The PNC Financial Services Group, Inc. (NYSE:PNC) reported first-quarter results showing earnings strength driven by higher net interest income and loan growth, despite a revenue miss.

Earnings and Revenue

  • PNC Financial reported first-quarter diluted EPS of $4.13 and adjusted EPS of $4.32, beating the $4.05 analyst estimate.
  • Revenue of $6.17 billion missed the $6.242 billion estimate, rising 13% year over year and 2% sequentially.
  • Net income increased to $1.77 billion from $1.50 billion a year earlier.
  • Net interest income rose 14% year over year and 6% sequentially to $3.96 billion, while net interest margin expanded to 2.95%, up 17 basis points year over year and 11 basis points from the prior quarter.
  • Noninterest income grew 12% year over year to $2.20 billion but declined 6% sequentially, with fee income down 2% from the fourth quarter.
  • Noninterest expense rose 11% year over year to $3.77 billion, driven by FirstBank operating and integration costs, while provision for credit losses was $210 million.

Balance Sheet and Credit Quality

Loan growth remained strong, with average loans increasing 7% sequentially and 11% year over year to $350.9 billion.

Total loans rose 9% from the prior quarter to $360.9 billion, while average deposits increased 4% sequentially and 9% year over year to $458.4 billion.

Credit metrics showed net charge-offs of $253 million, including $45 million tied to acquired FirstBank loans, with the allowance for credit losses at $5.5 billion, or 1.52% of total loans. Delinquencies rose to $1.6 billion, while nonperforming loans were stable at $2.2 billion.

Segments, Capital, and Outlook

Retail Banking earned $1.32 billion, Corporate & Institutional Banking earned $1.40 billion, and the Asset Management Group reported $118 million in earnings and $230 billion in discretionary assets under management.

Capital and liquidity remained solid, with a CET1 ratio of 10.1% and an average liquidity coverage ratio of 107%. The company returned $1.4 billion to shareholders through dividends and share repurchases.

PNC completed its FirstBank acquisition on Jan. 5, 2026, adding $26 billion of assets, $16 billion of loans, and $23 billion of deposits, and recorded $98 million in integration costs.

Chairman and CEO Bill Demchak said, “2026 is off to a great start for PNC. During the first quarter, we successfully closed the FirstBank acquisition and generated strong legacy loan growth. Client activity remains robust across all our geographies, and importantly, we’re well-positioned to continue our strong momentum.”

The company expects second-quarter share repurchases of $600 million to $700 million and flagged macroeconomic conditions, tariffs, and regulatory changes as potential risks.

Price Action: PNC shares were trading 1.17% higher at $223.42 at the time of publication on Wednesday.

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