XML 36 R25.htm IDEA: XBRL DOCUMENT
v3.25.2

SEGMENT INFORMATION | 6 Months Ended
--- | ---
Jun. 30, 2025
SEGMENT INFORMATION [Abstract] |
SEGMENT INFORMATION | NOTE 17 – SEGMENT INFORMATION The Corporation’s operating segments are based primarily on the Corporation’s lines of business for its operations in Puerto Rico, the Corporation’s principal market, and by geographic areas for its operations outside of Puerto Rico. As of June 30, 2025, the Corporation had six reportable segments: Mortgage Banking; Consumer (Retail) Banking; Commercial and Corporate Banking; Treasury and Investments; United States Operations; and Virgin Islands Operations. The Chief Executive Officer (“CEO”), who is the designated chief operating decision maker (“CODM”), as ultimate decision maker, evaluates performance and allocates resources based on financial information provided by management. In determining the reportable segments, the Corporation considers factors such as the organizational structure, nature of the products, distribution channels, customer relationship management, and economic characteristics of the business lines. The Corporation evaluates the performance of the segments based on segment income or loss, which consists of net interest income, the provision for credit losses, non-interest income and non-interest expenses. Segment income or loss is measured on a pre-tax basis, consistent with the Corporation’s consolidated financial statements under GAAP. The total segment income or loss equals consolidated pre-tax income or loss, and no adjustments or reconciliations are necessary. The segments are also evaluated based on the average volume of their interest-earning assets (net of fair value adjustments of investment securities and the ACL). The Mortgage Banking segment consists of the origination, sale, and servicing of a variety of residential mortgage loans. The Mortgage Banking segment also acquires and sells mortgages in the secondary market. The Consumer (Retail) Banking segment includes the Corporation’s consumer lending, commercial lending to small businesses, commercial transaction banking, and deposit- taking activities primarily conducted through its branch network and loan centers. The Commercial and Corporate Banking segment consists of the Corporation’s lending and other services for large customers represented by specialized and middle-market clients and the government sector. The Commercial and Corporate Banking segment consists of the Corporation’s commercial lending (other than small business commercial loans) and commercial deposit-taking activities (other than the government sector). The Treasury and Investments segment is responsible for the Corporation’s investment portfolio and treasury functions that are executed to manage and enhance liquidity. Under the Corporation’s fund transfer pricing (“FTP”) methodology, the Treasury and Investments segment centrally manages funding by providing funds to the Mortgage Banking, Consumer (Retail) Banking, Commercial and Corporate Banking, United States Operations, and Virgin Islands Operations segments to support their lending activities and compensating these units for deposits gathered. The mismatch between funds provided and funds used is managed by the Treasury and Investments segment. The funds transfer pricing charged or credited are calculated using the SOFR/swap curve with term rates, adjusted for a funding spread that reflects the Corporation’s cost of funds. The methodology, which is performed based on matched maturity funding, ensures a market-based allocation of funding costs and credits, impacting segment profitability by aligning internal pricing with external market conditions. The United States Operations segment consists of all banking activities conducted by FirstBank in the United States mainland, including commercial and consumer banking services. The Virgin Islands Operations segment consists of all banking activities conducted by the Corporation in the USVI and the BVI, including commercial and consumer banking services. Prior period segment results have been recast to reflect certain refinements made to enhance internal reporting described in Note 25 – “Segment Information” to the audited consolidated financial statements included in the 2024 Annual Report on Form 10-K. Also, see Note 1 – “Nature of Business and Summary of Significant Accounting Policies” to the audited consolidated financial statements included in the 2024 Annual Report on Form 10-K for the