Overview

• Puerto Rico bank's Q1 net income and EPS rose yr/yr, driven by strong revenue generation

• Net interest income fell slightly from Q4, mainly due to fewer days and loan repricing

• Company repurchased $50 mln in common stock and declared $31.5 mln in dividends

Outlook

• First BanCorp says loan pipelines remain healthy, supporting confidence in achieving full-year loan growth targets

• Company cites resilient labor market and stable economic backdrop as supportive factors for current outlook

• First BanCorp says it is closely monitoring energy costs and geopolitical risks for potential impact on results

Result Drivers

• NET INTEREST INCOME DRIVERS - Net interest income fell due to two fewer days in the qtr and lower yields from repricing of variable-rate commercial loans, partly offset by lower deposit costs and redeployment into higher-yielding assets

• NON-INTEREST INCOME - Non-interest income rose mainly due to $3.6 mln in seasonal contingent insurance commissions

• CREDIT QUALITY IMPROVEMENT - Provision for credit losses fell due to improved macroeconomic projections and lower consumer loan delinquencies

Company press release: ID:nBwxpqB0a

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 EPS		$0.57
Q1 Net Income		$88.80 mln
Q1 Net Interest Income		$220.96 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for First BanCorp is $24.25, about 0.9% above its April 21 closing price of $24.04

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

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