Sign in Subscribe
Banking industry

First Citizens BancShares Reports Strong Second Quarter Earnings, Announces Share Repurchase Plan

Strategic Insights

— 1 min read

First Citizens BancShares, Inc. reported robust financial results for the second quarter of 2024, driven by broad-based loan and deposit growth, strong profitability metrics, and continued credit stabilization. The banking institution's Chairman and CEO, Frank B. Holding, Jr., expressed satisfaction with the performance, highlighting the solid performance from all business segments, including the SVB Commercial segment, which achieved loan and deposit growth. The company also announced a share repurchase plan for the repurchase of up to $3.5 billion of its Class A common shares, with repurchases expected to begin in the third quarter of 2024.

Key Takeaways:

  • Net income for the second quarter of 2024 was $707 million, a decrease of $24 million from the first quarter of 2024.
  • Net income available to common stockholders for the second quarter was $691 million, or $47.54 per diluted common share, a $25 million decrease from the first quarter.
  • Adjusted net income for the second quarter was $755 million, with adjusted net income available to common stockholders being $739 million, or $50.87 per diluted common share.
  • The purchase accounting accretion for the second quarter was $64 million.
  • Notable items to arrive at adjusted net income available to common stockholders included acquisition-related expenses of $44 million, intangible asset amortization of $15 million, and unfavorable fair value adjustment on marketable equity securities of $2 million.
  • The SVB Commercial segment achieved loan and deposit growth, contributing to the company's overall strong performance.

Statistics:

  • Net income for the second quarter of 2024: $707 million
  • Net income available to common stockholders for the second quarter: $691 million
  • Diluted earnings per share for the second quarter: $47.54
  • Adjusted net income for the second quarter: $755 million
  • Adjusted net income available to common stockholders for the second quarter: $739 million
  • Diluted earnings per share for the second quarter (adjusted): $50.87

Sources:

  • First Citizens BancShares, Inc. news release (no date provided)

Read more