Bank of America(US:BAC)2025-10-15 10:50markdown [Consolidated Financial Highlights](index=3&type=section&id=Consolidated%20Financial%20Highlights) This section presents key financial performance metrics for the Corporation across various periods Consolidated Financial Highlights (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income applicable to common shareholders | $21,855M | $19,104M | $8,040M | $6,380M | | Diluted earnings per common share | $2.85 | $2.40 | $1.06 | $0.81 | | Return on average common shareholders' equity | 10.63% | 9.59% | 11.53% | 9.44% | | Efficiency ratio | 63.83% | 65.36% | 61.73% | 65.02% | | Book value per share of common stock (period end) | $37.95 | $35.37 | $37.95 | $35.37 | | Headcount (period end) | 213,384 | 213,491 | 213,384 | 213,491 | [Consolidated Statements](index=4&type=section&id=Consolidated%20Statements) This section encompasses the Corporation's primary financial statements, detailing income and comprehensive income [Consolidated Statement of Income](index=4&type=section&id=Consolidated%20Statement%20of%20Income) The Consolidated Statement of Income details the Corporation's revenues, expenses, and net income for the nine months ended September 30, 2025, and comparative quarterly periods, showing a rise in net interest income and total revenue Consolidated Statement of Income Highlights (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net interest income | $44,346M | $41,701M | $15,233M | $13,967M | | Total revenue, net of interest expense | $81,917M | $76,540M | $28,088M | $25,345M | | Net income | $22,981M | $20,467M | $8,469M | $6,896M | | Diluted earnings per common share | $2.85 | $2.40 | $1.06 | $0.81 | [Consolidated Statement of Comprehensive Income](index=4&type=section&id=Consolidated%20Statement%20of%20Comprehensive%20Income) The Consolidated Statement of Comprehensive Income presents the components of other comprehensive income (loss) and total comprehensive income for the nine months ended September 30, 2025, and quarterly periods, highlighting significant changes in derivatives and debt securities Consolidated Statement of Comprehensive Income Highlights (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Comprehensive income | $26,521M | $23,921M | $9,228M | $10,191M | | Net change in debt securities | $489M | $444M | $438M | $417M | | Net change in derivatives | $3,145M | $3,100M | $636M | $2,830M | [Net Interest Income and Noninterest Income](index=5&type=section&id=Net%20Interest%20Income%20and%20Noninterest%20Income) This section provides a detailed breakdown of interest income and expense by source, as well as noninterest income by fee and commission type, for the nine months ended September 30, 2025, and comparative quarterly periods Net Interest Income and Noninterest Income Highlights (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Total interest income | $104,305M | $110,630M | $35,366M | $37,491M | | Total interest expense | $59,959M | $68,929M | $20,133M | $23,524M | | Net interest income | $44,346M | $41,701M | $15,233M | $13,967M | | Total noninterest income | $37,571M | $34,839M | $12,855M | $11,378M | | Investment and brokerage services fees | $14,656M | $13,053M | $5,063M | $4,546M | | Investment banking fees | $4,964M | $4,532M | $2,013M | $1,403M | [Consolidated Balance Sheet](index=6&type=section&id=Consolidated%20Balance%20Sheet) The Consolidated Balance Sheet presents the Corporation's assets, liabilities, and shareholders' equity at September 30, 2025, and comparative prior periods, showing changes in total assets, loans, deposits, and equity Consolidated Balance Sheet Highlights (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Total assets | $3,403,216M | $3,324,293M | | Loans and leases, net of allowance | $1,152,648M | $1,062,549M | | Total deposits | $2,002,208M | $1,930,352M | | Total shareholders' equity | $304,152M | $296,512M | [Capital Management](index=7&type=section&id=Capital%20Management) This section outlines the Corporation's capital structure, risk-based capital metrics, and leverage ratios [Capital Management Overview](index=7&type=section&id=Capital%20Management%20Overview) This section provides an overview of the Corporation's risk-based