First BanCorp. Announces Earnings for the Quarter Ended March 31, 2026

Key Terms

net interest margin financial

Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.

efficiency ratio financial

A measure of how much a company spends to produce each dollar of revenue, usually shown as operating expenses divided by revenue and expressed as a percentage. Think of it as a household’s budget: a lower percentage means more of each dollar earned stays as profit, while a higher number means costs are eating into returns. Investors use it to judge cost control and compare how efficiently companies turn revenue into earnings, especially in banks and financial firms.

return on average assets financial

Return on average assets (ROAA) measures how efficiently a company turns its assets into profit by comparing profit after expenses to the average value of its assets over a period (usually the average of beginning and ending assets). It matters to investors because it shows how well management uses the company’s resources to generate returns—think of it as how much profit a baker earns from the oven space they actually used over time.

allowance for credit losses financial

Allowance for credit losses is a reserve set aside by a financial institution to cover potential losses from borrowers who may not repay their loans. It acts like a safety net, helping the institution prepare for loans that might turn sour. For investors, it signals how cautious the institution is about the quality of its loans and potential risks to its financial health.

non-performing assets financial

Loans or other credit exposures that are not producing expected income because borrowers have stopped making scheduled payments for a significant period (commonly around 90 days). Think of it like a business lending money that has gone quiet — the cash flow stops while the lender still carries the debt on its books. High levels of non-performing assets matter to investors because they reduce a lender’s earnings, tie up capital that could be used for growth, and signal higher risk of future losses.

performance share units financial

Performance share units are a type of company stock award given to employees that depend on the company meeting specific goals or targets. If these goals are achieved, the employee receives shares or the value of shares; if not, they may receive little or no compensation. This aligns employees’ interests with the company's success and encourages performance that benefits investors.

CET1 capital financial

Common Equity Tier 1 (CET1) capital is a bank’s core financial cushion made up mainly of common shares and retained profits, minus items like goodwill, that regulators count first when judging a bank’s strength. It matters to investors because a higher CET1 ratio signals a bigger buffer to absorb losses, supports dividend payments and growth, and reduces the risk of regulatory restrictions—think of it as a household emergency fund that keeps the bank solvent under stress.

FDIC special assessment regulatory

A FDIC special assessment is a one-time or temporary charge the Federal Deposit Insurance Corporation can levy on insured banks to replenish the fund that protects depositors after unexpected losses. Think of it as an emergency invoice that raises a bank’s costs, which can reduce profits, eat into capital used for lending, and therefore matter to investors watching bank earnings, dividend capacity, and share price.

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SAN JUAN, Puerto Rico--(BUSINESS WIRE)-- First BanCorp. (the “Corporation” or “First BanCorp.”) (NYSE: FBP), the bank holding company for FirstBank Puerto Rico (“FirstBank” or “the Bank”), today reported a net income of $88.8 million, or $0.57 per diluted share, for the first quarter of 2026, compared to $87.1 million, or $0.55 per diluted share, for the fourth quarter of 2025, and $77.1 million, or $0.47 per diluted share, for the first quarter of 2025.

	Aurelio Alemán, President and Chief Executive Officer of First BanCorp, commented: “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%. 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. Core customer deposits continued to grow, reinforcing the strength of our relationship‑driven franchise while allowing us to proactively manage funding costs.  Loan pipelines remain healthy and continue to support our confidence in achieving our established loan growth targets for the full year. 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. Supported by a resilient labor market and stable economic backdrop, we remain focused on serving our customers across a range of environments while closely monitoring key risks, including energy costs and their potential impact on consumers. Our thoughtful and consistent approach to capital deployment resulted in a net payout ratio of 92% during the quarter achieved through share buybacks and dividends. Our disciplined approach to capital allocation, responsible growth, and ongoing execution of our omnichannel strategy continue to position First BanCorp to deliver sustainable long‑term value for all our stakeholders.”			(In thousands)	Q1 '26				Q4 '25			Q1 '25
					Financial Highlights
				Net interest income	$	220,956		$	222,768		$	212,397
				Provision for credit losses		17,273			22,971			24,810
				Non-interest income		37,685			34,400			35,734
				Non-interest expenses		127,105			126,870			123,022
				Income before income taxes		114,263			107,327			100,299
				Income tax expense		25,485			20,226			23,240
				Net income	$	88,778		$	87,101		$	77,059
					Selected Financial Data
				Net interest margin		4.75%			4.68%			4.52%
				Efficiency ratio		49.14%			49.33%			49.58%
				Diluted earnings per share	$	0.57		$	0.55		$	0.47
				Book value per share	$	12.72		$	12.56		$	10.91
				Tangible book value per share(1)	$	12.45		$	12.29		$	10.64
				Return on average equity		17.92%			17.84%			17.90%
				Return on average assets		1.89%			1.81%			1.64%

Results for the First Quarter of 2026 compared to the Fourth Quarter of 2025
Profitability		Net income – $88.8 million, or $0.57 per diluted share compared to $87.1 million, or $0.55 per diluted share. Net income for the fourth quarter of 2025 included a reversal of $1.1 million ($0.7 million after-tax) related to the Federal Deposit Insurance Corporation (“FDIC”) special assessment. Income before income taxes – $114.3 million compared to $107.3 million. Adjusted pre-tax, pre-provision income (Non-GAAP)(1) – $131.4 million compared to $129.2 million. Net interest income – $221.0 million compared to $222.8 million. The decrease includes a reduction of $2.7 million associated with the effect of two less days in the first quarter of 2026, $2.2 million associated to the downward repricing of variable-rate commercial loans and cash held at the Federal Reserve Bank (“FED”), partially offset by the continued deployment of cash flows from lower-yielding investment securities to higher-yielding assets and a decrease in the cost of interest-bearing deposits. Net interest margin increased to 4.75%, compared to 4.68%. Provision for credit losses – $17.3 million compared to $23.0 million. The provision reflects an improved projection on certain macroeconomic variables and improvements in delinquency in the consumer loan portfolios, partially offset by higher qualitative reserves associated with geopolitical uncertainty driven by, among other things, higher oil prices as a result of the conflict in the Middle East. Non-interest income – $37.7 million compared to $34.4 million. The increase was driven by $3.6 million in seasonal contingent insurance commissions recorded in the first quarter of 2026. Non-interest expenses – remained relatively flat at $127.1 million, compared to $126.9 million in the previous quarter. Income tax expense – $25.5 million compared to $20.2 million, mainly due to higher pre-tax income and an adjustment in the fourth quarter of 2025 due to a lower than estimated annual effective tax rate.
Balance Sheet		Total loans – decreased by $38.2 million to $13.1 billion, driven by a reduction of $49.9 million in consumer loans, primarily in the auto loans and finance leases portfolios in the Puerto Rico region. Total loan originations of $1.2 billion, down $143.0 million, mainly in commercial and construction loans. Core deposits (other than brokered and government deposits) – increased by $158.5 million to $13.2 billion, mainly in interest-bearing deposits in the Puerto Rico region. Government deposits (fully collateralized) – decreased by $146.3 million to $2.9 billion, mainly in the Puerto Rico region. Brokered certificates of deposits (“CDs”) – decreased by $86.5 million to $507.0 million.
Asset Quality		Allowance for credit losses (“ACL”) coverage ratio – amounted to 1.87%, compared to 1.90%. Annualized net charge-offs to average loans ratio increased to 0.65%, compared to 0.63%. Non-performing assets – decreased by $5.3 million to $108.8 million, driven by a reduction in nonaccrual loans across all portfolios.
Liquidity and Capital		Liquidity – Cash and cash equivalents amounted to $550.9 million, compared to $658.6 million. When adding $2.3 billion of free high-quality liquid securities that could be liquidated or pledged within one day and $1.0 billion in available lending capacity at the Federal Home Loan Bank (“FHLB”), available liquidity amounted to 20.14% of total assets, compared to 19.39%. Capital – Repurchased $50.0 million in common stock and declared $31.5 million in common stock dividends. Capital ratios exceeded required regulatory levels. The Corporation’s estimated total capital, common equity tier 1 (“CET1”) capital, tier 1 capital, and leverage ratios were 18.19%, 16.93%, 16.93%, and 11.66%, respectively, as of March 31, 2026. On a non-GAAP basis, the tangible common equity ratio(1) increased to 10.11%, compared to 10.08%.
		(1) Represents non-GAAP financial measures. Refer to Non-GAAP Disclosures - Non-GAAP Financial Measures for the definition of and additional information about these non-GAAP financial measures.

NET INTEREST INCOME

The following table sets forth information concerning net interest income for the last five quarters:

		Quarter Ended
		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(Dollars in thousands)
Net Interest Income
Interest income		$	279,849			$	285,158			$	282,743			$	278,190			$	277,065
Interest expense			58,893				62,390				64,827				62,331				64,668
Net interest income		$	220,956			$	222,768			$	217,916			$	215,859			$	212,397
Average Balances
Loans and leases		$	13,068,874			$	13,032,081			$	12,876,239			$	12,742,809			$	12,632,501
Total securities, other short-term investments and interest-bearing cash balances			5,776,844				5,871,091				6,037,726				6,245,844				6,444,016
Average interest-earning assets		$	18,845,718			$	18,903,172			$	18,913,965			$	18,988,653			$	19,076,517
Average interest-bearing liabilities		$	11,409,037			$	11,531,091			$	11,669,135			$	11,670,411			$	11,749,011
Average Yield/Rate
Average yield on interest-earning assets			6.02	%			5.98	%			5.93	%			5.88	%			5.89	%
Average rate on interest-bearing liabilities			2.09	%			2.15	%			2.20	%			2.14	%			2.23	%
Net interest spread			3.93	%			3.83	%			3.73	%			3.74	%			3.66	%
Net interest margin			4.75	%			4.68	%			4.57	%			4.56	%			4.52	%

Net interest income amounted to $221.0 million for the first quarter of 2026, a decrease of $1.8 million, compared to $222.8 million for the fourth quarter of 2025, which includes a reduction of approximately $2.7 million associated with the effect of two less days in the first quarter of 2026. The decrease in net interest income reflects the following:

• A $6.5 million decrease in interest income on loans, driven by:
  
  
  • A $4.1 million decrease in interest income on commercial and construction loans, driven by a $2.2 million reduction associated with the effect of two less days in the first quarter of 2026, and a $1.7 million decrease due to the effect of lower interest rates on the downward repricing of variable-rate loans. Also, the fourth quarter of 2025 included $0.8 million of interest income and a $0.5 million prepayment penalty in connection with the payoffs of a $12.0 million nonaccrual commercial mortgage loan and a $23.8 million construction loan, respectively, both in the Florida region. These variances were partially offset by a $1.1 million increase associated with a $65.8 million increase in the average balance.
    
