FNB

Regional banking company F.N.B. Corporation (NYSE:FNB) fell short of the market's revenue expectations in Q3 2026 as sales rose 2.5% year on year to $472.2 million. Its non-GAAP profit of $0.43 per share was in line with analysts' consensus estimates. Is now the time to buy FNB? Find out in our full research report (it's free). - Revenue: $472.2 million vs analyst estimates of $477.7 million (2.5% year-on-year growth, 1.2% miss) - Adjusted EPS: $0.43 vs analyst estimates of $0.43 (in line) - Market Capitalization: $5.95 billion F.N.B. Corporation's third quarter was marked by continued growth in both its loan and deposit base, with management attributing performance to robust commercial and consumer lending as well as disciplined deposit pricing. CEO Vince Delie pointed to the company's record net interest income and expanding market share across key geographies, emphasizing that "loan growth has once again exceeded the published H.8 data as we continue to gain market share." Additionally, management credited stable deposit costs and strategic use of data analytics for supporting net interest margin and profitability. Looking ahead, F.N.B. Corporation's forward strategy is anchored in technology investments and further expansion of fee-based businesses. Delie highlighted the upcoming launch of the Insight 360 platform, describing it as an "AI-enabled customer aggregation and insight tool" designed to drive deeper client relationships and household penetration. CFO Vince Calabrese noted that the company's methodical approach to technology spending, alongside a strong pipeline for commercial and industrial loans, positions F.N.B. to maintain positive operating leverage and efficiency as it enters the final quarter of the year and into 2027. Management attributed the quarter's results to strong performance in commercial and consumer lending, stable deposit costs, and investments in technology and fee-based business lines. - Loan growth outpaces peers: F.N.B. reported an 8.5% annualized increase in total loans, led by commercial and industrial (C&I), equipment finance, and consumer lending. Management cited market share gains in both urban and rural markets, with notable performance in the Cleveland and Pennsylvania regions. - Deposit growth and pricing discipline: Deposits grew at a 9% annualized rate, with a stable mix of 26% non-interest-bearing deposits. Delie emphasized that "the cost of interest-bearing deposits was stable, with only a one basis point increase," highlighting disciplined pricing and the role of data science in managing deposit costs. - Market share expansion: Recent FDIC data showed F.N.B. improving its position, now ranking in the top 10 in over 80% of its metropolitan statistical areas (MSAs) and in the top three in 30%. Management attributed this to its strategy of being the principal bank for clients, especially in treasury management and public finance. - Fee-based business momentum: The company is expanding its fee-based revenue streams through new business lines such as investment banking, public finance, and the recently launched Family Wealth Advisory unit. These segments contributed to non-interest income growth and diversification away from traditional banking fees. - Technology and digital platform investment: Investments in digital platforms like the eStore Common App and the soon-to-launch Insight 360 tool are expected to enhance the customer experience and support future growth. Delie stated that F.N.B. is "one of the best-positioned financial institutions to strategically leverage AI and data analytics to drive efficiency and accelerate revenue growth." F.N.B.'s guidance is shaped by technology-driven efficiency, robust lending pipelines, and continued expansion of fee-based businesses, while monitoring macroeconomic and competitive pressures. - Technology rollout and efficiency: The launch of the Insight 360 AI platform is expected to deepen client relationships and improve household penetration. Management sees this as a driver for both fee income growth and cost efficiency, with a disciplined approach to capital expenditure and prioritization of high-impact initiatives. - Commercial and industrial lending strength: C&I and equipment finance pipelines remain robust, especially in key regional markets and manufacturing sectors. Management expects continued loan growth despite higher rates, noting that "the economy seems to be ripping" and that CapEx spending remains strong across multiple industries. - Fee income diversification: Expansion in investment banking, public finance, and wealth advisory is expected to offset pressures in traditional mortgage and consumer fee streams. Management highlighted the "significant increase in non-interest income over time" from these new business lines, supporting a balanced revenue mix and resilience in shifting interest rate environments. As we look to future quarters, the StockStory team will be closely tracking (1) the rollout and adoption of the Insight 360 platform and its impact on client engagement, (2) sustained growth in commercial and industrial lending amid evolving interest rate conditions, and (3) the performance of newly expanded fee-based businesses such as public finance and investment banking. The ability to maintain stable deposit costs and credit quality will also be critical signposts for execution. F.N.B. Corporation currently trades at $17.40, up from $16.95 just before the earnings. At this price, is it a buy or sell? The answer lies in our full research report (it's free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it's flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

F.N.B. Corporation's third quarter was marked by continued growth in both its loan and deposit base, with management attributing performance to robust commercial and consumer lending as well as disciplined deposit pricing. CEO Vince Delie pointed to the company's record net interest income and expanding market share across key geographies, emphasizing that "loan growth has once again exceeded the published H.8 data as we continue to gain market share." Additionally, management credited stable deposit costs and strategic use of data analytics for supporting net interest margin and profitability. Is now the time to buy FNB? Find out in our full research report (it's free). - Revenue: $472.2 million vs analyst estimates of $477.7 million (2.5% year-on-year growth, 1.2% miss) - Adjusted EPS: $0.43 vs analyst estimates of $0.43 (in line) - Market Capitalization: $6.20 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. - Kelly Motta (KBW): Asked about the sustainability of positive operating leverage amid technology investments. CEO Vince Delie responded that careful prioritization and phased deployment of AI initiatives should support ongoing efficiency gains. - David Smith (Truist Securities): Inquired about credit quality and provision expectations. Chief Credit Officer Gary Guerrieri confirmed stable performance, noting that "the quarter was really very pure" with no outsized recoveries or negative credit trends. - Daniel Tamayo (Raymond James): Sought clarity on regional loan growth drivers and the impact of higher rates. Delie emphasized strong pipelines in manufacturing and diverse geographies, stating that rising rates have not been a barrier to CapEx spending among F.N.B.'s client base. - Casey Haire (Autonomous Research): Questioned deposit cost management and rate sensitivity. CFO Vince Calabrese detailed the company's rigorous deposit pricing strategy and historical deposit beta metrics, indicating continued vigilance on funding costs. - Timur Braziler (UBS): Asked about the trajectory of fee-based business build-out and related investments. Delie explained that incremental investments in public finance and investment banking are being balanced against revenue contributions to maintain efficiency. As we look to future quarters, the StockStory team will be closely tracking (1) the rollout and adoption of the Insight 360 platform and its impact on client engagement, (2) sustained growth in commercial and industrial lending amid evolving interest rate conditions, and (3) the performance of newly expanded fee-based businesses such as public finance and investment banking. The ability to maintain stable deposit costs and credit quality will also be critical signposts for execution. F.N.B. Corporation currently trades at $17.40, up from $16.95 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it's free for active Edge members). WHILE YOU'RE HERE: Top 9 Market-Beating Stocks. The best stocks don't just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses. But our AI platform says the party isn't over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. - Achieved 8.5% annualized loan growth, significantly outpacing industry averages through market share gains in C&I, equipment finance, and consumer lending. - Maintained a stable deposit mix with non-interest-bearing deposits at 26% for eight consecutive quarters, driven by a 'client primacy' strategy rather than rate-based competition. - Expanded net interest margin by 4 basis points to 3.29%, benefiting from disciplined deposit pricing and higher reinvestment rates in the securities portfolio. - Successfully scaled 11 specialized business lines, including new investment banking and public finance units, to diversify revenue and offset declines in consumer fee income. - Utilized proprietary data science tools to manage deposit costs, resulting in only a one basis point increase in interest-bearing deposit costs despite heightened competition. - Reported strong internal capital generation, supporting a 7% year-over-year increase in tangible book value per share while funding $133 million in year-to-date share repurchases. - Credit performance remained robust with net charge-offs improving to 12 basis points, supported by conservative underwriting and proactive management of the CRE portfolio. - Full-year 2026 loan and deposit growth is projected in the mid-single digits, with deposits expected to trend toward the lower end of that range depending on new business wins. - Net interest income guidance revised to $1.485 billion-$1.5 billion, assuming continued deposit competition and a full quarter's benefit from recent rate repricing. - Anticipates a rebound in Q4 PPNR driven by a robust investment banking pipeline, seasonal public finance inflows, and the resolution of elevated Q3 legal and fraud costs. - Management expects to maintain positive operating leverage through 2026 by funding technology investments with $20 million in targeted annual cost savings. - The upcoming launch of the Insight 360 AI platform is expected to accelerate household penetration by aggregating client data to identify cross-sell and deposit opportunities. - Maintained qualitative allowance overlays to account for geopolitical risks in the Middle East, energy price volatility, and North American tariff uncertainty. - CRE concentration stood at 182% of Tier 1 capital plus allowance, with management expecting an inflection point toward growth in early 2027 as payoffs stabilize. - Q3 expenses were impacted by elevated third-party legal costs and fraud losses, which management is addressing via a new financial crimes unit leadership. - Mortgage banking faces headwinds from higher interest rates, though the portfolio's focus on purchase-money originations provides a partial hedge compared to refi-heavy peers. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. - Management confirmed that long-term investments in data governance and AI are now yielding revenue opportunities without requiring massive new capital expenditures. - Management is working to drive future efficiency gains by beginning to automate wholesale underwriting processes and plans to use AI for targeted retail promotions through the upcoming Insight 360 tool. - The company uses a 'leg-in' approach to new business, scaling personnel only after revenue opportunities are validated to protect the efficiency ratio. - Management noted that current rate levels have not yet become a barrier to CapEx spending for their C&I clients, particularly in manufacturing. - Underwriting includes 'shock tests' of 300-400 basis points, ensuring borrowers can maintain debt service coverage even in higher-rate environments. - CRE maturity walls are being managed proactively, with about half of maturing loans paying off and the remainder extending with solid equity positions. - F.N.B. is utilizing a 13-month CD as its primary acquisition product to lock in longer-term funding while keeping overall deposit costs stable. - Management expects total deposit betas to track historical cycles (around 40%) but emphasized that their high mix of operating accounts reduces rate sensitivity. - The bank's 'Insight 360' tool will specifically target moving 'held-away' deposits from existing customers to F.N.B. using data-driven incentives.