capital metrics (Standardized and Advanced Approaches) and leverage-based metrics, indicating capital adequacy and ratios at September 30, 2025, and prior periods Capital Management Overview (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 | Sep 30, 2024 | | :--------------------------------- | :----------- | :----------- | | Standardized Common equity tier 1 capital ratio | 11.6% | 11.8% | | Advanced Approaches Common equity tier 1 capital ratio | 13.1% | 13.5% | | Tier 1 leverage ratio | 6.8% | 6.9% | | Supplementary leverage ratio | 5.8% | 5.9% | | Tangible common equity ratio | 6.2% | 6.2% | [Capital Composition under Basel 3](index=8&type=section&id=Capital%20Composition%20under%20Basel%203) This section details the composition of the Corporation's capital under Basel 3, including common equity tier 1, tier 1, and total capital, with adjustments for goodwill, deferred tax assets, and other items Capital Composition under Basel 3 (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Common equity tier 1 capital | $202,875M | $199,805M | | Tier 1 capital | $228,829M | $222,942M | | Total capital under the Standardized approach | $263,414M | $252,381M | - The CECL transition provision's impact was fully phased-in as of January 1, 2025[13](index=13&type=chunk) [Quarterly Average Balances and Interest Rates](index=9&type=section&id=Quarterly%20Average%20Balances%20and%20Interest%20Rates) This section provides a comprehensive breakdown of average earning assets, interest-bearing liabilities, and their corresponding interest income/expense and yields/rates for the third and second quarters of 2025 and the third quarter of 2024 Quarterly Average Balances and Interest Rates (Q3 2025 vs Q3 2024) | Metric | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------- | :----------------- | | Total earning assets (average) | $3,040,188M | $2,917,697M | | Total interest income | $35,520M | $37,638M | | Total interest expense | $20,133M | $23,524M | | Net interest income | $15,387M | $14,114M | | Net interest spread | 0.97% | 0.95% | [Debt Securities](index=10&type=section&id=Debt%20Securities) This section details the composition of available-for-sale and held-to-maturity debt securities, including amortized cost, gross unrealized gains and losses, and fair value, at September 30, 2025, and June 30, 2025 Debt Securities Highlights (Sep 30, 2025 vs Jun 30, 2025) | Metric | Sep 30, 2025 (Millions) | Jun 30, 2025 (Millions) | | :--------------------------------- | :----------- | :----------- | | Total debt securities carried at fair value | $404,636M | $388,930M | | Total held-to-maturity debt securities | $531,449M | $541,322M | | Gross unrealized losses on held-to-maturity debt securities | $(84,907)M | $(93,145)M | [Supplemental Financial Data](index=11&type=section&id=Supplemental%20Financial%20Data) This section presents key financial data on a fully taxable-equivalent (FTE) basis, including net interest income, total revenue, net interest yield, and efficiency ratio, for the nine months ended September 30, 2025, and comparative quarterly periods Supplemental Financial Data (FTE Basis) (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net interest income | $44,790M | $42,166M | $15,387M | $14,114M | | Total revenue, net of interest expense | $82,361M | $77,005M | $28,242M | $25,492M | | Net interest yield | 1.98% | 1.95% | 2.01% | 1.92% | | Efficiency ratio | 63.49% | 64.96% | 61.39% | 64.64% | [Business Segment Performance](index=12&type=section&id=Business%20Segment%20Performance) This section analyzes the financial performance of the Corporation's various business segments and 'All Other' category [Quarterly Results by Business Segment and All Other](index=12&type=section&id=Quarterly%20Results%20by%20Business%20Segment%20and%20All%20Other) This section provides a breakdown of net income, total revenue, and average loans and leases for each business segment (Consumer Banking, GWIM, Global Banking, Global Markets) and All Other, for Q3 2025, Q2 2025, and Q3 2024 Q3 2025 Net Income by Business Segment | Segment | Net Income (Q3 2025) (Millions) | | :--------------------------------- | :------------------- | | Consumer Banking | $3,437M | | Global Wealth & Investment