- Earnings per diluted share of $0.69; $0.72 on an
adjusted(1)
basis, 29% increase YoY
- Return on average assets of 1.55%; 1.62% on an
adjusted(1)
basis
- Net interest margin on FTE basis(1)
of 4.48%; 7 bp decrease from linked quarter
- Loan growth of $117 million;
4.5% on an annualized basis
- Strong adjusted(1) fee income of
$53.5 million driven by foreign
exchange and wealth management
- ACL to total loans of 1.41%; Classified assets declined 13%
from linked quarter
- All capital ratios increased from the linked quarter;
Regulatory ratios well in excess of targets
CINCINNATI, July 20,
2023 /PRNewswire/ -- First Financial Bancorp.
(Nasdaq: FFBC) ("First Financial" or the "Company") announced
financial results for the three and six months ended June 30, 2023.
For the three months ended June 30,
2023, the Company reported net income of $65.7 million, or $0.69 per diluted common share. These
results compare to net income of $70.4
million, or $0.74 per diluted
common share, for the first quarter of 2023. For the six
months ended June 30, 2023, First
Financial had earnings per diluted share of $1.43 compared to $0.98 for the same period in 2022.
Return on average assets for the second quarter of 2023
was 1.55% while return on average tangible common equity was
25.27%(1). These compare to return on average
assets of 1.69% and return on average tangible common equity of
29.02%(1) in the first quarter of 2023.
Second quarter 2023 highlights
include:
- Net interest margin of 4.43%, or 4.48% on a fully
tax-equivalent basis(1)
- 7 bp decrease to 4.48% from 4.55% in the first quarter
due to increasing deposit costs
- Higher asset yields significantly offset 40 bp increase
in cost of deposits
- Average deposit balances decreased $98.3 million with growth in brokered and retail
CDs offsetting declines in noninterest bearing checking and savings
accounts
- Noninterest income of $53.3
million, or $53.5 million as
adjusted(1)
- Foreign exchange income of $15.0
million reflected continued strong activity
- Record wealth management fees of $6.7 million; 6.0% increase from first
quarter
- Leasing business income of $10.3
million; 24.9% decline from first quarter due to change in
mix
- Adjusted(1) $0.2
million for losses on investment securities and gain related
to the LIBOR cessation
- Noninterest expenses of $120.6
million, or $116.9 million as
adjusted(1)
- $3.9 million increase from
first quarter driven primarily by higher employee costs and online
banking conversion
- Second quarter adjustments(1) include
$1.0 million tax credit investment
writedown, $1.7 million of costs
related to our online banking conversion and $1.0 million of other costs not expected to recur
such as acquisition, severance and branch consolidation
costs
- Efficiency ratio of 56.8%; 54.9% as
adjusted(1)
________________________________________________________________________________________
(1) Non-GAAP measure. For
details on the calculation of these non-GAAP financial measures and
a reconciliation to the GAAP financial measure, see the sections
titled "Use of Non-GAAP Financial Measures" in this release and
"Appendix: Non-GAAP to GAAP Reconciliation" in the accompanying
slide presentation.
(2) The consolidated balance
sheets at December 31, 2022,
September 30, 2022, and June 30, 2022, include assets acquired and
liabilities assumed in the Summit Financial transaction. The
fair value measurements of assets acquired and liabilities assumed
are subject to refinement for up to one year after the closing date
of the acquisition as additional information relative to closing
date fair values becomes available. These fair value
measurements were considered final as of December 31, 2022.
- Moderate loan growth during the quarter
- Loan balances increased $116.8
million compared to the first quarter
- Growth of 4.5% on an annualized basis
- Residential mortgage and equipment leases drove quarterly
growth
- Total Allowance for Credit Losses of $166.9 million; Total quarterly provision expense
of $10.7 million
- Loans and leases - ACL of $148.6
million; increased 5 bps to 1.41% of total loans
- Unfunded Commitments - ACL of $18.2 million
- Provision expense driven by slower prepayment speeds, net
charge-offs and loan growth
- Classified assets declined 12.6% to $138.9 million; Net charge-offs 22 bps of total
loans
- Capital ratios remain solid
- Total capital ratio increased 28 bps to
13.94%
- Tier 1 common equity increased 30 bps to
11.30%
- Tangible common equity increased 9 bps to
6.56%(1); 8.76%(1) excluding impact from
AOCI
- Tangible book value per share of $11.02(1)
Archie Brown, President and
CEO, commented on the quarter, "I continue to be pleased with our
performance this year. Earnings in the second quarter were
once again very strong as an expected increase in deposit costs was
mostly offset by higher asset yields. Adjusted(1)
earnings per share were $0.72, which
was a 29% increase compared to the same quarter in 2022, while the
adjusted(1) returns on assets and tangible common equity
were 1.62% and 26.46%, respectively. Net interest margin
exceeded expectations during the period as our asset sensitive
balance sheet has enabled the company to successfully navigate the
higher interest rate environment. We were encouraged by the
stabilization of deposit balances in the last half of the
quarter. Personal, business and public fund deposits were
stable to increasing from May to June while the mix continued to
shift to interest bearing products."
Mr. Brown continued, "Our fee income largely exceeded our
expectations this quarter, with strong performance from mortgage
banking, client swaps and wealth management. Summit Funding
Group had another nice quarter in originations although the mix has
shifted to a higher level of finance leases and loans. This
shift has bolstered our net interest income but resulted in less
fee income during the period."
Mr. Brown commented on loan growth and quality, "Loan
growth was in line with expectations for the period. While
loan activity slowed early in the quarter and we experienced higher
commercial line pay downs, loan pipelines strengthened in recent
weeks. We expect moderate loan growth in the second half of the
year. We were pleased that asset quality remained strong
during the quarter. Net charge-offs were 22 bps on an
annualized basis after being zero last quarter and a net recovery
in the fourth quarter of 2022 while classified assets declined 13%
from the linked quarter."
Mr. Brown concluded, "We are extremely pleased with our
results this quarter. The position of our balance sheet,
strong net interest margin, consistent loan growth, robust fee
income and stable asset quality is expected to sustain our
performance in the back half of the year. Additionally, our
earnings power, strong and increasing capital levels and high
reserve levels provide additional support in the event of a
downturn in the economy."
Full detail of the Company's second quarter 2023
performance is provided in the accompanying financial statements
and slide presentation.
Teleconference / Webcast
Information
First Financial's executive
management will host a conference call to discuss the Company's
financial and operating results on Friday,
July 21, 2023 at 8:30 a.m. Eastern
Time. Members of the public who would like to listen
to the conference call should dial (888) 550-5723 (U.S. toll free)
or (646) 960-0471 (U.S. local), access code 5048068. The
number should be dialed five to ten minutes prior to the start of
the conference call. A replay of the conference call will be
available beginning one hour after the completion of the live call
at (800) 770-2030 (U.S. toll free), (647) 362-9199 (U.S. local),
access code 5048068. The recording will be available until
August 5, 2023. The conference
call will also be accessible as an audio webcast via the Investor
Relations section of the Company's website at
www.bankatfirst.com. The webcast will be archived on
the Investor Relations section of the Company's website for 12
months.
Press Release and Additional Information on
Website
This press release as well as
supplemental information are available to the public through the
Investor Relations section of First Financial's website at
www.bankatfirst.com.
Use of Non-GAAP Financial
Measures
This earnings release contains GAAP
financial measures and Non-GAAP financial measures where management
believes it to be helpful in understanding the Company's results of
operations or financial position. Where Non-GAAP financial
measures are used, the comparable GAAP financial measures, as well
as a reconciliation to the comparable GAAP financial measure, can
be found in the section titled "Appendix: Non-GAAP to GAAP
Reconciliation" in the accompanying slide presentation.
Forward-Looking Statements
Certain statements contained in this report which are not
statements of historical fact constitute forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. Words such as ''believes,'' ''anticipates,''
"likely," "expected," "estimated," ''intends'' and other similar
expressions are intended to identify forward-looking statements but
are not the exclusive means of identifying such statements.
Examples of forward-looking statements include, but are not limited
to, statements we make about (i) our future operating or financial
performance, including revenues, income or loss and earnings or
loss per share, (ii) future common stock dividends, (iii) our
capital structure, including future capital levels, (iv) our plans,
objectives and strategies, and (v) the assumptions that underlie
our forward-looking statements.
As with any forecast or projection, forward-looking
statements are subject to inherent uncertainties, risks and changes
in circumstances that may cause actual results to differ materially
from those set forth in the forward-looking statements.
Forward-looking statements are not historical facts but instead
express only management's beliefs regarding future results or
events, many of which, by their nature, are inherently uncertain
and outside of management's control. It is possible that actual
results and outcomes may differ, possibly materially, from the
anticipated results or outcomes indicated in these forward-looking
statements. Important factors that could cause actual results
to differ materially from those in our forward-looking statements
include the following, without limitation:
- economic, market, liquidity, credit, interest rate,
operational and technological risks associated with the Company's
business;
- future credit quality and performance, including our
expectations regarding future loan losses and our allowance for
credit losses
- the effect of and changes in policies and laws or
regulatory agencies, including the Dodd-Frank Wall Street Reform
and Consumer Protection Act and other legislation and regulation
relating to the banking industry;
- Management's ability to effectively execute its business
plans;
- mergers and acquisitions, including costs or difficulties
related to the integration of acquired companies;
- the possibility that any of the anticipated benefits of
the Company's acquisitions will not be realized or will not be
realized within the expected time period;
- the effect of changes in accounting policies and
practices;
- changes in consumer spending, borrowing and saving and
changes in unemployment;
- changes in customers' performance and
creditworthiness;
- the costs and effects of litigation and of unexpected or
adverse outcomes in such litigation;
- current and future economic and market conditions,
including the effects of changes in housing prices, fluctuations in
unemployment rates, U.S. fiscal debt, budget and tax matters,
geopolitical matters, and any slowdown in global economic
growth;
- the adverse impact on the U.S. economy, including the
markets in which we operate, of the novel coronavirus, which causes
the Coronavirus disease 2019 ("COVID-19"), global pandemic, and the
impact on the performance of our loan and lease portfolio,
the market value of our investment securities, the availability of
sources of funding and the demand for our products;
- our capital and liquidity requirements (including under
regulatory capital standards, such as the Basel III capital
standards) and our ability to generate capital internally or raise
capital on favorable terms;
- financial services reform and other current, pending or
future legislation or regulation that could have a negative effect
on our revenue and businesses, including the Dodd-Frank Act and
other legislation and regulation relating to bank products and
services;
- the effect of the current interest rate environment or
changes in interest rates or in the level or composition of our
assets or liabilities on our net interest income, net interest
margin and our mortgage originations, mortgage servicing rights and
mortgage loans held for sale;
- the effect of a fall in stock market prices on our
brokerage, asset and wealth management businesses;
- a failure in or breach of our operational or security
systems or infrastructure, or those of our third-party vendors or
other service providers, including as a result of cyber
attacks;
- the effect of changes in the level of checking or savings
account deposits on our funding costs and net interest margin;
and
- our ability to develop and execute effective business
plans and strategies.
