• First Commonwealth Announces First Quarter 2025 Earnings; Increases Quarterly Dividend

    Source: Nasdaq GlobeNewswire / 29 Apr 2025 07:00:01   America/New_York

    INDIANA, Pa., April 29, 2025 (GLOBE NEWSWIRE) -- First Commonwealth Financial Corporation (NYSE: FCF) today announced financial results for the first quarter of 2025.

    Financial Summary

    (dollars in thousands,For the Three Months Ended
    except per share data)March 31, December 31, March 31,
      2025   2024   2024 
    Reported Results     
    Net income$32,696  $35,849  $37,549 
    Diluted earnings per share$0.32  $0.35  $0.37 
    Return on average assets 1.14%  1.23%  1.31%
    Return on average equity 9.28%  10.16%  11.40%
          
    Operating Results (non-GAAP)(1)     
    Core net income$32,779  $36,067  $37,639 
    Core diluted earnings per share$0.32  $0.35  $0.37 
    Core pre-tax pre-provision net revenue$46,879  $51,388  $50,833 
    Provision expense$5,736  $6,490  $4,238 
    Net charge-offs$3,098  $13,691  $4,302 
    Reserve build/(release)(2)$1,025  $(7,206) $1,380 
    Core return on average assets (ROAA) 1.14%  1.23%  1.31%
    Core pre-tax pre-provision ROAA 1.63%  1.76%  1.77%
    Return on average tangible common equity 13.02%  14.40%  16.51%
    Core return on average tangible common equity 13.05%  14.48%  16.54%
    Core efficiency ratio 59.08%  56.07%  55.05%
    Net interest margin (FTE) 3.62%  3.54%  3.52%
     
    (1) Core operating results are a non-GAAP measure used by management to measure performance in operating the business that management believes enhances investors' ability to better understand the underlying business performance and trends related to core business activities. A full reconciliation of non-GAAP financial measures may be found at the end of the financial statements which accompany this release.
    (2) Reserve build/(release) represents the net change in the Company's allowance for credit losses (ACL) from the prior period.
     

    First Quarter 2025 Highlights

    Financial results

    • GAAP Net income of $32.7 million and diluted earnings per share totaled $0.32, a decrease of $3.2 million, or $0.03 per share from the prior quarter and a decrease of $4.9 million, or $0.05 per share from first quarter of 2024.
      • Core pre-tax pre-provision net revenue (PPNR)(1) totaled $46.9 million, a decrease of $4.5 million from the prior quarter and a decrease of $4.0 million from the first quarter of 2025. The decrease from the prior quarter was primarily as a result of a $2.8 million decrease in noninterest income
    • End of period loans increased $99.0 million, or 4.4% annualized from the previous quarter, driven by a $121.4 million increase in commercial loans offset by a $22.4 million decrease in consumer loans
      • Average loans increased $34.8 million, or 1.6% annualized from the previous quarter
    • End of period deposits increased $183.6 million, or 7.7% annualized from the previous quarter, including a $214.8 million increase in savings deposits and a $24.2 million increase in noninterest bearing deposits, which together offset a $27.9 million decrease in time deposits and a $27.5 million decrease in interest-bearing demand deposits
      • Average deposits increased $58.8 million, or 2.5% annualized from the previous quarter
    • The loan-to-deposit ratio decreased 73 basis points to 92.6% in the first quarter of 2025
    • Net interest income (FTE) of $95.9 million increased $0.4 million from the previous quarter and increased $3.2 million from the first quarter of 2024
    • Noninterest income of $22.5 million decreased $2.8 million from the previous quarter due, in part, to a $1.0 million decrease in gain on sale of Small Business Administration (“SBA”) loans
    • Noninterest expense (excluding merger-related expense) of $71.1 million increased $2.1 million from the previous quarter, due primarily to a $2.4 million increase in salaries and benefits
    • Tangible book value per share increased $0.40, or 16.3% annualized from the previous quarter
      • Total shareholders’ equity increased $41.9 million from the previous quarter, due in part to a $21.3 million decrease in unrealized losses in accumulated other comprehensive income (AOCI) from the previous quarter
      • AOCI as a percentage of tangible common equity decreased 240 basis points to 7.63% in the first quarter of 2025

