0001030469FALSE00010304692024-01-242024-01-24

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
________________
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): January 24, 2024
________________
OFG BANCORP
(Exact name of registrant as specified in its charter)
________________

    Commonwealth of Puerto Rico
001-1264766-0538893
(State or other Jurisdiction of Incorporation)(Commission File Number)(IRS Employer Identification No.)
Oriental Center, 15th Floor
254 Munoz Rivera Avenue
San Juan, Puerto Rico
00918
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code: (787) 771-6800
Not applicable
(Former name or former address, if changed since last report)
________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common shares, par value $1.00 per shareOFGNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company    ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02. Results of Operations and Financial Condition.
On January 24, 2024, OFG Bancorp (the “Company”) announced the results for the quarter ended December 31, 2023. A copy of the Company’s press release is attached as an exhibit to this report.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
Exhibit No.Description of Document
99


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
OFG BANCORP
Date: January 24, 2024
By:/s/ Maritza Arizmendi
Maritza Arizmendi
Chief Financial Officer


Exhibit 99
ofgbancorplogo.jpg
OFG Bancorp Reports 4Q23 & 2023 Results
SAN JUAN, Puerto Rico, January 24, 2024 – OFG Bancorp (NYSE: OFG), the financial holding company for Oriental Bank, today reported results for the fourth quarter and year ended December 31, 2023.

4Q23: EPS diluted of $0.98 compared to $0.95 in 3Q23 and $0.97 in 4Q22. Total core revenues of $175.6 million compared to $172.2 million in 3Q23 and $168.3 million in 4Q22.

Full Year 2023: EPS diluted of $3.83 compared to $3.44 in 2022. Total core revenues of $682.7 million compared to $607.8 million.
CEO Comment
José Rafael Fernández, Chief Executive Officer, said: “2023 was an outstanding year. We are proud of our accomplishments and thank the entire team for making it possible. We ended 2023 with record levels of loans, customer deposits, assets, and stockholders’ equity. Year-end commercial loan balances exceeded $3 billion and tangible common equity was more than $1 billion, both for the first time. Our ‘Digital First Strategy’ continues to empower our retail customers to complete 93% of routine transactions through self-service channels. While consumer credit has begun to normalize post-pandemic, consumer liquidity and employment as well as commercial clients and the economy continue to be strong in Puerto Rico.”
4Q23 Results Included:
Gain on Sale of Non-Performing Puerto Rico Small Business Loans: Resulted in a $6.3 million pre-tax gain in other non-interest income.

Workforce Early Retirement & Rightsizing: Resulted in $3.2 million in severance and lease cancellation costs in non-interest compensation and infrastructure expenses.

Large Public Funds Deposit: $1.2 billion deposited mid-December.

4Q23 Highlights
Performance Metrics: Net interest margin of 5.62%, return on average assets of 1.76%, return on average tangible common stockholders’ equity of 18.22%, and efficiency ratio of 53.59%.

Total Interest Income of $176.2 million compared to $165.7 million in 3Q23 and $145.7 million in 4Q22. Compared to 3Q23, 4Q23 primarily reflected higher average balances and yields on loans and investment securities.

Total Interest Expense of $32.7 million compared to $23.9 million in 3Q23 and $10.4 million in 4Q22. Compared to 3Q23, 4Q23 reflected increases of $4.0 million in the cost of average core deposits and $4.8 million in the cost of average wholesale funding, primarily due to temporarily higher balances of borrowings and brokered deposits during the quarter.

Total Banking & Financial Service Revenues of $32.1 million compared to $30.4 million in 3Q23 and $33.0 million in 4Q22. Compared to 3Q23, 4Q23 reflected annual insurance


commission recognition of $2.5 million in wealth management revenues and lower mortgage servicing revenues.

Pre-Provision Net Revenues of $88.2 million compared to $82.3 million in 3Q23 and $76.9 million in 4Q22.

Total Provision for Credit Losses of $19.7 million compared to $16.4 million in 3Q23 and $8.8 million in 4Q22. 4Q23 provision primarily reflected increased loan volume.

Credit Quality: Net charge-offs of $16.3 million compared to $18.8 million in 3Q23 and $11.2 million in 4Q22. 4Q23 early and total delinquency rates were 2.76% and 3.76%, respectively, in line with 3Q23. The nonperforming loan rate of 1.22% was the lowest over the last five quarters.

Total Non-Interest Expense of $94.1 million compared to $90.2 million in 3Q23 and $91.6 million in 4Q22.

Loans Held for Investment (EOP) of $7.53 billion compared to $7.26 billion in 3Q23 and $6.84 billion in 4Q22. Loans increased 3.8% from 3Q23 and 10.2% year-over-year, reflecting increases in commercial loans, and retail auto and consumer loans. This was partially offset by regular paydowns of residential mortgages and securitization and sale of conforming loans.

New Loan Production of $663.9 million compared to $567.5 million in 3Q23 and $616.4 million in 4Q22. 4Q23 primarily reflected increased Puerto Rico commercial lending.

Total Investments (EOP) of $2.69 billion compared to $2.07 billion in 3Q23 and $1.97 billion in 4Q22. 4Q23 investments reflected purchases of $300 million of short-term US Treasury bills and $250 million of long-term government insured, mortgage-backed securities.

Customer Deposits (EOP) of $9.60 billion compared to $8.54 billion in 3Q23 and $8.56 billion in 4Q22.

Total Borrowings & Brokered Deposits (EOP) of $363.0 million compared to $454.4 million in 3Q23 and $38.4 million in 4Q22. The average balance of such wholesale funding was $602.0 million in 4Q23 compared to $266.4 million in 3Q23. The 12/31/23 balance reflected repayment of $250 million of borrowings and the addition of $160 million of brokered deposits, most of which will mature in early 1Q24.

Cash & Cash Equivalents (EOP) of $748.2 million compared to $532.7 million in 3Q23 and $550.5 million in 4Q22.

Total Assets (EOP) of $11.34 billion compared to $10.26 billion in 3Q23 and $9.82 billion in 4Q22.

Capital: CET1 ratio was 14.12% compared to 14.06% in 3Q23 and 13.64% in 4Q22. The Tangible Common Equity ratio was 9.68% compared to 9.74% in 3Q23 and 9.59% in 4Q22. Tangible Book Value (TBV) of $23.13 per share compared to $21.01 in 3Q23 and $19.56 in 4Q22. 4Q23 TBV reflected increased retained earnings and Accumulated Other Comprehensive Income.

Conference Call, Financial Supplement & Presentation


A conference call to discuss 4Q23 results, outlook and related matters will be held today at 10:00 AM ET. Phone (800) 267-6316 or (203) 518-9783. Conference ID: OFGQ423. The call can also be accessed live on  www.ofgbancorp.com with webcast replay shortly thereafter.
OFG’s Financial Supplement, with full financial tables for the quarter and year ended December 31, 2023, and the 4Q23 Conference Call Presentation, can be found on the Quarterly Results page on OFG’s Investor Relations website at www.ofgbancorp.com.

