Key financial results
- PNC generated $2.1 billion of net income or $5.09 per diluted share as adjusted for the third quarter of 2026.
we generated $2.1 billion of net income or $5.09 per diluted share as adjusted
- Total revenue was $6.6 billion, and noninterest expense was $3.8 billion.
Total revenue was $6.6 billion, a decrease of $313 million or 5%, while noninterest expense decreased $347 million or 8% to $3.8 billion.
- Return on tangible common equity was more than 18% in the third quarter.
our return on tangible common equity was more than 18% in the third quarter.
- Tangible book value was $108 per common share, down 3% linked quarter.
Our tangible book value was $108 per common share, down 3% linked quarter
- Provision for credit losses was $189 million, which was stable with the previous quarter.
Provision was $189 million, stable with the previous quarter.
Business segment results
- Corporate and Institutional Banking: Corporate and Institutional Banking average loan growth was 5% during the quarter and 17% year-over-year, supported by expansion markets adding approximately 500 new client relationships year-to-date.
average C&IB loan growth during the quarter, a 17% growth year-over-year.
- Retail Banking: Retail Banking added 215,000 net new checking accounts so far in 2026, with total accounts up 2% year-over-year and credit card balances up 12%.
adding 215,000 net new check-in accounts so far in 2026 with total accounts up 2% year-over-year
- Asset Management: Asset management fees were up approximately 10% year-to-date, and assets under administration totaled $0.5 trillion.
Asset management fees are up approximately 10% year-to-date and assets under administration totaled $0.5 trillion.
- Loans: Average loans across the company increased $9 billion or 2% to $372 billion during the third quarter.
average loans increased $9 billion or 2% to $372 billion.
- Commercial Loans: C&I balances increased $9 billion or 4%, while commercial real estate balances increased $2 billion or 4%.
- Consumer Loans: Consumer loans declined $1 billion or 1% due to lower residential mortgages and the transfer of the student loan portfolio.
- Fee Income: Asset management and brokerage fee income increased $7 million or 2% to drive fee revenue components.
Asset management and brokerage increased $7 million or 2%, driven by higher average equity markets and increased client activity.
- Capital Markets: Capital Markets and Advisory revenue decreased $144 million or 25% from elevated second quarter levels.
Capital Markets and Advisory revenue decreased $144 million or 25%, reflecting elevated second quarter activity.
Capital allocation
- PNC returned $1.4 billion of capital to shareholders in the third quarter, including approximately $800 million of common dividends and $560 million of share repurchases.
During the quarter, we returned $1.4 billion of capital to shareholders, which included approximately $800 million of common dividends and $560 million of share repurchases.
- The estimated CET1 ratio was 9.8% at the end of the third quarter.
We remain well capitalized with an estimated CET1 ratio of 9.8%.
- Management expects fourth quarter share repurchases to approximate the same level as the third quarter.
Going forward, we expect fourth quarter repurchases to approximate the same level.
Industry trends and dynamics
- Management noted that corporate loan pipelines remain strong and clients have largely adjusted to a higher rate environment as a new norm.
- Expansion markets are accelerating growth significantly, with assets under administration in those markets growing five times faster than legacy markets.
our expansion markets have accelerated our growth. In these markets, AUM is growing 5x faster than our legacy markets
Competitive landscape
- PNC continues to capture market share in expansion markets across both retail and corporate banking faster than anticipated.
When we step back and look at the year as a whole, we have grown considerably faster than we anticipated coming into 2026.
Macroeconomic environment
- Management's base case assumes GDP growth above 2% in 2026 with modest job gains and a steady unemployment rate.
our base case assumes GDP growth to be above 2% in 2026, with continued modest job gains and the unemployment rate holding steady.
- The company expects the Federal Reserve to increase rates two additional times with 25 basis point increases in December 2026 and March 2027.
Growth opportunities and strategies
- PNC continues to invest in capabilities including a new mobile app, total rewards program, and branch expansion.
- The continuous improvement program is on track to reduce costs by $350 million in 2026 independently of the First Bank acquisition.
we're on track to reach our goal to reduce costs by $350 million in 2026 through our continuous improvement program
Financial guidance and outlook
- Full Year 2026: For the full year 2026 compared to 2025, PNC expects average loan growth of approximately 13.5% and net interest income to be up 15.5%.
We expect the full year average loan growth of approximately 13.5%. We expect full year net interest income to be up 15.5%.
- Fourth Quarter 2026: For the fourth quarter of 2026, PNC expects average loans to be up approximately 2.5% and net interest income to be up approximately 4%.
We expect average loans to be up approximately 2.5%. Net interest income to be up approximately 4%.
- Net Interest Margin: Management calculates that the net interest margin will reach 3% or above in the fourth quarter.
we calculate that our net interest margin will reach 3% or above in the fourth quarter.
Q3 2026 results
| Metric | Result | Change |
|---|---|---|
| Net income | $2.1 billion | Not stated |
| Diluted EPS | $5.09 per share | Not stated |
| Average loans | $372 billion | Up 2% linked quarter |
| Average deposits | $461 billion | Up 1% linked quarter |
| Total revenue | $6.6 billion | Down 5% |
| Net interest income | $4.2 billion | Up 2% |
How management sounded
Balanced (+35 on our -100 to +100 scale). Management expressed strong confidence, highlighting robust client momentum, record organic loan growth, and successful execution across franchise expansion markets. Management sounded more upbeat than on 20% of the 302 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.
Read the analyst Q&A summary and guidance and outlook for this call.
What to watch before the next call
- Execution of fixed-rate asset repricing and its impact on net interest margin reaching 3% in Q4.
- Progression of organic loan growth and client momentum in expansion markets.
- Integration costs and expense discipline related to continuous improvement programs.
Earlier calls
- Q2 2026 (Jul 15, 2026), tone Balanced: PNC reported strong second quarter results driven by impressive loan growth and fee income performance, raising its full-year outlook.