    Profitability

    • The net interest margin of 3.62% increased 8 basis points compared to the prior quarter and increased 10 basis points from the first quarter of 2024
    • The core efficiency ratio(1) increased by 301 basis points to 59.08% compared to the prior quarter
    • The core ROAA decreased 9 basis points to 1.14% compared to the prior quarter
    • Core pre-tax pre-provision ROAA(1) of 1.63% for the quarter ended March 31, 2025

    Strong capital positions

    • On April 29, 2025, the Board of Directors authorized a 3.9% increase in the quarterly cash dividend to shareholders
    • The Bank-level Total Capital Ratio is 13.6%, which represents $342.0 million in excess capital above the regulatory “well capitalized” requirement of 6.5%
    • There were no shares repurchased in the first quarter of 2025. The remaining capacity under the current program was $6.7 million as of March 31, 2025

    Asset quality

    • The total provision for credit losses was $5.7 million, a decrease of $0.8 million from the previous quarter.
    • Reserve build/(release)(2) was $1.0 million, which resulted in reserves to total loans of 1.32%, which is unchanged from the previous quarter
    • Nonperforming loans of $59.4 million decreased $2.1 million from the previous quarter
    • Net charge-offs on loans totaled $3.1 million, a decrease of $10.6 million from the prior quarter; the prior quarter included approximately $8.0 million of net charge-offs for loans specifically reserved for in previous quarters
      • Net charge-offs as a percentage of average loans outstanding (annualized) was 0.14% in the first quarter of 2025, a decrease of 46 basis points from the previous quarter

    Franchise Growth

    • The company has received all required shareholder and regulatory approvals for its previously announced acquisition of CenterGroup Financial. This acquisition is expected to be completed on April 30, 2025.

    "We are pleased to report a strong start to 2025, with robust growth in the first quarter. Our annualized loan growth of 4.4% reflects good momentum in our commercial lending and indirect auto businesses, while end of period deposits increased by an impressive 7.7% annualized from the prior quarter,” stated T. Michael Price, President and Chief Executive Officer. “As we look ahead, I am thrilled to welcome CenterBank’s employees and customers to the First Commonwealth family, with the acquisition set to close in the coming weeks. This strategic expansion strengthens our presence in Cincinnati and enhances our ability to deliver exceptional financial solutions across these markets."

    Earnings

    Net income for the first quarter of 2025 was $32.7 million, or $0.32 per share, compared to $35.8 million, or $0.35 per share in the fourth quarter of 2024 and $37.5 million, or $0.37 per share for the first quarter of 2024.

    Net Interest Income and Net Interest Margin

    Net interest income (FTE) of $95.9 million increased $0.4 million from the previous quarter and increased $3.2 million from the prior year quarter. The increase from the prior quarter was primarily due to a $34.8 million increase in average loans combined with expansion of the net interest margin (NIM).

    The NIM for the first quarter of 2025 was 3.62% as compared to 3.54% in the prior quarter and 3.52% in the year ago quarter. The increase from the prior quarter was primarily due to a 10 basis point decrease in the cost of funds that was only partially offset by a 5 basis point decrease in the yield on loans.

    Total average deposits grew $58.8 million in the first quarter of 2025 as compared to the previous quarter. Average interest-bearing demand and savings deposits grew $66.1 million and total time deposits increased $33.2 million from the prior quarter. The increase in interest bearing deposits was partially offset by a $40.5 million decrease in average noninterest-bearing deposits.

    End of period deposits increased $183.6 million, or 7.7% annualized from the previous quarter, including a $214.8 million increase in savings deposits and a $24.2 million increase in noninterest bearing deposits, which together offset a $27.9 million decrease in time deposits and a $27.5 million decrease in interest-bearing demand deposits.

    Asset Quality

    Provision for credit losses totaled $5.7 million in the first quarter of 2025 as compared to $6.5 million in the previous quarter. The decrease from the previous quarter was primarily driven by a $10.6 million decrease in net charge-offs. Net charge-offs in the previous quarter included $8.0 million of loans specifically provided for in prior quarters.

