KeyCorp reported fourth-quarter earnings per share of $0.43, exceeding consensus estimates of $0.38 and marking a 7.9% year-over-year increase. Total revenue for the period reached $2.01 billion, topping forecasts of $1.97 billion. The outperformance was driven primarily by strong lending activity and higher net interest income, reinforcing the bank’s ability to generate consistent core revenues despite a challenging rate environment.

Net interest income rose 3% sequentially, supported by loan growth in both commercial and consumer portfolios, and contributed to a 7 basis-point improvement in net interest margin to 2.82%. Noninterest income climbed 11.4% quarter-over-quarter to $782 million, led by a 33% jump in investment banking and debt placement fees to $243 million. These diversified revenue streams underscored KeyCorp’s progress in expanding higher-margin businesses beyond traditional lending.

Provisions for credit losses surged to $108 million in the quarter, compared with $65 million in the prior year period, as management reinforced reserves against potential delinquencies in selected commercial segments. The increase in provisions contributed to early-market trading weakness, with shares declining more than 2% following the release, as investors weighed the bank’s cautious reserve build against its underlying profitability trends.

KeyCorp reported a Common Equity Tier 1 ratio of 11.7%, consistent with peer-leading capital levels, and maintained a debt-to-equity ratio of 0.54. During the quarter, the bank repurchased $200 million of common stock under its existing buyback program, reflecting confidence in its balance‐sheet strength and commitment to returning excess capital to shareholders. At December 31, 2025, total assets stood at approximately $184 billion, positioning KeyCorp to support continued growth in 2026.