Additional factors that may cause our actual results to
differ materially from those described in our forward-looking
statements can be found in our Form 10-K for the year ended
December 31, 2022, as well as our
other filings with the SEC, which are available on the SEC website
at www.sec.gov.
All forward-looking statements included in this filing are
made as of the date hereof and are based on information available
at the time of the filing. Except as required by law, the
Company does not assume any obligation to update any
forward-looking statement.
About First Financial
Bancorp.
First Financial Bancorp. is a
Cincinnati, Ohio based bank
holding company. As of June 30, 2023, the Company had
$17.1 billion in assets, $10.6 billion in loans, $12.8 billion in deposits and $2.1 billion in shareholders' equity. The
Company's subsidiary, First Financial Bank, founded in 1863,
provides banking and financial services products through its six
lines of business: Commercial, Retail Banking, Investment
Commercial Real Estate, Mortgage Banking, Commercial Finance and
Wealth Management. These business units provide traditional
banking services to business and retail clients. Wealth
Management provides wealth planning, portfolio management, trust
and estate, brokerage and retirement plan services and had
approximately $3.3 billion in assets
under management as of June 30, 2023. The Company
operated 130 full service banking centers as of June 30, 2023,
located in Ohio, Indiana, Kentucky and Illinois, while the Commercial Finance
business lends into targeted industry verticals on a nationwide
basis. Additional information about
the Company, including its products, services and banking
locations, is available at www.bankatfirst.com
.
FIRST FINANCIAL BANCORP.
|
CONSOLIDATED FINANCIAL
HIGHLIGHTS
|
(Dollars in thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended,
|
|
Six months
ended,
|
|
June 30,
|
|
Mar. 31,
|
|
Dec. 31,
|
|
Sep. 30,
|
|
June 30,
|
|
June 30,
|
|
2023
|
|
2023
|
|
2022
|
|
2022
|
|
2022
|
|
2023
|
|
2022
|
RESULTS OF OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
65,667
|
|
$
70,403
|
|
$
69,086
|
|
$
55,705
|
|
$
51,520
|
|
$
136,070
|
|
$ 92,821
|
Net earnings per share
- basic
|
$
0.70
|
|
$
0.75
|
|
$
0.74
|
|
$
0.60
|
|
$
0.55
|
|
$
1.45
|
|
$
0.99
|
Net earnings per share
- diluted
|
$
0.69
|
|
$
0.74
|
|
$
0.73
|
|
$
0.59
|
|
$
0.55
|
|
$
1.43
|
|
$
0.98
|
Dividends declared per
share
|
$
0.23
|
|
$
0.23
|
|
$
0.23
|
|
$
0.23
|
|
$
0.23
|
|
$
0.46
|
|
$
0.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
KEY FINANCIAL RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.55 %
|
|
1.69 %
|
|
1.63 %
|
|
1.35 %
|
|
1.28 %
|
|
1.62 %
|
|
1.16 %
|
Return on average
shareholders' equity
|
12.32 %
|
|
13.71 %
|
|
13.64 %
|
|
10.58 %
|
|
9.84 %
|
|
13.00 %
|
|
8.66 %
|
Return on average
tangible shareholders' equity (1)
|
25.27 %
|
|
29.02 %
|
|
29.93 %
|
|
22.29 %
|
|
20.68 %
|
|
27.08 %
|
|
17.65 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin
|
4.43 %
|
|
4.51 %
|
|
4.43 %
|
|
3.93 %
|
|
3.41 %
|
|
4.47 %
|
|
3.26 %
|
Net interest margin
(fully tax equivalent) (1)(2)
|
4.48 %
|
|
4.55 %
|
|
4.47 %
|
|
3.98 %
|
|
3.45 %
|
|
4.51 %
|
|
3.31 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending shareholders'
equity as a percent of ending assets
|
12.54 %
|
|
12.53 %
|
|
12.01 %
|
|
12.00 %
|
|
12.74 %
|
|
12.54 %
|
|
12.74 %
|
Ending tangible
shareholders' equity as a percent of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending tangible assets
(1)
|
6.56 %
|
|
6.47 %
|
|
5.95 %
|
|
5.79 %
|
|
6.40 %
|
|
6.56 %
|
|
6.40 %
|
Risk-weighted assets
(1)
|
8.00 %
|
|
7.87 %
|
|
7.32 %
|
|
7.21 %
|
|
8.09 %
|
|
8.00 %
|
|
8.09 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shareholders'
equity as a percent of average assets
|
12.60 %
|
|
12.29 %
|
|
11.98 %
|
|
12.75 %
|
|
12.97 %
|
|
12.45 %
|
|
13.36 %
|
Average tangible
shareholders' equity as a percent of
|
|
|
|
|
|
|
|
|
|
|
|
|
|
average tangible assets (1)
|
6.57 %
|
|
6.21 %
|
|
5.84 %
|
|
6.49 %
|
|
6.62 %
|
|
6.39 %
|
|
7.03 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per
share
|
$
22.52
|
|
$
22.29
|
|
$
21.51
|
|
$
21.03
|
|
$
21.90
|
|
$
22.52
|
|
$
21.90
|
Tangible book value per
share (1)
|
$
11.02
|
|
$
10.76
|
|
$
9.97
|
|
$
9.48
|
|
$
10.27
|
|
$
11.02
|
|
$
10.27
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common equity tier 1
ratio (3)
|
11.30 %
|
|
11.00 %
|
|
10.83 %
|
|
10.82 %
|
|
10.91 %
|
|
11.30 %
|
|
10.91 %
|
Tier 1 ratio
(3)
|
11.64 %
|
|
11.34 %
|
|
11.17 %
|
|
11.17 %
|
|
11.28 %
|
|
11.64 %
|
|
11.28 %
|
Total capital ratio
(3)
|
13.94 %
|
|
13.66 %
|
|
13.64 %
|
|
13.73 %
|
|
13.94 %
|
|
13.94 %
|
|
13.94 %
|
Leverage ratio
(3)
|
9.33 %
|
|
9.03 %
|
|
8.89 %
|
|
8.88 %
|
|
8.76 %
|
|
9.33 %
|
|
8.76 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE BALANCE SHEET ITEMS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
(4)
|
$
10,513,505
|
|
$
10,373,302
|
|
$
10,059,119
|
|
$
9,597,197
|
|
$
9,367,820
|
|
$
10,443,791
|
|
$
9,317,576
|
Investment
securities
|
3,560,453
|
|
3,635,317
|
|
3,705,304
|
|
4,003,472
|
|
4,118,287
|
|
3,597,678
|
|
4,212,649
|
Interest-bearing
deposits with other banks
|
329,584
|
|
318,026
|
|
372,054
|
|
317,146
|
|
294,136
|
|
323,837
|
|
284,006
|
Total earning
assets
|
$
14,403,542
|
|
$
14,326,645
|
|
$
14,136,477
|
|
$
13,917,815
|
|
$
13,780,243
|
|
$
14,365,306
|
|
$
13,814,231
|
Total assets
|
$
16,968,055
|
|
$
16,942,999
|
|
$
16,767,598
|
|
$
16,385,989
|
|
$
16,185,978
|
|
$
16,955,596
|
|
$
16,185,451
|
Noninterest-bearing
deposits
|
$
3,663,419
|
|
$
3,954,915
|
|
$
4,225,192
|
|
$
4,176,242
|
|
$
4,224,842
|
|
$
3,808,362
|
|
$
4,192,687
|
Interest-bearing
deposits
|
9,050,464
|
|
8,857,226
|
|
8,407,114
|
|
8,194,781
|
|
8,312,876
|
|
8,954,379
|
|
8,467,479
|
Total
deposits
|
$
12,713,883
|
|
$
12,812,141
|
|
$
12,632,306
|
|
$
12,371,023
|
|
$
12,537,718
|
|
$
12,762,741
|
|
$
12,660,166
|
Borrowings
|
$
1,523,699
|
|
$
1,434,338
|
|
$
1,489,088
|
|
$
1,406,718
|
|
$
1,079,596
|
|
$
1,479,265
|
|
$
901,634
|
Shareholders'
equity
|
$
2,137,765
|
|
$
2,082,210
|
|
$
2,009,564
|
|
$
2,089,179
|
|
$
2,099,670
|
|
$
2,110,141
|
|
$
2,162,235
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance to ending
loans
|
1.41 %
|
|
1.36 %
|
|
1.29 %
|
|
1.27 %
|
|
1.25 %
|
|
1.41 %
|
|
1.25 %
|
Allowance to nonaccrual
loans
|
276.70 %
|
|
409.46 %
|
|
464.58 %
|
|
341.61 %
|
|
302.87 %
|
|
276.70 %
|
|
302.87 %
|
Allowance to
nonperforming loans
|
276.70 %
|
|
409.46 %
|
|
335.94 %
|
|
262.09 %
|
|
235.08 %
|
|
276.70 %
|
|
235.08 %
|
Nonperforming loans to
total loans
|
0.51 %
|
|
0.33 %
|
|
0.38 %
|
|
0.48 %
|
|
0.53 %
|
|
0.51 %
|
|
0.53 %
|
Nonaccrual loans to
total loans
|
0.51 %
|
|
0.33 %
|
|
0.28 %
|
|
0.37 %
|
|
0.41 %
|
|
0.51 %
|
|
0.41 %
|
Nonperforming assets to
ending loans, plus OREO
|
0.51 %
|
|
0.33 %
|
|
0.39 %
|
|
0.48 %
|
|
0.53 %
|
|
0.51 %
|
|
0.53 %
|
Nonperforming assets to
total assets
|
0.32 %
|
|
0.21 %
|
|
0.23 %
|
|
0.28 %
|
|
0.31 %
|
|
0.32 %
|
|
0.31 %
|
Classified assets to
total assets
|
0.81 %
|
|
0.94 %
|
|
0.75 %
|
|
0.69 %
|
|
0.74 %
|
|
0.81 %
|
|
0.74 %
|
Net charge-offs to
average loans (annualized)
|
0.22 %
|
|
0.00 %
|
|
(0.01) %
|
|
0.07 %
|
|
0.08 %
|
|
0.11 %
|
|
0.09 %
|
|
|
(1) Non-GAAP measure. For details on the
calculation of these non-GAAP financial measures and a
reconciliation to the GAAP financial measure, see the sections
titled "Use of Non-GAAP Financial Measures" in this release and
"Appendix: Non-GAAP to GAAP Reconciliation" in the accompanying
slide presentation.
|
(2) The tax equivalent adjustment to net interest
income recognizes the income tax savings when comparing taxable and
tax-exempt assets and assumes a 21% tax rate. Management
believes that it is a standard practice in the banking industry to
present net interest margin and net interest income on a fully tax
equivalent basis. Therefore, management believes these
measures provide useful information to investors by allowing them
to make peer comparisons. Management also uses these measures
to make peer comparisons.
|
(3) June 30, 2023 regulatory capital ratios
are preliminary.
|
(4)
Includes loans held for sale.
|
|
|
FIRST FINANCIAL BANCORP.
