PNC 发布2026年三季报：调整后EPS $5.09小幅超预期，但NIM环比降2bp、手续费收入降6%、不良贷款升8%，盘前小幅走低

----- pnc-20261015.htm -----
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
October 15, 2026
Date of Report (Date of earliest event reported)
THE
PNC FINANCIAL SERVICES GROUP, INC.
(Exact name of registrant as specified in its charter)
Commission File Number
001-09718
Pennsylvania
25-1435979
(State or other jurisdiction of
(I.R.S. Employer
incorporation)
Identification No.)
The Tower at PNC Plaza
300 Fifth Avenue
Pittsburgh
,
Pennsylvania
15222-2401
(Address of principal executive offices, including zip code)
(
888
)
762-2265
(Registrant’s telephone number, including area code)
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 12(b) of the Act:
Title of Each Class
Trading Symbol(s)
Name of Each Exchange
on Which Registered
Common Stock, par value $5.00
PNC
New 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
October 15, 2026
, The PNC Financial Services Group, Inc. (“PNC”) issued a press release regarding PNC’s earnings and business results for the third quarter of 2026. A copy of PNC’s press release is included in this Report as Exhibit 99.1 and is furnished herewith.
In connection therewith, PNC provided supplementary financial information on its website. A copy of PNC’s supplementary financial information is included in this Report as Exhibit 99.2 and is furnished herewith.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Number
Description
Method of Filing
99.1
Press release dated October 15, 2026
Furnished herewith
99.2
Financial Supplement (unaudited) for the Third Quarter 2026
Furnished herewith
104
The cover page of this Current Report on Form 8-K, formatted in Inline XBRL.
- 2 -
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
THE PNC FINANCIAL SERVICES GROUP, INC.
(Registrant)
Date:
October 15, 2026
By:
/s/ Gregory H. Kozich
Gregory H. Kozich
Senior Vice President and Controller
- 3 -

----- q32026financialhighlightsa.htm -----
EX-99.1
2
q32026financialhighlightsa.htm
EX-99.1
Document
Exhibit 99.1
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion,
$4.97 Diluted EPS or $5.09 as Adjusted
Grew average loans and deposits; increased NII and reduced expenses; 57% efficiency ratio
PITTSBURGH, Oct. 15, 2026 – The PNC Financial Services Group, Inc. (NYSE: PNC) today reported:
For the quarter
In millions, except per share data and as noted
3Q26
2Q26
3Q25
Third Quarter Highlights
▪
Financial Results
Comparisons reflect 3Q26 vs. 2Q26
Net interest income (NII)
$
4,206
$
4,107
$
3,648
Income Statement
▪
Adjusted diluted EPS of $5.09 increased $0.24
–
Excludes integration costs and significant items from both periods
▪
PPNR increased 1%
▪
Generated 18.3% ROTCE
▪
NII increased 2%; NIM of 2.94%
▪
Fee income decreased 6% primarily due to elevated 2Q26 capital markets activity
▪
Other noninterest income was $214 million, decreasing $275 million driven by 2Q26 significant items
▪
Noninterest expense declined 8%, or 3%, as adjusted
–
Efficiency ratio improved to 57%
Balance Sheet
▪
Average loans increased $9.0 billion, or 2%, reflecting new production and higher utilization
–
Transferred $1.4 billion student loan portfolio to held-for-sale
▪
Average deposits increased 1%; spot deposits increased 4%
▪
Average investment securities increased 3%
▪
Net loan charge-offs were $257 million, including $35 million related to the student loan portfolio transfer
▪
AOCI of negative $6.5 billion in 3Q26, compared to negative $4.1 billion in 2Q26
▪
Maintained strong capital position
–
CET1 capital ratio of 9.8%
–
$0.8 billion of common dividends
–
$0.6 billion of share repurchases
Fee income
(non-GAAP)
2,142
2,279
2,069
Other noninterest income
214
489
198
Noninterest income
2,356
2,768
2,267
Revenue
6,562
6,875
5,915
Noninterest expense
3,751
4,098
3,461
Integration costs and significant items
27
261
—
Noninterest expense - as adjusted (
non-GAAP)
3,724
3,837
3,461
Pretax, pre-provision earnings (PPNR)
(non-GAAP)
2,811
2,777
2,454
Provision for credit losses
189
191
167
Net income
2,097
2,055
1,822
Per Common Share
Diluted earnings per share (EPS)
$
4.97
$
4.81
$
4.35
EPS impact of integration costs and significant items
0.12
0.04
Diluted EPS - as adjusted
(non-GAAP)
5.09
4.85
Average diluted common shares outstanding
401
403
396
Book value
142.17
145.52
135.67
Tangible book value (TBV)
(non-GAAP)
107.64
111.09
107.84
Balance Sheet & Credit Quality
Average loans
In billions
$
372.2
$
363.2
$
325.9
Average securities
In billions
151.4
147.1
144.4
Average deposits
In billions
461.2
457.0
431.8
Accumulated other comprehensive income (loss) (AOCI)
In billions
(6.5)
(4.1)
(4.1)
Net loan charge-offs
257
226
179
Allowance for credit losses to total loans
1.42
%
1.48
%
1.61
%
Selected Ratios
Return on average common shareholders’ equity
13.89
%
13.61
%
13.24
%
Return on avg. tangible common equity
(ROTCE)
(non-GAAP)
18.28
17.88
16.77
Return on average assets
1.32
1.34
1.27
Net interest margin (NIM)
(non-GAAP)
2.94
2.96
2.79
Noninterest income to total revenue
36
40
38
Efficiency
57
60
59
Common equity tier 1 (CET1) capital ratio
9.8
9.9
10.7
See non-GAAP financial measures in the Consolidated Financial Highlights accompanying this release. Totals may not sum due to rounding.
From Bill Demchak, PNC Chairman and Chief Executive Officer:
“Our strategy continues to drive growth across our businesses, as we deepen our presence in key markets and expand our reach nationally. During the third quarter, we continued to build on the strong momentum we delivered in the first half of the year, and we generated an 18.3% return on average tangible common equity. We are well positioned, and remain confident in our long-term outlook.”
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 2
Integration Costs and Significant Items
In the third quarter of 2026, PNC incurred integration costs related to the FirstBank acquisition of $36 million. Results also included significant items of negative $25 million related to net Visa activity, including an $11 million valuation gain on remaining Visa shares received in the second quarter exchange and negative $36 million of Visa Class B-3 derivative fair value adjustments, primarily related to litigation escrow funding. The combined after-tax impact of both integration costs and 3Q26 significant items resulted in a $48 million decline in net income, or a 12 cent reduction to EPS.
During the second quarter of 2026, PNC incurred integration costs of $127 million and significant items with a net benefit of $84 million, as outlined in the table below. The combined after-tax impact of both integration costs and 2Q26 significant items resulted in a $15 million decline in net income, or a 4 cent reduction to EPS.
Impact of Integration Costs and Significant Items
In millions, except per share data
Noninterest Income
3Q26
2Q26
Gains related to Visa share exchange
$
11
$
448
Visa Class B-3 derivative fair value adjustments
(36)
(85)
2Q26 loss on sale of securities
(139)
Significant items
$
(25)
$
224
Integration costs
(9)
(6)
Noninterest income impact of integration costs and significant items
$
(34)
$
218
Noninterest Expense
Significant item - contribution to PNC Foundation
$
140
Integration costs
$
27
121
Noninterest expense impact of integration costs and significant items
$
27
$
261
Net Income and EPS
Total significant items
$
(25)
$
84
Total integration costs
(36)
(127)
Pretax, pre-provision impact
$
(61)
$
(43)
Income taxes (benefit)
(13)
(28)
Net income decrease from integration costs and significant items
$
(48)
$
(15)
EPS impact of integration costs and significant items
$
(0.12)
$
(0.04)
Income taxes on integration costs and significant items are calculated at a statutory tax rate of 21% on pretax, pre-provision earnings. 2Q26 significant items tax impact also includes the benefit of shares donated to the PNC Foundation.
Income Statement Highlights
Third quarter 2026 compared with second quarter 2026
▪
Total revenue of $6.6
billion decreased $313 million, or 5%, as growth in net interest income was more than offset by lower noninterest income.
–
Net interest income of $4.2 billion increased $99 million, or 2%, driven by commercial loan growth and higher yields on interest-earning assets, partially offset by increased funding costs.
•
Net interest margin of 2.94% decreased 2 basis points.
–
Fee income of $2.1 billion decreased $137 million, or 6%, primarily due to elevated second quarter capital markets and advisory revenue.
–
Other noninterest income of $214 million included higher private equity revenue and significant items of negative $25 million related to net Visa activity.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 3
▪
Noninterest expense of $3.8 billion decreased $347 million, or 8%, and included $27 million of integration costs in the third quarter, compared to $261 million of both integration costs and significant items in the second quarter. Excluding these items from both quarters, noninterest expense, as adjusted, decreased 3%.
▪
Provision for credit losses was $189 million in the third quarter, stable from the second quarter.
▪
The effective tax rate was 20.0% for the third quarter and 20.5% for the second quarter.
Balance Sheet Highlights
Third quarter 2026 compared with second quarter 2026 or September 30, 2026 compared with June 30, 2026
▪
Average loans of $372.2 billion increased $9.0 billion, or 2%. Average commercial loans increased $10.4 billion, or 4%, driven by strong new production and increased utilization. Average consumer loans decreased $1.4
billion, or 1%, primarily due to lower residential mortgage loans and the student loan portfolio transfer.
–
Loans at
September 30, 2026 of
$378.8
billion increased
$10.8 billion, or 3%, from June 30, 2026, driven by commercial loan growth. This increase was partially offset by a decline in consumer loans, including the transfer of the $1.4 billion student loan portfolio to held-for-sale.
▪
Credit quality performance:
–
Delinquencies of $1.3 billion decreased $135 million, or 9%, due to lower consumer loan delinquencies.
–
Total nonperforming loans of $2.2 billion increased $167 million, or 8%, driven by higher commercial nonperforming loans.
–
Net loan charge-offs were $257 million and included $35 million related to the transfer of student loans to held-for-sale.
–
The allowance for credit losses was $5.4 billion, or
1.42%
of total loans, at September 30, 2026 and $5.5 billion, or
1.48%
of total loans, at June 30, 2026.
▪
Average investment securities of $151.4 billion increased
$4.3
billion, or
3%, reflecting higher residential mortgage-backed securities.
▪
Average deposits of $461.2 billion increased
$4.2
billion, or
1%
, primarily due to seasonally higher commercial interest-bearing deposits
.
–
Deposits at
September 30, 2026
of
$466.4 billion increased
$16.6 billion, or 4%, from June 30, 2026, driven by higher commercial interest-bearing deposits, reflecting seasonality as well as new and expanded client relationships.
▪
PNC maintained a strong capital and liquidity position:
–
On October 2, 2026, the PNC board of directors declared a quarterly cash dividend on common stock of $2.00 per share to be paid on November 5, 2026 to shareholders of record at the close of business October 14, 2026.
–
PNC returned $1.4 billion of capital to shareholders, reflecting $0.8 billion of dividends on common shares and $0.6 billion of common share repurchases.
–
Share repurchase activity in the fourth quarter of 2026 is expected to approximate third quarter 2026 share repurchase levels.
–
The Basel III common equity tier 1 capital ratio was an estimated 9.8% at September 30, 2026 and was 9.9% at June 30, 2026.
–
PNC’s average LCR for the three months ended September 30, 2026 was 106%, exceeding the regulatory minimum requirement throughout the quarter.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 4
Earnings Summary
In millions, except per share data
3Q26
2Q26
3Q25
Net income
$
2,097
$
2,055
$
1,822
Net income attributable to diluted common shareholders
$
1,994
$
1,941
$
1,723
Net income attributable to diluted common shareholders - as adjusted
(non-GAAP)
$
2,042
$
1,956
Diluted earnings per common share
$
4.97
$
4.81
$
4.35
Diluted earnings per common share - as adjusted
(non-GAAP)
$
5.09
$
4.85
Average diluted common shares outstanding
401
403
396
Cash dividends declared per common share
$
2.00
$
1.70
$
1.70
See non-GAAP financial measures in the Consolidated Financial Highlights accompanying this release.
The Consolidated Financial Highlights accompanying this news release include additional information regarding reconciliations of non-GAAP financial measures to reported (GAAP) amounts. This information supplements results as reported in accordance with GAAP and should not be viewed in isolation from, or as a substitute for, GAAP results. Information in this news release, including the financial tables, is unaudited.
CONSOLIDATED REVENUE REVIEW
Revenue
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Net interest income
$
4,206
$
4,107
$
3,648
2
%
15
%
Noninterest income
2,356
2,768
2,267
(15)
%
4
%
Total revenue
$
6,562
$
6,875
$
5,915
(5)
%
11
%
Total revenue for the third quarter of 2026 decreased $313 million compared to the second quarter of 2026 as growth in net interest income was more than offset by lower noninterest income. Noninterest income in the third quarter of 2026 included integration costs and significant items of negative $34 million compared to a benefit of $218 million in the second quarter of 2026. Compared to the third quarter of 2025, total revenue increased $647 million due to both higher net interest income and noninterest income.
Net interest income of $4.2 billion increased $99 million from the second quarter of 2026 driven by commercial loan growth and higher yields on interest-earning assets, partially offset by increased funding costs. Compared to the third quarter of 2025, net interest income increased $558 million due to commercial loan growth, the benefit of FirstBank and lower funding costs.
Net interest margin was 2.94% in the third quarter of 2026, 2.96% in the second quarter of 2026 and 2.79% in the third quarter of 2025.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 5
Noninterest Income
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Asset management and brokerage
$
447
$
440
$
404
2
%
11
%
Capital markets and advisory
433
577
432
(25)
%
—
Card and cash management
769
772
737
—
4
%
Lending and deposit services
358
346
335
3
%
7
%
Residential and commercial mortgage
135
144
161
(6)
%
(16)
%
Fee income
(non-GAAP)
2,142
2,279
2,069
(6)
%
4
%
Other noninterest income
214
489
198
(56)
%
8
%
Total noninterest income
$
2,356
$
2,768
$
2,267
(15)
%
4
%
See non-GAAP financial measures in the Consolidated Financial Highlights accompanying this release.
Noninterest income for the third quarter of 2026 decreased $412 million from the second quarter of 2026 primarily due to the change in integration costs and significant items, as well as lower capital markets and advisory revenue. Asset management and brokerage fees increased $7 million as a result of higher average equity markets and increased client activity. Capital markets and advisory revenue decreased $144 million due to elevated second quarter activity. Card and cash management decreased $3 million as higher treasury management product revenue was more than offset by FirstBank integration related fee waivers. Lending and deposit services revenue increased $12 million primarily due to increased customer activity. Residential and commercial mortgage revenue decreased $9 million driven by lower residential mortgage revenue. Other noninterest income of $214 million included higher private equity revenue and negative $25 million of significant items related to net Visa activity. Second quarter of 2026 other noninterest income included the benefit of $218 million of both integration costs and significant items.
