F.N.B. third-quarter profit rises to 43 cents a share on record net interest income

F.N.B. Corporation squeezed record net interest income out of a growing balance sheet in the third quarter, lifting profit at the Pittsburgh-based regional lender.

Net income available to common shareholders rose to $152.9 million, or 43 cents a diluted share, from $149.5 million, or 41 cents, a year earlier, according to its earnings release filed with an 8-K. Second-quarter profit was $148.7 million, or 42 cents.

Chairman, President and CEO Vince Delie said year-to-date earnings reached $1.23 a diluted share, a 13% increase over the same period in 2025.

Margin moves up

Net interest income climbed $17.3 million, or 4.8%, from a year ago to $376.5 million. The net interest margin on a fully taxable-equivalent basis rose 4 basis points to 3.29%, both from a year earlier and from the second quarter.

Funding costs did much of the work. Total cost of funds fell 22 basis points from a year ago to 2.01%, and interest-bearing deposit costs dropped 29 basis points to 2.37%. That more than offset a 23-basis-point decline in loan yields to 5.56%. The release noted that the Federal Open Market Committee raised its target federal funds rate by 25 basis points in September.

Loans and deposits grow

Period-end loans and leases rose $768.0 million from June, an 8.5% annualized pace, while period-end deposits grew $870.6 million, or 8.9% annualized. Average commercial and industrial loans were up $856.0 million, or 11.3%, from a year ago, more than offsetting a $735.7 million decline in average commercial real estate loans.

Fee income was a soft spot. Non-interest income fell 5.7% to $92.6 million as mortgage banking income dropped 39.4% and the year-ago quarter included a $5.4 million recovery. Non-interest expense rose 5.5% to $256.9 million, driven partly by technology investments and higher legal and consulting costs.

Credit and capital

The provision for credit losses fell to $19.6 million from $24.0 million. Net charge-offs were $11.0 million, or 0.12% of average loans annualized, down from 0.22% a year earlier. Total delinquency rose 10 basis points from a year ago to 0.75%, and the allowance held at 1.25% of loans.

F.N.B. bought back 2.7 million shares for $51 million in the quarter at a weighted average price of $18.69. So far this year it has repurchased $133 million of stock, or 2.1% of the shares outstanding at the start of 2026.

The estimated common equity Tier 1 ratio was 11.3%, and tangible book value per share rose 7.0% from a year ago to $12.28.

By the numbers

• EPS: $0.43, vs. $0.41
• Net interest income: $376.5 million, a record
• Net interest margin (FTE): 3.29%
• Net charge-offs: 0.12% annualized
• Third-quarter buybacks: $51 million
• Tangible book value per share: $12.28

Sources

1. F.N.B. Corporation, Form 8-K (Item 2.02) with Exhibit 99.1 earnings release for the third quarter of 2026, filed Oct. 20, 2026, accession 0000037808-26-000027

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