First Interstate BancSystem, Inc. (NASDAQ:FIBK) Q4 2023 Earnings Call Transcript

Operator: Next question is a follow-up from Brody Preston at UBS.

Brody Preston : I just had a couple of other ones. I guess if I take the guidance on loans and kind of looking at what you said about the security cash flow and reinvestments there in the past. It sounds like maybe average earning assets should be flattish for the year. I just wanted to clarify that.

Marcy Mutch: Yes.

Kevin Riley: Yes, that’s exactly how we look at it, Brody.

Brody Preston : Okay. And so if we’re in the mid-2.80s ex-PAA on the 1Q margin, kind of the guidance on NII, Marcy, kind of implies like a pretty good step up in the NIM by the time we get to 4Q? And so where are you thinking that ex-PAA margin gets to by the fourth quarter?

Marcy Mutch: We believe it could be comfortably over that 3% mark in the back half of the year, assuming stable deposits, and that’s assuming the 3 rate cuts that we’ve discussed.

Operator: There are no further questions. I will turn the call back over for closing comments.

Kevin Riley : Thank you all for your questions. As always, we welcome calls from our investors and analysts. Please reach out to us if you have any follow-up questions. And thanks for tuning in today. Bye-bye.

Operator: Ladies and gentlemen, this concludes your conference call for today. We thank you for participating, and we ask that you please disconnect your lines.