FULT
FOURTH QUARTER 2024
RESULTS
NASDAQ: FULT
Data as of or for the period ended December 31, 2024 unless otherwise noted
Fourth Quarter 2024 Financial Highlights
GAAP Reported
4Q24
3Q24
Net Income Available to Common Shareholders ($ in millions)
$66.1
$60.6
Return on Average Assets (annualized)
0.85%
0.79%
Return on Average Tangible Common Equity (annualized; non-GAAP)
--
--
Efficiency Ratio (non-GAAP)
--
--
Operating Expenditures / Average Assets (annualized)
2.68%
2.82%
Diluted Earnings Per Share
$0.36
$0.33
Pre-Provision Net Revenue ("PPNR") ($ in millions; non-GAAP)
--
--
PPNR / Average Assets (annualized; non-GAAP)
--
--
Operating(1)
4Q24
3Q24
$88.9
$91.3
1.14%
1.17%
14.83%
15.65%
58.4%
59.6%
2.36%
2.45%
$0.48
$0.50
$131.2
$128.3
1.63%
1.61%
(1) Non-GAAP financial measures. Please refer to the calculation and management's reason for using this measure on the slide titled "Non -GAAP
3
Reconciliation" at the end of this presentation.
Deepening Our Commitment to Purpose, Vision, & Strategic Execution
Simplicity in the operating model
- Realign value propositions and
coverage models by customer size and
complexity
Focus on Fulton's core relationships
- Redesign end-to-end processes with
single ownership to deliver superior
customer experience
- Simplify organizational structures
Productivity across the Bank
4
Income Statement Summary
4Q24
3Q24
Linked-Quarter
Change
(dollars in thousands, except per-share data)
Net interest income
$253,659
$258,009
($4,350)
Provision for credit losses
16,725
11,929
4,796
Non-interest income
65,924
59,674
6,250
Securities (losses)
-
(1)
1
Non-interest expense
216,615
226,089
(9,474)
Income before income taxes
86,243
79,664
6,579
Income taxes
17,623
16,458
1,165
Net income
68,620
63,206
5,414
Preferred stock dividends
(2,562)
(2,562)
-
Net income available to common shareholders
$66,058
$60,644
$5,414
Net income available to common shareholders,
$0.36
$0.33
$0.03
per share (diluted)
Operating net income available to common
$0.48
$0.50
($0.02)
shareholders, per share (diluted)(1)
ROAA
0.85%
0.79%
0.06%
Operating ROAA(1)
1.14%
1.17%
-0.03%
ROAE
8.68%
8.13%
0.55%
Operating ROAE (tangible)(1)
14.83%
15.65%
-0.82%
Efficiency ratio(1)
58.4%
59.6%
-1.2%
(1) Non-GAAP financial measure. Please refer to the calculation and management's reason for using this measure on the slide titled "Non-GAAP
5
Reconciliation" at the end of this presentation.
Net Interest Income and Net Interest Margin ("NIM")
4Q24 Highlights
Average Interest-Earning Assets & Yields
(dollars in billions)
Net Interest Income(1) & NIM
Average Deposits and Borrowings & Other and
(dollars in millions)
(dollars in billions)
Cost of Funds
(1) Net interest income on a non fully tax equivalent basis.
6
Non-Interest Income
4Q24
3Q24
Linked-
(dollars in thousands)
4Q24 Fulton
Republic
4Q24
3Q24 Fulton
Republic
3Q24
Quarter
Organic
Transaction
Consolidated
Organic
Transaction
Consolidated
Change
Commercial Banking
$21,666
$788
$22,454
$21,905
$384
$22,289
$165
Wealth Management
22,002
-
22,002
21,596
-
21,596
406
Consumer Banking
12,943
1,366
14,309
12,790
2,138
14,928
(619)
Mortgage Banking
3,759
-
3,759
3,142
-
3,142
617
Gain On Acquisition, net of tax
-
(2,689)
(2,689)
-
(7,706)
(7,706)
5,017
Other
5,908
181
6,089
5,348
77
5,425
664
Non-interest income before
investment securities gains (losses)
66,278
(354)
65,924
64,780
(5,106)
59,674
6,250
Investment securities gains (losses), net
-
-
-
(1)
-
(1)
1
Total Non-Interest Income
$66,278
($354)
$65,924
$64,779
($5,106)
$59,673
$6,251
Increases due to:
Offset by:
7
Non-Interest Expense
(dollars in thousands)
Salaries and employee benefits Data processing and software Net occupancy
Other outside services Intangible Amortization FDIC insurance Equipment Professional fees Acquisition-related expenses Other
Total non-interest expense
Non-GAAP Adjustments: Less: Intangible amortization Less: Acquisition-related expenses Less: FDIC special assessment Less: FultonFirst implementation and asset disposals
Operating non-interest expense(1)
4Q24
4Q24
3Q24
3Q24
Linked-
Fulton
Republic
4Q24
Fulton
Republic
3Q24
Quarter
Organic
Transaction
Consolidated
Organic
Transaction
Consolidated
Change
$100,423
$7,463
$107,886
$107,986
$10,838
$118,824
($10,938)
16,820
2,730
3,146
19,550
17,168
20,314
(764)
15,197
1,220
3,497
16,417
15,502
18,999
(2,582)
12,888
1,643
14,531
14,532
1,307
15,839
(1,308)
494
5,788
5,788
6,282
499
6,287
(5)
4,641
1,280
5,921
3,959
1,150
5,109
812
4,008
380
4,388
4,148
712
4,860
(472)
3,134
253
3,387
2,621
190
2,811
576
9,637
-
9,637
14,195
-
14,195
(4,558)
26,829
1,787
28,616
16,817
2,034
18,851
9,765
194,071
22,544
216,615
197,427
28,662
226,089
(9,474)
(494)
(5,788)
(6,282)
(499)
(5,788)
(6,287)
5
(9,637)
-
(9,637)
(14,195)
-
(14,195)
4,558
-
-
-
16
-
16
(16)
(10,001)
-
(10,001)
(9,385)
-
(9,385)
(616)
$173,939
$16,756
$190,695
$173,363
$22,875
$196,238
($5,543)
(1) Non-GAAP financial measures. Please refer to the calculation and management's reason for using this measure on the slide titled "Non -GAAP
8
Reconciliation" at the end of this presentation.
Success to Date Positions Fulton Well for 2025 & Beyond
Estimated FultonFirst Financial Benefits
2025 estimated cost saves of ~$25 million
•Anticipate ~45% in 1H25; balance in 2H25
Estimated annual full realized benefit of
greater than $50 million
•Fully realized in 2026
Positioning for Growth
Implementation costs associated with FultonFirst should abate through 2025:
Anticipated earn-back period of less than 12
months
•Based on full implementation run-rate
Reinvestment towards revenue generating
initiatives evident in 2026 and later
•Reorganizing commercial segments based on customer needs and expectations
•Focus and dedicated leadership of our Business Banking segment
•Market realignment for quicker decisioning
Creating Efficiency & Operating Leverage
FultonFirst + full-year Republic Bank cost saves should drive 2025 total operating expense efficiencies
9
Asset Quality
Provision for Credit Losses
Non-Performing Assets ("NPAs") & NPAs to Assets
Net Charge-offs ("NCOs") and NCOs to Average Loans
ACL(1) to NPLs & Loans
(1) The allowance for credit losses ("ACL") relates specifically to "Loans, net of unearned income" and does not include reservesrelated to off-balance sheet
10
credit exposures.
Disclaimer
Fulton Financial Corporation published this content on January 21, 2025, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on January 21, 2025 at 21:35:50.721.