|
CONSOLIDATED STATEMENTS OF
INCOME
|
(Dollars in thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
Three months
ended,
|
|
Six months
ended,
|
|
June 30,
|
|
June 30,
|
|
2023
|
|
2022
|
|
% Change
|
|
2023
|
|
2022
|
|
% Change
|
Interest
income
|
|
|
|
|
|
|
|
|
|
|
|
Loans and
leases, including fees
|
$ 184,387
|
|
$
97,091
|
|
89.9 %
|
|
$ 354,093
|
|
$ 184,273
|
|
92.2 %
|
Investment
securities
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
32,062
|
|
23,639
|
|
35.6 %
|
|
63,929
|
|
45,735
|
|
39.8 %
|
Tax-exempt
|
3,513
|
|
4,916
|
|
(28.5) %
|
|
6,977
|
|
9,347
|
|
(25.4) %
|
Total
investment securities interest
|
35,575
|
|
28,555
|
|
24.6 %
|
|
70,906
|
|
55,082
|
|
28.7 %
|
Other earning
assets
|
3,933
|
|
505
|
|
678.8 %
|
|
7,477
|
|
625
|
|
1,096.3 %
|
Total interest
income
|
223,895
|
|
126,151
|
|
77.5 %
|
|
432,476
|
|
239,980
|
|
80.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
44,292
|
|
2,963
|
|
1,394.8 %
|
|
75,748
|
|
5,586
|
|
1,256.0 %
|
Short-term
borrowings
|
15,536
|
|
1,566
|
|
892.1 %
|
|
28,486
|
|
1,883
|
|
1,412.8 %
|
Long-term
borrowings
|
4,835
|
|
4,612
|
|
4.8 %
|
|
9,692
|
|
9,156
|
|
5.9 %
|
Total interest
expense
|
64,663
|
|
9,141
|
|
607.4 %
|
|
113,926
|
|
16,625
|
|
585.3 %
|
Net interest
income
|
159,232
|
|
117,010
|
|
36.1 %
|
|
318,550
|
|
223,355
|
|
42.6 %
|
Provision for
credit losses-loans and leases
|
12,719
|
|
(4,267)
|
|
(398.1) %
|
|
21,363
|
|
(9,856)
|
|
(316.8) %
|
Provision for
credit losses-unfunded commitments
|
(1,994)
|
|
3,481
|
|
(157.3) %
|
|
(159)
|
|
3,255
|
|
(104.9) %
|
Net interest income
after provision for credit losses
|
148,507
|
|
117,796
|
|
26.1 %
|
|
297,346
|
|
229,956
|
|
29.3 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
income
|
|
|
|
|
|
|
|
|
|
|
|
Service charges
on deposit accounts
|
6,972
|
|
7,648
|
|
(8.8) %
|
|
13,486
|
|
15,377
|
|
(12.3) %
|
Wealth
management fees
|
6,713
|
|
6,311
|
|
6.4 %
|
|
13,047
|
|
12,371
|
|
5.5 %
|
Bankcard
income
|
3,692
|
|
3,823
|
|
(3.4) %
|
|
7,284
|
|
7,160
|
|
1.7 %
|
Client
derivative fees
|
1,827
|
|
1,369
|
|
33.5 %
|
|
2,832
|
|
2,172
|
|
30.4 %
|
Foreign exchange
income
|
15,039
|
|
13,470
|
|
11.6 %
|
|
31,937
|
|
23,621
|
|
35.2 %
|
Leasing business
income
|
10,265
|
|
7,247
|
|
41.6 %
|
|
23,929
|
|
13,323
|
|
79.6 %
|
Net gains from
sales of loans
|
3,839
|
|
5,241
|
|
(26.8) %
|
|
6,174
|
|
9,113
|
|
(32.3) %
|
Net gain (loss)
on sale of investment securities
|
(384)
|
|
0
|
|
N/M
|
|
(903)
|
|
3
|
|
N/M
|
Net gain (loss)
on equity securities
|
(82)
|
|
(1,054)
|
|
(92.2) %
|
|
558
|
|
(1,253)
|
|
(144.5) %
|
Other
|
5,377
|
|
5,723
|
|
(6.0) %
|
|
10,457
|
|
9,185
|
|
13.8 %
|
Total noninterest
income
|
53,258
|
|
49,778
|
|
7.0 %
|
|
108,801
|
|
91,072
|
|
19.5 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
expenses
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and
employee benefits
|
74,199
|
|
64,992
|
|
14.2 %
|
|
146,453
|
|
128,939
|
|
13.6 %
|
Net
occupancy
|
5,606
|
|
5,359
|
|
4.6 %
|
|
11,291
|
|
11,105
|
|
1.7 %
|
Furniture and
equipment
|
3,362
|
|
3,201
|
|
5.0 %
|
|
6,679
|
|
6,768
|
|
(1.3) %
|
Data
processing
|
9,871
|
|
8,334
|
|
18.4 %
|
|
18,891
|
|
16,598
|
|
13.8 %
|
Marketing
|
2,802
|
|
2,323
|
|
20.6 %
|
|
4,962
|
|
4,023
|
|
23.3 %
|
Communication
|
644
|
|
670
|
|
(3.9) %
|
|
1,278
|
|
1,336
|
|
(4.3) %
|
Professional
services
|
2,308
|
|
2,214
|
|
4.2 %
|
|
4,254
|
|
4,373
|
|
(2.7) %
|
State intangible
tax
|
964
|
|
1,090
|
|
(11.6) %
|
|
1,949
|
|
2,221
|
|
(12.2) %
|
FDIC
assessments
|
2,806
|
|
1,677
|
|
67.3 %
|
|
5,632
|
|
3,136
|
|
79.6 %
|
Intangible
amortization
|
2,601
|
|
2,915
|
|
(10.8) %
|
|
5,201
|
|
5,829
|
|
(10.8) %
|
Leasing business
expense
|
6,730
|
|
4,687
|
|
43.6 %
|
|
14,668
|
|
8,556
|
|
71.4 %
|
Other
|
8,722
|
|
5,572
|
|
56.5 %
|
|
16,050
|
|
12,955
|
|
23.9 %
|
Total noninterest
expenses
|
120,615
|
|
103,034
|
|
17.1 %
|
|
237,308
|
|
205,839
|
|
15.3 %
|
Income before income
taxes
|
81,150
|
|
64,540
|
|
25.7 %
|
|
168,839
|
|
115,189
|
|
46.6 %
|
Income tax expense
(benefit)
|
15,483
|
|
13,020
|
|
18.9 %
|
|
32,769
|
|
22,368
|
|
46.5 %
|
Net income
|
$
65,667
|
|
$
51,520
|
|
27.5 %
|
|
$ 136,070
|
|
$
92,821
|
|
46.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
ADDITIONAL DATA
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings per share
- basic
|
$
0.70
|
|
$
0.55
|
|
|
|
$
1.45
|
|
$
0.99
|
|
|
Net earnings per share
- diluted
|
$
0.69
|
|
$
0.55
|
|
|
|
$
1.43
|
|
$
0.98
|
|
|
Dividends declared per
share
|
$
0.23
|
|
$
0.23
|
|
|
|
$
0.46
|
|
$
0.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.55 %
|
|
1.28 %
|
|
|
|
1.62 %
|
|
1.16 %
|
|
|
Return on average
shareholders' equity
|
12.32 %
|
|
9.84 %
|
|
|
|
13.00 %
|
|
8.66 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
$ 223,895
|
|
$ 126,151
|
|
77.5 %
|
|
$ 432,476
|
|
$ 239,980
|
|
80.2 %
|
Tax equivalent
adjustment
|
1,601
|
|
1,625
|
|
(1.5) %
|
|
3,025
|
|
3,092
|
|
(2.2) %
|
Interest
income - tax equivalent
|
225,496
|
|
127,776
|
|
76.5 %
|
|
435,501
|
|
243,072
|
|
79.2 %
|
Interest
expense
|
64,663
|
|
9,141
|
|
607.4 %
|
|
113,926
|
|
16,625
|
|
585.3 %
|
Net
interest income - tax equivalent
|
$ 160,833
|
|
$ 118,635
|
|
35.6 %
|
|
$ 321,575
|
|
$ 226,447
|
|
42.0 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin
|
4.43 %
|
|
3.41 %
|
|
|
|
4.47 %
|
|
3.26 %
|
|
|
Net interest margin
(fully tax equivalent) (1)
|
4.48 %
|
|
3.45 %
|
|
|
|
4.51 %
|
|
3.31 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Full-time equivalent
employees
|
2,193
|
|
2,096
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The tax equivalent adjustment to net
interest income recognizes the income tax savings when comparing
taxable and tax-exempt assets and assumes a 21% tax rate.
Management believes that it is a standard practice in the banking
industry to present net interest income on a fully tax equivalent
basis. Therefore, management believes these measures provide
useful information to investors by allowing them to make peer
comparisons. Management also uses these measures to make peer
comparisons.
|
FIRST FINANCIAL BANCORP.
|
CONSOLIDATED QUARTERLY STATEMENTS OF
INCOME
|
(Dollars in thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
2023
|
|
Second
|
|
First
|
|
Year to
|
|
% Change
|
|
Quarter
|
|
Quarter
|
|
Date
|
|
Linked Qtr.
|
Interest
income
|
|
|
|
|
|
|
|
Loans and
leases, including fees
|
$ 184,387
|
|
$ 169,706
|
|
$ 354,093
|
|
8.7 %
|
Investment
securities
|
|
|
|
|
|
|
|
Taxable
|
32,062
|
|
31,867
|
|
63,929
|
|
0.6 %
|
Tax-exempt
|
3,513
|
|
3,464
|
|
6,977
|
|
1.4 %
|
Total
investment securities interest
|
35,575
|
|
35,331
|
|
70,906
|
|
0.7 %
|
Other earning
assets
|
3,933
|
|
3,544
|
|
7,477
|
|
11.0 %
|
Total interest
income
|
223,895
|
|
208,581
|
|
432,476
|
|
7.3 %
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
Deposits
|
44,292
|
|
31,456
|
|
75,748
|
|
40.8 %
|
Short-term
borrowings
|
15,536
|
|
12,950
|
|
28,486
|
|
20.0 %
|
Long-term
borrowings
|
4,835
|
|
4,857
|
|
9,692
|
|
(0.5) %
|
Total interest
expense
|
64,663
|
|
49,263
|
|
113,926
|
|
31.3 %
|
Net interest
income
|
159,232
|
|
159,318
|
|
318,550
|
|
(0.1) %
|
Provision for
credit losses-loans and leases
|
12,719
|
|
8,644
|
|
21,363
|
|
47.1 %
|
Provision for
credit losses-unfunded commitments
|
(1,994)
|
|
1,835
|
|
(159)
|
|
(208.7) %
|
Net interest income
after provision for credit losses
|
148,507
|
|
148,839
|
|
297,346
|
|
(0.2) %
|
|
|
|
|
|
|
|
|
Noninterest
income
|
|
|
|
|
|
|
|
Service charges
on deposit accounts
|
6,972
|
|
6,514
|
|
13,486
|
|
7.0 %
|
Wealth
management fees
|
6,713
|
|
6,334
|
|
13,047
|
|
6.0 %
|
Bankcard
income
|
3,692
|
|
3,592
|
|
7,284
|
|
2.8 %
|
Client
derivative fees
|
1,827
|
|
1,005
|
|
2,832
|
|
81.8 %
|
Foreign exchange
income
|
15,039
|
|
16,898
|
|
31,937
|
|
(11.0) %
|
Leasing business
income
|
10,265
|
|
13,664
|
|
23,929
|
|
(24.9) %
|
Net gains from
sales of loans
|
3,839
|
|
2,335
|
|
6,174
|
|
64.4 %
|
Net gain (loss)
on sale of investment securities
|
(384)
|
|
(519)
|
|
(903)
|
|
(26.0) %
|
Net gain (loss)
on equity securities
|
(82)
|
|
640
|
|
558
|
|
112.8 %
|
Other
|
5,377
|
|
5,080
|
|
10,457
|
|
5.8 %
|
Total noninterest
income
|
53,258
|
|
55,543
|
|
108,801
|
|
(4.1) %
|
|
|
|
|
|
|
|
|
Noninterest
expenses
|
|
|
|
|
|
|
|
Salaries and
employee benefits
|
74,199
|
|
72,254
|
|
146,453
|
|
2.7 %
|
Net
occupancy
|
5,606
|
|
5,685
|
|
11,291
|
|
(1.4) %
|
Furniture and
equipment
|
3,362
|
|
3,317
|
|
6,679
|
|
1.4 %
|
Data
processing
|
9,871
|
|
9,020
|
|
18,891
|
|
9.4 %
|
Marketing
|
2,802
|
|
2,160
|
|
4,962
|
|
29.7 %
|
Communication
|
644
|
|
634
|
|
1,278
|
|
1.6 %
|
Professional
services
|
2,308
|
|
1,946
|
|
4,254
|
|
18.6 %
|
State intangible
tax
|
964
|
|
985
|
|
1,949
|
|
(2.1) %
|
FDIC
assessments
|
2,806
|
|
2,826
|
|
5,632
|
|
(0.7) %
|
Intangible
amortization
|
2,601
|
|
2,600
|
|
5,201
|
|
0.0 %
|
Leasing business
expense
|
6,730
|
|
7,938
|
|
14,668
|
|
(15.2) %
|
Other
|
8,722
|
|
7,328
|
|
16,050
|
|
19.0 %
|
Total noninterest
expenses
|
120,615
|
|
116,693
|
|
237,308
|
|
3.4 %
|
Income before income
taxes
|
81,150
|
|
87,689
|
|
168,839
|
|
(7.5) %
|
Income tax expense
(benefit)
|
15,483
|
|
17,286
|
|
32,769
|
|
(10.4) %
|
Net income
|
$
65,667
|
|
$
70,403
|
|
$ 136,070
|
|
(6.7) %
|
|
|
|
|
|
|
|
|
ADDITIONAL DATA
|
|
|
|
|
|
|
|
Net earnings per share
- basic
|
$ 0.70
|
|
$ 0.75
|
|
$ 1.45
|
|
|
Net earnings per share
- diluted
|
$ 0.69
|
|
$ 0.74
|
|
$ 1.43
|
|
|
Dividends declared per
share
|
$ 0.23
|
|
$ 0.23
|
|
$ 0.46
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.55 %
|
|
1.69 %
|
|
1.62 %
|
|
|
Return on average
shareholders' equity
|
12.32 %
|
|
13.71 %
|
|
13.00 %
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
$ 223,895
|
|
$ 208,581
|
|
$ 432,476
|
|
7.3 %
|
Tax equivalent
adjustment
|
1,601
|
|
1,424
|
|
3,025
|
|
12.4 %
|
Interest
income - tax equivalent
|
225,496
|
|
210,005
|
|
435,501
|
|
7.4 %
|
Interest
expense
|
64,663
|
|
49,263
|
|
113,926
|
|
31.3 %
|
Net
interest income - tax equivalent
|
$ 160,833
|
|
$ 160,742
|
|
$ 321,575
|
|
0.1 %
|
|
|
|
|
|
|
|
|
Net interest
margin
|
4.43 %
|
|
4.51 %
|
|
4.47 %
|
|
|
Net interest margin
(fully tax equivalent) (1)
|
4.48 %
|
|
4.55 %
|
|
4.51 %
|
|
|
|
|
|
|
|
|
|
|
Full-time equivalent
employees
|
2,193
|
|
2,066
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The tax equivalent
adjustment to net interest income recognizes the income tax savings
when comparing taxable and tax-exempt assets and assumes a 21% tax
rate. Management believes that it is a standard practice in
the banking industry to present net interest income on a fully tax
equivalent basis. Therefore, management believes these
measures provide useful information to investors by allowing them
to make peer comparisons. Management also uses these measures
to make peer comparisons.
|
FIRST FINANCIAL BANCORP.
|
CONSOLIDATED QUARTERLY STATEMENTS OF
INCOME
|
(Dollars in thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
2022
|
|
Fourth
|
|
Third
|
|
Second
|
|
First
|
|
Full
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Year
|
Interest
income
|
|
|
|
|
|
|
|
|
|
Loans and
leases, including fees
|
$ 152,299
|
|
$
122,170
|
|
$
97,091
|
|
$
87,182
|
|
$
458,742
|
Investment
securities
|
|
|
|
|
|
|
|
|
|
Taxable
|
30,248
|
|
26,331
|
|
23,639
|
|
22,096
|
|
102,314
|
Tax-exempt
|
4,105
|
|
5,014
|
|
4,916
|
|
4,431
|
|
18,466
|
Total
investment securities interest
|
34,353
|
|
31,345
|
|
28,555
|
|
26,527
|
|
120,780
|
Other earning
assets
|
3,262
|
|
1,597
|
|
505
|
|
120
|
|
5,484
|
Total interest
income
|
189,914
|
|
155,112
|
|
126,151
|
|
113,829
|
|
585,006
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
|
|
Deposits
|
16,168
|
|
6,386
|
|
2,963
|
|
2,623
|
|
28,140
|
Short-term
borrowings
|
11,091
|
|
6,158
|
|
1,566
|
|
317
|
|
19,132
|
Long-term
borrowings
|
4,759
|
|
4,676
|
|
4,612
|
|
4,544
|
|
18,591
|
Total interest
expense
|
32,018
|
|
17,220
|
|
9,141
|
|
7,484
|
|
65,863
|
Net interest
income
|
157,896
|
|
137,892
|
|
117,010
|
|
106,345
|
|
519,143
|
Provision for
credit losses-loans and leases
|
8,689
|
|
7,898
|
|
(4,267)
|
|
(5,589)
|
|
6,731
|
Provision for
credit losses-unfunded commitments
|
1,341
|
|
386
|
|
3,481
|
|
(226)
|
|
4,982
|
Net interest income
after provision for credit losses
|
147,866
|
|
129,608
|
|
117,796
|
|
112,160
|
|
507,430
|
|
|
|
|
|
|
|
|
|
|
Noninterest
income
|
|
|
|
|
|
|
|
|
|
Service charges
on deposit accounts
|
6,406
|
|
6,279
|
|
7,648
|
|
7,729
|
|
28,062
|
Wealth
management fees
|
5,648
|
|
5,487
|
|
6,311
|
|
6,060
|
|
23,506
|
Bankcard
income
|
3,736
|
|
3,484
|
|
3,823
|
|
3,337
|
|
14,380
|
Client
derivative fees
|
1,822
|
|
1,447
|
|
1,369
|
|
803
|
|
5,441
|
Foreign exchange
income
|
19,592
|
|
11,752
|
|
13,470
|
|
10,151
|
|
54,965
|
Leasing business
income
|
11,124
|
|
7,127
|
|
7,247
|
|
6,076
|
|
31,574
|
Net gains from
sales of loans
|
2,206
|
|
3,729
|
|
5,241
|
|
3,872
|
|
15,048
|
Net gain (loss)
on sale of investment securities
|
(393)
|
|
(179)
|
|
0
|
|
3
|
|
(569)
|
Net gain
(loss) on equity securities
|
1,315
|
|
(701)
|
|
(1,054)
|
|
(199)
|
|
(639)
|
Other
|
4,579
|
|
4,109
|
|
5,723
|
|
3,462
|
|
17,873
|
Total noninterest
income
|
56,035
|
|
42,534
|
|
49,778
|
|
41,294
|
|
189,641
|
|
|
|
|
|
|
|
|
|
|
Noninterest
expenses
|
|
|
|
|
|
|
|
|
|
Salaries and
employee benefits
|
73,621
|
|
66,808
|
|
64,992
|
|
63,947
|
|
269,368
|
Net
occupancy
|
5,434
|
|
5,669
|
|
5,359
|
|
5,746
|
|
22,208
|
Furniture and
equipment
|
3,234
|
|
3,222
|
|
3,201
|
|
3,567
|
|
13,224
|
Data
processing
|
8,567
|
|
8,497
|
|
8,334
|
|
8,264
|
|
33,662
|
Marketing
|
2,198
|
|
2,523
|
|
2,323
|
|
1,700
|
|
8,744
|
Communication
|
690
|
|
657
|
|
670
|
|
666
|
|
2,683
|
Professional
services
|
3,015
|
|
2,346
|
|
2,214
|
|
2,159
|
|
9,734
|
State intangible
tax
|
974
|
|
1,090
|
|
1,090
|
|
1,131
|
|
4,285
|
FDIC
assessments
|
2,173
|
|
1,885
|
|
1,677
|
|
1,459
|
|
7,194
|
Intangible
amortization
|
2,573
|
|
2,783
|
|
2,915
|
|
2,914
|
|
11,185
|
Leasing business
expense
|
6,061
|
|
5,746
|
|
4,687
|
|
3,869
|
|
20,363
|
Other
|
15,902
|
|
23,842
|
|
5,572
|
|
7,383
|
|
52,699
|
Total noninterest
expenses
|
124,442
|
|
125,068
|
|
103,034
|
|
102,805
|
|
455,349
|
Income before income
taxes
|
79,459
|
|
47,074
|
|
64,540
|
|
50,649
|
|
241,722
|
Income tax expense
(benefit)
|
10,373
|
|
(8,631)
|
|
13,020
|
|
9,348
|
|
24,110
|
Net income
|
$
69,086
|
|
$
55,705
|
|
$
51,520
|
|
$
41,301
|
|
$
217,612
|
|
|
|
|
|
|
|
|
|
|
ADDITIONAL DATA
|
|
|
|
|
|
|
|
|
|
Net earnings per share
- basic
|
$ 0.74
|
|
$ 0.60
|
|
$ 0.55
|
|
$ 0.44
|
|
$ 2.33
|
Net earnings per share
- diluted
|
$ 0.73
|
|
$ 0.59
|
|
$ 0.55
|
|
$ 0.44
|
|
$ 2.30
|
Dividends declared per
share
|
$ 0.23
|
|
$ 0.23
|
|
$ 0.23
|
|
$ 0.23
|
|
$ 0.92
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.63 %
|
|
1.35 %
|
|
1.28 %
|
|
1.03 %
|
|
1.33 %
|
Return on average
shareholders' equity
|
13.64 %
|
|
10.58 %
|
|
9.84 %
|
|
7.53 %
|
|
10.34 %
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
$ 189,914
|
|
$
155,112
|
|
$
126,151
|
|
$
113,829
|
|
$
585,006
|
Tax equivalent
adjustment
|
1,553
|
|
1,712
|
|
1,625
|
|
1,467
|
|
6,357
|
Interest
income - tax equivalent
|
191,467
|
|
156,824
|
|
127,776
|
|
115,296
|
|
591,363
|
Interest
expense
|
32,018
|
|
17,220
|
|
9,141
|
|
7,484
|
|
65,863
|
Net
interest income - tax equivalent
|
$ 159,449
|
|
$
139,604
|
|
$
118,635
|
|
$
107,812
|
|
$
525,500
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin
|
4.43 %
|
|
3.93 %
|
|
3.41 %
|
|
3.11 %
|
|
3.73 %
|
Net interest margin
(fully tax equivalent) (1)
|
4.47 %
|
|
3.98 %
|
|
3.45 %
|
|
3.16 %
|
|
3.77 %
|
|
|
|
|
|
|
|
|
|
|
Full-time equivalent
employees
|
2,070
|
|
2,072
|
|
2,096
|
|
2,050
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The tax equivalent adjustment to net
interest income recognizes the income tax savings when comparing
taxable and tax-exempt assets and assumes a 21% tax rate.
