FB Financial Corp
NYSE:FBK
FB Financial Corp
FB Financial Corp., a prominent player in the southeastern U.S. financial landscape, holds the reins of FirstBank, a major regional bank rooted in Nashville, Tennessee. Established in 1906, the institution has expanded its influence with a vast network of branches across key markets in Tennessee and neighboring states. The company operates with a dedication to community banking, meeting the needs of both individual customers and businesses. Its approach combines a strong local presence with a robust array of banking products and services, ranging from personal loans and mortgages to business financing and wealth management. This dual focus allows FB Financial Corp. to effectively capture a broad customer base, balancing the traditional charm of community banking with modern financial solutions.
At the heart of FB Financial Corp.'s revenue model lies the age-old banking principle: leveraging deposits to extend loans. By gathering deposits from customers, mostly in the form of checking and savings accounts, the bank allocates these funds to offer loans—be it mortgages, commercial loans, or consumer credit. The interest margin earned from these loans forms a significant part of the company's revenue. Additionally, FB Financial generates income through service fees from a variety of banking and financial services. By focusing on both interest income and non-interest revenue streams, the bank maintains a diverse earnings portfolio. Its strategic execution is aimed at not just serving current clientele, but also at expanding its reach and adapting to the ever-evolving financial demands of the communities it operates in.
FB Financial Corp., a prominent player in the southeastern U.S. financial landscape, holds the reins of FirstBank, a major regional bank rooted in Nashville, Tennessee. Established in 1906, the institution has expanded its influence with a vast network of branches across key markets in Tennessee and neighboring states. The company operates with a dedication to community banking, meeting the needs of both individual customers and businesses. Its approach combines a strong local presence with a robust array of banking products and services, ranging from personal loans and mortgages to business financing and wealth management. This dual focus allows FB Financial Corp. to effectively capture a broad customer base, balancing the traditional charm of community banking with modern financial solutions.
At the heart of FB Financial Corp.'s revenue model lies the age-old banking principle: leveraging deposits to extend loans. By gathering deposits from customers, mostly in the form of checking and savings accounts, the bank allocates these funds to offer loans—be it mortgages, commercial loans, or consumer credit. The interest margin earned from these loans forms a significant part of the company's revenue. Additionally, FB Financial generates income through service fees from a variety of banking and financial services. By focusing on both interest income and non-interest revenue streams, the bank maintains a diverse earnings portfolio. Its strategic execution is aimed at not just serving current clientele, but also at expanding its reach and adapting to the ever-evolving financial demands of the communities it operates in.
Earnings Beat: FB Financial reported Q4 2025 EPS of $1.07 and adjusted EPS of $1.16, with solid returns on assets and equity.
Strong Net Interest Margin: Net interest margin was 3.98%, up 3 basis points from Q3, supported by effective deposit repricing and payoff of sub debt.
Loan & Deposit Growth: Loans held for investment grew 29% and deposits increased 25% year-over-year, boosted by the Southern States Bank acquisition.
Expense Management: Noninterest expenses included merger costs and some non-run rate items, but core banking expense guidance for 2026 remains unchanged.
Guidance Affirmed: Management reiterated 2026 guidance for mid- to high single-digit loan and deposit growth and a net interest margin around current levels.
Credit Quality Stable: Credit remains solid with low charge-offs and a 1.5% allowance for loan losses.
Share Buyback: The company repurchased 1.7 million shares (about 3% of the company) in Q4, with no additional large buybacks anticipated.
Growth Focus: The company is optimistic about hiring opportunities and continued organic market share gains in 2026.