    As of March 31, 2026, the interest rate on approximately 51% of the Corporation’s commercial and construction loans was tied to variable rates, with 32% based upon SOFR of 3 months or less, 12% based upon the Prime rate index, and 7% based on other indexes. For the quarter ended March 31, 2026, the average one-month SOFR decreased 24 basis points, the average three-month SOFR decreased 15 basis points, and the average Prime rate decreased 27 basis points, when compared to the fourth quarter of 2025.
    
    
  • A $2.7 million decrease in interest income on consumer loans and finance leases, due to a $1.7 million decrease associated with the effect of two less days in the first quarter of 2026, and a $1.0 million decrease associated with a $36.1 million decline in the average balance.

Partially offset by:

• A $3.3 million decrease in interest expense on interest-bearing deposits, consisting of:
  
  
  • A $1.5 million decrease in interest expense on interest-bearing checking and saving accounts, mainly due to a decrease of approximately $0.6 million associated with lower interest rates paid in the first quarter of 2026, a $0.5 million decrease driven by the effect of two less days in the first quarter of 2026, and a $0.4 million decrease associated with a $66.4 million net reduction in the average balance. The average cost of interest-bearing checking and saving accounts in the first quarter of 2026 decreased 4 basis points to 1.21% when compared to the previous quarter, driven by a decrease in the cost of government deposits. Excluding government deposits, the average cost of interest-bearing checking and saving accounts in the first quarter of 2026 was 0.66%, compared to 0.68% for the previous quarter.
    
    
  • A $0.9 million decrease in interest expense on time deposits, excluding brokered CDs, mainly due to a $0.7 million decrease associated with the effect of two less days in the first quarter of 2026.
    
    
  • A $0.9 million decrease in interest expense on brokered CDs, of which $0.7 million was associated with a $61.3 million decline in the average balance.
    
    
• A $1.2 million increase in interest income on investment securities and interest-bearing cash balances, a net effect of:
  
  
  • A $2.8 million increase in interest income on debt securities, mainly due to a 26 basis points improvement in yield resulting from purchases of higher-yielding available-for-sale debt securities replacing maturities of lower-yielding debt securities.
    
    Partially offset by:
    
    
  • A $1.6 million decrease in interest income from interest-bearing cash balances, mainly due to a $1.1 million decrease associated with a $108.6 million decrease in the average balances, which consisted primarily of cash maintained at the FED, and a $0.5 million decrease associated with the reduction of the federal funds rate.

Net interest margin for the first quarter of 2026 was 4.75%, a 7 basis points increase when compared to the fourth quarter of 2025, mostly reflecting the deployment of cash flows from lower-yielding investment securities to higher-yielding assets and the decrease in the cost of interest-bearing deposits. These factors were partially offset by the downward repricing of variable-rate commercial loans and a decrease of 3 basis points associated with the aforementioned interest income collected on a nonaccrual commercial loan and a prepayment penalty during the fourth quarter of 2025.

NON-INTEREST INCOME

The following table sets forth information concerning non-interest income for the last five quarters:

	Quarter Ended
	March 31, 2026			December 31, 2025			September 30, 2025			June 30, 2025			March 31, 2025
(In thousands)
Service charges and fees on deposit accounts	$	9,932		$	9,861		$	9,811		$	9,756		$	9,640
Mortgage banking activities		4,043			4,219			3,309			3,401			3,177
Insurance commission income		5,944			2,265			2,618			2,538			5,805
Card and processing income		11,758			12,353			11,682			11,880			11,475
Other non-interest income		6,008			5,702			3,374			3,375			5,637
Non-interest income	$	37,685		$	34,400		$	30,794		$	30,950		$	35,734

Non-interest income increased by $3.3 million to $37.7 million for the first quarter of 2026, compared to $34.4 million for the fourth quarter of 2025, mainly due to $3.6 million in seasonal contingent commissions recorded as part of insurance commission income in the first quarter of 2026 based on the prior year’s production of insurance policies. Other variances included a $0.8 million increase in realized gains from purchased income tax credits reported as part of other non-interest income, partially offset by a $0.6 million decrease in debit and credit card processing income driven by higher transactional fee income from point-of-sale terminals during the fourth quarter of 2025.

NON-INTEREST EXPENSES

The following table sets forth information concerning non-interest expenses for the last five quarters:

	Quarter Ended
	March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(In thousands)
Employees’ compensation and benefits	$	65,299			$	63,196			$	59,761			$	60,058			$	62,137
Occupancy and equipment		22,063				21,797				22,185				22,297				22,630
Business promotion		3,555				5,944				3,884				3,495				3,278
Professional service fees:
Collections, appraisals and other credit-related fees		734				1,007				856				634				598
Outsourcing technology services		8,585				8,433				8,107				8,324				7,921
Other professional fees		3,593				3,671				2,940				2,651				2,967
Taxes, other than income taxes		6,184				6,272				6,092				5,712				5,878
FDIC deposit insurance		2,058				961				2,236				2,235				2,236
Other insurance and supervisory fees		1,206				1,327				1,344				1,566				1,551
Net (gain) loss on other real estate owned (“OREO”) operations		(937	)			(838	)			1,033				(591	)			(1,129	)
Credit and debit card processing expenses		7,327				7,728				7,889				7,747				5,110
Communications		2,288				2,284				2,294				2,208				2,245
Other non-interest expenses		5,150				5,088				6,273				7,001				7,600
Total non-interest expenses	$	127,105			$	126,870			$	124,894			$	123,337			$	123,022

Non-interest expenses amounted to $127.1 million in the first quarter of 2026, an increase of $0.2 million, from $126.9 million in the fourth quarter of 2025. Non-interest expenses for the first quarter of 2026 reflect the following significant variances:

• A $2.1 million increase in employees’ compensation and benefits expenses, driven by a $1.5 million increase in payroll taxes, and a $1.8 million increase in stock-based compensation expense, mostly for stock grants during the first quarter of 2026 for retirement-eligible employees, partially offset by a $1.3 million decrease in salary compensation mainly due to the effect of two less working days in the first quarter of 2026.
  
  
• A $1.1 million increase in the FDIC deposit insurance expense driven by the aforementioned $1.1 million reversal recognized in the fourth quarter of 2025 related to the FDIC special assessment.

Partially offset by:

• A $2.4 million decrease in business promotion expenses as a result of certain marketing efforts during the fourth quarter of 2025.
  
  
• A $0.4 million decrease in credit and debit card processing expenses, mainly due to $1.1 million in debit card expense reimbursements recognized during the first quarter of 2026, partially offset by a $0.7 million increase driven by higher transactional volumes.

INCOME TAXES

The Corporation recorded an income tax expense of $25.5 million for the first quarter of 2026, compared to $20.2 million for the fourth quarter of 2025. The increase in income tax expense was driven by higher pre-tax income and an adjustment in the fourth quarter of 2025 due to a lower than estimated annual effective tax rate.

For the year, the Corporation’s annual effective tax rate, excluding discrete items, was estimated at 21.9% for the first quarter of 2026, compared to 21.6% for the fourth quarter of 2025. As of March 31, 2026, the Corporation had a net deferred tax asset of $143.6 million, net of a valuation allowance of $75.9 million, compared to a net deferred tax asset of $149.0 million, net of a valuation allowance of $75.0 million as of December 31, 2025.

