First BanCorp reports $298M in net income for 2024, $75.7M for Q4
The institution achieved record revenues for the year, with net interest income rising to $807.5 million.
First BanCorp, the holding company of FirstBank Puerto Rico, ended 2024 by reporting a net income of $298.7 million for the year and $75.7 million for the fourth quarter (Q4). The results were driven by strong loan growth, steady core deposit inflows and disciplined expense management, according to the financial institution’s CEO, Aurelio Alemán.
First BanCorp achieved record revenues in 2024, with total net interest income rising to $807.5 million, up from $797.1 million in 2023.
“We earned $76 million in net income [for Q4 2024] and grew pretax preprovision income by 5% on a linked-quarter basis,” Alemán said, crediting “disciplined expense management” and “net interest income expansion” for the results.
Loan growth was a highlight for the year, with the portfolio expanding by $569 million (4.7%) to reach $12.8 billion, primarily in the commercial, construction and consumer lending sectors. Notably, Puerto Rico accounted for $127.9 million of this growth in the fourth quarter alone.
In a call with local reporters, Alemán detailed the bank’s financing activity in 2024. The bank financed $187 million in new loans for small businesses throughout Puerto Rico and $190 million to support the tourism industry, which included the development, construction and refinancing of hotels and tourism-related businesses on the island.
The institution also financed $15 million for environmental projects related to clean energy and $52 million for manufacturing factory expansions. The bank also facilitated $362 million for 1,900 mortgage loans and $990 million in more than 23,500 auto loans.
“We are achieving the targets we set to measure our strategy’s success and are seeing the benefit of the investments we have made in technology to accelerate our growth and improve how we serve our communities,” Alemán said.
First BanCorp continued its commitment to affordable housing and infrastructure projects, with $59.2 million in construction loans for federal Low-Income Housing Tax Credits and the Community Development Block Grant-Disaster Recovery program.
Looking ahead to 2025, First BanCorp expressed confidence in its financial health, announcing a 13% increase in its common stock dividend. The company also repurchased $50 million in junior subordinated debentures and paid $26.1 million in common stock dividends during the fourth quarter, reflecting its commitment to delivering value to shareholders.
“We remain focused on deploying our capital in a thoughtful manner by prioritizing responsible organic growth, executing reasonable share repurchase opportunities and maintaining a sustainable dividend payout policy,” Alemán said.
While the bank reported strong overall performance, challenges remain, including a higher provision for credit losses, which rose to $59.9 million in 2024 from $60.9 million in 2023. This increase was primarily attributed to loan growth and evolving macroeconomic conditions. Noninterest expenses also increased slightly to $487.1 million, reflecting investments in business promotion and technology.
First BanCorp enters 2025 with a strong liquidity position of $2.4 billion, including $1.2 billion in cash and cash equivalents. The bank’s total assets grew to $19.3 billion, up from $18.9 billion at the close of 2023, supported by solid growth in deposits and loans.
As the company looks to the future, Alemán concluded, “The operating environment seems conducive to another year of positive performance and organic capital generation.”
Reporter Michelle Kantrow-Vázquez contributed to this story.
