FB Financial Corp NYSE:FBK Price, Chart, News & Insight

NYSE:FBK

FB Financial Falls 4.6% as Margin Compression and Higher Expenses Offset Strong Loan Growth

FB Financial (NYSE: FBK) shares fell about 4.6% after the company reported third-quarter 2026 results that showed solid earnings and balance-sheet growth but weaker net interest margin and higher operating expenses.

Net income was $60.2 million, or $1.20 per diluted share, compared with $1.13 in the prior quarter and $0.43 a year earlier. Adjusted EPS was $1.21, up from $1.14 sequentially and $1.07 in the year-ago quarter.

Loan growth remained strong. Loans held for investment reached $13.18 billion, representing 9.7% annualized growth from the previous quarter and 7.2% growth year over year. Deposits rose to $14.67 billion, up 8.8% annualized from the second quarter and 6.2% from a year earlier.

The main pressure point was net interest margin, which declined to 3.83% from 3.95% in both the prior quarter and the year-ago period. Management said higher funding costs outpaced earning-asset yields, while a $1 million reversal of previously accrued interest on a nonaccrual loan reduced margin by about 3 basis points.

Operating leverage also weakened. Noninterest expense increased to $96.0 million from $91.5 million in the prior quarter, while the efficiency ratio rose to 55.0% from 52.3%. Adjusted expenses also increased, reflecting continued investment in growth initiatives. Mortgage banking income declined to $9.4 million from $11.2 million sequentially and $13.5 million a year earlier.

Credit quality remained generally stable, with annualized net charge-offs of just 0.04%. However, nonperforming loans increased to 1.18% of total loans from 0.94% a year earlier.

The 4.6% decline therefore appears to reflect investor concern over margin compression, softer fee income and rising expenses, which are offsetting otherwise healthy loan and deposit growth and solid adjusted profitability.

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European Investor 10-13-26

FB Financial (FBK) Stock Slips Despite Strong Second-Quarter Results

FB Financial (NYSE: FBK) shares fell about 1.6% in premarket trading despite reporting solid second-quarter results that highlighted strong loan growth, stable margins, and improved profitability.

The regional bank reported diluted earnings per share of $1.13, up from $1.10 in the previous quarter, while adjusted EPS came in at $1.14. Loan growth remained robust, with loans held for investment increasing at an annualized rate of 11.6%, while deposits grew 7.7% annualized. Net interest margin held steady at 3.95%, reflecting resilient lending profitability despite the higher interest rate environment.

FB Financial also demonstrated disciplined capital management by repurchasing 3.01% of its outstanding common shares during the quarter, while adjusted pre-tax pre-provision net revenue increased nearly 7% sequentially and more than 42% year over year.

However, investors appeared focused on a modest deterioration in asset quality. The ratio of nonperforming loans to total loans increased to 1.17% from 0.96% in the prior quarter, primarily due to three lending relationships that migrated to nonperforming status. Although management noted that two of these loans are specifically reserved and the third remains well collateralized, the higher level of nonperforming assets may have weighed on sentiment.

Key highlights from the quarter include:

* Adjusted EPS increased to $1.14.
* Loans held for investment grew at an annualized rate of 11.6%.
* Deposits increased at an annualized rate of 7.7%.
* Net interest margin remained stable at 3.95%.
* The company repurchased 3.01% of its outstanding shares.
* Nonperforming loans increased to 1.17% of total loans, tempering investor enthusiasm.

While the earnings report demonstrated continued operating strength and healthy balance sheet growth, the increase in nonperforming loans likely prompted some investors to take a more cautious view, contributing to the stock's decline in premarket trading.

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Global Finance News 07-14-26

FB Financial Receives Regulatory Approval for Southern States Bancshares Merger

NASHVILLE, Tenn. – June 12, 2025 – FB Financial Corporation (NYSE: FBK) announced it has received all required regulatory approvals to complete its previously announced merger with Southern States Bancshares, Inc. The transaction is expected to close on July 1, 2025, subject to customary closing conditions.

The merger strengthens FB Financial’s market presence across the Southeast, enhancing its community banking footprint and aligning with its long-term strategic growth plans.