    The allowance for credit losses (ACL) as a percentage of end-of-period loans was 1.32% in the first quarter which was unchanged from the previous quarter.

    At March 31, 2025, nonperforming loans totaled $59.4 million as compared to $61.5 million in the prior quarter and $42.4 million in the first quarter of 2024.

    Nonperforming loans represented 0.65% of total loans as of March 31, 2025 as compared to 0.68% and 0.47% for the periods ended December 31, 2024 and March 31, 2024, respectively.

    At March 31, 2025, criticized loans totaled $190.5 million, a decrease of $33.7 million from the previous quarter.

    During the first quarter of 2025, net charge-offs were $3.1 million, compared to $13.7 million in the prior quarter and $4.3 million in the first quarter of 2024. Net charge-offs in the previous quarter were primarily driven by acquired loans, of which $8.0 million were specifically reserved for in prior periods.

    Net charge-offs were 0.14%, 0.61% and 0.19% of average loans (annualized) for the periods ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively.

    Noninterest Income and Noninterest Expense

    Noninterest income totaled $22.5 million for the first quarter of 2025, as compared to $25.3 million for the fourth quarter of 2024 and $24.0 million for the first quarter of 2024. There were no material securities gains during the current or comparable quarters.

    The $2.8 million decrease from the previous quarter was primarily driven by a $1.4 million gain on a limited partnership and donation of a branch facility in the previous quarter, a $1.0 million decrease in gain on sale of SBA loans and seasonally lower fees due to the number of days in the quarter.

    Noninterest expense (excluding merger-related) totaled $71.1 million for the first quarter of 2025, as compared to $69.0 million for the fourth quarter of 2024 and $65.5 million for the first quarter of 2024. The $2.1 million increase from the previous quarter was primarily the result of a $2.4 million increase in salaries and benefits and a $1.0 million increase in occupancy expense due to a $0.7 million increase in snow removal expense. Contributing to the higher salary expense in 2025 was a $1.8 million increase in incentive expense, of which $1.5 million was attributed to finalizing payments related to prior year volumes and performance.

    The core efficiency ratio was 59.08% during the first quarter of 2025 as compared to 56.07% in the previous quarter and 55.05% in the first quarter of 2024.

    Full time equivalent staff was 1,538, 1,512 and 1,465 at March 31, 2025, December 31, 2024 and March 31, 2024, respectively.

    Dividends and Capital

    First Commonwealth Financial Corporation declared a common stock quarterly dividend of $0.135 per share, which represents a 3.9% increase from the previous quarter. The cash dividend is payable on May 23, 2025 to shareholders of record as of May 9, 2025. This dividend represents a 3.5% projected annual yield utilizing the April 28, 2025 closing market price of $15.31.

    First Commonwealth’s capital ratios for Total, Tier I, Leverage and Common Equity Tier I at March 31, 2025 were 14.7%, 12.9%, 10.7% and 12.2% respectively. First Commonwealth’s current capital levels exceed the fully phased-in Basel III capital requirements issued by U.S. bank regulators.

    Conference Call

    First Commonwealth will host a quarterly conference call to discuss its financial results for the first quarter of 2025 on Wednesday, April 30, 2025 at 2:00 PM (ET). The call can be accessed by dialing (toll free) 1-888-330-3181 conference ID # 4651379 or through the company’s web page, http://www.fcbanking.com/InvestorRelations. A replay of the call will be available approximately one hour following the conclusion of the conference by dialing 1-800-770-2030 and entering the conference ID # 4651379. A link to the webcast replay will also be accessible on the company’s web.

    About First Commonwealth Financial Corporation

    First Commonwealth Financial Corporation (NYSE: FCF), headquartered in Indiana, Pennsylvania, is a financial services company with 125 community banking offices in 30 counties throughout western and central Pennsylvania and throughout Ohio, as well as commercial lending operations in Pittsburgh and Harrisburg, Pennsylvania, and Canton, Cleveland, Columbus and Cincinnati, Ohio. The company also operates mortgage offices in Wexford, Pennsylvania, as well as Hudson and Lewis Center, Ohio. First Commonwealth provides a full range of commercial banking, consumer banking, mortgage, equipment finance, wealth management and insurance products and services through its subsidiaries First Commonwealth Bank and First Commonwealth Insurance Agency. For more information about First Commonwealth or to open an account today, please visit www.fcbanking.com.