CREDIT QUALITY

Non-Performing Assets

The following table sets forth information concerning non-performing assets for the last five quarters:

(Dollars in thousands)		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
Nonaccrual loans held for investment:
Residential mortgage		$	28,071			$	29,169			$	28,866			$	30,790			$	30,793
Construction			5,414				5,536				5,591				5,718				1,356
Commercial mortgage			7,442				8,382				21,437				22,905				23,155
Commercial and Industrial (“C&I”)			27,100				28,042				19,650				20,349				20,344
Consumer and finance leases			19,717				21,434				20,717				20,336				22,813
Total nonaccrual loans held for investment		$	87,744			$	92,563			$	96,261			$	100,098			$	98,461
OREO			6,344				7,522				9,343				14,449				15,880
Other repossessed property			13,124				12,389				12,234				11,868				13,444
Other assets (1)			1,609				1,620				1,579				1,576				1,599
Total non-performing assets (2)		$	108,821			$	114,094			$	119,417			$	127,991			$	129,384
Past due loans 90 days and still accruing (3)		$	28,949			$	31,913			$	28,891			$	29,535			$	37,117
Nonaccrual loans held for investment to total loans held for investment			0.67	%			0.71	%			0.74	%			0.78	%			0.78	%
Nonaccrual loans to total loans			0.67	%			0.70	%			0.74	%			0.78	%			0.78	%
Non-performing assets to total assets			0.57	%			0.60	%			0.62	%			0.68	%			0.68	%
(1)	Residential pass-through MBS issued by the Puerto Rico Housing Finance Authority (“PRHFA”) held as part of the available-for-sale debt securities portfolio.
(2)	Excludes purchased-credit deteriorated (“PCD”) loans previously accounted for under Accounting Standards Codification (“ASC”) Subtopic 310-30 for which the Corporation made the accounting policy election of maintaining pools of loans as “units of account” both at the time of adoption of current expected credit losses (“CECL”) on January 1, 2020 and on an ongoing basis for credit loss measurement. These loans will continue to be excluded from nonaccrual loan statistics as long as the Corporation can reasonably estimate the timing and amount of cash flows expected to be collected on the loan pools. The portion of such loans contractually past due 90 days or more amounted to $4.2 million as of March 31, 2026 (December 31, 2025 - $4.8 million; September 30, 2025 - $5.0 million; June 30, 2025 - $4.9 million; March 31, 2025 - $5.7 million).
(3)	These include rebooked loans, which were previously pooled into GNMA securities, amounting to $6.7 million as of March 31, 2026 (December 31, 2025 - $6.7 million; September 30, 2025 - $3.8 million; June 30, 2025 - $5.5 million; March 31, 2025 - $6.4 million). Under the GNMA program, the Corporation has the option but not the obligation to repurchase loans that meet GNMA’s specified delinquency criteria. For accounting purposes, the loans subject to the repurchase option are required to be reflected on the financial statements with an offsetting liability.

Variances in credit quality metrics:

• Total non-performing assets decreased by $5.3 million to $108.8 million as of March 31, 2026, driven by a $4.8 million decrease in nonaccrual loans. Nonaccrual commercial and construction loans decreased by $2.0 million, driven by a $1.2 million repayment of a C&I loan in the Puerto Rico region in the food retail industry, and a $0.6 million charge-off of a commercial mortgage loan in the Virgin Islands region. Nonaccrual consumer loans decreased by $1.7 million, mainly in the auto loan portfolio, and nonaccrual residential mortgage loans decreased by $1.1 million. In addition, the OREO portfolio balance decreased by $1.2 million, mainly attributable to the sale of residential properties in the Puerto Rico region, partially offset by an increase of $0.7 million in other repossessed properties.
  
  
• Inflows to nonaccrual loans held for investment were $34.3 million in the first quarter of 2026, a decrease of $11.9 million, compared to inflows of $46.2 million in the fourth quarter of 2025. Inflows to nonaccrual commercial and construction loans were $1.2 million in the first quarter of 2026, a decrease of $11.2 million, compared to inflows of $12.4 million in the fourth quarter of 2025, mostly associated with a $10.0 million C&I loan in the Puerto Rico region in the telecommunications industry. Inflows to nonaccrual residential mortgage loans were $3.4 million in the first quarter of 2026, a decrease of $0.9 million, compared to inflows of $4.3 million in the fourth quarter of 2025. Inflows to nonaccrual consumer loans were $29.7 million in the first quarter of 2026, an increase of $0.2 million, compared to inflows of $29.5 million in the fourth quarter of 2025. See Early Delinquency below for additional information.
  
  
• Adversely classified commercial and construction loans decreased by $5.4 million to $76.0 million as of March 31, 2026, compared to $81.4 million as of December 31, 2025, driven by $3.8 million in repayments on three C&I loans, including the aforementioned repayment of a nonaccrual C&I loan in the Puerto Rico region.

Early Delinquency

Total loans held for investment in early delinquency (i.e., 30-89 days past due accruing loans, as defined in regulatory reporting instructions) amounted to $110.5 million as of March 31, 2026, a decrease of $34.5 million, compared to $145.0 million as of December 31, 2025, driven by a $31.0 million decrease in consumer loans, primarily in the auto loan portfolio.

Allowance for Credit Losses

The following table summarizes the activity of the ACL for on-balance sheet and off-balance sheet exposures during the first quarter of 2026 and fourth quarter of 2025:

		Quarter Ended March 31, 2026
		Loans and Finance Leases																				Debt Securities
(Dollars in thousands)		Residential Mortgage Loans				Commercial and Construction Loans				Consumer Loans and Finance Leases				Total Loans and Finance Leases				Unfunded Loans Commitments				Held-to- Maturity				Available- for-Sale				Total ACL
Allowance for Credit Losses
Allowance for credit losses, beginning balance		$	41,071			$	70,920			$	137,046			$	249,037			$	3,013			$	733			$	763			$	253,546
Provision for credit losses - expense (benefit)			239				(984	)			17,915				17,170				107				(92	)			88				17,273
Net recoveries (charge-offs)			224				(818	)			(20,553	)			(21,147	)			-				-				(12	)			(21,159	)
Allowance for credit losses, end of period		$	41,534			$	69,118			$	134,408			$	245,060			$	3,120			$	641			$	839			$	249,660
Amortized cost of loans and finance leases		$	2,914,898			$	6,517,223			$	3,658,956			$	13,091,077
Allowance for credit losses on loans to amortized cost			1.42	%			1.06	%			3.67	%			1.87	%
		Quarter Ended December 31, 2025
		Loans and Finance Leases																				Debt Securities
(Dollars in thousands)		Residential Mortgage Loans				Commercial and Construction Loans				Consumer Loans and Finance Leases				Total Loans and Finance Leases				Unfunded Loans Commitments				Held-to- Maturity				Available-for- Sale				Total ACL
Allowance for Credit Losses
Allowance for credit losses, beginning balance		$	40,272			$	68,580			$	138,138			$	246,990			$	2,611			$	698			$	658			$	250,957
Provision for credit losses - expense			644				2,393				19,381				22,418				402				35				116				22,971
Net recoveries (charge-offs)			155				(53	)			(20,473	)			(20,371	)			-				-				(11	)			(20,382	)
Allowance for credit losses, end of period		$	41,071			$	70,920			$	137,046			$	249,037			$	3,013			$	733			$	763			$	253,546
Amortized cost of loans and finance leases		$	2,908,302			$	6,508,178			$	3,708,876			$	13,125,356
Allowance for credit losses on loans to amortized cost			1.41	%			1.09	%			3.70	%			1.90	%

Allowance for Credit Losses for Loans and Finance Leases

As of March 31, 2026, the ACL for loans and finance leases was $245.1 million, a decrease of $3.9 million, from $249.0 million as of December 31, 2025. The ratio of the ACL for loans and finance leases to total loans held for investment was 1.87% as of March 31, 2026, compared to 1.90% as of December 31, 2025.

The decrease was mainly related to the ACL for consumer loans, which decreased by $2.6 million, driven by improvements in macroeconomic variables, mainly in the projection of the unemployment rate, and lower delinquency levels, partially offset by higher qualitative reserves associated with geopolitical uncertainty driven by, among other things, higher oil prices as a result of the conflict in the Middle East. In addition, the ACL for commercial and construction loans decreased by $1.8 million, mainly due to improvements in the projections of the unemployment rate and the CRE price index, net of aforementioned qualitative reserves, partially offset by renewals and refinancings. Meanwhile, the ACL for residential mortgage loans increased by $0.5 million, driven by loan growth and the aforementioned geopolitical uncertainty, partially offset by an improvement in the unemployment rate.

The provision for credit losses on loans and finance leases was $17.2 million for the first quarter of 2026, compared to $22.4 million in the fourth quarter of 2025, as detailed below:

• Provision for credit losses on the commercial and construction loan portfolios was a net benefit of $1.0 million for the first quarter of 2026, compared to an expense of $2.4 million for the fourth quarter of 2025. The net benefit recorded during the first quarter of 2026 was driven primarily by the aforementioned improvement in macroeconomic variables.
  
  
• Provision for credit losses on the consumer loan and finance lease portfolios was an expense of $18.0 million for the first quarter of 2026, compared to an expense of $19.4 million for the fourth quarter of 2025. The $1.4 million decrease in provision expense was driven by the aforementioned factors.
  
  
• Provision for credit losses on the residential mortgage loan portfolio was an expense of $0.2 million for the first quarter of 2026, compared to an expense of $0.6 million for the fourth quarter of 2025. The $0.4 million decrease in provision expense was driven by lower loan growth than the previous quarter, partially offset by the aforementioned qualitative reserves for the geopolitical uncertainty discussed above.

Net Charge-Offs

The following table presents ratios of net (recoveries) charge-offs to average loans held-in-portfolio for the last five quarters:

		Quarter Ended
		March 31, 2026		December 31, 2025		September 30, 2025		June 30, 2025		March 31, 2025
Residential mortgage		-0.03%		-0.02%		-0.00%		-0.00%		0.00%
Construction		-0.02%		-0.02%		-0.50%		-0.02%		-0.02%
Commercial mortgage		0.08%		0.01%		-0.02%		-0.01%		-0.01%
C&I		0.03%		0.00%		0.01%		-0.09%		-0.01%
Consumer loans and finance leases		2.23%		2.20%		2.16%		2.12%		2.31%	(1)
	Total loans	0.65%		0.63%		0.62%		0.60%		0.68%	(1)
(1)	Includes $2.4 million in recoveries associated with the bulk sale of fully charged-off consumer loans and finance leases, which reduced the ratios of consumer loans and finance leases and total net charge-offs to related average loans by 25 basis points and 8 basis points, respectively.

The ratios above are based on annualized net charge-offs and are not necessarily indicative of the results expected in subsequent periods.

