First Horizon Corporation Delivers Strong Second Quarter 2026 Results with Net Income Available to Common Shareholders of $260 Million, up 12% year-over-year and EPS of $0.54, up $0.09 from Second Quarter 2025 MEMPHIS, TN (July 15, 2026) – First Horizon Corporation (NYSE: FHN or “First Horizon”) today reported second quarter net income available to common shareholders ("NIAC") of $260 million or earnings per share of $0.54, compared with first quarter 2026 NIAC of $257 million or earnings per share of $0.53 and second quarter 2025 NIAC of $233 million or earnings per share of $0.45. Return on common equity and return on tangible common equity grew to 12.3% and 15.2%, respectively, in the quarter.* "Our results represent another quarter of disciplined execution," said Chairman, President and CEO Bryan Jordan. "This performance is the result of our focus on developing client relationships and prioritizing and delivering outstanding service.”
Jordan continued, "Compared to the first half of 2025, net income available to common shareholders grew 16% in the first half of 2026. This reflects strength across multiple aspects of our business and includes 3% year-over-year loan growth."
Notable Items
| Notable Items | ||||||
|---|---|---|---|---|---|---|
| Quarterly, Unaudited ($ in millions, except per share data) | 2Q26 | 1Q26 | 2Q25 | |||
| Summary of Notable Items: | ||||||
| Deferred compensation adjustment | $ | — | $ | — | $4 | |
| FDIC special assessment (other noninterest expense) | — | — | 1 | |||
| Other notable expenses | (5) | — | — | |||
| Total notable items (pre-tax) | $(5) | $ | — | $4 | ||
| Tax on notable items before preferred stock dividends | $1 | $ | — | $(1) | ||
| Preferred Stock Dividend ** | $3 | $ | — | $ | — | |
| Total notable items (after-tax) | $(1) | $ | — | $3 | ||
| Numbers may not total due to rounding. |
Second quarter pre-tax notable items included a $5 million impact related to Visa derivative valuation expenses. Second quarter after-tax notable items include $3 million of deemed dividend impacts related to the redemption of preferred stock.
- "Adjusted" results, along with return on tangible common equity, tangible book value per share, and certain other financial measures, are non-GAAP financial measures. All references to loans include leases. All references to earnings per share are based on diluted shares. NII, total revenue, NIM, and PPNR are presented on a fully taxable equivalent ("FTE") basis. Capital ratios are preliminary. Please see page 4 for information on our use of non-GAAP measures and a reconciliation of these measures to GAAP beginning on page 20.
Second Quarter 2026 versus First Quarter 2026
Net interest income
Net interest income (FTE) increased $9 million to $679 million and net interest margin of 3.49% decreased 3 basis points. The NII increase was primarily driven by loan portfolio growth. The NIM decrease was driven by higher deposit costs associated with increased brokered deposits.
Noninterest income
Noninterest income increased $16 million to $211 million, driven by increases of $3 million in brokerage, trust, and insurance, $18 million in deferred compensation income, and $2 million in other noninterest income, partially offset by a $7 million decrease in fixed income.
Noninterest expense
Noninterest expense of $531 million increased $26 million from the prior quarter. This includes a $10 million increase in outside services, a $4 million increase in salaries and benefits expenses, and a $14 million increase in deferred compensation expenses.
Loans and leases
Average loan and lease balances of $64.7 billion increased $1.5 billion from the prior quarter, while period-end balances were $65.3 billion, up $953 million from first quarter 2026. Loans to mortgage companies (LMC) increased by $118 million at period-end, and other C&I balances increased by $710 million. Loan yields of 5.67% decreased 1 basis point.
Deposits
Average deposits of $66.8 billion increased $572 million from first quarter 2026. Period-end deposits of $68.1 billion increased $1.6 billion, driven by a $1.5 billion increase in interest bearing deposits. Interest-bearing deposit cost of 2.33% increased 5 basis points from the prior quarter, with a spot rate of approximately 2.43% at the end of the quarter.
Asset quality
Provision for credit losses expense was $15 million, consistent with first quarter 2026. Net charge-offs were $33 million or 20 basis points, up from $29 million or 18 basis points in the prior quarter. Nonperforming loans of $531 million decreased $75 million. The ACL to loans ratio decreased from 1.28% in first quarter 2026 to 1.24%, reflecting continued positive loan resolutions and lower NPLs.
Capital
CET1 ratio was 10.5%, consistent with first quarter 2026. Capital was deployed into loan growth as well as share repurchases, which totaled $100 million at an average price of $24.52 per share including commissions.
Income taxes
The second quarter 2026 effective and adjusted tax rate was 19.5%, compared to 22.2% in the previous quarter.
| SUMMARY RESULTSQuarterly, Unaudited | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions, except per share and balance sheet data) | 2Q26 | 1Q26 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| $/bp | % | $/bp | % | |||||||||||
| Income Statement | ||||||||||||||
| Interest income - taxable equivalent¹ | $1,033 | $1,008 | $1,047 | $26 | 3% | $(14) | (1)% | |||||||
| Interest expense- taxable equivalent¹ | 354 | 337 | 403 | 17 | 5 | (49) | (12) | |||||||
| Net interest income- taxable equivalent | 679 | 670 | 645 | 9 | 1 | 35 | 5 | |||||||
| Less: Taxable-equivalent adjustment | 3 | 3 | 4 | — | 3 | — | (13) | |||||||
| Net interest income | 676 | 667 | 641 | 9 | 1 | 35 | 5 | |||||||
| Noninterest income | 211 | 195 | 189 | 16 | 8 | 22 | 12 | |||||||
| Total revenue | 887 | 862 | 830 | 25 | 3 | 57 | 7 | |||||||
| Noninterest expense | 531 | 505 | 491 | 26 | 5 | 40 | 8 | |||||||
| Pre-provision net revenue³ | 356 | 357 | 339 | (1) | — | 17 | 5 | |||||||
| Provision for credit losses | 15 | 15 | 30 | — | — | (15) | (50) | |||||||
| Income before income taxes | 341 | 342 | 309 | (1) | — | 32 | 10 | |||||||
| Provision for income taxes | 66 | 76 | 64 | (10) | (13) | 2 | 4 | |||||||
| Net income | 274 | 266 | 244 | 8 | 3 | 30 | 12 | |||||||
| Net income attributable to noncontrolling interest | 4 | 3 | 4 | — | 4 | — | (10) | |||||||
| Net income attributable to controlling interest | 271 | 263 | 240 | 8 | 3 | 30 | 13 | |||||||
| Preferred stock dividends | 10 | 5 | 8 | 5 | 103 | 3 | 34 | |||||||
| Net income available to common shareholders | $260 | $257 | $233 | $3 | 1% | $28 | 12% | |||||||
| Adjusted net income⁴ | $278 | $266 | $241 | $12 | 5% | $37 | 16% | |||||||
| Adjusted net income available to common shareholders⁴ | $262 | $257 | $229 | $5 | 2% | $33 | 14% | |||||||
| Common stock information | ||||||||||||||
| EPS | $0.54 | $0.53 | $0.45 | $0.01 | 2% | $0.09 | 20% | |||||||
| Adjusted EPS⁴ | $0.54 | $0.53 | $0.45 | $0.01 | 2% | $0.09 | 20% | |||||||
| Diluted shares⁸ | 480 | 487 | 514 | (7) | (1)% | (34) | (7)% | |||||||
| Key performance metrics | ||||||||||||||
| Net interest margin⁶ | 3.49 | 3.52 | 3.40 | (3) | bp | 9 | bp | |||||||
| Efficiency ratio | 59.88 | 58.54 | 59.20 | 134 | bp | 68 | bp | |||||||
| Adjusted efficiency ratio⁴ | 59.11 | 58.34 | 59.47 | 77 | bp | (36) | bp | |||||||
| Effective income tax rate | 19.47 | 22.21 | 20.78 | (274) | bp | (131) | bp | |||||||
| Return on average assets | 1.31 | 1.30 | 1.20 | 1 | bp | 11 | bp | |||||||
| Adjusted return on average assets⁴ | 1.33 | 1.30 | 1.18 | 3 | bp | 15 | bp | |||||||
| Return on average common equity (“ROCE") | 12.3 | 12.3 | 11.1 | 7 | bp | 119 | bp | |||||||
| Return on average tangible common equity (“ROTCE”)⁴ | 15.2 | 15.1 | 13.8 | 9 | bp | 136 | bp | |||||||
| Adjusted ROTCE⁴ | 15.3 | 15.1 | 13.6 | 17 | bp | 164 | bp | |||||||
| Noninterest income as a % of total revenue | 23.73 | 22.63 | 22.73 | 110 | bp | 100 | bp | |||||||
| Adjusted noninterest income as a % of total revenue⁴ | 23.65 | 22.55 | 22.63 | 110 | bp | 102 | bp | |||||||
| Balance Sheet (billions) | ||||||||||||||
| Average loans | $64.7 | $63.2 | $62.6 | $1.5 | 2% | $2.1 | 3% | |||||||
| Average deposits | 66.8 | 66.2 | 64.7 | 0.6 | 1 | 2.0 | 3 | |||||||
| Average assets | 84.1 | 83.0 | 82.0 | 1.1 | 1 | 2.1 | 3 | |||||||
| Average common equity | $8.5 | $8.5 | $8.4 | $ | — | (1)% | $0.1 | 1% | ||||||
| Asset Quality Highlights | ||||||||||||||
| Allowance for loan and lease losses to loans and leases | 1.09 | 1.13 | 1.29 | (4) | bp | (20) | bp | |||||||
| Allowance for credit losses to loans and leases⁴ | 1.24 | 1.28 | 1.42 | (4) | bp | (18) | bp | |||||||
| Nonperforming loans and leases ratio | 0.81 | 0.94 | 0.94 | (13) | bp | (13) | bp | |||||||
| Net charge-off ratio | 0.20 | 0.18 | 0.22 | 2 | bp | (2) | bp | |||||||
| Net charge-offs | $33 | $29 | $34 | $4 | 14% | $(1) | (3)% | |||||||
| Capital Ratio Highlights (current quarter is an estimate) | ||||||||||||||
| Common Equity Tier 1 | 10.5 | 10.5 | 11.0 | (7) | bp | (53) | bp | |||||||
| Tier 1 | 11.8 | 11.9 | 12.0 | (17) | bp | (23) | bp | |||||||
| Total Capital | 13.4 | 13.7 | 14.0 | (36) | bp | (56) | bp | |||||||
| Tier 1 leverage | 10.5 | 10.6 | 10.6 | (12) | bp | (5) | bp |
Numbers may not total due to rounding.