    Forward-Looking Statements

    Certain statements contained in this release that are not historical facts may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, notwithstanding that such statements are not specifically identified as such. In addition, certain statements may be contained in our future filings with the Securities and Exchange Commission, in press releases, and in oral and written statements made by us or with our approval that are not statements of historical fact and constitute “forward-looking statements” as well. These statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of words such as “may,” “will,” “should,” “could,” “would,” “plan,” “believe,” “expect,” “anticipate,” “intend,” “estimate” or words of similar meaning. These forward-looking statements are subject to significant risks, assumptions and uncertainties, and could be affected by many factors, including, but not limited to: (1) volatility and disruption in national and international financial markets; (2) the effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board; (3) inflation, interest rate, commodity price, securities market and monetary fluctuations; (4) the effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) with which First Commonwealth or its customers must comply; (5) the soundness of other financial institutions; (6) political instability; (7) impairment of First Commonwealth’s goodwill or other intangible assets; (8) acts of God or of war or terrorism; (9) the timely development and acceptance of new products and services and perceived overall value of these products and services by users; (10) changes in consumer spending, borrowings and savings habits; (11) changes in the financial performance and/or condition of First Commonwealth’s borrowers; (12) technological changes; (13) acquisitions and integration of acquired businesses; (14) First Commonwealth’s ability to attract and retain qualified employees; (15) changes in the competitive environment in First Commonwealth’s markets and among banking organizations and other financial service providers; (16) the ability to increase market share and control expenses; (17) the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters; (18) the reliability of First Commonwealth’s vendors, internal control systems or information systems; (19) the costs and effects of legal and regulatory developments, the resolution of legal proceedings or regulatory or other governmental inquiries, the results of regulatory examinations or reviews and the ability to obtain required regulatory approvals; and (20) other risks and uncertainties described in this report and in the other reports that we file with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K.

    In light of these risks, uncertainties and assumptions, you should not place undue reliance on any forward-looking statements in this release. We undertake no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    Media Relations:
    Ron Wahl
    Communications and Media Relations
    Phone: 724-463-6806
    E-mail: RWahl@fcbanking.com

    Investor Relations:
    Ryan M. Thomas
    Vice President / Finance and Investor Relations
    Phone: 724-463-1690
    E-mail: RThomas1@fcbanking.com


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)
     For the Three Months Ended
     March 31, December 31, March 31,
      2025   2024   2024 
    SUMMARY RESULTS OF OPERATIONS     
    Net interest income$95,522  $95,081  $92,304 
    Provision for credit losses 5,736   6,490   4,238 
    Noninterest income 22,502   25,335   23,988 
    Noninterest expense 71,250   69,304   65,573 
    Net income 32,696   35,849   37,549 
    Core net income (5) 32,779   36,067   37,639 
    Earnings per common share (diluted)$0.32  $0.35  $0.37 
    Core earnings per common share (diluted) (6)$0.32  $0.35  $0.37 
    KEY FINANCIAL RATIOS     
    Return on average assets 1.14%  1.23%  1.31%
    Core return on average assets (7) 1.14%  1.23%  1.31%
    Return on average assets, pre-provision, pre-tax 1.62%  1.75%  1.77%
    Core return on average assets, pre-provision, pre-tax 1.63%  1.76%  1.77%
    Return on average shareholders' equity 9.28%  10.16%  11.40%
    Return on average tangible common equity (8) 13.02%  14.40%  16.51%
    Core return on average tangible common equity (9) 13.05%  14.48%  16.54%
    Core efficiency ratio (2)(10) 59.08%  56.07%  55.05%
    Net interest margin (FTE) (1) 3.62%  3.54%  3.52%
          
