Earnings release
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FIRST BANCORP. ANNOUNCES EARNINGS FOR THE QUARTER ENDED SEPTEMBER 30, 2026 SAN JUAN, Puerto Rico – October 22, 2026 – First BanCorp. (the “Corporation” or “First BanCorp.”) (NYSE: FBP), the bank holding company for FirstBank Puerto Rico (“FirstBank” or “the Bank”), today reported a net income of $96.1 million, or $0.63 per diluted share, for the third qua rter of 2026, compared to $96.1 million, or $0.62 per diluted share, for the second quarter of 2026, and $100.5 million, or $0.63 per diluted share, for the third quarter of 2025. Aurelio Alemán, President and Chief Executive Officer of First BanCorp, commented: “We delivered another quarter of strong core performance, highlighted by a return on average assets of 1.98%, a return on average equity of 19.5%, stable credit metrics, and healthy balance sheet trends against the backdrop of an increasingly volatile rate environment. These results demonstrate consistent execution against our strategic priorities, the resilience of our business model, and our commitment to soundness, profitability, and responsible growth. Total loans grew 3.3% annualized on a linked-quarter basis, with growth across all our operating markets, particularly in the commercial segment, despite higher than prior quarter commercial repayments. Core deposits, excluding brokered and government deposits, increased by $120 million, while non-performing assets remained relatively flat compared with the prior quarter. We continued advancing our multichannel strategy by combining our expanded Puerto Rico branch network with digital tools that provide clients a faster , more convenient, and seamless service experience. This commitment to innovation and client -centric digital solutions was recognized this quarter by Global Finance, which named us the “Best Digital User Experience in Latin America and Puerto Rico” and the “Best Digital Banking App in Puerto Rico.” We are very proud of this recognition, which reflects our associates' hard work and dedication to delivering the best digital banking experience for our clients. Finally, we remain focused on allocating capital where it can generate the highest long- term returns for shareholders. We were also pleased to announce that our Board of Directors approved a new $350 million stock repurchase program and a 25% increase in o ur common stock dividend. We remain committed to thoughtful excess capital deployment while preserving flexibility to support organic growth and other franchise- enhancing opportunities.” (In thousands) Q3 '26 Q2 '26 Q3 '25 YTD '26 YTD '25 Financial Highlights Net interest income $ 227,527 $ 229,131 $ 217,916 $ 677,614 $ 646,172 Provision for credit losses 14,633 17,333 17,593 49,239 62,990 Non-interest income 32,590 35,732 30,794 106,007 97,478 Non-interest expenses 130,222 127,324 124,894 384,651 371,253 Income before income taxes 115,262 120,206 106,223 349,731 309,407 Income tax expense 19,147 24,052 5,697 68,684 51,642 Net income $ 96,115 $ 96,154 $ 100,526 $ 281,047 $ 257,765 Selected Financial Data Net interest margin 4.73% 4.87% 4.57% 4.78% 4.55% Efficiency ratio 50.06% 48.07% 50.22% 49.09% 49.92% Diluted earnings per share $ 0.63 $ 0.62 $ 0.63 $ 1.82 $ 1.59 Book value per share $ 12.43 $ 12.95 $ 12.05 $ 12.43 $ 12.05 Tangible book value per share(1) $ 12.15 $ 12.68 $ 11.79 $ 12.15 $ 11.79 Return on average equity 19.46% 19.49% 21.36% 18.96% 19.07% Return on average assets 1.98% 2.02% 2.10% 1.96% 1.81% Results for the Third Quarter of 2026 compared to the Second Quarter of 2026 Profitability Net income – $96.1 million, or $0.63 per diluted share compared to $96.1 million, or $0.62 per diluted share. Income before income taxes – $115.3 million compared to $120.2 million. Pre-tax, pre-provision income (Non-GAAP)(1) – $129.9 million compared to $137.5 million. Net interest income – $227.5 million compared to $229.1 million. The decrease was mostly related to $3.4 million in interest income recognized during the second quarter of 2026 from purchase discount and deferred fees accelerations, which accounted for approximately 7 basis points of the decrease in net interest margin, and an increase of $4.8 million in deposit costs. These variances were partially offset by higher commercial and construction loan balances, reinvestment of maturing debt securities in higher -yielding assets, and $1.3 million related to an additional day in the quarter. Net interest margin decreased to 4.73% compared to 4.87% driven by the aforementioned $3.4 million in interest income recognized in the second quarter of 2026 and an increase of 8 basis points in the cost of funds. Provision for credit losses – $14.6 million compared to $17.3 million. The decrease in provision expense was mainly due to a reduction of $3.2 million in the provision for residential mortgage loans, mostly driven by updated historical loss experience resulting in a downward revision of estimated loss severities. Non-interest income – $32.6 million compared to $35.7 million . The decrease mainly reflected $1.9 million in lower realized gains on purchased income tax credits and a $0.6 million gain from the sale of a fixed asset in the Florida region in the previous quarter. Non-interest expenses – $130.2 million compared to $127.3 million, including an additional $2.8 million contingency reserve involving a commercial other real estate owned (“OREO”) property. Income tax expense – $19.2 million compared to $24.1 million, mainly due to a lower estimated annual effective tax rate. Balance Sheet Total loans – increased by $108.3 million to $13.4 billion, driven by commercial and industrial (“C&I”) loan growth. Total loan originations of $1.5 billion, down $238.5 million, mainly in commercial and construction loans, driven by $270.6 million in certain refinancings during the second quarter of 2026. Core deposits (other than brokered and government deposits) – increased by $120.4 million to $13.4 billion, mainly in the Puerto Rico region, driven by a $253.0 million increase in time deposits, partially offset by a $132.6 million decrease in non-maturity deposits. Government deposits (fully collateralized) – decreased by $76.7 million to $3.0 billion, of which $57.2 million was in the Puerto Rico region and $34.6 million was in the Virgin Islands region. Asset Quality Allowance for credit losses (“ACL”) coverage ratio – amounted to 1.81% compared to 1.85%. Annualized net charge-offs to average loans ratio – increased to 0.55% compared to 0.49%, primarily reflecting a $2.0 million increase in consumer loans and finance leases net charge-offs, mainly in the auto loan portfolio. Non-performing assets – increased by $0.2 million to $114.1 million, driven by a $1.6 million increase in nonaccrual loans, primarily in auto loans, partially offset by a $1.3 million decrease in the OREO portfolio balance. Loans in early delinquency ( 30-89 days past due) – increased by $12.1 million to $155.5 million, which included an $8.3 million matured construction loan that was fully repaid after September 30, 2026 and a $6.8 million increase in consumer loans and finance leases, mainly auto loans. Liquidity and Capital Liquidity – Cash and cash equivalents amounted to $462.7 million compared to $561.3 million. When adding $2.1 billion of free high-quality liquid securities that could be liquidated or pledged within one day and $1.1 billion in available lending capacity at the Federal Home Loan Bank (“FHLB”), available liquidity amounted to 19.15% of total assets compared to 19.60%. Capital – Repurchased $50.0 million in common stock and declared $30.4 million in common stock dividends . Capital ratios exceeded required regulatory levels. The Corporation’s estimated total capital, common equity tier 1 (“CET1”) capital, tier 1 capital, and leverage ratios were 18.16%, 16.91%, 16.91%, and 11.71%, respectively, as of September 30, 2026. On a non-GAAP basis, the tangible common equity ratio(1) decreased to 9.55% compared to 10.08%, mainly due to a decrease in the fair value of available-for-sale debt securities. (1) Represents non -GAAP financial measures. Refer to Non-GAAP Disclosures - Non-GAAP Financial Measures for the definition of and additional information about these non -GAAP financial measures.