Non-GAAP Financial Measures
In addition to our financial information presented in accordance with GAAP, management uses certain “non-GAAP financial measures” within the meaning of SEC Regulation G, to clarify and enhance understanding of past performance and prospects for the future. Please refer to Tables 8-1 and 8-2 in OFG’s above-mentioned Financial Supplement for a reconciliation of GAAP to non-GAAP measures and calculations.
Forward Looking Statements
The information included in this document contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and involve certain risks and uncertainties that may cause actual results to differ materially from those expressed in the forward-looking statements.

Factors that might cause such a difference include but are not limited to (i) general business and economic conditions, including changes in interest rates; (ii) cybersecurity breaches; (iii) hurricanes, earthquakes, pandemics, and other natural disasters; and (iv) competition in the financial services industry.
For a discussion of such factors and certain risks and uncertainties to which OFG is subject, please refer to OFG’s annual report on Form 10-K for the year ended December 31, 2022, as well as its other filings with the U.S. Securities and Exchange Commission. Other than to the extent required by applicable law, including the requirements of applicable securities laws, OFG assumes no obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements.
About OFG Bancorp
Now in its 60th year in business, OFG Bancorp is a diversified financial holding company that operates under U.S., Puerto Rico and U.S. Virgin Islands banking laws and regulations. Its three principal subsidiaries, Oriental Bank, Oriental Financial Services, and Oriental Insurance, provide a wide range of retail and commercial banking, lending and wealth management products, services, and technology, primarily in Puerto Rico and U.S. Virgin Islands. Visit us at www.ofgbancorp.com. 
# # #
Contacts
Puerto Rico & USVI: Idalis Montalvo (idalis.montalvo@orientalbank.com) at (787) 777-2847
US: Gary Fishman (gfishman@ofgbancorp.com) and Steven Anreder
(sanreder@ofgbancorp.com) at (212) 532-3232



OFG Bancorp
Financial Supplement
The information contained in this Financial Supplement is preliminary and based on data available at the time of the earnings presentation, and investors should refer to our December 31, 2023 Annual Report on Form 10-K once it is filed with the Securities and Exchange Commission.


OFG Bancorp (NYSE: OFG)
Table 1-1: Financial and Statistical Summary - Consolidated

2023
2023
2023
2023
2022
(Dollars in thousands, except per share data) (unaudited)
Q4
Q3
Q2
Q1
Q4
Statement of Operations
Net interest income $143,542$141,787$139,644$135,897$135,282
Non-interest income, net (core)(1)32,06130,40430,85928,53133,012
Total core revenues(2)175,603172,191170,503164,428168,294
Non-interest expense 94,09990,15888,88890,22091,641
Pre-provision net revenues(21)88,15182,32880,82974,57876,895
Total provision for credit losses 19,71916,43015,0449,4458,757
Net income before income taxes 68,43265,89865,78565,13368,138
Income tax expense 21,83521,02521,61218,90421,771
Net income available to common stockholders 46,59744,87344,17346,22946,367
Common Share Statistics      
Earnings per common share - basic(3)$0.99$0.95$0.93$0.97$0.97
Earnings per common share - diluted(4)$0.98$0.95$0.93$0.96$0.97
Average common shares outstanding 47,06147,11447,26647,60047,572
Average common shares outstanding and equivalents 47,38647,39247,49047,94447,964
Cash dividends per common share $0.22$0.22$0.22$0.22$0.20
Book value per common share (period end) $25.36$23.28$23.36$22.88$21.91
Tangible book value per common share (period end)(5)$23.13$21.01$21.06$20.57$19.56
Balance Sheet (Average Balances)      
Loans(6)$7,417,084$7,191,243$7,002,971$6,866,586$6,770,341
Interest-earning assets 10,129,0619,702,1679,492,8619,359,2119,425,590
Total assets 10,588,58410,180,93110,020,9409,900,4099,989,293
Core deposits 8,691,5168,621,6528,531,5838,594,3928,759,080
Total deposits 8,834,2348,624,0528,531,5838,604,6218,770,446
Interest-bearing deposits 6,282,9166,042,1655,955,6115,950,4816,059,643
Borrowings 459,315263,981226,25664,16826,820
Stockholders' equity 1,128,7471,127,6021,108,8801,077,7031,025,132
Performance Metrics      
Net interest margin(7)5.62 %5.80 %5.90 %5.89 %5.69 %
Return on average assets(8)1.76 %1.76 %1.76 %1.87 %1.86 %
Return on average tangible common stockholders' equity(9)18.22 %17.59 %17.67 %19.13 %20.36 %
Efficiency ratio(10)53.59 %52.36 %52.13 %54.87 %54.45 %
Full-time equivalent employees, period end 2,248 2,264 2,265 2,249 2,253 
Credit Quality Metrics     
Allowance for credit losses$161,106$157,529$159,923$151,884$152,673
Allowance as a % of loans held for investment2.14 %2.17 %2.25 %2.22 %2.23 %
Net charge-offs$16,282$18,836$6,606$10,120$11,205
Net charge-off rate(11)0.88 %1.05 %0.38 %0.59 %0.66 %
Early delinquency rate (30 - 89 days past due)2.76 %2.75 %2.53 %2.11 %2.46 %
Total delinquency rate (30 days and over)3.76 %3.78 %3.67 %3.40 %4.04 %
Capital Ratios (period end) (Non-GAAP)(12)(20)
Leverage ratio11.03 %11.03 %10.85 %10.75 %10.36 %
Common equity Tier 1 capital ratio14.12 %14.06 %14.03 %14.07 %13.64 %
Tier 1 risk-based capital ratio14.12 %14.06 %14.03 %14.07 %13.64 %
Total risk-based capital ratio15.37 %15.31 %15.29 %15.33 %14.89 %
Tangible common equity ("TCE") ratio9.68 %9.74 %9.99 %9.85 %9.59 %


2

OFG Bancorp (NYSE: OFG)
Table 1-2: Financial and Statistical Summary - Consolidated (Continued)
2023
2022
(Dollars in thousands, except per share data) (unaudited)YTDYTD
Statement of Operations
Net interest income$560,870 $482,080 
Non-interest income, net (core)(1)121,855 125,725 
Total core revenues(2)682,725 607,805 
Non-interest expense363,365 345,546 
Pre-provision net revenues(21)325,886 268,224 
Total provision for credit losses60,638 24,119 
Net income before income taxes265,248 244,105 
Income tax expense83,376 77,866 
Net income available to common stockholders181,872 166,239 
Common Share Statistics
Earnings per common share - basic(3)$3.85 $3.46 
Earnings per common share - diluted(4)$3.83 $3.44 
Average common shares outstanding47,258 48,033 
Average common shares outstanding and equivalents47,552 48,436 
Cash dividends per common share$0.88 $0.70 
Book value per common share (period end)$25.36 $21.91 
Tangible book value per common share (period end)(5)$23.13 $19.56 
Balance Sheet (Average Balances)
Loans(6)$7,121,176 $6,657,760 
Interest-earning assets9,688,019 9,544,055 
Total assets10,174,624 10,119,505 
Core deposits8,610,084 8,859,600 
Total deposits8,649,184 8,870,966 
Interest-bearing deposits6,058,661 6,223,095 
Borrowings254,541 31,461 
Stockholders' equity1,110,919 1,042,202 
Performance Metrics
Net interest margin(7)5.79 %5.05 %
Return on average assets(8)1.79 %1.64 %
Return on average tangible common stockholders' equity(9)18.14 %17.98 %
Efficiency ratio(10)53.22 %56.85 %
Full-time equivalent employees, period end2,248 2,253 
Credit Quality Metrics
Allowance for credit losses$161,106 $152,673 
Allowance as a % of loans held for investment2.14 %2.23 %
Net charge-offs$51,844 $27,672 
Net charge-off rate(11)0.73 %0.42 %
Early delinquency rate (30 - 89 days past due)2.76 %2.46 %
Total delinquency rate (30 days and over)3.76 %4.04 %