Net charge-offs were $21.1 million for the first quarter of 2026, or an annualized 0.65% of average loans, compared to $20.4 million, or an annualized 0.63% of average loans, in the fourth quarter of 2025. The $0.7 million increase in net charge-offs was driven by a $0.6 million charge-off associated with a nonaccrual commercial mortgage loan in the Virgin Islands region.

Allowance for Credit Losses for Unfunded Loan Commitments

As of March 31, 2026, the ACL for off-balance sheet credit exposures increased to $3.1 million, compared to $3.0 million as of December 31, 2025.

Allowance for Credit Losses for Debt Securities

As of March 31, 2026, the ACL for debt securities was $1.5 million, of which $0.6 million was related to Puerto Rico municipal bonds classified as held-to-maturity, compared to $1.5 million and $0.7 million, respectively, as of December 31, 2025.

STATEMENT OF FINANCIAL CONDITION

Total assets were approximately $19.1 billion as of March 31, 2026, down $46.8 million from December 31, 2025. The following variances within the main components of total assets are noted:

• A $107.7 million decrease in cash and cash equivalents, mainly related to the net cash outflow for the purchase of investment securities, capital deployment actions, and the overall decrease in deposits, partially offset by the net income generated in the first quarter of 2026.
  
  

• A $38.2 million decrease in total loans, driven by a $49.9 million decrease in consumer loans, of which $28.6 million was in auto loans and finance leases in the Puerto Rico region. In terms of geography, the decline consisted of a $112.9 million decrease in the Puerto Rico region, driven by the aforementioned decrease in consumer loans and lower utilization of C&I lines of credit, mainly in automotive lending, partially offset by increases of $47.2 million in the Florida region and $27.5 million in the Virgin Islands region.
  
  Total loan originations, including refinancings, renewals, and draws from existing commitments, amounted to $1.2 billion in the first quarter of 2026, a decrease of $143.0 million compared to the fourth quarter of 2025.
  
  Total loan originations in the Puerto Rico region amounted to $848.9 million in the first quarter of 2026, compared to $1.1 billion in the fourth quarter of 2025. The decrease of $219.9 million in total loan originations was mainly related to a $192.7 million decrease in commercial and construction loans, of which $174.0 million was in C&I loans, driven by multiple term loan originations in the fourth quarter of 2025 totaling $114.7 million and the aforementioned lower utilization of lines of credit.
  
  Total loan originations in the Florida region amounted to $228.4 million in the first quarter of 2026, compared to $295.8 million in the fourth quarter of 2025. The $67.4 million decrease in total loan originations was mainly related to a $66.5 million decrease in commercial and construction loan originations, of which $42.1 million was in commercial mortgage loan originations and $23.5 million was in C&I loan originations.
  
  Total loan originations in the Virgin Islands region amounted to $170.9 million in the first quarter of 2026, compared to $26.6 million in the fourth quarter of 2025. The increase of $144.3 million in total loan originations was mainly related to the origination of a $138.1 million government line of credit during the first quarter of 2026, of which $108.1 million was a refinancing.

Partially offset by:

• A $108.7 million increase in investment securities, driven by purchases during the first quarter of 2026 of $437.0 million in U.S. agencies’ MBS and debentures at an average yield of 4.57%, partially offset by repayments of $322.2 million of U.S. agencies’ MBS and debentures, of which $125.7 million was associated with matured securities, and a $6.2 million decrease in the fair value of available-for-sale debt securities attributable to changes in market interest rates. In addition, during the first quarter of 2026, $375.0 million in matured U.S. Treasury bills were replaced with $370.6 million in U.S. Treasury bills.

Total liabilities were approximately $17.1 billion as of March 31, 2026, a decrease of $47.2 million from December 31, 2025. The following variances within the main components of total liabilities are noted:

• Total deposits decreased by $74.3 million consisting of:
  
  
  • A $146.3 million decrease in government deposits, driven by a decline of $134.2 million in the Puerto Rico region.
    
    
  • An $86.5 million decrease in brokered CDs in the Florida region. The decrease consisted of maturing brokered CDs amounting to $119.6 million with an all-in cost of 4.42% that were paid off during the first quarter of 2026, partially offset by $33.1 million of new issuances with original average maturities of approximately 1.2 years and an all-in cost of 3.77%.
    
    Partially offset by:
    
    
  • A $158.5 million increase in deposits, excluding brokered CDs and government deposits, consisting of increases of $97.0 million in the Puerto Rico region, $37.8 million in the Virgin Islands region, and $23.7 million in the Florida region. The increase in such deposits consists of a $115.4 million increase in interest-bearing deposits, of which $73.1 million was in the Puerto Rico region, and a $43.1 million increase in non-interest-bearing deposits.

Total stockholders’ equity amounted to $2.0 billion as of March 31, 2026, an increase of $0.4 million from December 31, 2025, driven by the net income generated in the first quarter of 2026, partially offset by $50.0 million in common stock repurchases at an average price of $20.75, $31.5 million in common stock dividends declared in the first quarter of 2026, and a $6.2 million decrease in the fair value of available-for-sale debt securities due to changes in market interest rates recognized as part of accumulated other comprehensive loss.

As of March 31, 2026, capital ratios exceeded the required regulatory levels for bank holding companies and well-capitalized banks. The Corporation’s estimated CET1 capital, tier 1 capital, total capital and leverage ratios under the Basel III rules were 16.93%, 16.93%, 18.19%, and 11.66%, respectively, as of March 31, 2026, compared to CET1 capital, tier 1 capital, total capital, and leverage ratios of 16.76%, 16.76%, 18.01%, and 11.58%, respectively, as of December 31, 2025.

Meanwhile, estimated CET1 capital, tier 1 capital, total capital and leverage ratios of our banking subsidiary, FirstBank, were 15.76%, 16.51%, 17.77%, and 11.37%, respectively, as of March 31, 2026, compared to CET1 capital, tier 1 capital, total capital and leverage ratios of 15.60%, 16.35%, 17.61%, and 11.30%, respectively, as of December 31, 2025.

Liquidity

Cash and cash equivalents decreased by $107.7 million to $550.9 million as of March 31, 2026. When adding $2.3 billion of free high-quality liquid securities that could be liquidated or pledged within one day, total core liquidity amounted to $2.9 billion as of March 31, 2026, or 14.66% of total assets, compared to $2.6 billion, or 13.54% of total assets as of December 31, 2025. In addition, as of March 31, 2026, the Corporation had $1.0 billion available for credit with the FHLB based on the value of the collateral pledged with the FHLB. As such, the basic liquidity ratio (which includes cash, free high-quality liquid assets such as U.S. government and government-sponsored enterprises’ obligations that could be liquidated or pledged within one day, and available secured lines of credit with the FHLB to total assets) was approximately 20.14% as of March 31, 2026, compared to 19.39% as of December 31, 2025.

In addition to the aforementioned available credit from the FHLB, the Corporation also maintains borrowing capacity at the FED Discount Window Program. The Corporation had approximately $2.6 billion available for funding under the FED’s Borrower-In-Custody Program as of March 31, 2026. In the aggregate, as of March 31, 2026, the Corporation had $6.5 billion available to meet liquidity needs, or 134% of estimated uninsured deposits (excluding fully collateralized government deposits).

The Corporation’s total deposits, excluding brokered CDs, amounted to $16.1 billion as of each of March 31, 2026 and December 31, 2025, which included $2.9 billion and $3.0 billion, respectively, in government deposits that are fully collateralized. Excluding fully collateralized government deposits and FDIC-insured deposits, the estimated amount of uninsured deposits was $4.8 billion as of each of March 31, 2026 and December 31, 2025, which represents 30.12% and 29.79% of total deposits, respectively. Refer to Table 9 in the accompanying tables (Exhibit A) for additional information about the deposits composition.

Tangible Common Equity (Non-GAAP)

On a non-GAAP basis, the Corporation’s tangible common equity ratio increased to 10.11% as of March 31, 2026, compared to 10.08% as of December 31, 2025. Refer to Non-GAAP Disclosures- Non-GAAP Financial Measures for the definition of and additional information about this non-GAAP financial measure.

The following table presents a reconciliation of the Corporation’s tangible common equity and tangible assets to the most comparable GAAP items as of the indicated dates:

		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(In thousands, except ratios and per share information)
Tangible Equity:
	Total common equity - GAAP	$	1,967,239			$	1,966,865			$	1,918,045			$	1,845,455			$	1,779,342
	Goodwill		(38,611	)			(38,611	)			(38,611	)			(38,611	)			(38,611	)
	Other intangible assets		(3,240	)			(3,458	)			(3,676	)			(4,535	)			(5,715	)
	Tangible common equity - non-GAAP	$	1,925,388			$	1,924,796			$	1,875,758			$	1,802,309			$	1,735,016
Tangible Assets:
	Total assets - GAAP	$	19,086,105			$	19,132,892			$	19,321,335			$	18,897,529			$	19,106,983
	Goodwill		(38,611	)			(38,611	)			(38,611	)			(38,611	)			(38,611	)
	Other intangible assets		(3,240	)			(3,458	)			(3,676	)			(4,535	)			(5,715	)
	Tangible assets - non-GAAP	$	19,044,254			$	19,090,823			$	19,279,048			$	18,854,383			$	19,062,657
	Common shares outstanding		154,694				156,619				159,135				161,508				163,104
	Tangible common equity ratio - non-GAAP		10.11	%			10.08	%			9.73	%			9.56	%			9.10	%
	Tangible book value per common share - non-GAAP	$	12.45			$	12.29			$	11.79			$	11.16			$	10.64

Exposure to Puerto Rico Government

Direct Exposure

As of March 31, 2026, the Corporation had $297.5 million of direct exposure to the Puerto Rico government, its municipalities, and public corporations, a decrease of $0.3 million compared to $297.8 million as of December 31, 2025. As of March 31, 2026, approximately $211.5 million of the exposure consisted of loans and obligations of municipalities in Puerto Rico that are supported by assigned property tax revenues and for which, in most cases, the good faith, credit, and unlimited taxing power of the applicable municipality have been pledged to their repayment, and $42.3 million consisted of loans and obligations which are supported by one or more specific sources of municipal revenues. The Corporation’s total direct exposure to the Puerto Rico government also included $8.6 million in a loan extended to an affiliate of the Puerto Rico Electric Power Authority and $32.4 million in loans to a public corporation of Puerto Rico. In addition, the total direct exposure included an obligation of the Puerto Rico government, specifically a residential pass-through MBS issued by the PRHFA, at an amortized cost of $2.7 million (fair value of $1.6 million as of March 31, 2026), included as part of the Corporation’s available-for-sale debt securities portfolio. This residential pass-through MBS issued by the PRHFA is collateralized by certain second mortgages and had an unrealized loss of $1.1 million as of March 31, 2026, of which $0.3 million is due to credit deterioration.