Compared to the third quarter of 2025, noninterest income increased $89 million. Asset management and brokerage fees increased $43 million as a result of higher average equity markets and growth in client relationships. Card and cash management increased $32 million driven by increased treasury management product revenue, as well as growth in customer relationships and activity. Lending and deposit related revenue increased $23 million due to increased customer activity and higher loan commitment fee revenue. Residential and commercial mortgage revenue decreased $26 million primarily driven by lower mortgage servicing rights valuation, net of economic hedge. Other noninterest income increased $16 million reflecting higher private equity revenue.
CONSOLIDATED EXPENSE REVIEW
Noninterest Expense
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Personnel
$
2,031
$
2,273
$
1,970
(11)
%
3
%
Occupancy
262
252
235
4
%
11
%
Equipment
435
435
416
—
5
%
Marketing
106
110
93
(4)
%
14
%
Other
917
1,028
747
(11)
%
23
%
Total noninterest expense
$
3,751
$
4,098
$
3,461
(8)
%
8
%
Integration costs and significant items
27
261
—
Noninterest expense - as adjusted
(non-GAAP)
$
3,724
$
3,837
$
3,461
(3)
%
8
%
See non-GAAP financial measures in the Consolidated Financial Highlights accompanying this release.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 6
Noninterest expense for the third quarter of 2026 of $3.8 billion decreased $347 million from the second quarter of 2026. Noninterest expense, as adjusted for both quarters, decreased $113
million from the second quarter of 2026 driven by lower compensation expense and continued expense discipline. Compared to the third quarter of 2025, noninterest expense, as adjusted for the third quarter of 2026, increased $263 million reflecting continued investments to support business growth as well as the addition of FirstBank operating expenses.
The effective tax rate was 20.0% for the third quarter of 2026, 20.5% for the second quarter of 2026 and 20.3% for the third quarter of 2025.
CONSOLIDATED BALANCE SHEET REVIEW
Loans
Change
Change
3Q26 vs
3Q26 vs
In billions
3Q26
2Q26
3Q25
2Q26
3Q25
Average
Commercial and industrial
$
232.6
$
223.7
$
195.9
4
%
19
%
Commercial real estate
36.6
35.1
30.9
4
%
19
%
Commercial
$
269.2
$
258.8
$
226.8
4
%
19
%
Consumer
103.0
104.4
99.2
(1)
%
4
%
Average loans
$
372.2
$
363.2
$
325.9
2
%
14
%
Quarter end
Commercial and industrial
$
240.0
$
227.9
$
197.1
5
%
22
%
Commercial real estate
37.0
36.0
30.3
3
%
22
%
Commercial
$
277.0
$
263.9
$
227.4
5
%
22
%
Consumer
101.8
104.1
99.2
(2)
%
3
%
Total loans
$
378.8
$
368.0
$
326.6
3
%
16
%
Totals may not sum due to rounding
Average loans for the third quarter of 2026 increased $9.0 billion compared to the second quarter of 2026 and $46.2 billion compared to the third quarter of 2025.
Average commercial loans increased $10.4 billion and $42.4 billion compared to the second quarter of 2026 and the third quarter of 2025, respectively. In each comparison, the growth was driven by strong new production and increased utilization. Compared to the third quarter of 2025, the increase was also attributable to acquired FirstBank loans.
Average consumer loans decreased $1.4 billion compared to the second quarter of 2026, primarily due to lower residential mortgage loans and the student loan portfolio transfer. Compared to the third quarter of 2025, average consumer loans increased $3.8 billion driven by the benefit of FirstBank loans.
Loans at September 30, 2026
increased $10.8 billion from June 30, 2026, driven by commercial loan growth partially offset by lower consumer loans. The decrease in consumer loans was primarily attributable to the transfer of the $1.4 billion student loan portfolio to held-for-sale, in addition to lower residential mortgage loans. Compared to September 30, 2025, loans increased $52.2 billion, as a result of commercial loan growth as well as the benefit from acquired FirstBank commercial and consumer loans.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 7
Average Investment Securities
Change
Change
3Q26 vs
3Q26 vs
In billions
3Q26
2Q26
3Q25
2Q26
3Q25
Available for sale
$
72.0
$
73.7
$
69.8
(2)
%
3
%
Held to maturity
79.3
73.4
74.6
8
%
6
%
Total
$
151.4
$
147.1
$
144.4
3
%
5
%
Totals may not sum due to rounding
Average investment securities of $151.4 billion in the third quarter of 2026 increased $4.3 billion compared to the second quarter of 2026 and $6.9 billion compared to the third quarter of 2025. In both comparisons, the increase reflected higher residential mortgage-backed securities.
The duration of the investment securities portfolio was 4.1 years as of September 30, 2026, 3.6 years at June 30, 2026 and 3.4 years as of September 30, 2025. Net unrealized losses on available-for-sale securities were $4.0 billion at September 30, 2026 and $2.1 billion at both June 30, 2026 and September 30, 2025.
Deposits
Change
Change
3Q26 vs
3Q26 vs
In billions
3Q26
2Q26
3Q25
2Q26
3Q25
Average
Interest-bearing (IB) deposits
$
360.0
$
353.5
$
339.1
2
%
6
%
Noninterest-bearing (NIB) deposits
101.2
103.5
92.8
(2)
%
9
%
Average deposits
$
461.2
$
457.0
$
431.8
1
%
7
%
Quarter end
Interest-bearing deposits
$
366.6
$
350.4
$
341.5
5
%
7
%
Noninterest-bearing deposits
99.7
99.4
91.2
—
9
%
Total deposits
$
466.4
$
449.8
$
432.7
4
%
8
%
IB % of total avg. deposits
78
%
77
%
79%
NIB % of total avg. deposits
22
%
23
%
21%
Totals may not sum due to rounding
Third quarter 2026 average deposits of $461.2 billion increased $4.2 billion compared to the second quarter of 2026,
driven by seasonally higher commercial interest-bearing deposits. C
ompared to the third quarter of 2025, average deposits increased $29.4 billion, reflecting the addition of FirstBank and growth in commercial interest-bearing deposits.
Deposits at September 30, 2026 increased $16.6 billion and $33.6 billion from June 30, 2026 and September 30, 2025, respectively. In each comparison, the increase included higher commercial interest-bearing deposits, reflecting new and expanded client relationships. Compared to the third quarter of 2025, the increase was also attributable to acquired FirstBank deposits.
Average noninterest-bearing deposits as a percentage of total average deposits was 22% in the third quarter of 2026, 23% in the second quarter of 2026 and 21% in the third quarter of 2025.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 8
Borrowed Funds
Change
Change
3Q26 vs
3Q26 vs
In billions
3Q26
2Q26
3Q25
2Q26
3Q25
Average borrowed funds
$
85.7
$
78.9
$
66.3
9
%
29
%
Quarter end
Total borrowed funds
$
79.8
$
85.7
$
62.3
(7)
%
28
%
Avg. borrowed funds to avg. liabilities
15
%
14
%
13
%
Totals may not sum due to rounding
Average borrowed funds of $85.7 billion in the third quarter of 2026 increased $6.7 billion compared to the second quarter of 2026 and $19.4 billion compared to the third quarter of 2025. In both comparisons, the increase was primarily due to higher Federal Home Loan Bank advances added late in the second quarter of 2026.
Borrowed funds at September 30, 2026 decreased $6.0 billion from June 30, 2026, driven by a reduction in Federal Home Loan Bank advances.
Capital
September 30, 2026
June 30, 2026
September 30, 2025
Common shareholders’ equity
In billions
$
56.5
$
58.1
$
53.2
Accumulated other comprehensive income (loss)
In billions
$
(6.5)
$
(4.1)
$
(4.1)
Basel III common equity tier 1 capital ratio *
9.8
%
9.9
%
10.7
%
*September 30, 2026 ratio is estimated.
PNC maintained a strong capital position. Common shareholders’ equity at September 30, 2026 decreased $1.6 billion from June 30, 2026 due to a decline in accumulated other comprehensive income, common dividends paid and share repurchases, partially offset by net income.
As a Category III institution, PNC has elected to exclude accumulated other comprehensive income related to both available-for-sale securities and pension and other post-retirement plans from CET1 capital. Accumulated other comprehensive income was negative $6.5 billion at September 30, 2026 compared to negative $4.1 billion at both June 30, 2026 and September 30, 2025. The decline in each comparison reflected the impact of higher interest rates on securities and swaps, partially offset by the continued accretion of unrealized losses.
In the third quarter of 2026, PNC returned $1.4 billion of capital to shareholders, reflecting $0.8 billion of dividends on common shares and $0.6 billion of common share repurchases. The Stress Capital Buffer (SCB) framework permits capital return in amounts in excess of SCB minimum levels. Consistent with this framework, PNC had approximately 27% of the 100 million common shares still available for repurchase at September 30, 2026 under the repurchase program previously approved by our board of directors.
Share repurchase activity in the fourth quarter of 2026 is expected to approximate third quarter of 2026 share repurchase levels. PNC may adjust share repurchase activity depending on market and economic conditions, as well as other factors. PNC’s SCB will be maintained at the regulatory minimum of 2.5% through December 31, 2027.
On October 2, 2026, the PNC board of directors declared a quarterly cash dividend on common stock of $2.00 per share to be paid on November 5, 2026 to shareholders of record at the close of business October 14, 2026.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 9
At September 30, 2026, PNC was
considered “well capitalized” based on applicable U.S. regulatory capital ratio requirements. F
or additional information regarding PNC’s Basel III capital ratios, see Capital Ratios in the Consolidated Financial Highlights.
CREDIT QUALITY REVIEW
Credit Quality
Change
Change
September 30, 2026
June 30, 2026
September 30, 2025
09/30/26 vs
09/30/26 vs
In millions
06/30/26
09/30/25
Provision for credit losses (a)
$
189
$
191
$
167
$
(2)
$
22
Net loan charge-offs (a)
$
257
$
226
$
179
14
%
44
%
Allowance for credit losses (b)
$
5,386
$
5,461
$
5,253
(1)
%
3
%
Total delinquencies (c)
$
1,301
$
1,436
$
1,233
(9)
%
6
%
Nonperforming loans
$
2,194
$
2,027
$
2,137
8
%
3
%
Net charge-offs to average loans (annualized)
0.28
%
0.25
%
0.22
%
Allowance for credit losses to total loans
1.42
%
1.48
%
1.61
%
Nonperforming loans to total loans
0.58
%
0.55
%
0.65
%
(a) Represents amounts for the three months ended for each respective period
(b) Excludes allowances for investment securities and other financial assets
(c) Total delinquencies represent accruing loans 30 days or more past due
Provision for credit losses was $189 million in the third quarter of 2026, $191
million in the second quarter of 2026 and $167 million in the third quarter of 2025.
Net loan charge-offs were $257 million in the third quarter of 2026, increasing $31 million and $78 million compared to the second quarter of 2026 and the third quarter of 2025, respectively. In both comparisons, the increase included $35 million in net loan charge-offs related to the student loan portfolio transfer. Compared to the third quarter of 2025, net loan charge-offs also increased due to higher commercial loan net charge-offs.
The allowance for credit losses was $5.4 billion at September 30, 2026, $5.5 billion at June 30, 2026 and $5.3 billion at September 30, 2025. The allowance for credit losses as a percentage of total loans was 1.42% at September 30, 2026, 1.48%
at
June 30, 2026 and 1.61% at September 30, 2025.
Delinquencies at September 30, 2026 were $1.3 billion, decreasing $135 million from June 30, 2026 due to lower consumer loan delinquencies. Compared to September 30, 2025, delinquencies increased $68
million due to higher commercial loan delinquencies.
Nonperforming loans of $2.2 billion at September 30, 2026 increased $167 million
compared to
June 30, 2026
and
$57 million compared to September 30, 2025. In both comparisons, the increase was driven by higher commercial nonperforming loans.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 10
BUSINESS SEGMENT RESULTS
Business Segment Income (Loss)
In millions
3Q26
2Q26
3Q25
Retail Banking
$
1,425
$
1,747
$
1,351
Corporate & Institutional Banking
1,552
1,588
1,545
Asset Management Group
128
135
120
Other
(1,024)
(1,430)
(1,208)
Net income excluding noncontrolling interests
$
2,081
$
2,040
$
1,808
Retail Banking
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Net interest income
$
3,246
$
3,291
$
3,050
$
(45)
$
196
Noninterest income
$
842
$
1,227
$
790
$
(385)
$
52
Noninterest expense
$
2,104
$
2,111
$
1,941
$
(7)
$
163
Provision for credit losses
$
115
$
120
$
126
$
(5)
$
(11)
Earnings
$
1,425
$
1,747
$
1,351
$
(322)
$
74
In billions
Brokerage account client assets
$
97
$
97
$
89
—
$
8
In billions
Average loans
$
107.9
$
110.5
$
96.9
$
(2.6)
$
11.0
Average deposits
$
267.1
$
271.6
$
243.3
$
(4.5)
$
23.8
Net loan charge-offs
In millions
$
154
$
123
$
126
$
31
$
28
During the second quarter of 2026, PNC updated its internal funds transfer pricing methodology. The update resulted in impacts to net interest income and associated income statement line items for all business segments. Prior periods have been adjusted to conform with the current presentation.
Retail Banking Highlights
Third quarter 2026 compared with second quarter 2026
▪
Earnings decreased 18%, reflecting lower noninterest income, primarily due to a $448 million gain related to the Visa share exchange recognized in the second quarter, as well as lower net interest income, partially offset by a lower provision for credit losses.
–
Noninterest income decreased 31%, primarily reflecting impacts from the Visa exchange program that occurred in the second quarter of 2026.
–
Noninterest expense was stable.
•
Brokerage account client assets were stable.
▪
Average loans decreased 2% and included lower residential real estate loans as well as the student loan portfolio transfer.
▪
Average deposits decreased 2%, primarily due to lower consumer interest-bearing and noninterest-bearing deposit balances.
Third quarter 2026 compared with third quarter 2025
▪
Earnings increased 5%, driven by higher net interest income and noninterest income as well as a lower provision for credit losses, partially offset by higher noninterest expense.
–
Noninterest income increased 7%, due to increased customer activity and the addition of FirstBank.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 11
–
Noninterest expense increased 8% and included FirstBank related expenses as well as continued investments to support business growth.
•
Brokerage account client assets increased 9%, driven by higher spot equity markets.
▪
Average loans increased 11%, driven by higher commercial and residential real estate loans, primarily attributable to acquired FirstBank loans.
▪
Average deposits increased 10%, driven by growth in demand and savings deposits, as well as the addition of FirstBank deposits.