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ME NEWS 06-13-25

FB Financial Reports Q1 Earnings: Loan Growth and Margin Expansion Boost Profitability

FB Financial Corporation (NYSE: FBK), the parent company of FirstBank, reported net income of $39.4 million, or $0.84 per diluted share, for the first quarter of 2025. Adjusted net income was $40.1 million, or $0.85 per diluted share, matching the prior quarter and year-ago period.

The company achieved a net interest margin of 3.55%, up from 3.50% in the prior quarter, driven by disciplined deposit pricing and balance sheet optimization. Loans held for investment grew 7.14% on an annualized basis to $9.77 billion, supported by commercial and consumer lending activity. Total deposits remained stable at $11.20 billion, with noninterest-bearing deposits increasing to $2.16 billion.

“The Company had good results to start the year, with measured growth in loans and customer deposits during a quarter that was slower economically than we expected,” said President and CEO Christopher T. Holmes. “Our strong capital and liquidity positions provide flexibility for continued momentum.”

Highlights
Net income: $39.4 million

Diluted EPS: $0.84

Adjusted diluted EPS: $0.85

Return on Average Assets: 1.21%

Return on Tangible Common Equity: 11.9%

Net Interest Margin: 3.55%

Book Value Per Share: $34.44

Tangible Book Value Per Share: $29.12

Balance Sheet and Margin Insights
Net interest income on a tax-equivalent basis was $108.4 million, reflecting a slight decline in interest income but offset by a reduction in funding costs. The cost of total deposits fell to 2.54%, driven by lower brokered deposit balances and a shift toward lower-cost funding. The cost of interest-bearing deposits decreased by 24 basis points to 3.13%.

Loan growth was led by increases in commercial and industrial loans, consumer loans, and commercial real estate. Residential real estate also expanded, while construction loan balances declined.

“We managed margin and liquidity effectively by reducing higher-cost deposits while continuing loan growth,” added Holmes.

Credit Quality and Capital
Credit quality remained sound with net charge-offs at 0.14% of average loans, down from 0.47% in the prior quarter. The allowance for credit losses stood at $150.5 million, or 1.54% of loans held for investment.

Capital levels remained robust:

Common Equity Tier 1 Ratio: 12.8%

Total Risk-Based Capital Ratio: 15.2%

Tangible Common Equity to Tangible Assets: 10.5%

The company also repurchased 208,680 shares during the quarter as part of its capital deployment strategy.

Noninterest Income and Expenses
Noninterest income was $23.0 million, with mortgage banking contributing $12.4 million, up from $10.6 million in the prior quarter. Noninterest expenses rose to $79.5 million, mainly due to seasonal compensation adjustments and performance-based incentives.

“The increase in expenses reflects higher compensation-related costs tied to performance and annual adjustments,” said CFO Michael Mettee.

Strategic Progress and Outlook
FB Financial continued to expand its market presence, adding new operations in Asheville, North Carolina and Tuscaloosa, Alabama. The company also highlighted the pending merger with Southern States Bancshares, Inc., reinforcing its strategic growth trajectory.

“Our team is energized and ready to capitalize on the opportunities ahead, supported by strong liquidity, solid credit, and scalable operations,” concluded Holmes.

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ME NEWS 04-15-25

FB Financial Corporation (NYSE: FBK), parent company of FirstBank, reported strong fourth-quarter financial results for 2024. The company achieved net income of $37.9 million, or $0.81 per diluted common share, compared to $0.22 in the previous quarter and $0.63 in the same period last year. Adjusted net income was $39.8 million, or $0.85 per diluted common share, slightly below the prior quarter but up from $0.77 a year earlier. The company also reported a 5.22% annualized increase in loans held for investment (HFI) to $9.60 billion and an 8.49% annualized growth in total deposits to $11.21 billion.

Net interest margin (NIM) was 3.50%, compared to 3.55% in the prior quarter. Despite a decrease in noninterest-bearing deposits, cost-effective strategies helped reduce the overall cost of deposits to 2.70% from 2.83% in the prior quarter. President and CEO Christopher T. Holmes highlighted the company’s focus on core deposit and loan growth, positioning it well for 2025, alongside improved efficiency metrics and a solid capital base with a 15.2% total risk-based capital ratio.

The company’s credit quality remained stable, with allowances for credit losses on loans HFI at 1.58% and nonperforming loans at 0.87%. FB Financial continues to focus on strategic opportunities and anticipates continued momentum into 2025. A conference call discussing the results is scheduled for January 21, 2025.

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WS News 01-21-25

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