See footnote disclosures on page 19 and glossary of terms on page 25.
Throughout this document, numbers may not total due to rounding, references to EPS are fully diluted, and capital ratios for the most recent quarter are estimates.
Use of non-GAAP Measures and Regulatory Measures that are not GAAP Certain measures included in this report are “non-GAAP,” meaning they are not presented in accordance with generally accepted accounting principles in the U.S. and also are not codified in U.S. banking regulations currently applicable to FHN. Although other entities may use calculation methods that differ from those used by FHN for non-GAAP measures, FHN’s management believes such measures are relevant to understanding the financial condition, capital position, and financial results of FHN and its business segments. Non-GAAP measures are reported to FHN’s management and Board of Directors through various internal reports.
The non-GAAP measures presented in this earnings release are fully taxable equivalent measures, pre-provision net revenue ("PPNR"), return on average tangible common equity (“ROTCE”), tangible common equity (“TCE”) to tangible assets (“TA”), tangible book value ("TBV") per common share, and various consolidated and segment results and performance measures and ratios adjusted for notable items.
Presentation of regulatory measures, even those which are not GAAP, provides a meaningful basis for comparability to other financial institutions subject to the same regulations as FHN, as demonstrated by their use by banking regulators in reviewing capital adequacy of financial institutions. Although not GAAP terms, these regulatory measures are not considered “non-GAAP” under U.S. financial reporting rules as long as their presentation conforms to regulatory standards. Regulatory measures used in this financial supplement include: common equity tier 1 capital ("CET1"), generally defined as common equity less goodwill, other intangibles, and certain other required regulatory deductions; tier 1 capital, generally defined as the sum of core capital (including common equity and instruments that cannot be redeemed at the option of the holder) adjusted for certain items under risk based capital regulations; and risk-weighted assets, which is a measure of total on- and off-balance sheet assets adjusted for credit and market risk, used to determine regulatory capital ratios.
Refer to the tabular reconciliation of non-GAAP to GAAP measures and presentation of the most comparable GAAP items, beginning on page 20.
Conference Call Information
Analysts, investors and interested parties may call toll-free starting at 8:15 a.m. CT on July 15, 2026, by dialing 1-833-461-5787 (if calling from the U.S.) and entering access code 702071053. The conference call will begin at 8:30 a.m. CT.
Participants can also opt to listen to the live audio webcast at https://ir.firsthorizon.com/events-and-presentations/default.aspx.
A replay of the webcast will be available on our website on July 15 and will be archived on the site for one year.
First Horizon Corporation (NYSE: FHN), with $84.4 billion in assets as of June 30, 2026, is a leading regional financial services company, dedicated to helping our clients, communities and associates unlock their full potential with capital and counsel. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates in 12 states concentrated in the southern U.S. The Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, and mortgage banking services. First Horizon has been recognized as one of the nation's best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. Bank. More information is available at www.FirstHorizon.com.
Contact: Investor Relations - Tyler Craft - Tyler.Craft@firsthorizon.com
Media Relations - Beth Ardoin - Beth.Ardoin@firsthorizon.com
| CONSOLIDATED INCOME STATEMENTQuarterly, Unaudited | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions, except per share data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| $ | % | $ | % | |||||||||||||
| Interest income - taxable equivalent¹ | $1,033 | $1,008 | $1,054 | $1,081 | $1,047 | $26 | 3% | $(14) | (1)% | |||||||
| Interest expense - taxable equivalent¹ | 354 | 337 | 375 | 403 | 403 | 17 | 5 | (49) | (12) | |||||||
| Net interest income - taxable equivalent | 679 | 670 | 679 | 678 | 645 | 9 | 1 | 35 | 5 | |||||||
| Less: Taxable - equivalent adjustment | 3 | 3 | 3 | 3 | 4 | — | 3 | — | (13) | |||||||
| Net interest income | 676 | 667 | 676 | 674 | 641 | 9 | 1 | 35 | 5 | |||||||
| Noninterest income: | ||||||||||||||||
| Fixed income | 46 | 53 | 57 | 57 | 42 | (7) | (14) | 4 | 8 | |||||||
| Mortgage banking | 9 | 9 | 10 | 15 | 10 | — | 2 | — | (3) | |||||||
| Brokerage, trust, and insurance | 45 | 43 | 41 | 39 | 39 | 3 | 7 | 7 | 17 | |||||||
| Service charges and fees | 59 | 58 | 64 | 57 | 55 | — | — | 4 | 6 | |||||||
| Card and digital banking fees | 18 | 18 | 18 | 19 | 19 | — | (2) | (1) | (6) | |||||||
| Deferred compensation income⁹ | 15 | (3) | 3 | 8 | 8 | 18 | NM | 7 | 97 | |||||||
| Securities gains/(losses) | — | (1) | — | — | — | 1 | 141 | — | 72 | |||||||
| Other noninterest income | 18 | 16 | 18 | 19 | 16 | 2 | 12 | 2 | 14 | |||||||
| Total noninterest income | 211 | 195 | 212 | 215 | 189 | 16 | 8 | 22 | 12 | |||||||
| Total revenue | 887 | 862 | 888 | 889 | 830 | 25 | 3 | 57 | 7 | |||||||
| Noninterest expense: | ||||||||||||||||
| Personnel expense: | ||||||||||||||||
| Salaries and benefits | 215 | 211 | 213 | 209 | 206 | 4 | 2 | 9 | 4 | |||||||
| Incentives and commissions | 76 | 79 | 87 | 79 | 73 | (3) | (4) | 3 | 5 | |||||||
| Deferred compensation expense⁹ | 13 | (2) | 3 | 8 | 3 | 14 | NM | 10 | NM | |||||||
| Total personnel expense | 304 | 289 | 303 | 296 | 282 | 16 | 5 | 22 | 8 | |||||||
| Occupancy and equipment² | 86 | 84 | 83 | 80 | 79 | 2 | 3 | 7 | 9 | |||||||
| Outside services | 79 | 69 | 95 | 79 | 71 | 10 | 15 | 9 | 12 | |||||||
| Amortization of intangible assets | 8 | 8 | 9 | 9 | 10 | — | — | (2) | (16) | |||||||
| Other noninterest expense | 53 | 55 | 55 | 87 | 50 | (3) | (5) | 3 | 6 | |||||||
| Total noninterest expense | 531 | 505 | 545 | 551 | 491 | 26 | 5 | 40 | 8 | |||||||
| Pre-provision net revenue³ | 356 | 357 | 343 | 339 | 339 | (1) | — | 17 | 5 | |||||||
| Provision for credit losses | 15 | 15 | — | (5) | 30 | — | — | (15) | (50) | |||||||
| Income before income taxes | 341 | 342 | 343 | 344 | 309 | (1) | — | 32 | 10 | |||||||
| Provision for income taxes | 66 | 76 | 78 | 78 | 64 | (10) | (13) | 2 | 4 | |||||||
| Net income | 274 | 266 | 266 | 266 | 244 | 8 | 3 | 30 | 12 | |||||||
| Net income attributable to noncontrolling interest | 4 | 3 | 4 | 4 | 4 | — | 4 | — | (10) | |||||||
| Net income attributable to controlling interest | 271 | 263 | 262 | 262 | 240 | 8 | 3 | 30 | 13 | |||||||
| Preferred stock dividends | 10 | 5 | 5 | 8 | 8 | 5 | 103 | 3 | 34 | |||||||
| Net income available to common shareholders | $260 | $257 | $257 | $254 | $233 | $3 | 1% | $28 | 12% | |||||||
| Common Share Data | ||||||||||||||||
| EPS | $0.55 | $0.54 | $0.52 | $0.50 | $0.46 | $0.01 | 2% | $0.09 | 20% | |||||||
| Basic shares | 475 | 480 | 491 | 505 | 508 | (5) | (1) | (33) | (7) | |||||||
| Diluted EPS | $0.54 | $0.53 | $0.52 | $0.50 | $0.45 | $0.01 | 2 | $0.09 | 20 | |||||||
| Diluted shares⁸ | 480 | 487 | 496 | 510 | 514 | (7) | (1)% | (34) | (7)% | |||||||
| Effective tax rate | 19.5 | 22.2 | 22.6 | 22.7 | 20.8 |
| ADJUSTED⁴ FINANCIAL DATA - SEE NOTABLE ITEMS ON PAGE 8 |
| Quarterly, Unaudited |
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions, except per share data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| $ | % | $ | % | |||||||||||||
| Net interest income (FTE)¹ | $679 | $670 | $679 | $678 | $645 | $9 | 1% | $35 | 5% | |||||||
| Adjusted noninterest income: | ||||||||||||||||
| Fixed income | 46 | 53 | 57 | 57 | 42 | (7) | (14) | 4 | 8 | |||||||
| Mortgage banking | 9 | 9 | 10 | 15 | 10 | — | 2 | — | (3) | |||||||
| Brokerage, trust, and insurance | 45 | 43 | 41 | 39 | 39 | 3 | 7 | 7 | 17 | |||||||
| Service charges and fees | 59 | 58 | 64 | 57 | 55 | — | — | 4 | 6 | |||||||
| Card and digital banking fees | 18 | 18 | 18 | 19 | 19 | — | (2) | (1) | (6) | |||||||
| Deferred compensation income⁹ | 15 | (3) | 3 | 8 | 8 | 18 | NM | 7 | 97 | |||||||
| Adjusted securities gains/(losses) | — | (1) | — | — | — | 1 | 141 | — | 72 | |||||||
| Adjusted other noninterest income | 18 | 16 | 18 | 19 | 16 | 2 | 12 | 2 | 14 | |||||||
| Adjusted total noninterest income | $211 | $195 | $212 | $215 | $189 | $16 | 8% | $22 | 12% | |||||||
| Total revenue (FTE)¹ | $890 | $865 | $892 | $893 | $833 | $25 | 3% | $57 | 7% | |||||||
| Adjusted noninterest expense: | ||||||||||||||||
| Adjusted personnel expense: | ||||||||||||||||
| Adjusted salaries and benefits | $215 | $211 | $213 | $209 | $206 | $4 | 2% | $9 | 4% | |||||||
| Adjusted Incentives and commissions | 76 | 79 | 87 | 79 | 73 | (3) | (4) | 3 | 5 | |||||||
| Deferred compensation expense⁹ | 13 | (2) | 3 | 8 | 7 | 14 | NM | 6 | 98 | |||||||
| Adjusted total personnel expense | 304 | 289 | 303 | 296 | 286 | 16 | 5 | 19 | 7 | |||||||
| Adjusted occupancy and equipment² | 86 | 84 | 83 | 80 | 79 | 2 | 3 | 7 | 9 | |||||||
| Adjusted outside services | 79 | 69 | 95 | 79 | 71 | 10 | 15 | 9 | 12 | |||||||
| Amortization of intangible assets | 8 | 8 | 9 | 9 | 10 | — | — | (2) | (16) | |||||||
| Adjusted other noninterest expense | 48 | 55 | 52 | 79 | 50 | (8) | (14) | (3) | (6) | |||||||
| Adjusted total noninterest expense | $526 | $505 | $541 | $542 | $495 | $21 | 4% | $30 | 6% | |||||||
| Adjusted pre-provision net revenue⁴ | $364 | $360 | $350 | $351 | $338 | $4 | 1% | $26 | 8% | |||||||
| Provision for credit losses | $15 | $15 | $ | — | $(5) | $30 | $ | — | — | $(15) | (50)% | |||||
| Adjusted net income available to common shareholders | $262 | $257 | $259 | $263 | $229 | $5 | 2% | $33 | 14% | |||||||
| Adjusted Common Share Data | ||||||||||||||||
| Adjusted diluted EPS | $0.54 | $0.53 | $0.52 | $0.51 | $0.45 | $0.01 | 2% | $0.09 | 20% | |||||||
| Diluted shares⁸ | 480 | 487 | 496 | 510 | 514 | (7) | (1)% | (34) | (7)% | |||||||
| Adjusted effective tax rate | 19.5 | 22.2 | 22.7 | 22.7 | 20.8 | |||||||||||
| Adjusted ROTCE⁴ | 15.3 | 15.1 | 15.0 | 15.0 | 13.6 | |||||||||||
| Adjusted efficiency ratio⁴ | 59.1 | 58.3 | 60.7 | 60.8 | 59.5 |
| NOTABLE ITEMS |
| Quarterly, Unaudited |
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | |||||
| Summary of Notable Items: | ||||||||||
| Deferred compensation adjustment | $ | — | $ | — | $ | — | $ | — | $4 | |
| FDIC special assessment (other noninterest expense) | — | — | 7 | 2 | 1 | |||||
| Other notable expenses * | (5) | — | (10) | (10) | — | |||||
| Total notable items (pre-tax) | $(5) | $ | — | $(3) | $(8) | $4 | ||||
| Tax-related notable items | $ | — | $ | — | $ | — | $ | — | $ | — |
| Preferred Stock Dividend ** | $3 | $ | — | $ | — | $(3) | $ | — |
- 2Q26 includes $5 million of Visa derivative valuation expenses and 4Q25 and 3Q25 each include $10 million.