Corporate & Institutional Banking
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Net interest income
$
2,045
$
1,992
$
1,888
$
53
$
157
Noninterest income
$
1,167
$
1,291
$
1,132
$
(124)
$
35
Noninterest expense
$
1,106
$
1,131
$
976
$
(25)
$
130
Provision for credit losses
$
76
$
76
$
44
—
$
32
Earnings
$
1,552
$
1,588
$
1,545
$
(36)
$
7
In billions
Average loans
$
247.7
$
236.1
$
212.5
$
11.6
$
35.2
Average deposits
$
164.0
$
158.6
$
155.2
$
5.4
$
8.8
Net loan charge-offs
In millions
$
106
$
105
$
53
$
1
$
53
During the second quarter of 2026, PNC updated its internal funds transfer pricing methodology. The update resulted in impacts to net interest income and associated income statement line items for all business segments. Prior periods have been adjusted to conform with the current presentation.
Corporate & Institutional Banking Highlights
Third quarter 2026 compared with second quarter 2026
▪
Earnings decreased 2%, reflecting lower noninterest income, partially offset by higher net interest income and lower noninterest expense.
–
Noninterest income decreased 10%, due to elevated second quarter capital markets and advisory revenue.
–
Noninterest expense decreased 2% and included lower compensation expense.
▪
Average loans increased 5%, driven by strong new production and increased utilization of loan commitments.
▪
Average deposits increased 3%, due to seasonal growth in interest-bearing deposits.
Third quarter 2026 compared with third quarter 2025
▪
Earnings increased modestly, driven by higher net interest income and noninterest income, partially offset by higher noninterest expense as well as a higher provision for credit losses.
–
Noninterest income increased 3%, primarily due to increased merger and acquisition advisory fees and growth in treasury management product revenue.
–
Noninterest expense increased 13%, reflecting continued investments to support business growth.
▪
Average loans increased 17%, driven by strong new production within the commercial and industrial portfolio.
▪
Average deposits increased 6%, due to growth in both interest-bearing and noninterest-bearing deposits.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 12
Asset Management Group
Change
Change
3Q26 vs
3Q26 vs
In millions
3Q26
2Q26
3Q25
2Q26
3Q25
Net interest income
$
188
$
191
$
179
$
(3)
$
9
Noninterest income
$
271
$
271
$
254
—
$
17
Noninterest expense
$
296
$
289
$
273
$
7
$
23
Provision for (recapture of) credit losses
$
(4)
$
(3)
$
4
$
(1)
$
(8)
Earnings
$
128
$
135
$
120
$
(7)
$
8
In billions
Discretionary client AUM
$
250
$
247
$
228
$
3
$
22
Nondiscretionary client AUA
$
249
$
256
$
212
$
(7)
$
37
Total client AUA
$
499
$
503
$
440
$
(4)
$
59
In billions
Average loans
$
14.8
$
14.6
$
14.2
$
0.2
$
0.6
Average deposits
$
26.9
$
27.0
$
26.9
$
(0.1)
—
Net loan charge-offs (recoveries)
In millions
$
(1)
$
1
$
2
$
(2)
$
(3)
AUM - Assets under management; AUA - Assets under administration
During the second quarter of 2026, PNC updated its internal funds transfer pricing methodology. The update resulted in impacts to net interest income and associated income statement line items for all business segments. Prior periods have been adjusted to conform with the current presentation.
Asset Management Group Highlights
Third quarter 2026 compared with second quarter 2026
▪
Earnings decreased 5%, primarily due to higher noninterest expense and lower net interest income.
–
Noninterest income was stable.
–
Noninterest expense increased 2%, due to continued investments to support business growth.
▪
Discretionary client AUM increased 1%, driven by positive net flows.
▪
Nondiscretionary client AUA decreased 3%, driven by net outflows.
▪
Average loans increased 1%, primarily due to growth in securities-based lending.
▪
Average deposits were stable.
Third quarter 2026 compared with third quarter 2025
▪
Earnings increased 7%, due to higher noninterest income and net interest income as well as a provision recapture, partially offset by higher noninterest expense.
–
Noninterest income increased 7%, reflecting higher average equity markets and positive net flows.
–
Noninterest expense increased 8% and included continued investments to support business growth as well as higher variable compensation associated with increased business activity.
▪
Discretionary client AUM increased 10% and nondiscretionary client AUM increased 17%. In both instances, the increase was driven by higher spot equity markets and positive net flows.
▪
Average loans increased 4%, primarily due to growth in securities-based lending and higher commercial loan balances.
▪
Average deposits were stable.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 13
Other
The “Other” category, for the purposes of this release, includes remaining corporate operations that do not meet the criteria for disclosure as a separate reportable business, such as asset and liability management activities, including net securities gains or losses, ACL for investment securities, certain trading activities, certain runoff consumer loan portfolios, private equity investments, intercompany eliminations, corporate overhead net of allocations, tax adjustments that are not allocated to business segments, exited businesses and the residual impact from funds transfer pricing operations.
CONFERENCE CALL AND SUPPLEMENTAL FINANCIAL INFORMATION
PNC Chairman and Chief Executive Officer William S. Demchak and Executive Vice President and Chief Financial Officer Robert Q. Reilly will hold a conference call for investors today at 10:00 a.m. Eastern Time regarding the topics addressed in this news release and the related earnings materials. Dial-in numbers for the conference call are (866) 604-1697 and (215) 268-9875 (international) and Internet access to the live audio listen-only webcast of the call is available at www.pnc.com/investorevents. PNC’s third quarter 2026 earnings materials to accompany the conference call remarks will be available at www.pnc.com/investorevents prior to the beginning of the call. A telephone replay of the call will be available for four weeks at (877) 660-6853 and (201) 612-7415 (international), Access ID 13762272 and a replay of the audio webcast will be available on PNC’s website for 30 days.
The PNC Financial Services Group, Inc. is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking including a full range of lending products; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management. For information about PNC, visit www.pnc.com.
CONTACTS
MEDIA:
INVESTORS:
Anne Pace
Bryan Gill
(631) 338-3268
(412) 768-4143
anne.pace@pnc.com
investor.relations@pnc.com
[TABULAR MATERIAL FOLLOWS]
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 14
2
The PNC Financial Services Group, Inc.
Consolidated Financial Highlights
(Unaudited)
FINANCIAL RESULTS
Three months ended
Nine months ended
Dollars in millions, except per share data
September 30
June 30
September 30
September 30
September 30
2026
2026
2025
2026
2025
Revenue
Net interest income
$
4,206
$
4,107
$
3,648
$
12,274
$
10,679
Noninterest income
2,356
2,768
2,267
7,328
6,349
Total revenue
6,562
6,875
5,915
19,602
17,028
Provision for credit losses
189
191
167
590
640
Noninterest expense
3,751
4,098
3,461
11,617
10,231
Income before income taxes and noncontrolling interests
$
2,622
$
2,586
$
2,287
$
7,395
$
6,157
Income taxes
525
531
465
1,471
1,193
Net income
$
2,097
$
2,055
$
1,822
$
5,924
$
4,964
Less:
Net income attributable to noncontrolling interests
16
15
14
43
48
Preferred stock dividends (a)
73
85
71
231
225
Preferred stock discount accretion and redemptions
2
2
2
5
6
Net income attributable to common shareholders
$
2,006
$
1,953
$
1,735
$
5,645
$
4,685
Less: Dividends and undistributed earnings allocated to nonvested restricted shares
12
12
12
35
31
Net income attributable to diluted common shareholders
$
1,994
$
1,941
$
1,723
$
5,610
$
4,654
Per Common Share
Basic
$
4.98
$
4.82
$
4.36
$
13.92
$
11.73
Diluted
$
4.97
$
4.81
$
4.35
$
13.91
$
11.72
Cash dividends declared per common share
$
2.00
$
1.70
$
1.70
$
5.40
$
4.90
Effective tax rate (b)
20.0
%
20.5
%
20.3
%
19.9
%
19.4
%
PERFORMANCE RATIOS
Net interest margin (c)
2.94
%
2.96
%
2.79
%
2.95
%
2.79
%
Noninterest income to total revenue
36
%
40
%
38
%
37
%
37
%
Efficiency (d)
57
%
60
%
59
%
59
%
60
%
Return on:
Average common shareholders' equity
13.89
%
13.61
%
13.24
%
13.15
%
12.39
%
Average assets
1.32
%
1.34
%
1.27
%
1.29
%
1.18
%
(a)
Dividends are payable quarterly, other than Series S preferred stock, which is payable semiannually.
(b)
The effective income tax rates are generally lower than the statutory rate due to the relationship of pretax income to tax credits and earnings that are not subject to tax.
(c)
Net interest margin is the total yield on interest-earning assets minus the total rate on interest-bearing liabilities and includes the benefit from use of noninterest-bearing sources. To provide more meaningful comparisons of net interest margins, we use net interest income on a taxable-equivalent basis in calculating average yields used in the calculation of net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under generally accepted accounting principles (GAAP) in the Consolidated Income Statement. The taxable-equivalent adjustments to net interest income for the three months ended September 30, 2026, June 30, 2026 and September 30, 2025 were $26 million, $27 million and $30 million, respectively. The taxable-equivalent adjustments to net interest income for the nine months ended September 30, 2026 and 2025 were $82 million and $86 million, respectively.
(d)
Calculated as noninterest expense divided by total revenue.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 15
The PNC Financial Services Group, Inc.
Consolidated Financial Highlights
(Unaudited)
September 30
June 30
September 30
2026
2026
2025
BALANCE SHEET DATA
Dollars in millions, except per share data and as noted
Assets
$
627,816
$
616,034
$
568,767
Loans (a)
$
378,792
$
367,953
$
326,616
Allowance for loan and lease losses
$
4,536
$
4,652
$
4,478
Interest-earning deposits with banks
$
24,670
$
22,794
$
33,318
Investment securities
$
146,370
$
149,506
$
141,523
Total deposits (a)
$
466,362
$
449,792
$
432,749
Borrowed funds (a)
$
79,757
$
85,723
$
62,344
Allowance for unfunded lending related commitments
$
850
$
809
$
775
Total shareholders' equity
$
62,353
$
64,008
$
58,990
Common shareholders' equity
$
56,474
$
58,131
$
53,235
Accumulated other comprehensive income (loss)
$
(6,472)
$
(4,120)
$
(4,077)
Book value per common share
$
142.17
$
145.52
$
135.67
Tangible book value per common share
(non-GAAP)
(b)
$
107.64
$
111.09
$
107.84
Period end common shares outstanding
(In millions)
397
399
392
Loans to deposits
81
%
82
%
75
%
Common shareholders' equity to total assets
9.0
%
9.4
%
9.4
%
CLIENT ASSETS (In billions)
Discretionary client assets under management
$
250
$
247
$
228
Nondiscretionary client assets under administration
249
256
212
Total client assets under administration
499
503
440
Brokerage account client assets
99
99
92
Total client assets
$
598
$
602
$
532
CAPITAL RATIOS
Basel III (c)
Common equity tier 1
9.8
%
9.9
%
10.7
%
Tier 1 risk-based
11.0
%
11.1
%
12.0
%
Total capital risk-based
12.6
%
12.9
%
13.6
%
Leverage
8.9
%
9.0
%
9.2
%
Supplementary leverage
7.2
%
7.2
%
7.5
%
ASSET QUALITY
Nonperforming loans to total loans
0.58
%
0.55
%
0.65
%
Nonperforming assets to total loans, OREO, foreclosed and other assets (d)
0.61
%
0.58
%
0.70
%
Nonperforming assets to total assets
0.37
%
0.35
%
0.40
%
Net charge-offs to average loans (for the three months ended) (annualized)
0.28
%
0.25
%
0.22
%
Allowance for loan and lease losses to total loans
1.20
%
1.26
%
1.37
%
Allowance for credit losses to total loans (e)
1.42
%
1.48
%
1.61
%
Allowance for loan and lease losses to nonperforming loans
207
%
230
%
210
%
Total delinquencies
(In millions)
(f)
$
1,301
$
1,436
$
1,233
(a)
Amounts include assets and liabilities for which we have elected the fair value option. Our second quarter 2026 Form 10-Q included, and our third quarter 2026 Form 10-Q will include, additional information regarding these Consolidated Balance Sheet line items.
(b)
See the Tangible Book Value per Common Share table on page
19
for additional information.
(c)
All ratios are calculated using the regulatory capital methodology applicable to PNC during each period presented and calculated based on the standardized approach. See Capital Ratios on page
16
for additional information. The ratios as of September 30, 2026 are estimated.
(d)
Amounts include nonaccrual servicing advances primarily to single asset/single borrower trusts with commercial real estate as collateral totaling $86 million, $90 million and $127 million at September 30, 2026, June 30, 2026 and September 30, 2025, respectively.
(e)
Excludes allowances for investment securities and other financial assets.
(f)
Total delinquencies represent accruing loans 30 days or more past due.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 16
The PNC Financial Services Group, Inc. Consolidated Financial Highlights
(Unaudited)
CAPITAL RATIOS
PNC’s regulatory risk-based capital ratios in 2026 are calculated using the standardized approach for determining risk-weighted assets. Under the standardized approach for determining credit risk-weighted assets, exposures are generally assigned a pre-defined risk weight. Exposures to high volatility commercial real estate, past due exposures and equity exposures are generally subject to higher risk weights than other types of exposures.
Our Basel III capital ratios may be impacted by changes to the regulatory capital rules and additional regulatory guidance or analysis. The following table summarizes our June 30, 2026, September 30, 2025 and estimated September 30, 2026 capital balances and ratios.
Basel lll Common Equity Tier 1 Capital Ratios
Basel III
September 30
2026
(estimated)
June 30
2026
September 30
2025
Dollars in millions
Common stock, related surplus and retained earnings, net of treasury stock
$
62,943
$
62,249
$
57,312
Less regulatory capital adjustments:
Goodwill and disallowed intangibles, net of deferred tax liabilities
(13,714)
(13,752)
(10,920)
All other adjustments
(91)
(84)
(71)
Basel III Common equity tier 1 capital
$
49,138
$
48,413
$
46,321
Basel III standardized approach risk-weighted assets (a)
$
500,804
$
487,843
$
434,712
Basel III Common equity tier 1 capital ratio
9.8
%
9.9
%
10.7
%
(a)
Basel III standardized approach risk-weighted assets are based on the Basel III standardized approach rules and include credit and market risk-weighted assets.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 17
The PNC Financial Services Group, Inc. Consolidated Financial Highlights
(Unaudited)
NON-GAAP MEASURES
Fee Income (non-GAAP)
Three months ended
September 30
June 30
September 30
Dollars in millions
2026
2026
2025
Noninterest income
Asset management and brokerage
$
447
$
440
$
404
Capital markets and advisory
433
577
432
Card and cash management
769
772
737
Lending and deposit services
358
346
335
Residential and commercial mortgage
135
144
161
Fee income
(non-GAAP)
$
2,142
$
2,279
$
2,069
Other noninterest income
214
489
198
Total noninterest income
$
2,356
$
2,768
$
2,267
Fee income is a non-GAAP measure and is comprised of noninterest income in the following categories: asset management and brokerage, capital markets and advisory, card and cash management, lending and deposit services, and residential and commercial mortgage. We believe this non-GAAP measure serves as a useful tool for comparison of noninterest income related to fees.
