RALEIGH, N.C., April 25, 2024 /PRNewswire/ -- First Citizens BancShares, Inc. ("BancShares") (NASDAQ:FCNCA) reported earnings for the first quarter of 2024. Chairman and CEO Frank B. Holding, Jr. said: "We are pleased with our first quarter performance where we delivered strong financial results. We posted solid loan and deposit growth and credit quality held up well. Our capital and liquidity levels increased, positioning our balance sheet well for further growth. It's been over one year since SVB became part of First Citizens, and we continue to successfully execute on our integration efforts, which are accelerating the momentum of our franchise. We believe we are well-positioned to continue delivering strong financial results while executing on our strategic plan." FINANCIAL HIGHLIGHTS Measures referenced as adjusted below are non-GAAP financial measures (refer to the Financial Supplement available at ir.firstcitizens.com or www.sec.gov for a reconciliation of each non-GAAP measure to the most directly comparable GAAP measure). Net income for the first quarter of 2024 ("current quarter") was $731 million compared to $514 million for the fourth quarter of 2023 ("linked quarter"). Net income available to common stockholders for the current quarter was $716 million, or $49.26 per diluted common share, a $217 million increase from $499 million, or $34.33 per diluted common share, in the linked quarter. Adjusted net income for the current quarter was $784 million compared to $693 million for the linked quarter. Adjusted net income available to common stockholders was $769 million, or $52.92 per diluted common share, a $91 million increase from $678 million, or $46.58 per diluted common share, in the linked quarter. Current quarter results were primarily impacted by the following notable items to arrive at adjusted net income available to common stockholders: Acquisition-related expenses of $58 million,   Intangible asset amortization of $17 million,   FDIC insurance special assessment of $9 million, and   Unfavorable fair value adjustment on marketable equity securities of $4 million. SEGMENT REPORTING INTEGRATION At December 31, 2023, BancShares reported its financial results in General Bank, Commercial Bank, Silicon Valley Bank ("SVB"), and Rail segments. All other financial information was included in the "Corporate" section of the segment results. BancShares made the following changes to its segment reporting during the current quarter to better align components of the SVB segment and the Direct Bank with the segment reporting structure: the private banking and wealth management components of the SVB segment were integrated into the General Bank segment which already included other wealth management activities;   the SVB segment was renamed SVB Commercial as its customers now primarily include commercial clients in key innovation markets, as well as private equity and venture capital clients; and   the Direct Bank (a nationwide digital banking platform that delivers deposit products to consumers) previously included in the General Bank segment is now reflected in Corporate which already included wholesale funding and brokered deposits. Segment results for prior periods discussed in this release were recast to reflect the segment reporting changes. NET INTEREST INCOME AND MARGIN Net interest income totaled $1.82 billion compared to $1.91 billion in the linked quarter. The $94 million decrease in net interest income was due to a $61 million increase in interest expense and a $33 million decrease in interest income.   Interest income was $3.08 billion compared to $3.12 billion in the linked quarter. The $33 million decrease in interest income was due to a $37 million decrease in interest on loans and a $37 million decrease in interest on interest-earning deposits at banks, partially offset by a $41 million increase in interest on investment securities. The decrease in interest on loans was primarily due to a $35 million decrease in loan accretion, primarily related to the acquisition of Silicon Valley Bridge Bank, N.A. (the "SVBB Acquisition"). Continued purchases of short duration investment securities led to a higher average balance and increased interest income on investment securities and a lower average balance and a decrease in interest income on interest-earning deposits at banks.   Interest expense was $1.27 billion compared to $1.21 billion in the linked quarter. The $61 million increase was due to a $63 million increase in interest expense on deposits, primarily from growth in the Direct Bank and a higher rate paid, partially offset by a $2 million decrease in borrowing costs from a slightly lower average balance.   Net interest margin was 3.67%, a decrease of 19 basis points compared to the linked quarter. The yield on average interest-earning assets was 6.23%, a decrease of 7 basis points from the linked quarter primarily due to lower loan accretion. The rate ...