Management | $1,265M | | Global Banking | $2,126M | | Global Markets | $1,647M | | All Other | $(6)M | Q3 2025 Total Revenue by Business Segment | Segment | Total Revenue (Q3 2025) (Millions) | | :--------------------------------- | :-------------------- | | Consumer Banking | $11,166M | | Global Wealth & Investment Management | $6,312M | | Global Banking | $6,245M | | Global Markets | $6,224M | | All Other | $(1,705)M | Q3 2025 Average Total Loans and Leases by Business Segment | Segment | Average Total Loans and Leases (Q3 2025) (Millions) | | :--------------------------------- | :--------------------------------------- | | Consumer Banking | $320,297M | | Global Wealth & Investment Management | $245,523M | | Global Banking | $388,482M | | Global Markets | $190,994M | | All Other | $7,739M | [Year-to-Date Results by Business Segment and All Other](index=14&type=section&id=Year-to-Date%20Results%20by%20Business%20Segment%20and%20All%20Other) This section presents year-to-date financial results for the nine months ended September 30, 2025, and 2024, across all business segments and All Other, detailing revenue, expenses, and net income 9M 2025 Net Income by Business Segment | Segment | Net Income (9M 2025) (Millions) | | :--------------------------------- | :------------------- | | Consumer Banking | $8,941M | | Global Wealth & Investment Management | $3,265M | | Global Banking | $5,738M | | Global Markets | $5,124M | | All Other | $(87)M | 9M 2025 Total Revenue by Business Segment | Segment | Total Revenue (9M 2025) (Millions) | | :--------------------------------- | :-------------------- | | Consumer Banking | $32,472M | | Global Wealth & Investment Management | $18,265M | | Global Banking | $17,912M | | Global Markets | $18,788M | | All Other | $(5,076)M | 9M 2025 Average Total Loans and Leases by Business Segment | Segment | Average Total Loans and Leases (9M 2025) (Millions) | | :--------------------------------- | :--------------------------------------- | | Consumer Banking | $318,178M | | Global Wealth & Investment Management | $238,457M | | Global Banking | $385,062M | | Global Markets | $175,777M | | All Other | $7,819M | [Consumer Banking](index=15&type=section&id=Consumer%20Banking) This section details the financial performance and key operational indicators of the Consumer Banking segment Total Segment Results This section details the Consumer Banking segment's financial performance, including net interest income, noninterest income, total revenue, provision for credit losses, noninterest expense, and net income for the nine months ended September 30, 2025, and comparative quarterly periods Consumer Banking Segment Results (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income | $8,941M | $7,938M | $3,437M | $2,687M | | Total revenue, net of interest expense | $32,472M | $30,790M | $11,166M | $10,418M | | Net interest yield | 3.53% | 3.32% | 3.59% | 3.35% | | Efficiency ratio | 52.25% | 53.50% | 49.92% | 53.12% | Key Indicators This section presents key operational and credit quality indicators for Consumer Banking, including average deposit balances, digital banking users, credit card metrics, and loan production Consumer Banking Key Indicators (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Total average deposit balances | $948,983M | $946,640M | $947,414M | $938,364M | | Average credit card outstandings | $100,387M | $99,570M | $100,966M | $99,908M | | Credit card net charge-offs | $2,835M | $2,782M | $880M | $928M | | First mortgage loan production | $7,961M | $7,068M | $3,052M | $2,684M | - Active digital banking users increased to **49,198 thousand** at Sep 30, 2025, from **47,830 thousand** at Sep 30, 2024[21](index=21&type=chunk) [Global Wealth & Investment Management](index=17&type=section&id=Global%20Wealth%20%26%20Investment%20Management) This section details the financial performance and key operational indicators of the Global Wealth & Investment Management segment Total Segment Results This section outlines the financial performance of the Global Wealth & Investment Management (GWIM) segment, including net interest income, noninterest income (primarily investment and brokerage services), total revenue, and net income