This article first appeared on GuruFocus. Release Date: October 20, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. - Record net interest income of $377 million and net interest margin expansion of 4 basis points to 3.29%. - Strong loan growth of 8.5% annualized, outpacing industry data and gaining market share. - Deposit growth of 9% annualized, with noninterest-bearing deposits stable at 26% of total deposits. - Tangible book value per share increased 7% year-over-year to $12.28 despite buybacks and AOCI impact. - Solid credit quality with net charge-offs at 12 basis points and NPLs near historical lows at 33 basis points. - Net interest income guidance revised downward to $1.485-$1.5 billion due to heightened deposit competition. - Noninterest expense expected toward the higher end of $1.01-$1.02 billion guidance. - CRE balances declined $90 million linked-quarter and are expected to continue declining into early 2027. - Mortgage business faces headwinds from higher rates, with potential margin compression. - Criticized loans increased 40 basis points in the quarter, though resolutions are expected. - Warning! GuruFocus has detected 6 Warning Signs with FNB. - Is FNB fairly valued? Test your thesis with our free DCF calculator. Q: With the strong balance sheet growth this quarter, can you discuss the incremental cost of funding and provide a spot rate for deposits at the end of the quarter? A: Vince Calabrese (CFO) explained that the blended rate for new CDs brought on in September was 3.22%, while the promotional 13-month CD rate is 4.15%. He noted that maintaining a strong mix of non-interest-bearing deposits at 26% of total deposits is key to managing the overall cost of funds, supported by a rigorous weekly pricing process. Q: Given the strong loan growth and robust pipelines, at what point do you expect Fed policy and higher rates to start impacting loan growth, particularly as commercial borrowers begin to balk at higher capital costs? A: Vince Delie (CEO) stated that FNB does not play in the higher-risk space, so they are less susceptible to slowdowns from highly leveraged transactions. He noted that most of their borrowers use swaps to fix rates, and with substantial cash flow and significant debt service coverage, higher rates are a factor but not a barrier to their long-term investment plans. Gary Guerrieri (CCO) added that they underwrite with 300-400 basis point shock rates, providing a built-in cushion. Q: Can you provide more detail on the near-term net interest margin (NIM) dynamics and the drivers for the expected continued expansion? A: Vince Calabrese (CFO) reported that the September NIM was 3.28%, in line with the quarterly 3.29%. He expects the margin to gradually increase in the low to mid-single-digits in Q4, driven by the full-quarter benefit of mid-September loan repricings, higher SOFR rates, and the reinvestment of the securities portfolio at rates 250 basis points above where securities are rolling off. Q: Can you discuss the trajectory for your new fee income verticals like investment banking and public finance, and if they require significant incremental investment? A: Vince Delie (CEO) noted that the public finance team recently won a significant left-lead mandate that will close in Q4, and the investment banking team is starting to gain traction. He emphasized their strategy of "legging into" these businesses, generating revenue first and then building out the infrastructure, which allows them to manage expenses and maintain their efficiency ratio. Q: With CET1 capital still very strong, could you refresh us on your capital deployment priorities, including the potential for accelerated buybacks or M&A? A: Vince Delie (CEO) stated that the strategy remains focused on the best earn-back and accretion, which has led to increased buyback activity and a recent dividend increase. While they would consider M&A if it were accretive and a good fit, their primary focus is on organic growth and investing in capabilities to take market share. Vince Calabrese (CFO) added that with the stock trading lower, there is a clear opportunity to continue being active on the buyback side. Q: You had a very low charge-off rate this quarter, but NPLs and delinquencies ticked up slightly. Can you provide some color on this and what you expect for the Q4 provision? A: Gary Guerrieri (CCO) stated the low charge-offs were due to solid performance across all portfolios, not large recoveries. He attributed the slight uptick in delinquency to normal seasonality. He also noted that criticized loans increased but are expected to be resolved with upgrades and payoffs without charge-offs in the fourth quarter, supporting a favorable provision outlook. Q: Can you remind us of the seasonality for deposits going into the fourth quarter, particularly regarding public funds? A: Vince Calabrese (CFO) noted that they expect continued seasonal growth on the municipal side through October and November, supported by a pipeline of over $1 billion in new deposit relationships. He clarified that the full-year deposit growth will likely be at the lower end of the mid-single-digit range, with potential to move higher depending on the success of new account wins. Q: Can you provide an update on the CRE portfolio, specifically the timing of when balances might start to build again? A: Gary Guerrieri (CCO) stated that they now expect fewer CRE loan sales in Q4 than originally anticipated, with some transactions pushed to Q1 2027. He anticipates that early 2027 is when the lines will cross, and the CRE balance will start to move in a positive direction, supported by a strong pipeline of new opportunities. Q: What are your updated thoughts on deposit betas for this cycle compared to the last one? A: Vince Calabrese (CFO) pointed to the last cycle as a good reference point, where the total deposit beta was around 40%. He noted that while it's early in the current cycle, they have done a very nice job managing deposit costs, with the average total deposit cost for September at 1.79%. Q: Can you discuss the drivers behind the strong C&I loan growth and your outlook for the coming quarters? A: Vince Delie (CEO) attributed the broad-based C&I growth to client expansion in various markets, including unexpected strength in more rural areas and a resurgence in Cleveland. He also highlighted the strong performance of equipment finance due to tax law changes and noted that the pipeline remains robust, with the economy showing resilience despite higher rates. Q: How are you thinking about the impact of the recent rate hikes on your asset-liability positioning and overall credit quality? A: A company executive stated that they continue to manage their asset-liability position to be fairly neutral or slightly asset-sensitive, with little change from prior quarters. Gary Guerrieri (CCO) added that they have not yet seen any impact on credit quality from the rate hikes, but they are closely monitoring the CRE maturity wall and smaller C&I borrowers. Q: Can you provide an update on the mortgage business, including the impact of higher rates and your strategy for the portfolio? A: Vince Delie (CEO) noted that while higher rates are a headwind for the industry, FNB's mortgage business is primarily purchase-oriented and less rate-sensitive. He expects the mortgage portfolio as a percentage of total loans to decline over time as they deploy deposits into C&I and other categories, and they will continue to sell performing mortgage loans into the secondary market. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Image source: The Motley Fool. Tuesday, Oct. 20, 2026 - Manager of Investor Relations - Lisa Hajdu - Chairman, President, and CEO - Vince Delie - Chief Credit Officer - Gary Guerrieri - Chief Financial Officer - Vince Calabrese Operator: Good day, and welcome to the F.N.B. third quarter 2026 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on a touch-tone phone. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to Lisa Hajdu, Manager of Investor Relations. Please go ahead. Lisa Hajdu: Good morning, and welcome to our earnings call. This conference call of F.N.B. Corporation and the reports it files with the Securities and Exchange Commission often contain forward-looking statements and non-GAAP financial measures. Non-GAAP financial measures should be viewed in addition to and not as an alternative for our reported results prepared in accordance with GAAP. Reconciliations of GAAP to non-GAAP operating measures to the most directly comparable GAAP financial measures are included in our presentation materials and in our earnings release. Please refer to these non-GAAP and forward-looking statement disclosures contained in our related materials, reports, and registration statements filed with the Securities and Exchange Commission and are available on our website. A replay of this call will be available until Tuesday, October 27, and the webcast link will be posted to the About Us Investor Relations section of our corporate website. I will now turn the call over to Vince Delie, Chairman, President, and CEO. Vince Delie: Thank you, and welcome to our third quarter earnings call. Joining me today are Vince Calabrese, our Chief Financial Officer, and Gary Guerrieri, our Chief Credit Officer. F.N.B. reported third quarter net income of $153 million or $0.43 per share. This brings year-to-date earnings per share to $1.23, a 13% increase over the same period in 2025. F.N.B. produced solid revenue of $469 million, benefiting from a diverse income stream with record net interest income of $377 million. This quarter, F.N.B. repurchased $51 million or 2.7 million shares of common stock, bringing the year-to-date buyback to $133 million or 7.4 million shares, representing 2.1% of total shares at the beginning of the year. Tangible book value per common share increased 7% year over year to $12.28. Even with the buyback activity and negative impact of AOCI, demonstrating strong profitability levels and peer-leading internal capital generation. Total loans ended the quarter at $36.5 billion, an 8.5% annualized linked-quarter increase. F.N.B.'s loan growth has once again exceeded the published H.8 data as we continue to gain market share across our geography, led by commercial and industrial, equipment finance, consumer lending, and seasonal residential mortgage production. Annualized linked-quarter deposit growth of 9% also outpaced the industry, benefiting from deepening customer relationships as well as seasonal deposit inflows. Even with the strong deposit growth and increased competition, the cost of interest-bearing deposits was stable, with only a one basis point increase. Non-interest-bearing deposits ended the quarter over $10 billion, an annualized increase of 3%. The mix of non-interest-bearing deposits to total deposits ended the quarter at 26%, a level we have held for eight straight quarters. As we have frequently discussed, we utilize all our tools, including data science, to price our deposits and support our client base while protecting net interest margin. This quarter, net interest margin increased four basis points to 3.29%. The FDIC deposit market share data released in September revealed that F.N.B. outperformed overall market deposit growth to maintain strong market share positions. We now rank in the top 10 in over 80% of our MSAs, top five in 50%, and top three in 30%. We continue to build out our fee-based platform, including our recent announcement to expand our Family Wealth Advisory to serve ultra-high net worth clients with additional investments in specialized, sophisticated advisory services and advanced solutions. This elite wealth advisory office aligns with our strategic approach to develop and expand new high-value business units that complement our existing products and services, driving a larger percentage share of total revenue. Our leadership team has established or significantly expanded 11 business lines, including two added last year, investment banking and public finance, with both contributing to fee income this year. Investment banking has closed several deals with many opportunities in the pipeline. Public finance has participated in a number of large bond underwritings and was recently awarded a significant lead left opportunity this quarter. We remain steadfast in our approach to consistent underwriting and managing credit risk to maintain a balanced, well-positioned portfolio, enabling us to serve our customers through various business cycles. I would now like to turn the call over to Gary to discuss our credit results for the quarter. Gary? Gary Guerrieri: Thank you, Vince, and good morning, everyone. We had another solid quarter of consistent credit performance across our portfolios. Delinquency totaled 75 basis points, up slightly in the quarter, with NPLs and OREO remaining at near historical lows totaling 33 basis points, up two bips in the quarter and down four bips on a year-over-year basis. Net charge-offs reflect strong performance at 12 basis points, an improvement from 19 basis points in the prior quarter. Criticized loans increased 40 basis points in the quarter, with anticipated resolutions expected to offset this increase in the quarter ahead. Total funded provision expense for the quarter stood at $19.2 million, once again supporting our strong loan growth. Our ending funded reserve now