First Financial Bancorp · Q2 2023 earnings

Briefing

Reported strong second-quarter earnings, driven by net interest margin and fee income.

First Financial Bancorp reported a net income of $65.7 million, or $0.69 per diluted common share, for the three months ended June 30, 2023. Adjusted earnings per share were $0.72, a 29% increase compared to the same quarter in 2022. The company's net interest margin exceeded expectations, and fee income performed strongly, particularly in mortgage banking, client swaps, and wealth management.

• Earnings per diluted share were $0.69, or $0.72 on an adjusted basis, a 29% increase year-over-year.
• Return on average assets was 1.55%, or 1.62% on an adjusted basis.
• Net interest margin on a fully tax-equivalent basis was 4.48%, a 7 bp decrease from the linked quarter.
• Adjusted fee income was strong at $53.5 million, driven by foreign exchange and wealth management.

Headline financials

Revenue & EPS history

The company expects its balance sheet position, strong net interest margin, consistent loan growth, robust fee income, and stable asset quality to sustain its performance in the back half of the year. Additionally, the company's earnings power, strong and increasing capital levels, and high reserve levels provide additional support in the event of an economic downturn.