3

OFG Bancorp (NYSE: OFG)
Table 2-1: Consolidated Statements of Operations
Quarter Ended
(Dollars in thousands, except per share data) (unaudited) December 31, 2023September 30, 2023June 30,
2023		March 31,
2023		December 31,
2022
Interest income: 
Loans
Non-PCD loans $131,167 $124,847 $116,699 $109,330 $105,238 
PCD loans 17,609 17,292 18,819 18,981 19,762 
Total interest income from loans 148,776 142,139 135,518 128,311 125,000 
Investment securities and cash 27,423 23,569 22,470 20,674 20,727 
Total interest income 176,199 165,708 157,988 148,985 145,727 
Interest expense:
Deposits
Core deposits 24,753 20,787 15,916 12,489 10,258 
Brokered deposits 1,980 32 — 8 9 
Total deposits 26,733 20,819 15,916 12,497 10,267 
Borrowings 5,924 3,102 2,428 591 178 
Total interest expense 32,657 23,921 18,344 13,088 10,445 
Net interest income 143,542 141,787 139,644 135,897 135,282 
Provision for credit losses, excluding PCD loans20,681 16,648 16,650 8,146 11,347 
(Recapture of) provision for credit losses on PCD loans(962)(218)(1,606)1,299 (2,590)
Total provision for credit losses 19,719 16,430 15,044 9,445 8,757 
Net interest income after provision for credit losses 123,823 125,357 124,600 126,452 126,525 
Non-interest income:      
Banking service revenues 17,822 17,303 17,440 17,513 18,224 
Wealth management revenues 9,985 (a)7,691 8,194 7,120 8,335 
Mortgage banking activities 4,254 (b)5,410 5,225 3,898 6,453 
Total banking and financial service revenues 32,061 30,404 30,859 28,531 33,012 
Other income (loss), net 6,647 (c)295 (786)370 242 
Total non-interest income, net 38,708 30,699 30,073 28,901 33,254 
Non-interest expense:
Compensation and employee benefits 41,418 (d)38,095 37,841 38,473 38,100 
Occupancy, equipment and infrastructure costs 15,729 14,887 14,362 14,257 13,893 
General and administrative expenses 35,803 37,203 39,005 36,697 39,409 
Foreclosed real estate and other repossessed assets expenses (income), net 1,149 (27)(2,320)793 239 
Total non-interest expense 94,099 90,158 88,888 90,220 91,641 
Income before income taxes 68,432 65,898 65,785 65,133 68,138 
Income tax expense 21,835 21,025 21,612 18,904 21,771 
Net income available to common shareholders $46,597 $44,873 $44,173 $46,229 $46,367 
(a) During 4Q 2023, annual insurance contingent commissions amounted to $2.5 million, $1.3 million higher than a year ago due to last year’s Hurricane Fiona’s related claims.
(b) During 4Q 2023, the Company recognized a reduction of $1.1 million in mortgage servicing asset valuation.
(c) During 4Q 2023, the Company recognized a $6.3 million gain on the sale of commercial non-performing loans held-for-sale amounting to $4.3 million, with an unpaid principal balance of $25.3 million.
(d) During 4Q 2023, the Company recognized higher compensation expenses by $2.8 million from a voluntary retirement program launched during the quarter and other rightsizing initiatives.
4

OFG Bancorp (NYSE: OFG)
Table 2-2: Consolidated Statements of Operations (Continued)
(Dollars in thousands, except per share data) (unaudited)Year Ended
December 31, 2023
December 31, 2022
Interest income:
Loans
Non-PCD loans$482,043 $381,334 
PCD loans72,701 78,828 
Total interest income from loans554,744 460,162 
Investment securities and cash94,136 55,411 
Total interest income648,880 515,573 
Interest expense:
Deposits
Core deposits73,945 32,204 
Brokered deposits2,020 35 
Total deposits75,965 32,239 
Borrowings12,045 1,254 
Total interest expense88,010 33,493 
Net interest income560,870 482,080 
Provision for credit losses, excluding PCD loans62,125 42,129 
Recapture of credit losses on PCD loans(1,487)(18,010)
Total provision for credit losses60,638 24,119 
Net interest income after provision for credit losses500,232 457,961 
Non-interest income:  
Banking service revenues70,078 71,161 
Wealth management revenues32,990 (a)32,635 
Mortgage banking activities18,787 (b)21,929 
Total banking and financial service revenues121,855 125,725 
Other income, net6,526 (c)5,965 
Total non-interest income, net128,381 131,690 
Non-interest expense:
Compensation and employee benefits155,827 (d)142,930 
Occupancy, equipment and infrastructure costs59,235 51,308 
General and administrative expenses148,708 153,382 
Foreclosed real estate and other repossessed assets income, net of expenses(405)(2,074)
Total non-interest expense363,365 345,546 
Income before income taxes265,248 244,105 
Income tax expense83,376 77,866 
Net income available to common shareholders$181,872 $166,239 
(a)Refer to “(a)” in Table 2-1.
(b)Refer to “(b)” in Table 2-1.
(c)Refer to “(c)” in Table 2-1.
(d)Refer to “(d)” in Table 2-1. During the year ended December 31, 2023, salaries increased by $6.7 million.