stands at $455 million, an increase of $8.1 million ending at 1.25%. When including acquired unamortized loan discounts, our reserve stands at 1.29%, and our NPL coverage position remains strong at 396% inclusive of the discounts. We continue to maintain qualitative overlays for potential supply chain impacts due to the events in the Middle East, oil and diesel price volatility, and ongoing tariff uncertainty in North America. Our consistent and proactive approach to managing credit risk and solid allowance coverage enables us to maintain a strong credit profile through various economic environments. Turning to loan growth, we are pleased with the resilience of our customer base, which continues to perform well despite recent rate increases and ongoing inflationary pressures. Once again, we saw strong production across all consumer categories this quarter while maintaining our solid credit metrics with average origination FICO scores of 785 and delinquency and charge-offs of 72 and 5 basis points, respectively. Despite a slight downtick in utilization, C&I loan growth was strong in the quarter, particularly in the manufacturing sector. CRE continued to decline as expected due to secondary market activity, ending at 182% of Tier 1 capital plus allowance. The declines were partially offset by a number of new projects originated in the quarter, and we are encouraged by the level of new opportunities we are seeing across our markets. In closing, despite the continued macroeconomic volatility, our loan growth was strong in the quarter in both the wholesale and retail portfolios. Our loan portfolio remains well-positioned, reflecting solid performance across each asset class with credit metrics near historical lows. Pipelines continue to be robust as we enter the fourth quarter, positioning us well to achieve our desired growth targets this quarter and in the year ahead. I will now turn the call over to Vince Calabrese, our Chief Financial Officer, for his remarks. Vince Calabrese: Thanks, Gary, good morning. Today, I will review the third quarter financial results and walk through our full-year guidance. Third quarter net income totaled $153 million, or $0.43 per share, driven by strong growth in C&I and consumer loans and a 4-basis point sequential increase in the net interest margin. Book total loans and leases ended the quarter at $36.5 billion, an 8.5% annualized linked-quarter increase. Growth of $435 million in consumer loans and $333 million in commercial loans and leases drove the increase. Book C&I loans grew at a 20% annualized linked-quarter rate for $407 million, driven by growth across multiple markets, most notably the Cleveland and Pennsylvania markets. CRE balances continued to be impacted by payoffs as expected and were down $90 million linked quarter. Seasonal growth in residential mortgages and growth in HELOCs and indirect auto fueled the rise in consumer loans. Book total deposits grew $871 million sequentially, a 9% annualized rate driven by growth in non-interest-bearing deposits, low-cost transaction deposits, and money market accounts. Seasonal treasury management inflows and deepening of customer relationships fueled the overall deposit growth. Book non-interest-bearing deposits increased $78 million sequentially and remained stable at 26% of total deposits. The loan-to-deposit ratio was also stable from last quarter at a healthy 92.4%. The third quarter rise in the net interest margin to 3.29%, coupled with strong loan growth and a higher day count, resulted in a nearly $11 million sequential increase in net interest income. The yield on earning assets increased 5 basis points sequentially to 5.18% as one-month term SOFR moved higher and the securities portfolio yield jumped 12 basis points to 3.73% as reinvestment rates remained well above the overall portfolio yield. Total cost of funds increased 2 basis points from the second quarter to 2.01%, with rates paid on the interest-bearing deposits up only 1 basis point and rates paid on total borrowings down 4 basis points. Turning to non-interest income and expense, non-interest income totaled $93 million. Service charges increased 5.7% from the year-ago period on increased treasury management fee revenue and higher consumer transaction volumes. Insurance commissions and fees were up 20%, primarily due to growth in the property and casualty business. Wealth management revenues increased nearly 4% year-over-year to $21 million, with contributions across the geographic footprint. Capital markets income reflected solid contributions across these businesses, even with an 18% reduction due to record debt capital markets and international banking income in the year-ago quarter. Other non-interest income declined primarily due to a $5.4 million asset recovery recorded last year. Non-interest expense totaled $257 million, a 4.5% increase from the year-ago quarter when adjusting for an FDIC special assessment reduction last year. Salaries and employee benefits increased only 1% as strategic hiring and normal merit increases were offset by lower variable compensation. Occupancy and equipment increased 14%, primarily due to technology-related investments and higher occupancy costs. Outside services increased 15%, driven by higher third-party legal and consulting costs. Even with these increases, the third quarter efficiency ratio remains solid at 53.7%. F.N.B. continues to actively manage capital to support balance sheet growth and optimize shareholder returns while appropriately managing risk. Share repurchases totaled $133 million for the first three quarters of 2026, more than four times the amount repurchased in the same period of 2025, and well within our disciplined capital deployment strategy. Over $200 million in share repurchase authorization remained at quarter end. Our strong financial performance and profitability have enabled F.N.B. to increase share repurchase activity and still maintain solid capital levels, as evidenced by a CET1 ratio of 11.3% and TCE ratio of 8.7% at quarter end. Tangible book value per share increased modestly from last quarter, even with the increased buyback activity and impact of rising interest rates on AOCI. Let's now look at guidance for the full year of 2026. All guidance is based on current expectations while remaining cognizant of the highly uncertain macroeconomic and geopolitical environments. We are maintaining our full-year balance sheet guidance for spot balances, projecting period end loans and deposits to grow mid-single digits on a full-year basis. Full-year net interest income guidance has been revised to a range of $1.485 billion-$1.5 billion, based upon results for the first nine months of 2026 and our expectation for a continuation of heightened deposit competition within the industry. The non-interest income full-year guide has been tightened to $370 million-$380 million. The full-year guidance range for non-interest expense remains unchanged at $1.01 billion-$1.02 billion, with the results expected to be toward the higher end of the range. We continue to expect strong positive operating leverage for full year 2026. Full-year provision guidance has been revised to a range of $80 million-$90 million, down $5 million at the high end, given our favorable credit performance year to date, and will be dependent on net loan growth and charge-off activity in the last quarter. Lastly, the full-year effective tax rate should be between 21% and 22%, which does not assume any investment tax credit activity that may occur. With that, I will turn the call back to Vince. Vince Delie: F.N.B. continues to be an innovative leader in our industry, introducing tech-forward digital and data solutions, including our proprietary eStore and Common app. These tech innovations deliver convenient access to our products and services for our customers and allow us to serve as their trusted financial advisor. As evident by being named one of the world's best digital banks by Global Finance and a finalist for several of FinTech Futures Banking Tech Awards, we have created a platform that enhances our customer experience across our omni-channel network, enabling F.N.B. to continue to grow our share of wallet and expand customer primacy based upon positive outcomes for our clients. Our technology-based competitive advantage will be further enhanced by the introduction of our proprietary Insight 360 platform. The AI-enabled customer aggregation and insight tool will provide our clients and bankers with the ability to optimize their broader banking relationship, all while consolidating their services with F.N.B. and contributing to improved household penetration. Given our focus and investment in data capabilities, F.N.B. is one of the best-positioned financial institutions to strategically leverage AI and data analytics to drive efficiency and accelerate revenue growth in an increasingly competitive landscape. Our ability to increase revenue, grow loans and deposits, and expand market share has benefited greatly from these initiatives, and we are excited to deploy our newest capability. By strategically investing in innovative technology to grow primary relationships and low-cost funding deposits, while also maintaining a focus on expanding high-value fee-based businesses to diversify revenue streams, we are building a stronger, more resilient franchise. Our investments in these initiatives contributed to a strong third quarter performance and create sustainable value for the future. With that, I would now like to turn the call over to the operator for questions. Operator: We will now begin the question and answer session. To ask a question, you may press star then one on your touch tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then two. At this time, we will pause momentarily to assemble our roster. The first question today comes from Kelly Motta with KBW. Please go ahead. Kelly Motta: Hey, good morning. Thanks for the question. Vince Delie: Good morning. Kelly Motta: Lee, I think I might want to start off with your last comment about technology and layering in positive operating leverage. You guys were very committed to driving positive operating leverage this year. Clearly some of these investments in technology have been helpful for that. As you think about the outlook ahead, I know it's a little early to start talking about 2027, but based on your pipeline for investments and kind of just outlook for revenue growth, do you think that your investments should enable a continuation of the positive operating leverage we are poised to see for this year? Thank you. Vince Delie: Yeah, sure. Thank you for the question, Kelly. We're very excited about the tech that we're rolling out. I don't know if I was excited enough in my prepared comments, but I sat through a demo yesterday of our Insight 360 tool. It is fantastic. The customers are going to be able to aggregate all their banking relationships in one place. View transactions across various cards at various institutions, and we're going to be able to do a lot with AI and promos, and it's going to help us tremendously drive household penetration here. So it's a very exciting time for us. We've spent a lot of time building this strategy out over the last 10 years, so the CapEx spend is kind of embedded in our guide for this year. We are very optimistic about positive operating leverage moving forward. I think it says a lot about the company when you think about the deployment of data science and AI relative to revenue generation and revenue opportunities. It's not as frequent. You do not see companies at this stage in the game talking about revenue initiatives from an AI perspective because of the cost. But because we've started a long time ago and focused on data governance, building out the data infrastructure, we're in a much better position than others to capitalize on it from a revenue perspective. Then there are about 100 initiatives across the company where the utilization of AI to improve either efficiency or drive revenue are still on the docket. Obviously, we've said this before, but we're not just going to jump in and tackle everything because the expense build, the CapEx spend and additional build and infrastructure and token utilization relative to data consumption is expensive. So we're going to leg into it and take out what we think are accomplished the best opportunities, take out the expenses that are most notable or largest, and then we're going to move at the same time parallel with our strategies on revenue generation and improving share of wallet within our customer base. So the answer to the question is, we have some great things coming out in the first quarter. We're on track to deliver Insight 360. The eStore Common app has been improved and we continue to work on it to improve it over time. There's a migration down the road to enhancements to our mobile application in 2027. There's some things coming at the end of 2027 that are pretty interesting and cool, and we're excited about all of that. Then we continue to invest in the wholesale bank as well. We've just started really digging into the processes and looking at ways to significantly improve turnaround times and the construction of underwriting documents and analysis. A lot of very exciting things. I do not think that none of it really presents a barrier to us achieving positive operating leverage