Fifth Third Bancorp Reports Third Quarter 2026 Earnings

By Business Wire | October 19, 2026, 6:30 AM

Organic momentum and successful integration advance the earnings power of the combined company

Reported EPS of $0.90; adjusted EPS^(a) of $1.13 excludes $0.23 of certain items on page 2

CINCINNATI--(BUSINESS WIRE)--Fifth Third Bancorp (NYSE: FITB):


Key Financial Data										Key Highlights

$ in millions for all balance sheet and income statement items
	3Q26			2Q26			3Q25			Stability: Resilient credit performance. Net charge-offs^(b) of 31 bps in 3Q26 Core deposits increased 3% sequentially; loan-to-core deposit ratio of 76% Strong client and banker retention through the Comerica conversion Profitability: Net interest income increased 3% sequentially 8% adjusted PPNR^(a) growth and 450 bps of positive operating leverage from 2Q26 20.6% adjusted ROTCE^(a)and 1.41% adjusted ROA^(a) Growth: Generated 70% more commercial new quality relationships compared to 3Q25 Consumer household growth of 7% in the Southeast and 8% in the Southwest Gained deposit share in Texas and California, with capped deposits in Dallas, Houston and Austin each up more than 20% year-over-year, while Southeast deposit growth was more than five times the market rate

Income Statement Data
Net income available to common shareholders	$828			$763			$608
Net interest income (U.S. GAAP)	2,271			2,215			1,520
Net interest income (FTE)^(a)	2,276			2,220			1,525
Noninterest income	1,008			1,059			781
Noninterest expense	2,049			2,109			1,267

Per Share Data
Earnings per share, basic	$0.91			$0.84			$0.91
Earnings per share, diluted	0.90			0.83			0.91
Book value per share	34.31			35.63			29.26
Tangible book value per share^(a)	22.01			23.22			21.66

Balance Sheet & Credit Quality
Average portfolio loans and leases	$179,244			$177,572			$123,326
Average deposits	238,344			231,506			164,754
Accumulated other comprehensive loss	(4,919	)		(3,286	)		(3,276	)
Net charge-off ratio^(b)	0.31		%	0.30		%	1.09		%
Nonperforming asset ratio^(c)	0.64			0.60			0.65

Financial Ratios
Return on average assets	1.14		%	1.08		%	1.21		%
Return on average common equity	10.2			9.5			12.6
Return on average tangible common equity^(a)	16.6			15.6			17.3
CET1 capital^(d)	10.02			9.93			10.57
Net interest margin^(a)	3.34			3.36			3.13
Efficiency^(a)	62.4			64.3			54.9
Other than the Quarterly Financial Review tables beginning on page 14, commentary is on a fully taxable-equivalent (FTE) basis unless otherwise noted. Consistent with SEC guidance in Regulation S-K that contemplates the calculation of tax-exempt income on a taxable-equivalent basis, net interest income, net interest margin, net interest rate spread, total revenue and the efficiency ratio are provided on an FTE basis.

From Tim Spence, Fifth Third Chairman, CEO and President:

Fifth Third's third quarter reflected the earnings power of the combined company. Even while integrating Comerica, our adjusted return on tangible common equity and efficiency ratio improved from the second quarter, and credit performance remained stable.

Less than a year after we announced the Comerica acquisition, we completed the systems conversion with strong client and banker retention. Most importantly, the business is growing. The latest FDIC data show sustained deposit share gains in the Southeast and new share gains in Comerica's Michigan, Texas and California markets, and household growth continues to be led by the Southeast.

We live in a more volatile world, and competition for deposits is heating up. Multiple sources of low-cost deposits and limited exposure to the borrowers most sensitive to higher rates give us flexibility regardless of the rate environment. We are building a Fifth Third that is better and not just bigger. We will continue to be guided by our operating priorities of stability, profitability and growth – in that order.

Income Statement Highlights
($ in millions, except per share data)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Condensed Statements of Income
Net interest income (NII)^(a)	$2,276	$2,220	$1,525	3%	49%
Provision for credit losses	122	129	197	(5)%	(38)%
Noninterest income	1,008	1,059	781	(5)%	29%
Noninterest expense	2,049	2,109	1,267	(3)%	62%
Income before income taxes^(a)	$1,113	$1,041	$842	7%	32%

Taxable equivalent adjustment	$5	$5	$5	—	—
Applicable income tax expense	242	235	188	3%	29%
Net income	$866	$801	$649	8%	33%
Dividends on preferred stock	38	38	41	—	(7)%
Net income available to common shareholders	$828	$763	$608	9%	36%
Earnings per share, diluted	$0.90	$0.83	$0.91	8%	(1)%

Fifth Third Bancorp (NYSE: FITB) today reported third quarter 2026 net income available to common shareholders of $828 million, or $0.90 per diluted share, compared to $763 million, or $0.83 per diluted share, in the prior quarter and $608 million, or $0.91 per diluted share, in the year-ago quarter.