The aforementioned exposure to municipalities in Puerto Rico included $79.8 million of financing arrangements with Puerto Rico municipalities that were issued in bond form but underwritten as loans with features that are typically found in commercial loans. These bonds are accounted for as held-to-maturity debt securities.

Indirect Exposure

As of March 31, 2026 and December 31, 2025, the Corporation had $2.4 billion and $2.5 billion, respectively, of public sector deposits in Puerto Rico. Approximately 20% of the public sector deposits as of March 31, 2026 were from municipalities and municipal agencies in Puerto Rico, and 80% were from public corporations, the Puerto Rico central government and agencies, and U.S. federal government agencies in Puerto Rico.

Additionally, as of March 31, 2026, the outstanding balance of construction loans funded through conduit financing structures to support the federal programs of Low-Income Housing Tax Credit combined with other federal programs amounted to $81.6 million, compared to $92.4 million as of December 31, 2025. The main objective of these programs is to spur development in new or rehabilitated and affordable rental housing. PRHFA, as program subrecipient and conduit issuer, issues tax-exempt obligations which are acquired by private financial institutions and are required to co-underwrite with PRHFA a mirror construction loan agreement for the specific project loan to which the Corporation will serve as ultimate lender but where the PRHFA will be the lender of record. The total amount of unfunded loan commitments related to these loans as of March 31, 2026 was $55.3 million.

NON-GAAP DISCLOSURES

This press release contains GAAP financial measures and non-GAAP financial measures. Non-GAAP financial measures are used when management believes that the presentation of these non-GAAP financial measures enhances the ability of analysts and investors to analyze trends in the Corporation’s business and understand the performance of the Corporation. The Corporation may utilize these non-GAAP financial measures as guides in its budgeting and long-term planning process. Where non-GAAP financial measures are used, the most comparable GAAP financial measure, as well as the reconciliation of the non-GAAP financial measure to the most comparable GAAP financial measure, can be found in the text or in the tables in or attached to this press release. Any analysis of these non-GAAP financial measures should be used only in conjunction with results presented in accordance with GAAP.

Certain non-GAAP financial measures, such as adjusted non-interest expenses, adjusted net income, adjusted earnings per share, and adjusted pre-tax, pre-provision income, exclude the effect of items that management believes are not reflective of core operating performance (the “Special Items”). Other non-GAAP financial measures include net interest income, interest rate spread, and net interest margin each presented on a tax-equivalent basis; tangible common equity; tangible book value per common share; and certain capital ratios. These measures should be read in conjunction with the accompanying tables (Exhibit A), which are an integral part of this press release, and the Corporation’s other financial information that is presented in accordance with GAAP.

Special Items

The financial results for the quarters ended March 31, 2026 and December 31, 2025 included the following Special Item:

FDIC Special Assessment Reversal

• A benefit of $0.1 million ($0.1 million after-tax, calculated based on the statutory tax rate of 37.5%) and $1.1 million ($0.7 million after-tax) were recorded during the first quarter of 2026 and fourth quarter of 2025, respectively, as a result of amendments to the FDIC special assessment collection terms. On December 16, 2025, the FDIC issued an interim final rule amending the collection terms of the special assessment, which included reducing the collection rate in the eighth collection quarter from 3.36 basis points to 2.97 basis points, removing the previously established extended assessment period provisions, and providing offsets to regular quarterly deposit insurance assessments if aggregate collections exceed actual losses. This update follows the FDIC’s 2023 final rule, which initially imposed the special assessment to recover certain estimated losses incurred by the Deposit Insurance Fund following the failures of certain financial institutions in the first half of 2023. The FDIC deposit special assessment is reflected in the condensed consolidated statements of income as part of “FDIC deposit insurance” expenses.

Non-GAAP Financial Measures

Tangible Common Equity Ratio and Tangible Book Value per Common Share

The tangible common equity ratio and tangible book value per common share are non-GAAP financial measures that management believes are generally used by the financial community to evaluate capital adequacy. Tangible common equity is total common equity less goodwill and other intangible assets. Tangible assets are total assets less goodwill and other intangible assets. Tangible common equity ratio is tangible common equity divided by tangible assets. Tangible book value per common share is tangible assets divided by common shares outstanding. Refer to Statement of Financial Condition – Tangible Common Equity (Non-GAAP) for a reconciliation of the Corporation’s total stockholders’ equity and total assets in accordance with GAAP to the non-GAAP financial measures of tangible common equity and tangible assets, respectively. Management uses and believes that many stock analysts use the tangible common equity ratio and tangible book value per common share in conjunction with other more traditional bank capital ratios to compare the capital adequacy of banking organizations with significant amounts of goodwill or other intangible assets, typically stemming from the use of the purchase method of accounting for mergers and acquisitions. Accordingly, the Corporation believes that disclosure of these financial measures may be useful to investors. Neither tangible common equity nor tangible assets, or the related measures, should be considered in isolation or as a substitute for stockholders’ equity, total assets, or any other measure calculated in accordance with GAAP. Moreover, the manner in which the Corporation calculates its tangible common equity, tangible assets, and any other related measures may differ from that of other companies reporting measures with similar names.

Adjusted Net Income and Adjusted Non-Interest Expenses

To supplement the Corporation’s financial statements presented in accordance with GAAP, the Corporation uses, and believes that investors benefit from disclosure of, non-GAAP financial measures that reflect adjustments to net income and non-interest expenses to exclude Special Items.

Adjusted Pre-Tax, Pre-Provision Income

Adjusted pre-tax, pre-provision income is a non-GAAP performance metric that management uses and believes that investors may find useful in analyzing underlying performance trends, particularly in times of economic stress, including as a result of natural catastrophes or health epidemics. Adjusted pre-tax, pre-provision income, as defined by management, represents income before income taxes adjusted to exclude the provisions for credit losses on loans, unfunded loan commitments and debt securities. In addition, from time to time, earnings are also adjusted for certain items that management believes are not reflective of core operating performance, which are regarded as Special Items.

Net Interest Income on a Tax-Equivalent Basis

Net interest income, interest rate spread, and net interest margin are reported on a tax-equivalent basis in order to provide to investors additional information about the Corporation’s net interest income that management uses and believes should facilitate comparability and analysis of the periods presented. The tax-equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a marginal income tax rate. Income from tax-exempt earning assets is increased by an amount equivalent to the taxes that would have been paid if this income had been taxable at statutory rates. Refer to Table 4 in the accompanying tables (Exhibit A) for a reconciliation of the Corporation’s net interest income on a tax-equivalent basis. Management believes that it is a standard practice in the banking industry to present net interest income, interest rate spread, and net interest margin on a fully tax-equivalent basis. This adjustment puts all earning assets, most notably tax-exempt securities and tax-exempt loans, on a common basis that management believes facilitates comparison of results to the results of peers.

NET INCOME AND RECONCILIATION TO ADJUSTED NET INCOME (NON-GAAP)

The following table reconciles, for the first quarter of 2026 and fourth quarter of 2025, net income to adjusted net income and adjusted earnings per diluted share, which are non-GAAP financial measures that exclude the significant Special Item discussed in the Non-GAAP Disclosures – Special Items section, and shows net income, for the first quarter of 2025.

	Quarter Ended
	March 31, 2026				December 31, 2025				March 31, 2025
(In thousands, except per share information)
Net income, as reported (GAAP)	$	88,778			$	87,101			$	77,059
Adjustment:
FDIC special assessment reversal		(92	)			(1,099	)			-
Income tax impact of adjustment (1)		35				412				-
Adjusted net income attributable to common stockholders (Non-GAAP)	$	88,721			$	86,414			$	77,059
Weighted-average diluted shares outstanding		156,101				157,675				163,749
Earnings per share - diluted (GAAP)	$	0.57			$	0.55			$	0.47
Adjusted earnings per share - diluted (non-GAAP)	$	0.57			$	0.55			$	0.47
(1) See Non-GAAP Disclosures — Special Items above for a discussion of the individual tax impact related to the above adjustment.

