Form 11-K FIRST BANCORP /PR/ For: Dec 31
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
For the fiscal year ended
Or
For the transition period from ______ to ______
Commission file number 001-14793
A.
THE FIRSTBANK 401(K) RETIREMENT PLAN FOR RESIDENTS OF THE U.S. VIRGIN ISLANDS AND
THE UNITED STATES OF AMERICA
B.
1519 Ponce de León Avenue, Stop 23
San Juan, Puerto Rico 00908
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin Islands and the United States of
America
Financial Statements and Supplemental Schedule
December 31, 2025 and 2024
Index
Page
Report of Independent Registered Public Accounting Firm
1
Financial Statements:
3
4
5
Supplemental Schedule:
11
Signatures
13
Exhibits:
1
and Disclosure under ERISA have been omitted because they are not applicable.
1
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Plan Participants and Plan Administrator of The FirstBank
401(k) Retirement Plan for Residents of the U.S. Virgin Islands and the United States of America
San Juan, Puerto Rico
Opinion on the Financial Statements
We have audited the accompanying statements of net assets available for benefits of The FirstBank 401(k) Retirement
Plan for Residents of the U.S. Virgin Islands and the United States of America (the "Plan") as of December 31, 2025 and
2024, the related statement of changes in net assets available for benefits for the year ended December 31, 2025, and
the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present
fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2025 and 2024, and the
changes in net assets available for benefits for the year ended December 31, 2025, in conformity with accounting
principles generally accepted in the United States of America.
Basis for Opinion
These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on
the Plan's financial statements based on our audits. We are a public accounting firm registered with the Public Company
Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Plan in
accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange
Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial statements are free of material
misstatement, whether due to error or fraud. The Plan is not required to have, nor were we engaged to perform, an audit
of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal
control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal
control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements,
whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included
examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also
included evaluating the accounting principles used and significant estimates made by management, as well as evaluating
the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
Supplemental Information
The supplemental Schedule H, Line 4(i) – Schedule of Assets (Held at End of Year) as of December 31, 2025 has been
subjected to audit procedures performed in conjunction with the audit of The FirstBank 401(k) Retirement Plan for
Residents of the U.S. Virgin Islands and the United States of America financial statements. The supplemental schedule is
the responsibility of the Plan’s management. Our audit procedures included determining whether the information
presented in the supplemental schedule reconciles to the financial statements or the underlying accounting and other
records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in
the supplemental schedule. In forming our opinion on the supplemental schedule, we evaluated whether the
supplemental schedule, including its form and content, is presented in conformity with the Department of Labor’s Rules
and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. In our
opinion, the supplemental schedule is fairly stated in all material respects in relation to the financial statements as a
whole.
2
/s/ Crowe LLP
License Number LLP-224
Expires December 1, 2027
We have served as the Plan's auditor since 2018.
Chicago, Illinois
June 18, 2026
Stamp No. DLLP224-
111
of the Puerto Rico
Society of Certified Public Accountants
was affixed to the record copy of this report.
3
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Statements of Net Assets Available for Benefits
December 31, 2025 and 2024
As of December 31,
2025
2024
Assets
Investments:
Investments, at fair value (Note 3)
$
$
Receivables:
Contributions receivable from participants
Contributions receivable from employer
Notes receivable from participants
Total receivables
Non-interest-bearing cash and cash equivalents
Net assets available for benefits
$
$
The accompanying notes are an integral part of these financial statements.
4
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Statement of Changes in Net Assets Available for Benefits
Year Ended December 31, 2025
Year ended
December 31,
2025
Additions to assets attributed to:
Investment income:
Net appreciation in fair value in investments
$
Dividends and interest income
Interest income on notes receivable from participants
Contributions:
Participants
Employer
Rollovers from other qualified plans
Deductions from assets attributed to:
Benefits and withdrawals paid to participants, including rollover distributions
Administrative expenses
Net increase in assets available for benefits
Net assets available for benefits:
Beginning of the year
End of year
$
The accompanying notes are an integral part of these financial statements.
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
5
1. Description of the Plan
Reporting Entity
The accompanying financial statements include the assets of The FirstBank 401(k) Retirement Plan for Residents of the
U.S. Virgin Islands and the United States of America (the “Plan”) sponsored by FirstBank Puerto Rico (the “Bank”) for its
U.S. Virgin Islands and United States of America employees. The following description of the Plan provides only general
information. Participants should refer to the Plan agreement for a complete description of the Plan’s provisions.