		Diluted earnings per share impact of certain item(s) - 3Q26

		(after-tax impact; $ in millions, except per share data)

		Merger-related charges^(e)^1,2	$(171)
		Interchange litigation matters^(e)3	(26)
		Technology-related asset impairments^(e)	(14)

		After-tax impactof certain item(s)	$(211)

		Diluted earnings per share impact of certain item(s)⁴	$(0.23)

		Totals may not foot due to rounding; ¹A portion of the adjustments related to merger-related expenses are not tax-deductible; ²Pre-tax merger-related charges increased noninterest expense by $215 million and decreased noninterest income by $10 million; ³Interchange litigation matters increased noninterest expense by $5 million and decreased noninterest income by $29 million; ⁴Diluted earnings per share impact reflects 917.103 million average diluted shares outstanding

Net Interest Income
(FTE; $ in millions)^(a)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Interest Income
Interest income	$3,503	$3,377	$2,524	4%	39%
Interest expense	1,227	1,157	999	6%	23%
Net interest income (NII)	$2,276	$2,220	$1,525	3%	49%

Average Yield/Rate Analysis				bps Change
Yield on interest-earning assets	5.15%	5.11%	5.18%	4	(3)
Rate paid on interest-bearing liabilities	2.50%	2.44%	2.77%	6	(27)

Ratios
Net interest rate spread	2.65%	2.67%	2.41%	(2)	24
Net interest margin (NIM)	3.34%	3.36%	3.13%	(2)	21

Net interest income (FTE) increased 3% sequentially to $2.28 billion, reflecting the benefit of higher market rates, continued fixed-rate asset repricing, active investment portfolio management, and loan growth. These benefits were partially offset by higher deposit costs due to higher market rates and the migration of former off-balance-sheet Comerica investment sweep balances into interest-bearing deposits.

Compared with the year-ago quarter, net interest income increased 49%, primarily reflecting the addition of Comerica, with further support from fixed-rate asset repricing and balance sheet management.

Noninterest Income
($ in millions)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Noninterest Income
Wealth and asset management revenue	$259	$256	$181	1%	43%
Commercial payments revenue	256	254	157	1%	63%
Consumer banking revenue	158	161	144	(2)%	10%
Capital markets fees	147	154	115	(5)%	28%
Commercial banking revenue	128	125	87	2%	47%
Mortgage banking net revenue	47	39	58	21%	(19)%
Other noninterest income	18	50	29	(64)%	(38)%
Securities (losses) gains, net	(5)	20	10	NM	NM
Total noninterest income	$1,008	$1,059	$781	(5)%	29%

Noninterest income of $1.01 billion decreased $51 million, or 5%, sequentially and increased $227 million, or 29%, year-over-year. The reported results reflect the impact of certain items in the table below, including interchange litigation matters, merger-related charges, and other securities gains/losses, which incorporate the mark-to-market impacts from securities tied to non-qualified deferred compensation plans, which are offset in noninterest expense.

Higher mortgage banking, commercial banking, and wealth and asset management revenue more than offset lower capital markets and consumer banking revenue. Wealth and asset management benefited from higher institutional trust and personal asset management revenue. Commercial payments was stable, as growth in deposit fees was offset by higher earnings credits. Capital markets fees declined as late-quarter market volatility slowed M&A advisory and loan syndication activity, more than offsetting higher corporate bond fees.

Noninterest Income excluding certain items
($ in millions)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Noninterest Income excluding certain items
Noninterest income (U.S. GAAP)	$1,008	$1,059	$781
Interchange litigation matters	29	1	18
Merger-related charges	10	—	—
Other securities losses/(gains), net	5	(30)	(10)
Securities repositioning losses	—	10	—
Noninterest income excluding certain items^(a)	$1,052	$1,040	$789	1%	33%

Excluding certain items, noninterest income increased 1% sequentially to $1.05 billion.

