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STOCKHOLDERS' EQUITY
 3 Months Ended
Mar. 31, 2025
STOCKHOLDERS' EQUITY [Abstract]  
STOCKHOLDERS' EQUITY
NOTE 11 – STOCKHOLDERS’
 
EQUITY
Repurchase Program
On
 
July
 
22,
 
2024,
 
the
 
Corporation
 
announced
 
that
 
its
 
Board
 
of
 
Directors
 
approved
 
a
 
repurchase
 
program
 
under
 
which
 
the
Corporation
 
may
 
repurchase
 
up
 
to
 
$
250
 
million
 
that
 
could
 
include
 
repurchases
 
of
 
common
 
stock
 
and/or
 
junior
 
subordinated
debentures. Under
 
this program,
 
the Corporation
 
repurchased
1,194,567
 
shares of common
 
stock through
 
open market
 
transactions at
an average price of
 
$
18.21
 
for a total cost of approximately
 
$
21.8
 
million during the first
 
quarter of 2025. In
 
addition, the Corporation
redeemed
 
$
50.6
 
million
 
of
 
junior
 
subordinated
 
debentures.
 
As
 
of
 
March
 
31,
 
2025,
 
the
 
Corporation
 
has
 
remaining
 
authorization
 
of
approximately $
127.7
 
million, which it expects to execute during the remainder of 2025.
From
 
April
 
1,
 
2025
 
to
 
May
 
5,
 
2025,
 
the
 
Corporation
 
repurchased
1,556,440
 
shares
 
of
 
common
 
stock
 
for
 
a
 
total
 
cost
 
of
approximately $
27.7
 
million. As of May 5, 2025, the Corporation has remaining authorization
 
of approximately $
100.0
 
million.
Repurchases
 
under
 
the
 
program
 
may
 
be
 
executed
 
through
 
open
 
market
 
purchases,
 
accelerated
 
share
 
repurchases,
 
privately
negotiated
 
transactions
 
or plans,
 
including
 
plans complying
 
with Rule
 
10b5-1
 
under
 
the Exchange
 
Act, and/or
 
redemption of
 
junior
subordinated
 
debentures, and
 
will be
 
conducted
 
in accordance
 
with applicable
 
legal and
 
regulatory requirements
 
.
 
The Corporation
 
’s
repurchase
 
program
 
is
 
subject
 
to
 
various
 
factors,
 
including
 
the
 
Corporation’s
 
capital
 
position,
 
liquidity,
 
financial
 
performance
 
and
alternative uses
 
of capital,
 
stock trading
 
price, and
 
general market
 
conditions. The
 
repurchase program
 
does not
 
obligate it to
 
acquire
any
 
specific
 
number
 
of
 
shares
 
and
 
does
 
not
 
have
 
an
 
expiration
 
date.
 
The
 
repurchase
 
program
 
may
 
be
 
modified,
 
suspended,
 
or
terminated
 
at any
 
time at
 
the Corporation’s
 
discretion. Any
 
repurchased shares
 
of common
 
stock are
 
expected to
 
be held
 
as treasury
shares.
 
The
 
Corporation’s
 
holding
 
company
 
has no
 
operations
 
and
 
depends
 
on dividends,
 
distributions
 
and
 
other
 
payments from
 
its
subsidiaries to fund dividend payments, stock repurchases, and to
 
fund all payments on its obligations, including debt obligations.
Common Stock
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The following table shows the changes in shares of common stock outstanding for
 
the quarters ended March 31, 2025 and 2024:
Total
 
Number of Shares
Quarter Ended March 31,
2025
2024
Common stock outstanding, beginning of year
163,868,877
169,302,812
Common stock repurchased
(1)
(1,376,816)
(3,142,589)
Common stock reissued under stock-based compensation plan
614,300
548,729
Restricted stock forfeited
(2,180)
(1,905)
Common stock outstanding, end of period
163,104,181
166,707,047
 
(1)
For the quarters ended March 31, 2025 and 2024 includes
182,249
 
and
136,038
 
shares, respectively, of common stock
 
surrendered to cover officers’ payroll and income
 
taxes.
For
 
the
 
quarters
 
ended
 
March
 
31,
 
2025
 
and
 
2024,
 
total
 
cash
 
dividends
 
declared
 
on
 
shares
 
of
 
common
 
stock
 
amounted
 
to
 
$
29.6
million ($
0.18
 
per share)
 
and $
26.9
 
million ($
0.16
 
per share),
 
respectively.
 
