First Financial Bancorp Announces Record Fourth Quarter, Full Year 2025 Financial Results and Quarterly Dividend

• Earnings per diluted share of $0.64; $0.80 on an adjusted⁽¹⁾ basis is a Company record
• Return on average assets of 1.22%; 1.52% on an adjusted⁽¹⁾ basis
• Net interest margin on FTE basis⁽¹⁾ of 3.98%
• Record revenue of $251.3 million on an adjusted⁽¹⁾ basis
• Record noninterest income of $77.3 million on an adjusted⁽¹⁾ basis
• ROTCE of 16.3%; 20.3% on adjusted⁽¹⁾ basis
• Westfield acquisition closed November 1, 2025
• Obtained regulatory approval for BankFinancial acquisition; closed January 1, 2026
• $300 million of 6.375% subordinated debt issued
• Board of Directors approved quarterly dividend of $0.25

CINCINNATI, Jan. 28, 2026 /PRNewswire/ -- First Financial Bancorp. (Nasdaq: FFBC) ("First Financial" or the "Company") announced financial results for the three and twelve months ended December 31 , 2025. 

For the three months ended December 31, 2025, the Company reported net income of $62.4 million, or $0.64 per diluted common share.  These results compare to net income of $71.9 million, or $0.75 per diluted common share, for the third quarter of 2025.  For the twelve months ended December 31, 2025, First Financial had earnings per diluted share of $2.66 compared to $2.40 for the same period in 2024.

Return on average assets for the fourth quarter of 2025 was 1.22% while return on average tangible common equity was 16.27%⁽¹⁾.  These compare to return on average assets of 1.54% and return on average tangible common equity of 19.11%⁽¹⁾ in the third quarter of 2025.

Fourth quarter 2025 highlights include:

• Robust net interest margin of 3.96%, or 3.98% on a fully tax-equivalent basis⁽¹⁾
  • 4 bp decrease from third quarter
  • Decline from linked quarter driven by a 19 bp decrease in asset yields, which was partially offset by lower funding costs
    
    
    
    
• Noninterest income of $64.8 million; $77.3 million on an adjusted⁽¹⁾ basis
  • Adjustments include a $12.6 million loss on securities
  • Record foreign exchange income increased 36.2% to $22.7 million
  • Strong leasing business income of $19.5 million
  • Record wealth management income increased 26.4%, to $9.3 million
    
    
    
    
• Noninterest expenses of $149.5 million, or $141.9 million as adjusted⁽¹⁾; 6.4% increase from linked quarter
  • Fourth quarter adjustments⁽¹⁾ include $5.7 million of acquisition related expenses, $0.8 million of tax credit investment writedowns and $1.2 million of efficiency and other noninterest expenses
  • Increase driven by the Westfield acquisition
  • Efficiency ratio of 62.6%; 56.5% as adjusted⁽¹⁾
    
    
    
    
• Loan balances increased 4% on an annualized basis during the quarter, excluding Westfield
  • End of period loan balances increased $1.7 billion; includes $1.6 billion acquired in Westfield acquisition
  • $131 million of organic loan growth driven by C&I and leasing portfolios

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• Strong average deposit growth during the quarter
  • Total average deposit balances increased $1.4 billion; includes $1.2 billion impact from the Westfield acquisition
  • Organic growth of $264 million included increases in the majority of product types; 7% on an annualized basis
    
    
    
    
• Total Allowance for Credit Losses of $206.7 million; Total quarterly provision expense of $10.1 million
  • Loans and leases - ACL of $186.5 million; $23.7 million initial ACL related to Westfield
  • ACL to total loans of 1.39%
  • Unfunded Commitments - ACL of $20.2 million; $2.2 million related to Westfield
  • Annualized net charge-offs were 27 bps of total loans
  • Nonperforming assets increased slightly to 0.48% of total assets; Classified assets decreased to 1.11% of total assets
    
    
    
    
• Strong capital ratios
  • Total capital ratio increased 14 bps to 15.46%
  • Tier 1 common equity decreased 159 bps to 11.32%
  • Tangible common equity of 7.79%⁽¹⁾; 8.74%⁽¹⁾ excluding impact from AOCI
  • Tangible book value per share of $15.74⁽¹⁾; 2.8% decrease from linked quarter

Additionally, the Board of Directors approved a quarterly dividend of $0.25 per common share for the next regularly scheduled dividend, payable on March 16, 2026 to shareholders of record as of March 2, 2026.