Management believes that it is a standard practice in the banking
industry to present net interest income on a fully tax equivalent
basis. Therefore, management believes these measures provide
useful information to investors by allowing them to make peer
comparisons. Management also uses these measures to make peer
comparisons.
|
FIRST FINANCIAL BANCORP.
|
CONSOLIDATED STATEMENTS OF
CONDITION
|
(Dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
Mar. 31,
|
|
Dec. 31,
|
|
Sep. 30,
|
|
June 30,
|
|
% Change
|
|
% Change
|
|
2023
|
|
2023
|
|
2022
|
|
2022
|
|
2022
|
|
Linked Qtr.
|
|
Comp Qtr.
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
$ 217,385
|
|
$ 199,835
|
|
$ 207,501
|
|
$ 195,553
|
|
$ 217,481
|
|
8.8 %
|
|
0.0 %
|
Interest-bearing deposits
with other banks
|
485,241
|
|
305,465
|
|
388,182
|
|
338,978
|
|
270,042
|
|
58.9 %
|
|
79.7 %
|
Investment securities
available-for-sale
|
3,249,404
|
|
3,384,949
|
|
3,409,648
|
|
3,531,353
|
|
3,843,580
|
|
(4.0) %
|
|
(15.5) %
|
Investment securities
held-to-maturity
|
82,372
|
|
83,070
|
|
84,021
|
|
85,823
|
|
88,057
|
|
(0.8) %
|
|
(6.5) %
|
Other investments
|
141,892
|
|
143,606
|
|
143,160
|
|
138,767
|
|
132,151
|
|
(1.2) %
|
|
7.4 %
|
Loans held for
sale
|
15,267
|
|
9,280
|
|
7,918
|
|
10,684
|
|
22,044
|
|
64.5 %
|
|
(30.7) %
|
Loans and leases
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and
industrial
|
3,433,162
|
|
3,449,289
|
|
3,410,272
|
|
3,139,219
|
|
2,927,175
|
|
(0.5) %
|
|
17.3 %
|
Lease
financing
|
360,801
|
|
273,898
|
|
236,124
|
|
176,072
|
|
146,639
|
|
31.7 %
|
|
146.0 %
|
Construction
real estate
|
536,464
|
|
525,906
|
|
512,050
|
|
489,446
|
|
449,734
|
|
2.0 %
|
|
19.3 %
|
Commercial real
estate
|
4,048,460
|
|
4,056,627
|
|
4,052,759
|
|
3,976,345
|
|
4,007,037
|
|
(0.2) %
|
|
1.0 %
|
Residential real
estate
|
1,221,484
|
|
1,145,069
|
|
1,092,265
|
|
1,024,596
|
|
965,387
|
|
6.7 %
|
|
26.5 %
|
Home
equity
|
728,711
|
|
724,672
|
|
733,791
|
|
737,318
|
|
725,700
|
|
0.6 %
|
|
0.4 %
|
Installment
|
165,216
|
|
204,372
|
|
209,895
|
|
202,267
|
|
146,680
|
|
(19.2) %
|
|
12.6 %
|
Credit
card
|
55,911
|
|
53,552
|
|
51,815
|
|
52,173
|
|
52,065
|
|
4.4 %
|
|
7.4 %
|
Total loans
|
10,550,209
|
|
10,433,385
|
|
10,298,971
|
|
9,797,436
|
|
9,420,417
|
|
1.1 %
|
|
12.0 %
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses
|
(148,646)
|
|
(141,591)
|
|
(132,977)
|
|
(124,096)
|
|
(117,885)
|
|
5.0 %
|
|
26.1 %
|
Net loans
|
10,401,563
|
|
10,291,794
|
|
10,165,994
|
|
9,673,340
|
|
9,302,532
|
|
1.1 %
|
|
11.8 %
|
Premises and
equipment
|
192,077
|
|
188,959
|
|
189,080
|
|
189,067
|
|
191,099
|
|
1.7 %
|
|
0.5 %
|
Operating leases
|
132,272
|
|
153,986
|
|
91,738
|
|
84,851
|
|
82,659
|
|
(14.1) %
|
|
60.0 %
|
Goodwill
|
1,005,828
|
|
1,005,738
|
|
1,001,507
|
|
998,422
|
|
999,959
|
|
0.0 %
|
|
0.6 %
|
Other intangibles
|
88,662
|
|
91,169
|
|
93,919
|
|
96,528
|
|
99,019
|
|
(2.7) %
|
|
(10.5) %
|
Accrued interest and other
assets
|
1,078,186
|
|
1,076,033
|
|
1,220,648
|
|
1,280,427
|
|
995,091
|
|
0.2 %
|
|
8.4 %
|
Total
Assets
|
$
17,090,149
|
|
$ 16,933,884
|
|
$
17,003,316
|
|
$ 16,623,793
|
|
$
16,243,714
|
|
0.9 %
|
|
5.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
demand
|
$
2,919,472
|
|
$
2,761,811
|
|
$
3,037,153
|
|
$
2,980,465
|
|
$
3,096,365
|
|
5.7 %
|
|
(5.7) %
|
Savings
|
3,785,445
|
|
3,746,403
|
|
3,828,139
|
|
3,980,020
|
|
4,029,717
|
|
1.0 %
|
|
(6.1) %
|
Time
|
2,484,780
|
|
2,336,368
|
|
1,700,705
|
|
1,242,412
|
|
1,026,918
|
|
6.4 %
|
|
142.0 %
|
Total interest-bearing deposits
|
9,189,697
|
|
8,844,582
|
|
8,565,997
|
|
8,202,897
|
|
8,153,000
|
|
3.9 %
|
|
12.7 %
|
Noninterest-bearing
|
3,605,181
|
|
3,830,102
|
|
4,135,180
|
|
4,137,038
|
|
4,124,111
|
|
(5.9) %
|
|
(12.6) %
|
Total deposits
|
12,794,878
|
|
12,674,684
|
|
12,701,177
|
|
12,339,935
|
|
12,277,111
|
|
0.9 %
|
|
4.2 %
|
Federal funds purchased and
securities sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
under agreements to repurchase
|
0
|
|
0
|
|
0
|
|
3,535
|
|
0
|
|
0.0 %
|
|
0.0 %
|
FHLB short-term
borrowings
|
1,050,300
|
|
1,089,400
|
|
1,130,000
|
|
972,600
|
|
896,000
|
|
(3.6) %
|
|
17.2 %
|
Other
|
165,983
|
|
128,160
|
|
157,156
|
|
184,912
|
|
152,226
|
|
29.5 %
|
|
9.0 %
|
Total short-term borrowings
|
1,216,283
|
|
1,217,560
|
|
1,287,156
|
|
1,161,047
|
|
1,048,226
|
|
(0.1) %
|
|
16.0 %
|
Long-term debt
|
339,963
|
|
342,647
|
|
346,672
|
|
355,116
|
|
358,578
|
|
(0.8) %
|
|
(5.2) %
|
Total borrowed funds
|
1,556,246
|
|
1,560,207
|
|
1,633,828
|
|
1,516,163
|
|
1,406,804
|
|
(0.3) %
|
|
10.6 %
|
Accrued interest and other
liabilities
|
595,606
|
|
577,497
|
|
626,938
|
|
773,563
|
|
491,129
|
|
3.1 %
|
|
21.3 %
|
Total
Liabilities
|
14,946,730
|
|
14,812,388
|
|
14,961,943
|
|
14,629,661
|
|
14,175,044
|
|
0.9 %
|
|
5.4 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock
|
1,632,659
|
|
1,629,428
|
|
1,634,605
|
|
1,631,696
|
|
1,637,237
|
|
0.2 %
|
|
(0.3) %
|
Retained earnings
|
1,060,715
|
|
1,016,893
|
|
968,237
|
|
920,943
|
|
887,006
|
|
4.3 %
|
|
19.6 %
|
Accumulated other
comprehensive income (loss)
|
(353,010)
|
|
(328,059)
|
|
(358,663)
|
|
(354,570)
|
|
(243,328)
|
|
7.6 %
|
|
45.1 %
|
Treasury stock, at
cost
|
(196,945)
|
|
(196,766)
|
|
(202,806)
|
|
(203,937)
|
|
(212,245)
|
|
0.1 %
|
|
(7.2) %
|
Total
Shareholders' Equity
|
2,143,419
|
|
2,121,496
|
|
2,041,373
|
|
1,994,132
|
|
2,068,670
|
|
1.0 %
|
|
3.6 %
|
Total
Liabilities and Shareholders' Equity
|
$
17,090,149
|
|
$ 16,933,884
|
|
$
17,003,316
|
|
$ 16,623,793
|
|
$
16,243,714
|
|
0.9 %
|
|
5.2 %
|
|
FIRST FINANCIAL BANCORP.