Pretax Pre-Provision Earnings (non-GAAP)
Three months ended
September 30
June 30
September 30
Dollars in millions
2026
2026
2025
Income before income taxes and noncontrolling interests
$
2,622
$
2,586
$
2,287
Provision for credit losses
189
191
167
Pretax pre-provision earnings
(non-GAAP)
$
2,811
$
2,777
$
2,454
Pretax pre-provision earnings is a non-GAAP measure and is based on adjusting income before income taxes and noncontrolling interests to exclude provision for credit losses. We believe that pretax, pre-provision earnings is a useful tool to help evaluate the ability to provide for credit costs through operations and provides an additional basis to compare results between periods by isolating the impact of provision for credit losses, which can vary significantly between periods.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 18
The PNC Financial Services Group, Inc. Consolidated Financial Highlights
(Unaudited)
Noninterest Expense Excluding Integration Costs and Significant Items (non-GAAP)
Noninterest Income Excluding Integration Costs and Significant Items (non-GAAP)
Three months ended
Three months ended
September 30
June 30
Change
September 30
September 30
Change
Dollars in millions
2026
2026
$
%
2026
2025
$
%
Noninterest expense
$
3,751
$
4,098
$
(347)
(8)
%
$
3,751
$
3,461
$
290
8
%
Contribution to PNC Foundation
—
(140)
—
—
Integration costs
(27)
(121)
(27)
—
Noninterest expense excluding integration costs and significant items
(non-GAAP)
$
3,724
$
3,837
$
(113)
(3)
%
$
3,724
$
3,461
$
263
8
%
Noninterest income
$
2,356
$
2,768
Gains related to Visa share exchange
11
448
Visa Class B-3 derivative fair value adjustments
(36)
(85)
2Q26 loss on sale of securities (a)
—
(139)
Integration costs
(9)
(6)
Noninterest income excluding integration costs and significant items
(non-GAAP)
$
2,390
$
2,550
Pretax, pre-provision impact of integration costs and significant items
$
(61)
$
(43)
Income taxes (benefit) (b)
(13)
(28)
After tax impact of integration costs and significant items
$
(48)
$
(15)
(a)
3Q26 results include a $(1) million loss on sale of securities that is not included in these adjustments as a significant item because it is immaterial and its inclusion would not alter the 3Q26 after-tax impact of integration costs and significant items of $0.12 per common share.
(b)
Income taxes on integration costs and significant items are calculated at a statutory tax rate of 21% on pretax, pre-provision earnings. 2Q26 significant items tax impact also includes the benefit of shares donated to the PNC Foundation.
Noninterest expense excluding integration costs and significant items is a non-GAAP measure and is based on adjusting noninterest expense to exclude integration costs related to the FirstBank acquisition and significant items during the period. The significant items are described in the Integration Costs and Significant Items section on page
2
. We believe this non-GAAP measure to be a useful tool for comparison of operating expenses incurred during the normal course of business. The exclusion of integration costs and significant items increases comparability across periods, demonstrates the impact of significant items and provides a useful measure for determining PNC’s expenses that are core to our business operations and expected to recur over time.
Noninterest income excluding integration costs and significant items is a non-GAAP measure and is based on adjusting noninterest income to exclude integration costs related to the FirstBank acquisition and significant items during the period. The significant items are described in the Integration Costs and Significant Items section on page
2
. We believe this non-GAAP measure to be a useful tool for comparison of noninterest income earned during the normal course of business. The exclusion of integration costs and significant items increases comparability across periods, demonstrates the impact of significant items and provides a useful measure for determining PNC’s noninterest income generating activities that are core to our business operations and expected to recur over time.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 19
The PNC Financial Services Group, Inc. Consolidated Financial Highlights
(Unaudited)
Adjusted Diluted Earnings per Common Share Excluding Integration Costs and Significant Items (non-GAAP)
Three months ended
September 30
Per Common
June 30
Per Common
Dollars in millions, except per share data
2026
Share
2026
Share
Net income attributable to diluted common shareholders
$
1,994
$
4.97
$
1,941
$
4.81
After tax impact of integration costs and significant items
48
0.12
15
0.04
Adjusted net income attributable to diluted common shareholders excluding integration costs and significant items
(non-GAAP)
$
2,042
$
5.09
$
1,956
$
4.85
Average diluted common shares outstanding
(In millions)
401
403
The adjusted diluted earnings per common share excluding integration costs and significant items is a non-GAAP measure and excludes integration costs related to the FirstBank acquisition and significant items during the period. It is calculated based on adjusting net income attributable to diluted common shareholders by removing post-tax effects of integration costs and significant items in the period. The significant items are described in the Integration Costs and Significant Items section on page
2
. We believe this non-GAAP measure serves as a useful tool in understanding PNC's results by providing greater comparability between periods, as well as demonstrating the effect of significant items.
Tangible Book Value per Common Share (non-GAAP)
September 30
June 30
September 30
Dollars in millions, except per share data
2026
2026
2025
Book value per common share
$
142.17
$
145.52
$
135.67
Tangible book value per common share
Common shareholders' equity
$
56,474
$
58,131
$
53,235
Goodwill and other intangible assets
(14,113)
$
(14,161)
(11,163)
Deferred tax liabilities on goodwill and other intangible assets
400
408
243
Tangible common shareholders' equity
$
42,761
$
44,378
$
42,315
Period-end common shares outstanding
(In millions)
397
399
392
Tangible book value per common share
(non-GAAP)
$
107.64
$
111.09
$
107.84
Tangible book value per common share is a non-GAAP measure and is calculated based on tangible common shareholders' equity divided by period-end common shares outstanding. We believe this non-GAAP measure serves as a useful tool to help evaluate the strength and discipline of a company’s capital management strategies and as an additional, conservative measure of total company value.
Return on Average Tangible Common Equity (non-GAAP)
Three months ended
September 30
June 30
September 30
Dollars in millions
2026
2026
2025
Return on average common shareholders' equity
13.89
%
13.61
%
13.24
%
Return on average tangible common equity
Average common shareholders' equity
$
57,278
$
57,556
$
51,969
Average goodwill and other intangible assets
(14,138)
(14,162)
(11,157)
Average deferred tax liabilities on goodwill and other intangible assets
404
412
241
Average tangible common shareholders' equity
$
43,544
$
43,806
$
41,053
Net income attributable to common shareholders
$
2,006
$
1,953
$
1,735
Net income attributable to common shareholders, annualized
$
7,958
$
7,833
$
6,883
Return on average tangible common equity
(non-GAAP)
18.28
%
17.88
%
16.77
%
Return on average tangible common equity is a non-GAAP measure and is calculated based on annualized net income attributable to common shareholders divided by tangible common equity. We believe this non-GAAP measure serves as a useful tool to help measure and assess a company's use of common equity.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 20
The PNC Financial Services Group, Inc. Consolidated Financial Highlights
(Unaudited)
Taxable-Equivalent Net Interest Income (non-GAAP)
Three months ended
September 30
June 30
September 30
Dollars in millions
2026
2026
2025
Net interest income
$
4,206
$
4,107
$
3,648
Taxable-equivalent adjustments
26
27
30
Net interest income
(Fully Taxable-Equivalent - FTE) (non-GAAP)
$
4,232
$
4,134
$
3,678
The interest income earned on certain earning assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments. To provide more meaningful comparisons of net interest income, we use interest income on a taxable-equivalent basis by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under GAAP. Taxable-equivalent net interest income is only used for calculating net interest margin. Net interest income shown elsewhere in this presentation is GAAP net interest income.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 21
Cautionary Statement Regarding Forward-Looking Information
We make statements in this news release and related conference call, and we may from time to time make other statements, regarding our outlook for financial performance, such as earnings, revenues, expenses, tax rates, capital and liquidity levels and ratios, asset levels, asset quality, financial position, and other matters regarding or affecting us and our future business and operations, including our sustainability strategy, that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements are typically identified by words such as “believe,” “plan,” “expect,” “anticipate,” “see,” “look,” “intend,” “outlook,” “project,” “forecast,” “estimate,” “goal,” “will,” “should” and other similar words and expressions.
Forward-looking statements are necessarily subject to numerous assumptions, risks and uncertainties, which change over time. Future events or circumstances may change our outlook and may also affect the nature of the assumptions, risks and uncertainties to which our forward-looking statements are subject. Forward-looking statements speak only as of the date made. We do not assume any duty and do not undertake any obligation to update forward-looking statements. Actual results or future events could differ, possibly materially, from those anticipated in forward-looking statements, as well as from historical performance. As a result, we caution against placing undue reliance on any forward-looking statements.
Our forward-looking statements are subject to the following principal risks and uncertainties.
▪
Our businesses, financial results and balance sheet values are affected by business and economic conditions, including:
–
Changes in interest rates and valuations in debt, equity and other financial markets,
–
Disruptions in the U.S. and global financial markets,
–
Actions by the Federal Reserve Board, U.S. Treasury and other government agencies, including those that impact money supply, market interest rates and inflation,
–
Changes in customer behavior due to changing business and economic conditions or legislative or regulatory initiatives,
–
Changes in customers’, suppliers’ and other counterparties’ performance and creditworthiness,
–
Impacts of sanctions, tariffs and other trade policies of the U.S. and its global trading partners,
–
Impacts of changes in federal, state and local governmental policy, including on the regulatory landscape, capital markets, taxes, infrastructure spending and social programs,
–
Our ability to attract, recruit and retain skilled employees, and
–
Commodity price volatility.
▪
Our forward-looking financial statements are subject to the risk that economic and financial market conditions will be substantially different than those we are currently expecting. These statements are based on our views that:
–
PNC’s baseline forecast remains for continued expansion in 2026 into 2027. Economic growth has remained solid despite the increase in oil prices, supported by very strong AI-related capex and resilient consumer spending. We expect real GDP growth above 2% in 2026, with continued modest job gains and the unemployment rate holding roughly steady. Inflation risks remain elevated, with trend core inflation staying above 3% through year-end. Risks to our growth and inflation outlook include a reversal in AI-related sentiment, which would have knock-on effects on both capex and wealth-driven consumer spending, as well as any further sharp rise in bond yields.
–
Our baseline forecast is for the Federal Reserve to raise rates twice more, at the December 2026 and March 2027 FOMC meetings, ultimately bringing the federal funds rate to a range of 4.25% to 4.50%.
▪
PNC’s ability to take certain capital actions, including returning capital to shareholders, is subject to PNC meeting or exceeding minimum capital levels, including a stress capital buffer established by the Federal Reserve Board in connection with the Federal Reserve Board’s Comprehensive Capital Analysis and Review (CCAR) process.
▪
PNC's regulatory capital ratios in the future will depend on, among other things, PNC’s financial performance,
the scope and terms of final capital regulations then in effect and management actions affecting the
composition of PNC’s balance sheet. In addition, PNC’s ability to determine, evaluate and forecast regulatory
capital ratios, and to take actions (such as capital distributions) based on actual or forecasted capital ratios,
will be dependent at least in part on the development, validation and regulatory review of related models and
the reliability of and risks resulting from extensive use of such models.
- more -
PNC Reports Third Quarter 2026 Net Income of $2.1 Billion, $4.97 Diluted EPS or $5.09 As Adjusted – Page 22
Cautionary Statement Regarding Forward-Looking Information (Continued)
▪
Legal and regulatory developments could have an impact on our ability to operate our businesses, financial condition, results of operations, competitive position, reputation, or pursuit of attractive acquisition opportunities. Reputational impacts could affect matters such as business generation and retention, liquidity, funding, and ability to attract and retain employees. These developments could include:
–
Changes to laws and regulations, including changes affecting oversight of the financial services industry, changes in the enforcement and interpretation of such laws and regulations, and changes in accounting and reporting standards.
–
Unfavorable resolution of legal proceedings or other claims and regulatory and other governmental investigations or other inquiries resulting in monetary losses, costs, or alterations in our business practices, and potentially causing reputational harm to PNC.
–
Results of the regulatory examination and supervision process, including our failure to satisfy requirements of agreements with governmental agencies.
–
Costs associated with obtaining rights in intellectual property claimed by others and of adequacy of our intellectual property protection in general.
▪
Business and operating results are affected by our ability to identify and effectively manage risks inherent in our businesses, including, where appropriate, through effective use of systems and controls, third-party insurance, derivatives, and capital management techniques, and to meet evolving regulatory capital and liquidity standards.
▪
Our reputation and business and operating results may be affected by our ability to appropriately meet or address environmental, social or governance targets, goals, commitments or concerns that may arise.
▪
We grow our business in part through acquisitions and new strategic initiatives. Risks and uncertainties include those presented by the nature of the business acquired and strategic initiative, including in some cases those associated with our entry into new businesses or new geographic or other markets and risks resulting from our inexperience in those new areas, as well as risks and uncertainties related to the acquisition transactions themselves, regulatory issues, the integration of the acquired businesses into PNC after closing or any failure to execute strategic or operational plans.
▪
Competition can have an impact on customer acquisition, growth and retention and on credit spreads and product pricing, which can affect market share, deposits and revenues. Our ability to anticipate and respond to technological changes can also impact our ability to respond to customer needs and meet competitive demands.
▪
Business and operating results can also be affected by widespread manmade, natural and other disasters (including severe weather events), health emergencies, dislocations, geopolitical instabilities or events, terrorist activities, system failures or disruptions, security breaches, cyberattacks, international hostilities, or other extraordinary events beyond PNC’s control through impacts on the economy and financial markets generally or on us or our counterparties, customers or third-party vendors and service providers specifically.
We provide greater detail regarding these as well as other factors in our most recent Form 10-K and in any subsequent Form 10-Qs, including in the Risk Factors and Risk Management sections and the Legal Proceedings and Commitments Notes of the Notes To Consolidated Financial Statements in those reports, and in our other subsequent SEC filings. Our forward-looking statements may also be subject to other risks and uncertainties, including those we may discuss elsewhere in this news release or in our SEC filings, accessible on the SEC’s website at www.sec.gov and on our corporate website at www.pnc.com/secfilings. We have included these web addresses as inactive textual references only. Information on these websites is not part of this document.
###

----- q32026financialsupplement.htm -----
EX-99.2
3
q32026financialsupplement.htm
EX-99.2
Document
Exhibit 99.2
THE PNC FINANCIAL SERVICES GROUP, INC.
FINANCIAL SUPPLEMENT
THIRD QUARTER 2026
(Unaudited)
THE PNC FINANCIAL SERVICES GROUP, INC.
FINANCIAL SUPPLEMENT
THIRD QUARTER 2026
(UNAUDITED)
Consolidated Results:
Page
Income Statement
1
Balance Sheet
2
Average Balance Sheet
3
Details of Net Interest Margin
4
Loans
5
Allowance for Credit Losses
6
-7
Nonperforming Assets
8
Accruing Loans Past Due
9
-10
Business Segment Results:
Descriptions
11
Period End Employees
11
Net Income and Revenue
12
Retail Banking
13
-14
Corporate & Institutional Banking
15
-16
Asset Management Group
17
Glossary of Terms
18
-19
The information contained in this Financial Supplement is preliminary, unaudited and based on data available on October 15, 2026. This information speaks only as of the particular date or dates included in the schedules. We do not undertake any obligation to, and disclaim any duty to, correct or update any of the information provided in this Financial Supplement. Our future financial performance is subject to risks and uncertainties as described in our United States Securities and Exchange Commission (SEC) filings.