Noninterest Expense
($ in millions)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Noninterest Expense
Compensation and benefits	$982	$1,129	$685	(13)%	43%
Technology and communications	300	250	128	20%	134%
Net occupancy expense	144	154	89	(6)%	62%
Card and processing expense	60	66	22	(9)%	173%
Equipment expense	59	60	44	(2)%	34%
Loan and lease expense	47	53	39	(11)%	21%
Marketing expense	57	65	34	(12)%	68%
Other noninterest expense	400	332	226	20%	77%
Total noninterest expense	$2,049	$2,109	$1,267	(3)%	62%

Noninterest expense of $2.05 billion decreased 3% sequentially, driven primarily by lower compensation and benefits expense. The reported results reflect the impact of certain items in the table below.

Noninterest Expense excluding certain item(s)
($ in millions)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Noninterest Expense excluding certain item(s)
Noninterest expense (U.S. GAAP)	$2,049	$2,109	$1,267
Merger-related charges	(215)	(203)	—
Technology-related asset impairments	(19)	(7)	—
Interchange litigation matters	(5)	(1)	(9)
Severance expense	—	(7)	—
FDIC special assessment	—	—	6
Noninterest expense excluding certain item(s)^(a)	$1,810	$1,891	$1,264	(4)%	43%
Non-qualified deferred compensation benefit/(expense)	6	(30)	(11)
Noninterest expense excluding certain item(s) and non-qualified deferred compensation^(a)	$1,816	$1,861	$1,253	(2)%	45%

Noninterest expense excluding certain items and non-qualified deferred compensation decreased 2% sequentially to $1.82 billion. Merger-related charges recognized in noninterest expense totaled approximately 1.04 billion year-to-date, consistent with the integration timeline.

Average Interest-Earning Assets
($ in millions)	For the Three Months Ended			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
Average Portfolio Loans and Leases
Commercial loans and leases:
Commercial and industrial loans	$85,982	$84,967	$54,170	1%	59%
Commercial mortgage loans	27,263	27,176	12,027	—	127%
Commercial construction loans	8,744	8,437	5,541	4%	58%
Commercial leases	3,574	3,503	3,177	2%	12%
Total commercial loans and leases	$125,563	$124,083	$74,915	1%	68%
Consumer loans:
Residential mortgage loans	$19,775	$19,626	$17,656	1%	12%
Home equity	7,023	6,830	4,579	3%	53%
Indirect secured consumer loans	18,182	18,239	17,729	—	3%
Credit card	1,646	1,646	1,678	—	(2)%
Solar energy installation loans	4,244	4,384	4,355	(3)%	(3)%
Other consumer loans	2,811	2,764	2,414	2%	16%
Total consumer loans	$53,681	$53,489	$48,411	—	11%
Total average portfolio loans and leases	$179,244	$177,572	$123,326	1%	45%

Average Loans and Leases Held for Sale
Commercial loans and leases held for sale	$170	$399	$44	(57)%	286%
Consumer loans held for sale	597	736	623	(19)%	(4)%
Total average loans and leases held for sale	$767	$1,135	$667	(32)%	15%

Total average loans and leases	$180,011	$178,707	$123,993	1%	45%

Securities (taxable and tax-exempt)	$68,543	$67,924	$54,592	1%	26%
Other short-term investments	21,469	18,358	14,915	17%	44%
Total average interest-earning assets	$270,023	$264,989	$193,500	2%	40%

Total average portfolio loans and leases of $179 billion increased 1% sequentially and 45% year-over-year. Sequential performance was driven by approximately $1.5 billion of growth in commercial loans and leases, while average consumer loans were broadly stable. Year-over-year growth primarily reflected the addition of Comerica.

Average securities (taxable and tax-exempt; amortized cost) of $69 billion increased 1% sequentially and 26% year-over-year, with sequential growth reflecting continued investment portfolio activity. Average other short-term investments (including interest-bearing cash) increased $3.1 billion, or 17%, sequentially, primarily reflecting the migration of the previously mentioned former off-balance-sheet Comerica investment sweep balances onto the balance sheet.

End of Period Interest-Earning Assets
($ in millions)	As of			% Change
	September	June	September
	2026	2026	2025	Seq	Yr/Yr
End of Period Portfolio Loans and Leases
Total commercial loans and leases	$126,366	$124,880	$74,423	1%	70%
Total consumer loans	53,906	53,648	48,707	—	11%
Total portfolio loans and leases	$180,272	$178,528	$123,130	1%	46%

End of Period Loans and Leases Held for Sale
Total loans and leases held for sale	$728	$866	$576	(16)%	26%

Total loans and leases	$181,000	$179,394	$123,706	1%	46%

Securities (taxable and tax-exempt)	$70,769	$68,332	$52,680	4%	34%
Other short-term investments	16,520	19,350	17,215	(15)%	(4)%
Total interest-earning assets	$268,289	$267,076	$193,601	—	39%

Period-end total portfolio loans and leases increased 1% sequentially to $180 billion. Commercial growth was led by construction and C&I originations, partly offset by elevated payoffs. Consumer growth reflected continued momentum in home equity, partially offset by expected runoff in solar energy installation loans.