General
The Plan is a defined contribution plan, which became effective on May 15, 1977. Effective September 1, 1991, the Plan
was further amended to become a savings plan under the provisions of the U.S. Internal Revenue Code. The Plan is
subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA).
Eligibility
Effective March 1, 2025, eligible employees of the Bank’s U.S. Virgin Islands and United States of America became
eligible to participate in the Plan’s matching, qualified matching, and qualified non-elective contribution components upon
completion of
be eligible to participate.
Eligible employees who fail to initiate elective deferral contributions upon completing
automatically enrolled in the Plan, unless they elect to waive participation in the Plan by completing such waiver at least
employee will be automatically enrolled in the Plan. Effective March 1, 2025, the automatic enrollment initial pre-tax
contribution is equivalent to
% of his/her period eligible compensation and will increase by
% per year up to a maximum
of
% of the compensation as of the first day of each subsequent Plan Year. Prior to such date, the automatic enrollment
initial pre-tax contribution was equivalent to
% of eligible compensation per pay period with an increase of
% per year
up to a maximum of
% as of the beginning of each subsequent Plan Year. Such contributions will be invested in a
predetermined fund until subsequent election is made by the participant.
Contributions
Participants are permitted to contribute up to an amount not to exceed the maximum deferral amount specified by the
Internal Revenue Service (“IRS”) of $
make voluntary contributions to the Plan on an after-tax basis, or by means of Roth contributions, not to exceed the
maximum annual limit allowed by law. On November 13, 2025, the IRS announced an increase in the contribution limit to
$
fifty
% of
the participant’s eligible compensation that a participant contributes to the Plan on a pre-tax basis, or through Roth
contributions on an after-tax basis. The Bank’s matching contribution of
fifty
contribution is comprised of: (i)
twenty-five
% of the
employee’s eligible compensation to be paid to the Plan as of each bi-weekly payroll; and, (ii) an additional
twenty-five
cents for every dollar of the employee’s contribution up to
% of the employee’s eligible compensation to be deposited as
a lump sum subsequent to the Plan Year. These are called 401(k) Matching Contributions and 401(k) Additional Matching
Contributions, respectively.
Investment of participants’ and employer’s contributions are directed by participants into various investment options, which
include several mutual funds and the common stock of First BanCorp., the Bank’s parent company. The Plan allows for
rollover contributions from other qualified plans.
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
6
Participants with an age of 50 or older are permitted to make an additional $
ended December 31, 2025 after contributing the Plan limit of their pre-tax annual compensation. On November 13, 2025,
the IRS announced an increase in the additional pre-tax contribution for participants with an age of 50 or older to $
effective in 2026. Additionally, pursuant to the SECURE 2.0 Act, participants who attain ages 60 through 63 during the
taxable year may be eligible to make enhanced “super catch-up” contributions in lieu of the standard age 50 catch-up
contribution. The Plan adopted this provision effective January 1, 2025. Accordingly, eligible participants may make
enhanced catch-up contributions of $
Participant Accounts
Each participant’s account is credited with the participant’s contributions and allocations of the Bank’s contributions and
Plan earnings. Allocations are based on the participant’s contributions in the case of matching contributions, or account
balances in each investment option in the case of plan earnings. The benefit to which a participant is entitled is the benefit
that can be provided from the participant’s vested account. Certain administrative expenses directly associated with the
Plan are paid using the Plan assets and then the expenses are allocated among all participants accounts.
Vesting
Participants are immediately vested in their contributions and the 401(k) Matching Contributions plus actual earnings
thereon. The 401(k) Additional Matching Contribution is subject to the completion of at least three years of service for
vesting.
Notes receivable from Participants
The Plan allows participants and their beneficiaries to borrow from their accounts a minimum of $1,000 up to a maximum
equal to the lesser of 50% of the participant’s vested account balance or $50,000. A maximum of one loan outstanding is
permitted at any time. Interest rates on loans are generally calculated based on the prime rate plus
% as of the date the
loan is granted. As of December 31, 2025 and 2024, the loans had interest rates ranging from
% to
%. Principal
and interest are paid to the Plan ratably through biweekly payroll deductions. The loans have a term of repayment of up to
. The Plan Administrator may fix the term for repayment of a home loan for a period exceeding
. A
home loan is a loan used to acquire a dwelling unit which, within a reasonable time, the participant will use as a principal
residence. Loan transactions are considered transfers between the investment funds and the Participants Loan account.