    Book value per common share$14.20  $13.81  $13.03 
    Tangible book value per common share (11) 10.44   10.04   9.26 
    Market value per common share 15.54   16.92   13.92 
    Cash dividends declared per common share 0.130   0.130   0.125 
    ASSET QUALITY RATIOS     
    Nonperforming loans and leases as a percent of end-of-period loans and leases(3) 0.65%  0.68%  0.47%
    Nonperforming assets as a percent of total assets (3) 0.52%  0.55%  0.38%
    Net charge-offs as a percent of average loans and leases (annualized) (4) 0.14%  0.61%  0.19%
    Allowance for credit losses as a percent of nonperforming loans and leases (4) 201.89%  193.48%  280.59%
    Allowance for credit losses as a percent of end-of-period loans and leases (4) 1.32%  1.32%  1.32%
    CAPITAL RATIOS     
    Shareholders' equity as a percent of total assets 12.3%  12.1%  11.4%
    Tangible common equity as a percent of tangible assets (12) 9.3%  9.1%  8.4%
    Leverage Ratio 10.7%  10.6%  10.2%
    Risk Based Capital - Tier I 12.9%  12.9%  12.2%
    Risk Based Capital - Total 14.7%  14.6%  14.3%
    Common Equity - Tier I 12.2%  12.1%  11.4%
                


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)
     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024 2024 
    INCOME STATEMENT   
    Interest income$147,128 $149,996$145,462 
    Interest expense 51,606  54,915 53,158 
    Net Interest Income 95,522  95,081 92,304 
    Provision for credit losses 5,736  6,490 4,238 
    Net Interest Income after Provision for Credit Losses 89,786  88,591 88,066 
    Net securities (losses) gains (5,142) 1 — 
    Gain on VISA exchange 5,146  — — 
    Trust income 3,022  3,031 2,727 
    Service charges on deposit accounts 5,438  5,749 5,383 
    Insurance and retail brokerage commissions 3,170  2,654 2,651 
    Income from bank owned life insurance 1,502  1,418 1,294 
    Gain on sale of mortgage loans 1,387  1,645 1,328 
    Gain on sale of other loans and assets 1,388  3,076 2,051 
    Card-related interchange income 3,654  3,923 6,690 
    Derivative mark-to-market (153) 95 12 
    Swap fee income 835  797 — 
    Other income 2,255  2,946 1,852 
    Total Noninterest Income 22,502  25,335 23,988 
    Salaries and employee benefits 40,415  38,025 35,324 
    Net occupancy 5,729  4,769 5,334 
    Furniture and equipment 4,193  4,360 4,480 
    Data processing 3,817  4,039 3,824 
    Pennsylvania shares tax 1,337  1,968 1,202 
    Advertising and promotion 1,372  1,358 1,319 
    Intangible amortization 1,131  1,368 1,264 
    Other professional fees and services 1,620  1,557 1,242 
    FDIC insurance 1,379  1,436 1,613 
    Litigation and operational losses 793  920 997 
    Loss on sale or write-down of assets 215  99 143 
    Merger and acquisition 109  277 114 
    Other operating expenses 9,140  9,128 8,717 
    Total Noninterest Expense 71,250  69,304 65,573 
    Income before Income Taxes 41,038  44,622 46,481 
    Income tax provision 8,342  8,773 8,932 
    Net Income$32,696 $35,849$37,549 
        
    Shares Outstanding at End of Period 101,927,219  101,758,450 102,303,974 
    Average Shares Outstanding Assuming Dilution 101,859,825  101,963,018 102,198,899 
        


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited     
    (dollars in thousands)
          
     March 31, December 31, March 31,
      2025   2024   2024 
    BALANCE SHEET (Period End)     
    Assets     
    Cash and due from banks$118,792  $105,051  $77,179 
    Interest-bearing bank deposits 22,566   28,358   233,188 
    Securities available for sale, at fair value 1,186,438   1,178,577   1,049,108 
    Securities held to maturity, at amortized cost 519,029   405,639   464,708 
    Loans held for sale 41,587   51,991   31,895 
          