for the nine months ended September 30, 2025, and comparative quarterly periods GWIM Segment Results (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income | $3,265M | $3,092M | $1,265M | $1,061M | | Total revenue, net of interest expense | $18,265M | $16,927M | $6,312M | $5,762M | | Investment and brokerage services income | $12,456M | $11,181M | $4,334M | $3,874M | | Efficiency ratio | 75.96% | 75.64% | 73.22% | 75.32% | Key Indicators This section provides key metrics for GWIM, including revenue by business, client balances by business and type (AUM, brokerage assets, deposits, loans), and assets under management rollforward GWIM Key Indicators (Sep 30, 2025 vs Sep 30, 2024, 9M 2025 vs 9M 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | :----------------------------- | :----------------------------- | | Total client balances | $4,641,168M | $4,193,941M | N/A | N/A | | Assets under management (AUM) | $2,109,946M | $1,861,124M | N/A | N/A | | Net client flows into AUM | N/A | N/A | $61,788M | $56,734M | [Global Banking](index=19&type=section&id=Global%20Banking) This section details the financial performance and key operational indicators of the Global Banking segment Total Segment Results This section presents the financial results for the Global Banking segment, detailing net interest income, noninterest income (including service charges and investment banking fees), total revenue, provision for credit losses, and net income for the nine months ended September 30, 2025, and comparative quarterly periods Global Banking Segment Results (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income | $5,738M | $5,997M | $2,126M | $1,895M | | Total revenue, net of interest expense | $17,912M | $17,867M | $6,245M | $5,834M | | Investment banking fees | $2,769M | $2,468M | $1,155M | $783M | | Efficiency ratio | 51.91% | 49.82% | 48.72% | 51.27% | Key Indicators This section provides key performance indicators for Global Banking, including a breakdown of investment banking fees, business lending revenue, global transaction services revenue, average deposit balances, and credit quality metrics Global Banking Key Indicators (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Total Investment Banking fees | $2,769M | $2,468M | $1,155M | $783M | | Total Global Transaction Services revenue | $8,068M | $7,807M | $2,739M | $2,580M | | Total average deposits | $603,591M | $533,620M | $631,560M | $549,629M | | Nonperforming loans, leases and foreclosed properties (period end) | $2,395M | $2,780M | $2,395M | $2,780M | [Global Markets](index=21&type=section&id=Global%20Markets) This section details the financial performance and key operational indicators of the Global Markets segment Total Segment Results This section details the financial performance of the Global Markets segment, including net interest income, noninterest income (market making and similar activities, investment banking fees), total revenue, provision for credit losses, and net income for the nine months ended September 30, 2025, and comparative quarterly periods Global Markets Segment Results (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income | $5,124M | $4,681M | $1,647M | $1,548M | | Total revenue, net of interest expense | $18,788M | $16,972M | $6,224M | $5,630M | | Market making and similar activities income | $10,063M | $10,397M | $3,141M | $3,349M | | Efficiency ratio | 61.27% | 61.40% | 62.59% | 61.17% | Key Indicators This section provides key indicators for Global Markets, focusing on sales and trading revenue, broken down by fixed-income, currencies and commodities (FICC) and equities, both including and excluding net debit valuation adjustment (DVA) Global Markets Sales and Trading Revenue (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Total sales and trading revenue | $16,351M | $14,701M | $5,361M | $4,930M | | FICC sales and trading revenue | $9,762M | $8,907M | $3,091M | $2,934M | | Equities sales and trading revenue | $6,589M | $5,794M | $2,270M | $1,996M | | Total sales and trading revenue, excluding net DVA | $16,369M | $14,795M | $5,347M | $4,938M | [All Other](index=23&type=section&id=All%20Other) This section presents the financial results for the 'All