Company: FCNCB
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000798941-25-000040
Chunk: 390

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 390
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 to Hurricane Helene, other credit quality improvements, and a modest shift in our weighting from the downside to baseline economic scenario as further discussed in the “ALLL Methodology” section of this MD&A, partially offset by higher specific reserves for individually evaluated loans. 

Net charge-offs for the Current Quarter were $119 million, a decrease of $25 million from $144 million for the Linked Quarter, mainly due to lower net charge-offs in investor dependent and non-owner occupied commercial mortgage loan classes, partially offset by higher net charge-offs in the commercial and industrial loan class.

90

Table 35

ALLL for Loans and Leases

dollars in millionsSix Months Ended June 30, 2025Six Months Ended June 30, 2024CommercialConsumerTotalCommercialConsumerTotalBalance at beginning of period$1,518 $158 $1,676 $1,581 $166 $1,747 Provision (benefit) for loan and lease losses249 10 259 193 (5)188 Charge-offs(296)(15)(311)(274)(13)(287)Recoveries41 7 48 47 5 52 Balance at end of period$1,512 $160 $1,672 $1,547 $153 $1,700 Net charge-off ratio0.37 %0.35 %Net charge-offs$255 $8 $263 $227 $8 $235 Average loans$141,288 $135,565 Percent of loans in each category to total loans80 %20 %100 %80 %20 %100 %

The ALLL at June 30, 2025 was $1.67 billion, representing a decrease of $4 million from December 31, 2024, mainly due to the decreases discussed above and the result of a mix shift from the investor dependent loan class to the global fund banking loan class, which has a lower loss rate relative to our other loan classes, partially offset by the impact of loan growth. 

Net charge-offs for the Current YTD were $263 million, an increase of $28 million from $235 million for the Prior YTD. The higher net charge-offs within commercial loans were mainly due to the commercial and industrial and non-owner occupied commercial mortgage loan classes, partially offset by lower net charge-offs in the investor dependent loan class.

Table 36