|
AVERAGE CONSOLIDATED STATEMENTS OF
CONDITION
|
(Dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Quarterly
Averages
|
|
Year-to-Date
Averages
|
|
June 30,
|
|
Mar. 31,
|
|
Dec. 31,
|
|
Sep. 30,
|
|
June 30,
|
|
June 30,
|
|
2023
|
|
2023
|
|
2022
|
|
2022
|
|
2022
|
|
2023
|
|
2022
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
$ 221,527
|
|
$ 218,724
|
|
$ 218,216
|
|
$ 228,068
|
|
$ 248,463
|
|
$ 220,133
|
|
$ 244,887
|
Interest-bearing deposits
with other banks
|
329,584
|
|
318,026
|
|
372,054
|
|
317,146
|
|
294,136
|
|
323,837
|
|
284,006
|
Investment
securities
|
3,560,453
|
|
3,635,317
|
|
3,705,304
|
|
4,003,472
|
|
4,118,287
|
|
3,597,678
|
|
4,212,649
|
Loans held for
sale
|
11,856
|
|
5,531
|
|
8,639
|
|
12,283
|
|
15,446
|
|
8,711
|
|
15,517
|
Loans and leases
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and
industrial
|
3,469,683
|
|
3,456,681
|
|
3,249,252
|
|
3,040,547
|
|
2,884,373
|
|
3,463,218
|
|
2,810,901
|
Lease
financing
|
323,819
|
|
252,219
|
|
203,790
|
|
158,667
|
|
134,334
|
|
288,217
|
|
125,070
|
Construction
real estate
|
518,190
|
|
536,294
|
|
501,787
|
|
469,489
|
|
460,609
|
|
527,192
|
|
467,406
|
Commercial real
estate
|
4,050,946
|
|
4,017,021
|
|
4,028,944
|
|
3,969,935
|
|
4,025,493
|
|
4,034,077
|
|
4,081,969
|
Residential real
estate
|
1,181,053
|
|
1,115,889
|
|
1,066,859
|
|
998,476
|
|
936,165
|
|
1,148,651
|
|
919,956
|
Home
equity
|
726,333
|
|
728,185
|
|
735,039
|
|
728,791
|
|
716,219
|
|
727,254
|
|
710,001
|
Installment
|
172,147
|
|
205,934
|
|
208,484
|
|
164,063
|
|
140,145
|
|
188,947
|
|
132,902
|
Credit
card
|
59,478
|
|
55,548
|
|
56,325
|
|
54,946
|
|
55,036
|
|
57,524
|
|
53,854
|
Total loans
|
10,501,649
|
|
10,367,771
|
|
10,050,480
|
|
9,584,914
|
|
9,352,374
|
|
10,435,080
|
|
9,302,059
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses
|
(145,578)
|
|
(136,419)
|
|
(127,541)
|
|
(119,000)
|
|
(123,950)
|
|
(141,024)
|
|
(126,760)
|
Net loans
|
10,356,071
|
|
10,231,352
|
|
9,922,939
|
|
9,465,914
|
|
9,228,424
|
|
10,294,056
|
|
9,175,299
|
Premises and
equipment
|
190,583
|
|
190,346
|
|
189,342
|
|
190,738
|
|
191,895
|
|
190,465
|
|
192,361
|
Operating leases
|
138,725
|
|
107,092
|
|
88,365
|
|
83,970
|
|
73,862
|
|
122,996
|
|
67,614
|
Goodwill
|
1,005,791
|
|
1,005,713
|
|
998,575
|
|
999,690
|
|
999,958
|
|
1,005,752
|
|
1,000,097
|
Other intangibles
|
89,878
|
|
92,587
|
|
95,256
|
|
97,781
|
|
100,354
|
|
91,225
|
|
101,686
|
Accrued interest and other
assets
|
1,063,587
|
|
1,138,311
|
|
1,168,908
|
|
986,927
|
|
915,153
|
|
1,100,743
|
|
891,335
|
Total
Assets
|
$
16,968,055
|
|
$ 16,942,999
|
|
$
16,767,598
|
|
$
16,385,989
|
|
$
16,185,978
|
|
$
16,955,596
|
|
$
16,185,451
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
demand
|
$
2,906,855
|
|
$
2,906,712
|
|
$
3,103,091
|
|
$
3,105,547
|
|
$
3,180,846
|
|
$
2,906,784
|
|
$
3,213,700
|
Savings
|
3,749,902
|
|
3,818,807
|
|
3,943,342
|
|
4,036,565
|
|
4,076,380
|
|
3,784,164
|
|
4,110,806
|
Time
|
2,393,707
|
|
2,131,707
|
|
1,360,681
|
|
1,052,669
|
|
1,055,650
|
|
2,263,431
|
|
1,142,973
|
Total interest-bearing deposits
|
9,050,464
|
|
8,857,226
|
|
8,407,114
|
|
8,194,781
|
|
8,312,876
|
|
8,954,379
|
|
8,467,479
|
Noninterest-bearing
|
3,663,419
|
|
3,954,915
|
|
4,225,192
|
|
4,176,242
|
|
4,224,842
|
|
3,808,362
|
|
4,192,687
|
Total deposits
|
12,713,883
|
|
12,812,141
|
|
12,632,306
|
|
12,371,023
|
|
12,537,718
|
|
12,762,741
|
|
12,660,166
|
Federal funds purchased and
securities sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
under agreements to repurchase
|
21,881
|
|
26,380
|
|
16,167
|
|
32,637
|
|
24,229
|
|
24,118
|
|
34,735
|
FHLB short-term
borrowings
|
1,028,207
|
|
925,144
|
|
944,320
|
|
892,786
|
|
586,846
|
|
976,960
|
|
423,232
|
Other
|
132,088
|
|
139,195
|
|
184,439
|
|
131,237
|
|
109,353
|
|
135,622
|
|
71,535
|
Total short-term borrowings
|
1,182,176
|
|
1,090,719
|
|
1,144,926
|
|
1,056,660
|
|
720,428
|
|
1,136,700
|
|
529,502
|
Long-term debt
|
341,523
|
|
343,619
|
|
344,162
|
|
350,058
|
|
359,168
|
|
342,565
|
|
372,132
|
Total borrowed
funds
|
1,523,699
|
|
1,434,338
|
|
1,489,088
|
|
1,406,718
|
|
1,079,596
|
|
1,479,265
|
|
901,634
|
Accrued interest and other
liabilities
|
592,708
|
|
614,310
|
|
636,640
|
|
519,069
|
|
468,994
|
|
603,449
|
|
461,416
|
Total
Liabilities
|
14,830,290
|
|
14,860,789
|
|
14,758,034
|
|
14,296,810
|
|
14,086,308
|
|
14,845,455
|
|
14,023,216
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock
|
1,631,230
|
|
1,633,396
|
|
1,632,941
|
|
1,631,078
|
|
1,635,990
|
|
1,632,307
|
|
1,637,149
|
Retained earnings
|
1,034,092
|
|
989,777
|
|
941,987
|
|
899,524
|
|
866,910
|
|
1,012,057
|
|
854,351
|
Accumulated other
comprehensive loss
|
(330,263)
|
|
(339,450)
|
|
(361,284)
|
|
(236,566)
|
|
(190,949)
|
|
(334,831)
|
|
(115,120)
|
Treasury stock, at
cost
|
(197,294)
|
|
(201,513)
|
|
(204,080)
|
|
(204,857)
|
|
(212,281)
|
|
(199,392)
|
|
(214,145)
|
Total
Shareholders' Equity
|
2,137,765
|
|
2,082,210
|
|
2,009,564
|
|
2,089,179
|
|
2,099,670
|
|
2,110,141
|
|
2,162,235
|
Total
Liabilities and Shareholders' Equity
|
$
16,968,055
|
|
$ 16,942,999
|
|
$
16,767,598
|
|
$
16,385,989
|
|
$
16,185,978
|
|
$
16,955,596
|
|
$
16,185,451
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FIRST FINANCIAL BANCORP.
|
NET INTEREST MARGIN RATE/VOLUME
ANALYSIS
|
(Dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Quarterly
Averages
|
|
Year-to-Date
Averages
|
|
|
June 30,
2023
|
|
March 31,
2023
|
|
June 30,
2022
|
|
June 30,
2023
|
|
June 30,
2022
|
|
|
Balance
|
|
Interest
|
|
Yield
|
|
Balance
|
|
Interest
|
|
Yield
|
|
Balance
|
|
Interest
|
|
Yield
|
|
Balance
|
|
Yield
|
|
Balance
|
|
Yield
|
Earning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
securities
|
|
$
3,560,453
|
|
$
35,575
|
|
4.01 %
|
|
$
3,635,317
|
|
$ 35,331
|
|
3.94 %
|
|
$
4,118,287
|
|
$ 28,555
|
|
2.78 %
|
|
$
3,597,678
|
|
3.97 %
|
|
$
4,212,649
|
|
2.64 %
|
Interest-bearing
deposits with other banks
|
|
329,584
|
|
3,933
|
|
4.79 %
|
|
318,026
|
|
3,544
|
|
4.52 %
|
|
294,136
|
|
505
|
|
0.69 %
|
|
323,837
|
|
4.66 %
|
|
284,006
|
|
0.44 %
|
Gross loans (1)
|
|
10,513,505
|
|
184,387
|
|
7.03 %
|
|
10,373,302
|
|
169,706
|
|
6.63 %
|
|
9,367,820
|
|
97,091
|
|
4.16 %
|
|
10,443,791
|
|
6.84 %
|
|
9,317,576
|
|
3.99 %
|
Total earning
assets
|
|
14,403,542
|
|
223,895
|
|
6.23 %
|
|
14,326,645
|
|
208,581
|
|
5.90 %
|
|
13,780,243
|
|
126,151
|
|
3.67 %
|
|
14,365,306
|
|
6.07 %
|
|
13,814,231
|
|
3.50 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonearning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses
|
|
(145,578)
|
|
|
|
|
|
(136,419)
|
|
|
|
|
|
(123,950)
|
|
|
|
|
|
(141,024)
|
|
|
|
(126,760)
|
|
|
Cash
and due from banks
|
|
221,527
|
|
|
|
|
|
218,724
|
|
|
|
|
|
248,463
|
|
|
|
|
|
220,133
|
|
|
|
244,887
|
|
|
Accrued interest and other assets
|
|
2,488,564
|
|
|
|
|
|
2,534,049
|
|
|
|
|
|
2,281,222
|
|
|
|
|
|
2,511,181
|
|
|
|
2,253,093
|
|
|
Total
assets
|
|
$ 16,968,055
|
|
|
|
|
|
$ 16,942,999
|
|
|
|
|
|
$ 16,185,978
|
|
|
|
|
|
$ 16,955,596
|
|
|
|
$ 16,185,451
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
demand
|
|
$
2,906,855
|
|
$
8,351
|
|
1.15 %
|
|
$
2,906,712
|
|
$
6,604
|
|
0.92 %
|
|
$
3,180,846
|
|
$
842
|
|
0.11 %
|
|
$
2,906,784
|
|
1.04 %
|
|
$
3,213,700
|
|
0.08 %
|
Savings
|
|
3,749,902
|
|
14,055
|
|
1.50 %
|
|
3,818,807
|
|
7,628
|
|
0.81 %
|
|
4,076,380
|
|
1,003
|
|
0.10 %
|
|
3,784,164
|
|
1.16 %
|
|
4,110,806
|
|
0.09 %
|
Time
|
|
2,393,707
|
|
21,886
|
|
3.67 %
|
|
2,131,707
|
|
17,224
|
|
3.28 %
|
|
1,055,650