5

OFG Bancorp (NYSE: OFG)
Table 3: Consolidated Statements of Financial Condition
(Dollars in thousands) (unaudited)
December 31, 2023
September 30, 2023
June 30, 2023
March 31, 2023
December 31, 2022
Cash and cash equivalents$748,173 (a)$532,699 $798,973 $847,494 $550,464 
Investments:
Trading securities13 14 13 10 9 
Investment securities available-for-sale, at fair value, no allowance for credit losses for any period
Mortgage-backed securities1,801,849 (a)1,511,779 1,139,996 1,109,889 1,102,501 
US treasury notes296,799 (a)739 748 242,098 309,133 
Other investment securities616 635 1,101 1,119 1,142 
Total investment securities available-for-sale2,099,264 1,513,153 1,141,845 1,353,106 1,412,776 
Investment securities held-to-maturity, at amortized cost, no allowance for credit losses for any period
Mortgage-backed securities314,710 320,249 326,935 332,852 337,435 
US treasury notes199,314 198,896 198,478 198,028 197,635 
Other investment securities35,000 — — — — 
Total investment securities held-to-maturity549,024 519,145 525,413 530,880 535,070 
Equity securities38,469 42,162 35,946 33,218 23,667 
Total investments2,686,770 2,074,474 1,703,217 1,917,214 1,971,522 
Loans, net7,401,618 7,130,052 6,988,244 6,735,281 6,723,236 
Other assets:
Prepaid expenses62,858 67,191 67,966 59,125 54,641 
Deferred tax asset, net4,923 11,121 20,306 37,372 55,485 
Foreclosed real estate and repossessed properties14,812 13,987 14,643 13,813 15,831 
Premises and equipment, net104,102 103,040 104,166 104,851 106,820 
Goodwill84,241 84,241 84,241 84,241 84,241 
Other intangibles20,694 22,419 24,143 25,868 27,593 
Right of use assets21,725 20,011 21,840 23,897 25,363 
Servicing asset49,520 50,601 49,966 49,345 50,921 
Accounts receivable and other assets145,017 147,302 153,842 159,080 152,663 
Total assets$11,344,453 $10,257,138 $10,031,547 $10,057,581 $9,818,780 
Deposits:
Demand deposits$6,050,428 (a)$4,894,958 $5,008,521 $5,038,122 $5,176,758 
Savings accounts2,088,102 2,216,162 2,222,326 2,271,774 2,227,965 
Time deposits1,461,459 1,427,497 1,307,179 1,255,525 1,152,270 
Brokered deposits162,180 2,936 — — 11,371 
Total deposits9,762,169 8,541,553 8,538,026 8,565,421 8,568,364 
Borrowings:     
Securities sold under agreements to repurchase— (a)150,701 — — — 
Advances from FHLB and other borrowings200,770 300,774 226,507 226,789 27,034 
Total borrowings200,770 451,475 226,507 226,789 27,034 
Other liabilities:     
Acceptances outstanding25,576 30,984 35,945 30,094 28,607 
Lease liability24,029 22,269 24,031 25,990 27,370 
GNMA buy-back option program liability(22)19,401 18,227 18,417 26,348 32,590 
Deferred tax liability, net
22,444 — — — — 
Accrued expenses and other liabilities96,584 97,167 88,870 93,429 92,409 
Total liabilities10,150,973 9,161,675 8,931,796 8,968,071 8,776,374 
Stockholders' equity:
Common stock59,885 59,885 59,885 59,885 59,885 
Additional paid-in capital638,667 637,389 636,051 634,785 636,793 
Legal surplus150,967 146,774 142,567 138,333 133,901 
Retained earnings 639,324 607,466 577,042 547,641 516,371 
Treasury stock, at cost(228,350)(228,374)(226,230)(212,794)(211,135)
Accumulated other comprehensive income (loss), net
(67,013)(127,677)(89,564)(78,340)(93,409)
Total stockholders' equity1,193,480 1,095,463 1,099,751 1,089,510 1,042,406 
Total liabilities and stockholders' equity$11,344,453 $10,257,138 $10,031,547 $10,057,581 $9,818,780 

(a) During 4Q 2023, the Company received a Puerto Rico government deposit amounting to $1.2 billion; and purchased $300 million short-term US treasury bills, $250 million long-term government insured mortgage-backed securities, and repaid at maturity $150 million repurchase agreements.
6

OFG Bancorp (NYSE: OFG)
Table 4-1: Information on Loan Portfolio and Production
(Dollars in thousands) (unaudited)
December 31, 2023
September 30, 2023
June 30, 2023
March 31, 2023
December 31, 2022
Non-PCD:
Mortgage, excluding GNMA buy-back option program$609,846 $630,187 $623,138 $634,799 $643,203 
Mortgage GNMA buy-back option program(22)19,401 18,227 18,417 26,348 32,590 
Commercial, excluding Commercial US2,186,228 1,985,535 1,952,178 1,808,379 1,828,644 
Commercial US755,228 707,593 669,332 617,574 642,133 
Consumer619,894 612,623 593,122 564,365 536,619 
Auto2,272,530 2,208,993 2,124,076 2,034,676 1,958,257 
6,463,127 6,163,158 5,980,263 5,686,141 5,641,446 
Less:  Allowance for credit losses(152,610)(148,210)(150,167)(141,385)(141,841)
Total non-PCD loans held for investment, net6,310,517 6,014,948 5,830,096 5,544,756 5,499,605 
PCD:
Mortgage933,362 955,596 980,833 1,007,751 1,028,428 
Commercial135,447 139,857 152,888 155,614 159,152 
Consumer552 572 568 607 638 
Auto1,891 2,552 3,319 4,367 5,658 
1,071,252 1,098,577 1,137,608 1,168,339 1,193,876 
Less:  Allowance for credit losses(8,496)(9,319)(9,756)(10,499)(10,832)
Total PCD loans held for investment, net1,062,756 1,089,258 1,127,852 1,157,840 1,183,044 
Total loans held for investment7,373,273 7,104,206 6,957,948 6,702,596 6,682,649 
Mortgage loans held for sale— 564 11,397 13,616 19,499 
Other loans held for sale28,345 25,282 18,899 19,069 21,088 
Total loans, net$7,401,618 $7,130,052 $6,988,244 $6,735,281 $6,723,236 
Loan Portfolio Summary:
Loans held for investment:
Mortgage, excluding GNMA buy-back option program$1,543,208 $1,585,783 $1,603,971 $1,642,550 $1,671,631 
Mortgage GNMA buy-back option program(22)19,401 18,227 18,417 26,348 32,590 
Commercial, excluding Commercial US2,321,675 2,125,392 2,105,066 1,963,993 1,987,796 
Commercial US755,228 707,593 669,332 617,574 642,133 
Consumer620,446 613,195 593,690 564,972 537,257 
Auto2,274,421 2,211,545 2,127,395 2,039,043 1,963,915 
7,534,379 7,261,735 7,117,871 6,854,480 6,835,322 
Less:  Allowance for credit losses(161,106)(157,529)(159,923)(151,884)(152,673)
Total loans held for investment, net7,373,273 7,104,206 6,957,948 6,702,596 6,682,649 
Mortgage loans held for sale— 564 11,397 13,616 19,499 
Other loans held for sale28,345 25,282 18,899 19,069 21,088 
Total loans, net$7,401,618 $7,130,052 $6,988,244 $6,735,281 $6,723,236 
7

OFG Bancorp (NYSE: OFG)
Table 4-2: Information on Loan Portfolio and Production
  Quarter EndedYear Ended
(Dollars in thousands) (unaudited)
December 31, 2023
September 30, 2023
June 30, 2023
March 31, 2023
December 31, 2022
December 31, 2023
December 31, 2022
Loan production(13)
Mortgage $33,332 $33,346 $35,932 $30,344 $35,242 $132,954 $200,905 
Commercial 285,517 150,105 210,746 98,300 209,078 744,668 651,834 
Commercial US 57,442 70,311 111,817 124,074 83,162 363,644 338,488 
Consumer 63,785 76,465 87,062 86,284 67,515 313,596 334,239 
Auto 223,780 237,290 236,283 222,325 221,369 919,678 812,598 
Total $663,856 $567,517 $681,840 $561,327 $616,366 $2,474,540 $2,338,064 
8