BUSINESS
PNC is one of the largest diversified financial services companies in the United States (U.S.) and is headquartered in Pittsburgh, Pennsylvania. PNC has businesses engaged in retail banking, corporate and institutional banking and asset management, providing many of its products and services nationally. PNC's retail branch network is located coast-to-coast. PNC also has strategic international offices in four countries outside the U.S.
ACQUISITION OF FIRSTBANK HOLDING COMPANY
On January 5, 2026, PNC completed its acquisition of FirstBank Holding Company, including its banking subsidiary FirstBank. At close, FirstBank had $26 billion of assets, $16 billion of loans and $23 billion of deposits. Effective January 5, 2026, FirstBank’s financial results are included in PNC’s consolidated operations.
As of June 22, 2026, PNC converted approximately 780,000 customers, more than 1,620 employees and 95 branches across Colorado and Arizona, merging FirstBank into PNC Bank. Our second quarter 2026 Form 10-Q included additional information on this acquisition.
EDUCATION LOAN PORTFOLIO
During the third quarter of 2026, PNC transferred its $1.4 billion education loan portfolio to Loans held-for-sale and incurred $35 million in charge-offs upon transfer. Prior to the transfer, this portfolio was included in loan disclosures within the Other consumer loan class.
THE PNC FINANCIAL SERVICES GROUP, INC.
Cross Reference Index to Third Quarter 2026 Financial Supplement (Unaudited)
Financial Supplement Table Reference
Table
Description
Page
1
Consolidated Income Statement
1
2
Consolidated Balance Sheet
2
3
Average Consolidated Balance Sheet
3
4
Details of Net Interest Margin
4
5
Details of Loans
5
6
Change in Allowance for Loan and Lease Losses
6
7
Components of the Provision for Credit Losses
7
8
Allowance for Credit Losses by Loan Class
7
9
Nonperforming Assets by Type
8
10
Change in Nonperforming Assets
8
11
Accruing Loans Past Due 30 to 59 Days
9
12
Accruing Loans Past Due 60 to 89 Days
9
13
Accruing Loans Past Due 90 Days or More
10
14
Period End Employees
11
15
Summary of Business Segment Net Income and Revenue
12
16
Retail Banking
13
-14
17
Corporate & Institutional Banking
15
-16
18
Asset Management Group
17
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 1
Table 1: Consolidated Income Statement (Unaudited)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
In millions, except per share data
2026
2026
2026
2025
2025
2026
2025
Interest Income
Loans
$
5,187
$
4,986
$
4,792
$
4,640
$
4,751
$
14,965
$
13,832
Investment securities
1,356
1,263
1,202
1,188
1,211
3,821
3,486
Other
461
445
450
552
565
1,356
1,609
Total interest income
7,004
6,694
6,444
6,380
6,527
20,142
18,927
Interest Expense
Deposits
1,799
1,682
1,735
1,864
1,980
5,216
5,633
Borrowed funds
999
905
748
785
899
2,652
2,615
Total interest expense
2,798
2,587
2,483
2,649
2,879
7,868
8,248
Net interest income
4,206
4,107
3,961
3,731
3,648
12,274
10,679
Noninterest Income
Asset management and brokerage
447
440
420
411
404
1,307
1,186
Capital markets and advisory
433
577
463
489
432
1,473
1,059
Card and cash management
769
772
738
733
737
2,279
2,166
Lending and deposit services
358
346
340
342
335
1,044
968
Residential and commercial mortgage
135
144
118
148
161
397
423
Other income
Gains related to Visa share exchange
11
448
—
—
—
459
—
Securities gains (losses)
(1)
(139)
28
(7)
—
(112)
(2)
Other (a)
204
180
97
224
198
481
549
Total other income
214
489
125
217
198
828
547
Total noninterest income
2,356
2,768
2,204
2,340
2,267
7,328
6,349
Total revenue
6,562
6,875
6,165
6,071
5,915
19,602
17,028
Provision For Credit Losses
189
191
210
139
167
590
640
Noninterest Expense
Personnel
2,031
2,273
2,106
2,033
1,970
6,410
5,749
Occupancy
262
252
262
247
235
776
715
Equipment
435
435
415
412
416
1,285
1,194
Marketing
106
110
87
101
93
303
277
Other
917
1,028
898
810
747
2,843
2,296
Total noninterest expense
3,751
4,098
3,768
3,603
3,461
11,617
10,231
Income before income taxes and noncontrolling interests
2,622
2,586
2,187
2,329
2,287
7,395
6,157
Income taxes
525
531
415
296
465
1,471
1,193
Net income
2,097
2,055
1,772
2,033
1,822
5,924
4,964
Less: Net income attributable to noncontrolling interests
16
15
12
13
14
43
48
Preferred stock dividends (b)
73
85
73
83
71
231
225
Preferred stock discount accretion and redemptions
2
2
1
3
2
5
6
Net income attributable to common shareholders
$
2,006
$
1,953
$
1,686
$
1,934
$
1,735
$
5,645
$
4,685
Earnings Per Common Share
Basic
$
4.98
$
4.82
$
4.13
$
4.88
$
4.36
$
13.92
$
11.73
Diluted
$
4.97
$
4.81
$
4.13
$
4.88
$
4.35
$
13.91
$
11.72
Average Common Shares Outstanding
Basic
401
403
405
394
396
403
397
Diluted
401
403
405
394
396
403
397
Efficiency
57
%
60
%
61
%
59
%
59
%
59
%
60
%
Noninterest income to total revenue
36
%
40
%
36
%
39
%
38
%
37
%
37
%
Effective tax rate (c)
20.0
%
20.5
%
19.0
%
12.7
%
20.3
%
19.9
%
19.4
%
(a)
Includes Visa derivative fair value adjustments of $(36) million, $(85) million, $(32) million, $(41) million and $(35) million for the quarters ended September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025 and $(153) million and $(73) million for the nine months ended September 30, 2026 and September 30, 2025, respectively. These adjustments are primarily related to escrow funding and the extension of anticipated litigation resolution timing.
(b)
Dividends are payable quarterly, other than Series S preferred stock, which is payable semiannually.
(c)
The effective income tax rates are generally lower than the statutory rate due to the relationship of pretax income to tax credits and earnings that are not subject to tax.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 2
Table 2: Consolidated Balance Sheet (Unaudited)
September 30
June 30
March 31
December 31
September 30
In millions, except par value
2026
2026
2026
2025
2025
Assets
Cash and due from banks
$
5,755
$
5,951
$
5,646
$
6,777
$
5,553
Interest-earning deposits with banks (a)
24,670
22,794
26,053
32,936
33,318
Loans held for sale (b)
2,753
1,522
1,332
1,939
1,104
Investment securities – available-for-sale
67,175
71,100
71,072
68,135
68,297
Investment securities – held-to-maturity
79,195
78,406
72,040
70,105
73,226
Loans (b)
378,792
367,953
360,923
331,481
326,616
Allowance for loan and lease losses
(4,536)
(4,652)
(4,663)
(4,410)
(4,478)
Net loans
374,256
363,301
356,260
327,071
322,138
Equity investments
12,094
11,735
10,512
10,790
9,972
Mortgage servicing rights
4,049
3,801
3,816
3,659
3,627
Goodwill
13,317
13,317
13,282
10,959
10,962
Other (b)
44,552
44,107
43,015
41,201
40,570
Total assets
$
627,816
$
616,034
$
603,028
$
573,572
$
568,767
Liabilities
Deposits
Noninterest-bearing
$
99,720
$
99,356
$
99,297
$
91,748
$
91,207
Interest-bearing (b)
366,642
350,436
358,351
349,118
341,542
Total deposits
466,362
449,792
457,648
440,866
432,749
Borrowed funds
Federal Home Loan Bank advances
36,512
40,416
21,417
13,000
16,100
Senior debt
36,310
38,144
38,021
38,642
38,695
Subordinated debt
4,239
4,396
4,502
3,016
3,512
Other (b)
2,696
2,767
2,726
2,443
4,037
Total borrowed funds
79,757
85,723
66,666
57,101
62,344
Allowance for unfunded lending related commitments
850
809
832
818
775
Accrued expenses and other liabilities (b)
18,437
15,649
14,206
14,151
13,861
Total liabilities
565,406
551,973
539,352
512,936
509,729
Equity
Preferred stock (c)
—
—
—
—
—
Common stock - $5 par value
Authorized 800,000,000 shares, issued 557,291,841; 557,291,838; 557,213,012; 543,497,966 and 543,412,079 shares
2,786
2,786
2,786
2,717
2,717
Capital surplus
22,059
21,999
21,926
18,922
18,859
Retained earnings
66,715
65,518
64,256
63,266
62,008
Accumulated other comprehensive income (loss)
(6,472)
(4,120)
(3,773)
(3,408)
(4,077)
Common stock held in treasury at cost: 160,049,284; 157,826,113; 155,167,491; 153,084,091 and 151,030,533 shares
(22,735)
(22,175)
(21,568)
(20,912)
(20,517)
Total shareholders’ equity
62,353
64,008
63,627
60,585
58,990
Noncontrolling interests
57
53
49
51
48
Total equity
62,410
64,061
63,676
60,636
59,038
Total liabilities and equity
$
627,816
$
616,034
$
603,028
$
573,572
$
568,767
(a)
Amounts include balances held with the Federal Reserve Bank of $23.9 billion, $22.2 billion, $25.3 billion, $32.0 billion and $32.7 billion as of September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025, respectively.
(b)
Amounts include assets and liabilities for which PNC has elected the fair value option. Our second quarter 2026 Form 10-Q included, and our third quarter 2026 Form 10-Q will include, additional information regarding these items.
(c)
Par value less than $0.5 million at each date.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 3
Table 3: Average Consolidated Balance Sheet (Unaudited) (a) (b)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
In millions
2026
2026
2026
2025
2025
2026
2025
Assets
Interest-earning assets:
Investment securities
Securities available-for-sale
Residential mortgage-backed
$
35,582
$
37,333
$
34,652
$
33,564
$
34,752
$
35,859
$
34,374
U.S. Treasury and government agencies
27,886
27,972
28,491
28,119
26,799
28,114
25,527
Other
8,563
8,407
8,505
8,202
8,293
8,492
7,875
Total securities available-for-sale
72,031
73,712
71,648
69,885
69,844
72,465
67,776
Securities held-to-maturity
Residential mortgage-backed
53,623
46,512
45,078
42,925
42,667
48,436
41,060
U.S. Treasury and government agencies
17,575
18,687
20,683
23,426
25,540
18,970
27,111
Other
8,121
8,188
7,117
5,983
6,384
7,812
6,912
Total securities held-to-maturity
79,319
73,387
72,878
72,334
74,591
75,218
75,083
Total investment securities
151,350
147,099
144,526
142,219
144,435
147,683
142,859
Loans
Commercial and industrial
232,552
223,711
211,358
198,726
195,903
222,618
190,571
Commercial real estate
36,623
35,057
34,367
30,173
30,850
35,357
31,911
Consumer
54,704
55,334
55,483
54,884
54,238
55,171
53,840
Residential real estate
48,295
49,094
49,675
44,146
44,941
49,016
45,526
Total loans
372,174
363,196
350,883
327,929
325,932
362,162
321,848
Interest-earning deposits with banks (c)
27,686
30,734
32,612
32,009
35,003
30,327
33,815
Other interest-earning assets
14,904
13,985
12,457
18,618
12,759
13,799
11,432
Total interest-earning assets
566,114
555,014
540,478
520,775
518,129
553,971
509,954
Noninterest-earning assets
62,772
61,256
60,984
55,071
53,404
61,652
53,350
Total assets
$
628,886
$
616,270
$
601,462
$
575,846
$
571,533
$
615,623
$
563,304
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing deposits
Money market
$
82,821
$
81,402
$
85,196
$
78,742
$
75,890
$
83,131
$
73,297
Demand
135,951
136,487
137,558
132,591
128,962
136,660
126,760
Savings
105,192
102,624
100,940
97,188
96,627
102,934
97,018
Time deposits
36,012
33,027
35,579
36,180
37,593
34,874
35,363
Total interest-bearing deposits
359,976
353,540
359,273
344,701
339,072
357,599
332,438
Borrowed funds
Federal Home Loan Bank advances
37,595
29,362
16,616
14,671
17,615
27,935
18,538
Senior debt
38,278
38,184
37,383
38,623
38,012
37,952
36,374
Subordinated debt
4,541
4,544
4,200
3,299
3,616
4,430
3,871
Other
5,260
6,843
4,675
3,722
7,070
5,594
6,594
Total borrowed funds
85,674
78,933
62,874
60,315
66,313
75,911
65,377
Total interest-bearing liabilities
445,650
432,473
422,147
405,016
405,385
433,510
397,815
Noninterest-bearing liabilities and equity:
Noninterest-bearing deposits
101,208
103,479
99,081
94,834
92,756
101,263
92,760
Accrued expenses and other liabilities
18,831
16,848
16,944
16,646
15,624
17,541
16,382
Equity
63,197
63,470
63,290
59,350
57,768
63,309
56,347
Total liabilities and equity
$
628,886
$
616,270
$
601,462
$
575,846
$
571,533
$
615,623
$
563,304
(a)
Calculated using average daily balances.
(b)
Nonaccrual loans are included in loans, net of unearned income. The impact of financial derivatives used in interest rate risk management is included in the interest income/expense and average yields/rates of the related assets and liabilities. Fair value adjustments related to hedged items are included in noninterest-earning assets and noninterest-bearing liabilities. Average balances of securities are based on amortized historical cost (excluding adjustments to fair value, which are included in other assets).