or performing at the same levels or better from an efficiency ratio perspective. The fee income build too is exciting. The departments that we launched, corporate finance, the investment banking initiative and public finance are taking off too. That should help the cause next year. Kelly Motta: That's super. Vince Calabrese: Kelly, I would just add to that. Kelly Motta: Oh, sorry. Go ahead. Vince Calabrese: No, we have a very robust prioritization process too because Brendan can't do everything at once. Really being very methodical in the investments that we're going after initially, kind of those with higher value, maybe less cost to initiate, to pursue. Then as we've done with new businesses, we kind of leg in. We'll start with it and then expand it once it's kind of in place. Part of how we're funding that too is we have our cost savings target for the year for $20 million. Some of that goes towards that. Then as we grow, this creates scale for us. Maybe we don't have to add as many positions as we would otherwise. We'll still add, but it gives us the ability to create scale as these initiatives that Vince was talking about are deployed. Kelly Motta: Got it. I appreciate all the color. That's super helpful. One more ticky-tacky question, and then I'll step back. You had really nice margin expansion this quarter, especially in light of the really strong balance sheet growth you had. Just wondering, part of that was cost of deposits was very well controlled. I'm wondering what the incremental cost of funding is coming on at, and if maybe if you have a spot rate at the end of the quarter, that would also be helpful. Thank you. Vince Calabrese: Yeah, I would say from a pricing standpoint, if we look at our overall funding, the CDs are a key part of that, of course. The rates that we're bringing those on in the month of September came on at like a 3.22 rate. Now our best rate is a 4.15 rate for kind of our most attractive product that we have, which is a 13-month CD. One of the things we did kind of strategically is put the best rate on a longer-term CD. If we go back a little bit, we were focusing on kind of 5 and 7-month CD. So we have that 4.15 on the 13 month is really our acquisition strategy product that we're using. But even with that, so that helps with new accounts. The blend overall is at that 3.22 what we brought in the month of September. We are not bringing everything on at that 415. The 322 is a good reference point. The non-interest-bearing deposit growth, even with the very strong deposit growth, we still held at 26%. Having that mix of non-interest-bearing deposits is key to kind of the overall cost of funds. As we have talked about in the past, we have a very rigorous process. We have weekly pricing every Monday at 4:00. We have deposit strategy meetings once or twice a month to talk about where we want to be priced. The goal that we have had for a while is to grow volume but also manage the cost side very diligently. I think that worked well this quarter. Vince Delie: The key is client primacy, the non-interest-bearing deposits. We have had great success maintaining that 26% threshold even with the growth. That is directly correlated to the strategies that we have deployed to be the principal bank for our clients. Less gimmicks, more hand-to-hand combat, bringing over customers that actually produce. You have float and free balances that helps bring those costs down. As you know, we have been pretty competitive and we have grown market share across the footprint. If you look at the FDIC data that came out, we have significant market share expansion relative to the markets overall. I guess on a relative basis with the market shrinking, we were still able to expand, let us say it that way. I think we have had really good performance. 80% of our markets were in the top 10, 30% were in the top three in terms of deposit share. We continue to work on improving that and have had great success both commercially and from a consumer perspective in these markets. Vince Calabrese: 50% in the top five. Vince Delie: Yeah, 50% in the top five and good strong performance across the board from a deposit perspective. What excites me the most is the Insight 360 tool and what it's going to enable us to do in terms of identifying deposit opportunities within our customer base and using our insights and data analytics tools to drive promos to move that money to FNB. That to me is very exciting. Kelly Motta: Thank you so much for all the color. I'll step back. Operator: The next question comes from David Smith with Truist Securities. Please go ahead. David Smith: Hey, good morning. Vince Delie: Good morning. Vince Calabrese: Good morning. David Smith: Starting off on credit, you had a really good quarter for net charge-offs, but the NPL and delinquency ratios picked up slightly. Was there anything suppressing the charge-off rate in the quarter, like a big recovery or anything, or anything that led you to elevate that reserve build? Just trying to get a better sense of what we might expect for the fourth quarter provision since the range there is pretty wide right now. Gary Guerrieri: Yeah, David, the quarter was really very pure. Nothing from a large recovery standpoint. We just had really solid performance from a loss perspective across all of our portfolios, and that really drove the 12 basis points that we saw there. Yeah, as it relates to the delinquency, it was up 4 basis points. We do see some seasonality usually in this third quarter with vacations and whatnot. We've seen it over time. So it's a few basis points. No changes in the performance of those portfolios. When you're driving metrics at these levels, which are near historical low levels for us, you're going to have a few basis point movements here and there just in the normal course of business. But all said, really strong performance across the portfolio throughout the whole quarter. David Smith: Sure. Then you are kind of already at mid-single loan growth from the fourth quarter of 2025 as of the third quarter, but deposit balances still have a ways to go. Can you remind us just on either side of the balance sheet, anything we should be thinking about from a seasonality perspective going into the fourth quarter? I know you have the public funds balances that can move around in the second half. Vince Calabrese: Yeah. There is still some continued seasonal growth on the municipal side. There was a nice surge in the third quarter that usually continues through October, November. As we have talked about, we have a pipeline over $1 billion that is being actively pursued on the deposit side for new relationships. That is kind of part of our thinking as to what is in there. The range, mid-single digits, is pretty broad. We would be at the lower end of mid-single digits if you do the math as far as the deposit growth. But it is still pretty strong deposit growth. Vince Delie: By the way, in public finance, we are the principal bank. We do not go after the money market offerings or compete on CDs. We have to be the principal disbursement bank to get the non-interest bearing deposits to drive the returns in that business, just to be clear. What happens is we are the operating bank. There are cash outflows that happen pre ad valorem tax collection, so the balances shrink, and then over time they surge back in. You can see it is supported across the board because the deposit mix stayed consistent. What Vince is saying is we continue to see that into late into the fourth quarter. Last quarter we kind of got penalized because there were delays in it. This quarter everybody discounts it because they say, "Well, it is seasonal." Well, it is what it is. It is deposit balance growth, and it is across the board. We are the principal treasury management bank. I just want to make sure I am clear on that because Vince keeps talking about municipal deposits. This is not a function of going after the high priced deposit. Vince Calabrese: Been customers for a long time. Vince Delie: Right. David Smith: That's helpful. Thank you. Vince Calabrese, did I hear you right that you're thinking the deposits will probably be on the lower end of mid-single digits for the fourth quarter? Vince Calabrese: That's exactly what I said. If you just look at the range for digits. Based on the growth in the third quarter, what we expect for the fourth quarter. The more wins we get for new business, it gets higher into the middle of that range. There's opportunity right in the middle of it. It all depends on our success bringing in new accounts. David Smith: Okay. Thank you. I'll step out. Operator: The next question comes from Daniel Tamayo with Raymond James. Please go ahead. Daniel Tamayo: Thank you. Good morning, everybody. Vince Delie: Good morning, Dan. Daniel Tamayo: Yeah. Maybe just digging into the loan growth side. First on the C&I side, really strong growth again in the third quarter. You talked about, I think it was just mentioned that you are basically already at the midpoint of the guidance range for the year. Just curious kind of and you had utilization down in the third quarter. Just curious how you see pipelines and expectation for C&I loan growth kind of near term. Then if you are seeing anything or anticipating any impact from the increase in rates. Vince Delie: Yeah. I think a couple of things. First of all, I do think we've had good solid C&I performance across the board. It's coming from areas that we wouldn't have normally expected to come from too. We're seeing good client expansion in our more rural areas that we cover, more traditional areas where manufacturing might represent a little bit more of the GDP coming out of these markets like Erie and what we call our Northwest market, which is Hermitage, Sharon, Erie into Youngstown, Ohio. We're starting to see some decent growth there in those areas. Then the central part of the state where Penn State's located, that's a big market for us. That's a pretty big geography. But we've had great success there. We have good leadership there and probably one of our best teams end-to-end retail all the way through to commercial. As you know, we won the Penn State business, so everyone's pretty excited about that. There's a lot of activity there, and it shows in the numbers as we move throughout the year. They both have good solid pipelines. Cleveland, who hasn't performed in the past few years, is starting to come back pretty significantly. Pittsburgh's pretty solid. The Mid-Atlantic region, there's a lot of activity in the D.C. area that we're seeing. There's a lot of good activity for us there. Baltimore is coming around. Then the Carolinas, we've had some transition in Raleigh. We've just hired a terrific leader in Raleigh, and they've recruited some really good bankers, have some bankers in the queue. We're looking forward to getting that turned around with strong leadership. Charlotte's performed pretty well. Charleston, South Carolina, is a performer from a commercial loan perspective, and we expect that to continue. We've expanded across most of South Carolina. We have plans to build branches in markets that we weren't in through acquisition like Spartanburg and Greenville. We're on our third branch, I think. Right. We're getting some additional penetration there. We're very excited and optimistic about it. I think we have a pretty large C&I pipeline, a short term pipeline anyway, moving into the fourth quarter. We're feeling pretty good about that with some fairly large funded deals that are coming. Equipment finance continues to perform very well, obviously because of the tax law changes and strong leadership there for us. Good team. We've seen some pretty outsized growth in those portfolios relative to historical levels, and that continues. That should help drive us. From an interest rate perspective, I don't think that even though rates have spiked, I know prime's sitting a little higher today than it has been in the last few years, but I'm not seeing that as a barrier to CapEx spend, to be honest. The economy seems to be ripping. I know there are certain things that you look at, and you worry about inflation and other things. But from a CapEx spending perspective, maybe some of it's data centers and a good bit of it is, but there's a ripple effect. Manufacturing's taking off in a number of these markets, so there's some considerable CapEx spend. We would expect that to continue into next year. I don't know, Gary, do you have anything you want to add to that? Gary Guerrieri: No, I think you've covered it, Vince. The pipeline is robust. It is diverse across all the markets, which Vince kind of touched on. Interest rates moving up a quarter, I don't think has significant impact. The key question is: Where is it all going? I think you'll see some significant CapEx spend here before the end of the year from a tax perspective, and we're seeing opportunities. It's very Vince Delie: The CRE exposures at what? 180% now? Gary Guerrieri: We're at 182 from a CRE standpoint, and I think we talked about it at the last quarter's call. We're moving towards that inflection point. The opportunities are starting to increase in that space. We're seeing some very nice opportunities, solid equity positions with really top-tier clients. We expect that to be productive as we move into 2027 as well. Vince Delie: Yeah. Where I see a tougher road to