FB Financial Q3 adjusted EPS beats amid strong annualized loan, deposit growth
FBK•FB Financial reported Q3 adjusted EPS of $1.21, above the $1.20 consensus, while revenue of $174.49 million missed the $181.49 million estimate. The company cited strong annualized loan and deposit growth.
1. Quarterly results
FB Financial reported Q3 adjusted EPS of $1.21, compared with a $1.20 consensus estimate. Revenue was $174.49 million, below the $181.49 million estimate, while adjusted net income of $60.94 million slightly exceeded the $60.70 million consensus.
2. Growth and margin factors
The company attributed its results to strong annualized loan and deposit growth. It said lower net interest margin reflected higher funding costs and a reversal of accrued interest on a nonaccrual loan; lower mortgage banking profitability and continued investment in growth initiatives also affected operating leverage.
3. Company outlook
FB Financial said a recent debt issuance provides flexibility to support future growth. It expects investments to support improved earnings growth and operating leverage over time, and said its focus remains on franchise growth and long-term shareholder value.