OFG Bancorp (NYSE: OFG)
Table 5-1: Average Balances, Net Interest Income and Net Interest Margin
2023 Q4
2023 Q3
2023 Q2
2023 Q1
2022 Q4
(Dollars in thousands) (unaudited)Average
Balance		Interest
Income/
Expense		Yield/
Rate		Average
Balance		Interest
Income/
Expense		Yield/
Rate		Average
Balance		Interest
Income/
Expense		Yield/
Rate		Average
Balance		Interest
Income/
Expense		Yield/
Rate		Average
Balance		Interest
Income/
Expense		Yield/
Rate
Interest earning assets:
Cash equivalents$517,025 $6,906 5.30 %$680,864 $9,025 5.26 %$693,373 $9,029 5.22 %$552,635 $6,445 4.73 %$551,555 $5,115 3.68 %
Investment securities2,194,952 20,517 3.74 %1,830,060 14,544 3.18 %1,796,517 13,441 2.99 %1,939,990 14,229 2.93 %2,103,694 15,612 2.97 %
Loans held for investment
Non-PCD loans6,320,321 131,167 8.23 %6,065,822 124,847 8.17 %5,840,860 116,699 8.01 %5,670,966 109,330 7.82 %5,542,986 105,238 7.53 %
PCD loans1,096,763 17,609 6.42 %1,125,421 17,292 6.15 %1,162,111 18,819 6.48 %1,195,620 18,981 6.35 %1,227,355 19,762 6.44 %
Total loans7,417,084 148,776 7.96 %7,191,243 142,139 7.84 %7,002,971 135,518 7.76 %6,866,586 128,311 7.58 %6,770,341 125,000 7.32 %
Total interest-earning assets$10,129,061 $176,199 6.90 %$9,702,167 $165,708 6.78 %$9,492,861 $157,988 6.68 %$9,359,211 $148,985 6.46 %$9,425,590 $145,727 6.13 %
Interest bearing liabilities:          
Deposits          
NOW accounts$2,559,135 $9,551 1.48 %$2,445,955 $6,974 1.13 %$2,455,040 $4,973 0.81 %$2,497,917 $4,212 0.68 %$2,624,602 $4,050 0.61 %
Savings accounts2,141,230 4,986 0.92 %2,260,678 5,478 0.96 %2,222,710 4,129 0.75 %2,232,903 3,135 0.57 %2,291,884 2,250 0.39 %
Time deposits1,439,833 8,895 2.45 %1,333,132 7,014 2.09 %1,277,861 5,493 1.72 %1,209,432 3,821 1.28 %1,131,791 2,373 0.83 %
Brokered deposits142,718 1,980 5.50 %2,400 32 5.30 %— — — %10,229 8 0.30 %11,366 9 0.30 %
 6,282,916 25,412 1.60 %6,042,165 19,498 1.28 %5,955,611 14,595 0.98 %5,950,481 11,176 0.76 %6,059,643 8,682 0.57 %
Non-interest bearing deposit accounts2,551,318 — — 2,581,887 — — 2,575,972 — — 2,654,140 — — 2,710,803 — — 
Fair value premium and core deposit intangible amortization— 1,321 — — 1,321 — — 1,321 — — 1,321 — — 1,585 — 
Total deposits8,834,234 26,733 1.20 %8,624,052 20,819 0.96 %8,531,583 15,916 0.75 %8,604,621 12,497 0.59 %8,770,446 10,267 0.46 %
Borrowings
Securities sold under agreements to repurchase183,858 2,578 5.56 %52,365 728 5.52 %— — — %— — — %— — — %
Advances from FHLB and other borrowings275,457 3,346 4.82 %211,616 2,374 4.45 %226,256 2,428 4.30 %64,168 591 3.74 %26,820 178 2.64 %
Total borrowings459,315 5,924 5.12 %263,981 3,102 4.66 %226,256 2,428 4.30 %64,168 591 3.74 %26,820 178 2.64 %
Total interest-bearing liabilities$9,293,549 $32,657 1.39 %$8,888,033 $23,921 1.07 %$8,757,839 $18,344 0.84 %$8,668,789 $13,088 0.61 %$8,797,266 $10,445 0.47 %
Interest rate spread $143,542 5.51 % $141,787 5.71 % $139,644 5.84 % $135,897 5.85 % $135,282 5.66 %
Net interest margin  5.62 %  5.80 %  5.90 %  5.89 %  5.69 %
Core deposits: (Non-GAAP)               
NOW accounts$2,559,135 $9,551 1.48 %$2,445,955 $6,974 1.13 %$2,455,040 $4,973 0.81 %$2,497,917 $4,212 0.68 %$2,624,602 $4,050 0.61 %
Savings accounts2,141,230 4,986 0.92 %2,260,678 5,478 0.96 %2,222,710 4,129 0.75 %2,232,903 3,135 0.57 %2,291,884 2,250 0.39 %
Time deposits1,439,833 8,895 2.45 %1,333,132 7,014 2.09 %1,277,861 5,493 1.72 %1,209,432 3,821 1.28 %1,131,791 2,373 0.83 %
 6,140,198 23,432 1.51 %6,039,765 19,466 1.28 %5,955,611 14,595 0.98 %5,940,252 11,168 0.76 %6,048,277 8,673 0.57 %
Non-interest bearing deposit accounts2,551,318 — — 2,581,887 — — 2,575,972 — — 2,654,140 — — 2,710,803 — — 
Total core deposits$8,691,516 $23,432 1.07 %$8,621,652 $19,466 0.90 %$8,531,583 $14,595 0.69 %$8,594,392 $11,168 0.53 %$8,759,080 $8,673 0.39 %
Total borrowings and brokered deposits: (Non-GAAP)
Total borrowings
$459,315 $5,924 5.12 %$263,981 $3,102 4.66 %$226,256 $2,428 4.30 %$64,168 $591 3.74 %$26,820 $178 2.64 %
Brokered deposits
142,718 1,980 5.50 %2,400 32 5.30 %— — — %10,229 8 0.30 %11,366 9 0.30 %
Total borrowings and brokered deposits
$602,033 $7,904 5.21 %$266,381 266,381 $3,134 3,134 4.67 %$226,256 226,256 $2,428 2,428 4.30 %$74,397 74,397 $599 599 3.27 %$38,186 38,186 $187 187 1.94 %
9