hoe would be in the mortgage business moving forward with higher rates. That's going to be a headwind for mortgage. Go ahead, Boo. Speaker 8: Yes. Vince is right. We'll probably see some headwinds in mortgage, but our mortgage business is very different from other banks. Vince Delie: Oh, yeah. Speaker 8: It's primarily purchase. It's much less dependent on refi. We actually did an analysis a couple of weeks ago looking at the correlation to mortgage originations to interest rates. Our correlation is less than 1%, whereas the mortgage industry is over 97%. Vince Delie: Yeah. We do have an advantage in the purchase money strategy, and it shows statistically. We're well ahead of the industry in terms of originations for purchase money. Speaker 8: And the great thing about our mortgage business is that it brings new clients to our bank. They tend to be younger. We focus a lot on our Physicians First, which makes up a good portion of our portfolio mortgage. With that brings deposits, it brings direct deposits, it brings primary accounts and the like. To Vince's point, none of this stuff is rocket science, but it's hard. Vince Delie: Yeah. I think the aggregation tool that we deployed in the consumer space, in the consumer app's also going to help us on the loan side. I've been focusing on deposits, but we're going to be able to look at aggregated loan balances within our customer base and provide promotional offers to get them to refinance with us or outright analyze the implied interest rate and try to work with them to provide them with a product that maybe works a little better for them. Speaker 8: The bundling too. Vince Delie: Yeah, the bundling is another thing that we're working on. There's a lot of very exciting things, Danny. Loan growth, I'm not that concerned about. A loan-to-deposit ratio of 92%, a concentration in CRE of 180% is pretty solid for us. There's a lot of opportunity moving into next year that hinges on more of a geopolitical and economic environment than a lack of F.N.B. opportunity, let's put it that way. Daniel Tamayo: That's terrific color. Appreciate all of that from everyone. Maybe a follow-up on credit for Gary. It sounds like you're saying things are still pretty good, even though the charge-off rate was so low in the third quarter. I think, did you make a comment that there were some resolutions you're expecting in the fourth quarter that might bring that up higher in terms of charge-offs and then kind of a higher level similar to the loan growth side? Just curious on your thoughts on what these rates here and maybe a bit higher, if we get another hike in December, could mean for how you're thinking about overall credit quality. Gary Guerrieri: Yeah. Just to clarify my prepared remarks. In terms of the resolutions that I referenced, criticized loans were up slightly 40 basis points during the quarter. We already have expected upgrades and payoffs without any charge-off, no charge-offs relating to that. That will reduce that slight increase back to a net zero position. So that's what I was referencing, Danny, in reference to the expected resolutions. Again, those resolutions are occurring here early in the quarter with no charge-offs expected from that group of transactions that I referenced. What was the other part of the question? Daniel Tamayo: Just the impact of higher rates on kind of longer-term credit quality. Gary Guerrieri: Okay. Yeah, sure. In terms of the rate environment, we've not seen any impact at this point. Naturally, it's only 25 basis points, and it's early. In terms of our CRE portfolio, our maturity walls during the fourth quarter will have about a half a billion dollars that we'll be looking at from a renewal standpoint. As we look back over the last 12 to 18 months, generally speaking, about half of that is just paying off in the normal course of business. Half of it is being extended. The majority of that extended on a long-term basis because it's a solid project that needed a little more time. Very little of it is being extended on an extremely short-term basis because we're concerned about those particular projects. As we looked at 2027, $400 million a quarter to come up from a maturity wall standpoint, and we're all over those credits due to what we've all been through from an industry standpoint with CRE over the last three to four years or so, and there's nothing in there that's overly concerning to us at this point. So we're not expecting the current rate environment to impact our portfolio. Shocks of 100 to 150 basis points would cause some issues, I think, across the industry. But we've been very successful in working through that, as you've seen over the last three to four years, and we feel very confident that our portfolio will perform through any uptick in rates. Daniel Tamayo: Great, Callie. Thank you, Gary. I'll step back, guys. Gary Guerrieri: Thanks, Daniel. Operator: The next question comes from Casey Haire with Autonomous Research. Please go ahead. Casey Haire: Great. Thanks. Good morning, everyone. Gary Guerrieri: Good day. Casey Haire: Wanted to follow up on the deposit costs. I am not sure if I missed the spot deposit costs at 9:30. Just some updated thoughts on what cumulative beta expectations you guys are thinking about versus, I think it was 38% during the last cycle on a total basis and 53% on an interest-bearing. Vince Calabrese: Yeah, I would say regarding the beta space here, the last cycle is a good reference point to have the kind of the 30-40. If you look at the last year, we were 40% for total deposits through that last up cycle. It is a good reference point to use. We are very early in this cycle, and as we have done, we have done a very nice job managing the deposit cost side of things. Over this next cycle, who knows how long it is going to last, right? I think just for reference, history is probably just a good reference point to have out there. As far as the deposit costs for the average for the month of September- Gary Guerrieri: What was it? Vince Calabrese: Yeah, 179,240 kind of total and interest-bearing for the average for the month of September. Casey Haire: Okay, great. Excellent. Just wanted to circle back on the loan growth pipeline. So after a good quarter, it sounds like pipelines are robust, and you guys have a lot of confidence that another hike won't slow down loan growth. But at what point, because there are three hikes in the curve currently, at what point does Fed policy start to impact loan growth? Because we are hearing anecdotes where commercial borrowers are starting to balk at some of the prices they have to pay for capital. Vince Delie: Yeah. We don't play in the higher risk space. If we were in lev fin, for example, it would cause delays. It would cause people to say, "Hey, I can't accept the leverage. I can't make the debt service payments." So, we're not in high LTV, high velocity real estate transactions. So that's an area where it would impact. You really have to drill into the portfolio. I've said it for a long time. Gary and his team are excellent. They're very conservative. We take returns where there's measured risk, and we feel confident that the ability to repay is there. Most of our borrowers engage in some sort of swap or derivative to fix the rate. So, as you noticed, we got the benefit from the SOFR elevation. Vince was right. I want to tell him. He forecasted SOFR to the penny. I don't know if you remember the last call. You should look at the transcript. Basically, it's true. Vince Calabrese: It worked out. Vince Delie: It worked out. I don't know how. Casey Haire: No, that was good. It was 373 on the nose. That was- Gary Guerrieri: Exactly. Casey Haire: Not live, but it Vince Delie: Thank you, Casey. Casey Haire: Yeah. Vince Delie: We've been rubbing his head, like trying to figure out where rates are going. We're like, "Vince, tell us what's happening next." But I think those are the businesses that are going to suffer the most. That's where you're going to see delays in CapEx spend, maybe pull back from lenders that aren't going to accept thinner debt service coverage. I think in our book, most of the companies that we deal with have substantial cash flow and significant debt service coverage. So the interest rate environment is a factor. They're going to take it into consideration, but it's not going to stop them from moving forward on something that's going to benefit them in the long run. If you look at what's happening with investment in the U.S., there's billions of dollars flowing in. The current administration talks about it, but it is for real. I know the media doesn't really cover it much, but over $20 billion in, I think it might be $20 trillion, right? I can't remember the number. It's huge. No, it's $20 billion in investment coming into the U.S., not just in data centers, but kind of across a broad spectrum of industries. Ultimately, that leads to expansion of manufacturing capabilities and the need for CapEx spend. So I think that is a positive, right? Especially for the businesses that we lend to. Gary Guerrieri: And Casey, the other thing that I would add, we're pretty aggressive on the origination side of things from an underwriting perspective with shock rates. We'll shock these underwriting to 300 and 400 basis points. I'm sure that's happening across the industry. We probably pay more attention to that than most in our credit selection. So we have a built-in cushion there pretty much across the board that is important to us. So I think that helps through cycles. Vince Delie: And that goes back to what I said earlier, Gary, because those shocks wouldn't work. If you have a highly levered transaction and you do a pro forma and you're shocking interest rates 300 basis points, typically they don't carry debt service. So that underwriting methodology is automatically going to eliminate borrowers that essentially may be pulling back at this stage of the game, right? Or could worse trigger defaults, right? If you've already put them on the books. Anyway, I think Gary does a great job and his team's terrific, Tom and Gary, and we've benefited from that for a long time. Continue to. Casey Haire: Great. Thanks, guys. Vince Delie: Anything else, Case? Casey Haire: All set. Thank you. Vince Delie: All right. Thank you. Gary Guerrieri: Thank you. Operator: The next question comes from Russell Gunther with Stephens. Please go ahead. Nick: Hey, good morning, guys. This is Nick filling in for Russell. Vince Delie: Hey, Nick. Nick: Hey. I wanted to start off on fees. Last quarter, I believe you guys highlighted investment banking, treasury and wealth as areas that should support fee growth in the second half. Given the three-quarter performance, how are you guys thinking about the composition of that roughly $94 million implied 4Q fee contribution? Are there any areas that are now tracking differently from what you expected coming into the quarter? Vince Delie: Well, we had a surge in derivative activity after the quarter. Unfortunately, the timing wasn't great for this quarter, but for next quarter, that bodes well. We had some fairly substantial derivative fee income that rolled in the last week or so. I don't know. It's hard to forecast where that goes from here because we saw a big jump in rates from the last Fed increase. I would suspect that anybody that's looking to fix a rate should be considering it given the outlook for at least 50% of their debt. We're pretty optimistic about that. We've got several investment banking opportunities in the queue, public finance and corporate finance that should help there. We're doing really well from a TM perspective with treasury management fees and merchant fee income, working to optimize interchange, so there's upside in interchange. I think when we look at it, we gave you the guide because we feel confident that we can deliver, and that's what we're going to try to do. Vince Calabrese: Yeah, I would add too, if we look at it from a PPNR standpoint, the modest increase you saw second to third quarter with a couple of things. First of all, in the second quarter, we had much higher residual gains in our equipment finance business, like $3.7 million. That was in other income, kind of 2Q to 3Q. That's kind of lumpy. You don't have that every quarter. Then if you go through the components. So the fee income, that plus the fee income was the main driver to it not being up more. The capital markets decrease reflected we had record level of debt capital markets in the second quarter. The move in interest rates delayed swap execution, as Vince talked about. We have a good start to the fourth quarter. But with rates moving up, some customers decided to hold off on swaps they were looking to execute. Mortgage banking had impacts from higher rates on production, as well as fair value impacts that affected the third quarter figure. Then if you kind of look ahead and why we're confident in hitting the PPNR number for the fourth quarter is for several things. Loans and deposits on a spot basis were $400 million to $700 million higher than the average balance. So that gives you a good start from a net interest income standpoint to the fourth quarter. The full quarter benefit of loan repricing to SOFR as well as prime rate change that happened in mid-September. We get a full quarter's benefit of that. In the investment portfolio, we're investing 200 to 