|
|
1,118
|
|
0.42 %
|
|
2,263,431
|
|
3.48 %
|
|
1,142,973
|
|
0.42 %
|
Total interest-bearing deposits
|
|
9,050,464
|
|
44,292
|
|
1.96 %
|
|
8,857,226
|
|
31,456
|
|
1.44 %
|
|
8,312,876
|
|
2,963
|
|
0.14 %
|
|
8,954,379
|
|
1.71 %
|
|
8,467,479
|
|
0.13 %
|
Borrowed funds
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
1,182,176
|
|
15,536
|
|
5.27 %
|
|
1,090,719
|
|
12,950
|
|
4.82 %
|
|
720,428
|
|
1,566
|
|
0.87 %
|
|
1,136,700
|
|
5.05 %
|
|
529,502
|
|
0.72 %
|
Long-term
debt
|
|
341,523
|
|
4,835
|
|
5.68 %
|
|
343,619
|
|
4,857
|
|
5.73 %
|
|
359,168
|
|
4,612
|
|
5.15 %
|
|
342,565
|
|
5.71 %
|
|
372,132
|
|
4.96 %
|
Total
borrowed funds
|
|
1,523,699
|
|
20,371
|
|
5.36 %
|
|
1,434,338
|
|
17,807
|
|
5.03 %
|
|
1,079,596
|
|
6,178
|
|
2.30 %
|
|
1,479,265
|
|
5.20 %
|
|
901,634
|
|
2.47 %
|
Total
interest-bearing liabilities
|
|
10,574,163
|
|
64,663
|
|
2.45 %
|
|
10,291,564
|
|
49,263
|
|
1.94 %
|
|
9,392,472
|
|
9,141
|
|
0.39 %
|
|
10,433,644
|
|
2.20 %
|
|
9,369,113
|
|
0.36 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing demand deposits
|
|
3,663,419
|
|
|
|
|
|
3,954,915
|
|
|
|
|
|
4,224,842
|
|
|
|
|
|
3,808,362
|
|
|
|
4,192,687
|
|
|
Other liabilities
|
|
592,708
|
|
|
|
|
|
614,310
|
|
|
|
|
|
468,994
|
|
|
|
|
|
603,449
|
|
|
|
461,416
|
|
|
Shareholders' equity
|
|
2,137,765
|
|
|
|
|
|
2,082,210
|
|
|
|
|
|
2,099,670
|
|
|
|
|
|
2,110,141
|
|
|
|
2,162,235
|
|
|
Total
liabilities & shareholders' equity
|
|
$ 16,968,055
|
|
|
|
|
|
$ 16,942,999
|
|
|
|
|
|
$ 16,185,978
|
|
|
|
|
|
$ 16,955,596
|
|
|
|
$ 16,185,451
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$
159,232
|
|
|
|
|
|
$
159,318
|
|
|
|
|
|
$
117,010
|
|
|
|
|
|
$
318,550
|
|
|
|
$
223,355
|
|
|
Net interest
spread
|
|
|
|
|
|
3.78 %
|
|
|
|
|
|
3.96 %
|
|
|
|
|
|
3.28 %
|
|
|
|
3.87 %
|
|
|
|
3.14 %
|
Net interest
margin
|
|
|
|
|
|
4.43 %
|
|
|
|
|
|
4.51 %
|
|
|
|
|
|
3.41 %
|
|
|
|
4.47 %
|
|
|
|
3.26 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax equivalent
adjustment
|
|
|
|
|
|
0.05 %
|
|
|
|
|
|
0.04 %
|
|
|
|
|
|
0.04 %
|
|
|
|
0.04 %
|
|
|
|
0.05 %
|
Net interest margin
(fully tax equivalent)
|
|
|
|
|
|
4.48 %
|
|
|
|
|
|
4.55 %
|
|
|
|
|
|
3.45 %
|
|
|
|
4.51 %
|
|
|
|
3.31 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Loans held for sale and nonaccrual
loans are included in gross loans.
|
|
|
FIRST FINANCIAL BANCORP.
|
NET INTEREST MARGIN RATE/VOLUME ANALYSIS
(1)
|
(Dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Linked Qtr.
Income Variance
|
|
Comparable Qtr.
Income Variance
|
|
Year-to-Date Income
Variance
|
|
|
Rate
|
|
Volume
|
|
Total
|
|
Rate
|
|
Volume
|
|
Total
|
|
Rate
|
|
Volume
|
|
Total
|
Earning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities
|
|
$
593
|
|
$
(349)
|
|
$
244
|
|
$
12,594
|
|
$
(5,574)
|
|
$ 7,020
|
|
$
27,944
|
|
$
(12,120)
|
|
$
15,824
|
Interest-bearing deposits with other banks
|
|
209
|
|
180
|
|
389
|
|
3,005
|
|
423
|
|
3,428
|
|
5,932
|
|
920
|
|
6,852
|
Gross loans (2)
|
|
10,223
|
|
4,458
|
|
14,681
|
|
67,203
|
|
20,093
|
|
87,296
|
|
131,636
|
|
38,184
|
|
169,820
|
Total earning
assets
|
|
11,025
|
|
4,289
|
|
15,314
|
|
82,802
|
|
14,942
|
|
97,744
|
|
165,512
|
|
26,984
|
|
192,496
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-bearing deposits
|
|
$
11,414
|
|
$ 1,422
|
|
$
12,836
|
|
$
37,719
|
|
$ 3,610
|
|
$
41,329
|
|
$
66,043
|
|
$ 4,119
|
|
$
70,162
|
Borrowed funds
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term borrowings
|
|
1,227
|
|
1,359
|
|
2,586
|
|
7,902
|
|
6,068
|
|
13,970
|
|
11,386
|
|
15,217
|
|
26,603
|
Long-term debt
|
|
(46)
|
|
24
|
|
(22)
|
|
473
|
|
(250)
|
|
223
|
|
1,373
|
|
(837)
|
|
536
|
Total borrowed
funds
|
|
1,181
|
|
1,383
|
|
2,564
|
|
8,375
|
|
5,818
|
|
14,193
|
|
12,759
|
|
14,380
|
|
27,139
|
Total
interest-bearing liabilities
|
|
12,595
|
|
2,805
|
|
15,400
|
|
46,094
|
|
9,428
|
|
55,522
|
|
78,802
|
|
18,499
|
|
97,301
|
Net interest income (1)
|
|
$
(1,570)
|
|
$ 1,484
|
|
$
(86)
|
|
$
36,708
|
|
$ 5,514
|
|
$
42,222
|
|
$
86,710
|
|
$ 8,485
|
|
$
95,195
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Not tax equivalent.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Loans held for sale and nonaccrual
loans are included in gross loans.
|
|
|
|
|
FIRST FINANCIAL BANCORP.
|
CREDIT QUALITY
|
(Dollars in
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Six months
ended,
|
|
June 30,
|
|
Mar. 31,
|
|
Dec. 31,
|
|
Sep. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
2023
|
|
2023
|
|
2022
|
|
2022
|
|
2022
|
|
2023
|
|
2022
|
ALLOWANCE FOR CREDIT LOSS
ACTIVITY
|
|
|
|
|
|
|
|
|
|
|
Balance at beginning of
period
|
$
141,591
|
|
$
132,977
|
|
$
124,096
|
|
$
117,885
|
|
$
124,130
|
|
$ 132,977
|
|
$ 131,992
|
Provision for
credit losses
|
12,719
|
|
8,644
|
|
8,689
|
|
7,898
|
|
(4,267)
|
|
21,363
|
|
(9,856)
|
Gross
charge-offs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial
|
2,372
|
|
730
|
|
334
|
|
1,947
|
|
773
|
|
3,102
|
|
3,618
|
Lease financing
|
90
|
|
13
|
|
0
|
|
13
|
|
8
|
|
103
|
|
139
|
Construction real estate
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
Commercial real estate
|
2,648
|
|
66
|
|
245
|
|
3
|
|
3,419
|
|
2,714
|
|
3,419
|
Residential real estate
|
20
|
|
0
|
|
79
|
|
119
|
|
4
|
|
20
|
|
26
|
Home
equity
|
21
|
|
91
|
|
72
|
|
45
|
|
22
|
|
112
|
|
43
|
Installment
|
1,515
|
|
1,524
|
|
717
|
|
294
|
|
361
|
|
3,039
|
|
538
|
Credit card
|
274
|
|
217
|
|
212
|
|
237
|
|
212
|
|
491
|
|
458
|
Total gross
charge-offs
|
6,940
|
|
2,641
|
|
1,659
|
|
2,658
|
|
4,799
|
|
9,581
|
|
8,241
|
Recoveries
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial
|
631
|
|
109
|
|
293
|
|
90
|
|
177
|
|
740
|
|
556
|
Lease financing
|
1
|
|
1
|
|
0
|
|
13
|
|
3
|
|
2
|
|
36
|
Construction real estate
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
Commercial real estate
|
153
|
|
2,238
|
|
1,327
|
|
561
|
|
2,194
|
|
2,391
|
|
2,416
|
Residential real estate
|
113
|
|
66
|
|
15
|
|
35
|
|
34
|
|
179
|
|
124
|
Home
equity
|
232
|
|
80
|
|
88
|
|
185
|
|
360
|
|
312
|
|
625
|
Installment
|
90
|
|
54
|
|
68
|
|
29
|
|
47
|
|
144
|
|
68
|
Credit card
|
56
|
|
63
|
|
60
|
|
58
|
|
6
|
|
119
|
|
165
|
Total
recoveries
|
1,276
|
|
2,611
|
|
1,851
|
|
971
|
|
2,821
|
|
3,887
|
|
3,990
|
Total net
charge-offs
|
5,664
|
|
30
|
|
(192)
|
|
1,687
|
|
1,978
|
|
5,694
|
|
4,251
|
Ending allowance for
credit losses
|
$
148,646
|
|
$
141,591
|
|
$
132,977
|
|
$
124,096
|
|
$
117,885
|
|
$ 148,646
|
|
$ 117,885
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES
(ANNUALIZED)
|
|
|
|
|
|
|
|
|
|
|
Commercial and
industrial
|
0.20 %
|
|
0.07 %
|
|
0.01 %
|
|
0.24 %
|
|
0.08 %
|
|
0.14 %
|
|
0.22 %
|
Lease
financing
|
0.11 %
|
|
0.02 %
|
|
0.00 %
|
|
0.00 %
|
|
0.01 %
|
|
0.07 %
|
|
0.17 %
|
Construction
real estate
|
0.00 %
|
|
0.00 %
|
|
0.00 %
|
|
0.00 %
|
|
0.00 %
|
|
0.00 %
|
|
0.00 %
|
Commercial real
estate
|
0.25 %
|
|
(0.22) %
|
|
(0.11) %
|
|
(0.06) %
|
|
0.12 %
|
|
0.02 %
|
|
0.05 %
|
Residential real
estate
|
(0.03) %
|
|
(0.02) %
|
|
0.02 %
|
|
0.03 %
|
|
(0.01) %
|
|
(0.03) %
|
|
(0.02) %
|
Home
equity
|
(0.12) %
|
|
0.01 %
|
|
(0.01) %
|
|
(0.08) %
|
|
(0.19) %
|
|
(0.06) %
|
|
(0.17) %
|
Installment
|
3.32 %
|
|
2.89 %
|
|
1.24 %
|
|
0.64 %
|
|
0.90 %
|
|
3.09 %
|
|
0.71 %
|
Credit
card
|
1.47 %
|
|
1.12 %
|
|
1.07 %
|
|
1.29 %
|
|
1.50 %
|
|
1.30 %
|
|
1.10 %
|
Total net
charge-offs
|
0.22 %
|
|
0.00 %
|
|
(0.01) %
|
|
0.07 %
|
|
0.08 %
|
|
0.11 %
|
|
0.09 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING
ASSETS, AND UNDERPERFORMING ASSETS
|
|
|
Nonaccrual loans