** 2Q26 and 3Q25 include deemed dividends on the redemption of Preferred Stock.
| IMPACT OF NOTABLE ITEMS: |
| Quarterly, Unaudited |
| ($ in millions, except per share data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | ||||
| Impacts of Notable Items: | |||||||||
| Noninterest expense: | |||||||||
| Personnel expenses: | |||||||||
| Deferred compensation expense | $ | — | $ | — | $ | — | $ | — | $4 |
| Total personnel expenses | — | — | — | — | 4 | ||||
| Outside services | — | — | — | — | — | ||||
| Other noninterest expense | (5) | — | (3) | (8) | 1 | ||||
| Total noninterest expense | $(5) | $ | — | $(3) | $(8) | $4 | |||
| Income before income taxes | $5 | $ | — | $3 | $8 | $(4) | |||
| Provision for income taxes | 1 | — | 1 | 2 | (1) | ||||
| Preferred stock dividends * | 3 | — | — | (3) | — | ||||
| Net income/(loss) available to common shareholders | $1 | $ | — | $2 | $9 | $(3) | |||
| EPS impact of notable items | $ | — | $ | — | $ | — | $0.01 | $ | — |
- 2Q26 and 3Q25 include deemed dividends on the redemption of Preferred Stock.
| FINANCIAL RATIOSQuarterly, Unaudited | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | ||||||||||||
| FINANCIAL RATIOS | $/bp | % | $/bp | % | ||||||||||||||
| Net interest margin⁶ | 3.49 | 3.52 | 3.51 | 3.55 | 3.40 | (3) | bp | 9 | bp | |||||||||
| Return on average assets | 1.31 | 1.30 | 1.27 | 1.29 | 1.20 | 1 | bp | 11 | bp | |||||||||
| Adjusted return on average assets⁴ | 1.33 | 1.30 | 1.28 | 1.32 | 1.18 | 3 | bp | 15 | bp | |||||||||
| Return on average common equity (“ROCE”) | 12.33 | 12.26 | 11.99 | 11.74 | 11.14 | 7 | bp | 119 | bp | |||||||||
| Return on average tangible common equity (“ROTCE”)⁴ | 15.21 | 15.12 | 14.82 | 14.49 | 13.85 | 9 | bp | 136 | bp | |||||||||
| Adjusted ROTCE⁴ | 15.29 | 15.12 | 14.96 | 15.00 | 13.65 | 17 | bp | 164 | bp | |||||||||
| Noninterest income as a % of total revenue | 23.73 | 22.63 | 23.89 | 24.16 | 22.73 | 110 | bp | 100 | bp | |||||||||
| Adjusted noninterest income as a % of total revenue⁴ | 23.65 | 22.55 | 23.80 | 24.07 | 22.63 | 110 | bp | 102 | bp | |||||||||
| Efficiency ratio | 59.88 | 58.54 | 61.33 | 61.92 | 59.20 | 134 | bp | 68 | bp | |||||||||
| Adjusted efficiency ratio⁴ | 59.11 | 58.34 | 60.73 | 60.76 | 59.47 | 77 | bp | (36) | bp | |||||||||
| Allowance for loan and lease losses to loans and leases | 1.09 | 1.13 | 1.15 | 1.23 | 1.29 | (4) | bp | (20) | bp | |||||||||
| Allowance for credit losses to loans and leases⁴ | 1.24 | 1.28 | 1.31 | 1.38 | 1.42 | (4) | bp | (18) | bp | |||||||||
| CAPITAL DATA | ||||||||||||||||||
| CET1 capital ratio* | 10.5 | 10.5 | 10.6 | 11.0 | 11.0 | (7) | bp | (53) | bp | |||||||||
| Tier 1 capital ratio* | 11.8 | 11.9 | 11.5 | 11.9 | 12.0 | (17) | bp | (23) | bp | |||||||||
| Total capital ratio* | 13.4 | 13.7 | 13.3 | 13.8 | 14.0 | (36) | bp | (56) | bp | |||||||||
| Tier 1 leverage ratio* | 10.5 | 10.6 | 10.2 | 10.5 | 10.6 | (12) | bp | (5) | bp | |||||||||
| Risk-weighted assets (“RWA”) (billions)* | $74.6 | $73.3 | $73.0 | $72.0 | $71.7 | $1.2 | 2% | $2.8 | 4% | |||||||||
| Total equity to total assets | 11.21 | 11.25 | 10.90 | 11.11 | 11.28 | (4) | bp | (7) | bp | |||||||||
| Tangible common equity/tangible assets (“TCE/TA”)⁴ | 8.31 | 8.27 | 8.37 | 8.55 | 8.58 | 4 | bp | (27) | bp | |||||||||
| Period-end shares outstanding (millions)⁸ | 474 | 476 | 485 | 500 | 509 | (2) | — | (35) | (7)% | |||||||||
| Cash dividends declared per common share | $0.17 | $0.17 | $0.15 | $0.15 | $0.15 | $ | — | — | $0.02 | 13% | ||||||||
| Book value per common share | $17.91 | $17.72 | $17.53 | $17.19 | $16.78 | $0.19 | 1% | $1.13 | 7% | |||||||||
| Tangible book value per common share⁴ | $14.53 | $14.34 | $14.20 | $13.94 | $13.57 | $0.19 | 1% | $0.96 | 7% | |||||||||
| SELECTED BALANCE SHEET DATA | ||||||||||||||||||
| Loans-to-deposit ratio (period-end balances) | 95.97 | 96.83 | 95.08 | 96.23 | 96.47 | (86) | bp | (50) | bp | |||||||||
| Loans-to-deposit ratio (average balances) | 96.87 | 95.44 | 95.33 | 95.24 | 96.62 | 143 | bp | 25 | bp | |||||||||
| Full-time equivalent associates | 7,422 | 7,369 | 7,373 | 7,341 | 7,255 | 53 | 1% | 167 | 2% |
*Current quarter is an estimate.