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 2 of 22 NET INTEREST INCOME The following table sets forth information concerning net interest income for the last five quarters: Quarter Ended September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 (Dollars in thousands) Net Interest Income Interest income $ 290,845 $ 287,710 $ 279,849 $ 285,158 $ 282,743 Interest expense 63,318 58,579 58,893 62,390 64,827 Net interest income $ 227,527 $ 229,131 $ 220,956 $ 222,768 $ 217,916 Average Balances Loans and leases $ 13,264,096 $ 13,077,087 $ 13,068,874 $ 13,032,081 $ 12,876,239 Total securities, other short-term investments and interest-bearing cash balances 5,826,830 5,797,465 5,776,844 5,871,091 6,037,726 Average interest-earning assets $ 19,090,926 $ 18,874,552 $ 18,845,718 $ 18,903,172 $ 18,913,965 Average interest-bearing liabilities $ 11,660,901 $ 11,371,881 $ 11,409,037 $ 11,531,091 $ 11,669,135 Average Yield/Rate Average yield on interest-earning assets 6.04% 6.11% 6.02% 5.98% 5.93% Average rate on interest-bearing liabilities 2.15% 2.07% 2.09% 2.15% 2.20% Net interest spread 3.89% 4.04% 3.93% 3.83% 3.73% Net interest margin 4.73% 4.87% 4.75% 4.68% 4.57% Net interest income amounted to $227.5 million for the third quarter of 2026, a decrease of $1.6 million, compared to $229.1 million for the second quarter of 2026. The third quarter of 2026 included an increase of approximately $1.3 million associated with the effect of an additional day in the quarter. The decrease in net interest income reflects the following : • A $4.8 million increase in interest expense on interest -bearing deposits, primarily reflecting higher average balances of non - brokered time deposits and brokered certificates of deposit (“ CDs”), which increased $195.1 million and $98.1 million, respectively, as well as higher rates paid on interest -bearing checking and saving accounts, mainly government deposits. The average cost of interest -bearing checking and saving accounts increased 7 basis points to 1.33%, while the cost excluding government deposits increased 3 basis points to 0.69%. Partially offset by: • A $3.0 million net increase in interest income on loans, driven by a $2.6 million increase in interest income on commercial and construction loans, reflecting $3.1 million associated with a $178.9 million increase in the average balance and $1.1 million from an additional day in the third quarter of 2026, partially offset by $1.6 million resulting from the acceleration of net deferred fees associated with the refinancing of a C&I loan in the Puerto Rico region during the second quarter of 2026. • A $0.1 million net increase in interest income on investment securities and interest -earning cash balances, reflecting higher yields from reinvesting maturities of debt securities in higher-yielding debt securities, partially offset by $1.8 million resulting from the acceleration of the unamortized purchase discount on a municipal bond refinanced during the second quarter of 2026 into a shorter-term commercial loan structure. Net interest margin for the third quarter of 2026 was 4.73% compared to 4.87% for the previous quarter. The decrease mainly reflected a shift in the mix of interest-bearing deposits toward higher-yielding options, such as time deposits, and a 7 basis points reduction from prior quarter purchase discount and deferr ed fee accelerations while higher rates paid on interest -bearing government non -maturity deposits were offset by higher yields from the reinvestment of maturing debt securities.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 3 of 22 NON-INTEREST INCOME The following table sets forth information concerning non-interest income for the last five quarters: Quarter Ended September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 (In thousands) Service charges and fees on deposit accounts $ 9,839 $ 9,885 $ 9,932 $ 9,861 $ 9,811 Mortgage banking activities 3,694 3,727 4,043 4,219 3,309 Insurance commission income 2,884 3,114 5,944 2,265 2,618 Card and processing income 12,540 12,512 11,758 12,353 11,682 Other non-interest income 3,633 6,494 6,008 5,702 3,374 Non-interest income $ 32,590 $ 35,732 $ 37,685 $ 34,400 $ 30,794 Non-interest income decreased by $3.1 million to $32.6 million for the third quarter of 2026, compared to $ 35.7 million for the second quarter of 2026, mainly due to a $1.9 million decrease in realized gains from purchased income tax credits and a $0.6 million gain recognized during the second quarter of 2026 from the sale of a fixed asset in the Florida region, both reported as part of o ther non- interest income.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 4 of 22 NON-INTEREST EXPENSES The following table sets forth information concerning non-interest expenses for the last five quarters: Quarter Ended September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 (In thousands) Employees’ compensation and benefits $ 64,286 $ 63,439 $ 65,299 $ 63,196 $ 59,761 Occupancy and equipment 22,299 22,108 22,063 21,797 22,185 Business promotion 4,254 4,435 3,555 5,944 3,884 Professional service fees: Collections, appraisals and other credit-related fees 913 1,229 734 1,007 856 Outsourcing technology services 8,063 8,352 8,585 8,433 8,107 Other professional fees 2,459 3,535 3,593 3,671 2,940 Taxes, other than income taxes 6,233 6,071 6,184 6,272 6,092 Federal Deposit Insurance Corporation (“FDIC”) deposit insurance 2,156 2,167 2,058 961 2,236 Other insurance and supervisory fees 1,118 1,182 1,206 1,327 1,344 Net (gain) loss on OREO operations (766) (842) (937) (838) 1,033 Credit and debit card processing expenses 9,457 8,514 7,327 7,728 7,889 Communications 2,274 2,234 2,288 2,284 2,294 Other non-interest expenses 7,476 4,900 5,150 5,088 6,273 Total non-interest expenses $ 130,222 $ 127,324 $ 127,105 $ 126,870 $ 124,894 Non-interest expenses amounted to $130.2 million in the third quarter of 2026 , an increase of $2.9 million, from $127.3 million in the second quarter of 2026. Non-interest expenses for the third quarter of 2026 reflect the following significant variances: • A $2.6 million increase in other non-interest expenses, primarily reflecting an additional $2.8 million contingency reserve in connection with an adverse court ruling involving a commercial OREO property in the U.S. Virgin Islands, recorded as part of other non-interest expenses. • A $0.9 million increase in credit and debit card processing expenses, mainly due to credit and debit card expense reimbursements recognized during the second quarter of 2026. • A $0.8 million increase in employees’ compensation and benefits expenses, mainly associated with the effect of annual salary merit increases and an additional working day in the third quarter of 2026. Partially offset by: • A $1.7 million decrease in professional service fees, mostly driven by lower legal fees recorded as part of other professional fees, as well as lower collections, appraisals and other credit -related expenses and outsourcing fees, partially offset by higher consulting fees. INCOME TAXES The Corporation recorded an income tax expense of $19.2 million for the third quarter of 2026, compared to $24.1 million for the second quarter of 2026. The decrease in income tax expense was driven by a lower estimated annual effective tax rate mostly related to higher than previously forecasted business activities with preferential tax treatment under the Puerto Rico tax code. For the year, the Corporation’s annual effective tax rate was estimated at 20.5% for the third quarter of 2026 , compared to 2 1.5% for the second quarter of 2026. As of September 30, 2026, the Corporation had a net deferred tax asset of $135.0 million, net of a valuation allowance of $88.3 million, compared to a net deferred tax asset of $142.0 million, net of a valuation allowance of $75.6 million as of June 30, 2026.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 5 of 22 CREDIT QUALITY Non-Performing Assets The following table sets forth information concerning non-performing assets for the last five quarters: (Dollars in thousands) September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 Nonaccrual loans held for investment: Residential mortgage $ 23,944 $ 23,410 $ 28,071 $ 29,169 $ 28,866 Construction 5,460 5,463 5,414 5,536 5,591 Commercial mortgage 8,428 7,067 7,442 8,382 21,437 C&I 39,777 41,053 27,100 28,042 19,650 Consumer and finance leases 18,590 17,572 19,717 21,434 20,717 Total nonaccrual loans held for investment $ 96,199 $ 94,565 $ 87,744 $ 92,563 $ 96,261 OREO 5,629 6,939 6,344 7,522 9,343 Other repossessed property 10,733 10,803 13,124 12,389 12,234 Other assets (1) 1,579 1,610 1,609 1,620 1,579 Total non-performing assets (2) $ 114,140 $ 113,917 $ 108,821 $ 114,094 $ 119,417 Past due loans 90 days and still accruing (3) $ 24,331 $ 24,736 $ 28,949 $ 31,913 $ 28,891 Nonaccrual loans held for investment to total loans held for investment 0.72% 0.71% 0.67% 0.71% 0.74% Nonaccrual loans to total loans 0.72% 0.71% 0.67% 0.70% 0.74% Non-performing assets to total assets 0.59% 0.59% 0.57% 0.60% 0.62% (1) Residential pass-through mortgage-backed securities (“MBS”) issued by the Puerto Rico Housing Finance Authority (“PRHFA”) held as part of the available-for-sale debt securities portfolio. (2) Excludes purchased-credit deteriorated (“PCD”) loans previously accounted for under Accounting Standards Codification (“ASC”) Subtopic 310 -30 for which the Corporation made the accounting policy election of maintaining pools of loans as “units of account” both at the time of adoption of current expected credit losses (“CECL”) on January 1, 2020 and on an ongoing basis for credit loss measurement. These loans will continue to be excluded from nonaccrual loan statistics as long as the Corporation can reasonably estimate the timing and amount of cash flows expected to be collected on the loan pools. The portion of such loans contractually past due 90 days or more amounted to $3.0 million as of September 30, 2026 (June 30, 2026 - $3.6 million; March 31, 2026 - $4.2 million; December 31, 2025 - $4.8 million; September 30, 2025 - $5.0 million). (3) These include rebooked loans, which were previously pooled into Government National Mortgage Association (“GNMA”) securities, amounting to $5.2 million as of September 30, 2026 (June 30, 2026 - $4.6 million; March 31, 2026 - $6.7 million; December 31, 2025 - $6.7 million; September 30, 2025 - $3.8 million). Under the GNMA program, the Corporation has the option but not the obligation to repurchase loans that meet GNMA’s specified delinquency criteria. For accounting purposes, the loans subject to the repurchase option are required to be reflected on the financial statements with an offsetting liability. Variances in credit quality metrics: • Total non-performing