OFG Bancorp (NYSE: OFG)
Table 5-2: Average Balances, Net Interest Income and Net Interest Margin (Continued)
2023 YTD2022 YTD
(Dollars in thousands) (unaudited)Average
Balance		Interest
Income/
Expense		Yield/
Rate		Average
Balance		Interest
Income/
Expense		Yield/
Rate
Interest earning assets:
Cash equivalents$626,067 $31,406 5.02 %$1,291,633 $14,689 1.14 %
Investment securities1,940,776 62,730 3.23 %1,594,662 40,722 2.55 %
Loans held for investment
Non-PCD loans5,976,521 482,043 8.07 %5,351,639 381,334 7.13 %
PCD loans1,144,655 72,701 6.35 %1,306,121 78,828 6.04 %
Total loans7,121,176 554,744 7.79 %6,657,760 460,162 6.91 %
Total interest-earning assets$9,688,019 $648,880 6.70 %$9,544,055 $515,573 5.40 %
Interest bearing liabilities:
Deposits
NOW accounts$2,489,560 $25,710 1.03 %$2,761,653 $11,291 0.41 %
Savings accounts2,214,256 17,727 0.80 %2,306,607 6,470 0.28 %
Time deposits1,315,745 25,225 1.92 %1,143,469 7,943 0.69 %
Brokered deposits39,100 2,020 5.16 %11,366 35 0.30 %
6,058,661 70,682 1.17 %6,223,095 25,739 0.41 %
Non-interest bearing deposit accounts2,590,523 — — %2,647,871 — — %
Fair value premium and core deposit intangible amortization— 5,283 — — 6,500 — 
Total deposits8,649,184 75,965 0.88 %8,870,966 32,239 0.36 %
Borrowings
Securities sold under agreements to repurchase59,541 3,305 5.55 %— — — %
Advances from FHLB and other borrowings195,000 8,740 4.48 %27,497 733 2.67 %
Total borrowings254,541 12,045 4.73 %31,461 1,254 3.99 %
Total interest-bearing liabilities$8,903,725 $88,010 0.99 %$8,902,427 $33,493 0.38 %
Interest rate spread$560,870 5.71 %$482,080 5.02 %
Net interest margin 5.79 %5.05 %
Core deposits: (Non-GAAP)
NOW accounts$2,489,560 $25,710 1.03 %$2,761,653 $11,291 0.41 %
Savings accounts2,214,256 17,727 0.80 %2,306,607 6,470 0.28 %
Time deposits1,315,745 25,225 1.92 %1,143,469 7,943 0.69 %
6,019,561 68,662 1.14 %6,211,729 25,704 0.41 %
Non-interest bearing deposit accounts2,590,523 — — %2,647,871 — — %
Total core deposits$8,610,084 $68,662 0.80 %$8,859,600 $25,704 0.29 %
Total borrowings and brokered deposits: (Non-GAAP)
Total borrowings
$254,541 $12,045 4.73 %$31,461 $1,254 3.99 %
Brokered deposits
39,100 2,020 5.16 %11,366 35 0.30 %
Total borrowings and brokered deposits
$293,641 293,641 $14,065 4.79 %$42,827 42,827 $1,289 1,289 3.01 %
10

OFG Bancorp (NYSE: OFG)
Table 6-1: Loan Information and Performance Statistics
20232023202320232022
(Dollars in thousands) (unaudited)Q4Q3Q2Q1Q4
Net Charge-offs
Non-PCD
Mortgage:
Charge-offs$150 $218 $191 $200 $8 
Recoveries(483)(185)(333)(216)(625)
Total mortgage(333)33 (142)(16)(617)
Commercial:
Charge-offs1,066 8,254 3,496 1,375 3,444 
Recoveries(137)(174)(237)(326)(338)
Total commercial929 8,080 3,259 1,049 3,106 
Consumer:     
Charge-offs6,799 5,894 5,518 5,444 5,069 
Recoveries(650)(655)(2,003)(867)(1,055)
Total consumer6,149 5,239 3,515 4,577 4,014 
Auto:     
Charge-offs14,658 10,458 9,170 9,478 10,380 
Recoveries(4,982)(5,193)(8,332)(6,600)(5,001)
Total auto9,676 5,265 838 2,878 5,379 
Total$16,421 $18,617 $7,470 $8,488 $11,882 
PCD
Mortgage:
Charge-offs$94 $148 $1 $74 $108 
Recoveries(111)(80)(260)(247)(603)
Total mortgage(17)68 (259)(173)(495)
Commercial:     
Charge-offs— 690 — 2,104 12 
Recoveries(315)(494)(319)(490)(264)
Total commercial(315)196 (319)1,614 (252)
Consumer:     
Charge-offs244 39 123 215 120 
Recoveries(19)(23)(43)(11)(11)
Total consumer225 16 80 204 109 
Auto:     
Charge-offs12 37 35 86 65 
Recoveries(44)(98)(401)(99)(104)
Total auto(32)(61)(366)(13)(39)
Total$(139)$219 $(864)$1,632 $(677)
Total Net Charge-offs$16,282 $18,836 $6,606 $10,120 $11,205 
Net Charge-off Rates     
Mortgage-0.09 %0.03 %-0.10 %-0.05 %-0.26 %
Commercial0.08 %1.18 %0.44 %0.41 %0.44 %
Consumer3.95 %3.33 %2.37 %3.30 %2.95 %
Auto1.72 %0.96 %0.09 %0.57 %1.11 %
Total0.88 %1.05 %0.38 %0.59 %0.66 %
Average Loans Held For Investment     
Mortgage$1,562,135 $1,576,637 $1,616,873 $1,653,423 $1,699,923 
Commercial2,966,982 2,812,274 2,697,986 2,627,610 2,586,536 
Consumer644,834 630,492 606,842 579,467 558,809 
Auto2,243,133 2,171,840 2,081,270 2,006,086 1,925,073 
Total$7,417,084 $7,191,243 $7,002,971 $6,866,586 $6,770,341 






11

OFG Bancorp (NYSE: OFG)
Table 6-2: Loan Information and Performance Statistics (Excludes PCD Loans)
20232023202320232022
(Dollars in thousands) (unaudited)Q4Q3Q2Q1Q4
Early Delinquency (30 - 89 days past due)     
Mortgage$15,703 $14,380 $13,976 $11,417 $15,115 
Commercial3,653 5,666 11,668 3,898 2,750 
Consumer11,366 10,160 8,188 8,478 8,895 
Auto147,681 139,278 117,237 96,294 112,191 
Total $178,403 $169,484 $151,069 $120,087 $138,951 
Early Delinquency Rates (30 - 89 days past due)     
Mortgage2.50 %2.22 %2.18 %1.73 %2.24 %
Commercial0.12 %0.21 %0.45 %0.16 %0.11 %
Consumer1.83 %1.66 %1.38 %1.50 %1.66 %
Auto6.50 %6.31 %5.52 %4.73 %5.73 %
Total2.76 %2.75 %2.53 %2.11 %2.46 %
Total Delinquency (30 days and over past due)
Mortgage:
Traditional, Non traditional, and Loans under Loss Mitigation$27,859 $30,661 $31,189 $32,084 $39,239 
GNMA's buy-back option program(22)19,401 18,227 18,418 26,348 32,590 
Total mortgage47,260 48,888 49,607 58,432 71,829 
Commercial14,298 15,109 28,643 12,881 12,122 
Consumer14,742 13,422 11,026 11,402 12,008 
Auto166,737 155,579 130,367 110,749 131,804 
Total$243,037 $232,998 $219,643 $193,464 $227,763 
Total Delinquency Rates (30 days and over past due)
Mortgage:
Traditional, Non traditional, and Loans under Loss Mitigation4.43 %4.73 %4.86 %4.85 %5.81 %
GNMA's buy-back option program(22)3.08 %2.81 %2.87 %3.99 %4.82 %
Total mortgage7.51 %7.54 %7.73 %8.84 %10.63 %
Commercial0.49 %0.56 %1.09 %0.53 %0.49 %
Consumer2.38 %2.19 %1.86 %2.02 %2.24 %
Auto7.34 %7.04 %6.14 %5.44 %6.73 %
Total3.76 %3.78 %3.67 %3.40 %4.04 %
Nonperforming Assets(14)
Mortgage$20,007 $25,354 $27,600 $30,641 $33,512 
Commercial36,096 36,649 43,188 27,025 34,432 
Consumer3,376 3,359 2,907 2,979 3,128 
Auto19,056 16,301 13,130 14,455 19,613 
Total nonperforming loans78,535 81,663 86,825 75,100 90,685 
Foreclosed real estate10,780 9,555 10,639 9,250 11,214 
Other repossessed assets4,032 4,432 4,004 4,563 4,617 
Total nonperforming assets$93,347 $95,650 $101,468 $88,913 $106,516 
Nonperforming Loan Rates     
Mortgage3.18 %3.91 %4.30 %4.63 %4.96 %
Commercial1.23 %1.36 %1.65 %1.11 %1.40 %
Consumer0.54 %0.55 %0.49 %0.53 %0.58 %
Auto0.84 %0.74 %0.62 %0.71 %1.00 %
Total loans1.22 %1.33 %1.45 %1.32 %1.61 %