Archie Brown, President and CEO, commented on the quarter, "I am very pleased with our record earnings performance for the fourth quarter.  Adjusted⁽¹⁾ earnings per share were $0.80, leading to an adjusted⁽¹⁾ return on assets of 1.52%, an adjusted⁽¹⁾ return on tangible common equity ratio of 20.3%.  The net interest margin, which declined slightly from the third quarter, has proven resilient as the reduction in funding costs negated most of the impact of short term rate reductions.  Balance sheet trends were solid for the quarter with loan growth of 4% on an annualized basis and total average deposits increasing by approximately 7% on an annualized basis, excluding the impact from the Westfield acquisition. 

Mr. Brown continued, "I am especially pleased with our robust noninterest income.  Total adjusted⁽¹⁾ fee income was $77.3 million and increased 5% compared to the linked quarter.  Wealth Management and foreign exchange income both increased by double-digit percentages, while leasing and mortgage income also remained strong.  While adjusted⁽¹⁾  noninterest expenses increased by 6% from the linked quarter, most of the increase was driven by the Westfield acquisition."

Mr. Brown commented on asset quality, "Asset quality was relatively stable for the quarter and provision expense was in line with our expectations at $10.1 million.  Nonperforming assets (NPAs) increased slightly to 0.48% of assets and classified assets declined slightly to 1.11% of assets.  Three loans drove the increase in NPAs, and net charge-offs were 27 bps, which was within our range of expectations."

Mr. Brown highlighted full year results.  "2025 was another great year for First Financial.  On an adjusted⁽¹⁾ basis, our net income was $281.1 million, or $2.92 per share.  Adjusted⁽¹⁾ return on assets was 1.49% and adjusted⁽¹⁾ return on tangible common equity was 19.3%.  We were pleased with the performance of the net interest margin for the year.  While the margin did decline year over year from 4.05% to 3.98%, we were able to offset most of the impact of short term rate decreases through the diligent management of deposit costs.  Adjusted ⁽¹⁾ noninterest income increased by 16% to a record $279.8 million, led by growth in wealth management, foreign exchange, leasing and mortgage income.  The result was record revenue for the Company of $921.8 million, an 8% increase over 2024."

Mr. Brown discussed asset quality and capital, "Similar to the fourth quarter, asset quality was relatively stable for the year.  Provision expense declined 21% from 2024, net charge-offs as a percentage of average loans declined 5 basis points to 0.25% and our ACL coverage increased by 6 basis points to 1.39%.  Capital levels remained strong during 2025.  While the acquisition of Westfield negatively impacted our capital, our strong earnings drove an increase to tangible book value per share of 11%, from $14.15 to $15.74."

Mr. Brown concluded, "We were very pleased with our overall performance in 2025.  In addition to outstanding financial results, we successfully launched our Western Michigan banking office in Grand Rapids, and acquired two banking companies which strengthens our core funding and provides us with a platform for growth in two of the largest metropolitan markets in the Midwest.  We received our second consecutive Outstanding CRA rating, demonstrating our commitment to creating opportunities for lower income communities in our footprint, and we were one of only 70 companies worldwide to be recognized by Gallup as an Exceptional Workplace.  Finally, I want to recognize and thank our associates for their hard work and commitment.  Due to their efforts, First Financial consistently delivers industry leading performance."

Full detail of the Company's fourth quarter and full year 2025 performance is provided in the accompanying financial statements and slide presentation.

Teleconference / Webcast Information

First Financial's executive management will host a conference call to discuss the Company's financial and operating results on Thursday, January 29, 2026 at 8:30 a.m. Eastern Time.  Members of the public who would like to listen to the conference call should dial (888) 550-5723 (U.S. toll free) or (646) 960-0471 (U.S. local), access code 5048068.  The number should be dialed five to ten minutes prior to the start of the conference call.  A replay of the conference call will be available beginning one hour after the completion of the live call at (800) 770-2030 (U.S. toll free), (609) 800-9099 (U.S. toll), access code 5048068.  The recording will be available until February 12, 2026.  The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company's website at  www.bankatfirst.com.  The webcast will be archived on the Investor Relations section of the Company's website for 12 months.

Press Release and Additional Information on Website

This press release as well as supplemental information are available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com.

Use of Non-GAAP Financial Measures

This earnings release contains GAAP financial measures and Non-GAAP financial measures where management believes it to be helpful in understanding the Company's results of operations or financial position.  Where Non-GAAP financial measures are used, the comparable GAAP financial measures, as well as a reconciliation to the comparable GAAP financial measure, can be found in the section titled "Appendix: Non-GAAP to GAAP Reconciliation" in the accompanying slide presentation.