CONSOLIDATED PERIOD-END BALANCE SHEET
Quarterly, Unaudited
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| Assets: | $ | % | $ | % | ||||||||||||
| Loans and leases: | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $37,296 | $36,467 | $35,905 | $34,401 | $34,359 | $829 | 2% | $2,936 | 9% | |||||||
| Commercial real estate | 13,595 | 13,420 | 13,563 | 13,674 | 13,936 | 175 | 1 | (341) | (2) | |||||||
| Total Commercial | 50,891 | 49,887 | 49,468 | 48,076 | 48,295 | 1,004 | 2 | 2,596 | 5 | |||||||
| Consumer real estate | 13,869 | 13,928 | 14,107 | 14,403 | 14,368 | (59) | — | (498) | (3) | |||||||
| Credit card and other⁵ | 570 | 562 | 580 | 579 | 597 | 8 | 1 | (27) | (5) | |||||||
| Total Consumer | 14,439 | 14,490 | 14,688 | 14,982 | 14,965 | (50) | — | (525) | (4) | |||||||
| Loans and leases, net of unearned income | 65,330 | 64,377 | 64,156 | 63,058 | 63,260 | 953 | 1 | 2,070 | 3 | |||||||
| Loans held for sale | 501 | 562 | 406 | 501 | 402 | (61) | (11) | 99 | 25 | |||||||
| Investment securities | 9,062 | 9,351 | 9,382 | 9,332 | 9,362 | (289) | (3) | (300) | (3) | |||||||
| Trading securities | 1,417 | 1,812 | 1,904 | 2,070 | 1,430 | (395) | (22) | (13) | (1) | |||||||
| Interest-bearing deposits with banks | 1,158 | 1,116 | 1,125 | 1,228 | 911 | 43 | 4 | 247 | 27 | |||||||
| Federal funds sold and securities purchased under agreements to resell | 594 | 754 | 634 | 774 | 527 | (160) | (21) | 67 | 13 | |||||||
| Total interest earning assets | 78,063 | 77,971 | 77,606 | 76,963 | 75,893 | 92 | — | 2,170 | 3 | |||||||
| Cash and due from banks | 1,034 | 889 | 961 | 912 | 988 | 145 | 16 | 46 | 5 | |||||||
| Goodwill and other intangible assets, net | 1,599 | 1,607 | 1,615 | 1,624 | 1,633 | (8) | (1) | (34) | (2) | |||||||
| Premises and equipment, net | 545 | 539 | 544 | 553 | 561 | 5 | 1 | (17) | (3) | |||||||
| Allowance for loan and lease losses | (709) | (730) | (738) | (777) | (814) | 21 | 3 | 105 | 13 | |||||||
| Other assets | 3,906 | 3,855 | 3,889 | 3,916 | 3,823 | 51 | 1 | 83 | 2 | |||||||
| Total assets | $84,437 | $84,132 | $83,876 | $83,192 | $82,084 | $306 | — | $2,354 | 3% | |||||||
| Liabilities and Shareholders' Equity: | ||||||||||||||||
| Deposits: | ||||||||||||||||
| Savings | $25,553 | $26,007 | $26,010 | $26,365 | $25,939 | $(454) | (2)% | $(386) | (1)% | |||||||
| Time deposits | 10,018 | 7,125 | 6,485 | 6,201 | 7,270 | 2,893 | 41 | 2,749 | 38 | |||||||
| Other interest-bearing deposits | 16,508 | 17,440 | 19,158 | 16,936 | 16,477 | (933) | (5) | 31 | — | |||||||
| Total interest-bearing deposits | 52,078 | 50,572 | 51,653 | 49,502 | 49,685 | 1,506 | 3 | 2,393 | 5 | |||||||
| Trading liabilities | 533 | 666 | 607 | 662 | 469 | (134) | (20) | 63 | 14 | |||||||
| Federal funds purchased and securities sold under agreements to repurchase | 2,161 | 2,193 | 3,012 | 2,675 | 3,201 | (32) | (1) | (1,040) | (32) | |||||||
| Short-term borrowings | 842 | 1,975 | 241 | 1,596 | 260 | (1,132) | (57) | 582 | NM | |||||||
| Term borrowings | 1,321 | 1,318 | 1,321 | 1,328 | 1,342 | 2 | — | (21) | (2) | |||||||
| Total interest-bearing liabilities | 56,935 | 56,725 | 56,835 | 55,763 | 54,957 | 210 | — | 1,978 | 4 | |||||||
| Noninterest-bearing deposits | 15,994 | 15,910 | 15,823 | 16,023 | 15,892 | 84 | 1 | 103 | 1 | |||||||
| Other liabilities | 2,045 | 2,032 | 2,076 | 2,163 | 1,978 | 13 | 1 | 67 | 3 | |||||||
| Total liabilities | 74,974 | 74,667 | 74,734 | 73,948 | 72,826 | 307 | — | 2,148 | 3 | |||||||
| Shareholders' Equity: | ||||||||||||||||
| Preferred stock¹⁰ | 682 | 741 | 349 | 349 | 426 | (59) | (8) | 255 | 60 | |||||||
| Common stock | 296 | 297 | 303 | 313 | 318 | (1) | — | (22) | (7) | |||||||
| Capital surplus | 3,653 | 3,759 | 3,974 | 4,288 | 4,459 | (106) | (3) | (805) | (18) | |||||||
| Retained earnings | 5,383 | 5,205 | 5,030 | 4,848 | 4,671 | 178 | 3 | 713 | 15 | |||||||
| Accumulated other comprehensive loss, net | (846) | (832) | (809) | (849) | (912) | (13) | (2) | 66 | 7 | |||||||
| Combined shareholders' equity | 9,168 | 9,170 | 8,847 | 8,949 | 8,962 | (1) | — | 206 | 2 | |||||||
| Noncontrolling interest | 295 | 295 | 295 | 295 | 295 | — | — | — | — | |||||||
| Total shareholders' equity | 9,464 | 9,465 | 9,142 | 9,244 | 9,257 | (1) | — | 206 | 2 | |||||||
| Total liabilities and shareholders' equity | $84,437 | $84,132 | $83,876 | $83,192 | $82,084 | $306 | — | $2,354 | 3% | |||||||
| Memo: | ||||||||||||||||
| Total deposits | $68,073 | $66,482 | $67,477 | $65,525 | $65,576 | $1,590 | 2% | $2,496 | 4% | |||||||
| Loans to mortgage companies | $4,759 | $4,641 | $4,703 | $3,926 | $4,058 | $118 | 3% | $701 | 17% | |||||||
| Unfunded Loan Commitments: | ||||||||||||||||
| Commercial | $20,164 | $18,980 | $18,644 | $18,485 | $17,784 | $1,184 | 6% | $2,381 | 13% | |||||||
| Consumer | $4,016 | $4,022 | $4,002 | $4,036 | $4,153 | $(6) | — | $(137) | (3)% |
Numbers may not total due to rounding. See footnote disclosures on page 19 and glossary of terms on page 25.
CONSOLIDATED AVERAGE BALANCE SHEET
Quarterly, Unaudited
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| Assets: | $ | % | $ | % | ||||||||||||
| Loans and leases: | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $36,745 | $35,208 | $35,005 | $34,011 | $33,634 | $1,537 | 4% | $3,111 | 9% | |||||||
| Commercial real estate | 13,510 | 13,417 | 13,587 | 13,772 | 14,070 | 93 | 1 | (560) | (4) | |||||||
| Total Commercial | 50,256 | 48,625 | 48,591 | 47,784 | 47,704 | 1,631 | 3 | 2,551 | 5 | |||||||
| Consumer real estate | 13,873 | 13,998 | 14,255 | 14,409 | 14,224 | (126) | (1) | (351) | (2) | |||||||
| Credit card and other⁵ | 566 | 569 | 586 | 594 | 623 | (2) | — | (56) | (9) | |||||||
| Total Consumer | 14,439 | 14,567 | 14,841 | 15,004 | 14,847 | (128) | (1) | (408) | (3) | |||||||
| Loans and leases, net of unearned income | 64,695 | 63,192 | 63,432 | 62,787 | 62,551 | 1,503 | 2 | 2,144 | 3 | |||||||
| Loans held-for-sale | 532 | 479 | 515 | 454 | 501 | 53 | 11 | 30 | 6 | |||||||
| Investment securities | 9,218 | 9,454 | 9,321 | 9,321 | 9,330 | (236) | (2) | (112) | (1) | |||||||
| Trading securities | 1,677 | 1,796 | 1,798 | 1,625 | 1,609 | (118) | (7) | 68 | 4 | |||||||
| Interest-bearing deposits with banks | 1,168 | 1,233 | 1,218 | 1,272 | 1,259 | (65) | (5) | (91) | (7) | |||||||
| Federal funds sold and securities purchased under agreements to resell | 669 | 756 | 743 | 573 | 636 | (87) | (11) | 33 | 5 | |||||||
| Total interest earning assets | 77,960 | 76,910 | 77,027 | 76,032 | 75,887 | 1,050 | 1 | 2,073 | 3 | |||||||
| Cash and due from banks | 923 | 936 | 900 | 860 | 864 | (13) | (1) | 59 | 7 | |||||||
| Goodwill and other intangible assets, net | 1,603 | 1,611 | 1,619 | 1,628 | 1,638 | (8) | (1) | (35) | (2) | |||||||
| Premises and equipment, net | 544 | 543 | 548 | 556 | 565 | — | — | (22) | (4) | |||||||
| Allowance for loan and lease losses | (732) | (750) | (774) | (809) | (828) | 18 | 2 | 96 | 12 | |||||||
| Other assets | 3,799 | 3,795 | 3,760 | 3,781 | 3,831 | 4 | — | (32) | (1) | |||||||
| Total assets | $84,097 | $83,045 | $83,081 | $82,049 | $81,958 | $1,052 | 1% | $2,139 | 3% | |||||||
| Liabilities and shareholders' equity: | ||||||||||||||||
| Deposits: | ||||||||||||||||
| Savings | $25,618 | $26,148 | $26,693 | $26,326 | $25,899 | $(530) | (2)% | $(281) | (1)% | |||||||
| Time deposits | 8,501 | 6,755 | 6,205 | 6,871 | 6,630 | 1,746 | 26 | 1,871 | 28 | |||||||
| Other interest-bearing deposits | 16,914 | 17,679 | 17,573 | 16,866 | 16,362 | (765) | (4) | 552 | 3 | |||||||
| Total interest-bearing deposits | 51,033 | 50,582 | 50,470 | 50,063 | 48,891 | 451 | 1 | 2,142 | 4 | |||||||
| Trading liabilities | 645 | 729 | 722 | 549 | 613 | (83) | (11) | 33 | 5 | |||||||
| Federal funds purchased and securities sold under agreements to repurchase | 2,518 | 2,649 | 2,807 | 2,631 | 2,692 | (132) | (5) | (174) | (6) | |||||||
| Short-term borrowings | 1,400 | 894 | 470 | 387 | 1,208 | 507 | 57 | 192 | 16 | |||||||
| Term borrowings | 1,319 | 1,319 | 1,323 | 1,335 | 1,556 | — | — | (238) | (15) | |||||||
| Total interest-bearing liabilities | 56,916 | 56,173 | 55,792 | 54,965 | 54,960 | 742 | 1 | 1,956 | 4 | |||||||
| Noninterest-bearing deposits | 15,749 | 15,628 | 16,072 | 15,862 | 15,851 | 121 | 1 | (102) | (1) | |||||||
| Other liabilities | 1,988 | 1,999 | 2,082 | 1,999 | 2,050 | (11) | (1) | (61) | (3) | |||||||
| Total liabilities | 74,652 | 73,800 | 73,946 | 72,825 | 72,861 | 853 | 1 | 1,792 | 2 | |||||||
