PNC's Q3 revenue grows slightly less than expected on tepid capital markets activity
PNC•PNC reported Q3 revenue of $6.56 billion, slightly below the $6.61 billion consensus, and net interest income of $4.21 billion, also a slight miss. Adjusted EPS was $4.97, and the company returned $1.4 billion to shareholders.
1. Quarterly results
PNC's Q3 revenue and net interest income rose year over year but came in slightly below analyst expectations. Net income was $2.10 billion, adjusted net interest margin was 2.94%, and the CET1 capital ratio was 9.80%.
2. Revenue and expenses
The company said net interest income increased with strong new production and higher utilization of commercial loans. Revenue fell from the prior quarter as lower noninterest income, mainly from reduced capital markets and advisory revenue, more than offset the increase. Noninterest expense declined, primarily because of lower compensation costs and continued expense discipline.
3. Shareholder returns
PNC returned $1.4 billion to shareholders through dividends and share repurchases. It expects Q4 2026 share repurchase activity to approximate Q3 2026 levels.