INCOME BEFORE INCOME TAXES AND RECONCILIATION TO ADJUSTED PRE-TAX, PRE-PROVISION INCOME (NON-GAAP)

The following table reconciles income before income taxes to adjusted pre-tax, pre-provision income for the last five quarters:

		Quarter Ended
		March 31, 2026				December 31, 2025				September 30, 2025				June 30, 2025				March 31, 2025
(Dollars in thousands)
Income before income taxes		$	114,263			$	107,327			$	106,223			$	102,885			$	100,299
Add: Provision for credit losses expense			17,273				22,971				17,593				20,587				24,810
Less: FDIC special assessment reversal			(92	)			(1,099	)			-				-				-
Less: Employee retention credit			-				-				(2,358	)			-				-
Adjusted pre-tax, pre-provision income (1)		$	131,444			$	129,199			$	121,458			$	123,472			$	125,109
Change from most recent prior period (amount)		$	2,245			$	7,741			$	(2,014	)		$	(1,637	)		$	8,176
Change from most recent prior period (percentage)			1.7	%			6.4	%			-1.6	%			-1.3	%			7.0	%
(1)	Non-GAAP financial measure. See Non-GAAP Disclosures above for the definition and additional information about this non-GAAP financial measure.

Conference Call / Webcast Information

First BanCorp.’s senior management will host an earnings conference call and live webcast on Wednesday, April 22, 2026, at 10:00 a.m. (Eastern Time). The call may be accessed via a live Internet webcast through the Corporation’s investor relations website, fbpinvestor.com, or through a dial-in telephone number at (800) 715-9871 or (646) 307-1963. The participant access code is 5351564. The Corporation recommends that listeners go to the web site at least 15 minutes prior to the call to download and install any necessary software. Following the webcast presentation, a question and answer session will be made available to research analysts and institutional investors. A replay of the webcast will be archived in the Corporation’s investor relations website, fbpinvestor.com, until April 22, 2027. A telephone replay will be available one hour after the end of the conference call through May 22, 2026, at (800) 770-2030. The replay access code is 5351564.

Safe Harbor

This press release may contain “forward-looking statements” concerning the Corporation’s future economic, operational, and financial performance. The words or phrases “expect,” “anticipate,” “intend,” “should,” “would,” “will,” “plans,” “forecast,” “believe,” and similar expressions are meant to identify “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbor created by such sections. The Corporation cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date hereof, and advises readers that any such forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties, estimates, and assumptions by us that are difficult to predict. Various factors, some of which are beyond our control, including, but not limited to, the uncertainties more fully discussed in Part I, Item 1A, “Risk Factors” of the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2025, and the following, could cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements: the effect of changes in the interest rate environment and inflation levels on the level, composition and performance of the Corporation’s assets and liabilities, and corresponding effects on the Corporation’s net interest income, net interest margin, loan originations, deposit attrition, overall results of operations, and liquidity position; volatility in the financial services industry, which could result in, among other things, bank deposit runoffs, liquidity constraints, and increased regulatory requirements and costs; the effect of continued changes in the fiscal, monetary and trade policies and regulations of the U.S. federal government, the Puerto Rico government and other governments, including those determined by the Federal Reserve Board, the Federal Reserve Bank of New York, the FDIC, government-sponsored housing agencies and regulators in Puerto Rico, the U.S., and the U.S. and British Virgin Islands, that may affect the future results of the Corporation; uncertainty as to the ability of FirstBank to retain its core deposits and generate sufficient cash flow through its wholesale funding sources, such as securities sold under agreements to repurchase, FHLB advances, and brokered CDs, which may require us to sell investment securities at a loss; adverse changes in general political and economic conditions in Puerto Rico, the U.S., and the U.S. and British Virgin Islands, including in the interest rate environment, unemployment rates, market liquidity and volatility, trade policies, housing absorption rates, real estate markets, and U.S. capital markets, which may affect funding sources, loan portfolio performance and credit quality, market prices of investment securities, and demand for the Corporation’s products and services, and which may reduce the Corporation’s revenues and earnings and the value of the Corporation’s assets; the impact of litigation or the threat of litigation or other dispute resolutions, including any adverse settlements or judgments against the Corporation, and the potential resulting liabilities, costs, negative publicity or other reputational harm; the effects of asserted and unasserted claims and the extent of available insurance coverage; the impact of government financial assistance for hurricane recovery and other disaster relief on economic activity in Puerto Rico, and the timing and pace of disbursements of funds earmarked for disaster relief; the ability of the Corporation, FirstBank, and third-party service providers to identify and prevent cyber-security incidents, such as data security breaches, ransomware, malware, “denial of service” attacks, “hacking,” identity theft, and state-sponsored cyberthreats, and the occurrence of and response to any incidents that occur, which may result in misuse or misappropriation of confidential or proprietary information, disruption, or damage to our systems or those of third-party service providers on which we rely, increased costs and losses and/or adverse effects to our reputation; general competitive factors and other market risks as well as the implementation of existing or planned strategic growth opportunities, including risks, uncertainties, and other factors or events related to any business acquisitions, dispositions, strategic partnerships, strategic operational investments, including systems conversions, and any anticipated efficiencies or other expected results related thereto; uncertainty regarding the implementation of Puerto Rico’s debt restructuring plan and the revised fiscal plan for Puerto Rico, as certified on June 6, 2025, by the oversight board established by the Puerto Rico Oversight, Management, and Economic Stability Act, or any revisions to it, on our clients and loan portfolios, and any potential impact of future economic or political developments and tax regulations in Puerto Rico; the impact of changes in accounting standards, or determinations and assumptions in applying those standards, and of forecasts of economic variables considered for the determination of the ACL; the ability of FirstBank to realize the benefits of its net deferred tax assets; the ability of FirstBank to generate sufficient cash flow to pay dividends to the Corporation; environmental, social, and governance (“ESG”) matters, including our climate-related initiatives and commitments, as well as the impact and potential cost to us of any policies, legislation, or initiatives in opposition to our ESG policies; the impacts of natural or man-made disasters, widespread health emergencies, geopolitical conflicts (including sanctions, war or armed conflict, such as the ongoing conflict in Ukraine, ongoing conflicts in the Middle East, such as the war in Iran, recent conflicts in South America, the possible expansion of such conflicts in surrounding areas and potential geopolitical consequences, and the threat of conflict from neighboring countries in our region), terrorist attacks, or other catastrophic external events, including impacts of such events on general economic conditions and on the Corporation’s assumptions regarding forecasts of economic variables; the risk that additional portions of the unrealized losses in the Corporation’s debt securities portfolio are determined to be credit-related, resulting in additional charges to the provision for credit losses on the Corporation’s debt securities portfolio, and the potential for additional credit losses that could emerge from further downgrades of the U.S.’s Long-Term Foreign-Currency Issuer Default Rating and negative ratings outlooks; the impacts of applicable legislative, tax, or regulatory changes or changes in legislative, tax, or regulatory priorities, including as a result of the One Big Beautiful Bill Act, signed into law on July 4, 2025, the reduction in staffing at U.S. governmental agencies, the effects of U.S. federal government shutdowns and political impasses, and uncertainties regarding the U.S. debt ceiling and federal budget, on the Corporation’s financial condition or performance; the risk of possible failure or circumvention of the Corporation’s internal controls and procedures and the risk that the Corporation’s risk management policies may not be adequate; the risk that the FDIC may further increase the deposit insurance premium and/or require further special assessments, causing an additional increase in the Corporation’s non-interest expenses; any need to recognize impairments on the Corporation’s financial instruments, goodwill, and other intangible assets; the risk that the impact of the occurrence of any of these uncertainties on the Corporation’s capital would preclude further growth of FirstBank and preclude the Corporation’s Board of Directors from declaring dividends; and uncertainty as to whether FirstBank will be able to continue to satisfy its regulators regarding, among other things, its asset quality, liquidity plans, maintenance of capital levels, and compliance with applicable laws, regulations and related requirements. The Corporation does not undertake to, and specifically disclaims any obligation to update any “forward-looking statements” to reflect occurrences or unanticipated events or circumstances after the date of such statements, except as required by the federal securities laws.

About First BanCorp.

First BanCorp. is the parent corporation of FirstBank Puerto Rico, a state-chartered commercial bank with operations in Puerto Rico, the U.S., and the British Virgin Islands and Florida, and of FirstBank Insurance Agency. First BanCorp.’s shares of common stock trade on the New York Stock Exchange under the symbol FBP. Additional information about First BanCorp. may be found at www.1firstbank.com.

EXHIBIT A

Table 1 – Condensed Consolidated Statements of Financial Condition

	As of
	March 31, 2026				December 31, 2025
(In thousands, except for share information)
ASSETS
Cash and due from banks	$	549,199			$	657,149
Money market investments:
Time deposit with another financial institution		1,000				750
Other short-term investments		700				700
Total money market investments		1,700				1,450
Available-for-sale debt securities, at fair value (ACL of $839 as of March 31, 2026 and $763 as of December 31, 2025)		4,668,697				4,554,032
Held-to-maturity debt securities, at amortized cost, net of ACL of $641 as of March 31, 2026 and $733 as of December 31, 2025 (fair value $253,485 as of March 31, 2026 and $262,055 as of December 31, 2025)		256,881				264,563
Total debt securities		4,925,578				4,818,595
Equity securities		46,432				44,753
Total investment securities		4,972,010				4,863,348
Loans held for investment, net of ACL of $245,060 as of March 31, 2026 and $249,037 as of December 31, 2025		12,846,017				12,876,319
Mortgage loans held for sale, at lower of cost or market		12,805				16,697
Total loans, net		12,858,822				12,893,016
Accrued interest receivable on loans and investments		67,722				71,351
Premises and equipment, net		127,865				126,920
OREO		6,344				7,522
Deferred tax asset, net		143,565				149,012
Goodwill		38,611				38,611
Other intangible assets		3,240				3,458
Other assets		317,027				321,055
Total assets	$	19,086,105			$	19,132,892
LIABILITIES
Deposits:
Non-interest-bearing deposits	$	5,554,751			$	5,549,416
Interest-bearing deposits		11,041,070				11,120,727
Total deposits		16,595,821				16,670,143
Advances from the FHLB		290,000				290,000
Accounts payable and other liabilities		233,045				205,884
Total liabilities		17,118,866				17,166,027
STOCKHOLDERSʼ EQUITY
Common stock, $0.10 par value, 223,663,116 shares issued (March 31, 2026 - 154,693,926 shares outstanding and December 31, 2025 - 156,618,996 shares outstanding)		22,366				22,366
Additional paid-in capital		952,773				963,543
Retained earnings		2,325,256				2,268,011
Treasury stock, at cost (March 31, 2026 - 68,969,190 shares; and December 31, 2025 - 67,044,120 shares)		(972,438	)			(932,505	)
Accumulated other comprehensive loss		(360,718	)			(354,550	)
Total stockholdersʼ equity		1,967,239				1,966,865
Total liabilities and stockholdersʼ equity	$	19,086,105			$	19,132,892