| Shareholders' Equity: | ||||||||||||||||
| Preferred stock¹⁰ | 682 | 436 | 349 | 350 | 426 | 246 | 56 | 255 | 60 | |||||||
| Common stock | 297 | 300 | 307 | 316 | 318 | (3) | (1) | (21) | (7) | |||||||
| Capital surplus | 3,703 | 3,866 | 4,095 | 4,379 | 4,464 | (163) | (4) | (761) | (17) | |||||||
| Retained earnings | 5,310 | 5,129 | 4,910 | 4,798 | 4,562 | 181 | 4 | 748 | 16 | |||||||
| Accumulated other comprehensive loss, net | (842) | (781) | (821) | (913) | (967) | (61) | (8) | 125 | 13 | |||||||
| Combined shareholders' equity | 9,149 | 8,950 | 8,840 | 8,928 | 8,802 | 199 | 2 | 347 | 4 | |||||||
| Noncontrolling interest | 295 | 295 | 295 | 295 | 295 | — | — | — | — | |||||||
| Total shareholders' equity | 9,444 | 9,245 | 9,135 | 9,224 | 9,097 | 199 | 2 | 347 | 4 | |||||||
| Total liabilities and shareholders' equity | $84,097 | $83,045 | $83,081 | $82,049 | $81,958 | $1,052 | 1% | $2,139 | 3% | |||||||
| Memo: | ||||||||||||||||
| Total deposits | $66,782 | $66,210 | $66,542 | $65,924 | $64,742 | $572 | 1% | $2,040 | 3% | |||||||
| Loans to mortgage companies | $4,284 | $3,884 | $4,160 | $3,628 | $3,533 | $399 | 10% | $751 | 21% |
| CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATESQuarterly, Unaudited | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATESQuarterly, Unaudited | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATESQuarterly, Unaudited | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | CONSOLIDATED NET INTEREST INCOME AND AVERAGE BALANCE SHEET: YIELDS AND RATES | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||||||||||
| (In millions, except rates) | Income/Expense | Rate | Income/Expense | Rate | Income/Expense | Rate | Income/Expense | Rate | Income/Expense | Rate | Income/Expense | Income/Expense | |||||||||||
| $/bp | % | $/bp | % | ||||||||||||||||||||
| Interest earning assets/Interest income: | |||||||||||||||||||||||
| Loans and leases, net of unearned income: | |||||||||||||||||||||||
| Commercial | $735 | 5.87% | $707 | 5.89% | $743 | 6.07% | $767 | 6.37% | $738 | 6.21% | $28 | 4% | $(3) | — | |||||||||
| Consumer | 180 | 4.97 | 181 | 4.99 | 187 | 5.02 | 191 | 5.07 | 186 | 4.99 | (2) | (1) | (6) | (3) | |||||||||
| Loans and leases, net of unearned income | 915 | 5.67 | 887 | 5.68 | 930 | 5.83 | 957 | 6.06 | 924 | 5.92 | 27 | 3 | (9) | (1) | |||||||||
| Loans held-for-sale | 8 | 6.18 | 7 | 6.26 | 8 | 6.45 | 8 | 6.86 | 8 | 6.76 | 1 | 10 | — | (3) | |||||||||
| Investment securities | 70 | 3.05 | 71 | 3.02 | 71 | 3.06 | 72 | 3.09 | 71 | 3.06 | (1) | (2) | (1) | (2) | |||||||||
| Trading securities | 23 | 5.55 | 24 | 5.25 | 25 | 5.57 | 24 | 5.81 | 23 | 5.72 | — | (1) | — | 1 | |||||||||
| Interest-bearing deposits with banks | 11 | 3.69 | 11 | 3.69 | 12 | 3.97 | 14 | 4.41 | 14 | 4.45 | — | (4) | (3) | (23) | |||||||||
| Federal funds sold and securities purchased under agreements | 6 | 3.56 | 7 | 3.55 | 7 | 3.86 | 6 | 4.20 | 7 | 4.24 | (1) | (10) | (1) | (11) | |||||||||
| Interest income | $1,033 | 5.31% | $1,008 | 5.29% | $1,054 | 5.44% | $1,081 | 5.65% | $1,047 | 5.53% | $26 | 3% | $(14) | (1)% | |||||||||
| Interest-bearing liabilities/Interest expense: | |||||||||||||||||||||||
| Interest-bearing deposits: | |||||||||||||||||||||||
| Savings | $138 | 2.17% | $138 | 2.14% | $169 | 2.51% | $184 | 2.78% | $177 | 2.73% | $ | — | — | $(38) | (22)% | ||||||||
| Time deposits | 74 | 3.48 | 56 | 3.39 | 55 | 3.49 | 64 | 3.71 | 64 | 3.88 | 17 | 31 | 10 | 15 | |||||||||
| Other interest-bearing deposits | 84 | 1.99 | 89 | 2.04 | 98 | 2.22 | 102 | 2.41 | 96 | 2.36 | (5) | (6) | (12) | (13) | |||||||||
| Total interest-bearing deposits | 296 | 2.33 | 284 | 2.28 | 322 | 2.53 | 351 | 2.78 | 337 | 2.76 | 12 | 4 | (41) | (12) | |||||||||
| Trading liabilities | 6 | 4.00 | 7 | 3.81 | 7 | 3.76 | 5 | 3.93 | 6 | 4.07 | — | (6) | — | 4 | |||||||||
| Federal funds purchased and securities sold under agreements to repurchase | 19 | 3.09 | 20 | 2.98 | 23 | 3.21 | 23 | 3.52 | 24 | 3.61 | — | (1) | (5) | (20) | |||||||||
| Short-term borrowings | 13 | 3.83 | 8 | 3.78 | 5 | 4.08 | 4 | 4.39 | 13 | 4.47 | 5 | 61 | — | — | |||||||||
| Term borrowings | 19 | 5.65 | 19 | 5.65 | 19 | 5.76 | 19 | 5.82 | 22 | 5.60 | — | — | (3) | (14) | |||||||||
| Interest expense | 354 | 2.49 | 337 | 2.43 | 375 | 2.67 | 403 | 2.91 | 403 | 2.94 | 17 | 5 | (49) | (12) | |||||||||
| Net interest income - tax equivalent basis | 679 | 2.82 | 670 | 2.86 | 679 | 2.77 | 678 | 2.74 | 645 | 2.59 | 9 | 1 | 35 | 5 | |||||||||
| Fully taxable equivalent adjustment | (3) | 0.67 | (3) | 0.66 | (3) | 0.74 | (3) | 0.81 | (4) | 0.81 | — | (3) | — | 13 | |||||||||
| Net interest income | $676 | 3.49% | $667 | 3.52% | $676 | 3.51% | $674 | 3.55% | $641 | 3.40% | $9 | 1% | $35 | 5% | |||||||||
| Memo: | |||||||||||||||||||||||
| Total loan yield | 5.67% | 5.68% | 5.83% | 6.06% | 5.92% | (1) | bp | (25) | bp | ||||||||||||||
| Total deposit cost | 1.78% | 1.74% | 1.92% | 2.11% | 2.09% | 4 | bp | (31) | bp | ||||||||||||||
| Total funding cost | 1.95% | 1.90% | 2.07% | 2.26% | 2.28% | 5 | bp | (33) | bp | ||||||||||||||
| Average loans and leases, net of unearned income | $64,695 | $63,192 | $63,432 | $62,787 | $62,551 | $1,503 | 2% | $2,144 | 3% | ||||||||||||||
| Average deposits | 66,782 | 66,210 | 66,542 | 65,924 | 64,742 | 572 | 1% | 2,040 | 3% | ||||||||||||||
| Average funded liabilities | 72,664 | 71,801 | 71,864 | 70,827 | 70,811 | $863 | 1% | $1,853 | 3% |
Net interest income and yields are adjusted to a fully taxable equivalent (“FTE”) basis assuming a statutory federal income tax of 21 percent and, where applicable, state income taxes.
Earning assets yields are expressed net of unearned income.
Loan yields include loan fees, cash basis interest income, and loans on nonaccrual status.
CONSOLIDATED NONPERFORMING LOANS AND LEASES ("NPL")
| Quarterly, Unaudited | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of | 2Q26 change vs. | |||||||||||||||
| (In millions, except ratio data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| $ | % | $ | % | |||||||||||||
| Nonperforming loans and leases | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $205 | $219 | $224 | $211 | $224 | $(13) | (6)% | $(19) | (9)% | |||||||
| Commercial real estate | 184 | 243 | 239 | 254 | 236 | (58) | (24) | (52) | (22) | |||||||
| Consumer real estate | 141 | 144 | 140 | 139 | 131 | (3) | (2) | 10 | 8 | |||||||
| Credit card and other⁵ | 1 | 1 | 1 | 1 | 1 | — | (30) | — | (40) | |||||||
| Total nonperforming loans and leases | $531 | $606 | $604 | $605 | $593 | $(75) | (12)% | $(62) | (10)% | |||||||
| Asset Quality Ratio | ||||||||||||||||
| Nonperforming loans and leases to loans and leases | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | 0.55 | 0.60 | 0.62 | 0.61 | 0.65 | |||||||||||
| Commercial real estate | 1.36 | 1.81 | 1.76 | 1.86 | 1.70 | |||||||||||
| Consumer real estate | 1.02 | 1.03 | 0.99 | 0.96 | 0.91 | |||||||||||
| Credit card and other⁵ | 0.13 | 0.19 | 0.16 | 0.25 | 0.21 | |||||||||||
| Total nonperforming loans and leases to loans and leases | 0.81 | 0.94 | 0.94 | 0.96 | 0.94 |
CONSOLIDATED LOANS AND LEASES 90 DAYS OR MORE PAST DUE AND ACCRUING
| Quarterly, Unaudited | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of | 2Q26 change vs. | |||||||||||||||
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| $ | % | $ | % | |||||||||||||
| Loans and leases 90 days or more past due and accruing | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $1 | $1 | $1 | $1 | $1 | $ | — | 2% | $ | — | 37% | |||||
| Commercial real estate | — | — | — | — | — | — | NM | — | NM | |||||||
| Consumer real estate | — | 2 | 6 | 6 | 6 | (1) | (65) | (6) | (91) | |||||||
| Credit card and other⁵ | 1 | 1 | 1 | 2 | 1 | — | 21 | — | (35) | |||||||
| Total loans and leases 90 days or more past due and accruing | $2 | $3 | $8 | $9 | $8 | $(1) | (28)% | $(6) | (73)% |
CONSOLIDATED NET CHARGE-OFFS (RECOVERIES)
| Quarterly, Unaudited | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of | 2Q26 change vs. | |||||||||||||||
| (In millions, except ratio data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| Charge-off, Recoveries and Related Ratios | $ | % | $ | % | ||||||||||||
| Gross Charge-offs | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $32 | $36 | $39 | $25 | $28 | $(4) | (11)% | $4 | 16% | |||||||
| Commercial real estate | 3 | 4 | 2 | 3 | 8 | (1) | (18) | (5) | (61) | |||||||