    Loans and leases 9,093,140   8,983,754   8,999,870 
    Allowance for credit losses (119,931)  (118,906)  (119,098)
    Net loans and leases 8,973,209   8,864,848   8,880,772 
          
    Goodwill and other intangibles 382,514   383,352   385,745 
    Other assets 542,263   567,120   571,813 
    Total Assets$11,786,398  $11,584,936  $11,694,408 
          
    Liabilities and Shareholders' Equity     
    Noninterest-bearing demand deposits$2,273,858  $2,249,615  $2,334,495 
          
    Interest-bearing demand deposits 661,094   688,596   637,908 
    Savings deposits 5,204,179   4,989,342   4,999,822 
    Time deposits 1,722,526   1,750,466   1,474,178 
    Total interest-bearing deposits 7,587,799   7,428,404   7,111,908 
          
    Total deposits 9,861,657   9,678,019   9,446,403 
          
    Short-term borrowings 77,515   80,139   546,541 
    Long-term borrowings 262,679   262,985   186,490 
    Total borrowings 340,194   343,124   733,031 
          
    Other liabilities 137,496   158,628   182,254 
    Shareholders' equity 1,447,051   1,405,165   1,332,720 
    Total Liabilities and Shareholders' Equity$11,786,398  $11,584,936  $11,694,408 
     


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands)
     For the Three Months Ended
     March 31,Yield/December 31,Yield/March 31,Yield/
      2025Rate 2024Rate 2024Rate
    NET INTEREST MARGIN     
           
    Assets      
    Loans and leases (FTE)(1)(3)$9,068,8725.92%$9,034,0965.97%$8,998,6495.95%
    Interest bearing bank deposits 76,8364.72% 58,4695.22% 112,4365.63%
    Securities (FTE)(1) 1,600,0473.58% 1,620,8233.43% 1,472,2373.05%
    Total Interest-Earning Assets (FTE) (1) 10,745,7555.57% 10,713,3885.58% 10,583,3225.54%
    Noninterest-earning assets 934,933  912,328  938,121 
    Total Assets$11,680,688 $11,625,716 $11,521,443 
           
    Liabilities and Shareholders' Equity      
    Interest-bearing demand and savings deposits$5,769,8982.13%$5,703,7632.22%$5,554,6562.11%
    Time deposits 1,763,4924.07% 1,730,2514.32% 1,386,9594.21%
    Short-term borrowings 50,7252.88% 98,1134.28% 595,8844.57%
    Long-term borrowings 262,8095.00% 252,0645.07% 186,5975.76%
    Total Interest-Bearing Liabilities 7,846,9242.67% 7,784,1912.81% 7,724,0962.77%
    Noninterest-bearing deposits 2,252,794  2,293,343  2,302,338 
    Other liabilities 151,957  144,153  169,683 
    Shareholders' equity 1,429,013  1,404,029  1,325,326 
    Total Noninterest-Bearing Funding Sources 3,833,764  3,841,525  3,797,347 
    Total Liabilities and Shareholders' Equity$11,680,688 $11,625,716 $11,521,443 
           
    Net Interest Margin (FTE) (annualized)(1) 3.62% 3.54% 3.52%
              


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands)   
     March 31,December 31,March 31,
      2025  2024  2024 
    Loan and Lease Portfolio Detail   
    Commercial Loan and Lease Portfolio:   
    Commercial, financial, agricultural and other$1,276,420 $1,250,669 $1,313,898 
    Commercial real estate 3,158,440  3,124,704  3,090,950 
    Equipment finance loans and leases 485,782  427,320  279,938 
    Real estate construction 478,833  475,367  520,320 
    Total Commercial 5,399,475  5,278,060  5,205,106 
        
    Consumer Loan Portfolio:   
    Closed-end mortgages 1,826,760  1,849,223  1,913,479 
    Home equity lines of credit 488,411  492,480  488,793 
    Real estate construction 9,869  8,017  39,047 
    Total Real Estate - Consumer 2,325,040  2,349,720  2,441,319 
        
