Financial Performance - Full Year 2025 - Net income reached $7.0 billion, resulting in diluted earnings per share of $16.59[7] - Total revenue increased by 7% year-over-year, driven by record net interest income (NII) and noninterest income[8] - Pretax, pre-provision earnings (PPNR) increased by 15% year-over-year (non-GAAP)[8] - The company achieved 5% positive operating leverage due to well-controlled expenses[8] Balance Sheet and Credit Quality - Total loans averaged $327.9 billion, a 3% increase year-over-year[9] - Total deposits averaged $439.5 billion, a 3% increase year-over-year[9] - The net loan charge-off ratio was 0.20%[8] FirstBank Acquisition - The acquisition of FirstBank closed on January 5, 2026, with a total consideration of $4.2 billion[8, 27] - FirstBank brings $16 billion in total loans and $23 billion in total deposits[28] Outlook for 2026 - Average loans are expected to increase by approximately 8%[31] - Net interest income is projected to increase by around 14%[31] - Total revenue is forecasted to increase by about 11%[31]

Core Viewpoint - PNC Financial Services Group reported record revenue and a 5% positive operating leverage for the fourth quarter of 2025, with net income reaching $2.0 billion and diluted EPS at $4.88. The company also announced an increase in planned share repurchases following the acquisition of FirstBank [1][7]. Financial Performance - Total revenue for Q4 2025 was $6.1 billion, an increase of $156 million, or 3%, compared to Q3 2025, driven by growth in both net interest income (NII) and noninterest income [11][13]. - Net interest income was $3.7 billion, up $83 million, or 2%, from Q3 2025, benefiting from lower funding costs and loan growth [14][11]. - Noninterest income reached $2.34 billion, a 3% increase from Q3 2025, with notable growth in capital markets and advisory fees [16][11]. Balance Sheet Highlights - Average loans increased by $2.0 billion, or 1%, to $327.9 billion, primarily due to growth in commercial loans [21][23]. - Average deposits grew by $7.7 billion, or 2%, to $439.5 billion, driven by both commercial and consumer client accounts [26][11]. - The common equity tier 1 (CET1) capital ratio was estimated at 10.6% as of December 31, 2025, reflecting a strong capital position [28][29]. Credit Quality - Provision for credit losses was $139 million in Q4 2025, down from $167 million in Q3 2025, indicating improved credit quality [35][36]. - Net loan charge-offs were $162 million, a decrease of $17 million compared to Q3 2025, reflecting lower consumer and commercial charge-offs [36][35]. - Total delinquencies increased to $1.4 billion, up 17% from the previous quarter, primarily due to higher commercial and consumer loan delinquencies [38][35]. Acquisition Impact - PNC completed the acquisition of FirstBank on January 5, 2026, which had $26 billion in assets and will be included in PNC's consolidated operations starting Q1 2026 [7][1].

First Quarter 2025 Earnings Conference Call April 15, 2025 Cautionary Statement Regarding Forward-Looking and non-GAAP Financial Information Our earnings conference call presentation is not intended as a full business or financial review and should be viewed in the context of all of the information made available by PNC in its SEC filings and on our corporate website. The presentation contains forward-looking statements regarding our outlook for financial performance, such as earnings, revenues, expenses, t ...