12

OFG Bancorp (NYSE: OFG)
Table 6-3: Loan Information and Performance Statistics
 20232023202320232022
(Dollars in thousands) (unaudited) Q4Q3Q2Q1Q4
Nonperforming PCD Loans(14)
Mortgage $250 $253 $256 $258 $259 
Commercial 6,424 6,688 8,104 8,446 8,927 
Consumer — 7 — — — 
Total nonperforming loans $6,674 $6,948 $8,360 $8,704 $9,186 
Nonperforming PCD Loan Rates      
Mortgage 0.03 %0.03 %0.03 %0.03 %0.03 %
Commercial 4.74 %4.78 %5.30 %5.43 %5.61 %
Consumer 0.00 %1.22 %0.00 %0.00 %0.00 %
Total 0.62 %0.63 %0.73 %0.74 %0.77 %
Total PCD Loans Held for Investment     
Mortgage $933,362 $955,596 $980,833 $1,007,751 $1,028,428 
Commercial 135,447 139,857 152,888 155,614 159,152 
Consumer 552 572 568 607 638 
Auto1,891 2,552 3,319 4,367 5,658 
Total loans $1,071,252 $1,098,577 $1,137,608 $1,168,339 $1,193,876 
 20232023202320232022
(Dollars in thousands) (unaudited) Q4Q3Q2Q1Q4
Total Nonperforming Loans(14)     
Mortgage $20,257 $25,607 $27,856 $30,899 $33,771 
Commercial 42,520 43,337 51,292 35,471 43,359 
Consumer 3,376 3,366 2,907 2,979 3,128 
Auto 19,056 16,301 13,130 14,455 19,613 
Total nonperforming loans $85,209 $88,611 $95,185 $83,804 $99,871 
Total Nonperforming Loan Rates 
Mortgage 1.30 %1.60 %1.72 %1.85 %1.98 %
Commercial 1.38 %1.53 %1.85 %1.37 %1.65 %
Consumer 0.54 %0.55 %0.49 %0.53 %0.58 %
Auto 0.84 %0.74 %0.62 %0.71 %1.00 %
Total 1.13 %1.22 %1.34 %1.22 %1.46 %
Total Loans Held for Investment     
Mortgage $1,562,609 $1,604,010 $1,622,388 $1,668,898 $1,704,221 
Commercial 3,076,903 2,832,985 2,774,398 2,581,567 2,629,929 
Consumer 620,446 613,195 593,690 564,972 537,257 
Auto 2,274,421 2,211,545 2,127,395 2,039,043 1,963,915 
Total loans $7,534,379 $7,261,735 $7,117,871 $6,854,480 $6,835,322 


13

OFG Bancorp (NYSE: OFG)
Table 7: Allowance for Credit Losses
Quarter Ended December 31, 2023
(Dollars in thousands) (unaudited)MortgageCommercialConsumerAutoTotal
Allowance for credit losses Non-PCD:     
Balance at beginning of period$8,364 $41,627 $26,453 $71,766 $148,210 
Provision for (recapture of) credit losses(699)3,343 6,782 11,395 20,821 
Charge-offs(150)(1,066)(6,799)(14,658)(22,673)
Recoveries483 137 650 4,982 6,252 
Balance at end of period$7,998 $44,041 $27,086 $73,485 $152,610 
Allowance for credit losses PCD:
Balance at beginning of period$8,003 $1,272 $7 $37 $9,319 
(Recapture of) provision for credit losses(669)(474)225 (44)(962)
Charge-offs(94)— (244)(12)(350)
Recoveries111 315 19 44 489 
Balance at end of period$7,351 $1,113 $7 $25 $8,496 
Allowance for credit losses summary:
Balance at beginning of period$16,367 $42,899 $26,460 $71,803 $157,529 
Provision for (recapture of) credit losses(1,368)2,869 7,007 11,351 19,859 
Charge-offs(244)(1,066)(7,043)(14,670)(23,023)
Recoveries594 452 669 5,026 6,741 
Balance at end of period$15,349 $45,154 $27,093 $73,510 $161,106 
Allowance coverage ratio0.98 %1.47 %4.37 %3.23 %2.14 %


14

OFG Bancorp (NYSE: OFG)
Table 8-1: Reconciliation of GAAP to Non-GAAP Measures and Calculation of Regulatory Capital
In addition to disclosing required regulatory capital measures, we also report certain non-GAAP capital measures that management uses in assessing its capital adequacy. These non-GAAP measures include tangible common equity ("TCE") and TCE ratio. The table below provides the details of the calculation of our regulatory capital and non-GAAP capital measures. While our non-GAAP capital measures are widely used by investors, analysts and bank regulatory agencies to assess the capital position of financial services companies, they may not be comparable to similarly titled measures reported by other companies.
20232023202320232022
(Dollars in thousands) (unaudited)Q4Q3Q2Q1Q4
Stockholders' Equity to Non-GAAP Tangible Common Equity
Total stockholders' equity$1,193,480 $1,095,463 $1,099,751 $1,089,510 $1,042,406 
Less:  Intangible assets(104,935)(106,660)(108,384)(110,109)(111,834)
Tangible common equity$1,088,545 $988,803$991,367$979,401$930,572
     
Common shares outstanding at end of period47,065 47,058 47,076 47,611 47,581 
Tangible book value per common share (Non-GAAP)$23.13 $21.01 $21.06 $20.57 $19.56 
Total Assets to Tangible Assets     
Total assets  $11,344,453 $10,257,138 $10,031,547 $10,057,581 $9,818,780 
Less:  Intangible assets(104,935)(106,660)(108,384)(110,109)(111,834)
Tangible assets (Non-GAAP)$11,239,518 $10,150,478 $9,923,163 $9,947,472 $9,706,946 
Non-GAAP TCE Ratio     
Tangible common equity$1,088,545 $988,803$991,367$979,401$930,572
Tangible assets11,239,518 10,150,478 9,923,163 9,947,472 9,706,946 
TCE ratio9.68 %9.74 %9.99 %9.85 %9.59 %
Average Equity to Non-GAAP Average Tangible Common Equity
Average total stockholders' equity$1,128,747 $1,127,602 $1,108,880 $1,077,703 $1,025,132 
Less:  Average intangible assets(105,560)(107,291)(109,130)(110,888)(114,412)
Average tangible common equity$1,023,187 $1,020,311$999,750$966,815$910,720