Table 2 – Condensed Consolidated Statements of Income

				Quarter Ended
				March 31, 2026				December 31, 2025				March 31, 2025
(In thousands, except per share information)
Net interest income:
	Interest income			$	279,849			$	285,158			$	277,065
	Interest expense				58,893				62,390				64,668
		Net interest income			220,956				222,768				212,397
Provision for credit losses - expense (benefit):
	Loans				17,170				22,418				24,837
	Unfunded loan commitments				107				402				(63	)
	Debt securities				(4	)			151				36
		Provision for credit losses - expense		17,273				22,971				24,810
	Net interest income after provision for credit losses			203,683				199,797				187,587
Non-interest income:
	Service charges and fees on deposit accounts				9,932				9,861				9,640
	Mortgage banking activities				4,043				4,219				3,177
	Card and processing income				11,758				12,353				11,475
	Other non-interest income				11,952				7,967				11,442
		Total non-interest income		37,685				34,400				35,734
Non-interest expenses:
	Employees’ compensation and benefits				65,299				63,196				62,137
	Occupancy and equipment				22,063				21,797				22,630
	Business promotion				3,555				5,944				3,278
	Professional service fees				12,912				13,111				11,486
	Taxes, other than income taxes				6,184				6,272				5,878
	FDIC deposit insurance				2,058				961				2,236
	Net gain on OREO operations				(937	)			(838	)			(1,129	)
	Credit and debit card processing expenses				7,327				7,728				5,110
	Other non-interest expenses				8,644				8,699				11,396
		Total non-interest expenses		127,105				126,870				123,022
Income before income taxes					114,263				107,327				100,299
Income tax expense					25,485				20,226				23,240
Net income				$	88,778			$	87,101			$	77,059
Net income attributable to common stockholders				$	88,778			$	87,101			$	77,059
Earnings per common share:
	Basic			$	0.57			$	0.56			$	0.47
	Diluted			$	0.57			$	0.55			$	0.47

Table 3 – Selected Financial Data

		Quarter Ended
		March 31, 2026			December 31, 2025			March 31, 2025
(Shares in thousands)
Per Common Share Results:
	Net earnings per share - basic	$	0.57		$	0.56		$	0.47
	Net earnings per share - diluted	$	0.57		$	0.55		$	0.47
	Cash dividends declared	$	0.20		$	0.18		$	0.18
	Average shares outstanding		155,262			156,792			162,934
	Average shares outstanding diluted		156,101			157,675			163,749
	Book value per common share	$	12.72		$	12.56		$	10.91
	Tangible book value per common share (1)	$	12.45		$	12.29		$	10.64
	Common stock price: end of period	$	21.36		$	20.73		$	19.17
Selected Financial Ratios (In Percent):
Profitability:
	Average yield on loans and leases		7.49			7.55			7.75
	Average yield on investment securities, other short-term investments and interest-earning cash balances		2.69			2.51			2.25
	Average yield on interest-earning assets		6.02			5.98			5.89
	Average rate on interest-bearing liabilities		2.09			2.15			2.23
	Average cost of funds		1.42			1.46			1.53
	Interest rate spread		3.93			3.83			3.66
	Interest rate spread - non-GAAP (2)		4.18			4.04			3.79
	Net interest margin		4.75			4.68			4.52
	Net interest margin - non-GAAP (2)		5.00			4.88			4.65
	Return on average assets		1.89			1.81			1.64
	Return on average equity		17.92			17.84			17.90
	Efficiency ratio (3)		49.14			49.33			49.58
Capital and Other:
	Average total equity to average total assets		10.54			10.15			9.14
	Total capital		18.19			18.01			17.96
	Common equity Tier 1 capital		16.93			16.76			16.62
	Tier 1 capital		16.93			16.76			16.62
	Leverage		11.66			11.58			11.20
	Tangible common equity ratio (1)		10.11			10.08			9.10
	Dividend payout ratio		34.98			32.40			38.06
	Basic liquidity ratio (4)		20.14			19.39			18.76
	Core liquidity ratio (5)		14.66			13.54			14.25
	Loan to deposit ratio		78.96			78.84			75.44
	Uninsured deposits, excluding fully collateralized deposits, to total deposits (6)		30.12			29.79			28.44
Average Balances (In thousands):
	Loan and leases	$	13,068,874		$	13,032,081		$	12,632,501
	Investment securities, other short-term investments and interest-earning cash balances		5,776,844			5,871,091			6,444,016
	Interest-earning assets	$	18,845,718		$	18,903,172		$	19,076,517
	Total assets	$	19,069,238		$	19,081,259		$	19,107,102
	Interest-bearing liabilities	$	11,409,037		$	11,531,091		$	11,749,011
	Non-interest-bearing deposits		5,441,443			5,419,990			5,425,836
	Total funding sources	$	16,850,480		$	16,951,081		$	17,174,847
	Total stockholders’ equity	$	2,009,137		$	1,936,808		$	1,745,899
Asset Quality:
	Allowance for credit losses for loans and finance leases to total loans held for investment		1.87			1.90			1.95
	Net charge-offs (annualized) to average loans outstanding		0.65			0.63			0.68
	Provision for credit losses for loans and finance leases to net charge-offs		81.19			110.05			115.47
	Non-performing assets to total assets		0.57			0.60			0.68
	Nonaccrual loans held for investment to total loans held for investment		0.67			0.71			0.78
	Allowance for credit losses for loans and finance leases to total nonaccrual loans held for investment		279.29			269.05			251.13
	Allowance for credit losses for loans and finance leases to total nonaccrual loans held for investment, excluding residential estate loans		410.67			392.84			365.41
(1)	Non-GAAP financial measures. Refer to Non-GAAP Disclosures and Statement of Financial Condition — Tangible Common Equity (Non-GAAP) above for additional information about the components and a reconciliation of these measures.
(2)	Non-GAAP financial measures reported on a tax-equivalent basis. Refer to Non-GAAP Disclosures and Table 4 below for additional information and reconciliation of this measure.
(3)	Non-interest expenses divided by the sum of net interest income and non-interest income.
(4)	Defined as the sum of cash and cash equivalents, free high-quality liquid assets that could be liquidated within one day, and available secured lines of credit with the FHLB to total assets.
(5)	Defined as the sum of cash and cash equivalents and free high-quality liquid assets that could be liquidated within one day to total assets.
(6)	Exclude insured deposits not covered by federal deposit insurance.

Table 4 – Quarterly Statement of Average Interest-Earning Assets and Average Interest-Bearing Liabilities (On a Tax-Equivalent Basis, with GAAP reconciliation)