On
April 24, 2025
, the
 
Corporation’s
 
Board of
 
Directors
declared a quarterly
 
cash dividend of
 
$
0.18
 
per common share.
 
The dividend is
 
payable on
June 13, 2025
 
to shareholders of
 
record at
the close
 
of business
 
on
May 29, 2025
. The
 
Corporation intends
 
to continue
 
to pay
 
quarterly dividends
 
on common
 
stock. However,
the
 
Corporation’s
 
common
 
stock
 
dividends,
 
including
 
the
 
declaration,
 
timing,
 
and
 
amount,
 
remain
 
subject
 
to
 
consideration
 
and
approval by the Corporation’s Board
 
of Directors at the relevant times.
Preferred Stock
The Corporation
 
has
50,000,000
 
authorized shares of
 
preferred stock with
 
a par value
 
of $
1.00
, subject to
 
certain terms. This
 
stock
may
 
be
 
issued
 
in
 
series
 
and
 
the
 
shares
 
of
 
each
 
series
 
have
 
such
 
rights
 
and
 
preferences
 
as
 
are
 
fixed
 
by
 
the
 
Corporation’s
 
Board
 
of
Directors
 
when
 
authorizing
 
the
 
issuance
 
of
 
that
 
particular
 
series
 
and
 
are
 
redeemable
 
at
 
the
 
Corporation’s
 
option.
No
 
shares
 
of
preferred stock were outstanding as of March 31, 2025 and December
 
31, 2024.
Treasury Stock
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The following table shows the changes in shares of treasury stock for the quarters
 
ended March 31, 2025 and 2024:
Total
 
Number of Shares
Quarter Ended March 31,
2025
2024
Treasury stock, beginning of year
59,794,239
54,360,304
Common stock repurchased
1,376,816
3,142,589
Common stock reissued under stock-based compensation plan
(614,300)
(548,729)
Restricted stock forfeited
2,180
1,905
Treasury stock, end of period
60,558,935
56,956,069
FirstBank Statutory Reserve (Legal Surplus)
The
 
Puerto
 
Rico
 
Banking
 
Law
 
of
 
1933,
 
as
 
amended
 
(the
 
“Puerto
 
Rico
 
Banking
 
Law”),
 
requires
 
that
 
a
 
minimum
 
of
10
%
 
of
FirstBank’s
 
net income
 
for
 
the year
 
be transferred
 
to a
 
legal surplus
 
reserve
 
until such
 
surplus
 
equals the
 
total of
 
paid-in-capital
 
on
common and preferred
 
stock. Amounts transferred
 
to the legal surplus
 
reserve from retained
 
earnings are not available
 
for distribution
to the Corporation without the
 
prior consent of the Puerto
 
Rico Commissioner of Financial Institutions.
The Puerto Rico Banking Law
provides that, when the expenditures of a Puerto Rico commercial bank are greater than receipts, the excess of the expenditures over
receipts must be charged against the undistributed profits of the bank, and the balance, if any, must be charged against the legal
surplus reserve, as a reduction thereof. If the legal surplus reserve is not sufficient to cover such balance in whole or in part, the
outstanding amount must be charged against the capital account and the Bank cannot pay dividends until it can replenish the legal
surplus reserve to an amount of at least 20% of the original capital contributed.
 
FirstBank’s
 
legal surplus
 
reserve, included
 
as part
 
of
retained earnings in
 
the Corporation’s
 
consolidated statements of
 
financial condition, amounted
 
to $
230.2
 
million as of each
 
of March
31, 2025 and December 31, 2024. There were
no
 
transfers to the legal surplus reserve during the quarter ended March 31, 2025.