Total period-end securities (taxable and tax-exempt; amortized cost) increased $2.4 billion sequentially to $71 billion as a portion of the liquidity held earlier in the quarter was deployed into higher-yielding investment securities. As a result, period-end short-term investments declined $2.8 billion even though average short-term investments were higher for the quarter.

Average Deposits
	($ in millions)	For the Three Months Ended			% Change
		September	June	September
		2026	2026	2025	Seq	Yr/Yr
	Average Deposits
	Demand	$64,228	$63,976	$41,235	—	56%
	Interest checking	75,025	70,507	56,624	6%	32%
	Savings	18,037	18,430	16,376	(2)%	10%
	Money market	66,247	63,200	37,434	5%	77%
	Total transaction deposits	$223,537	$216,113	$151,669	3%	47%
	CDs $250,000 or less	12,102	12,403	10,841	(2)%	12%
	Total core deposits	$235,639	$228,516	$162,510	3%	45%
	CDs over $250,000¹	2,705	2,990	2,244	(10)%	21%
	Total average deposits	$238,344	$231,506	$164,754	3%	45%
	¹CDs over $250,000 includes $1.0MM, $0.1BN, and $1.0BN of retail brokered certificates of deposit which are fully covered by FDIC insurance for the three months ended 9/30/26, 6/30/26, and 9/30/25, respectively.

Total average deposits increased 3% sequentially to $238 billion, reflecting operational deposit growth, the Southwest retail deposit campaign, and the migration of former off-balance-sheet Comerica investment sweep balances onto the balance sheet. Additionally, certain Comerica legacy deposit products were simplified into more modern interest checking products resulting in a shift from commercial savings and money market into interest checking.

Period-end total deposits increased 2% sequentially to $239 billion, with growth in interest-checking, partially offset by lower money market and CD balances. The period-end portfolio loan-to-core deposit ratio improved to 76% from 77% last quarter, as deposit growth modestly outpaced loan growth.

Average Wholesale Funding
	($ in millions)	For the Three Months Ended			% Change
		September	June	September
		2026	2026	2025	Seq	Yr/Yr
	Average Wholesale Funding
	CDs over $250,000¹	$2,705	$2,990	$2,244	(10)%	21%
	Federal funds purchased	181	160	198	13%	(9)%
	Securities sold under repurchase agreements	395	444	376	(11)%	5%
	FHLB advances	2,365	3,437	4,920	(31)%	(52)%
	Derivative collateral and other secured borrowings	93	64	82	45%	13%
	Long-term debt	17,513	18,817	14,001	(7)%	25%
	Total average wholesale funding	$23,252	$25,912	$21,821	(10)%	7%
	¹CDs over $250,000 includes $1.0MM, $0.1BN, and $1.0BN of retail brokered certificates of deposit which are fully covered by FDIC insurance for the three months ended 9/30/26, 6/30/26, and 9/30/25, respectively.

Strong deposit growth improved the overall funding mix and supported a 10% sequential reduction in average wholesale funding to $23 billion, driven primarily by decreases of $1.3 billion in long-term debt and $1.1 billion in FHLB advances.

Compared with the year-ago quarter, average wholesale funding increased 7%, reflecting the Comerica acquisition.

Credit Quality Summary
($ in millions)	As of and For the Three Months Ended
	September	June	March	December	September
	2026	2026	2026	2025	2025

Total nonaccrual portfolio loans and leases (NPLs)	$1,070	$1,041	$960	$767	$768
Repossessed property	9	10	11	11	12
OREO¹	81	24	28	19	21
Total nonperforming portfolio loans and leases and OREO (NPAs)	$1,160	$1,075	$999	$797	$801

NPL ratio^(f)	0.59%	0.58%	0.54%	0.62%	0.62%
NPA ratio^(c)	0.64%	0.60%	0.57%	0.65%	0.65%

Portfolio loans and leases 30-89 days past due (accrual)	$540	$561	$683	$360	$348
Portfolio loans and leases 90 days past due (accrual)	42	33	49	30	29