assets increased by $0.2 million to $114.1 million as of September 30, 2026, driven by a $1.6 million increase in nonaccrual loans, primarily in auto loans, partially offset by a $1.3 million decrease in the OREO portfolio balance, mainly attributable to the sale of a $0.9 million residential property in the Florida region. In addition, the increase in nonaccrual loans included the migration of a $1.8 million commercial mortgage loan in the Florida region to nonaccrual status during the third quarter of 2026, partially offset by $1.3 million in repayments on a nonaccrual C&I loan in the Puerto Rico region in t he food retail industry. • Inflows to nonaccrual loans held for investment were $34.5 million in the third quarter of 2026, down $6.2 million from $40.7 million in the second quarter of 2026. Inflows to nonaccrual commercial and construction loans decreased $12.8 million to $2.3 million, reflecting the impact of a $14.8 million C&I relationship in the Florida region that migrated to nonaccrual sta tus in the second quarter of 2026, partially offset by the aforementioned $1.8 million commercial mortgage loan inflow in the third quarter. Inflows to nonaccrual consumer loans increased $5.6 million to $28.4 million, while nonaccrual residential mortgage loan inflows increased $1.0 million to $3.8 million. See Early Delinquency below for additional information. • Adversely classified commercial and construction loans increased by $15.8 million to $103.0 million as of September 30, 2026, compared to $87.2 million as of June 30, 2026, driven by the downgrade of a $13.1 million participated C&I loan in the Florida region that is part of the Shared National Credit program. Early Delinquency Total loans held for investment in early delinquency (i.e., 30 -89 days past due accruing loans, as defined in regulatory reporting instructions) amounted to $155.5 million as of September 30, 2026, an increase of $12.1 million, compared to $143.4 million as of June 30, 2026, driven by a $6.8 million increase in consumer loans and finance leases, primarily in the auto loan portfolio, and a $4.6 million increase in the commercial and construction loan portfolios. The increase in commercial and construction loans was primarily driven by the aforementioned $8.3 million matured construction loan for which the Corporation received full repayment after September 30, 2026, and a $1.2 million matured commercial mortgage relationship in the process of renewal for which the Corporation continues to receive payments from the borrower. These increases were partially offset by the renewal of two matured commercial mortgage loans tot aling $3.1 million and the aforementioned $1.8 million commercial mortgage loan that migrated to nonaccrual status.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 6 of 22 Allowance for Credit Losses The following table summarizes the activity of the ACL for on-balance sheet and off-balance sheet exposures during the third and second quarters of 2026: Quarter Ended September 30, 2026 Loans and Finance Leases Debt Securities (Dollars in thousands) Residential Mortgage Loans Commercial and Construction Loans Consumer Loans and Finance Leases Total Loans and Finance Leases Unfunded Loans Commitments Held-to- Maturity Available- for-Sale Total ACL Allowance for Credit Losses Allowance for credit losses, beginning balance $ 42,758 $ 68,794 $ 133,487 $ 245,039 $ 4,599 $ 479 $ 885 $ 251,002 Provision for credit losses - (benefit) expense (1,900) 456 16,321 14,877 (120) (123) (1) 14,633 Net charge-offs (160) (294) (17,789) (18,243) - - (12) (18,255) Allowance for credit losses, end of period $ 40,698 $ 68,956 $ 132,019 $ 241,673 $ 4,479 $ 356 $ 872 $ 247,380 Amortized cost of loans and finance leases $ 2,943,944 $ 6,782,080 $ 3,638,476 $ 13,364,500 Allowance for credit losses on loans to amortized cost 1.38% 1.02% 3.63% 1.81% Quarter Ended June 30, 2026 Loans and Finance Leases Debt Securities (Dollars in thousands) Residential Mortgage Loans Commercial and Construction Loans Consumer Loans and Finance Leases Total Loans and Finance Leases Unfunded Loans Commitments Held-to- Maturity Available- for-Sale Total ACL Allowance for Credit Losses Allowance for credit losses, beginning balance $ 41,534 $ 69,118 $ 134,408 $ 245,060 $ 3,120 $ 641 $ 839 $ 249,660 Provision for credit losses - expense (benefit) 1,303 (233) 14,888 15,958 1,479 (162) 58 17,333 Net charge-offs (79) (91) (15,809) (15,979) - - (12) (15,991) Allowance for credit losses, end of period $ 42,758 $ 68,794 $ 133,487 $ 245,039 $ 4,599 $ 479 $ 885 $ 251,002 Amortized cost of loans and finance leases $ 2,927,167 $ 6,668,570 $ 3,661,486 $ 13,257,223 Allowance for credit losses on loans to amortized cost 1.46% 1.03% 3.65% 1.85% Allowance for Credit Losses for Loans and Finance Leases As of September 30, 2026 , the ACL for loans and finance leases was $241.7 millio n, or 1.81% of total loans held for investment, compared to $245.0 million, or 1.85% of total loans held for investment, as of June 30, 2026. The decrease was mainly related to the ACL for residential mortgage loans, which decreased by $2.1 million, driven by updated historical loss experience used for determining the ACL resulting in a downward revision of estimated loss severities and lower reserve levels, as well as improvements in the projection of the unemployment rate and the House Price Index, partially offset by loan growth. In addition, the ACL for consumer loans decreased by $1.4 million, mainly reflecting lower delinquency levels in credit cards and finance leases , partially offset by higher reserves in the auto loan portfolio due to updated loss expectations based on recent portfolio performance . Meanwhile, the ACL for commercial and construction loans increased by $0.2 million , mainly due to changes in the financial information of certain borrowers and loan growth, partially offset by an improvement in the projection of certain macroeconom ic variables. Provision for credit losses on loans and finance leases was $14.9 million for the third quarter of 2026, compared to $16.0 million in the second quarter of 2026. The decrease was mainly driven by a $3.2 million reduction in the provision for residential mortgage loans, partially offset by a $1.4 million increase in the provision for consumer loans and finance leases and a $0.7 million increase in the provision for commercial and construction loans. These changes reflected the ACL factors discussed above, as well as a $2.0 m illion increase in consumer loans and finance leases net charge-offs, mainly in the auto loan portfolio.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 7 of 22 Net Charge-Offs The following table presents ratios of net charge-offs (recoveries) to average loans held-in-portfolio for the last five quarters: Quarter Ended September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 Residential mortgage 0.02% 0.01% -0.03% -0.02% -0.00% Construction -0.11% -0.03% -0.02% -0.02% -0.50% Commercial mortgage 0.02% -0.02% 0.08% 0.01% -0.02% C&I 0.02% 0.03% 0.03% 0.00% 0.01% Consumer loans and finance leases 1.95% 1.73% 2.23% 2.20% 2.16% Total loans 0.55% 0.49% 0.65% 0.63% 0.62% The ratios above are based on annualized net charge-offs and are not necessarily indicative of the results expected in subsequent periods. Net charge-offs were $18.2 million for the third quarter of 2026, or an annualized 0.55% of average loans, compared to $16.1 million, or an annualized 0.49% of average loans, in the second quarter of 2026. The $2.1 million increase in net charge-offs was driven by a $2.0 million increase in consumer loans and finance leases net charge-offs, mainly in the auto loan portfolio. Allowance for Credit Losses for Unfunded Loan Commitments As of September 30, 2026, the ACL for off -balance sheet credit exposures decreased to $4.5 million, compared to $4.6 million as of June 30, 2026. Allowance for Credit Losses for Debt Securities As of September 30, 2026, the ACL for debt securities was $1.2 million, of which $0.3 million was related to Puerto Rico municipal bonds classified as held-to-maturity, compared to $1.4 million and $0.5 million, respectively, as of June 30, 2026.