First BanCorp reported first‑quarter 2026 results on April 22, 2026, with net income of $88.8 million and diluted earnings per share of $0.57, up 21% from $77.1 million ($0.47) in Q1 2025 and 2% from $87.1 million ($0.55) in Q4 2025. Revenue for the quarter was $258.6 million, a $2.3 million (0.9%) increase over the $256.3 million consensus estimate, driven by robust demand in the consumer retail banking segment and a modest lift in loan originations.
Net interest income rose to $220.96 million, up 3.8% from $212.4 million a year earlier, and the net interest margin expanded to 4.75% from 4.68% in Q4 2025. The margin growth reflects a shift of cash from lower‑yielding securities to higher‑yielding assets and a decline in the cost of interest‑bearing deposits, allowing the bank to capture a larger spread.
Operating performance remained strong. Basic earnings per share from continuing operations climbed to $0.57 from $0.47 a year ago, while operating income increased to $131 million, up 2% from the prior quarter and 5% from a year earlier. Credit quality remained solid, with non‑performing assets falling to $108.8 million (0.57% of total assets) and early‑stage delinquency trends declining 24% from the prior quarter.
Management highlighted the bank’s disciplined expense management and strong revenue generation. "We began the year with another quarter of strong operating results, delivering consistent performance across our franchise. Earnings per share increased 21% year‑over‑year, reflecting strong revenue generation and disciplined expense management, which translated into a return on average assets of 1.89%—our 17th consecutive quarter posting a ROAA above 1.5%," said President and CEO Aurelio Alemán. "Underlying revenue trends remained very strong during the quarter, with pre‑tax, pre‑provision income reaching an all‑time high of $131 million, up 2% from the prior quarter and 5% from a year ago." "Credit performance was strong, with stable charge‑offs, record‑low levels of non‑performing assets, and very encouraging early‑stage delinquency trends, which declined 24% from the prior quarter."
The bank’s capital return strategy continued to be aggressive, with a net payout ratio of 92% during the quarter and a $188.3 million buyback authorization. The high payout ratio underscores the bank’s confidence in its cash‑flow generation and its commitment to returning value to shareholders.
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