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial
|
$
21,508
|
|
$
13,971
|
|
$ 8,242
|
|
$ 8,719
|
|
$
11,675
|
|
$
21,508
|
|
$
11,675
|
Lease financing
|
4,833
|
|
175
|
|
178
|
|
199
|
|
217
|
|
4,833
|
|
217
|
Construction real estate
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
Commercial real estate
|
11,876
|
|
5,362
|
|
5,786
|
|
13,435
|
|
14,650
|
|
11,876
|
|
14,650
|
Residential real estate
|
11,697
|
|
11,129
|
|
10,691
|
|
10,250
|
|
8,879
|
|
11,697
|
|
8,879
|
Home
equity
|
3,239
|
|
3,399
|
|
3,123
|
|
3,445
|
|
3,331
|
|
3,239
|
|
3,331
|
Installment
|
568
|
|
544
|
|
603
|
|
279
|
|
170
|
|
568
|
|
170
|
Nonaccrual
loans
|
53,721
|
|
34,580
|
|
28,623
|
|
36,327
|
|
38,922
|
|
53,721
|
|
38,922
|
Accruing
troubled debt restructurings (TDRs) (2)
|
N/A
|
|
N/A
|
|
10,960
|
|
11,022
|
|
11,225
|
|
N/A
|
|
11,225
|
Total nonperforming loans
(2)
|
53,721
|
|
34,580
|
|
39,583
|
|
47,349
|
|
50,147
|
|
53,721
|
|
50,147
|
Other real
estate owned (OREO)
|
281
|
|
191
|
|
191
|
|
22
|
|
22
|
|
281
|
|
22
|
Total nonperforming assets
(2)
|
54,002
|
|
34,771
|
|
39,774
|
|
47,371
|
|
50,169
|
|
54,002
|
|
50,169
|
Accruing loans
past due 90 days or more
|
873
|
|
159
|
|
857
|
|
139
|
|
142
|
|
873
|
|
142
|
Total underperforming assets
(2)
|
$
54,875
|
|
$
34,930
|
|
$
40,631
|
|
$
47,510
|
|
$
50,311
|
|
$
54,875
|
|
$
50,311
|
Total classified assets
(2)
|
$
138,909
|
|
$
158,984
|
|
$
128,137
|
|
$
114,956
|
|
$
119,769
|
|
$ 138,909
|
|
$ 119,769
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY RATIOS
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit
losses to
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans
|
276.70 %
|
|
409.46 %
|
|
464.58 %
|
|
341.61 %
|
|
302.87 %
|
|
276.70 %
|
|
302.87 %
|
Nonperforming
loans
|
276.70 %
|
|
409.46 %
|
|
335.94 %
|
|
262.09 %
|
|
235.08 %
|
|
276.70 %
|
|
235.08 %
|
Total ending
loans
|
1.41 %
|
|
1.36 %
|
|
1.29 %
|
|
1.27 %
|
|
1.25 %
|
|
1.41 %
|
|
1.25 %
|
Nonperforming loans to
total loans
|
0.51 %
|
|
0.33 %
|
|
0.38 %
|
|
0.48 %
|
|
0.53 %
|
|
0.51 %
|
|
0.53 %
|
Nonaccrual loans to
total loans
|
0.51 %
|
|
0.33 %
|
|
0.28 %
|
|
0.37 %
|
|
0.41 %
|
|
0.51 %
|
|
0.41 %
|
Nonperforming assets
to
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending loans, plus
OREO
|
0.51 %
|
|
0.33 %
|
|
0.39 %
|
|
0.48 %
|
|
0.53 %
|
|
0.51 %
|
|
0.53 %
|
Total assets
|
0.32 %
|
|
0.21 %
|
|
0.23 %
|
|
0.28 %
|
|
0.31 %
|
|
0.32 %
|
|
0.31 %
|
Nonperforming assets,
excluding accruing TDRs to
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending loans, plus
OREO
|
0.51 %
|
|
0.33 %
|
|
0.28 %
|
|
0.37 %
|
|
0.41 %
|
|
0.51 %
|
|
0.41 %
|
Total assets
|
0.32 %
|
|
0.21 %
|
|
0.17 %
|
|
0.22 %
|
|
0.24 %
|
|
0.32 %
|
|
0.24 %
|
Classified assets to
total assets
|
0.81 %
|
|
0.94 %
|
|
0.75 %
|
|
0.69 %
|
|
0.74 %
|
|
0.81 %
|
|
0.74 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Nonaccrual loans include
nonaccrual TDRs of $10.0 million, $12.8 million, and $9.5 million,
as of December 31, 2022, September 30, 2022, and June 30, 2022,
respectively.
|
(2) Upon adoption of ASU 2022-02
as of January 1, 2023, the TDR model was eliminated.
Prospectively, disclosures will include modifications of loans to
borrowers experiencing financial difficulty (FDM). FDMs are
excluded from nonperforming, underperforming and classified
assets.
|
FIRST FINANCIAL BANCORP.
|
CAPITAL ADEQUACY
|
(Dollars in thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
Six months
ended,
|
|
June 30,
|
|
Mar. 31,
|
|
Dec. 31,
|
|
Sep. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
|
2023
|
|
2023
|
|
2022
|
|
2022
|
|
2022
|
|
2023
|
|
2022
|
PER COMMON SHARE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Market Price
|
|
|
|
|
|
|
|
|
|
|
|
|
|
High
|
$
22.27
|
|
$
26.24
|
|
$
26.68
|
|
$
23.75
|
|
$
23.03
|
|
$ 26.24
|
|
$ 26.73
|
Low
|
$
18.20
|
|
$
21.30
|
|
$
21.56
|
|
$
19.02
|
|
$
19.09
|
|
$ 18.20
|
|
$ 19.09
|
Close
|
$
20.44
|
|
$
21.77
|
|
$
24.23
|
|
$
21.08
|
|
$
19.40
|
|
$ 20.44
|
|
$ 19.40
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shares
outstanding - basic
|
93,924,068
|
|
93,732,532
|
|
93,590,674
|
|
93,582,250
|
|
93,555,131
|
|
93,828,829
|
|
93,470,005
|
Average shares
outstanding - diluted
|
95,169,348
|
|
94,960,158
|
|
94,831,788
|
|
94,793,766
|
|
94,449,817
|
|
95,065,334
|
|
94,357,392
|
Ending shares
outstanding
|
95,185,483
|
|
95,190,406
|
|
94,891,099
|
|
94,833,964
|
|
94,448,792
|
|
95,185,483
|
|
94,448,792
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total shareholders'
equity
|
$
2,143,419
|
|
$
2,121,496
|
|
$
2,041,373
|
|
$
1,994,132
|
|
$
2,068,670
|
|
$
2,143,419
|
|
$
2,068,670
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REGULATORY CAPITAL
|
Preliminary
|
|
|
|
|
|
|
|
|
|
Preliminary
|
|
|
Common equity tier 1
capital
|
$
1,481,913
|
|
$
1,432,332
|
|
$
1,399,420
|
|
$
1,348,413
|
|
$
1,307,259
|
|
$
1,481,913
|
|
$
1,307,259
|
Common equity tier 1
capital ratio
|
11.30 %
|
|
11.00 %
|
|
10.83 %
|
|
10.82 %
|
|
10.91 %
|
|
11.30 %
|
|
10.91 %
|
Tier 1
capital
|
$
1,526,362
|
|
$
1,476,734
|
|
$
1,443,698
|
|
$
1,392,565
|
|
$
1,351,287
|
|
$
1,526,362
|
|
$
1,351,287
|
Tier 1 ratio
|
11.64 %
|
|
11.34 %
|
|
11.17 %
|
|
11.17 %
|
|
11.28 %
|
|
11.64 %
|
|
11.28 %
|
Total
capital
|
$
1,828,737
|
|
$
1,778,917
|
|
$
1,762,971
|
|
$
1,711,741
|
|
$
1,670,367
|
|
$
1,828,737
|
|
$
1,670,367
|
Total capital
ratio
|
13.94 %
|
|
13.66 %
|
|
13.64 %
|
|
13.73 %
|
|
13.94 %
|
|
13.94 %
|
|
13.94 %
|
Total capital in excess
of minimum requirement
|
$
451,297
|
|
$
411,234
|
|
$
406,032
|
|
$
402,662
|
|
$
412,167
|
|
$
451,297
|
|
$ 412,167
|
Total risk-weighted
assets
|
$
13,118,477
|
|
$
13,025,552
|
|
$
12,923,233
|
|
$
12,467,422
|
|
$
11,982,860
|
|
$
13,118,477
|
|
$
11,982,860
|
Leverage
ratio
|
9.33 %
|
|
9.03 %
|
|
8.89 %
|
|
8.88 %
|
|
8.76 %
|
|
9.33 %
|
|
8.76 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER CAPITAL RATIOS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending shareholders'
equity to ending assets
|
12.54 %
|
|
12.53 %
|
|
12.01 %
|
|
12.00 %
|
|
12.74 %
|
|
12.54 %
|
|
12.74 %
|
Ending tangible
shareholders' equity to ending tangible assets
(1)
|
6.56 %
|
|
6.47 %
|
|
5.95 %
|
|
5.79 %
|
|
6.40 %
|
|
6.56 %
|
|
6.40 %
|
Average shareholders'
equity to average assets
|
12.60 %
|
|
12.29 %
|
|
11.98 %
|
|
12.75 %
|
|
12.97 %
|
|
12.45 %
|
|
13.36 %
|
Average tangible
shareholders' equity to average tangible assets
(1)
|
6.57 %
|
|
6.21 %
|
|
5.84 %
|
|
6.49 %
|
|
6.62 %
|
|
6.39 %
|
|
7.03 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REPURCHASE PROGRAM
(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares
repurchased
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
Average share
repurchase price
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
Total cost of shares
repurchased
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Non-GAAP measure. For details
on the calculation of these non-GAAP financial measures and a
reconciliation to the GAAP financial measure, see the sections
titled "Use of Non-GAAP Financial Measures" in this release and
"Appendix: Non-GAAP to GAAP Reconciliation" in the accompanying
slide presentation.
|
(2) Represents share repurchases as part
of publicly announced plans.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
N/A = Not
applicable
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View original
content:https://www.prnewswire.com/news-releases/first-financial-bancorp-announces-second-quarter-2023-financial-results-301882430.html
SOURCE First Financial Bancorp.