250 basis points higher than where rates are rolling off. Then we do expect to bounce back, like Vince commented on in capital markets as well as mortgage capital markets has a very strong pipeline. Then expenses overall is in our guides expected to decrease. We had some inflated legal costs Vince Delie: Fraud losses were elevated. We have a SWAT team going after that to bring that number back down. New leadership in our financial crimes unit. The down payment assistance component. Those are three kind of chunky things that will lessen as you go into the fourth quarter. If you roll all that up, well, I know people commented on the PPNR miss in the third quarter, but we are confident in having a nice rebound in that in the fourth quarter. For the full year, the PPNR growth is nice and the operating leverage is very strong. Nick: Got it. That is great color. I will step back. Thank you for taking my questions. Vince Delie: Yeah. Thank you. Gary Guerrieri: Thanks. Operator: The next question comes from Terry McEvoy with Wells Fargo. Please go ahead. Terry McEvoy: Hi. Thanks. Good morning. Thanks for taking my questions. Market expectations have changed over the last couple of months in terms of what the Fed's expected to do with rates. How has that impacted your asset liability positioning, and how are you evaluating derivatives to either protect capital or protect net interest income? Vince Calabrese: I would say, we continue to manage our asset liability position to fairly neutral more a little bit asset sensitive right now. I think there's really very little change Q2 and Q3, and I think we'll continue to manage that way. Terry McEvoy: Right. I thought your comments on the manufacturing sector driving the C&I growth was insightful. Was that specific industry verticals you're focused on? Was that simply the markets or maybe some of the investments coming into the country that was mentioned a few minutes ago? Vince Delie: Well, I think a lot of it's coming through in the equipment finance business early, right? The first thing that happens is the companies go out and start to procure equipment to deal with increase in demand. We're seeing that. There's an incentive, with bonus depreciation, to do it quickly. So there was a surge in that type of investment. Usually that's a precursor to overall large CapEx investment. So I think that's to follow. I don't even think we've seen it yet. So we're starting to see it emerge. The supply chain for these industries is pretty deep. Automotive, even the data centers that are being built there's structural steel components. There's all kinds of stuff that goes into building these data centers. There's quite a bit of new construction going on across the Southeast. The light manufacturing facilities, owner-occupied facilities, expansion of owner-occupied. In the supply chain for a variety of industries there's a ripple effect. It kind of ripples through the manufacturing sector. We're seeing benefits across the board. Transportation remains strong even though there are periods where it slows. It seems like it's still coming back pretty strong. At least our clients are doing pretty well. I think that all bodes well for us moving into next year, barring some, like I said before, some crazy geopolitical or economic scenario. Gary Guerrieri: Just to add to Vince's comments, the manufacturing space has always been important to us organizationally. It's what we've all done for our banking careers from Vince all the way through many of our bankers. We hold a good position there. We understand the business, and we have a lot of clients that we have banked for many, many years over the course of our careers. It continues to be a really key segment for us moving forward. Terry McEvoy: I appreciate the color. Thank you. Gary Guerrieri: Sure thing. Operator: The next question comes from Timur Braziler with UBS. Please go ahead. Timur Braziler: Hi, good morning. Going back to some of the fee income comments. I think, Vince, you had called out that you were lead left on a pretty large public finance deal. Was that in 3Q and/or 4Q? Then I guess maybe more broadly as you're thinking about the investment banking rollout, public finance. I think last time we spoke you guys mentioned they're both kind of in the first inning of the build-out there. Just what does that trajectory look like? Is there incremental investments that need to take place within some of these fee income verticals to get them up to where you think they ultimately get to? Vince Delie: Yeah, those are great questions. The public finance transaction where we were lead left occurs in the fourth quarter, so it has not closed yet. We won the business, we won the mandate, which we were excited about. But we've already closed several large transactions where we were a participant in the bond offering. So we benefited from the economics of issuing debt. That should continue into the fourth quarter. There are others that were other larger deals that are coming that we're going to be part of the syndicate. So we'll benefit there in public finance. If you look at investment banking, the team that we hired basically is only now starting to make penetration into the customer base. So we're starting to see some really good leads coming out. I was on a call last week where there was tremendous opportunity for us to partner with one of our clients who's acquisitive. There's going to be continued opportunities there without a lot of added expense. In public finance, there's some build-out that has to occur from a sales and trading perspective as we continue to evolve and grow. But as we've said before, our plan is to generate revenue and leg into the build-out. So the CapEx or the investments, let's say, not necessarily CapEx, but personnel investment that goes into those areas. We should be able to handle within our efficiency ratio guide. I think it's because we're balancing revenue, right, with the addition of personnel, and we've been able to do that with a pretty thin staff to date. That's how we've grown most of our businesses. Speaker 8: I think national banking is a good case for that, I mean, that's consistently a couple million dollars a quarter, and we started that from scratch and added to it as we grew. Vince Delie: That started with one person. All of our businesses, we're not going to launch, we're not a huge investment bank. We're going to bring in a lot of people and put them on the bench and tell them to go generate revenue. We're kind of legging into this based upon opportunities and Speaker 8: We've done that with 11 businesses now. Vince Delie: Yeah. Speaker 8: From scratch or small and then grew it. Vince Delie: Significant increase in non-interest income over time is attributed to those 11 businesses because we shrunk the consumer fee income significantly during that same period. Right? Even though we've grown the number of clients. If you look at the fees per account, they're down with overdraft fees and other things declining. We've been able to do a pretty good job of creating a very diverse set of businesses that generate high value fee income. If we go back, I think if we go back 15 years, right, $160 million up to where we are today. Speaker 8: 369. Vince Delie: More than doubling. Speaker 8: Yep. Vince Delie: It seems to work. Speaker 8: If you look at page 17 of our investor deck, and you look at where the contributions of fee income are, they are largely demonstrating from CSR clients, right? Vince Delie: Right. Speaker 8: It is transaction charges, it is wealth management. If you look over time, we have been able to do this without meaningfully increasing our efficiency ratio. Vince Delie: Right. Speaker 8: These are historically higher efficiency ratio businesses, but by virtue of a lot of the expense management that you have seen over years, I mean, this is over 10 years now. The efficiency ratio has really maintained over time. Vince Delie: Yep. There is one other. We started another boutique business within the wealth segment itself because we are now going to support family offices with our high net worth team. So there is some opportunity there as well. But Alfred is right. I mean, we have been able to maintain the efficiency ratio. These typically are higher return businesses, but they have an impact on the efficiency ratio because there is a larger expense burden associated with the personnel that are brought in. So, with compensation, variable compensation, base compensation. So we have been able to manage that very well over a long period of time. Anyway, I hope that answers your question. Timur Braziler: No, that's good color. I appreciate all that. Thank you. Then maybe just another one on the mortgage portfolio. It's been a couple of quarters now where the commentary has been that it's either slowing or more of that is going to maybe get sold into the secondary market and the growth there still remains pretty robust. Is the thought here that concentration stays right around 30% and that business line grows alongside some of the commercial verticals? Or maybe as CRE comes back online, either production slows or more of that is sold off. Vince Delie: No, I think the percentage will decline over time simply because we're going to out generate others deposits, and we're going to deploy those deposits into our C&I and other categories. I think as a percentage, to your point, this should decline just by the nature of the opportunities that exist out there for us. I think the mortgage business for us, the stuff that's going on the balance sheet is very high quality for the most part. Very high quality mortgage loans, that super high credit scores. A lot of Physicians First loans are coming on. We're putting them on the balance sheet, right? Timur Braziler: Right. Vince Delie: Because they have certain special aspects to the offering. But outside of that, I would expect us to continue to move performing mortgage loans out and service them. So, we would expect that to continue. Moving into a purchase money environment like we are, that'll happen more frequently. So, the margins will be a little thinner because interest rates went up so significantly. So selling a mortgage loan servicing retained, you're going to get a lower margin than you would have in the lower rate environment. But nonetheless, our goal is to move it off the balance sheet. We also periodically look at portfolios to sell. So, some banks have announced big sales. We do little bites. I don't know, if you go back and look, you'll see we package up a small portfolio and then sell it. That's happened pretty regularly over the last seven, eight years, and that continues to be our plan. We constantly evaluate single household mortgage loans, anything that doesn't fit our franchise footprint, or we don't see opportunities to grow with the customer. We'll package it up and sell it post-close once it's on the balance sheet. So we don't rule that out either. Speaker 8: Yeah, there's also some seasonality that drives that percentage up with the Physicians First. So we keep those on balance sheet, and that kind of moves the percentage up. One other factor, too, the commercial real estate, as we talked about, we've been having payoffs. That's been kind of running down. When that turns, that'll move that back up and also affect the concentration from a mortgage perspective. Vince Delie: That was the point you raised is that Speaker 8: That's right. Vince Delie: Yeah. Maintain this, given the changes that are coming with loan demand. Vince Delie: I would say it comes down as a percentage of the- Speaker 8: Yeah, more like 25 would be how I would value. Vince Delie: Yeah. Speaker 8: 25%. Timur Braziler: Great. Thank you, guys. Appreciate the call. Speaker 8: Thank you. Operator: The next question comes from Manuel Navas with Piper Sandler. Please go ahead. Manuel Navas: Hey, good morning. Speaker 8: Good morning. Manuel Navas: The midpoint in the NII for next quarter implies pretty continued strong NIM expansion. Can you talk a little bit more in depth about the near-term NIM dynamics? Do you have a September NIM as well? Vince Calabrese: Yeah. September NIM was within a basis point of the quarter. It was 328. The quarter was 329. So pretty much in line with that. What's baked into our guidance is the margin going up kind of gradually, in the low to mid-single digits kind of movement in margin kind of third quarter to fourth quarter. The items that I mentioned before, you're going to get the full quarter's benefit of the repricings that occurred in the middle of September, plus SOFR being higher in the 390s. 393, I think it was yesterday. You'll get full quarter's benefit of that. So that also kind of feeds into that. Manuel Navas: There's still some seasonality in deposit flows and the pipeline for commercial is still pretty strong too. So there's some potential deposit help as well? Vince Calabrese: Yeah. As I mentioned too, the spot balance is being significantly above the average for the quarter. Particularly on the loan side, so driving that interest income is also a factor in the investment, any reinvestment on the securities portfolio. Which is, like I said, 200-250 basis points. Today, it's probably 250 basis points above where securities are rolling off. Manuel Navas: Okay. We have talked about the CRE balances kind of churning at some point. Could