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 8 of 22 STATEMENT OF FINANCIAL CONDITION Total assets were approximately $ 19.3 billion as of September 30, 2026, up $9.1 million from June 30, 2026. The following variances within the main components of total assets are noted: • A $108.3 million increase in total loans, primarily reflecting a $118.4 million increase in C&I loans, including $90.5 million in the Florida region driven by new loan participations and $21.3 million in the Virgin Islands region driven by disbursements of a government line of credit. Total loan originations, including refinancings, renewals, and draws from existing commitments, amounted to $ 1.5 billion in the third quarter of 2026, a decrease of $ 238.5 million compared to the second quarter of 2026. In the Puerto Rico region , originations decreased $315.6 million to $1.0 billion, driven by the aforementioned $270.6 million in refinancings during the second quarter of 2026 of a participated C&I loan related to a public-private partnership and a participated municipal loan , as well as lower utilization of C&I lines of credit. Meanwhile, in the Florida region, originations increased $69.2 million to $402.2 million, mainly reflecting a $71.7 million increase in commercial and construction loans, including $49.0 million in C&I loan originations and $23.1 million in commercial mortgage loan originations. In addition, in the Virgin Islands region, originations increased $7.9 million to $34.0 million. • A $21.5 million increase in investment securities, driven by $492.1 million in debt securities purchased during the third quarter of 2026, of which $422.4 million were U.S. agencies’ MBS at an average yield of 5.44%. These purchases were partially offset by repayments of $227.6 million, including $39.9 million of matured securities, and a $119.4 million decrease in the fair value of available -for-sale debt securities attributable to changes in market interest rates. Meanwhile, U.S. Treasury bill activity resulted in a net decrease of $128.4 million, reflecting $375.0 million of maturities at an average yield of 3.69%, partially offset by $246.6 million of purchases at an average yield of 3.87%. Partially offset by: • A $98.6 million decrease in cash and cash equivalents, mainly related to net cash outflows from lending and investing activities and capital deployment actions, partially offset by deposit growth and a new $23.8 million short -term repurchase agreement. Total liabilities were approximately $ 17.4 billion as of September 30, 2026 , an increase of $110.4 million from June 30, 2026 . The following variances within the main components of total liabilities are noted: • Total deposits increased by $49.1 million, driven by: o A $253.0 million increase in non -government time deposits, excluding brokered CDs , primarily in the Puerto Rico region. Partially offset by: o A $132.6 million decrease in non-government non-maturity deposits, mainly in the Puerto Rico region. The decrease in such deposits includes a $116.6 million decrease in non -interest-bearing deposits, of which $84.2 million was in the Puerto Rico region. o A $76.7 million decrease in government deposits, consisting of decreases of $57.2 million in the Puerto Rico region and $34.6 million in the Virgin Islands region, partially offset by a $15.1 million increase in the Florida region. • A $23.8 million increase in borrowings related to the aforementioned new short-term repurchase agreement. Total stockholders’ equity amounted to $1.9 billion as of September 30, 2026, a decrease of $101.3 million from June 30, 2026, driven by a $119.4 million decrease in the fair value of available -for-sale debt securities due to changes in market interest rates recognized as part of accumulated other comprehensive loss, $50.0 million in common stock repurchases at an average price of $28.67, a nd $30.4 million in common stock dividends declared in the third quarter of 2026, partially offset by the net income generated in the third quarter of 2026. As of September 30, 2026, capital ratios exceeded the required regulatory levels for bank holding companies and well-capitalized banks. The Corporation’s estimated CET1 capital, tier 1 capital, total capital and leverage ratios under the Basel III rules were 16.91%, 16.91%, 18.16%, and 11.71%, respectively, as of September 30, 2026, compared to CET1 capital, tier 1 capital, total capital, and leverage ratios of 16.96%, 16.96%, 18.21%, and 11.72%, respectively, as of June 30, 2026.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 9 of 22 Meanwhile, estimated CET1 capital, tier 1 capital, total capital and leverage ratios of our banking subsidiary, FirstBank, we re 15.92%, 16.65%, 17.91%, and 11.53%, respectively, as of September 30, 2026, compared to CET1 capital, tier 1 capital, total capital and leverage ratios of 15.96%, 16.71%, 17.97%, and 11.54%, respectively, as of June 30, 2026. Liquidity Cash and cash equivalents decreased by $98.6 million to $ 462.7 million as of September 30, 2026 . When adding $ 2.1 billion of f ree high-quality liquid securities that could be liquidated or pledged within one day , total core liquidity amounted to $2.6 billion as of September 30, 2026, or 13.40% of total assets, compared to $2.7 billion, or 13.73% of total assets, as of June 30, 2026. In addition, as of September 30, 2026, the Corporation had $1.1 billion available for credit with the FHLB based on the value of the collateral pledged with the FHLB. As such, the basic liquidity ratio (which includes cash, free high -quality liquid assets such as U.S. government and government-sponsored enterprises’ obligations that could be liquidated or pledged within one day, and available secured lines of credit with the FHLB to total assets) was approximately 19.15% as of September 30, 2026, compared to 19.60% as of June 30, 2026. In addition to the aforementioned available credit from the FHLB, the Corporation also maintains borrowing capacity at the U.S. Federal Reserve (“FED”) Discount Window Program. The Corporation had approximately $ 2.5 billion available for funding under the FED’s Borrower-In-Custody Program as of September 30, 2026. In the aggregate, as of September 30, 2026, the Corporation had $ 6.2 billion available to meet liquidity needs, or 128% of estimated uninsured deposits (excluding fully collateralized government deposit s). The Corporation’s total deposits, excluding brokered CDs, amounted to $16.3 billion as of each of September 30, 2026 and June 30, 2026, which included $3.0 billion in government deposits that are fully collateralized as of each of those periods . Excluding fully collateralized government deposits and FDIC -insured deposits as of September 30, 2026 , the estimated amount of uninsured deposits was $4.8 billion, which represents 29.59% of total deposits, compared to $4.7 billion, or 29.15% of total deposits, as of June 30, 2026. Refer to Table 10 in the accompanying tables (Exhibit A) for additional information about the deposits composition. Tangible Common Equity (Non-GAAP) On a non -GAAP basis, the Corporation’s tangible common equity ratio decreased to 9.55% as of September 30, 2026, compared to 10.08% as of June 30, 2026 , mainly due to a decrease in the fair value of available -for-sale debt securities . Refer to Non-GAAP Disclosures- Non-GAAP Financial Measures for the definition of and additional information about this non-GAAP financial measure. The following table presents a reconciliation of the Corporation’s tangible common equity and tangible assets to the most com parable GAAP items as of the indicated dates: September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 (In thousands, except ratios and per share information) Tangible Equity: Total common equity - GAAP $ 1,875,484 $ 1,976,833 $ 1,967,239 $ 1,966,865 $ 1,918,045 Goodwill (38,611) (38,611) (38,611) (38,611) (38,611) Other intangible assets (2,804) (3,022) (3,240) (3,458) (3,676) Tangible common equity - non-GAAP $ 1,834,069 $ 1,935,200 $ 1,925,388 $ 1,924,796 $ 1,875,758 Tangible Assets: Total assets - GAAP $ 19,250,334 $ 19,241,235 $ 19,086,105 $ 19,132,892 $ 19,321,335 Goodwill (38,611) (38,611) (38,611) (38,611) (38,611) Other intangible assets (2,804) (3,022) (3,240) (3,458) (3,676) Tangible assets - non-GAAP $ 19,208,919 $ 19,199,602 $ 19,044,254 $ 19,090,823 $ 19,279,048 Common shares outstanding 150,921 152,674 154,694 156,619 159,135 Tangible common equity ratio - non-GAAP 9.55% 10.08% 10.11% 10.08% 9.73% Tangible book value per common share - non-GAAP $ 12.15 $ 12.68 $ 12.45 $ 12.29 $ 11.79
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 10 of 22 Exposure to Puerto Rico Government Direct Exposure As of September 30, 2026, the Corporation had $355.5 million of direct exposure to the Puerto Rico government, its municipalities, and public corporations, a decrease of $23.9 million from $379.4 million as of June 30, 2026 , mainly due to repayments . The exposure consisted primarily of $272.4 million in municipal loans and obligations supported by assigned property tax revenues, generally backed by the municipalities’ good faith, credit, and unlimited taxing power , and $27.1 million supported by one or more specific sources of municipal revenues. The remaining exposure included $8.5 million in a loan to an affiliate of the Puerto Rico Electric Power Authority, $44.9 million in loans to a Puerto Rico public corporation, and a PRHFA residential pass-through MBS with an amortized cost of $2.6 million. The aforementioned exposure to municipalities in Puerto Rico included $60.7 million of financing arrangements issued in bond form but underwritten as loans with features that are typically found in commercial loans. These bonds are accounted for as held -to-maturity debt securities. Indirect Exposure As of both September 30, 2026 and June 30, 2026 , the Corporation had $2. 6 billion of public sector deposits in Puerto Rico. Approximately 22% of the public sector deposits as of September 30, 2026 were from municipalities and municipal agencies in Puerto Rico, and 78% were from public corporations, the Puerto Rico central government and agencies, and U.S. federal government agencies in Puerto Rico. Additionally, as of September 30, 2026, construction loans funded through conduit financing structures supporting Low-Income Housing Tax Credit and other federal affordable housing programs amounted to $78.4 million, compared with $75.0 million as of June 30, 2026. Under these arrangements, PRHFA serves as conduit issuer and lender of record , while the Corporation serves as the ultimate lender. The total amount of unfunded loan commitments related to these loans as of September 30, 2026 was $27.7 million.