Fulton Financial Q3 2024 – Net Income Drops, Operating Income Rises

By Tamara Parker • Wednesday, October 16 10:19 • Permanent Link

Fulton Financial Corporation (NASDAQ: FULT) has announced its third-quarter 2024 results, reporting a net income available to common shareholders of $60.6 million, or $0.33 per diluted share, representing a decrease of $31.8 million, or $0.19 per share, compared to the second quarter of 2024. However, operating net income available to common shareholders for the three months ended September 30, 2024, was $91.3 million, or $0.50 per diluted share, marking an increase of $8.8 million, or $0.03 per share, compared to the second quarter of 2024.

Here are some key metrics that have changed compared to the previous quarter:

Net interest margin stood at 3.49%, marking an increase of six basis points compared to the prior quarter.
Customer deposits increased by $745.0 million compared to the prior quarter, excluding brokered deposits.
Common equity tier 1 capital increased to 10.5%, compared to 10.3% in the prior quarter.
Tangible shareholders' equity per common share increased by $0.59, or 4.7%, to $13.02 compared to the prior quarter.

In terms of income components in the third quarter of 2024 compared to the second quarter of 2024:

Net interest income totaled $258.0 million, reflecting an increase of $16.3 million, largely due to the full-quarter impact of an acquisition and an increase in on-balance sheet liquidity.
Non-interest income before investment securities gains (losses) was $59.7 million compared to $113.3 million in the second quarter of 2024. The decrease was primarily due to a $55.1 million change in the gain on acquisition (net of tax), with a $7.7 million reduction recorded in the third quarter of 2024.
Non-interest expense was $226.1 million compared to $219.8 million in the second quarter of 2024, excluding the $20.3 million gain on the sale-leaseback transaction reflected in other expense in the second quarter of 2024.

Balance sheet highlights include:

Net loans totaled $24.2 billion, marking an increase of $69.8 million compared to $24.1 billion as of June 30, 2024.
Deposits totaled $26.2 billion, reflecting an increase of $592.5 million compared to $25.6 billion as of June 30, 2024.

In terms of provision for credit losses and asset quality:

The provision for credit losses was $11.9 million in the third quarter of 2024 compared to $32.1 million in the second quarter of 2024.
Non-performing assets were $205.0 million, or 0.64% of total assets, at September 30, 2024, compared to $174.0 million, or 0.55% of total assets, at June 30, 2024.

These figures highlight the changes in Fulton Financial Corporation's financial performance and position compared to the previous quarter. As a result of these announcements, the company's shares have moved 2.8% on the market, and are now trading at a price of $18.78. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.