These transactions are secured by the balance in the participant's account.
Payment of Benefits
Plan participants are permitted to make withdrawals from the Plan, subject to provisions in the Plan agreement.
Participants may receive a distribution from the Plan prior to termination of employment upon attainment of age 59 ½. On
termination of service due to death, disability or retirement all distributions from the Plan can be made in a single lump-
sum cash payment, installments over a period of not more than the participant’s assumed life expectancy, or the assumed
life expectancies of the participant and his or her beneficiary, or partial withdrawals of at least $
. If the value of the
vested account is more than $
, the participant may elect to defer any benefit payable under the Plan until a specified
future date. However, if the value of the account balance does not exceed $
, the distribution will be made to the
participant, regardless of whether the participant consents to receive it. The Plan allows for participants to receive
hardship distributions.
In the case of participant termination because of death, all amounts credited to such participant’s account shall become
fully vested and the entire amount is paid to the person or persons legally entitled thereto. In addition, a participant will
fully vest in his or her account balance (including 401(k) Additional Matching Contributions) upon permanent and total
disability.
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
7
Plan Expenses and Administration
Bank and participant contributions were held by Charles Schwab Trust Bank (“Charles Schwab”) as custodian and
managed by Milliman USA, Inc. as plan recordkeeper, both appointed by the Board of Directors of the Bank. The
custodian invests cash received, interest and dividend income and makes distributions to participants. The Bank’s parent
company common stock in the Plan is held by State Street Bank and Trust Company (“State Street”), which provides
Charles Schwab with custody, fund accounting, fund administration and transfer agency services.
Generally, recordkeeper’s fees are paid by the Bank unless there are forfeitures available to offset such expenses. For the
year ended December 31, 2025, the Bank paid on behalf of the Plan $
rendered by the plan recordkeeper and $
consultants. Administrative expenses incurred by the Plan, primarily custodian’s fees and recordkeeper’s fees, are
reflected in the Plan’s financial statements.
Forfeitures
Forfeited balances of terminated participants’ non-vested accounts are used to reduce future Bank contributions or used
to cover administrative expenses of the Plan. Refer to Note 7 for further detail.
2. Summary of Significant Accounting Policies
Basis of Accounting
The accompanying financial statements have been prepared in accordance with accounting policies generally accepted in
the United States of America. A description of the significant accounting policies of the Plan follows.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles in the United States of
America requires management to make estimates and assumptions that affect the reported amounts of net assets
available for benefits, and changes therein, and disclosure of contingent assets and liabilities. Actual results could differ
from those estimates.
Contributions
Employee contributions are recorded in the period in which the Bank makes payroll deductions from the participants'
compensation. The Bank’s Matching Contribution are recorded on each bi-weekly payroll. The Additional Matching
Contribution, any true up matching contribution, and any other employer contribution which are deposited subsequent to
the Plan Year, are recorded as part of the employer contribution receivable in the statements of net assets available for
benefits.
Rollover Distributions
Terminated employees or retirees may elect to transfer their savings to other plans qualified by the U.S. Internal Revenue
Code.
Investments Valuation and Income Recognition
The Plan’s investments in mutual funds, money market funds, the Schwab Personal Choice Retirement Account (“PCRA”)
and common stock of First BanCorp. are stated at fair value. The PCRA is a self-directed brokerage account, which offers
participants additional investment choices beyond the traditional Plan’s investment options. See Note 3 for further
information regarding valuation of the Plan’s investments. The Plan presents in the statement of changes in net assets
available for benefits the net appreciation in the fair value of its investments which consists of the realized gains or losses
on investments bought and sold as well as the unrealized appreciation on those investments held during the year.
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
8
Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on the accrual basis
and dividends are recorded on the ex-dividend date. Management fees and operating expenses charged to the Plan
related to investments in mutual funds are deducted from income earned on a daily basis and are not separately reflected.
Consequently, such management fees and operating expenses are reflected as net appreciation in the aggregate fair
value of such investments.
Notes receivable from participants
Notes receivable from participants represent participant loans that are measured at their unpaid principal balance plus any
accrued but unpaid interest. The outstanding loan amount is reduced with payroll retentions made by the employer. Loans
bear interest at the rate determined by the Plan administrator at the time the loan is granted. Any terminated employee is
required to repay their remaining balance or offset against their account balance upon distribution.