you just remind us some of the dynamics there, and what timing do you think that could start building again? Gary Guerrieri: Manuel, in terms of where we sit today with expected moves out of the portfolio into the secondary market, we actually look at Q4 as right now being a little less than originally expected. We have had a few transactions click over the calendar at year-end into the first quarter. I would say early in 2027, you will see the lines cross over there and we will start to see that balance move in the other direction up to the positive side of that equation. Manuel Navas: Okay. I appreciate that. My last question here is kind of a refresh on capital deployment priorities. CET1 is still really strong. Could the buyback accelerate here, and what could get you to become interested in M&A? Just some comments on capital deployment at this current moment. Vince Delie: I think as we look at deploying capital, we continue to maintain the same strategy, which is to do what we think is best from an earn back perspective and an accretion perspective. So we are focused on a couple of things. You have seen a big pickup in our buyback activity because we have capital. We get flexibility to do that. We increased the dividend a quarter or so ago. So I think there is room to do things. From M&A perspective, if we found something that was accretive to capital, accretive to earnings, and did not hurt our deposit mix and provided really high IRRs, sure, we would look at a deal with an earn back that is reasonable. But as far as I am concerned, there is not as much as people think out there that is attractive, and we built a very attractive franchise. It is performing extraordinarily well from an organic growth perspective. We continue to invest in our capabilities to take share from larger competitors and smaller ones alike. We are going to continue to drive that, ride that train, right? If something came along that looked good fit, was accretive, like some of the smaller deals that we did in the last few years, that makes a lot of sense to us. We would look at it. But again, this is all being looked at relative to the absolute best deployment of capital with the highest returns and the best outcome for the shareholders. That one has to go. Speaker 8: I think the key point is it gives us optionality. Vince Delie: Right. Vince Calabrese: Our AOCI-adjusted CET1 ratio is higher than the stated CET1 ratio for a lot of the banks that have reported already, right? Basel III endgame probably adds some pickup there as well. So we have gotten a lot of capital flexibility. Vince Delie: Right. Vince Calabrese: You have seen us deploy that into lending, which makes a ton of sense. You have seen us deploy that into buybacks and dividends. I think that is a reflection of the capital generation capability of the organization. So as investors, you will see a ton of optionality that we have by virtue of the business model. Vince Delie: Right. I think we haven't changed our philosophy. I guess that's what I'm saying. It's still the same. Vince Calabrese: Yeah. Just to put the buybacks in context, right? So for the first nine months, we repurchased $133 million. Last year was $32 million. We did $51 million this quarter. I think it continues to be very attractive. The stock's lower than it was where we were buying in the third quarter. Clearly there's opportunity to continue to be active on the buyback side. Manuel Navas: Thank you. I appreciate the commentary. Gary Guerrieri: No problem. Thank you. Operator: The next question comes from Brian Martin with Brean Capital. Please go ahead. Brian Martin: Hey, good morning, everyone. Thanks for taking the questions. Just a couple of follow-ups, I guess, just from what you guys have said. On the loan outlook, sounds like the outlook heading into this fourth quarter and next year is more C&I and CRE focused. Is that leading the charge? That's accurate? Just making sure I understand what you're saying there. Gary Guerrieri: I would agree with that, Brian. Yes. Vince Calabrese: Yep. Brian Martin: Got you. Okay. Just on, I guess, Vince Calabrese, just on the margin, I think, just in general, can you just remind us, I know it's preliminary given you haven't given guidance for, or at least outlook for next year, but just the impact of the potential rate hikes and how you're thinking about those as you look into 2027 on the margin. Vince Calabrese: Yeah, I would just say, just building off what Scott said earlier, from an interest rate risk standpoint, we're slightly asset sensitive but pretty close to neutral. So the impact really as you look ahead into next year, it's not material. Brian Martin: Got you. Okay. Just confirming that. Then just, Vince, the new loan yields. You talked about deposits, but just where are new loans coming on today if you can, I guess, broadly comment on that? Vince Calabrese: Yeah. For the month of September, they came on at 570, which is 13 basis points higher than the portfolio yield. So that was the level for the month of September. Brian Martin: Okay. Are they better for the C&I and CRE that are going to lead, I guess, potentially the growth. Are they better on those, I guess, the yields there? How are those versus that average for the September? Vince Calabrese: That's the all-in, Brian, because it Brian Martin: Yeah. Okay. Vince Calabrese: mix change quarter, so I don't want to get that precise. Brian Martin: Yeah. Okay. I got you. Did you say, Vince, maybe I misunderstood you. I think you commented somewhere there about a rebound in mortgage. I did not know if that was in relation to fee income and kind of gain on sale line, or maybe just if that is what I was wondering on just to clarify that into fourth quarter. Vince Calabrese: Yeah. No, just fee income moving up from third quarter level. Not materially, but that it would bounce back up from where it was in the third quarter. The other element to your initial question, Brian, too, is on the commercial real estate. The rates on those that are paying off are higher. Brian Martin: Yeah. Vince Calabrese: That is a headwind to margins that when that turns, as Gary commented, that also will be additive from a margin standpoint. Brian Martin: Right. Okay. That is what I was asking. Thanks for clarifying that, Vince. Just last one for me is on Gary. Given the uptick in rates here, I guess any industries, obviously credit is great, and your team has done a great job. Just any areas you are watching more closely today from a credit standpoint as you look into the next couple quarters or into next year? Gary Guerrieri: Yeah. Naturally the CRE maturity wall quarter-by-quarter outlook is one that we watch very closely because interest rate movements can impact values and can impact debt service coverages. That's something that we're constantly all over. Naturally, the commercial C&I borrowers get impacted as well. Primarily the smaller business clients can see some more impact from that. It's part of our management of risk across the portfolio when interest rates start changing and we're looking at each and every portfolio on a regular basis, Brian, to stay ahead of that. Again, just a focus of the team in managing the risk on a day-to-day basis, and we'll continue to do that as we have. Brian Martin: Okay. That's it for me, guys. Thank you very much. Gary Guerrieri: Yeah, thank you. Take care, Brian. Operator: The next question comes from Kelly Motta with KBW. Please go ahead. Kelly Motta: Hey, thank you so much. I have a really quick follow-up. Just a minor point of clarification from the transcript thus far. The comment about deposits being on the lower end of the mid-single digit range, was that a comment about the full year or indeed a comment about Q4? Thank you. Vince Calabrese: Yeah, no, the mid-single digit guide, what I'm saying is there's a range that would imply. So kind of normal activity gets you to the low end of that range, but we have a variety of initiatives. We have a very strong treasury management pipeline. We have a variety of initiatives on the retail side to drive additional deposits. So the more successful we are on those, you get more into the mid of the mid-single digits. So that was what I was saying. It was probably confusing the way that I said it. Kelly Motta: No, I really appreciate the clarity. Thank you so much. Vince Calabrese: You're welcome. Thanks. Gary Guerrieri: Thanks. Operator: This concludes our question and answer session. I would like to turn the conference back over to Vince Delie for any closing remarks. Vince Delie: Thank you everybody. Really appreciate the questions. A lot of very detailed questions. I would like to congratulate our team and thank everybody. We had a whole village here presenting to you. Everybody chipped in, and I appreciate that. We have a very good, strong leadership team across the company, and we have a group of people here that are very capable of driving the business that we have and answering these questions. We are lucky to have them here. Thank you for your interest, and we appreciate you participating in the call. Thank you. Operator: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in F.n.b., consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and F.n.b. wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $376,696!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,333,920!* Now, it's worth noting Stock Advisor's total average return is 925% — a market-crushing outperformance compared to 212% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of October 20, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. FNB (FNB) Q3 2026 Earnings Call Transcript was originally published by The Motley Fool

- Interested in F.N.B. Corporation? Here are five stocks we like better. - Strong third-quarter results: F.N.B. reported $153 million in net income, or $0.43 per share, supported by record $377 million in net interest income, 8.5% annualized loan growth and a net interest margin that rose to 3.29%. - Balance sheet and credit remained healthy: Deposits increased $871 million sequentially, while net charge-offs improved to 12 basis points and nonperforming loans remained low at 33 basis points. Management noted a rise in criticized loans but expects upgrades and payoffs to offset potential losses. - 2026 outlook updated: F.N.B. maintained mid-single-digit loan and deposit growth expectations, revised net interest income guidance to $1.485 billion-$1.5 billion and provision expense guidance to $80 million-$90 million, and continued share repurchases with more than $200 million remaining under authorization. F.N.B. (NYSE:FNB) reported third-quarter net income of $153 million, or $0.43 per share, as record net interest income, loan growth and a higher net interest margin supported results. Year-to-date earnings per share totaled $1.23, up 13% from the comparable period in 2025. Chairman, President and CEO Vince Delie said quarterly revenue reached $469 million, including a record $377 million of net interest income. The company's net interest margin increased four basis points from the prior quarter to 3.29%. → The AI Sell-Off Continues—These 3 Stocks Keep Raising Guidance Anyway "F.N.B. produced solid revenue," Delie said, pointing to its diversified income sources, loan growth and market-share gains across its geographic footprint. Total loans and leases ended the quarter at $36.5 billion, increasing at an 8.5% annualized linked-quarter rate. Chief Financial Officer Vince Calabrese said consumer loans rose by $435 million and commercial loans and leases increased by $333 million during the quarter. Commercial-and-industrial loans grew by $407 million, or a 20% annualized linked-quarter rate, with growth across several markets, including Cleveland and Pennsylvania. → Tesla's Roadster Reveal Hints at 2 Much Bigger Moves Consumer loan growth was supported by seasonal residential mortgage production, home equity lines of credit and indirect auto lending. Commercial real estate balances declined by $90 million from the prior quarter, reflecting expected payoffs and secondary-market activity. Total deposits increased $871 million sequentially, equivalent to a 9% annualized growth rate. The increase was driven by non-interest-bearing deposits, low-cost transaction accounts and money market balances, according to Calabrese. Non-interest-bearing deposits grew $78 million from the prior quarter and remained 26% of total deposits, a level the company has maintained for eight consecutive quarters. → Luxury's Middle Market Is Cracking—These 3 Stocks Could Win The loan-to-deposit ratio was unchanged from the prior quarter at 92.4%. The cost of interest-bearing deposits increased by one basis point, while total cost of funds increased two basis points to 2.01%. Calabrese said September net interest margin was 3.28%, close to the quarterly level. He said F.N.B. expects margin to increase gradually in the fourth quarter, supported by a full-quarter benefit from loan repricing, higher SOFR rates, securities reinvestment and elevated spot loan balances. Chief Credit Officer Gary Guerrieri described credit performance as consistent across the portfolio. Delinquencies totaled 75 basis points, up slightly from the prior quarter, while nonperforming loans and other real estate owned stood at 33 basis points. Net charge-offs improved to 12 basis points from 19 basis points