Other' category, including ALM activities and unallocated expenses Total Results This section presents the financial results for the 'All Other' category, which primarily includes asset and liability management (ALM) activities, liquidating businesses, and unallocated expenses, showing net interest income, noninterest income, total revenue, and net income (loss) for the nine months ended September 30, 2025, and comparative quarterly periods All Other Segment Results (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Net income (loss) | $(87)M | $(1,241)M | $(6)M | $(295)M | | Total revenue, net of interest expense | $(5,076)M | $(5,551)M | $(1,705)M | $(2,152)M | - The 'All Other' category primarily consists of asset and liability management (ALM) activities, liquidating businesses, and certain expenses not otherwise allocated to a business segment[30](index=30&type=chunk) [Loan and Credit Quality](index=24&type=section&id=Loan%20and%20Credit%20Quality) This section provides a comprehensive overview of the Corporation's loan portfolio and credit quality metrics [Outstanding Loans and Leases](index=24&type=section&id=Outstanding%20Loans%20and%20Leases) This section provides a breakdown of outstanding loans and leases by consumer and commercial categories, including residential mortgage, home equity, credit card, and various commercial loan types, at September 30, 2025, and comparative prior periods Outstanding Loans and Leases (Sep 30, 2025 vs Sep 30, 2024) | Category | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Total loans and leases | $1,165,900M | $1,075,800M | | Total consumer loans | $475,766M | $460,251M | | Total commercial loans | $690,134M | $615,549M | [Quarterly Average Loans and Leases by Business Segment and All Other](index=25&type=section&id=Quarterly%20Average%20Loans%20and%20Leases%20by%20Business%20Segment%20and%20All%20Other) This section details the quarterly average loans and leases by consumer and commercial categories, allocated across the Corporation's business segments and All Other, for Q3 2025, Q2 2025, and Q3 2024 Quarterly Average Loans and Leases (Q3 2025 vs Q3 2024) | Category | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------- | :----------------- | | Total loans and leases (average) | $1,153,035M | $1,059,728M | | Total consumer loans (average) | $472,807M | $458,104M | | Total commercial loans (average) | $680,228M | $601,624M | - Global Banking held the largest share of average total loans and leases at **$388,482M** in Q3 2025[33](index=33&type=chunk) [Commercial Credit Exposure by Industry](index=26&type=section&id=Commercial%20Credit%20Exposure%20by%20Industry) This section provides a breakdown of commercial utilized and committed credit exposure by industry, including asset managers, finance companies, real estate, and healthcare, at September 30, 2025, and comparative prior periods Commercial Credit Exposure by Industry (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Total commercial utilized credit exposure | $795,675M | $716,984M | | Total commercial committed credit exposure | $1,375,792M | $1,263,436M | | Largest utilized exposures (Q3 2025) | Asset managers and funds: $145,980M, Finance companies: $85,106M, Real estate: $69,485M | N/A | [Nonperforming Loans, Leases and Foreclosed Properties](index=27&type=section&id=Nonperforming%20Loans,%20Leases%20and%20Foreclosed%20Properties) This section details the Corporation's nonperforming loans, leases, and foreclosed properties by consumer and commercial categories, along with past due loans still accruing interest, and related ratios, at September 30, 2025, and comparative prior periods Nonperforming Loans, Leases and Foreclosed Properties (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Total nonperforming loans and leases | $5,347M | $5,629M | | Total nonperforming loans, leases, and foreclosed properties | $5,470M | $5,824M | | Nonperforming loans, leases and foreclosed properties/Total assets | 0.16% | 0.18% | | Commercial reservable criticized utilized exposure | $26,332M | $27,439M | [Nonperforming Loans, Leases and Foreclosed Properties Activity](index=28&type=section&id=Nonperforming%20Loans,%20Leases%20and%20Foreclosed%20Properties%20Activity) This