(c)
Amounts include average balances held with the Federal Reserve Bank of $26.9 billion, $29.9 billion, $31.8 billion, $31.3 billion and $34.2 billion for the three months ended September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025 and $29.5 billion and $33.1 billion for the nine months ended September 30, 2026 and 2025, respectively.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 4
Table 4: Details of Net Interest Margin (Unaudited)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
2026
2026
2026
2025
2025
2026
2025
Average yields/rates (a)
Yield on interest-earning assets
Investment securities
Securities available-for-sale
Residential mortgage-backed
3.92
%
3.85
%
3.72
%
3.80
%
3.82
%
3.83
%
3.76
%
U.S. Treasury and government agencies
3.96
%
3.94
%
4.04
%
4.29
%
4.58
%
3.98
%
4.56
%
Other
4.07
%
4.01
%
4.00
%
3.97
%
3.91
%
4.02
%
3.75
%
Total securities available-for-sale
3.95
%
3.90
%
3.88
%
4.02
%
4.12
%
3.91
%
4.06
%
Securities held-to-maturity
Residential mortgage-backed
3.62
%
3.31
%
3.20
%
3.13
%
3.07
%
3.39
%
2.94
%
U.S. Treasury and government agencies
1.67
%
1.64
%
1.59
%
1.50
%
1.51
%
1.63
%
1.52
%
Other
4.42
%
4.36
%
4.23
%
4.28
%
4.35
%
4.34
%
4.36
%
Total securities held-to-maturity
3.27
%
3.00
%
2.84
%
2.70
%
2.65
%
3.04
%
2.56
%
Total investment securities
3.59
%
3.45
%
3.36
%
3.35
%
3.36
%
3.47
%
3.27
%
Loans
Commercial and industrial
5.42
%
5.39
%
5.43
%
5.55
%
5.78
%
5.41
%
5.74
%
Commercial real estate
5.69
%
5.71
%
5.79
%
5.92
%
6.06
%
5.73
%
6.00
%
Consumer
7.06
%
6.94
%
6.99
%
7.09
%
7.18
%
7.00
%
7.14
%
Residential real estate
4.00
%
4.03
%
3.97
%
3.74
%
3.75
%
4.00
%
3.77
%
Total loans
5.50
%
5.47
%
5.50
%
5.60
%
5.76
%
5.49
%
5.72
%
Interest-earning deposits with banks
3.66
%
3.63
%
3.64
%
3.92
%
4.34
%
3.64
%
4.37
%
Other interest-earning assets
5.39
%
4.69
%
4.95
%
4.95
%
5.51
%
5.02
%
5.71
%
Total yield on interest-earning assets
4.90
%
4.82
%
4.80
%
4.86
%
4.99
%
4.84
%
4.94
%
Rate on interest-bearing liabilities
Interest-bearing deposits
Money market
2.62
%
2.51
%
2.53
%
2.77
%
3.07
%
2.55
%
3.02
%
Demand
1.66
%
1.60
%
1.61
%
1.78
%
1.96
%
1.63
%
1.91
%
Savings
1.49
%
1.48
%
1.49
%
1.62
%
1.68
%
1.49
%
1.65
%
Time deposits
3.15
%
3.03
%
3.26
%
3.53
%
3.67
%
3.15
%
3.66
%
Total interest-bearing deposits
1.98
%
1.91
%
1.96
%
2.14
%
2.32
%
1.95
%
2.26
%
Borrowed funds
Federal Home Loan Bank advances
3.94
%
3.89
%
3.98
%
4.41
%
4.73
%
3.93
%
4.74
%
Senior debt
5.19
%
5.10
%
5.14
%
5.55
%
5.85
%
5.15
%
5.76
%
Subordinated debt
5.26
%
5.16
%
5.12
%
5.52
%
5.81
%
5.18
%
5.68
%
Other
4.77
%
4.08
%
4.14
%
4.02
%
4.19
%
4.31
%
4.26
%
Total borrowed funds
4.62
%
4.57
%
4.76
%
5.18
%
5.38
%
4.64
%
5.31
%
Total rate on interest-bearing liabilities
2.49
%
2.39
%
2.37
%
2.59
%
2.81
%
2.42
%
2.76
%
Interest rate spread
2.41
%
2.43
%
2.43
%
2.27
%
2.18
%
2.42
%
2.18
%
Benefit from use of noninterest-bearing sources (b)
0.53
%
0.53
%
0.52
%
0.57
%
0.61
%
0.53
%
0.61
%
Net interest margin (c)(d)
2.94
%
2.96
%
2.95
%
2.84
%
2.79
%
2.95
%
2.79
%
(a)
Yields and rates are calculated using the applicable annualized interest income or expense for each product, based on its contractual day-count convention (e.g., 30/360; actual/actual; actual/360), divided by the applicable average earning assets or interest-bearing liabilities. This approach accounts for differences in product conventions to reduce seasonal volatility in net interest margin.
(b)
Represents the positive effects of investing noninterest-bearing sources in interest-earning assets.
(c)
Net interest margin is the total yield on interest-earning assets minus the total rate on interest-bearing liabilities and includes the benefit from use of noninterest-bearing sources.
(d)
To provide more meaningful comparisons of net interest margins, we use net interest income on a taxable-equivalent basis in calculating average yields used in the calculation of net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under GAAP in the Consolidated Income Statement. The taxable-equivalent adjustments to net interest income for the three months ended September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025 were $26 million, $27 million, $29 million, $31 million and $30 million, respectively. The taxable-equivalent adjustments to net interest income for the nine months ended September 30, 2026 and 2025 were $82 million and $86 million, respectively.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 5
Table 5: Details of Loans (Unaudited)
September 30
June 30
March 31
December 31
September 30
In millions
2026
2026
2026
2025
2025
Commercial
Commercial and industrial
Financial services
$
49,120
$
44,297
$
42,224
$
37,592
$
33,939
Manufacturing
36,460
35,114
34,977
30,623
31,044
Service providers
28,149
27,756
27,303
25,552
25,159
Wholesale trade
24,160
22,713
21,146
19,843
19,917
Real estate related (a)
19,774
17,994
17,138
15,275
15,405
Retail trade
14,156
13,375
12,973
12,073
12,408
Technology, media and telecommunications
12,952
12,682
13,613
12,324
11,594
Rental and leasing
10,627
9,696
9,281
9,074
8,940
Health care
10,023
9,536
9,526
9,135
9,851
Transportation and warehousing
9,964
9,893
9,872
9,258
8,156
Other industries
24,646
24,859
23,137
22,149
20,681
Total commercial and industrial
240,031
227,915
221,190
202,898
197,094
Commercial real estate
36,960
35,962
34,770
29,565
30,281
Total commercial
276,991
263,877
255,960
232,463
227,375
Consumer
Residential real estate
48,026
48,709
49,567
43,760
44,637
Home equity
26,280
26,280
26,223
25,941
25,942
Automobile
15,345
15,872
16,325
16,591
16,272
Credit card
7,527
7,311
7,069
7,014
6,636
Other consumer (b)
4,623
5,904
5,779
5,712
5,754
Total consumer
101,801
104,076
104,963
99,018
99,241
Total loans
$
378,792
$
367,953
$
360,923
$
331,481
$
326,616
(a)
Represents loans to customers in the real estate and construction industries.
(b)
During the third quarter of 2026, PNC transferred its $1.4 billion education loan portfolio to Loans held-for-sale.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 6
Allowance for Credit Losses (Unaudited)
Table 6: Change in Allowance for Loan and Lease Losses
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions
2026
2026
2026
2025
2025
2026
2025
Allowance for loan and lease losses
Beginning balance
$
4,652
$
4,663
$
4,410
$
4,478
$
4,523
$
4,410
$
4,486
Acquisition PCD reserves
—
—
93
—
—
93
—
Acquisition PSL reserves (a)
—
—
229
—
—
229
—
Adjusted beginning balance
4,652
4,663
4,732
4,478
4,523
4,732
4,486
Gross charge-offs:
Commercial and industrial
(131)
(141)
(129)
(85)
(97)
(401)
(309)
Commercial real estate
(33)
(24)
(19)
(15)
(19)
(76)
(101)
Residential real estate
(2)
—
(1)
—
(6)
(3)
(8)
Home equity
(11)
(10)
(10)
(7)
(10)
(31)
(28)
Automobile
(28)
(29)
(31)
(33)
(32)
(88)
(97)
Credit card
(68)
(78)
(74)
(73)
(76)
(220)
(247)
Other consumer (b)
(79)
(42)
(45)
(43)
(44)
(166)
(130)
Acquired loans (c)
—
—
(45)
—
—
(45)
—
Total gross charge-offs
(352)
(324)
(354)
(256)
(284)
(1,030)
(920)
Recoveries:
Commercial and industrial
35
33
33
33
38
101
133
Commercial real estate
1
3
5
3
6
9
19
Residential real estate
3
2
2
3
3
7
8
Home equity
13
7
8
8
7
28
27
Automobile
20
21
20
22
25
61
72
Credit card
19
19
20
15
17
58
47
Other consumer
4
13
13
10
9
30
32
Total recoveries
95
98
101
94
105
294
338
Net (charge-offs) / recoveries:
Commercial and industrial
(96)
(108)
(96)
(52)
(59)
(300)
(176)
Commercial real estate
(32)
(21)
(14)
(12)
(13)
(67)
(82)
Residential real estate
1
2
1
3
(3)
4
—
Home equity
2
(3)
(2)
1
(3)
(3)
(1)
Automobile
(8)
(8)
(11)
(11)
(7)
(27)
(25)
Credit card
(49)
(59)
(54)
(58)
(59)
(162)
(200)
Other consumer
(75)
(29)
(32)
(33)
(35)
(136)
(98)
Acquired loans
—
—
(45)
—
—
(45)
—
Total net (charge-offs)
(257)
(226)
(253)
(162)
(179)
(736)
(582)
Provision for credit losses (d)
141
213
188
93
136
542
567
Other
—
2
(4)
1
(2)
(2)
7
Ending balance
$
4,536
$
4,652
$
4,663
$
4,410
$
4,478
$
4,536
$
4,478
Supplemental Information
Net charge-offs
Commercial net charge-offs
$
(128)
$
(129)
$
(120)
$
(64)
$
(72)
$
(377)
$
(258)
Consumer net charge-offs
(129)
(97)
(133)
(98)
(107)
(359)
(324)
Total net charge-offs
(257)
(226)
(253)
(162)
(179)
(736)
(582)
Net charge-offs to average loans (annualized)
0.28
%
0.25
%
0.29
%
0.20
%
0.22
%
0.26
%
0.24
%
Commercial
0.20
%
0.20
%
0.18
%
0.11
%
0.13
%
0.18
%
0.15
%
Consumer
0.49
%
0.37
%
0.38
%
0.39
%
0.43
%
0.42
%
0.44
%
(a)
On January 1, 2026, we adopted ASU 2025-08 -
Financial Instruments - Credit Losses (Topic 326): Purchased Loans,
and established the initial ACL for purchased seasoned loans (PSLs). Our third quarter 2026 Form 10-Q will include additional information on the adoption of this ASU.
(b)
During the third quarter of 2026, PNC transferred its $1.4 billion education loan portfolio to Loans held-for-sale and incurred $35 million in charge-offs upon transfer.
(c)
Primarily represents the charge-off of certain loans previously charged off by FirstBank, which were written up upon acquisition to unpaid principal balance as required by purchase accounting.
(d)
See Table 7 for the components of the Provision for credit losses being reported on the Consolidated Income Statement.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 7
Allowance for Credit Losses (Unaudited) (Continued)
Table 7: Components of the Provision for Credit Losses
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
In millions
2026
2026
2026
2025
2025
2026
2025
Provision for credit losses
Loans and leases
$
141
$
213
$
188
$
93
$
136
$
542
$
567
Unfunded lending related commitments
40
(20)
14
43
16
34
54
Investment securities
—
(1)
—
—
(1)
(1)
1
Other financial assets
8
(1)
8
3
16
15
18
Total provision for credit losses
$
189
$
191
$
210
$
139
$
167
$
590
$
640
Table 8: Allowance for Credit Losses by Loan Class (a)
September 30, 2026
June 30, 2026
September 30, 2025
Dollars in millions
Allowance Amount
Total Loans
% of Total Loans
Allowance Amount
Total Loans
% of Total Loans
Allowance Amount
Total Loans
% of Total Loans
Allowance for loan and lease losses
Commercial
Commercial and industrial
$
2,106
$
240,031
0.88
%
$
2,219
$
227,915
0.97
%
$
2,036
$
197,094
1.03
%
Commercial real estate
1,085
36,960
2.94
%
1,035
35,962
2.88
%
1,142
30,281
3.77
%
Total commercial
3,191
276,991
1.15
%
3,254
263,877
1.23
%
3,178
227,375
1.40
%
Consumer
Residential real estate
101
48,026
0.21
%
90
48,709
0.18
%
50
44,637
0.11
%
Home equity
270
26,280
1.03
%
280
26,280
1.07
%
285
25,942
1.10
%
Automobile
150
15,345
0.98
%
160
15,872
1.01
%
153
16,272
0.94
%
Credit card
654
7,527
8.69
%
647
7,311
8.85
%
596
6,636
8.98
%
Other consumer
170
4,623
3.68
%
221
5,904
3.74
%
216
5,754
3.75
%
Total consumer
1,345
101,801
1.32
%
1,398
104,076
1.34
%
1,300
99,241
1.31
%
Total
4,536
$
378,792
1.20
%
4,652
$
367,953
1.26
%
4,478
$
326,616
1.37
%
Allowance for unfunded lending related commitments
850
809
775
Allowance for credit losses
$
5,386
$
5,461
$
5,253
Supplemental Information
Allowance for credit losses to total loans
1.42
%
1.48
%
1.61
%
Commercial
1.40
%
1.49
%
1.68
%
Consumer
1.47
%
1.48
%
1.45
%
(a)    Excludes allowances for investment securities and other financial assets, which together totaled $103 million, $99 million and $101 million at September 30, 2026, June 30, 2026 and September 30, 2025, respectively.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 8
Details of Nonperforming Assets (Unaudited)
Table 9: Nonperforming Assets by Type
September 30
June 30
March 31
December 31
September 30
Dollars in millions
2026
2026
2026
2025
2025
Nonperforming loans
Commercial
Commercial and industrial
Service providers
$
269
$
131
$
136
$
116
$
119
Wholesale trade
107
106
97
161
96
Manufacturing
110
186
224
98
75
Transportation and warehousing
77
83
71
62
68
Real estate related (a)
63
50
25
27
20
Health care
50
47
42
47
45
Technology, media and telecommunications
41
41
25
27
83
Retail trade
9
14
79
194
36
Rental and leasing
5
4
5
6
13
Other industries
24
23
46
46
64
Total commercial and industrial
755
685
750
784
619
Commercial real estate
559
464
630
574
663
Total commercial
1,314
1,149
1,380
1,358
1,282
Consumer (b)
Residential real estate
319
325
316
320
326
Home equity
465
456
447
439
431
Automobile
81
82
85
83
82
Credit card
12
11
12
13
13
Other consumer
3
4
3
5
3
Total consumer
880
878
863
860
855
Total nonperforming loans (c)
2,194
2,027
2,243
2,218
2,137
OREO, foreclosed and other assets (d)
131
123
139
143
162
Total nonperforming assets
$
2,325
$
2,150
$
2,382
$
2,361
$
2,299
Nonperforming loans to total loans
0.58
%
0.55
%
0.62
%
0.67
%
0.65
%
Nonperforming assets to total loans, OREO, foreclosed and other assets (d)
0.61
%
0.58
%
0.66
%
0.71
%
0.70
%
Nonperforming assets to total assets
0.37
%
0.35
%
0.40
%
0.41
%
0.40
%
Allowance for loan and lease losses to nonperforming loans
207
%
230
%
208
%
199
%
210
%
(a)
Represents loans related to customers in the real estate and construction industries.