| Consumer real estate | 1 | 1 | 1 | 1 | 2 | (1) | (35) | (1) | (47) | |||||||
| Credit card and other⁵ | 5 | 4 | 4 | 6 | 6 | — | 9 | (1) | (24) | |||||||
| Total gross charge-offs | $41 | $45 | $47 | $36 | $43 | $(5) | (11)% | $(2) | (6)% | |||||||
| Gross Recoveries | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $(5) | $(14) | $(13) | $(6) | $(6) | $9 | 65% | $1 | 22% | |||||||
| Commercial real estate | — | — | — | — | — | — | 13 | — | NM | |||||||
| Consumer real estate | (2) | (2) | (2) | (1) | (2) | — | 18 | — | 1 | |||||||
| Credit card and other⁵ | (1) | (1) | (1) | (1) | (2) | — | (22) | — | 21 | |||||||
| Total gross recoveries | $(8) | $(17) | $(16) | $(9) | $(9) | $9 | 54% | $1 | 15% | |||||||
| Net Charge-offs (Recoveries) | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | $27 | $23 | $26 | $19 | $22 | $5 | 20% | $6 | 26% | |||||||
| Commercial real estate | 3 | 3 | 2 | 3 | 8 | (1) | (18) | (5) | (64) | |||||||
| Consumer real estate | (1) | — | (1) | (1) | — | — | (38) | (1) | NM | |||||||
| Credit card and other⁵ | 4 | 3 | 3 | 5 | 4 | — | 4 | (1) | (25) | |||||||
| Total net charge-offs | $33 | $29 | $30 | $26 | $34 | $4 | 14% | $(1) | (3)% | |||||||
| Annualized Net Charge-off (Recovery) Rates | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | 0.30 | 0.26 | 0.30 | 0.22 | 0.26 | |||||||||||
| Commercial real estate | 0.08 | 0.10 | 0.04 | 0.09 | 0.22 | |||||||||||
| Consumer real estate | (0.02) | (0.01) | (0.02) | (0.02) | — | |||||||||||
| Credit card and other⁵ | 2.17 | 2.10 | 2.31 | 3.54 | 2.64 | |||||||||||
| Total loans and leases | 0.20 | 0.18 | 0.19 | 0.17 | 0.22 |
CONSOLIDATED ALLOWANCE FOR LOAN AND LEASE LOSSES AND RESERVE FOR UNFUNDED COMMITMENTS
| Quarterly, Unaudited | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| As of | 2Q26 Change vs. | |||||||||||||||
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | |||||||||
| Summary of Changes in the Components of the Allowance For Credit Losses | $ | % | $ | % | ||||||||||||
| Allowance for loan and lease losses - beginning | $730 | $738 | $777 | $814 | $822 | $(9) | (1)% | $(93) | (11)% | |||||||
| Charge-offs: | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | (32) | (36) | (39) | (25) | (28) | 4 | 11 | (4) | (16) | |||||||
| Commercial real estate | (3) | (4) | (2) | (3) | (8) | 1 | 18 | 5 | 61 | |||||||
| Consumer real estate | (1) | (1) | (1) | (1) | (2) | 1 | 35 | 1 | 47 | |||||||
| Credit card and other⁵ | (5) | (4) | (4) | (6) | (6) | — | (9) | 1 | 24 | |||||||
| Total charge-offs | (41) | (45) | (47) | (36) | (43) | 5 | 11 | 2 | 6 | |||||||
| Recoveries: | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | 5 | 14 | 13 | 6 | 6 | (9) | (65) | (1) | (22) | |||||||
| Commercial real estate | — | — | — | — | — | — | (13) | — | NM | |||||||
| Consumer real estate | 2 | 2 | 2 | 1 | 2 | — | (18) | — | (1) | |||||||
| Credit card and other⁵ | 1 | 1 | 1 | 1 | 2 | — | 22 | — | (21) | |||||||
| Total Recoveries | 8 | 17 | 16 | 9 | 9 | (9) | (54) | (1) | (15) | |||||||
| Provision for loan and lease losses: | ||||||||||||||||
| Commercial, financial, and industrial (C&I) | 24 | 41 | 28 | 5 | 23 | (16) | (40) | 1 | 4 | |||||||
| Commercial real estate | (3) | (17) | (26) | (5) | (5) | 13 | 78 | 1 | 17 | |||||||
| Consumer real estate | (12) | (6) | (13) | (15) | 4 | (5) | (84) | (16) | NM | |||||||
| Credit card and other⁵ | 3 | 3 | 3 | 4 | 3 | — | 5 | — | (13) | |||||||
| Total provision for loan and lease losses: | 12 | 20 | (8) | (11) | 26 | (8) | (40) | (14) | (53) | |||||||
| Allowance for loan and lease losses - ending | $709 | $730 | $738 | $777 | $814 | $(21) | (3)% | $(105) | (13)% | |||||||
| Reserve for unfunded commitments - beginning | $96 | $101 | $93 | $87 | $83 | $(5) | (5)% | $13 | 16% | |||||||
| Provision for unfunded commitments | 3 | (5) | 8 | 6 | 4 | 8 | NM | (1) | (25) | |||||||
| Reserve for unfunded commitments - ending | $99 | $96 | $101 | $93 | $87 | $3 | 3% | $12 | 14% | |||||||
| Total allowance for credit losses - ending | $808 | $826 | $839 | $870 | $901 | $(18) | (2)% | $(93) | (10)% |
| CONSOLIDATED ASSET QUALITY RATIOS - ALLOWANCE FOR LOAN AND LEASE LOSSESQuarterly, Unaudited | |||||
|---|---|---|---|---|---|
| As of | |||||
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | |
| Allowance for loan and lease losses to loans and leases | |||||
| Commercial, financial, and industrial (C&I) | 0.94% | 0.97% | 0.93% | 0.97% | 1.01% |
| Commercial real estate | 1.10% | 1.16% | 1.30% | 1.49% | 1.53% |
| Consumer real estate | 1.37% | 1.44% | 1.46% | 1.52% | 1.63% |
| Credit card and other⁵ | 3.42% | 3.49% | 3.40% | 3.42% | 3.50% |
| Total allowance for loan and lease losses to loans and leases | 1.09% | 1.13% | 1.15% | 1.23% | 1.29% |
| Allowance for loan and lease losses to nonperforming loans and leases | |||||
| Commercial, financial, and industrial (C&I) | 171% | 162% | 150% | 158% | 155% |
| Commercial real estate | 81% | 64% | 74% | 80% | 90% |
| Consumer real estate | 135% | 140% | 147% | 158% | 179% |
| Credit card and other⁵ | 2,617% | 1,842% | 2,096% | 1,380% | 1,684% |
| Total allowance for loan and lease losses to nonperforming loans and leases | 133% | 120% | 122% | 128% | 137% |
| Allowance for credit losses ratios | |||||
| Total allowance for credit losses to loans and leases⁴ | 1.24% | 1.28% | 1.31% | 1.38% | 1.42% |
| Total allowance for credit losses to nonperforming loans and leases⁴ | 152% | 136% | 139% | 144% | 152% |
COMMERCIAL, CONSUMER, AND WEALTH
Quarterly, Unaudited
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | ||||||||||||
| $/bp | % | $/bp | % | |||||||||||||||
| Income Statement (millions) | ||||||||||||||||||
| Net interest income | $654 | $649 | $662 | $671 | $643 | $5 | 1% | $11 | 2% | |||||||||
| Noninterest income | 123 | 119 | 124 | 117 | 113 | 5 | 4 | 10 | 9 | |||||||||
| Total revenue | 777 | 768 | 786 | 787 | 757 | 9 | 1 | 21 | 3 | |||||||||
| Noninterest expense | 376 | 368 | 380 | 366 | 355 | 9 | 2 | 21 | 6 | |||||||||
| Pre-provision net revenue³ | 401 | 400 | 407 | 421 | 402 | 1 | — | — | — | |||||||||
| Provision for credit losses | 1 | 8 | (2) | 2 | 13 | (7) | (89) | (12) | (94) | |||||||||
| Income before income tax expense | 400 | 393 | 409 | 420 | 389 | 8 | 2 | 12 | 3 | |||||||||
| Income tax expense | 96 | 94 | 98 | 100 | 92 | 2 | 2 | 4 | 4 | |||||||||
| Net income | $304 | $299 | $311 | $319 | $296 | $6 | 2% | $8 | 3% | |||||||||
| Average Balances (billions) | ||||||||||||||||||
| Total loans and leases | $57.5 | $56.5 | $56.5 | $56.4 | $56.3 | $1.0 | 2% | $1.2 | 2% | |||||||||
| Interest-earning assets | 57.5 | 56.5 | 56.5 | 56.4 | 56.3 | 1.0 | 2 | 1.2 | 2 | |||||||||
| Total assets | 60.0 | 59.0 | 59.0 | 58.8 | 58.7 | 1.0 | 2 | 1.3 | 2 | |||||||||
| Total deposits | 58.1 | 58.7 | 59.4 | 59.1 | 58.9 | (0.6) | (1) | (0.8) | (1) | |||||||||
| Key Metrics | ||||||||||||||||||
| Net interest margin⁶ | 4.58 | 4.68 | 4.67 | 4.74 | 4.60 | (10) | bp | (2) | bp | |||||||||
| Efficiency ratio | 48.39 | 47.86 | 48.31 | 46.50 | 46.91 | 53 | bp | 148 | bp | |||||||||
| Loans-to-deposits ratio (period-end balances) | 98.64 | 95.94 | 94.83 | 94.56 | 95.33 | 270 | bp | 331 | bp | |||||||||
| Loans-to-deposits ratio (average balances) | 98.90 | 96.19 | 95.09 | 95.30 | 95.59 | 271 | bp | 331 | bp | |||||||||
| Return on average assets (annualized) | 2.03 | 2.05 | 2.09 | 2.15 | 2.02 | (2) | bp | 1 | bp | |||||||||
| Return on allocated equity⁷ | 20.81 | 20.57 | 20.34 | 20.37 | 18.80 | 24 | bp | 201 | bp | |||||||||
| Financial center locations | 407 | 410 | 412 | 413 | 414 | (3) | (7) |
Certain previously reported amounts have been reclassified to agree with current presentation.
Commercial, Consumer, and Wealth segment: Offers financial products and services, including traditional lending and deposit taking, to commercial and consumer clients primarily in the southern U.S. and other selected markets. Commercial, Consumer & Wealth also consists of lines of business that deliver product offerings and services with niche industry knowledge including asset-based lending, commercial real estate, equipment finance/leasing, energy, international banking, healthcare, and transportation and logistics. Additionally, Commercial, Consumer & Wealth provides investment, wealth management, financial planning, trust and asset management services for consumer clients as well as delivering treasury management solutions, loan syndications, and corporate banking services.