Payment of Benefits
Benefit payments to participants are recorded upon distribution.
3.
Fair Value Measurements
ASC Topic 820, “Fair Value Measurement,” defines fair value as the exchange price that would be received for an asset
or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an
orderly transaction between market participants on the measurement date. This guidance also establishes a three-level
hierarchy for measuring fair value based on the observability of inputs: (i) Level 1 inputs are quoted prices in active
markets for identical assets and liabilities; (ii) Level 2 inputs are observable inputs other than Level 1 prices, such as
quoted prices for similar assets or liabilities in active markets, as well as inputs that are observable for the asset or liability
(other than quoted prices); and (iii) Level 3 inputs are significant unobservable inputs, requiring significant judgment due to
limited or no market activity.
As of December 31, 2025 and 2024, the Plan’s investments measured at fair value consisted of the following instruments
and classifications within the fair value hierarchy:
As of December 31, 2025
Fair Value Measurements Using
Level 1
Level 2
Level 3
Assets at Fair
Value
Investments in mutual funds and money market
funds
$
$
$
$
Investment in First BanCorp.
PCRA
$
$
$
$
As of December 31, 2024
Fair Value Measurements Using
Level 1
Level 2
Level 3
Assets at Fair
Value
Investments in mutual funds and money market
funds
$
$
$
$
Investment in First BanCorp.
PCRA
$
$
$
$
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
9
Following is a description of the Plan’s valuation methodologies used for assets measured at fair value. There have been
no changes in the methodologies used at December 31, 2025 and 2024.
Mutual Funds and money market funds:
reported by the funds, which represents the net asset value of shares held by the Plan at the reporting date. The
net asset value is a quoted market price available in an active market.
Investment in First BanCorp.:
based on the closing price per the stock exchange on which they are traded.
Self-directed brokerage accounts:
assets, which are valued using quoted market prices at period end and, as such, are classified as Level 1. These
investments also include corporate obligations and long-term time deposits, which are valued based on the present
value of future cash flows discounted based on the current interest rate at the reporting date and, as such, are
classified as Level 2.
4.
Party-In-Interest Transactions
Parties-in-interest are defined under the provisions of ERISA as any fiduciary of the Plan, any party rendering service
to the Plan, any employer (or any affiliate), any employee of such employer covered by the Plan, and certain others.
Certain Plan investments consist of investments in a money market fund, a mutual fund and PCRA at Charles
Schwab, or affiliates, which is the provider of custodial services as defined by the Plan since April 1, 2005.
In addition, as of December 31, 2025 and 2024, the First BanCorp. Unitized Stock Fund held
shares, respectively, with a quoted market value of $
, respectively, of First BanCorp.
common stock, the parent company of the Plan Sponsor. The First BanCorp. Unitized Stock Fund also has an
investment in a money market fund managed by State Street. State Street provides Charles Schwab with, among
other things, custody services for the First BanCorp. Unitized Stock Fund. For the year ended December 31, 2025,
the Plan received dividend income of $
recognized net gains of $
, of which $
investment. Moreover, in relation to the First Bancorp. Unitized Stock Fund, during the year ended December 31,
2025, the Plan completed purchases or acquisition through rollovers for a total acquisition price of $
completed sales and distributions of shares which had a carrying value of $
,
resulting in a realized gain of $
.
Plan assets include notes receivable from participants of $
respectively. For the year ended December 31, 2025, interest income related to notes receivable from participants
amounted to $
. These transactions qualify as party in-interest transactions permitted under the provisions of
ERISA.
5.
Tax Status
The Plan
, in which the Internal Revenue Service determined
and informed the Bank that the Plan is designed in accordance with the applicable sections of the U.S. Internal
Revenue Code (IRC) and, therefore, exempt from income taxes. Therefore, no provision for income taxes has been
included in the Plan’s financial statements.
The Plan Administrator and the Plan’s tax counsel believe that the Plan is designed, and is currently being operated,
in compliance with the applicable requirements of the IRC and, therefore, believe that the Plan is
qualified
exempt.