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 11 of 22 NON-GAAP DISCLOSURES This press release contains GAAP financial measures and non-GAAP financial measures. Non-GAAP financial measures are used when management believes that the presentation of these non -GAAP financial measures enhances the ability of analysts and investors to analyze trends in the Corporation’s business and understand the performance of the Corporation. The Corporation may utilize these non- GAAP financial measures as guides in its budgeting and long -term planning process. Where non -GAAP financial measures are u sed, the most comparable GAAP financial measure, as well as the reconciliation of the non-GAAP financial measure to the most comparable GAAP financial measure, can be found in the text or in the tables in or attached to this press release. Any analysis of these non-GAAP financial measures should be used only in conjunction with results presented in accordance with GAAP. Certain non -GAAP financial measures, such as adjusted non -interest expenses, adjusted income tax expense, adjusted net income, adjusted earnings per share, and adjusted pre-tax, pre-provision income, exclude the effect of items that management believes are not reflective of core operating performance (the “Special Items”). Other non-GAAP financial measures include net interest income, interest rate spread, and net interest margin each presented on a tax-equivalent basis; tangible common equity; tangible book value per common share; and certain capital ratios. These measures should be read in conjunction with the accompanying tables (Exhibit A), which are an integral part of this press release, and the Corporation’s other financial information that is presented in accordance with G AAP. Special Items The financial results for the nine-month period ended September 30, 2026 and for the quarter and nine-month periods ended September 30, 2025 included the following Special Items: Nine-Month Period Ended September 30, 2026 FDIC Special Assessment Reversal - A benefit of $0.1 million ($57 thousand after-tax, calculated based on the statutory tax rate of 37.5%) was recorded during the first quarter of 2026 following receipt of the FDIC assessment invoice, paid on March 30, 2026, which reduced the quarterly special assessment rate for the eighth and final collection period from 3.36 bps to 2.97 bps. Any future offsets or one-time final shortfall special assessment collection, if any, will be communicated by the FDIC through future invoices. The FDIC deposit special assessment is reflected in the consolidated statements of income as part of “FDIC deposit insurance” expenses. Quarter and Nine-Month Period Ended September 30, 2025 Enactment of Act 65-2025 - On July 17, 2025, the Government of Puerto Rico enacted Act 65 -2025 which, among other things, allows domestic limited liability companies owned by legal entities to elect to be treated as disregarded entities for tax purposes. As a result of t his change, during the third quarter of 2025, the Corporation reversed approximately $16.6 million in valuation allowance related to deferred tax assets primarily associated with NOL carryforwards at the holding company level. Employee Retention Credit (“ERC”) - During the third quarter of 2025, the Corporation recognized a $2.3 million ERC, net of $0.3 million in related commissions. This amount is reflected in the condensed consolidated statements of income as part of “employees’ compensation and benefits” expenses. This credit was established under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act to support businesses that retained employees during the COVID-19 pandemic. The credit recorded during the third quarter of 2025 is tax exempt for Puerto Rico tax purposes.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 12 of 22 Non-GAAP Financial Measures Tangible Common Equity Ratio and Tangible Book Value per Common Share The tangible common equity ratio and tangible book value per common share are non -GAAP financial measures that management believes are generally used by the financial community to evaluate capital adequacy. Tangible common equity is total common e quity less goodwill and other intangible assets. Tangible assets are total assets less goodwill and other intangible assets. Tangible common equity ratio is tangible common equity divided by tangible assets. Tangible book value per common share is tangible assets di vided by common shares outstanding. Refer to Statement of Financial Condition – Tangible Common Equity (Non-GAAP) for a reconciliation of the Corporation’s total stockholders’ equity and total assets in accordance with GAAP to the non-GAAP financial measures of tangible common equity and tangible assets, respectively. Management uses and believes that many stock anal ysts use the tangible common equity ratio and tangible book value per common share in conjunction with other more traditional bank capital ratios to compa re the capital adequacy of banking organizations with significant amounts of goodwill or other intangi ble assets, typically stemming from the use of the purchase method of accounting for mergers and acquisitions. Accordingly, the Corporation believes that disclosure of these financial measures may be useful to investors. Neither tangible common equity nor tangible assets, or the related measures, should be considered in isolation or as a substitute for stockholders’ equity, total assets, or any other measure calculated in accordance with GAAP. Moreover, the manner in which the Corporation calculates its tangible common equity, tangible assets, and any other related measures may differ from that of other companies reporting measures with similar names. Adjusted Net Income, Adjusted Non-Interest Expenses, Adjusted Income Tax Expense, and Adjusted Earnings Per Share To supplement the Corporation’s financial statements presented in accordance with GAAP, the Corporation uses, and believes th at investors benefit from disclosure of, non-GAAP financial measures that reflect adjustments to net income, non-interest expenses, income tax expense, and adjusted earnings per share to exclude Special Items. Adjusted Pre-Tax, Pre-Provision Income Adjusted pre-tax, pre-provision income is a non-GAAP performance metric that management uses and believes that investors may find useful in analyzing underlying performance trends, particularly in times of economic stress, including as a result of natural catastrophes or health epidemics. Adjusted pre-tax, pre-provision income, as defined by management, represents income before income taxes adjusted to exclude the provisions for credit losses on loans, unfunded loan commitments and debt securities. In addition, from time to time, earnings are also adjusted for certain items that management believes are not reflective of core operating performance, which are regarded as Special Items. Net Interest Income, Interest Rate Spread, and Net Interest Margin on a Tax-Equivalent Basis Net interest income, interest rate spread, and net interest margin are reported on a tax -equivalent basis in order to provide to investors additional information about the Corporation’s net interest income that management uses and believes should facilitate compar ability and analysis of the periods presented. The tax -equivalent adjustment to net interest income recognizes the incom e tax savings when comparing taxable and tax-exempt assets and assumes a marginal income tax rate. Income from tax -exempt earning assets is increased by an amount equivalent to the taxes that would have been paid if this income had been taxable at statutory rates. Refer to Tables 4 and 5 in the accompanying tables (Exhibit A) for a reconciliation of the Corporation’s net interest income on a tax -equivalent basis. Management believes that it is a standard practice in the banking industry to present net interest income, interest rate spre ad, and net interest margin on a fully tax -equivalent basis. This adjustment puts all earning assets, most notably tax -exempt securities and tax - exempt loans, on a common basis that management believes facilitates comparison of results to the results of peers .
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 13 of 22 NET INCOME AND RECONCILIATION TO ADJUSTED NET INCOME (NON-GAAP) The following table shows, for the third and second quarters of 2026, net income and earnings per diluted share, and reconciles, for the third quarter of 2025 and nine -month periods ended September 30, 2026 and 2025 , net income to adjusted net income and adjusted earnings per diluted share , which are non-GAAP financial measure s that exclude the significant Special Item s discussed in the Non- GAAP Disclosures – Special Items section. Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 (In thousands, except per share information) Net income, as reported (GAAP) $ 96,115 $ 96,154 $ 100,526 $ 281,047 $ 257,765 Adjustments: Employee retention credit - - (2,358) - (2,358) FDIC special assessment reversal - - - (92) - Income tax impact related to the enactment of Act 65-2025 - - (16,553) - (16,553) Income tax impact of adjustment (1) - - - 35 - Adjusted net income attributable to common stockholders (non -GAAP) $ 96,115 $ 96,154 $ 81,615 $ 280,990 $ 238,854 Weighted-average diluted shares outstanding 151,950 154,162 160,087 154,056 161,770 Earnings per share - diluted (GAAP) $ 0.63 $ 0.62 $ 0.63 $ 1.82 $ 1.59 Adjusted earnings per share - diluted (non-GAAP) $ 0.63 $ 0.62 $ 0.51 $ 1.82 $ 1.48 (1) See Non-GAAP Disclosures — Special Items above for a discussion of the individual tax impact related to the above adjustment. INCOME BEFORE INCOME TAXES AND RECONCILIATION TO ADJUSTED PRE -TAX, PRE-PROVISION INCOME (NON-GAAP) The following table reconciles income before income taxes to adjusted pre -tax, pre-provision income for the last five quarters and for the nine-month periods ended September 30, 2026 and 2025: Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 March 31, 2026 December 31, 2025 September 30, 2025 September 30, 2026 September 30, 2025 (Dollars in thousands) Income before income taxes $ 115,262 $ 120,206 $ 114,263 $ 107,327 $ 106,223 $ 349,731 $ 309,407 Add: Provision for credit losses expense 14,633 17,333 17,273 22,971 17,593 49,239 62,990 Less: FDIC special assessment reversal - - (92) (1,099) - (92) - Less: Employee retention credit - - - - (2,358) - (2,358) Adjusted pre-tax, pre-provision income (1) $ 129,895 $ 137,539 $ 131,444 $ 129,199 $ 121,458 $ 398,878 $ 370,039 Change from most recent prior period (amount) $ (7,644) $ 6,095 $ 2,245 $ 7,741 $ (2,014) $ 28,839 $ 34,745 Change from most recent prior period (percentage) -5.6% 4.6% 1.7% 6.4% -1.6% 7.8% 10.4% (1) Non-GAAP financial measure. See Non-GAAP Disclosures above for the definition and additional information about this non-GAAP financial measure.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 14 of 22 Conference Call / Webcast Information First BanCorp.’s senior management will host an earnings conference call and live webcast on Thursday, October 22, 2026 , at 10:00 a.m. (Eastern Time). The call may be accessed via a live Internet webcast through the Corporation’s investor relations website , fbpinvestor.com, or through a dial-in telephone number at (833) 461-5787 or (585) 542-9983. The participant access code is 928134866. The Corporation recommends that listeners go to the web site at least 15 minutes prior to the call to download and install any necessary software. Following the webcast presentation, a question and answer session will be made available to research analysts and institutional investors. A replay of the webcast will be archived in the Corporation’s investor relations website, fbpinvestor.com, until October 22, 2027. A telephone replay will be available one hour after the end of the conference call through November 20, 2026, at (833) 309-1852. The replay access code is 928134866. Safe Harbor This press release may contain “forward -looking statements” that involve risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements. These include statements concerning the Corporation’s future economic, operational, and financial performance, which may constitute forward -looking statements and are subject to the risk that the actual impact may differ, possibly materially, from what is currently expected. For a discussion of additional risks an d uncertainties, which could cause actual results to differ from those contained in the forward -looking statements, see the Corporation’s Securities and Exchange Commission filings, including, but not limited to, those risks and uncertainties included unde r the captions “Risk Factors” and “Forward-Looking Statements” set forth in these filings and any updates to such risks and uncertainties contained in subsequent reports on Form 10 -K, Form 10-Q or Form 8 -K. Undue reliance should not be placed on the forwar d-looking statements in this press release, which are based upon information available to the Corporation on the date hereof. The Corporation undertakes no duty to update this information unless required by law. About First BanCorp. First BanCorp. is the parent corporation of FirstBank Puerto Rico, a state -chartered commercial bank with operations in Puerto Rico, the U.S., and the British Virgin Islands and Florida, and of FirstBank Insurance Agency. First BanCorp.’s shares of common stock trade on the New York Stock Exchange under the symbol FBP. Additional information about First BanCorp. may be found at www.1firstbank.com. ### First BanCorp. Ramon Rodriguez Senior Vice President Corporate Strategy and Investor Relations ramon.rodriguez@firstbankpr.com (787) 729-8200 Ext. 82179
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 15 of 22 EXHIBIT A Table 1 – Condensed Consolidated Statements of Financial Condition As of September 30, 2026 June 30, 2026 December 31, 2025 (In thousands, except for share information) ASSETS Cash and due from banks $ 461,014 $ 559,626 657,149 Money market investments: Time deposit with another financial institution 1,000 1,000 750 Other short-term investments 700 700 700 Total money market investments 1,700 1,700 1,450 Available-for-sale debt securities, at fair value (ACL of $872 as of September 30, 2026, $885 as of June 30, 2026; and $763 as of December 31, 2025) 4,718,684 4,681,588 4,554,032 Held-to-maturity debt securities, at amortized cost, net of ACL of $356 as of September 30, 2026 and $479 as of June 30, 2026; and $733 as of December 31, 2025 (fair value of $207,866 as of September 30, 2026; $228,667 as of June 30, 2026 and $262,055 as of December 31, 2025) 217,392 233,645 264,563 Total debt securities 4,936,076 4,915,233 4,818,595 Equity securities 44,232 43,552 44,753 Total investment securities 4,980,308 4,958,785 4,863,348 Loans held for investment, net of ACL of $241,673 as of September 30, 2026; $245,039 as of June 30, 2026; and $249,037 as of December 31, 2025 13,122,827 13,012,184 12,876,319 Mortgage loans held for sale, at lower of cost or market 16,545 15,474 16,697 Total loans, net 13,139,372 13,027,658 12,893,016 Accrued interest receivable on loans and investments 75,871 70,663 71,351 Premises and equipment, net 128,402 128,680 126,920 OREO 5,629 6,939 7,522 Deferred tax asset, net 135,043 142,041 149,012 Goodwill 38,611 38,611 38,611 Other intangible assets 2,804 3,022 3,458 Other assets 281,580 303,510 321,055 Total assets $ 19,250,334 $ 19,241,235 $ 19,132,892 LIABILITIES Deposits: Non-interest-bearing deposits $ 5,465,908 $ 5,548,697 $ 5,549,416 Interest-bearing deposits 11,452,728 11,320,832 11,120,727 Total deposits 16,918,636 16,869,529 16,670,143 Securities sold under agreements to repurchase 23,805 - - Advances from the FHLB 200,000 200,000 290,000 Accounts payable and other liabilities 232,409 194,873 205,884 Total liabilities 17,374,850 17,264,402 17,166,027 STOCKHOLDERSʼ EQUITY Common stock, $0.10 par value, 223,663,116 shares issued (September 30, 2026 - 150,920,937 shares outstanding; June 30, 2026 - 152,674,406 shares outstanding; and December 31, 2025 - 156,618,996 shares outstanding) 22,366 22,366 22,366 Additional paid-in capital 957,920 955,527 963,543 Retained earnings 2,456,119 2,390,394 2,268,011 Treasury stock, at cost (September 30, 2026 - 72,742,179 shares; June 30, 2026 - 70,988,710 shares; and December 31, 2025 - 67,044,120 shares) (1,073,097) (1,023,005) (932,505) Accumulated other comprehensive loss (487,824) (368,449) (354,550) Total stockholdersʼ equity 1,875,484 1,976,833 1,966,865 Total liabilities and stockholdersʼ equity $ 19,250,334 $ 19,241,235 $ 19,132,892
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 16 of 22 Table 2 – Condensed Consolidated Statements of Income Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 (In thousands, except per share information) Net interest income: Interest income $ 290,845 $ 287,710 $ 282,743 $ 858,404 $ 837,998 Interest expense 63,318 58,579 64,827 180,790 191,826 Net interest income 227,527 229,131 217,916 677,614 646,172 Provision for credit losses - expense (benefit): Loans 14,877 15,958 18,270 48,005 63,488 Unfunded loan commitments (120) 1,479 (756) 1,466 (532) Debt securities (124) (104) 79 (232) 34 Provision for credit losses - expense 14,633 17,333 17,593 49,239 62,990 Net interest income after provision for credit losses 212,894 211,798 200,323 628,375 583,182 Non-interest income: Service charges and fees on deposit accounts 9,839 9,885 9,811 29,656 29,207 Mortgage banking activities 3,694 3,727 3,309 11,464 9,887 Card and processing income 12,540 12,512 11,682 36,810 35,037 Other non-interest income 6,517 9,608 5,992 28,077 23,347 Total non-interest income 32,590 35,732 30,794 106,007 97,478 Non-interest expenses: Employees’ compensation and benefits 64,286 63,439 59,761 193,024 181,956 Occupancy and equipment 22,299 22,108 22,185 66,470 67,112 Business promotion 4,254 4,435 3,884 12,244 10,657 Professional service fees 11,435 13,116 11,903 37,463 34,998 Taxes, other than income taxes 6,233 6,071 6,092 18,488 17,682 FDIC deposit insurance 2,156 2,167 2,236 6,381 6,707 Net (gain) loss on OREO operations (766) (842) 1,033 (2,545) (687) Credit and debit card processing expenses 9,457 8,514 7,889 25,298 20,746 Other non-interest expenses 10,868 8,316 9,911 27,828 32,082 Total non-interest expenses 130,222 127,324 124,894 384,651 371,253 Income before income taxes 115,262 120,206 106,223 349,731 309,407 Income tax expense 19,147 24,052 5,697 68,684 51,642 Net income $ 96,115 $ 96,154 $ 100,526 $ 281,047 $ 257,765 Net income attributable to common stockholders $ 96,115 $ 96,154 $ 100,526 $ 281,047 $ 257,765 Earnings per common share: Basic $ 0.64 $ 0.63 $ 0.63 $ 1.83 $ 1.60 Diluted $ 0.63 $ 0.62 $ 0.63 $ 1.82 $ 1.59