30-89 days past due as a % of portfolio loans and leases	0.30%	0.31%	0.39%	0.29%	0.28%
90 days past due as a % of portfolio loans and leases	0.02%	0.02%	0.03%	0.02%	0.02%

Allowance for loan and lease losses (ALLL), beginning	$2,918	$2,922	$2,253	$2,265	$2,412
Total net losses charged-off	(139)	(135)	(144)	(125)	(339)
Provision for loan and lease losses	127	131	152	113	192
Allowance on PCD loans and leases at acquisition	—	(1)	180	—	—
Allowance on PSLs at acquisition	—	1	481	—	—
ALLL, ending	$2,906	$2,918	$2,922	$2,253	$2,265

Reserve for unfunded commitments, beginning	$230	$232	$157	$151	$146
(Benefit from) provision for the reserve for unfunded commitments	(5)	(2)	75	6	5
Reserve for unfunded commitments, ending	$225	$230	$232	$157	$151

Total allowance for credit losses (ACL)	$3,131	$3,148	$3,154	$2,410	$2,416

ACL ratios:
As a % of portfolio loans and leases	1.74%	1.76%	1.79%	1.96%	1.96%
As a % of nonperforming portfolio loans and leases	292%	303%	328%	314%	314%
As a % of nonperforming portfolio assets	270%	293%	316%	302%	302%

ALLL as a % of portfolio loans and leases	1.61%	1.63%	1.66%	1.84%	1.84%

Total losses charged-off	$(192)	$(181)	$(187)	$(177)	$(382)
Total recoveries of losses previously charged-off	53	46	43	52	43
Total net losses charged-off²	$(139)	$(135)	$(144)	$(125)	$(339)

Net charge-off ratio (NCO ratio)^(b)2	0.31%	0.30%	0.37%	0.40%	1.09%
Commercial NCO ratio	0.22%	0.21%	0.26%	0.27%	1.46%
Consumer NCO ratio	0.52%	0.53%	0.58%	0.59%	0.52%
¹Includes branch-related real estate no longer intended to be used for banking purposes.
²Excludes net charge-offs of $100 million which were taken immediately at the time of acquisition.

The provision for credit losses declined to $122 million from $129 million in the prior quarter. The allowance for credit losses was $3.1 billion, or 1.74%, of total portfolio loans and leases, compared with 1.76% in the prior quarter. The modest decline in the ACL ratio reflected improvement in the commercial risk profile. The ACL coverage ratio remained strong at 292% of nonperforming portfolio loans and leases and 270% of nonperforming portfolio assets.

Net charge-offs totaled $139 million, or 0.31%, of average portfolio loans, compared with $135 million, or 0.30%, in the prior quarter. The commercial NCO ratio increased 1 bp sequentially to 0.22%, while the consumer NCO ratio declined 1 bp to 0.52%.

Compared with the year-ago quarter, the total NCO ratio improved 78 bps, largely because the prior year period included a $178 million asset-backed finance charge-off. Excluding that credit, the year-ago NCO ratio was 0.52%.

Credit quality remained stable, with early- and late-stage delinquencies, nonperforming portfolio loans and leases and nonperforming portfolio assets broadly unchanged sequentially. OREO was $81 million at September 30, 2026 and included $74 million of branch-related real estate no longer intended to be used for banking purposes primarily driven by the Comerica acquisition.

Capital Position
	As of and For the Three Months Ended
	September	June	March	December	September
	2026	2026	2026	2025	2025
Capital Position
Average total Bancorp shareholders' equity as a % of average assets	11.37%	11.50%	11.34%	10.11%	10.02%
Tangible equity^(a)	9.13%	9.04%	9.01%	9.28%	9.12%
Tangible common equity (excluding AOCI)^(a)	8.39%	8.30%	8.26%	8.46%	8.29%
Tangible common equity (including AOCI)^(a)	6.88%	7.29%	7.25%	7.14%	6.89%

Regulatory Capital Ratios^(d)
CET1 capital	10.02%	9.93%	9.89%	10.81%	10.57%
Tier 1 risk-based capital	10.90%	10.81%	10.79%	11.87%	11.63%
Total risk-based capital	12.54%	12.50%	12.50%	13.78%	13.54%
Leverage	9.22%	9.20%	10.22%	9.41%	9.24%

Contacts

Investor contact: Matt Curoe (513) 534-2345 | Media contact: Jennifer Hendricks Sullivan (614) 744-7693

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