Results
PNC Reports Second Quarter 2026 Net Income of $2.1 Billion,
$4.81 Diluted EPS or $4.85 as Adjusted
Generated record revenue, net interest income and fee income
Capital return
Increased quarterly common stock dividend 30 cents, or 18%, to $2.00 per share
Management commentary
From Bill Demchak, PNC Chairman and Chief Executive Officer:
“Our strong second quarter performance reflects the disciplined execution of our growth strategy and positions us well for the second half of the year.
We remain focused on delivering results that support our customers, shareholders and communities.
Our successful FirstBank conversion, strong capital position and announced dividend increase provide further evidence of the strength and resilience of our franchise.”
Results
PNC Reports Second Quarter 2026 Net Income of $2.1 Billion, $4.81 Diluted EPS or $4.85 As Adjusted – Page 2
Corporate events
As of June 22, 2026, PNC has converted approximately 780,000 customers, more than 1,620 employees and 95 branches across Colorado and Arizona, merging FirstBank into PNC Bank.
Second quarter of 2026 results include the full quarter benefit of FirstBank.
First quarter of 2026 results include FirstBank operations since acquisition close on January 5, 2026.
Integration Costs and 2Q26 Significant Items
Results
In the second quarter of 2026, PNC incurred integration costs related to the FirstBank acquisition of $127 million.
Results for the quarter also reflected the impact of several significant items.
2PNC participated in the Visa exchange program monetizing 50% of its Visa Class B-2 shares resulting in a gain of $448 million and converting its remaining holdings into 0.9 million of Visa Class B-3 shares.
8This gain was substantially offset by a $140 million PNC Foundation contribution expense, a $139 million securities loss related to the repositioning of approximately $4 billion of available-for-sale investment securities into higher yielding instruments, and negative $85 million of Visa Class B-3 derivative fair value adjustments, driven by the extension of anticipated litigation resolution timing.
1The combined impact of both integration costs and 2Q26 significant items resulted in a $15 million decline in net income, or a 4 cent reduction to EPS.
Income Statement Highlights
Second quarter 2026 compared with first quarter 2026
Total revenue of $6.9 billion increased $710 million, or 12%, driven by growth in both noninterest income and net interest income.
– Net interest income of $4.1 billion increased $146 million, or 4%, and included the benefit of commercial loan growth and higher noninterest-bearing deposit balances.
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PNC Reports Second Quarter 2026 Net Income of $2.1 Billion, $4.81 Diluted EPS or $4.85 As Adjusted – Page 3
Net interest margin increased 1 basis point to 2.96%.
– Fee income of $2.3 billion increased $200 million, or 10%, driven by growth across all fee categories, including record capital markets and advisory revenue.
– Other noninterest income of $489 million included both integration costs and 2Q26 significant items totaling $218 million as well as positive valuation adjustments of private equity investments.
Noninterest expense of $4.1 billion increased $330 million, or 9%, and included $261 million of both integration expenses and 2Q26 significant items, compared to $97 million of integration expenses in the first quarter.
5Excluding these items from each quarter, noninterest expense was $3.8 billion, increasing $166 million, or 5%, primarily due to increased business activity.
Provision for credit losses was $191 million in the second quarter and reflected portfolio activity as well as updates to macroeconomic factors.
The effective tax rate was 20.5% for the second quarter and 19.0% for the first quarter.
Balance Sheet Highlights
Average loans of $363.2 billion increased $12.3 billion, or 4%.
Average commercial loans increased $13.0 billion, or 5%, driven by strong new production and increased utilization.
6Average consumer loans decreased $0.7 billion, or 1%, due to declines in both residential mortgage and auto loans, partially offset by growth in credit card loans.
– Loans at June 30, 2026 of $368.0 billion increased $7.0 billion, or 2%, from March 31, 2026 and included commercial loan growth, reflecting strong new production.
Credit quality performance:
– Delinquencies of $1.4 billion decreased $122 million, or 8%, due to lower commercial loan delinquencies.
– Total nonperforming loans of $2.0 billion decreased $216 million, or 10%, driven by lower commercial real estate nonperforming loans.
– Net loan charge-offs of $226 million decreased $27 million primarily due to FirstBank acquired net loan charge-offs of $45 million recognized in the first quarter.
– The allowance for credit losses of $5.5 billion was stable.
The allowance for credit losses to total loans was 1.48% at June 30, 2026 and 1.52% at March 31, 2026.