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 17 of 22 Table 3 – Selected Financial Data Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 (Shares in thousands) Per Common Share Results: Net earnings per share - basic $ 0.64 $ 0.63 $ 0.63 $ 1.83 $ 1.60 Net earnings per share - diluted $ 0.63 $ 0.62 $ 0.63 $ 1.82 $ 1.59 Cash dividends declared $ 0.20 $ 0.20 $ 0.18 $ 0.60 $ 0.54 Average shares outstanding 151,096 153,466 159,291 153,259 161,023 Average shares outstanding diluted 151,950 154,162 160,087 154,056 161,770 Book value per common share $ 12.43 $ 12.95 $ 12.05 $ 12.43 $ 12.05 Tangible book value per common share (1) $ 12.15 $ 12.68 $ 11.79 $ 12.15 $ 11.79 Common stock price: end of period $ 26.34 $ 26.07 $ 22.05 $ 26.34 $ 22.05 Selected Financial Ratios (In Percent): Profitability: Average yield on loans and leases 7.42 7.51 7.62 7.47 7.67 Average yield on investment securities, other short-term investments and interest-earning cash balances 2.92 2.96 2.33 2.86 2.29 Average yield on interest-earning assets 6.04 6.11 5.93 6.06 5.90 Average rate on interest-bearing liabilities 2.15 2.07 2.20 2.11 2.19 Average cost of funds 1.47 1.39 1.51 1.43 1.50 Interest rate spread 3.89 4.04 3.73 3.95 3.71 Interest rate spread - non-GAAP (2) 4.19 4.36 3.90 4.24 3.86 Net interest margin 4.73 4.87 4.57 4.78 4.55 Net interest margin - non-GAAP (2) 5.03 5.18 4.74 5.07 4.70 Return on average assets 1.98 2.02 2.10 1.96 1.81 Return on average equity 19.46 19.49 21.36 18.96 19.07 Efficiency ratio (3) 50.06 48.07 50.22 49.09 49.92 Capital and Other: Average total equity to average total assets 10.17 10.35 9.81 10.35 9.48 Total capital 18.16 18.21 17.93 18.16 17.93 Common equity Tier 1 capital 16.91 16.96 16.67 16.91 16.67 Tier 1 capital 16.91 16.96 16.67 16.91 16.67 Leverage 11.71 11.72 11.52 11.71 11.52 Tangible common equity ratio (1) 9.55 10.08 9.73 9.55 9.73 Dividend payout ratio 31.44 31.92 28.52 32.72 33.73 Basic liquidity ratio (4) 19.15 19.60 18.10 19.15 18.10 Core liquidity ratio (5) 13.40 13.73 12.64 13.40 12.64 Loan to deposit ratio 79.09 78.68 77.46 79.09 77.46 Uninsured deposits, excluding fully collateralized deposits, to total deposits (6) 29.59 29.15 28.36 29.59 28.36 Average Balances (In thousands): Loans and leases $ 13,264,096 $ 13,077,087 $ 12,876,239 $ 13,137,365 $ 12,751,409 Investment securities, other short-term investments and interest-earning cash balances 5,826,830 5,797,465 6,037,726 5,800,564 6,241,039 Interest-earning assets $ 19,090,926 $ 18,874,552 $ 18,913,965 $ 18,937,929 $ 18,992,448 Total assets $ 19,275,569 $ 19,112,408 $ 19,028,792 $ 19,153,161 $ 19,058,747 Interest-bearing liabilities $ 11,660,901 $ 11,371,881 $ 11,669,135 $ 11,481,529 $ 11,695,894 Non-interest-bearing deposits 5,427,409 5,550,768 5,309,212 5,473,156 5,378,807 Total funding sources $ 17,088,310 $ 16,922,649 $ 16,978,347 $ 16,954,685 $ 17,074,701 Total stockholders’ equity $ 1,959,928 $ 1,978,553 $ 1,866,839 $ 1,982,359 $ 1,807,108 Asset Quality: Allowance for credit losses for loans and finance leases to total loans held for investment 1.81 1.85 1.89 1.81 1.89 Net charge-offs (annualized) to average loans outstanding 0.55 0.49 0.62 0.56 0.63 Provision for credit losses for loans and finance leases to net charge -offs 81.55 99.87 92.00 86.70 105.04 Non-performing assets to total assets 0.59 0.59 0.62 0.59 0.62 Nonaccrual loans held for investment to total loans held for investment 0.72 0.71 0.74 0.72 0.74 Allowance for credit losses for loans and finance leases to total nonaccrual loans held for investment 251.22 259.12 256.58 251.22 256.58 Allowance for credit losses for loans and finance leases to total nonaccrual loans held for investment, excluding residential estate loans 334.47 344.37 366.48 334.47 366.48 (1) Non-GAAP financial measures. Refer to Non-GAAP Disclosures and Statement of Financial Condition — Tangible Common Equity (Non-GAAP) above for additional information about the components and a reconciliation of these measures. (2) Non-GAAP financial measures reported on a tax-equivalent basis. Refer to Non-GAAP Disclosures and Tables 4 and 5 below for additional information and reconciliation of this measure. (3) Non-interest expenses divided by the sum of net interest income and non-interest income. (4) Defined as the sum of cash and cash equivalents, free high-quality liquid assets that could be liquidated within one day, and available secured lines of credit with the FHLB to total assets. (5) Defined as the sum of cash and cash equivalents and free high-quality liquid assets that could be liquidated within one day to total assets. (6) Exclude insured deposits not covered by federal deposit insurance.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 18 of 22 Table 4 – Quarterly Statement of Average Interest-Earning Assets and Average Interest-Bearing Liabilities (On a Tax- Equivalent Basis, with GAAP reconciliation) Average Volume Interest Income (1) / Expense Average Rate (1) Quarter Ended September 30, June 30, September 30, September 30, June 30, September 30, September 30, June 30, September 30, 2026 2026 2025 2026 2026 2025 2026 2026 2025 (Dollars in thousands) Interest-earning assets: Money market and other short-term investments $ 522,173 $ 539,882 $ 871,290 $ 4,904 $ 4,969 $ 9,695 3.73% 3.69% 4.41% Government obligations (2) 1,316,809 1,382,832 1,838,314 11,880 14,976 9,779 3.58% 4.34% 2.11% MBS 3,943,328 3,829,853 3,281,983 33,800 31,011 18,801 3.40% 3.25% 2.27% FHLB stock 21,322 22,452 25,777 374 447 495 6.96% 7.99% 7.62% Other investments 23,198 22,446 20,362 143 137 123 2.45% 2.45% 2.40% Total investments (3) 5,826,830 5,797,465 6,037,726 51,101 51,540 38,893 3.48% 3.57% 2.56% Residential mortgage loans 2,941,226 2,924,680 2,873,549 43,403 43,696 42,203 5.85% 5.99% 5.83% Construction loans 210,168 191,228 250,280 5,295 4,779 6,058 10.00% 10.02% 9.60% C&I and commercial mortgage loans 6,464,509 6,304,576 6,014,997 108,758 106,430 104,631 6.67% 6.77% 6.90% Consumer loans and finance leases 3,648,193 3,656,603 3,737,413 96,659 95,946 99,202 10.51% 10.52% 10.53% Total loans (4) (5) 13,264,096 13,077,087 12,876,239 254,115 250,851 252,094 7.60% 7.69% 7.77% Total interest-earning assets $ 19,090,926 $ 18,874,552 $ 18,913,965 $ 305,216 $ 302,391 $ 290,987 6.34% 6.43% 6.10% Tax-equivalent adjustment (14,371) (14,681) (8,244) Interest income - GAAP $ 290,845 $ 287,710 $ 282,743 6.04% 6.11% 5.93% Interest-bearing liabilities: Time deposits $ 3,692,961 $ 3,497,812 $ 3,352,163 $ 30,622 $ 28,420 $ 28,590 3.29% 3.26% 3.38% Brokered CDs 626,673 528,544 581,946 6,422 5,414 6,414 4.07% 4.11% 4.37% Other interest-bearing deposits 7,126,862 7,119,151 7,421,017 23,972 22,359 26,341 1.33% 1.26% 1.41% Advances from the FHLB 200,000 226,374 313,152 2,155 2,386 3,472 4.27% 4.23% 4.40% Other borrowings 14,405 - 857 147 - 10 4.05% 0.00% 4.63% Total interest-bearing liabilities $ 11,660,901 $ 11,371,881 $ 11,669,135 $ 63,318 $ 58,579 $ 64,827 2.15% 2.07% 2.20% Net interest income / margin- non-GAAP (1) $ 241,898 $ 243,812 $ 226,160 5.03% 5.18% 4.74% Net interest income / margin - GAAP $ 227,527 $ 229,131 $ 217,916 4.73% 4.87% 4.57% Net interest spread - non-GAAP (1) 4.19% 4.36% 3.90% Net interest spread - GAAP 3.89% 4.04% 3.73% (1) Non-GAAP financial measures reported on a tax-equivalent basis. The tax-equivalent yield was estimated by dividing the interest rate spread on exempt assets by 1 less the Puerto Rico statutory tax rate of 37.5% and adding to it the cost of interest -bearing liabilities. When adjusted to a tax -equivalent basis, yields on taxable and exempt assets are comparable. Refer to Non-GAAP Disclosures - Non-GAAP Financial Measures for additional information. (2) Government obligations include debt issued by government-sponsored agencies. (3) Unrealized gains and losses on available-for-sale debt securities are excluded from the average volumes. (4) Average loan balances include the average of non-performing loans. (5) Interest income on loans includes $3.9 million, $3.7 million, and $3.8 million, for the quarters ended September 30, 2026, June 30, 2026, and September 30, 2025, respectively, of income from prepayment penalties and late fees related to the Corporation’s loan portfolio.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 19 of 22 Table 5 – Year-to-Date Statement of Average Interest-Earning Assets and Average Interest-Bearing Liabilities (On a Tax- Equivalent Basis, with GAAP reconciliation) Average Volume Interest Income (1) / Expense Average Rate (1) Nine-Month Period Ended September 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 (Dollars in thousands) Interest-earning assets: Money market and other short-term investments $ 559,790 $ 1,016,762 $ 15,503 $ 33,797 3.70% 4.44% Government obligations (2) 1,388,552 1,882,541 38,282 24,268 3.69% 1.72% MBS 3,807,384 3,293,288 91,625 54,277 3.22% 2.20% FHLB stock 22,631 28,159 1,295 1,930 7.65% 9.16% Other investments 22,207 20,289 419 544 2.52% 3.58% Total investments (3) 5,800,564 6,241,039 147,124 114,816 3.39% 2.46% Residential mortgage loans 2,925,951 2,856,813 130,348 125,361 5.96% 5.87% Construction loans 216,134 242,893 15,865 17,493 9.81% 9.63% C&I and commercial mortgage loans 6,332,261 5,905,687 317,108 305,145 6.70% 6.91% Consumer loans and finance leases 3,663,019 3,746,016 288,476 296,803 10.53% 10.59% Total loans (4) (5) 13,137,365 12,751,409 751,797 744,802 7.65% 7.81% Total interest-earning assets $ 18,937,929 $ 18,992,448 $ 898,921 $ 859,618 6.35% 6.05% Tax-equivalent adjustment (40,517) (21,620) Interest income - GAAP $ 858,404 $ 837,998 6.06% 5.90% Interest-bearing liabilities: Time deposits $ 3,578,461 $ 3,198,226 $ 88,279 $ 80,805 3.30% 3.38% Brokered CDs 570,644 518,195 17,595 17,366 4.12% 4.48% Other interest-bearing deposits 7,093,393 7,591,571 67,266 80,309 1.27% 1.41% Advances from the FHLB 234,176 366,703 7,503 12,180 4.28% 4.44% Other borrowings 4,855 21,199 147 1,166 4.05% 7.35% Total interest-bearing liabilities $ 11,481,529 $ 11,695,894 $ 180,790 $ 191,826 2.11% 2.19% Net interest income / margin - non-GAAP (1) $ 718,131 $ 667,792 5.07% 4.70% Net interest income / margin - GAAP $ 677,614 $ 646,172 4.78% 4.55% Net interest spread - non-GAAP (1) 4.24% 3.86% Net interest spread - GAAP 3.95% 3.71% (1) Non-GAAP financial measures reported on a tax-equivalent basis. The tax-equivalent yield was estimated by dividing the interest rate spread on exempt assets by 1 less the Puerto Rico statutory tax rate of 37.5% and adding to it the cost of interest -bearing liabilities. When adjusted to a tax -equivalent basis, yields on taxable and exempt assets are comparable. Refer to Non-GAAP Disclosures - Non-GAAP Financial Measures for additional information. (2) Government obligations include debt issued by government-sponsored agencies. (3) Unrealized gains and losses on available-for-sale debt securities are excluded from the average volumes. (4) Average loan balances include the average of non-performing loans. (5) Interest income on loans includes $11.6 million and $12.9 million for the nine-month periods ended September 30, 2026 and 2025, respectively, of income from prepayment penalties and late fees related to the Corporation's loan portfolio. The results for the nine-month period ended September 30, 2025 include a prepayment penalties associated with the payoff of a $73.8 million commercial mortgage loan and higher income from late fees in the consumer loans and finance leases portfolios.