PNC Financial Services Group (PNC) Q3 2025 Financial Results Summary

By
QuoteReporter
-
0
5

PNC Financial Services Group, Inc. (PNC) Q3 2025 Financial Results Summary

Release Date: October 15, 2025

PNC Financial Services Group, Inc. (NYSE: PNC) has reported its financial results for the third quarter of 2025, highlighting significant growth metrics and the announcement of a strategic acquisition. Below is a concise summary of the key financial figures and highlights from the report:

Third Quarter Highlights

  • Net Income: $1.822 billion
  • Increased by 21% compared to $1.505 billion in Q3 2024.
  • Diluted EPS: $4.35
  • Increased by 25% from $3.49 in Q3 2024.
  • Total Revenue: $5.915 billion
  • Increased by 9% compared to $5.432 billion in Q3 2024.

Income Statement Overview

  • Pre-Provision Net Revenue (PPNR):
  • Increased by 8%, with a positive operating leverage of 2%.
  • Net Interest Income (NII):
  • Increased to $3.648 billion, a 7% rise from $3.410 billion in Q3 2024.
  • Net Interest Margin (NIM): 2.79%, down 1 basis point from the previous quarter.
  • Noninterest Income:
  • $2.267 billion, which reflects a 12% increase compared to $2.022 billion in Q3 2024.
  • Fee income was a notable contributor, rising by 11% year-over-year.

Expense and Efficiency Metrics

  • Noninterest Expense:
  • $3.461 billion, a 4% increase from $3.327 billion in Q3 2024.
  • Efficiency Ratio: Improved to 59% from 61% in Q3 2024.

Balance Sheet Insights

  • Average Loans: Increased by 1%, to $325.9 billion from $319.6 billion in Q3 2024.
  • Average commercial loans grew by 7% year-over-year.
  • Average Deposits:
  • Rose by 2% to $431.8 billion compared to Q3 2024.

Capital and Credit Quality

  • Capital Position:
  • Common Equity Tier 1 (CET1) capital ratio increased to 10.6%, from 10.3% in Q3 2024.
  • Stockholder Returns:
  • On October 2, 2025, PNC declared a quarterly cash dividend of $1.70 per share, up from $1.60 in the prior quarter.
  • Total capital returned to shareholders was $1 billion, consisting of $0.7 billion in dividends and $0.3 billion in share repurchases.

Credit Quality

  • Net Loan Charge-offs: Decreased by 37% to $179 million from $286 million in Q3 2024.
  • Delinquencies: Totaled $1.233 billion, down 5% year-over-year.

Strategic Developments

  • Acquisition Announcement:
  • Agreement to acquire FirstBank for an implied consideration of $4.1 billion, expected to close in early 2026, significantly boosting PNC’s presence in Colorado and Arizona.

Conclusion

In summary, PNC’s Q3 2025 results showed considerable growth across key financial metrics, a strong capital position, and proactive measures to return capital to shareholders. The strategic acquisition of FirstBank highlights PNC’s commitment to expanding its footprint and capabilities in key markets.

In millions, except per share data 3Q25 2Q25 3Q24
Net interest income 3,648 3,555 3,410
Fee income (non-GAAP) 2,069 1,894 1,953
Other noninterest income 198 212 69
Noninterest income 2,267 2,106 2,022
Revenue 5,915 5,661 5,432
Noninterest expense 3,461 3,383 3,327
Pretax, pre-provision earnings (PPNR) 2,454 2,278 2,105
Provision for credit losses 167 254 243
Net income 1,822 1,643 1,505
Diluted earnings per share (EPS) 4.35 3.85 3.49
Average diluted common shares outstanding 396 397 400
Book value 135.67 131.61 124.56
Tangible book value (TBV) (non-GAAP) 107.84 103.96 96.98
In millions September 30 2025 June 30 2025 September 30 2024
Assets 568,767 559,107 564,881
Loans (a) 326,616 326,340 321,381
Allowance for loan and lease losses 4,478 4,523 4,589
Interest-earning deposits with banks 33,318 24,455 35,024
Investment securities 141,523 142,348 144,183
Total deposits (a) 432,749 426,696 423,966
Borrowed funds (a) 62,344 60,424 68,069
Total shareholders’ equity 58,990 57,607 55,689
Common shareholders’ equity 53,235 51,854 49,442
Book value per common share 135.67 131.61 124.56
Tangible book value per common share 107.84 103.96 96.98

RELATED ARTICLESMORE FROM AUTHOR