Average investment securities of $147.1 billion increased $2.6 billion, or 2%, reflecting higher residential mortgage-backed securities.
Average deposits of $457.0 billion were stable .
The rate paid on interest-bearing deposits of 1.91%, declined 5 basis points.
PNC maintained a strong capital and liquidity position:
Capital return
4– On July 6, 2026, the PNC board of directors raised the quarterly cash dividend on common stock to $2.00 per share, an increase of 30 cents, or 18%.
The dividend is payable on August 5, 2026 to shareholders of record at the close of business July 20, 2026.
– PNC returned $1.3 billion of capital to shareholders, reflecting $0.7 billion of dividends on common shares and $0.6 billion of common share repurchases.
– Share repurchase activity in the third quarter of 2026 is expected to approximate second quarter of 2026 share repurchase levels.
Results
– The Basel III common equity tier 1 capital ratio was an estimated 9.9% at June 30, 2026 and was 10.1% at March 31, 2026.
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PNC Reports Second Quarter 2026 Net Income of $2.1 Billion, $4.81 Diluted EPS or $4.85 As Adjusted – Page 4
– PNC’s average LCR for the three months ended June 30, 2026 was 106%, exceeding the regulatory minimum requirement throughout the quarter.
Total revenue for the second quarter of 2026 increased $710 million compared to the first quarter of 2026 and $1.2 billion compared to the second quarter of 2025.
In both comparisons, the increase was driven by both higher noninterest income and net interest income.
Net interest income of $4.1 billion increased $146 million from the first quarter of 2026 and $552 million from the second quarter of 2025.
In each comparison, the increase included the benefit of commercial loan growth and higher noninterest-bearing deposit balances.
In comparison to the second quarter of 2025, the increase also reflected the benefit of FirstBank and lower funding costs.
Net interest margin was 2.96% in the second quarter of 2026, increasing 1 basis point from the first quarter of 2026.
Compared to the second quarter of 2025, net interest margin expanded 16 basis points.
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PNC Reports Second Quarter 2026 Net Income of $2.1 Billion, $4.81 Diluted EPS or $4.85 As Adjusted – Page 5
Noninterest income for the second quarter of 2026 of $2.8 billion included $218 million of both integration costs and 2Q26 significant items.
The first quarter of 2026 included $1 million of FirstBank related integration costs.
Excluding these items from each quarter, noninterest income was $2.6 billion, increasing $345 million, or 16%, from the first quarter of 2026 and $444 million, or 21%, from the second quarter of 2025.
In comparison to the first quarter of 2026, fee income increased $200 million, or 10%, driven by growth across all fee categories.
Asset management and brokerage fees increased $20 million as a result of higher average equity markets and increased client activity.
7Capital markets and advisory revenue increased $114 million driven by record merger and acquisition advisory fees as well as strong activity across other capital markets businesses.
Card and cash management revenue increased $34 million due to seasonally higher consumer transaction volumes and growth in treasury management product revenue.
Lending and deposit related revenue increased $6 million primarily due to increased customer activity.
3Residential and commercial mortgage revenue increased $26 million primarily driven by a first quarter of 2026 negative valuation of residential mortgage servicing rights, net of economic hedge, which did not recur.
Compared to the second quarter of 2025, fee income increased $385 million, or 20%, driven by an increase in capital markets and advisory revenue of $256 million as well as broad-based growth across the other fee income categories.
Other noninterest income of $489 million in the second quarter of 2026 included both integration costs and 2Q26 significant items totaling $218 million as well as positive valuation adjustments of private equity investments.
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PNC Reports Second Quarter 2026 Net Income of $2.1 Billion, $4.81 Diluted EPS or $4.85 As Adjusted – Page 6
Noninterest expense for the second quarter of 2026 of $4.1 billion included both integration costs and 2Q26 significant items totaling $261 million.
The first quarter of 2026 included $97 million of FirstBank integration costs.
Noninterest expense excluding both integration costs and 2Q26 significant items was $3.8 billion, increasing $166 million from the first quarter of 2026 and $454 million compared to the second quarter of 2025.
In each comparison the increase reflected the impact of increased business activity, higher marketing spend and continued investments to support business growth.
Compared with the second quarter of 2025, the increase also included the impact of FirstBank operating expenses.
The effective tax rate was 20.5% for the second quarter of 2026, 19.0% for the first quarter of 2026 and 18.8% for the second quarter of 2025.
8 boilerplate lines (safe-harbor disclaimer, contacts, call details) are set aside.