in the second quarter. Provision expense totaled $19.2 million, supporting loan growth. The funded reserve ended the quarter at $455 million, or 1.25% of loans; including acquired unamortized loan discounts, the reserve was 1.29%. Nonperforming loan coverage stood at 396%, including those discounts. Guerrieri said criticized loans rose 40 basis points during the quarter, but the company expects upgrades and payoffs to offset that increase without expected charge-offs. F.N.B. continues to maintain qualitative reserve overlays related to potential supply-chain effects from Middle East events, oil and diesel price volatility, and tariff uncertainty in North America. Management said it is monitoring commercial real estate maturities and the potential impact of higher rates, although Guerrieri said the current rate environment has not materially affected portfolio performance. He said approximately $500 million of commercial real estate maturities will be reviewed during the fourth quarter, while 2027 maturities are expected to average about $400 million per quarter. Non-interest income totaled $93 million. Service charges increased 5.7% from a year earlier, helped by treasury-management revenue and consumer transaction volumes. Insurance commissions and fees rose 20%, largely due to property-and-casualty business growth, while wealth-management revenue increased nearly 4% to $21 million. Delie said F.N.B. is expanding fee-based operations, including investment banking, public finance and a Family Wealth Program serving ultra-high-net-worth clients. He said investment banking has closed several transactions and has additional opportunities in its pipeline, while public finance has participated in several bond underwritings and received a lead-left mandate on a transaction expected to occur in the fourth quarter. The company also discussed planned technology investments, including its Insight 360 platform, an AI-enabled customer aggregation and insights tool. Delie said the platform is intended to help customers consolidate information across banking relationships while helping F.N.B. identify opportunities to deepen household relationships, expand deposits and offer lending or promotional products. Non-interest expense was $257 million, up 4.5% year over year when adjusted for an FDIC special assessment reduction in the prior-year period. The efficiency ratio was 53.7%. F.N.B. repurchased $51 million, or 2.7 million shares, during the third quarter. Through the first nine months, it repurchased $133 million, or 7.4 million shares, compared with $32 million during the same period of 2025. More than $200 million remained under its repurchase authorization at quarter-end. The CET1 ratio was 11.3%, and the tangible common equity ratio was 8.7%. F.N.B. maintained its expectation for full-year period-end loans and deposits to grow at a mid-single-digit rate. Management said deposit growth could finish near the lower end of that range under normal activity, with potential for stronger growth if treasury-management and retail deposit initiatives produce additional wins. - Net interest income guidance was revised to $1.485 billion to $1.5 billion. - Non-interest income guidance was narrowed to $370 million to $380 million. - Non-interest expense guidance remained $1.01 billion to $1.02 billion, with results expected near the higher end. - Provision expense guidance was revised to $80 million to $90 million. - The effective tax rate is expected to be between 21% and 22%, excluding potential investment tax credit activity. Management said it continues to expect positive operating leverage for the full year, while remaining mindful of uncertain macroeconomic and geopolitical conditions. F.N.B. Corporation (NYSE: FNB) is a diversified financial services company headquartered in Pittsburgh, Pennsylvania. Through its principal subsidiary, First National Bank, the company provides banking, lending and wealth management services to individuals, families, businesses and government entities. FNB's offerings include checking and savings accounts, certificates of deposit, residential and consumer loans, commercial real estate and business lending, treasury management and cash-management services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "What F.N.B. (FNB) Said on Its Q3 Earnings Call" was originally published by MarketBeat. View MarketBeat's top stocks for October 2026.

For the quarter ended September 2026, F.N.B. (FNB) reported revenue of $469.12 million, up 2.6% over the same period last year. EPS came in at $0.43, compared to $0.41 in the year-ago quarter. The reported revenue represents a surprise of -1.42% over the Zacks Consensus Estimate of $475.89 million. With the consensus EPS estimate being $0.43, the company has not delivered EPS surprise. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how F.N.B. performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: - Efficiency Ratio: 53.7% compared to the 53.2% average estimate based on five analysts. - Net Interest Margin: 3.3% versus 3.3% estimated by five analysts on average. - Net charge-offs to average loans: 0.1% compared to the 0.2% average estimate based on four analysts. - Average Balance - Total interest earning assets: $45.99 billion compared to the $46.22 billion average estimate based on three analysts. - Total Non-Performing Loans: $119 million compared to the $111.31 million average estimate based on three analysts. - Total Non-Performing Assets: $121 million versus the two-analyst average estimate of $111.46 million. - Leverage Ratio: 9.3% versus the two-analyst average estimate of 9.2%. - Total Non-Interest Income: $92.6 million versus $96.94 million estimated by five analysts on average. - Insurance commissions and fees: $5.39 million versus the four-analyst average estimate of $5.12 million. - Net interest income (FTE): $379.67 million compared to the $380.26 million average estimate based on four analysts. - Securities commissions and fees: $9.13 million compared to the $9.58 million average estimate based on four analysts. - Mortgage banking operations: $5.57 million versus $6.79 million estimated by four analysts on average. View all Key Company Metrics for F.N.B. here>>> Shares of F.N.B. have returned -3.9% over the past month versus the Zacks S&P 500 composite's +1.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report F.N.B. Corporation (FNB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

F.N.B. (FNB) came out with quarterly earnings of $0.43 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this financial holding company would post earnings of $0.42 per share when it actually produced earnings of $0.42, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates just once. F.N.B., which belongs to the Zacks Banks - Southeast industry, posted revenues of $469.12 million for the quarter ended September 2026, missing the Zacks Consensus Estimate by 1.42%. This compares to year-ago revenues of $457.44 million. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. F.N.B. shares have added about 0.8% since the beginning of the year versus the S&P 500's gain of 11.9%. While F.N.B. has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for F.N.B. was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.47 on $484.94 million in revenues for the coming quarter and $1.70 on $1.88 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Banks - Southeast is currently in the top 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Pinnacle Financial (PNFP), has yet to report results for the quarter ended September 2026. The results are expected to be released on October 21. This regional bank operator is expected to post quarterly earnings of $2.61 per share in its upcoming report, which represents a year-over-year change of +15%. The consensus EPS estimate for the quarter has been revised 0.7% higher over the last 30 days to the current level. Pinnacle Financial's revenues are expected to be $1.28 billion, up 135.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report F.N.B. Corporation (FNB) : Free Stock Analysis Report Pinnacle Financial Partners, Inc. (PNFP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Regional banking company F.N.B. Corporation (NYSE:FNB) will be announcing earnings results this Monday after the bell. Here's what you need to know. F.N.B. Corporation missed analysts' revenue expectations last quarter, reporting revenues of $465.8 million, up 5.6% year on year. It was a softer quarter for the company, with a miss of analysts' net interest income estimates and EPS in line with analysts' estimates. Is F.N.B. Corporation a buy or sell going into earnings? Read our full analysis here, it's free for active Edge members. This quarter, the market is expecting F.N.B. Corporation's revenue to grow 3.7% year on year, slowing from the 10.7% increase it recorded in the same quarter last year. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. F.N.B. Corporation has missed Wall Street's revenue estimates multiple times over the last two years. Looking at F.N.B. Corporation's peers in the regional banks segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Independent Bank delivered year-on-year revenue growth of 7.4%, beating analysts' expectations by 0.6%, and Regions Financial reported revenues up 2.6%, topping estimates by 0.6%. Independent Bank traded up 3.6% following the results. Read our full analysis of Independent Bank's results here and Regions Financial's results here. In the last year or so, investors have shifted their focus from one macro dynamic to the next (AI disintermediation and AI investment to geopolitical conflict, interest rates, and the health of the wider economy). While some of the regional banks stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 5.1% on average over the last month. F.N.B. Corporation is down 4.5% during the same time and is heading into earnings with an average analyst price target of $20.56 (compared to the current share price of $17.13). WHILE YOU'RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You've probably never heard of it. This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.

Wall Street analysts forecast that F.N.B. (FNB) will report quarterly earnings of $0.43 per share in its upcoming release, pointing to a year-over-year increase of 4.9%. It is anticipated that revenues will amount to $475.89 million, exhibiting an increase of 4% compared to the year-ago quarter. Over the last 30 days, there has been an upward revision of 0.6% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe. Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock. While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding. Bearing this in mind, let's now explore the average estimates of specific F.N.B. metrics that are commonly monitored and projected by Wall Street analysts. The collective assessment of analysts points to an estimated 'Efficiency Ratio' of 53.2%. Compared to the current estimate, the company reported 52.4% in the same quarter of the previous year. The consensus among analysts is that 'Net Interest Margin' will reach 3.3%. Compared to the present estimate, the company reported 3.3% in the same quarter last year. The consensus estimate for 'Average Balance - Total interest earning assets' stands at $46.22 billion. The estimate is in contrast to the year-ago figure of $44.48 billion. Based on the collective assessment of analysts, 'Total Non-Performing Loans' should arrive at $111.31 million. The estimate compares to the year-ago value of $125.00 million. It is projected by analysts that the 'Total Non-Performing Assets' will reach $111.46 million. Compared to the present estimate, the company reported $128.00 million in the same quarter last year. The average prediction of analysts places 'Total Non-Interest Income' at $96.94 million. The estimate compares to the year-ago value of $98.17 million. Analysts expect 'Insurance commissions and fees' to come in at $5.12 million. The estimate is in contrast to the year-ago figure of $4.50 million. Analysts predict that the 'Net interest income (FTE)' will reach $380.26 million. Compared to the present estimate, the company reported $362.42 million in the same quarter last year. According to the collective judgment of analysts, 'Securities commissions and fees' should come in at $9.58 million. The estimate compares to the year-ago value of $8.87 million. Analysts forecast 'Mortgage banking operations' to reach $6.79 million. Compared to the present estimate, the company reported $9.18 million in the same quarter last year. Analysts' assessment points toward 'Trust services' reaching $12.63 million. Compared to the current estimate, the company reported $11.65 million in the same quarter of the previous year. The combined assessment of analysts suggests that 'Bank owned life insurance' will likely reach $4.46 million. Compared to the present estimate, the company reported $4.21 million in the same quarter last year. View all Key Company Metrics for F.N.B. here>>> Shares of F.N.B. have demonstrated returns of -6.6% over the past month compared to the Zacks S&P 500 composite's +2.1% change. With a Zacks Rank #3 (Hold), FNB is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> . Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report F.N.B. Corporation (FNB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research