F.N.B. Corp. in Pittsburgh reported higher quarterly earnings due to loan growth and improved asset quality.
The $16 billion-asset company reported that its net income rose 38% from a year earlier, to $39.3 million. Earnings of 21 cents a share were in line with the average estimate of analysts polled by Bloomberg.
Net interest income rose 21%, to $39.5 million. Total loans grew 19%, to $11.1 billion, including a 31% increase in indirect installment loans. The margin compressed by 13 basis points, to 3.54%.
Noninterest income increased 21%, to $39.5 million, as mortgage banking income soared 302%, to $1.5 million. Noninterest expenses rose 5%, to $96.7 million, largely because of an 83% increase in Federal Deposit Insurance Corp. insurance and rising occupancy and equipment expenses.
Asset quality improved, with nonperforming loans decreasing by 12%, to $68.5 million. The loan-loss provision was relatively stable, at $2.6 million.