    Auto & RV loans 1,296,567  1,280,645  1,277,212 
    Direct installment 24,962  25,935  26,731 
    Personal lines of credit 45,079  47,313  46,733 
    Student loans 2,017  2,081  2,769 
    Total Other Consumer 1,368,625  1,355,974  1,353,445 
    Total Consumer Portfolio 3,693,665  3,705,694  3,794,764 
    Total Portfolio Loans and Leases 9,093,140  8,983,754  8,999,870 
    Loans held for sale 41,587  51,991  31,895 
    Total Loans and Leases$9,134,727 $9,035,745 $9,031,765 
        
        
     March 31,December 31,March 31,
      2025  2024  2024 
    ASSET QUALITY DETAIL   
    Nonperforming Loans and Leases:   
    Loans and leases on nonaccrual basis$50,536 $45,827 $27,649 
    Loans on nonaccrual basis - Centric acquisition 8,869  15,629  14,797 
    Total Nonperforming Loans and Leases$59,405 $61,456 $42,446 
    Other real estate owned ("OREO") 1,270  895  368 
    Repossessions ("Repos") 621  792  1,442 
    Total Nonperforming Assets$61,296 $63,143 $44,256 
    Loans past due in excess of 90 days and still accruing 1,156  2,064  1,699 
    Classified loans and leases 88,929  96,296  89,284 
    Criticized loans and leases 190,510  224,175  211,857 
        
    Nonperforming assets as a percentage of total loans and leases, plus OREO and Repos (4) 0.67% 0.70% 0.49%
    Allowance for credit losses$119,931 $118,906 $119,098 
     


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands)
     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
    Net Charge-offs (Recoveries):   
    Commercial, financial, agricultural and other$329 $4,102 $2,242 
    Real estate construction —  1,057  (6)
    Commercial real estate 1,308  6,620  169 
    Residential real estate (29) (27) 21 
    Loans to individuals 1,490  1,939  1,876 
    Net Charge-offs$3,098 $13,691 $4,302 
        
    Net charge-offs as a percentage of average loans and leases outstanding (annualized) (4) 0.14% 0.61% 0.19%
    Provision for credit losses as a percentage of net charge-offs 185.15% 47.40% 98.51%
    Provision for credit losses$5,736 $6,490 $4,238 
              
    DEFINITIONS AND RECONCILIATION OF NON-GAAP MEASURES
    Note: Management believes that it is standard practice in the banking industry to present these non-GAAP measures. These measures provide useful information to management and investors by allowing them to make peer comparisons.
     
    (1) Net interest income has been computed on a fully taxable equivalent basis ("FTE") using the federal income tax statutory rate of 21%. 
    (2) Core efficiency ratio excludes from total revenue the impact of derivative mark-to-market and excludes from "total noninterest expense" the amortization of intangibles and any other unusual items deemed by management to not be related to normal operations, such as merger, acquisition and severance costs.
    (3) Includes held for sale loans.
    (4) Excludes held for sale loans.
     


     For the Three Months Ended
     March 31,December 31,March 31,
      2025 2024 2024 
        
    Interest income$        147,128        $        149,996        $        145,462         
    Adjustment to fully taxable equivalent basis (1)         335                 354                 323         
    Interest income adjusted to fully taxable equivalent basis (non-GAAP)         147,463                 150,350                 145,785         
    Interest expense         51,606                 54,915                 53,158         
    Net interest income, (FTE) (1)$        95,857        $        95,435        $        92,627         
            


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)
     
    DEFINITIONS AND RECONCILIATION OF NON-GAAP MEASURES
        
     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
        
    Net Income$32,696 $35,849 $37,549 
    Intangible amortization 1,131  1,368  1,264 
    Tax benefit of amortization of intangibles (238) (287) (265)
    Net Income, adjusted for tax affected amortization of intangibles$33,589 $36,930 $38,548 
        
    Average Tangible Equity:   
    Total shareholders' equity$1,429,013 $1,404,029 $1,325,326 
    Less: intangible assets 382,919  383,620  386,040 
    Tangible Equity 1,046,094  1,020,409  939,286 
    Less: preferred stock —  —  — 
    Tangible Common Equity$1,046,094 $1,020,409 $939,286 
        