(b)
Excludes most unsecured consumer loans and lines of credit, which are charged off after 120 to 180 days past due and are not placed on nonperforming status.
(c)
Nonperforming loans exclude certain government insured or guaranteed loans, loans held for sale and loans accounted for under the fair value option.
(d)
Amounts include nonaccrual servicing advances primarily to single asset/single borrower trusts with commercial real estate as collateral totaling $86 million, $90 million, $103 million, $105 million and $127 million at September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025, respectively.
Table 10: Change in Nonperforming Assets
Three months ended
September 30
June 30
March 31
December 31
September 30
Dollars in millions
2026
2026
2026
2025
2025
Beginning balance
$
2,150
$
2,382
$
2,361
$
2,299
$
2,141
New nonperforming assets
692
335
539
569
653
Charge-offs and valuation adjustments
(153)
(150)
(152)
(91)
(103)
Principal activity, including paydowns and payoffs
(293)
(174)
(343)
(248)
(299)
Asset sales and transfers to loans held for sale
(3)
(68)
(9)
(33)
(13)
Returned to performing status
(68)
(175)
(95)
(135)
(80)
Acquired nonperforming assets
—
—
81
—
—
Ending balance
$
2,325
$
2,150
$
2,382
$
2,361
$
2,299
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 9
Accruing Loans Past Due (Unaudited)
Table 11: Accruing Loans Past Due 30 to 59 Days (a)
September 30
June 30
March 31
December 31
September 30
Dollars in millions
2026
2026
2026
2025
2025
Commercial
Commercial and industrial
$
106
$
123
$
283
$
182
$
161
Commercial real estate
11
7
90
14
9
Total commercial
117
130
373
196
170
Consumer
Residential real estate
Non government insured
212
305
221
170
166
Government insured
66
67
63
73
79
Home equity
60
65
73
70
73
Automobile
60
59
59
74
70
Credit card
42
37
41
45
45
Other consumer
8
32
33
32
32
Total consumer
448
565
490
464
465
Total
$
565
$
695
$
863
$
660
$
635
Supplemental Information
Total accruing loans past due 30-59 days to total loans
0.15
%
0.19
%
0.24
%
0.20
%
0.19
%
Commercial
0.04
%
0.05
%
0.15
%
0.08
%
0.07
%
Consumer
0.44
%
0.54
%
0.47
%
0.47
%
0.47
%
(a)
Excludes loans held for sale.
Table 12: Accruing Loans Past Due 60 to 89 Days (a)
September 30
June 30
March 31
December 31
September 30
Dollars in millions
2026
2026
2026
2025
2025
Commercial
Commercial and industrial
$
85
$
121
$
50
$
103
$
67
Commercial real estate
102
9
17
98
—
Total commercial
187
130
67
201
67
Consumer
Residential real estate
Non government insured
61
78
69
57
48
Government insured
37
37
41
44
39
Home equity
27
26
32
30
27
Automobile
16
15
15
18
17
Credit card
29
28
31
32
31
Other consumer
5
24
18
21
22
Total consumer
175
208
206
202
184
Total
$
362
$
338
$
273
$
403
$
251
Supplemental Information
Total accruing loans past due 60-89 days to total loans
0.10
%
0.09
%
0.08
%
0.12
%
0.08
%
Commercial
0.07
%
0.05
%
0.03
%
0.09
%
0.03
%
Consumer
0.17
%
0.20
%
0.20
%
0.20
%
0.19
%
(a)
Excludes loans held for sale.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 10
Accruing Loans Past Due (Unaudited) (Continued)
Table 13: Accruing Loans Past Due 90 Days or More (a)
September 30
June 30
March 31
December 31
September 30
Dollars in millions
2026
2026
2026
2025
2025
Commercial
Commercial and industrial
$
69
$
76
$
68
$
57
$
71
Commercial real estate
4
—
1
—
1
Total commercial
73
76
69
57
72
Consumer
Residential real estate
Non government insured
49
42
50
46
38
Government insured
183
188
195
163
126
Automobile
6
4
5
5
4
Credit card
57
56
64
65
63
Other consumer
6
37
39
44
44
Total consumer
301
327
353
323
275
Total
$
374
$
403
$
422
$
380
$
347
Supplemental Information
Total accruing loans past due 90 days or more to total loans
0.10
%
0.11
%
0.12
%
0.11
%
0.11
%
Commercial
0.03
%
0.03
%
0.03
%
0.02
%
0.03
%
Consumer
0.30
%
0.31
%
0.34
%
0.33
%
0.28
%
Total accruing loans past due
$
1,301
$
1,436
$
1,558
$
1,443
$
1,233
Commercial
$
377
$
336
$
509
$
454
$
309
Consumer
$
924
$
1,100
$
1,049
$
989
$
924
Total accruing loans past due to total loans
0.34
%
0.39
%
0.43
%
0.44
%
0.38
%
Commercial
0.14
%
0.13
%
0.20
%
0.20
%
0.14
%
Consumer
0.91
%
1.06
%
1.00
%
1.00
%
0.93
%
(a)
Excludes loans held for sale.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 11
Business Segment Descriptions (Unaudited)
Retail Banking
provides deposit, lending, brokerage, insurance services, investment management and cash management products and services to consumer and small business customers who are serviced through our coast-to-coast branch network, digital channels, ATMs, or through our phone-based customer contact centers. Deposit products include checking, savings and money market accounts and time deposits. Lending products include residential mortgages, home equity loans and lines of credit, auto loans, credit cards, personal and small business loans and lines of credit. The residential mortgage loans are directly originated within our branch network and nationwide, and are typically underwritten to agency and/or third-party standards, and either sold, servicing retained or held on our balance sheet. PNC Wealth Management offers brokerage, investment management and cash management products and services which include managed, education, retirement and trust accounts.
Corporate & Institutional Banking
provides lending, treasury management, capital markets and advisory products and services to mid-sized and large corporations and government and not-for-profit entities. Lending products include secured and unsecured loans, letters of credit and equipment leases. The Treasury Management business provides corporations with cash and investment management services, receivables and disbursement management services, funds transfer services and access to online/mobile information management and reporting services. Capital markets and advisory includes services and activities primarily related to merger and acquisitions advisory, equity capital markets advisory, asset-backed financing, loan syndication, securities underwriting and customer-related trading. We also provide commercial loan servicing and technology solutions for the commercial real estate finance industry. Products and services are provided nationally.
Asset Management Group
provides private banking for high net worth and ultra high net worth clients and institutional asset management. The Asset Management Group is composed of two operating units:
•
PNC Private Bank provides products and services to emerging affluent, high net worth and ultra high net worth individuals and their families, including investment and retirement planning, customized investment management, credit and cash management solutions, trust management and administration. In addition, multi-generational family planning services are also provided to ultra high net worth individuals and their families, which include estate, financial, tax, fiduciary and customized performance reporting.
•
Institutional Asset Management provides outsourced chief investment officer, custody, cash and fixed income client solutions, and retirement plan fiduciary investment services to institutional clients, including corporations, healthcare systems, insurance companies, municipalities and non-profits.
Table 14: Period End Employees
September 30
June 30
March 31
December 31
September 30
2026
2026
2026
2025
2025
Full-time employees
Retail Banking
26,440
26,611
28,046
26,168
26,126
Other full-time employees
29,132
29,093
28,320
27,691
27,397
Total full-time employees
55,572
55,704
56,366
53,859
53,523
Part-time employees
Retail Banking
1,347
1,429
1,389
1,427
1,367
Other part-time employees
44
495
46
47
48
Total part-time employees
1,391
1,924
1,435
1,474
1,415
Total
56,963
57,628
57,801
55,333
54,938
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 12
Table 15: Summary of Business Segment Net Income and Revenue (Unaudited) (a)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
In millions
2026
2026
2026
2025
2025
2026
2025
Net Income (b)
Retail Banking
$
1,425
$
1,747
$
1,349
$
1,266
$
1,351
$
4,521
$
3,885
Corporate & Institutional Banking
1,552
1,588
1,480
1,597
1,545
4,620
4,196
Asset Management Group
128
135
121
124
120
384
360
Other
(1,024)
(1,430)
(1,190)
(967)
(1,208)
(3,644)
(3,525)
Net income excluding noncontrolling interests
$
2,081
$
2,040
$
1,760
$
2,020
$
1,808
$
5,881
$
4,916
Revenue (b)
Retail Banking
$
4,088
$
4,518
$
4,007
$
3,792
$
3,840
$
12,613
$
11,211
Corporate & Institutional Banking
3,212
3,283
3,086
3,175
3,020
9,581
8,602
Asset Management Group
459
462
455
444
433
1,376
1,282
Other
(1,197)
(1,388)
(1,383)
(1,340)
(1,378)
(3,968)
(4,067)
Total revenue
$
6,562
$
6,875
$
6,165
$
6,071
$
5,915
$
19,602
$
17,028
(a)
Our business information is presented based on our internal management reporting practices. Net interest income in business segment results reflects PNC’s internal funds transfer pricing methodology. Assets receive a funding charge and liabilities and capital receive a funding credit based on a transfer pricing methodology that incorporates product repricing characteristics, tenor and other factors.
(b)
During the second quarter of 2026, PNC updated its internal funds transfer pricing methodology. The update resulted in impacts to net interest income and associated income statement line items for all business segments. Prior periods have been adjusted to conform with the current presentation.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 13
Table 16: Retail Banking (Unaudited) (a)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions
2026
2026
2026
2025
2025
2026
2025
Income Statement
Net interest income (b)
$
3,246
$
3,291
$
3,237
$
3,022
$
3,050
$
9,774
$
8,933
Noninterest income
842
1,227
770
770
790
2,839
2,278
Total revenue (b)
4,088
4,518
4,007
3,792
3,840
12,613
11,211
Provision for credit losses
115
120
124
155
126
359
377
Noninterest expense
Personnel
561
551
571
535
529
1,683
1,606
Segment allocations (c)
1,069
1,090
1,088
1,020
979
3,247
2,924
Depreciation and amortization
138
138
132
95
97
408
270
Other (d)
336
332
324
327
336
992
933
Total noninterest expense
2,104
2,111
2,115
1,977
1,941
6,330
5,733
Pre-tax earnings (b)
1,869
2,287
1,768
1,660
1,773
5,924
5,101
Income taxes (b)
435
532
412
387
413
1,379
1,188
Noncontrolling interests
9
8
7
7
9
24
28
Earnings (b)
$
1,425
$
1,747
752
$
1,349
$
1,266
$
1,351
$
4,521
$
3,885
Average Balance Sheet
Loans held for sale
$
1,169
$
616
$
562
$
699
$
785
$
785
$
839
Loans
Consumer
Residential real estate
$
37,503
$
38,348
$
38,939
$
33,336
$
34,043
$
38,259
$
34,624
Home equity
24,862
24,859
24,913
24,559
24,551
24,878
24,549
Automobile
15,609
16,058
16,499
16,403
16,035
16,052
15,674
Credit card
7,362
7,128
6,912
6,754
6,561
7,135
6,537
Other consumer
2,648
3,164
3,257
3,320
3,334
3,021
3,357
Total consumer
87,984
89,557
90,520
84,372
84,524
89,345
84,741
Commercial
19,899
20,989
20,423
12,603
12,353
20,435
12,638
Total loans
$
107,883
$
110,546
$
110,943
$
96,975
$
96,877
$
109,780
$
97,379
Total assets
$
127,602
$
130,460
$
130,616
$
113,714
$
114,146
$
129,546
$
114,447
Deposits
Noninterest-bearing
$
60,052
$
60,547
$
58,714
$
52,125
$
52,604
$
59,776
$
52,093
Interest-bearing
207,054
211,055
209,519
191,941
190,652
209,200
190,470
Total deposits
$
267,106
$
271,602
$
268,233
$
244,066
$
243,256
$
268,976
$
242,563
Performance Ratios (b)
Return on average assets
4.43
%
5.37
%
4.19
%
4.42
%
4.70
%
4.67
%
4.54
%
Noninterest income to total revenue
21
%
27
%
19
%
20
%
21
%
23
%
20
%
Efficiency
51
%
47
%
53
%
52
%
51
%
50
%
51
%
(continued on following page)
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 14
Retail Banking (Unaudited) (Continued)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions, except as noted
2026
2026
2026
2025
2025
2026
2025
Supplemental Noninterest Income Information
Asset management and brokerage
$
179
$
172
$
161
$
155
$
154
$
512
$
456
Card and cash management
$
350
$
350
$
322
$
328
$
334
$
1,022
$
958
Lending and deposit services
$
211
$
204
$
200
$
199
$
199
$
615
$
573
Residential and commercial mortgage
$
71
$
83
$
63
$
78
$
89
$
217
$
215
Other income - Gains related to Visa share exchange
$
11
$
448
$
—
$
—
$
—
$
459
$
—
Residential Mortgage Information
Residential mortgage servicing statistics (e)
Serviced portfolio balance (in billions) (f)
$
207
$
209
$
212
$
198
$
199
MSR asset value (f)
$
2,908
$
2,762
$
2,786
$
2,638
$
2,622
Servicing income:
Servicing fees, net (g)
$
58
$
61
$
68
$
63
$
60
$
187
$
191
Mortgage servicing rights valuation, net of economic hedge
$
(4)
$
3
$
(27)
$
(5)
$
18
$
(28)
$
16
Residential mortgage loan statistics
Loan origination volume (in billions)
$
1.4
$
1.7
$
1.5
$
1.6
$
1.5
$
4.6
$
4.2
Loan sale margin percentage
2.04
%
2.01
%
2.25
%
1.88
%
1.67
%
2.10
%
1.10
%
Other Information
Credit-related statistics
Nonperforming assets (f)
$
978
$
944
$
932
$
840
$
827
Net charge-offs - loans and leases
$
154
$
123
$
118
$
116
$
126
$
395
$
390
Other statistics
Branches (f)(h)
2,302
2,304
2,315
2,224
2,219
Brokerage account client assets (in billions) (f)(i)
$
97
$
97
$
91
$
91
$
89
(a)
See note (a) on page
12
.
(b)
See note (b) on page
12
.
(c)
Represents expense allocations for corporate overhead services used by each business segment; primarily comprised of technology, human resources and occupancy-related allocations.
(d)
Other is primarily comprised of other direct expenses including outside services and equipment expense.
(e)
Represents mortgage loan servicing balances for third parties and the related income.
(f)
Presented as of period end.
(g)
Servicing fees net of impact of decrease in MSR value due to passage of time, which includes the impact from regularly scheduled loan principal payments, prepayments and loans paid off during the period.
(h)
Reflects all branches excluding standalone mortgage offices and satellite offices (
e.g.
, drive-ups, electronic branches and retirement centers) that provide limited products and/or services.