WHOLESALE
Quarterly, Unaudited
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | ||||||||||||
| $/bp | % | $/bp | % | |||||||||||||||
| Income Statement (millions) | ||||||||||||||||||
| Net interest income | $67 | $62 | $66 | $60 | $57 | $5 | 8% | $10 | 17% | |||||||||
| Noninterest income | 58 | 64 | 69 | 74 | 53 | (7) | (10) | 4 | 8 | |||||||||
| Total revenue | 125 | 126 | 135 | 134 | 111 | (2) | (1) | 14 | 13 | |||||||||
| Noninterest expense | 79 | 83 | 85 | 83 | 75 | (5) | (6) | 4 | 5 | |||||||||
| Pre-provision net revenue³ | 46 | 43 | 50 | 52 | 36 | 3 | 7 | 10 | 29 | |||||||||
| Provision for credit losses | 23 | 9 | 3 | (1) | 6 | 14 | 146 | 17 | NM | |||||||||
| Income before income tax expense | 23 | 34 | 47 | 52 | 30 | (10) | (31) | (7) | (22) | |||||||||
| Income tax expense | 6 | 8 | 11 | 13 | 7 | (3) | (32) | (2) | (24) | |||||||||
| Net income | $18 | $26 | $36 | $40 | $23 | $(8) | (30)% | $(5) | (22)% | |||||||||
| Average Balances (billions) | ||||||||||||||||||
| Total loans and leases | $7.0 | $6.3 | $6.5 | $6.0 | $5.8 | $0.7 | 10% | $1.2 | 20% | |||||||||
| Interest-earning assets | 9.9 | 9.4 | 9.6 | 8.7 | 8.6 | 0.5 | 5 | 1.3 | 15 | |||||||||
| Total assets | 10.5 | 10.1 | 10.3 | 9.4 | 9.3 | 0.5 | 5 | 1.2 | 13 | |||||||||
| Total deposits | 2.0 | 2.3 | 2.3 | 2.2 | 2.1 | (0.3) | (12) | (0.1) | (4) | |||||||||
| Key Metrics | ||||||||||||||||||
| Fixed income product average daily revenue (thousands) | $594 | $742 | $765 | $771 | $550 | $(149) | (20)% | $43 | 8% | |||||||||
| Net interest margin⁶ | 2.73 | 2.68 | 2.72 | 2.77 | 2.67 | 5 | bp | 6 | bp | |||||||||
| Efficiency ratio | 63.00 | 66.01 | 62.77 | 61.54 | 67.76 | (302) | bp | (476) | bp | |||||||||
| Loans-to-deposits ratio (period-end balances) | 419 | 354 | 343 | 319 | 312 | 6,585 | bp | 10,756 | bp | |||||||||
| Loans-to-deposits ratio (average balances) | 353 | 280 | 288 | 276 | 282 | 7,220 | bp | 7,021 | bp | |||||||||
| Return on average assets (annualized) | 0.68 | 1.03 | 1.38 | 1.68 | 0.98 | (35) | bp | (31) | bp | |||||||||
| Return on allocated equity⁷ | 11.50 | 17.55 | 24.11 | 26.29 | 15.39 | (605) | bp | (389) | bp |
Certain previously reported amounts have been reclassified to agree with current presentation.
Wholesale segment: Consists of lines of business that deliver product offerings and services with differentiated industry knowledge. Wholesale’s lines of business include mortgage warehouse lending, franchise finance, correspondent banking, and mortgage. Additionally, Wholesale has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
CORPORATE
Quarterly, Unaudited
| Line item | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | 2Q26 Change vs. | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | 1Q26 | 2Q25 | ||||||||||
| $ | % | $ | % | |||||||||||||
| Income Statement (millions) | ||||||||||||||||
| Net interest income/(expense) | $(45) | $(44) | $(51) | $(56) | $(60) | $(1) | (2)% | $14 | 24% | |||||||
| Noninterest income | 30 | 12 | 18 | 25 | 22 | 18 | NM | 8 | 36 | |||||||
| Total revenues | (15) | (32) | (33) | (32) | (38) | 17 | 52 | 22 | 59 | |||||||
| Noninterest expense | 76 | 54 | 80 | 102 | 61 | 22 | 41 | 15 | 24 | |||||||
| Pre-provision net revenue³ | (92) | (86) | (113) | (134) | (99) | (5) | (6) | 7 | 7 | |||||||
| Provision for credit losses | (9) | (2) | (1) | (6) | 11 | (7) | NM | (20) | NM | |||||||
| Income before income tax expense | (83) | (84) | (112) | (128) | (110) | 1 | 2 | 27 | 25 | |||||||
| Income tax expense (benefit) | (35) | (26) | (31) | (35) | (35) | (9) | (35) | — | — | |||||||
| Net income/(loss) | $(48) | $(58) | $(81) | $(93) | $(75) | $11 | 18% | $27 | 36% | |||||||
| Average Balance Sheet (billions) | ||||||||||||||||
| Interest bearing assets | $10.6 | $11.1 | $11.0 | $11.0 | $11.0 | $(0.5) | (4)% | $(0.4) | (4)% | |||||||
| Total assets | 13.6 | 14.0 | 13.8 | 13.9 | 13.9 | (0.4) | (3) | (0.4) | (3) |
Certain previously reported amounts have been reclassified to agree with current presentation.
Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, marketing, properties, technology, credit risk and bank operations are allocated to the activities of Commercial, Consumer & Wealth, Wholesale and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of balance sheet funding, liquidity, and capital management and allocation. The Corporate segment also includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.
FOOTNOTES
¹ Taxable equivalent interest income and interest expense are non-GAAP measures and are reconciled to net interest income (GAAP) in the table.
² Occupancy and Equipment expense includes Computer Software Expense.
³ Pre-provision net revenue is a non-GAAP measure and is reconciled to income before income taxes (GAAP) in the table.
⁴ Represents a non-GAAP measure and is reconciled to the nearest GAAP measure in the non-GAAP to GAAP reconciliations beginning on page 20.
⁵ Credit card and other includes $153 million of commercial credit card balances at June 30, 2026.
⁶ Net interest margin is computed using total NII adjusted for FTE assuming a statutory federal income tax rate of 21 percent and, where applicable, state taxes.
⁷ Segment equity is allocated based on an internal allocation methodology.
⁸ Share count for all periods shown was impacted by share repurchases.
⁹ Balance fluctuates based on market conditions. 1Q26 decrease was driven by equity market valuations.
¹⁰ Preferred Stock balance impacted by the issuance of Series H Preferred Stock in 1Q26.
| CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions, except per share data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | |||||
| Tangible Common Equity (Non-GAAP) | ||||||||||
| (A) Total equity (GAAP) | $9,464 | $9,465 | $9,142 | $9,244 | $9,257 | |||||
| Less: Noncontrolling interest (a) | 295 | 295 | 295 | 295 | 295 | |||||
| Less: Preferred stock (a) | 682 | 741 | 349 | 349 | 426 | |||||
| (B) Total common equity | $8,487 | $8,429 | $8,498 | $8,600 | $8,536 | |||||
| Less: Intangible assets (GAAP) (b) | 1,599 | 1,607 | 1,615 | 1,624 | 1,633 | |||||
| (C) Tangible common equity (Non-GAAP) | $6,888 | $6,822 | $6,882 | $6,976 | $6,903 | |||||
| Tangible Assets (Non-GAAP) | ||||||||||
| (D) Total assets (GAAP) | $84,437 | $84,132 | $83,876 | $83,192 | $82,084 | |||||
| Less: Intangible assets (GAAP) (b) | 1,599 | 1,607 | 1,615 | 1,624 | 1,633 | |||||
| (E) Tangible assets (Non-GAAP) | $82,839 | $82,525 | $82,261 | $81,568 | $80,451 | |||||
| Period-end Shares Outstanding | ||||||||||
| (F) Period-end shares outstanding | 474 | 476 | 485 | 500 | 509 | |||||
| Ratios | ||||||||||
| (A)/(D) Total equity to total assets (GAAP) | 11.21 | 11.25 | 10.90 | 11.11 | 11.28 | |||||
| (C)/(E) Tangible common equity to tangible assets (“TCE/TA”) (Non-GAAP) | 8.31 | 8.27 | 8.37 | 8.55 | 8.58 | |||||
| (B)/(F) Book value per common share (GAAP) | $17.91 | $17.72 | $17.53 | $17.19 | $16.78 | |||||
| (C)/(F) Tangible book value per common share (Non-GAAP) | $14.53 | $14.34 | $14.20 | $13.94 | $13.57 |
(a) Included in Total equity on the Consolidated Balance Sheet.
(b) Includes goodwill and other intangible assets, net of amortization.
| CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions, except per share data) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | ||||||
| Adjusted Diluted EPS | |||||||||||
| Net income available to common shareholders ("NIAC") (GAAP) | a | $260 | $257 | $257 | $254 | $233 | |||||
| Plus Total notable items (after-tax) (Non-GAAP) (a) | $1 | $ | — | $2 | $9 | $(3) | |||||
| Adjusted net income available to common shareholders (Non-GAAP) | b | $262 | $257 | $259 | $263 | $229 | |||||
| Diluted Shares (GAAP)⁸ | c | 480 | 487 | 496 | 510 | 514 | |||||
| Diluted EPS (GAAP) | a/c | $0.54 | $0.53 | $0.52 | $0.50 | $0.45 | |||||
| Adjusted diluted EPS (Non-GAAP) | b/c | $0.54 | $0.53 | $0.52 | $0.51 | $0.45 | |||||
| Adjusted Net Income ("NI") and Adjusted Return on Assets ("ROA") | |||||||||||
| Net Income ("NI") (GAAP) | $274 | $266 | $266 | $266 | $244 | ||||||
| Plus Relevant notable items (after-tax) (Non-GAAP) (a) | $4 | $ | — | $2 | $6 | $(3) | |||||
| Adjusted NI (Non-GAAP) | $278 | $266 | $268 | $272 | $241 | ||||||
| NI (annualized) (GAAP) | d | $1,101 | $1,079 | $1,054 | $1,055 | $980 | |||||
| Adjusted NI (annualized) (Non-GAAP) | e | $1,116 | $1,079 | $1,064 | $1,079 | $967 | |||||
| Average assets (GAAP) | f | $84,097 | $83,045 | $83,081 | $82,049 | $81,958 | |||||
| ROA (GAAP) | d/f | 1.31 | 1.30 | 1.27 | 1.29 | 1.20 | |||||
| Adjusted ROA (Non-GAAP) | e/f | 1.33 | 1.30 | 1.28 | 1.32 | 1.18 | |||||
| Return on Average Common Equity ("ROCE")/ Return on Average Tangible Common Equity ("ROTCE")/ Adjusted ROTCE | |||||||||||
| Net income available to common shareholders ("NIAC") (annualized) (GAAP) | g | $1,044 | $1,044 | $1,018 | $1,007 | $933 | |||||
| Adjusted Net income available to common shareholders (annualized) (Non-GAAP) | h | $1,049 | $1,044 | $1,028 | $1,042 | $919 | |||||
| Average Common Equity (GAAP) | i | $8,468 | $8,514 | $8,491 | $8,579 | $8,376 | |||||
| Intangible Assets (GAAP) (b) | 1,603 | 1,611 | 1,619 | 1,628 | 1,638 | ||||||
| Average Tangible Common Equity (Non-GAAP) | j | $6,865 | $6,903 | $6,872 | $6,950 | $6,738 | |||||
| ROCE (GAAP) | g/i | 12.33 | 12.26 | 11.99 | 11.74 | 11.14 | |||||
| ROTCE (Non-GAAP) | g/j | 15.21 | 15.12 | 14.82 | 14.49 | 13.85 | |||||
| Adjusted ROTCE (Non-GAAP) | h/j | 15.29 | 15.12 | 14.96 | 15.00 | 13.65 |
(a) Adjusted for those notable items relevant to the amount being adjusted, as detailed on page 8.