		Average Volume												Interest Income (1) / Expense												Average Rate (1)
Quarter Ended		March 31,				December 31,				March 31,				March 31,				December 31,				March 31,				March 31,			December 31,			March 31,
		2026				2025				2025				2026				2025				2025				2026			2025			2025
(Dollars in thousands)
Interest-earning assets:
Money market and other short-term investments		$	618,371			$	727,018			$	1,111,087			$	5,630			$	7,300			$	12,205			3.69	%		3.98	%		4.45	%
Government obligations (2)			1,467,672				1,595,962				1,971,327				11,426				11,211				6,970			3.16	%		2.79	%		1.43	%
MBS			3,645,699				3,502,688				3,308,964				26,814				22,891				17,497			2.98	%		2.59	%		2.14	%
FHLB stock			24,150				24,735				32,661				474				493				790			7.96	%		7.91	%		9.81	%
Other investments			20,952				20,688				19,977				139				83				247			2.69	%		1.59	%		5.01	%
	Total investments (3)		5,776,844				5,871,091				6,444,016				44,483				41,978				37,709			3.12	%		2.84	%		2.37	%
Residential mortgage loans			2,911,731				2,904,714				2,841,918				43,249				42,960				41,484			6.02	%		5.87	%		5.92	%
Construction loans			247,415				250,338				232,295				5,791				6,398				5,596			9.49	%		10.14	%		9.77	%
C&I and commercial mortgage loans			6,225,066				6,156,312				5,806,929				101,920				105,174				99,756			6.64	%		6.78	%		6.97	%
Consumer loans and finance leases			3,684,662				3,720,717				3,751,359				95,871				98,542				98,752			10.55	%		10.51	%		10.68	%
	Total loans (4) (5)		13,068,874				13,032,081				12,632,501				246,831				253,074				245,588			7.66	%		7.70	%		7.88	%
	Total interest-earning assets	$	18,845,718			$	18,903,172			$	19,076,517			$	291,314			$	295,052			$	283,297			6.27	%		6.19	%		6.02	%
Tax-equivalent adjustment															(11,465	)			(9,894	)			(6,232	)
Interest income - GAAP														$	279,849			$	285,158			$	277,065			6.02	%		5.98	%		5.89	%
Interest-bearing liabilities:
Time deposits		$	3,542,960			$	3,524,261			$	3,048,778			$	29,237			$	30,169			$	25,468			3.35	%		3.40	%		3.39	%
Brokered CDs			555,938				617,217				483,774				5,759				6,644				5,461			4.20	%		4.27	%		4.58	%
Other interest-bearing deposits			7,033,139				7,099,613				7,693,900				20,935				22,390				27,568			1.21	%		1.25	%		1.45	%
Advances from the FHLB			277,000				290,000				468,667				2,962				3,187				5,190			4.34	%		4.36	%		4.49	%
Other borrowings			-				-				53,892				-				-				981			0.00	%		0.00	%		7.38	%
	Total interest-bearing liabilities	$	11,409,037			$	11,531,091			$	11,749,011			$	58,893			$	62,390			$	64,668			2.09	%		2.15	%		2.23	%
Net interest income / margin- non-GAAP (1)														$	232,421			$	232,662			$	218,629			5.00	%		4.88	%		4.65	%
Net interest income / margin - GAAP														$	220,956			$	222,768			$	212,397			4.75	%		4.68	%		4.52	%
Net interest spread - non-GAAP (1)																										4.18	%		4.04	%		3.79	%
Net interest spread - GAAP																										3.93	%		3.83	%		3.66	%
(1)	Non-GAAP financial measures reported on a tax-equivalent basis. The tax-equivalent yield was estimated by dividing the interest rate spread on exempt assets by 1 less the Puerto Rico statutory tax rate of 37.5% and adding to it the cost of interest-bearing liabilities. When adjusted to a tax-equivalent basis, yields on taxable and exempt assets are comparable. Refer to Non-GAAP Disclosures - Non-GAAP Financial Measures for additional information.
(2)	Government obligations include debt issued by government-sponsored agencies.
(3)	Unrealized gains and losses on available-for-sale debt securities are excluded from the average volumes.
(4)	Average loan balances include the average of non-performing loans.
(5)	Interest income on loans includes $4.0 million, $4.4 million, and $5.4 million, for the quarters ended March 31, 2026, December 31, 2025, and March 31, 2025, respectively, of income from prepayment penalties and late fees related to the Corporation’s loan portfolio. The results for the first quarter of 2025 include a prepayment penalties associated with the payoff of a $73.8 million commercial mortgage loan and higher income from late fees in the consumer loans and finance leases portfolios.

Table 5 – Loan Portfolio by Geography

	As of March 31, 2026
	Puerto Rico			Virgin Islands			United States			Total
(In thousands)
Residential mortgage loans	$	2,231,306		$	147,082		$	536,510		$	2,914,898
Commercial loans:
Construction loans		178,810			14,167			2,290			195,267
Commercial mortgage loans		1,753,712			72,837			800,564			2,627,113
C&I loans		2,290,891			203,810			1,200,142			3,694,843
Commercial loans		4,223,413			290,814			2,002,996			6,517,223
Consumer loans and finance leases		3,587,266			65,834			5,856			3,658,956
Loans held for investment		10,041,985			503,730			2,545,362			13,091,077
Mortgage loans held for sale		12,805			-			-			12,805
Total loans	$	10,054,790		$	503,730		$	2,545,362		$	13,103,882
	As of December 31, 2025
	Puerto Rico			Virgin Islands			United States			Total
(In thousands)
Residential mortgage loans	$	2,227,053		$	150,551		$	530,698		$	2,908,302
Commercial loans:
Construction loans		249,466			14,174			1,928			265,568
Commercial mortgage loans		1,690,176			73,751			790,325			2,554,252
C&I loans		2,348,274			170,728			1,169,356			3,688,358
Commercial loans		4,287,916			258,653			1,961,609			6,508,178
Consumer loans and finance leases		3,636,072			66,947			5,857			3,708,876
Loans held for investment		10,151,041			476,151			2,498,164			13,125,356
Mortgage loans held for sale		16,697			-			-			16,697
Total loans	$	10,167,738		$	476,151		$	2,498,164		$	13,142,053

Table 6 – Non-Performing Assets by Geography

		As of March 31, 2026
(In thousands)		Puerto Rico			Virgin Islands			United States			Total
Nonaccrual loans held for investment:
Residential mortgage		$	11,875		$	4,923		$	11,273		$	28,071
Construction			4,458			956			-			5,414
Commercial mortgage			1,581			5,861			-			7,442
C&I			26,010			611			479			27,100
Consumer and finance leases			19,316			356			45			19,717
Total nonaccrual loans held for investment			63,240			12,707			11,797			87,744
OREO			5,685			659			-			6,344
Other repossessed property			13,055			69			-			13,124
Other assets (1)			1,609			-			-			1,609
Total non-performing assets (2)		$	83,589		$	13,435		$	11,797		$	108,821
Past due loans 90 days and still accruing (3)		$	28,078		$	871		$	-		$	28,949
		As of December 31, 2025
(In thousands)		Puerto Rico			Virgin Islands			United States			Total
Nonaccrual loans held for investment:
Residential mortgage		$	12,637		$	5,407		$	11,125		$	29,169
Construction			4,581			955			-			5,536
Commercial mortgage			1,913			6,469			-			8,382
C&I			27,211			644			187			28,042
Consumer and finance leases			20,891			529			14			21,434
Total nonaccrual loans held for investment			67,233			14,004			11,326			92,563
OREO			6,661			861			-			7,522
Other repossessed property			12,216			173			-			12,389
Other assets (1)			1,620			-			-			1,620
Total non-performing assets (2)		$	87,730		$	15,038		$	11,326		$	114,094
Past due loans 90 days and still accruing (3)		$	30,643		$	1,270		$	-		$	31,913
(1)	Residential pass-through MBS issued by the PRHFA held as part of the available-for-sale debt securities portfolio.
(2)	Excludes PCD loans previously accounted for under ASC Subtopic 310-30 for which the Corporation made the accounting policy election of maintaining pools of loans as “units of account” both at the time of adoption of CECL on January 1, 2020 and on an ongoing basis for credit loss measurement. These loans will continue to be excluded from nonaccrual loan statistics as long as the Corporation can reasonably estimate the timing and amount of cash flows expected to be collected on the loan pools. The portion of such loans contractually past due 90 days or more amounted to $4.2 million as of March 31, 2026 (December 31, 2025 - $4.8 million).
(3)	These include rebooked loans, which were previously pooled into GNMA securities, amounting to $6.7 million as of each of March 31, 2026 and December 31, 2025. Under the GNMA program, the Corporation has the option but not the obligation to repurchase loans that meet GNMA's specified delinquency criteria. For accounting purposes, the loans subject to the repurchase option are required to be reflected on the financial statements with an offsetting liability.

Table 7 – Allowance for Credit Losses on Loans and Finance Leases

		Quarter Ended
		March 31, 2026				December 31, 2025				March 31, 2025
(Dollars in thousands)
Allowance for credit losses on loans and finance leases, beginning of period		$	249,037			$	246,990			$	243,942
Provision for credit losses on loans and finance leases expense			17,170				22,418				24,837
Net recoveries (charge-offs) of loans and finance leases:
	Residential mortgage		224				155				(18	)
	Construction		13				14				14
	Commercial mortgage		(522	)			(53	)			40
	C&I		(309	)			(14	)			77
	Consumer loans and finance leases		(20,553	)			(20,473	)			(21,623	)	(1)
Net charge-offs			(21,147	)			(20,371	)			(21,510	)	(1)
Allowance for credit losses on loans and finance leases, end of period		$	245,060			$	249,037			$	247,269
Allowance for credit losses on loans and finance leases to period end total loans held for investment			1.87	%			1.90	%			1.95	%
Net charge-offs (annualized) to average loans outstanding during the period			0.65	%			0.63	%			0.68	%
Provision for credit losses on loans and finance leases to net charge-offs during the period			0.81x				1.10x				1.15x
(1)	Includes recoveries totaling $2.4 million associated with the bulk sale of fully charged-off consumer loans and finance leases.

Table 8 – Annualized Net (Recoveries) Charge-Offs to Average Loans

		Quarter Ended
		March 31, 2026		December 31, 2025		March 31, 2025
Residential mortgage		-0.03%		-0.02%		0.00%
Construction		-0.02%		-0.02%		-0.02%
Commercial mortgage		0.08%		0.01%		-0.01%
C&I		0.03%		0.00%		-0.01%
Consumer loans and finance leases		2.23%		2.20%		2.31%	(1)
	Total loans	0.65%		0.63%		0.68%	(1)
(1)	The recoveries associated with the aforementioned bulk sale reduced the ratios of consumer loans and finance leases and total net charge-offs to related average loans by 25 basis points and 8 basis points, respectively.

Table 9 – Deposits

		As of
		March 31, 2026			December 31, 2025
(In thousands)
Time deposits		$	3,482,968		$	3,562,331
Interest-bearing saving and checking accounts			7,051,091			6,964,841
Non-interest-bearing deposits			5,554,751			5,549,416
Total deposits, excluding brokered CDs (1)			16,088,810			16,076,588
Brokered CDs			507,011			593,555
	Total deposits	$	16,595,821		$	16,670,143
	Total deposits, excluding brokered CDs and government deposits	$	13,219,627		$	13,061,068
(1)	As of March 31, 2026 and December 31, 2025, government deposits amounted to $2.9 billion and $3.0 billion, respectively.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260422526434/en/

First BanCorp.
Ramon Rodriguez
Senior Vice President
Corporate Strategy and Investor Relations
ramon.rodriguez@firstbankpr.com
(787) 729-8200 Ext. 82179

Source: First BanCorp.