section provides a quarterly breakdown of activity in nonperforming consumer and commercial loans and leases, including additions, reductions (paydowns, sales, returns to performing status, charge-offs), and transfers to foreclosed properties Nonperforming Loans, Leases and Foreclosed Properties Activity (Q3 2025 vs Q3 2024) | Metric | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------- | :----------------- | | Total nonperforming consumer loans and leases, end of period | $2,531M | $2,677M | | Total nonperforming commercial loans and leases, end of period | $2,816M | $2,952M | | Net additions (reductions) to nonperforming consumer loans and leases | $(33)M | $6M | | Net additions (reductions) to nonperforming commercial loans and leases | $(601)M | $150M | [Quarterly Net Charge-offs and Net Charge-off Ratios](index=29&type=section&id=Quarterly%20Net%20Charge-offs%20and%20Net%20Charge-off%20Ratios) This section presents quarterly net charge-offs and corresponding net charge-off ratios by loan product type (residential mortgage, home equity, credit card, commercial) and by business segment, for Q3 2025, Q2 2025, and Q3 2024 Quarterly Net Charge-offs and Ratios (Q3 2025 vs Q3 2024) | Metric | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------- | :----------------- | | Total net charge-offs | $1,367M | $1,534M | | Total net charge-off ratio | 0.47% | 0.58% | | Credit card net charge-offs | $880M | $928M | | Credit card net charge-off ratio | 3.46% | 3.70% | | Consumer Banking net charge-offs | $1,122M | $1,175M | [Year-to-Date Net Charge-offs and Net Charge-off Ratios](index=30&type=section&id=Year-to-Date%20Net%20Charge-offs%20and%20Net%20Charge-off%20Ratios) This section provides year-to-date net charge-offs and net charge-off ratios by loan product type and business segment for the nine months ended September 30, 2025, and 2024 Year-to-Date Net Charge-offs and Ratios (9M 2025 vs 9M 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | | Total net charge-offs | $4,344M | $4,565M | | Total net charge-off ratio | 0.52% | 0.58% | | Credit card net charge-offs | $2,835M | $2,782M | | Credit card net charge-off ratio | 3.78% | 3.73% | | Consumer Banking net charge-offs | $3,584M | $3,507M | [Allocation of the Allowance for Credit Losses by Product Type](index=31&type=section&id=Allocation%20of%20the%20Allowance%20for%20Credit%20Losses%20by%20Product%20Type) This section details the allocation of the allowance for loan and lease losses by product type and the reserve for unfunded lending commitments, along with key asset quality ratios, at September 30, 2025, and comparative prior periods Allowance for Credit Losses (Sep 30, 2025 vs Sep 30, 2024) | Metric | Sep 30, 2025 (Millions) | Sep 30, 2024 (Millions) | | :--------------------------------- | :----------- | :----------- | | Allowance for loan and lease losses | $13,252M | $13,251M | | Allowance for credit losses (total) | $14,361M | $14,351M | | Allowance for loan and lease losses/Total loans and leases | 1.14% | 1.24% | | Credit card allowance for loan and lease losses | $7,272M | $7,492M | | Credit card allowance for loan and lease losses (% of outstanding) | 7.12% | 7.43% | [Exhibit A: Non-GAAP Reconciliations](index=32&type=section&id=Exhibit%20A%3A%20Non-GAAP%20Reconciliations) This section provides reconciliations of non-GAAP financial measures, such as pretax, pre-provision income and various tangible equity ratios, to their most directly comparable GAAP financial measures, explaining their utility for evaluating underlying performance and trends Non-GAAP Reconciliations Highlights (9M 2025 vs 9M 2024, Q3 2025 vs Q3 2024) | Metric | Nine Months Ended Sep 30, 2025 (Millions) | Nine Months Ended Sep 30, 2024 (Millions) | Third Quarter 2025 (Millions) | Third Quarter 2024 (Millions) | | :--------------------------------- | :----------------------------- | :----------------------------- | :----------------- | :----------------- | | Pretax, pre-provision income | $29,627M | $26,515M | $10,751M | $8,866M | | Average tangible common shareholders' equity | $204,799M | $196,022M | N/A | N/A | | Tangible book value per share of common stock (period end) | $28.39 | $26.25 | $28.39 | $26.25 |