(b) Includes goodwill and other intangible assets, net of amortization.
| CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| (In millions) | 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | ||||||
| Adjusted Noninterest Income as a % of Total Revenue | |||||||||||
| Noninterest income (GAAP) | k | $211 | $195 | $212 | $215 | $189 | |||||
| Plus notable items (pretax) (GAAP) (a) | — | — | — | — | — | ||||||
| Adjusted noninterest income (Non-GAAP) | l | $211 | $195 | $212 | $215 | $189 | |||||
| Revenue (GAAP) | m | $887 | $862 | $888 | $889 | $830 | |||||
| Taxable-equivalent adjustment | 3 | 3 | 3 | 3 | 4 | ||||||
| Revenue- Taxable-equivalent (Non-GAAP) | 890 | 865 | 892 | 893 | 833 | ||||||
| Plus notable items (pretax) (GAAP) (a) | — | — | — | — | — | ||||||
| Adjusted revenue (Non-GAAP) | n | $890 | $865 | $892 | $893 | $833 | |||||
| Securities gains/(losses) (GAAP) | o | $ | — | $(1) | $ | — | $ | — | $ | — | |
| Noninterest income as a % of total revenue (GAAP) | (k-o)/(m-o) | 23.73 | 22.63 | 23.89 | 24.16 | 22.73 | |||||
| Adjusted noninterest income as a % of total revenue (Non-GAAP) | (l-o)/(n-o) | 23.65 | 22.55 | 23.80 | 24.07 | 22.63 | |||||
| Adjusted Efficiency Ratio | |||||||||||
| Noninterest expense (GAAP) | p | $531 | $505 | $545 | $551 | $491 | |||||
| Plus notable items (pretax) (GAAP) (a) | (5) | — | (3) | (8) | 4 | ||||||
| Adjusted noninterest expense (Non-GAAP) | q | $526 | $505 | $541 | $542 | $495 | |||||
| Revenue (GAAP) | r | $887 | $862 | $888 | $889 | $830 | |||||
| Taxable-equivalent adjustment | 3 | 3 | 3 | 3 | 4 | ||||||
| Revenue- Taxable-equivalent (Non-GAAP) | 890 | 865 | 892 | 893 | 833 | ||||||
| Plus notable items (pretax) (GAAP) (a) | — | — | — | — | — | ||||||
| Adjusted revenue (Non-GAAP) | s | $890 | $865 | $892 | $893 | $833 | |||||
| Securities gains/(losses) (GAAP) | t | $ | — | $(1) | $ | — | $ | — | $ | — | |
| Efficiency ratio (GAAP) | p/ (r-t) | 59.88 | 58.54 | 61.33 | 61.92 | 59.20 | |||||
| Adjusted efficiency ratio (Non-GAAP) | q/ (s-t) | 59.11 | 58.34 | 60.73 | 60.76 | 59.47 |
(a) Adjusted for those notable items relevant to the amount being adjusted, as detailed on page 8.
| CONSOLIDATED NON-GAAP TO GAAP RECONCILIATION |
| Quarterly, Unaudited |
| ($ in millions) |
| Line item | Period-end | Average |
|---|---|---|
| 2Q26 vs. 1Q26 | 2Q26 vs. 1Q26 | |
| Loans excluding LMC | ||
| Total Loans (GAAP) | $1% | $2% |
| LMC (GAAP) | 3% | 10% |
| Total Loans excl. LMC (Non-GAAP) | 1% | 2% |
| Total Consumer (GAAP) | — | (1)% |
| Total Commercial excl. LMC (Non-GAAP) | 2% | 3% |
| Total CRE (GAAP) | 1% | 1% |
| Total C&I excl. LMC (Non-GAAP) | $2% | $4% |
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | ||
| Allowance for credit losses to loans and leases and Allowance for credit losses to nonperforming loans and leases | ||||||
| Allowance for loan and lease losses (GAAP) | A | $709 | $730 | $738 | $777 | $814 |
| Reserve for unfunded commitments (GAAP) | 99 | 96 | 101 | 93 | 87 | |
| Allowance for credit losses (Non-GAAP) | B | $808 | $826 | $839 | $870 | $901 |
| Loans and leases (GAAP) | C | $65,330 | $64,377 | $64,156 | $63,058 | $63,260 |
| Nonaccrual loans and leases (GAAP) | D | $531 | $606 | $604 | $605 | $593 |
| Allowance for loan and lease losses to loans and leases (GAAP) | A/C | 1.09 | 1.13 | 1.15 | 1.23 | 1.29 |
| Allowance for credit losses to loans and leases (Non-GAAP) | B/C | 1.24 | 1.28 | 1.31 | 1.38 | 1.42 |
| Allowance for loan and lease losses to nonperforming loans and leases (GAAP) | A/D | 133 | 120 | 122 | 128 | 137 |
| Allowance for credit losses to nonperforming loans and leases (Non-GAAP) | B/D | 152 | 136 | 139 | 144 | 152 |
| CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | CONSOLIDATED NON-GAAP TO GAAP RECONCILIATIONQuarterly, Unaudited | ||||
|---|---|---|---|---|---|---|---|---|---|---|
| ($ in millions) | ||||||||||
| 2Q26 | 1Q26 | 4Q25 | 3Q25 | 2Q25 | ||||||
| Adjusted Pre-provision Net Revenue (PPNR) | ||||||||||
| Pre-tax income (GAAP) | $341 | $342 | $343 | $344 | $309 | |||||
| Plus notable items (pretax) (GAAP) (a) | 5 | — | 3 | 8 | (4) | |||||
| Adjusted Pre-tax income (non-GAAP) | $346 | $342 | $347 | $352 | $304 | |||||
| Plus provision for credit losses expense (GAAP) | 15 | 15 | — | (5) | 30 | |||||
| Adjusted Pre-provision net revenue (PPNR) (non-GAAP) | $361 | $357 | $347 | $347 | $334 | |||||
| Taxable-equivalent adjustment | 3 | 3 | 3 | 3 | 4 | |||||
| Adjusted Pre-provision net revenue-Taxable-equivalent (Non-GAAP) | $364 | $360 | $350 | $351 | $338 |
(a) Adjusted for those notable items relevant to the amount being adjusted, as detailed on page 8.
| GLOSSARY OF TERMS |
Common Equity Tier 1 Ratio: Ratio consisting of common equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, less disallowed portions of goodwill, other intangibles, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.
Fully Taxable Equivalent (“FTE”): Reflects the amount of tax-exempt income adjusted to a level that would yield the same after-tax income had that income been subject to taxation.
Tier 1 Capital Ratio: Ratio consisting of shareholders’ equity adjusted for certain unrealized gains/(losses) on available-for-sale securities, plus qualifying portions of noncontrolling interests, less disallowed portions of goodwill, other intangible assets, and deferred tax assets as well as certain other regulatory deductions divided by risk-weighted assets.
| Key Ratios |
Return on Average Assets: Ratio is annualized net income to average total assets.
Return on Average Common Equity: Ratio is annualized net income available to common shareholders to average common equity.
Return on Average Tangible Common Equity: Ratio is annualized net income available to common shareholders to average tangible common equity.
Noninterest Income as a Percentage of Total Revenue: Ratio is noninterest income excluding securities gains/(losses) to total revenue - taxable equivalent excluding securities gains/(losses).
Efficiency Ratio: Ratio is noninterest expense to total revenue - taxable equivalent excluding securities gains/(losses).
Leverage Ratio: Ratio is tier 1 capital to average assets for leverage.
| Asset Quality - Consolidated Key Ratios |
Nonperforming loans and leases ("NPL") %: Ratio is nonaccruing loans and leases in the loan portfolio to total period-end loans and leases.
Net charge-offs %: Ratio is annualized net charge-offs to total average loans and leases.
Allowance / loans and leases: Ratio is allowance for loan and lease losses to total period-end loans and leases.
Allowance / Nonperforming loans and leases: Ratio is allowance for loan and lease losses to nonperforming loans and leases in the loan portfolio.
| Operating Segments |
Commercial, Consumer, and Wealth segment: Offers financial products and services, including traditional lending and deposit taking, to commercial and consumer clients primarily in the southern U.S. and other selected markets. Commercial, Consumer & Wealth also consists of lines of business that deliver product offerings and services with niche industry knowledge including asset-based lending, commercial real estate, equipment finance/leasing, energy, international banking, healthcare, and transportation and logistics. Additionally, Commercial, Consumer & Wealth provides investment, wealth management, financial planning, trust and asset management services for consumer clients as well as delivering treasury management solutions, loan syndications, and corporate banking services.
Wholesale segment: Consists of lines of business that deliver product offerings and services with differentiated industry knowledge. Wholesale’s lines of business include mortgage warehouse lending, franchise finance, correspondent banking, and mortgage. Additionally, Wholesale has a line of business focused on fixed income securities sales, trading, underwriting, and strategies for institutional clients in the U.S. and abroad, as well as loan sales, portfolio advisory services, and derivative sales.
Corporate segment: Consists primarily of corporate support functions including risk management, audit, accounting, finance, executive office, and corporate communications. Shared support services such as human resources, marketing, properties, technology, credit risk and bank operations are allocated to the activities of Commercial, Consumer & Wealth, Wholesale and Corporate. Additionally, the Corporate segment includes centralized management of capital and funding to support the business activities of the company including management of balance sheet funding, liquidity, and capital management and allocation. The Corporate segment also includes the revenue and expense associated with run-off businesses such as pre-2009 mortgage banking elements, run-off consumer and trust preferred loan portfolios, and other exited businesses.