational effectiveness.

Loan Portfolio Growth

The bank’s loan portfolio experienced robust growth, rising by $569 million or 4.7%, reaching a total of $12.8 billion. This growth was primarily driven by increases in commercial, construction, and consumer lending. In just the fourth quarter of 2024, Puerto Rico alone contributed $127.9 million to this growth.

Support for Key Industries

This year, First BanCorp has demonstrated its commitment to supporting vital sectors through substantial financing. The bank financed $187 million in new loans for small businesses and $190 million for the tourism industry. Notably, the corporation allocated $15 million for clean energy-related projects and provided $52 million for the expansion of manufacturing factories.

Mortgage and Auto Loans

In 2024, First BanCorp facilitated approximately $362 million in mortgage loans alongside $990 million for auto loans, reflecting a strong demand for financing in these areas. Furthermore, the bank allocated $59.2 million specifically for construction loans aimed at affordable housing and infrastructure projects, reinforcing its dedication to improving the community.

Shareholder Returns

To further enhance shareholder value, First BanCorp announced a 13% increase in its common stock dividend. During the fourth quarter of 2024, the bank repurchased $50 million in junior subordinated debentures and paid out $26.1 million in dividends, solidifying its ongoing commitment to its investors.

Asset Growth and Financial Health

First BanCorp also reported significant growth in total assets, which rose to approximately $19.3 billion, up from $18.9 billion at the end of 2023. Core deposits increased by $197.9 million, reaching a total of $12.9 billion. This growth reflects the bank’s strong appeal and competitiveness in both Puerto Rico and Florida regions.

Improved Performance Metrics

The bank’s financial metrics indicate a healthy operational efficiency, with the efficiency ratio improving to 51.57% in the fourth quarter from 52.41% in the third quarter. Additionally, nonperforming assets declined to $118.3 million by the end of the year, compared to $119.1 million in the third quarter, signifying better asset quality.

Conclusion

First BanCorp’s strong financial performance in 2024 showcases its robust growth and strategic initiatives aimed at supporting key sectors while returning value to shareholders. With an encouraging outlook and continued expansion, the bank is poised for further success in the upcoming years.

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Additional Resources

• Business Wire: First BanCorp Announces Strategic Reorganization
• Google Search: First BanCorp
• News is My Business: First Bancorp Reports $298M in Net Income for 2024
• Wikipedia: First BanCorp
• Nomad Capitalist: Banking in Puerto Rico
• Encyclopedia Britannica: Puerto Rico
• Fintech Futures: First BanCorp Completes $1.1BN Acquisition of Santander Puerto Rico
• Google News: First BanCorp