    (8)Return on Average Tangible Common Equity 13.02% 14.40% 16.51%
              


     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
        
    Core Net Income:   
    Total Net Income$32,696 $35,849 $37,549 
    Net securites gains (4) (1) — 
    Tax benefit of net securities gains 1  —  — 
    Merger and acquisition related expenses 109  277  114 
    Tax benefit of merger and acquisition related expenses (23) (58) (24)
    (5) Core net income$32,779 $36,067 $37,639 
    Average Shares Outstanding Assuming Dilution 101,859,825  101,963,018  102,198,899 
    (6) Core Earnings per common share (diluted)$0.32 $0.35 $0.37 
        
    Intangible amortization 1,131  1,368  1,264 
    Tax benefit of amortization of intangibles (238) (287) (265)
    Core Net Income, adjusted for tax affected amortization of intangibles$33,672 $37,148 $38,638 
        
    (9) Core Return on Average Tangible Common Equity 13.05% 14.48% 16.54%
              


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)
     
    DEFINITIONS AND RECONCILIATION OF NON-GAAP MEASURES
        
     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
    Core Return on Average Assets:   
    Total Net Income$32,696 $35,849 $37,549 
    Total Average Assets 11,680,688  11,625,716  11,521,443 
    Return on Average Assets 1.14% 1.23% 1.31%
        
    Core Net Income (5)$32,779 $36,067 $37,639 
    Total Average Assets 11,680,688  11,625,716  11,521,443 
    (7) Core Return on Average Assets 1.14% 1.23% 1.31%
              


     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
    Core Efficiency Ratio:   
    Total Noninterest Expense$71,250 $69,304 $65,573 
    Adjustments to Noninterest Expense:   
    Intangible amortization 1,131  1,368  1,264 
    Merger and acquisition related 109  277  114 
    Noninterest Expense - Core$70,010 $67,659 $64,195 
        
    Net interest income, (FTE)$95,857 $95,435 $92,627 
    Total noninterest income 22,502  25,335  23,988 
    Net securites gains (4) (1) — 
    Total Revenue 118,355  120,769  116,615 
        
    Adjustments to Revenue:   
    Derivative mark-to-market (153) 95  12 
    Total Revenue - Core$118,508 $120,674 $116,603 
        
    (10)Core Efficiency Ratio 59.08% 56.07% 55.05%
              


     
     
     
     


    FIRST COMMONWEALTH FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands)
     
    DEFINITIONS AND RECONCILIATION OF NON-GAAP MEASURES
        
     March 31,December 31,March 31,
      2025  2024  2024 
    Tangible Equity:   
    Total shareholders' equity$1,447,051 $1,405,165 $1,332,720 
    Less: intangible assets 382,514  383,352  385,745 
    Tangible Equity 1,064,537  1,021,813  946,975 
    Less: preferred stock —  —  — 
    Tangible Common Equity$1,064,537 $1,021,813 $946,975 
        
    Tangible Assets:   
    Total assets$11,786,398 $11,584,936 $11,694,408 
    Less: intangible assets 382,514  383,352  385,745 
    Tangible Assets$11,403,884 $11,201,584 $11,308,663 
        
    (12)Tangible Common Equity as a percentage of Tangible Assets 9.33% 9.12% 8.37%
        
    Shares Outstanding at End of Period 101,927,219  101,758,450  102,303,974 
    (11)Tangible Book Value Per Common Share$10.44 $10.04 $9.26 


     For the Three Months Ended
     March 31,December 31,March 31,
      2025  2024  2024 
    Pre-tax pre-provision net revenue:   
    Net interest income$95,522 $95,081 $92,304 
    Noninterest income 22,502  25,335  23,988 
    Noninterest expense 71,250  69,304  65,573 
    Pre-tax pre-provision net revenue$46,774 $51,112 $50,719 
        
    Net securites gains$(4)$(1)$— 
    Merger and acquisition related expenses 109  277  114 
    Core pre-tax pre-provision net revenue$46,879 $51,388 $50,833 
        
    Net charge-offs$3,098 $13,691 $4,302 

    Primary Logo

Share on,