Accounting principles generally accepted in the United States of America require plan management to evaluate tax
positions taken by the Plan and recognize a tax liability (or asset) if the Plan has taken an uncertain tax position that
more likely than not would not be sustained upon examination by federal, state and/ or local taxing authorities. The
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
Notes to the Financial Statements
December 31, 2025 and 2024
10
plan administrator has analyzed the tax positions by the Plan, and has concluded that as of December 31, 2025 and
2024, there are no uncertain positions taken or expected to be taken that would require recognition of a liability (or
asset) or disclosure in the financial statements. The Plan is subject to routine audits by taxing jurisdictions; however,
there are currently no audits for any tax periods in progress. The plan administrator believes it is no longer subject to
income tax examinations for years prior to 2022.
6.
Plan Termination
Although it has not expressed any intent to do so, the Bank has the right under the Plan to discontinue its
contributions at any time and to terminate the Plan subject to the provisions of ERISA. In the event of Plan
termination, participants will become
interest of any participating employee or their beneficiaries accrued under the Plan up to the date of such termination.
7.
Forfeited Amounts
Forfeited nonvested accounts amounted to $
accounts, if any, are transferred by the Plan administrator to an unallocated account to be used to cover
administrative expenses of the Plan or reduce the Bank’s future contributions. Forfeitures amounting to $
used to reduce the Bank’s contributions during 2025.
8.
Risks and Uncertainties
The Plan provides for investment options in various funds that invest in equity and debt securities and other
investments. Such investments are exposed to various risks, such as interest rate, market and credit risks. Market
values of investments may decline for a number of reasons, including changes in prevailing market and interest rates,
increases in defaults and credit rating downgrades, as well as the risk associated with global events. Due to the level
of risk associated with certain investments and the level of uncertainty related to changes in the values of
investments, it is at least reasonably possible that changes in these factors in the near term would materially affect
participants’ account balances and the amounts reported in the statement of net assets available for benefits and the
statement of changes in net assets available for benefits. The Plan’s exposure to a concentration of credit risk is
dependent upon the investments selected by the participants.
The Plan is subject to legal proceedings and claims which might arise in the ordinary course of its activities. At this
time, there are no legal proceedings against the Plan that might impact the financial statements.
11
The FirstBank 401(k) Retirement Plan for Residents of the U.S. Virgin
Islands and the United States of America
EIN #:
Plan #:
Schedule H, Line 4(i) – Schedule of Assets (Held at End of Year)
December 31, 2025
(b) Identity of issue, borrower, lessor or similar party
(c) Description of investment, including
maturity date and rate of interest (in the
case of notes receivable), or par value
(d)
Cost
(e) Current value
(a)
Common Stock
First BanCorp.
Common Stock
shares
**
$
Total Common Stock
Mutual Funds and Money Market Funds
Cohen & Steers Realty Shares Fund Class L
Mutual Fund
shares
**
Dodge & Cox Global Bond Fund X
Mutual Fund
shares
**
Fidelity Extended Market Index Fund
Mutual Fund
shares
**
Fidelity International Index Fund
Mutual Fund
shares
**
Schwab S&P 500 Index Fund- Select S
Mutual Fund
shares
**
Vanguard Inflation-Protected Securities Fund
Mutual Fund
shares
**
Vanguard Target Retirement Income Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2020 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2025 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2030 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2035 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2040 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2045 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2050 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2055 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2060 Fund
Mutual Fund
shares
**
Vanguard Target Retirement 2065 Fund
Mutual Fund
shares
**
Vanguard Total Bond Market Index Fund Institutional
Shares
Mutual Fund
shares
**
Vanguard Total Bond Market Index Fund
Mutual Fund
shares
**
State Street Institutional U.S. Government
Money Market Fund
shares
**
Schwab Treasury Obligations Money Fund
Money Market Fund
shares
**
Total Mutual Funds and Money Market Funds
Other
*
Notes receivable from participants
Interest rates ranging from
%
to
%. Maturities through
October 2034
*
Schwab Personal Choice Retirement Account - Self-directed
Total Other
Total
$
* Party in-interest
** Historical cost is not required for participant directed investments.
See accompanying report of Independent Registered Public Accounting Firm.
12
Signatures
The Plan. Pursuant to the requirement of the Securities Exchange Act of 1934, the Board of Trustees (or the persons who
administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned
hereunto duly authorized.
THE FIRSTBANK 401(K)
RETIREMENT PLAN FOR
RESIDENTS OF THE U.S.
VIRGIN ISLANDS AND THE
UNITED STATES OF
AMERICA
(Name of Plan)
Date: June 18, 2026
By:
/s/ Victor Barreras
Authorized Representative
ATTACHMENTS / EXHIBITS