April 25 (Reuters) - First Citizens BancShares'

first-quarter profit beat expectations as the lender

earned higher interest income and reaped the benefits of its

acquisition of failed Silicon Valley Bank (SVB) last year.

Adjusted profit attributable to common stockholders was $769

million, or $52.92 per share, for the three months ended March

31, the bank reported on Thursday, compared with analysts'

average estimate of $43.32 per share, according to LSEG.

The Raleigh, North Carolina-based lender has been boosted by

its buyout of SVB, which collapsed last year. SVB's failure

triggered the biggest banking crisis in 15 years and prompted

government rescue efforts.

"It's been over one year since SVB became part of First

Citizens, and we continue to successfully execute on our

integration efforts, which are accelerating the momentum of our

franchise," CEO Frank Holding Jr. said.

For the first time since the acquisition, SVB's loans

steadied at $55 billion at the end of March versus December.

After last year's plunge, deposits stabilized at $38 billion in

the first quarter.

First Citizens' net interest income - the difference between

interest earned on loans and paid out on deposits - more than

doubled from a year earlier to $1.82 billion and was above

analysts' expectations of $1.81 billion.

Compared to the fourth quarter of last year, loans in the

SVB Commercial segment jumped $335 million and net charge-offs,

debts that are unlikely to be recovered, decreased by $31

million.

Since SVB's collapse and subsequent acquisition by First

Citizens, banks including JPMorgan Chase and HSBC have tried to

beef up their businesses catering to startups and venture

capital (VC) firms.

Through SVB's large network of relationships with

entrepreneurs, tech companies and VCs, it handled capital market

transactions and provided banking services for companies while

also serving personal accounts.

First Citizens kept around 80% of former SVB bankers and

relationship advisers, according to its earnings presentation.

But the lender is also involved in a legal battle with HSBC over

HSBC's hiring of former SVB bankers.

The turmoil sparked by SVB's collapse has had a lasting

impact, shining light on weaknesses across the industry.

Regional lenders still face ongoing challenges from rising

deposit costs and risky office-building loans a year later.