(i)
Includes cash and money market balances.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 15
Table 17: Corporate & Institutional Banking (Unaudited) (a)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions
2026
2026
2026
2025
2025
2026
2025
Income Statement
Net interest income (b)
$
2,045
$
1,992
$
1,942
$
1,965
$
1,888
$
5,979
$
5,470
Noninterest income
1,167
1,291
1,144
1,210
1,132
3,602
3,132
Total revenue (b)
3,212
3,283
3,086
3,175
3,020
9,581
8,602
Provision for credit losses
76
76
77
14
44
229
277
Noninterest expense
Personnel
455
502
460
472
403
1,417
1,149
Segment allocations (c)
436
418
424
422
387
1,278
1,151
Depreciation and amortization
47
50
46
55
46
143
146
Other (d)
168
161
146
158
140
475
436
Total noninterest expense
1,106
1,131
1,076
1,107
976
3,313
2,882
Pre-tax earnings (b)
2,030
2,076
1,933
2,054
2,000
6,039
5,443
Income taxes (b)
473
483
448
451
450
1,404
1,233
Noncontrolling interests
5
5
5
6
5
15
14
Earnings (b)
$
1,552
$
1,588
$
1,480
$
1,597
$
1,545
$
4,620
$
4,196
Average Balance Sheet
Loans held for sale
$
566
$
635
$
665
$
632
$
691
$
622
$
575
Loans
Commercial
Commercial and industrial
$
216,681
$
207,046
$
194,711
$
185,195
$
182,484
$
206,227
$
176,773
Commercial real estate
31,009
29,008
28,802
29,374
30,032
29,614
31,041
Total commercial
247,690
236,054
223,513
214,569
212,516
235,841
207,814
Consumer
4
3
3
2
2
3
3
Total loans
$
247,694
$
236,057
$
223,516
$
214,571
$
212,518
$
235,844
$
207,817
Total assets
$
276,846
$
263,912
$
249,789
$
241,169
$
238,338
$
263,615
$
233,307
Deposits
Noninterest-bearing
$
39,744
$
41,441
$
38,959
$
41,308
$
38,732
$
40,051
$
39,140
Interest-bearing
124,287
117,169
122,219
122,457
116,460
121,233
110,775
Total deposits
$
164,031
$
158,610
$
161,178
$
163,765
$
155,192
$
161,284
$
149,915
Performance Ratios (b)
Return on average assets
2.22
%
2.41
%
2.40
%
2.63
%
2.57
%
2.34
%
2.40
%
Noninterest income to total revenue
36
%
39
%
37
%
38
%
37
%
38
%
36
%
Efficiency
34
%
34
%
35
%
35
%
32
%
35
%
34
%
(continued on following page)
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 16
Corporate & Institutional Banking (Unaudited) (Continued)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions
2026
2026
2026
2025
2025
2026
2025
Other Information
Consolidated revenue from:
Treasury Management (b) (e)
$
1,175
$
1,171
$
1,171
$
1,199
$
1,122
$
3,517
$
3,252
Commercial mortgage banking activities:
Commercial mortgage loans held for sale (b) (f)
$
23
$
23
$
14
$
34
$
23
$
60
$
73
Commercial mortgage loan servicing income (b) (g)
123
127
120
128
135
370
373
Commercial mortgage servicing rights valuation, net of economic hedge
38
33
28
37
47
99
122
Total
$
184
$
183
$
162
$
199
$
205
$
529
$
568
Commercial mortgage servicing statistics
Serviced portfolio balance (in billions) (h)(i)
$
294
$
294
$
296
$
294
$
293
MSR asset value (h)
$
1,141
$
1,039
$
1,029
$
1,021
$
1,006
Average loans by C&IB business (j)
Corporate Banking
$
146,425
$
139,370
$
128,837
$
121,379
$
118,445
$
138,275
$
114,151
Real Estate
44,466
41,002
41,074
40,836
41,863
42,193
42,555
Business Credit
37,011
36,012
33,944
32,552
32,412
35,667
31,342
Equipment Finance
10,723
10,717
10,595
10,551
10,476
10,678
10,390
Commercial Banking
6,000
5,944
5,976
5,904
6,063
5,973
6,173
Other
3,069
3,012
3,090
3,349
3,259
3,058
3,206
Total average loans
$
247,694
$
236,057
$
223,516
$
214,571
$
212,518
$
235,844
$
207,817
Credit-related statistics
Nonperforming assets (h)
$
1,216
$
1,066
$
1,309
$
1,375
$
1,323
Net charge-offs - loans and leases
$
106
$
105
$
92
$
49
$
53
$
303
$
200
(a)
See note (a) on page
12
.
(b)
See note (b) on page
12
.
(c)
Represents expense allocations for corporate overhead services used by each business segment; primarily comprised of technology, human resources and occupancy-related allocations.
(d)
Other is primarily comprised of other direct expenses including outside services and equipment expense.
(e)
Amounts are reported in net interest income and noninterest income.
(f)
Represents commercial mortgage banking income for valuations on commercial mortgage loans held for sale and related commitments, derivative valuations, origination fees, gains on sale of loans held for sale and net interest income on loans held for sale.
(g)
Represents net interest income and noninterest income from loan servicing, net of reduction in commercial mortgage servicing rights due to time and payoffs. Commercial mortgage servicing rights valuation, net of economic hedge is shown separately.
(h)
Presented as of period end.
(i)
Represents balances related to capitalized servicing.
(j)
During the second quarter of 2026, certain equipment finance activity was centralized and established as a business unit within C&IB. As a result, certain loans were reclassified from Corporate Banking, Commercial Banking and Other to Equipment Finance. Prior periods have been adjusted to conform with the current presentation.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 17
Table 18: Asset Management Group (Unaudited) (a)
Three months ended
Nine months ended
September 30
June 30
March 31
December 31
September 30
September 30
September 30
Dollars in millions, except as noted
2026
2026
2026
2025
2025
2026
2025
Income Statement
Net interest income (b)
$
188
$
191
$
193
$
184
$
179
$
572
$
541
Noninterest income
271
271
262
260
254
804
741
Total revenue (b)
459
462
455
444
433
1,376
1,282
Provision for (recapture of) credit losses
(4)
(3)
5
(11)
4
(2)
(8)
Noninterest expense
Personnel
122
120
125
120
115
367
351
Segment allocations (c)
135
128
127
133
120
390
355
Depreciation and amortization
11
11
10
11
9
32
27
Other (d)
28
30
30
29
29
88
87
Total noninterest expense
296
289
292
293
273
877
820
Pre-tax earnings (b)
167
176
158
162
156
501
470
Income taxes (b)
39
41
37
38
36
117
110
Earnings (b)
$
128
$
135
$
121
$
124
$
120
$
384
$
360
Average Balance Sheet
Loans
Consumer
Residential real estate
$
9,938
$
9,866
$
9,826
$
9,876
$
9,937
$
9,877
$
9,919
Other consumer
4,070
3,964
3,735
3,673
3,574
3,924
3,530
Total consumer
14,008
13,830
13,561
13,549
13,511
13,801
13,449
Commercial
773
814
835
566
659
807
682
Total loans
$
14,781
$
14,644
$
14,396
$
14,115
$
14,170
$
14,608
$
14,131
Total assets
$
15,185
$
15,048
$
14,804
$
14,505
$
14,575
$
15,014
$
14,562
Deposits
Noninterest-bearing
$
1,523
$
1,459
$
1,411
$
1,387
$
1,426
$
1,465
$
1,517
Interest-bearing
25,375
25,575
26,310
25,564
25,437
25,750
25,621
Total deposits
$
26,898
$
27,034
$
27,721
$
26,951
$
26,863
$
27,215
$
27,138
Performance Ratios (b)
Return on average assets
3.34
%
3.60
%
3.31
%
3.39
%
3.27
%
3.42
%
3.31
%
Noninterest income to total revenue
59
%
59
%
58
%
59
%
59
%
58
%
58
%
Efficiency
64
%
63
%
64
%
66
%
63
%
64
%
64
%
Other Information
Nonperforming assets (e)
$
43
$
45
$
45
$
52
$
58
Net charge-offs (recoveries) - loans and leases
$
(1)
$
1
$
—
$
—
$
2
$
—
$
1
Client Assets Under Administration (in billions) (e)(f)
Discretionary client assets under management
PNC Private Bank
$
146
$
146
$
136
$
138
$
137
Institutional Asset Management
104
101
94
96
91
Total discretionary clients assets under management
250
247
230
234
228
Nondiscretionary client assets under administration
249
256
233
238
212
Total
$
499
$
503
$
463
$
472
$
440
(a)
See note (a) on page
12
.
(b)
See note (b) on page
12
.
(c)
Represents expense allocations for corporate overhead services used by each business segment; primarily comprised of technology, human resources and occupancy-related allocations.
(d)
Other is primarily comprised of other direct expenses including outside services and equipment expense.
(e)
Presented as of period end.
(f)
Excludes brokerage account client assets.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 18
Glossary of Terms
Allowance for credit losses (ACL)
– A valuation account that is deducted from or added to the amortized cost basis of the related
financial assets to present the net carrying value at the amount expected to be collected on the financial asset.
Amortized cost basis
– Amount at which a financial asset is originated or acquired, adjusted for applicable accretion or amortization of premiums, discounts and net deferred fees or costs, collection of cash, charge-offs, foreign exchange and fair value hedge accounting adjustments.
Basel III common equity tier 1 (CET1) capital (Tailoring Rules)
– Common stock plus related surplus, net of treasury stock, plus retained earnings, less goodwill, net of associated deferred tax liabilities, less other disallowed intangibles, net of deferred tax liabilities and plus/less other adjustments. Investments in unconsolidated financial institutions, as well as mortgage servicing rights and deferred tax assets, must then be deducted to the extent such items (net of associated deferred tax liabilities) individually exceed 25% of our adjusted Basel III common equity tier 1 capital.
Basel III common equity tier 1 capital ratio
– Common equity tier 1 capital divided by period-end risk-weighted assets (as applicable).
Basel III tier 1 capital
– Common equity tier 1 capital, plus qualifying preferred stock, plus certain trust preferred capital securities, plus certain noncontrolling interests that are held by others and plus/less other adjustments.
Basel III tier 1 capital ratio
– Tier 1 capital divided by period-end risk-weighted assets (as applicable).
Basel III Total capital
– Tier 1 capital plus qualifying subordinated debt, plus certain trust preferred securities, plus, under the Basel III transitional rules and the standardized approach, the allowance for loan and lease losses included in tier 2 capital and other.
Basel III Total capital ratio
– Basel III Total capital divided by period-end risk-weighted assets (as applicable).
Charge-off
– Process of removing a loan or portion of a loan from our balance sheet because it is considered uncollectible. We also record a charge-off when a loan is transferred from portfolio holdings to held for sale by reducing the loan carrying amount to the fair value of the loan, if fair value is less than carrying amount.
Common shareholders’ equity
– Total shareholders' equity less the liquidation value of preferred stock.
Credit valuation adjustment
– Represents an adjustment to the fair value of our derivatives for our own and counterparties’ non-performance risk.
Criticized commercial loans
– Loans with potential or identified weaknesses based upon internal risk ratings that comply with the regulatory classification definitions of “special mention,” “substandard” or “doubtful.”
Current Expected Credit Loss (CECL
) – Methodology for estimating the allowance for credit losses on in-scope financial assets held at amortized cost and unfunded lending related commitments which uses a combination of expected losses over a reasonable and supportable forecast period, a reversion period and long run average credit losses for their estimated contractual term.
Discretionary client assets under management
– Assets over which we have sole or shared investment authority for our customers/clients. We do not include these assets on our Consolidated Balance Sheet.
Earning assets
– Assets that generate income, which include: interest-earning deposits with banks; loans held for sale; loans; investment securities; and certain other assets.
Efficiency
– Noninterest expense divided by total revenue.
Fair value
– The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.
Fee income
– Refers to the following categories within Noninterest income: Asset management and brokerage, Capital markets and advisory, Card and cash management, Lending and deposit services, and Residential and commercial mortgage.
GAAP
– Accounting principles generally accepted in the United States of America.
Leverage ratio
– Basel III tier 1 capital divided by average quarterly adjusted total assets.
Nondiscretionary client assets under administration
– Assets we hold for our customers/clients in a nondiscretionary, custodial capacity. We do not include these assets on our Consolidated Balance Sheet.
THE PNC FINANCIAL SERVICES GROUP, INC.
Page 19
Nonperforming assets
– Nonperforming assets include nonperforming loans, OREO, foreclosed and other assets. We do not accrue interest income on assets classified as nonperforming.
Nonperforming loans
– Loans accounted for at amortized cost whose credit quality has deteriorated to the extent that full collection of contractual principal and interest is not probable. Interest income is not recognized on nonperforming loans. Nonperforming loans exclude certain government insured or guaranteed loans for which we expect to collect substantially all principal and interest, loans held for sale and loans accounted for under the fair value option.
Operating leverage
– The period to period dollar or percentage change in total revenue less the dollar or percentage change in noninterest expense. A positive variance indicates that revenue growth exceeded expense growth (
i.e
., positive operating leverage) while a negative variance implies expense growth exceeded revenue growth (
i.e
., negative operating leverage).
Other real estate owned (OREO) and foreclosed assets
– Assets taken in settlement of troubled loans primarily through deed-in-lieu of foreclosure or foreclosure. Foreclosed assets include real and personal property. Certain assets that have a government-guarantee which are classified as other receivables are excluded.
Purchased credit deteriorated assets (PCD)
– Acquired loans or debt securities that, at acquisition, are determined to have experienced a more-than-insignificant deterioration in credit quality since origination or issuance.
Purchased seasoned loans (PSL)
– Acquired loans that, at acquisition, have not experienced a more-than-insignificant credit deterioration since origination and are deemed "seasoned". A loan is seasoned if it was purchased more than 90 days after origination and PNC was not involved in the origination of the loan. All loans that are acquired without credit deterioration through a business combination are deemed "seasoned".
Risk-weighted assets
– Computed by the assignment of specific risk-weights (as defined by the Board of Governors of the Federal Reserve System) to assets and off-balance sheet instruments.
Servicing rights
– Intangible assets or liabilities created by an obligation to service assets for others. Typical servicing rights include the right to receive a fee for collecting and forwarding payments on loans and related taxes and insurance premiums held in escrow.
Supplementary leverage ratio
– Basel III tier 1 capital divided by Supplementary leverage exposure.
Tailoring Rules
– Rules adopted by the federal banking agencies to better tailor the application of their capital, liquidity, and enhanced prudential requirements for banking organizations to the asset size and risk profile (as measured by certain regulatory metrics) of the banking organization. Effective January 1, 2020, the agencies' capital and liquidity rules classify all BHCs with $100 billion or more in total assets into one of four categories (Category I, Category II, Category III, and Category IV).
Taxable-equivalent interest income
– The interest income earned on certain assets that is completely or partially exempt from federal income tax. These tax-exempt instruments typically yield lower returns than taxable investments.
Unfunded lending related commitments
– Standby letters of credit, financial guarantees, commitments to extend credit and similar unfunded obligations that are not unilaterally, unconditionally, cancelable at PNC’s option.