Segment Reporting

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Segment Reporting

Segment reporting

The Company and the Bank are engaged in the business of banking and provide a full range of financial services. The Company determines reportable segments based on the significance of the segment’s operating results to the overall Company, the products and services offered, customer characteristics, processes and service delivery of the segments and the regular financial performance review and allocation of resources by the Chief Executive Officer, the Company’s chief operating decision maker. The Company has identified two distinct reportable segments—Banking and Mortgage. The Company’s primary segment is Banking, which provides a full range of deposit and lending products and services to corporate, commercial and consumer customers. The Company also originates conforming residential mortgage loans through its Mortgage segment, whose activities also include the servicing of residential mortgage loans and securitization of loans to third party private investors or government sponsored agencies.

Beginning in 2024, the Company began assigning a transfer rate to allocate net interest income to products and business segments. The intent of the transfer rate methodology is to transfer interest rate risk among the segments and allow management to better measure the net interest margin contribution of its assets/liabilities by segment. Prior period results have been adjusted to conform to the current methodology.

The following tables present selected financial information with respect to the Company's reportable segments for the three months ended March 31, 2024 and 2023.

Three Months Ended March 31, 2024	Banking		Mortgage		Consolidated
Net interest income	$	97,094	$	2,396	$	99,490
Provisions for (reversal of) credit losses	838		(56)		782
Mortgage banking income	—		15,626		15,626
Change in fair value of mortgage servicing rights, net of hedging(1)	—		(3,041)		(3,041)
Other noninterest (loss) income	(4,794)		171		(4,623)
Depreciation and amortization	2,708		133		2,841
Amortization of intangibles	789		—		789
Other noninterest expense	56,847		11,943		68,790
Income before income taxes	$	31,118	$	3,132	$	34,250
Income tax expense					6,300
Net income applicable to FB Financial Corporation and noncontrolling interest					27,950
Net income applicable to noncontrolling interest					—
Net income applicable to FB Financial Corporation					$	27,950
Total assets	$	11,979,904	$	568,416	$	12,548,320
Goodwill	242,561		—		242,561

(1) Change in fair value of mortgage servicing rights, net of hedging is included in Mortgage banking income in the Company's consolidated statements of income.

Three Months Ended March 31, 2023	Banking		Mortgage		Consolidated
Net interest income	$	101,287	$	2,373	$	103,660
Provisions for credit losses	212		279		491
Mortgage banking income	—		15,493		15,493
Change in fair value of mortgage servicing rights, net of hedging(1)	—		(3,407)		(3,407)
Other noninterest income (loss)	11,493		(230)		11,263
Depreciation and amortization	2,049		179		2,228
Amortization of intangibles	990		—		990
Other noninterest expense	63,713		13,509		77,222
Income before income taxes	$	45,816	$	262	$	46,078
Income tax expense					9,697
Net income applicable to FB Financial Corporation and noncontrolling interest					36,381
Net income applicable to noncontrolling interest					—
Net income applicable to FB Financial Corporation					$	36,381
Total assets	$	12,534,348	$	566,799	$	13,101,147
Goodwill	242,561		—		242,561

(1)Change in fair value of mortgage servicing rights, net of hedging is included in mortgage banking income in the Company's consolidated statements of income.