Forward-Looking Statements

Certain statements contained in this report which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Words such as ''believes,'' ''anticipates,'' "likely," "expected," "estimated," ''intends'' and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.  Examples of forward-looking statements include, but are not limited to, statements we make about (i) our future operating or financial performance, including revenues, income or loss and earnings or loss per share, (ii) future common stock dividends, (iii) our capital structure, including future capital levels, (iv) our plans, objectives and strategies, and (v) the assumptions that underlie our forward-looking statements.

As with any forecast or projection, forward-looking statements are subject to inherent uncertainties, risks and changes in circumstances that may cause actual results to differ materially from those set forth in the forward-looking statements.  Forward-looking statements are not historical facts but instead express only management's beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management's control.  It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements.  Important factors that could cause actual results to differ materially from those in our forward-looking statements include the following, without limitation:

• economic, market, liquidity, credit, interest rate, operational and technological risks associated with the Company's business;
• future credit quality and performance, including our expectations regarding future loan losses and our allowance for credit losses
• the effect of and changes in policies and laws or regulatory agencies, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and other legislation and regulation relating to the banking industry;
• Management's ability to effectively execute its business plans;
• mergers and acquisitions, including costs or difficulties related to the integration of acquired companies;
• the possibility that any of the anticipated benefits of the Company's acquisitions will not be realized or will not be realized within the expected time period;
• the effect of changes in accounting policies and practices;
• changes in consumer spending, borrowing and saving and changes in unemployment;
• changes in customers' performance and creditworthiness;
• the costs and effects of litigation and of unexpected or adverse outcomes in such litigation;  
• current and future economic and market conditions, including the effects of changes in housing prices, fluctuations in unemployment rates, U.S. fiscal debt, budget and tax matters, geopolitical matters, trade and tariff policies, and any slowdown in global economic growth;
• our capital and liquidity requirements (including under regulatory capital standards, such as the Basel III capital standards) and our ability to generate capital internally or raise capital on favorable terms;
• financial services reform and other current, pending or future legislation or regulation that could have a negative effect on our revenue and businesses, including the Dodd-Frank Act and other legislation and regulation relating to bank products and services;
• the effect of the current interest rate environment or changes in interest rates or in the level or composition of our assets or liabilities on our net interest income, net interest margin and our mortgage originations, mortgage servicing rights and mortgage loans held for sale;
• the effect of a fall in stock market prices on our brokerage, asset and wealth management businesses;
• a failure in or breach of our operational or security systems or infrastructure, or those of our third-party vendors or other service providers, including as a result of cyber attacks;
• the effect of changes in the level of checking or savings account deposits on our funding costs and net interest margin; and
• our ability to develop and execute effective business plans and strategies.

Additional factors that may cause our actual results to differ materially from those described in our forward-looking statements can be found in our Form 10-K for the year ended December 31, 2024, as well as our other filings with the SEC, which are available on the SEC website at www.sec.gov. 

All forward-looking statements included in this filing are made as of the date hereof and are based on information available at the time of the filing.  Except as required by law, the Company does not assume any obligation to update any forward-looking statement.

About First Financial Bancorp.

First Financial Bancorp. is a Cincinnati, Ohio based bank holding company.  As of December 31, 2025, the Company had $21.1 billion in assets, $13.4 billion in loans, $16.4 billion in deposits and $2.8 billion in shareholders' equity.  The Company's subsidiary, First Financial Bank, founded in 1863, provides banking and financial services products through its six lines of business: Commercial, Retail Banking, Investment Commercial Real Estate, Mortgage Banking, Commercial Finance and Wealth Management.  These business units provide traditional banking services to business and retail clients.  Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $3.9 billion in assets under management as of December 31, 2025.  The Company operated 134 full service banking centers as of December 31, 2025, located in Ohio, Indiana, Kentucky and Illinois, while the Commercial Finance business lends into targeted industry verticals on a nationwide basis.  In 2025, First Financial Bank received its second consecutive Outstanding rating from the Federal Reserve for its performance under the Community Reinvestment Act and was recognized as a Gallup Exceptional Workplace Award winner, one of only 70 Gallup clients worldwide to receive this designation.  Additional information about the Company, including its products, services and banking locations, is available at www.bankatfirst.com.