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 20 of 22 Table 6 – Loan Portfolio by Geography As of September 30, 2026 Puerto Rico Virgin Islands United States Total (In thousands) Residential mortgage loans $ 2,260,645 $ 143,100 $ 540,199 $ 2,943,944 Commercial loans: Construction loans 202,593 11,970 3,124 217,687 Commercial mortgage loans 1,751,933 71,026 796,434 2,619,393 C&I loans 2,427,411 203,165 1,314,424 3,945,000 Commercial loans 4,381,937 286,161 2,113,982 6,782,080 Consumer loans and finance leases 3,569,862 62,427 6,187 3,638,476 Loans held for investment 10,212,444 491,688 2,660,368 13,364,500 Mortgage loans held for sale 16,545 - - 16,545 Total loans $ 10,228,989 $ 491,688 $ 2,660,368 $ 13,381,045 As of June 30, 2026 Puerto Rico Virgin Islands United States Total (In thousands) Residential mortgage loans $ 2,247,503 $ 144,769 $ 534,895 $ 2,927,167 Commercial loans: Construction loans 189,736 11,975 2,919 204,630 Commercial mortgage loans 1,747,380 72,059 817,913 2,637,352 C&I loans 2,420,749 181,905 1,223,934 3,826,588 Commercial loans 4,357,865 265,939 2,044,766 6,668,570 Consumer loans and finance leases 3,591,388 63,763 6,335 3,661,486 Loans held for investment 10,196,756 474,471 2,585,996 13,257,223 Mortgage loans held for sale 15,056 418 - 15,474 Total loans $ 10,211,812 $ 474,889 $ 2,585,996 $ 13,272,697 As of December 31, 2025 Puerto Rico Virgin Islands United States Total (In thousands) Residential mortgage loans $ 2,227,053 $ 150,551 $ 530,698 $ 2,908,302 Commercial loans: Construction loans 249,466 14,174 1,928 265,568 Commercial mortgage loans 1,690,176 73,751 790,325 2,554,252 C&I loans 2,348,274 170,728 1,169,356 3,688,358 Commercial loans 4,287,916 258,653 1,961,609 6,508,178 Consumer loans and finance leases 3,636,072 66,947 5,857 3,708,876 Loans held for investment 10,151,041 476,151 2,498,164 13,125,356 Loans held for sale 16,697 - - 16,697 Total loans $ 10,167,738 $ 476,151 $ 2,498,164 $ 13,142,053
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 21 of 22 Table 7 – Non-Performing Assets by Geography As of September 30, 2026 (In thousands) Puerto Rico Virgin Islands United States Total Nonaccrual loans held for investment: Residential mortgage $ 12,376 $ 4,867 $ 6,701 $ 23,944 Construction 4,439 1,021 - 5,460 Commercial mortgage 1,208 5,418 1,802 8,428 C&I 23,678 728 15,371 39,777 Consumer and finance leases 18,148 289 153 18,590 Total nonaccrual loans held for investment 59,849 12,323 24,027 96,199 OREO 5,552 77 - 5,629 Other repossessed property 10,587 146 - 10,733 Other assets (1) 1,579 - - 1,579 Total non-performing assets (2) $ 77,567 $ 12,546 $ 24,027 $ 114,140 Past due loans 90 days and still accruing (3) $ 23,394 $ 791 $ 146 $ 24,331 As of June 30, 2026 (In thousands) Puerto Rico Virgin Islands United States Total Nonaccrual loans held for investment: Residential mortgage $ 12,462 $ 4,592 $ 6,356 $ 23,410 Construction 4,441 1,022 - 5,463 Commercial mortgage 1,248 5,819 - 7,067 C&I 25,131 601 15,321 41,053 Consumer and finance leases 17,284 275 13 17,572 Total nonaccrual loans held for investment 60,566 12,309 21,690 94,565 OREO 5,401 659 879 6,939 Other repossessed property 10,699 104 - 10,803 Other assets (1) 1,610 - - 1,610 Total non-performing assets (2) $ 78,276 $ 13,072 $ 22,569 $ 113,917 Past due loans 90 days and still accruing (3) $ 23,700 $ 890 $ 146 $ 24,736 As of December 31, 2025 (In thousands) Puerto Rico Virgin Islands United States Total Nonaccrual loans held for investment: Residential mortgage $ 12,637 $ 5,407 $ 11,125 $ 29,169 Construction 4,581 955 - 5,536 Commercial mortgage 1,913 6,469 - 8,382 C&I 27,211 644 187 28,042 Consumer and finance leases 20,891 529 14 21,434 Total nonaccrual loans held for investment 67,233 14,004 11,326 92,563 OREO 6,661 861 - 7,522 Other repossessed property 12,216 173 - 12,389 Other assets (1) 1,620 - - 1,620 Total non-performing assets (2) $ 87,730 $ 15,038 $ 11,326 $ 114,094 Past due loans 90 days and still accruing (3) $ 30,643 $ 1,270 $ - $ 31,913 (1) Residential pass-through MBS issued by the PRHFA held as part of the available-for-sale debt securities portfolio. (2) Excludes PCD loans previously accounted for under ASC Subtopic 310-30 for which the Corporation made the accounting policy election of maintaining pools of loans as “units of account” both at the time of adoption of CECL on January 1, 2020 and on an ongoing basis for credit loss measurement. These loans will continue to be excluded from nonaccrual loan statistics as long as the Corporation can reasonably estimate the timing and amount of cash flows expected to be collected on the loan pools. The portion of such loans contractually past due 90 days or more amounted to $3.0 million as of September 30, 2026 (June 30, 2026 - $3.6 million; December 31, 2025 - $4.8 million). (3) These include rebooked loans, which were previously pooled into GNMA securities, amounting to $5.2 million as of September 30 , 2026 (June 30, 2026 - $4.6 million; December 31, 2025 - $6.7 million). Under the GNMA program, the Corporation has the option but not the obligation to repurchase loans that meet GNMA's specified delinquency criteria. For accounting purposes, the loans su bject to the repurchase option are required to be reflected on the financial statements with an offsetting liability.
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First BanCorp. Announces Earnings for the Quarter Ended September 30, 2026 – Page 22 of 22 Table 8 – Allowance for Credit Losses on Loans and Finance Leases Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 (Dollars in thousands) Allowance for credit losses on loans and finance leases, beginning of period $ 245,039 $ 245,060 $ 248,578 $ 249,037 $ 243,942 Provision for credit losses on loans and finance leases expense 14,877 15,958 18,270 48,005 63,488 Net (charge-offs) recoveries of loans and finance leases: Residential mortgage (160) (79) 32 (15) 29 Construction 58 13 313 84 340 Commercial mortgage (158) 155 117 (525) 208 C&I (194) (259) (108) (762) 729 Consumer loans and finance leases (17,789) (15,809) (20,212) (54,151) (61,746) (1) Net charge-offs (18,243) (15,979) (19,858) (55,369) (60,440) (1) Allowance for credit losses on loans and finance leases, end of period $ 241,673 $ 245,039 $ 246,990 $ 241,673 $ 246,990 Allowance for credit losses on loans and finance leases to period end total loans loans held for investment 1.81% 1.85% 1.89% 1.81% 1.89% Net charge-offs (annualized) to average loans outstanding during the period 0.55% 0.49% 0.62% 0.56% 0.63% Provision for credit losses on loans and finance leases to net charge -offs during the period 0.82x 1.00x 0.92x 0.87x 1.05x (1) Includes recoveries totaling $2.4 million associated with the bulk sale of fully charged-off consumer loans and finance leases. Table 9 – Annualized Net Charge-Offs (Recoveries) to Average Loans Quarter Ended Nine-Month Period Ended September 30, 2026 June 30, 2026 September 30, 2025 September 30, 2026 September 30, 2025 Residential mortgage 0.02% 0.01% -0.00% 0.00% -0.00% Construction -0.11% -0.03% -0.50% -0.05% -0.19% Commercial mortgage 0.02% -0.02% -0.02% 0.03% -0.01% C&I 0.02% 0.03% 0.01% 0.03% -0.03% Consumer loans and finance leases 1.95% 1.73% 2.16% 1.97% 2.20% (1) Total loans 0.55% 0.49% 0.62% 0.56% 0.63% (1) (1) The recoveries associated with the aforementioned bulk sale reduced the ratios of consumer loans and finance leases and total net charge-offs to related average loans by 8 basis points and 3 basis points, respectively. Table 10 – Deposits As of September 30, 2026 June 30, 2026 December 31, 2025 (In thousands) Time deposits $ 3,787,656 $ 3,535,375 $ 3,562,331 Interest-bearing saving and checking accounts 7,064,868 7,190,703 6,964,841 Non-interest-bearing deposits 5,465,908 5,548,697 5,549,416 Total deposits, excluding brokered CDs (1) 16,318,432 16,274,775 16,076,588 Brokered CDs 600,204 594,754 593,555 Total deposits $ 16,918,636 $ 16,869,529 $ 16,670,143 Total deposits, excluding brokered CDs and government deposits $ 13,358,314 $ 13,237,929 $ 13,061,068 (1) As of each of September 30, 2026, June 30, 2026, and December 31, 2025, government deposits amounted to $3.0 billion.