15

OFG Bancorp (NYSE: OFG)
Table 8-2: Reconciliation of GAAP to Non-GAAP Measures and Calculation of Regulatory Capital Measures (Continued)
BASEL III
Standardized
20232023 202320232022
(Dollars in thousands) (unaudited)Q4Q3 Q2Q1Q4
Regulatory Capital Metrics      
Common equity Tier 1 capital$1,174,205$1,124,599$1,086,587$1,063,919$1,037,385
Tier 1 capital1,174,2051,124,5991,086,5871,063,9191,037,385
Total risk-based capital(15)1,278,5371,224,9631,183,7931,158,7441,132,658
Risk-weighted assets8,317,8028,000,7117,742,9337,559,1667,605,466
Regulatory Capital Ratios
Common equity Tier 1 capital ratio(16)14.12 %14.06 %14.03 %14.07 %13.64 %
Tier 1 risk-based capital ratio(17)14.12 %14.06 %14.03 %14.07 %13.64 %
Total risk-based capital ratio(18)15.37 %15.31 %15.29 %15.33 %14.89 %
Leverage ratio(19)11.03 %11.03 %10.85 %10.75 %10.36 %
 
Common Equity Tier 1 Capital Ratio Under Basel III Standardized Approach
Total stockholders' equity$1,193,480$1,095,463 $1,099,751 $1,089,510 $1,042,406 
Plus: CECL transition adjustment(20)13,70413,70413,70413,70420,557
Less: Unrealized losses on available-for-sale securities, net of income tax67,013127,67789,63978,51293,663
  Unrealized (gains) losses on cash flow hedges, net of income tax——(75)(172)(254)
Total adjusted stockholders’equity1,274,1971,236,8441,203,0191,181,5541,156,372
Less: Disallowed goodwill(84,241)(84,241)(84,241)(84,241)(84,241)
  Disallowed other intangible assets, net(15,751)(16,883)(18,015)(19,147)(20,279)
  Disallowed deferred tax assets, net—(11,121)(14,176)(14,247)(14,467)
Common equity Tier 1 capital and Tier 1 capital1,174,2051,124,5991,086,5871,063,9191,037,385
Plus Tier 2 capital:  Qualifying allowance for credit losses104,332100,36497,20694,82595,273
Total risk-based capital$1,278,537$1,224,963 $1,183,793 $1,158,744 $1,132,658 



16

OFG Bancorp (NYSE: OFG)
Table 9: Notes to Financial Summary, Selected Metrics, Loans, and Consolidated Financial Statements (Tables 1 - 8)
(1)Total banking and financial service revenues.
(2)Net interest income plus non-interest income, net (core)
(3)Calculated based on net income available to common shareholders divided by average common shares outstanding for the period.
(4)Calculated based on net income available to common shareholders divided by total average common shares outstanding and equivalents for the period as if converted.
(5)Tangible book value per common share is a non-GAAP measure calculated based on tangible common equity divided by common shares outstanding. See "Tables 8-1 and 8-2: Reconciliation of GAAP to Non-GAAP Measures and Calculation of Regulatory Capital Measures" for additional information.
(6)Information includes all loans held for investment, including PCD loans.
(7)Calculated based on annualized net interest income for the period divided by average interest-earning assets for the period.
(8)Calculated based on annualized income, net of tax, for the period divided by average total assets for the period.
(9)Calculated based on annualized income available to common shareholders for the period divided by average tangible common equity for the period.
(10)Calculated based on non-interest expense for the period divided by total net interest income and total banking and financial services revenues for the period.
(11)Calculated based on annualized net charge-offs for the period divided by average loans held for investment for the period.
(12)Non-GAAP ratios. See "Tables 8-1 and 8-2: Reconciliation of GAAP to Non-GAAP Measures and Calculation of Regulatory Capital Measures" for information on the calculation of each of these ratios.
(13)Production of new loans (excluding renewals).
(14)Most PCD loans are considered to be performing due to the application of the accretion method, in which these loans will accrete interest income over the remaining life of the loans using estimated cash flow analyses. Therefore, they are not included as non-performing loans. PCD loan pools that are not accreting interest income are deemed to be non-performing loans and presented separately.
(15)Total risk-based capital equals the sum of Tier 1 capital and Tier 2 capital.
(16)Common equity Tier 1 capital ratio is a regulatory capital measure calculated based on Common equity Tier 1 capital divided by risk-weighted assets.
(17)Tier 1 risk-based capital ratio is a regulatory capital measure calculated based on Tier 1 capital divided by risk-weighted assets.
(18)Total risk-based capital ratio is a regulatory capital measure calculated based on Total risk-based capital divided by risk-weighted assets.
(19)Leverage capital ratio is a regulatory capital measure calculated based on Tier 1 capital divided by average assets, after certain adjustments.
(20)In March 2020, in light of strains on the U.S. economy as a result of the coronavirus disease (COVID-19), the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency issued an interim final rule that provided the option to temporarily delay the effects of CECL on regulatory capital for two years, followed by a three-year transition period. In addition, for the first two years, a uniform 25% “scaling factor” is introduced to approximate the portion of the post day-one allowance attributable to CECL relative to the incurred loss methodology. The 25% scaling factor is calibrated to approximate an overall after-tax impact of differences in allowances under CECL versus the incurred loss methodology.
(21)Pre-provision net revenues is a non-GAAP measure calculated based on net interest income plus total non-interest income, net, less total non-interest expenses for the period.
(22)Under the GNMA program, issuers such as OFG Bancorp have the option but not the obligation to repurchase loans that are 90 days or more past due. For accounting purposes, these loans subject to the repurchase option are required to be reflected (rebooked) on the financial statements of the Company with an offsetting liability.
17
v3.23.4
Cover page
Jan. 24, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Jan. 24, 2024
Entity Registrant Name OFG BANCORP
Entity Incorporation, State or Country Code PR
Entity File Number 001-12647
Entity Tax Identification Number 66-0538893
Entity Address, Address Line One Oriental Center
Entity Address, Address Line Two 15th Floor
Entity Address, Address Line Three 254 Munoz Rivera Avenue
Entity Address, City or Town San Juan
Entity Address, Country PR
Entity Address, Postal Zip Code 00918
City Area Code 787
Local Phone Number 771-6800
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common shares, par value $1.00 per share
Trading Symbol OFG
Security Exchange Name NYSE
Entity Emerging Growth Company false
Entity Central Index Key 0001030469
Amendment Flag false
OFG Bancorp (NYSE:OFG)
Historical Stock Chart
From Apr 2024 to May 2024 Click Here for more OFG Bancorp Charts.
OFG Bancorp (NYSE:OFG)
Historical Stock Chart
From May 2023 to May 2024 Click Here for more OFG Bancorp Charts.