accounting policies of the segments and information related to the adoption of ASU 2023-07. The following tables present information about the reportable segments for the indicated periods: Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Banking Treasury and Investments United States Operations Virgin Islands Operations Total (In thousands) Quarter ended June 30, 2025: Interest income $ 32,330 $ 105,243 $ 61,419 $ 33,145 $ 38,157 $ 7,896 $ 278,190 Net (charge) credit for transfer of funds (14,660) 79,150 (15,759) (57,180) (2,502) 10,951 - Interest expense - (38,491) (3,604) (3,095) (15,213) (1,928) (62,331) Net interest income (loss) 17,670 145,902 42,056 (27,130) 20,442 16,919 215,859 Provision for credit losses - expense (benefit) 351 17,203 701 (3) 2,015 320 20,587 Non-interest income 3,498 22,364 1,895 19 862 2,312 30,950 Non-interest expenses: Employees’ compensation and benefits 6,762 35,405 4,992 1,027 7,268 4,604 60,058 Occupancy and equipment 1,496 14,834 1,530 180 1,933 2,324 22,297 Business promotion 266 2,402 216 180 229 202 3,495 Professional fees 1,492 6,622 997 361 1,086 1,051 11,609 Taxes, other than income taxes 446 4,293 576 112 104 181 5,712 FDIC deposit insurance 417 770 673 - 237 138 2,235 Net (gain) loss on OREO operations (840) - 145 - - 104 (591) Credit and debit card processing expenses - 6,845 214 - 3 685 7,747 Other non-interest expenses (1) 789 6,323 1,366 637 731 929 10,775 Total non-interest expenses 10,828 77,494 10,709 2,497 11,591 10,218 123,337 Segment income (loss) $ 9,989 $ 73,569 $ 32,541 $ (29,605) $ 7,698 $ 8,693 $ 102,885 Average interest-earning assets $ 2,164,350 $ 4,018,961 $ 3,575,929 $ 5,638,582 $ 2,419,981 $ 457,177 $ 18,274,980 Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Banking Treasury and Investments United States Operations Virgin Islands Operations Total (In thousands) Quarter ended June 30, 2024: Interest income $ 31,594 $ 105,256 $ 62,649 $ 28,912 $ 36,413 $ 7,421 $ 272,245 Net (charge) credit for transfer of funds (13,409) 69,962 (20,154) (44,035) (2,475) 10,111 - Interest expense - (39,366) (3,976) (11,943) (14,978) (2,354) (72,617) Net interest income (loss) 18,185 135,852 38,519 (27,066) 18,960 15,178 199,628 Provision for credit losses - (benefit) expense (9,832) 26,551 (2,084) 60 (3,524) 434 11,605 Non-interest income 3,606 23,134 1,749 122 845 2,582 32,038 Non-interest expenses: Employees’ compensation and benefits 6,611 33,889 4,712 848 7,015 4,381 57,456 Occupancy and equipment 1,451 14,583 1,423 178 1,980 2,236 21,851 Business promotion 404 3,017 282 187 276 193 4,359 Professional fees 1,960 6,923 989 371 1,040 1,148 12,431 Taxes, other than income taxes 450 4,069 474 103 140 172 5,408 FDIC deposit insurance 434 809 693 - 222 158 2,316 Net (gain) loss on OREO operations (1,503) - (2,205) - 2 97 (3,609) Credit and debit card processing expenses - 6,557 208 - 3 839 7,607 Other non-interest expenses (1) 672 6,448 1,513 586 666 978 10,863 Total non-interest expenses 10,479 76,295 8,089 2,273 11,344 10,202 118,682 Segment income (loss) $ 21,144 $ 56,140 $ 34,263 $ (29,277) $ 11,985 $ 7,124 $ 101,379 Average interest-earning assets $ 2,122,474 $ 4,022,781 $ 3,503,782 $ 5,842,575 $ 2,119,230 $ 419,052 $ 18,029,894 The following tables present information about the reportable segments for the indicated periods: Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Banking Treasury and Investments United States Operations Virgin Islands Operations Total (In thousands) Six-Month Period Ended June 30, 2025 Interest income $ 64,394 $ 210,996 $ 123,291 $ 65,783 $ 75,557 $ 15,234 $ 555,255 Net (charge) credit for transfer of funds (29,138) 154,247 (31,039) (111,897) (3,541) 21,368 - Interest expense - (76,326) (7,387) (8,675) (30,785) (3,826) (126,999) Net interest income (loss) 35,256 288,917 84,865 (54,789) 41,231 32,776 428,256 Provision for credit losses - expense (benefit) 1,027 37,223 3,355 (8) 2,864 936 45,397 Non-interest income 7,080 48,557 4,152 170 1,716 5,009 66,684 Non-interest expenses: Employees’ compensation and benefits 13,734 72,024 10,756 2,167 14,267 9,247 122,195 Occupancy and equipment 3,013 29,963 3,134 353 3,811 4,653 44,927 Business promotion 469 4,722 434 350 502 296 6,773 Professional fees 3,032 12,866 2,039 709 2,034 2,415 23,095 Taxes, other than income taxes 917 8,687 1,181 232 221 352 11,590 FDIC deposit insurance 832 1,548 1,341 - 474 276 4,471 Net (gain) loss on OREO operations (1,936) - 181 - - 35 (1,720) Credit and debit processing expenses - 10,847 474 - 5 1,531 12,857 Other non-interest expenses (1) 1,761 13,056 2,778 1,285 1,442 1,849 22,171 Total non-interest expenses 21,822 153,713 22,318 5,096 22,756 20,654 246,359 Segment income (loss) $ 19,487 $ 146,538 $ 63,344 $ (59,707) $ 17,327 $ 16,195 $ 203,184 Average interest-earning assets $ 2,160,476 $ 4,037,398 $ 3,563,429 $ 5,684,108 $ 2,405,923 $ 441,720 $ 18,293,054 Mortgage Banking Consumer (Retail) Banking Commercial and Corporate Banking Treasury and Investments United States Operations Virgin Islands Operations Total (In thousands) Six-Month Period Ended June 30, 2024 Interest income $ 63,151 $ 209,900 $ 124,799 $ 56,970 $ 71,178 $ 14,752 $ 540,750 Net (charge) credit for transfer of funds (26,820) 136,520 (40,692) (83,665) (4,713) 19,370 - Interest expense - (77,429) (8,012) (25,061) (29,520) (4,580) (144,602) Net interest income (loss) 36,331 268,991 76,095 (51,756) 36,945 29,542 396,148 Provision for credit losses - (benefit) expense (10,098) 42,462 (5,010) (9) (3,442) (131) 23,772 Non-interest income 6,727 48,853 3,401 233 1,752 5,055 66,021 Non-interest expenses: Employees’ compensation and benefits 13,362 68,876 9,630 1,840 14,288 8,966 116,962 Occupancy and equipment 2,874 28,871 2,784 378 3,904 4,421 43,232 Business promotion 636 5,789 516 403 511 346 8,201 Professional fees 4,290 13,880 1,928 688 2,127 2,194 25,107 Taxes, other than income taxes 869 7,959 911 198 268 332 10,537 FDIC deposit insurance 1,008 1,880 1,610 - 533 387 5,418 Net (gain) loss on OREO operations (3,026) - (2,159) - 2 122 (5,061) Credit and debit processing expenses - 11,368 402 - 5 1,583 13,358 Other non-interest expenses (1) 1,489 13,049 3,018 1,190 1,295 1,810 21,851 Total non-interest expenses 21,502 151,672 18,640 4,697 22,933 20,161 239,605 Segment income (loss) $ 31,654 $ 123,710 $ 65,866 $ (56,211) $ 19,206 $ 14,567 $ 198,792 Average interest-earning assets $ 2,127,479 $ 4,006,806 $ 3,501,142 $ 5,871,437 $ 2,103,523 $ 416,140 $ 18,026,527 (1) Consists of communication expenses and the expense categories described in Note 19 - “Other Non-Interest Expenses,” to the audited consolidated financial statements included in the 2024 Annual Report on Form 10-K. The following table presents a reconciliation of the reportable segment financial information to the consolidated totals for the indicated periods: Quarter Ended June 30, Six-Month Period Ended June 30, 2025 2024 2025 2024 (In thousands) Average assets: Total average earning assets for segments $ 18,274,980 $ 18,029,894 $ 18,293,054 $ 18,026,527 Average non-earning assets (1) 766,226 854,537 780,918 844,838 Total consolidated average assets $ 19,041,206 $ 18,884,431 $ 19,073,972 $ 18,871,365 (1) Includes, among other things, non-interest-earning cash, premises and equipment, net deferred tax asset, ROU assets, and accrued interest receivable on loans and investments.

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 48 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-48 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 270 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (i) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482964/270-10-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (ee) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 5: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 6: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 7: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 8: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 9: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 10: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 11: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-22 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-31 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-34 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26C Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26B Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-15 Reference 18: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-42 Reference 19: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-40 Reference 20: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/280/tableOfContent Reference 21: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26 Reference 22: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-41 Reference 23: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 24: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 25: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration