Despite a 14.0% year-over-year increase in net interest income, the efficiency ratio deteriorated to 61.1% in 2026Q1, reflecting significant pressure on core profitability.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Net Interest Income | 14.89B | 14.41B | 13.5B | 13.92B | 13.01B | 10.65B | 9.95B | 9.96B | 9.72B | 9.11B | 8.39B | 8.28B | 8.53B | 9.15B | 9.64B | 8.7B | 9.23B | 9.08B | 3.85B | 2.95B | 2.25B | 2.15B | 1.97B | 2B | 2.2B | 2.26B | 2.16B | 2.34B | 2.49B | 2.5B | 2.44B |
| NII Growth % | 34.5% | 6.75% | -3% | 6.93% | 22.23% | 7.05% | -0.19% | 2.51% | 6.73% | 8.54% | 1.37% | -2.9% | -6.8% | -5.11% | 10.8% | -5.74% | 1.62% | 135.68% | 30.78% | 31.27% | 4.22% | 9.4% | -1.35% | -9.15% | -2.87% | 4.53% | -7.68% | -5.79% | -0.28% | 2.09% | 14.1% |
| Net Interest Margin % | 2.47% | 2.51% | 2.41% | 2.48% | 2.34% | 1.91% | 2.13% | 2.43% | 2.54% | 2.39% | 2.29% | 2.31% | 2.47% | 2.86% | 3.16% | 3.21% | 3.49% | 3.37% | 1.32% | 2.12% | 2.2% | 2.34% | 2.47% | 2.93% | 3.31% | 3.25% | 3.1% | 3.38% | 3.22% | 3.32% | 3.34% |
| Interest Income | 25.62B | 25.31B | 26.38B | 24.31B | 15.44B | 11.13B | 11.31B | 13.76B | 12.58B | 10.81B | 9.65B | 9.32B | 9.43B | 10.01B | 10.73B | 10.19B | 11.15B | 12.09B | 6.3B | 6.14B | 4.61B | 3.73B | 2.75B | 2.71B | 3.17B | 4.14B | 4.73B | 4.58B | 5.02B | 5.05B | 4.94B |
| Interest Expense | 10.73B | 10.9B | 12.88B | 10.39B | 2.42B | 487M | 1.36B | 3.8B | 2.86B | 1.71B | 1.26B | 1.04B | 906M | 860M | 1.09B | 1.49B | 1.92B | 3B | 2.45B | 3.2B | 2.37B | 1.58B | 783M | 716M | 975M | 1.88B | 2.57B | 2.24B | 2.54B | 2.56B | 2.49B |
| Loan Loss Provision | -1.71B | -2.01B | 797M | 761M | 471M | -779M | 3.17B | 773M | 408M | 441M | 433M | 255M | 273M | 643M | 987M | 1.15B | 2.5B | 3.93B | 1.52B | 315M | 124M | 21M | 52M | 177M | 309M | 903M | 136M | 163M | 225M | 70M | 0 |
| Non-Interest Income | 6.43B | 6.04B | 7.31B | 7.59B | 8.1B | 8.56B | 6.96B | 6.87B | 6.47B | 7.22B | 6.77B | 6.95B | 6.76B | 6.87B | 5.87B | 5.63B | 5.79B | 6.03B | 2.33B | 2.94B | 4.25B | 4.17B | 3.57B | 3.26B | 3.2B | 2.65B | 2.95B | 2.45B | 2.09B | 1.85B | 1.43B |
| Non-Interest Income % | 20.07% | 19.26% | 21.7% | 23.8% | 34.42% | 43.48% | 38.08% | 33.31% | 33.96% | 40.04% | 41.23% | 42.7% | 41.74% | 40.69% | 35.36% | 35.56% | 34.16% | 33.3% | 26.98% | 32.39% | 47.95% | 52.78% | 56.48% | 54.57% | 50.2% | 39.06% | 38.4% | 34.84% | 29.34% | 26.86% | 22.47% |
| Total Revenue | 32.05B | 31.34B | 33.69B | 31.9B | 23.54B | 19.7B | 18.26B | 20.64B | 19.05B | 18.04B | 16.42B | 16.27B | 16.19B | 16.87B | 16.61B | 15.82B | 16.94B | 18.12B | 8.63B | 9.09B | 8.86B | 7.91B | 6.32B | 5.97B | 6.37B | 6.79B | 7.68B | 7.03B | 7.11B | 6.91B | 6.37B |
| Revenue Growth % | -16.72% | -6.98% | 5.62% | 35.54% | 19.48% | 7.86% | -11.5% | 8.32% | 5.63% | 9.82% | 0.94% | 0.51% | -4.06% | 1.6% | 4.97% | -6.59% | -6.53% | 109.99% | -5.05% | 2.56% | 12.07% | 25.03% | 5.95% | -6.28% | -6.19% | -11.62% | 9.23% | -1.08% | 2.95% | 8.43% | 4.24% |
| Non-Interest Expense | 14.21B | 13.97B | 12.77B | 14.01B | 13.17B | 13B | 10.3B | 10.57B | 10.3B | 10.4B | 9.48B | 9.46B | 9.39B | 9.68B | 10.49B | 9.11B | 8.45B | 7.96B | 3.57B | 3.65B | 2.37B | 4.31B | 3.71B | 3.51B | 3.26B | 3.45B | 3.13B | 2.84B | 2.7B | 2.66B | 2.35B |
| Efficiency Ratio | 44.35% | 44.58% | 37.9% | 43.92% | 55.96% | 66.01% | 56.38% | 51.24% | 54.04% | 57.65% | 57.7% | 58.16% | 58.03% | 57.38% | 63.15% | 57.55% | 49.91% | 43.94% | 41.38% | 40.18% | 26.69% | 54.46% | 58.7% | 58.77% | 51.25% | 50.77% | 40.74% | 40.42% | 37.95% | 38.55% | 36.87% |
| Operating Income | 8.83B | 8.49B | 7.24B | 6.74B | 7.47B | 6.99B | 3.43B | 5.49B | 5.49B | 5.49B | 5.25B | 5.51B | 5.61B | 5.69B | 4.04B | 4.07B | 4.06B | 3.23B | 1.09B | 1.92B | 4B | 2B | 1.78B | 1.57B | 1.82B | 564M | 1.85B | 1.79B | 1.65B | 1.62B | 1.53B |
| Operating Margin % | 27.54% | 27.08% | 21.49% | 21.12% | 31.75% | 35.48% | 18.78% | 26.61% | 28.8% | 30.44% | 31.99% | 33.85% | 34.68% | 33.71% | 24.32% | 25.72% | 23.98% | 17.8% | 12.68% | 21.17% | 45.2% | 25.29% | 28.1% | 26.27% | 28.59% | 8.31% | 24.06% | 25.42% | 23.22% | 23.43% | 23.98% |
| Operating Income Growth % | - | 17.18% | 7.51% | -9.86% | 6.94% | 103.79% | -37.56% | 0.11% | -0.07% | 4.51% | -4.61% | -1.91% | -1.3% | 40.83% | -0.74% | 0.2% | 25.92% | 194.79% | -43.14% | -51.96% | 100.25% | 12.55% | 13.33% | -13.89% | 222.87% | -69.48% | 3.36% | 8.3% | 2.04% | 5.96% | 143.5% |
| Pretax Income | 8.83B | 8.49B | 7.24B | 6.74B | 7.47B | 6.99B | 3.43B | 5.49B | 5.49B | 5.49B | 5.25B | 5.51B | 5.61B | 5.69B | 4.04B | 4.07B | 4.06B | 3.23B | 1.09B | 1.92B | 4B | 2B | 1.78B | 1.57B | 1.82B | 564M | 1.85B | 1.79B | 1.65B | 1.62B | 1.53B |
| Pretax Margin % | 27.54% | 27.08% | 21.49% | 21.12% | 31.75% | 35.48% | 18.78% | 26.61% | 28.8% | 30.44% | 31.99% | 33.85% | 34.68% | 33.71% | 24.32% | 25.72% | 23.98% | 17.8% | 12.68% | 21.17% | 45.2% | 25.29% | 28.1% | 26.27% | 28.59% | 8.31% | 24.06% | 25.42% | 23.22% | 23.43% | 23.98% |
| Income Tax | 1.56B | 1.49B | 1.29B | 1.09B | 1.36B | 1.26B | 426M | 901M | 928M | 102M | 1.27B | 1.36B | 1.41B | 1.48B | 1.04B | 998M | 1.04B | 867M | 298M | 561M | 1.36B | 604M | 538M | 539M | 621M | 187M | 634M | 586M | 571M | 566M | 535M |
| Effective Tax Rate % | 17.64% | 17.55% | 17.8% | 16.17% | 18.2% | 18.07% | 12.42% | 16.41% | 16.92% | 1.86% | 24.14% | 24.77% | 25.06% | 25.95% | 25.87% | 24.53% | 25.54% | 26.88% | 27.24% | 29.16% | 34.03% | 30.2% | 30.28% | 34.38% | 34.1% | 33.16% | 34.31% | 32.77% | 34.59% | 34.98% | 35.04% |
| Net Income | 7.21B | 6.94B | 5.89B | 5.58B | 6.04B | 5.67B | 7.52B | 5.37B | 5.3B | 5.34B | 3.9B | 4.11B | 4.18B | 4.2B | 3B | 3.06B | 3.41B | 2.45B | 882M | 1.47B | 2.6B | 1.32B | 1.2B | 1B | 1.18B | 372M | 1.28B | 1.26B | 1.11B | 1.05B | 992M |
| Net Margin % | 22.51% | 22.13% | 17.48% | 17.49% | 25.67% | 28.8% | 41.16% | 26.02% | 27.83% | 29.6% | 23.77% | 25.24% | 25.85% | 24.9% | 18.07% | 19.32% | 20.15% | 13.5% | 10.22% | 16.14% | 29.29% | 16.76% | 18.93% | 16.77% | 18.59% | 5.48% | 16.65% | 17.97% | 15.68% | 15.23% | 15.58% |
| Net Income Growth % | 19.45% | 17.78% | 5.58% | -7.66% | 6.47% | -24.52% | 40.01% | 1.28% | -0.69% | 36.77% | -4.94% | -1.86% | -0.4% | 39.99% | -1.8% | -10.43% | 39.44% | 177.44% | -39.88% | -43.47% | 95.85% | 10.69% | 19.58% | -15.46% | 218.28% | -70.91% | 1.19% | 13.36% | 5.99% | 6.05% | 143.08% |
| Net Income (Continuing) | 7.27B | 7B | 5.95B | 5.65B | 6.11B | 5.72B | 3B | 4.59B | 4.56B | 5.39B | 3.98B | 4.14B | 4.21B | 4.21B | 2.99B | 3.07B | 3.02B | 2.36B | 796M | 1.36B | 2.64B | 1.4B | 1.24B | 1.03B | 1.2B | 377M | 1.21B | 1.2B | 1.08B | 1.05B | 992M |
| EPS (Diluted) | 17.55 | 16.59 | 13.74 | 12.79 | 13.85 | 12.70 | 6.36 | 11.39 | 10.71 | 10.36 | 7.30 | 7.39 | 7.30 | 7.39 | 5.30 | 5.64 | 5.74 | 4.36 | 2.46 | 4.32 | 8.73 | 4.55 | 4.21 | 3.55 | 4.15 | 1.26 | 4.31 | 4.15 | 3.60 | 3.28 | 2.88 |
| EPS Growth % | 21.54% | 20.74% | 7.43% | -7.65% | 9.06% | 99.69% | -44.16% | 6.35% | 3.38% | 41.92% | -1.22% | 1.23% | -1.22% | 39.43% | -6.03% | -1.74% | 31.65% | 77.24% | -43.06% | -50.52% | 91.87% | 8.08% | 18.59% | -14.46% | 229.37% | -70.77% | 3.86% | 15.28% | 9.76% | 13.89% | 142.02% |
| EPS (Basic) | - | 16.62 | 13.76 | 12.80 | 13.86 | 12.71 | 6.36 | 11.43 | 10.79 | 10.49 | 7.42 | 7.52 | 7.44 | 7.48 | 5.36 | 5.70 | 5.80 | 4.40 | 2.50 | 4.40 | 8.89 | 4.63 | 4.25 | 3.58 | 4.18 | 1.27 | 4.35 | 4.19 | 3.64 | 3.33 | 2.91 |
| Diluted Shares Outstanding | 411.14M | 394M | 400M | 401M | 412M | 426M | 427M | 448M | 470M | 486M | 500M | 521M | 537M | 532M | 529M | 526M | 520M | 455M | 347M | 335M | 297M | 290M | 284M | 281M | 285M | 284.92M | 292.8M | 300M | 309.72M | 320.73M | 345.35M |
Commercial Real Estate Exposure
According to recent financial disclosures, PNC achieved a 14.0% year-over-year growth in net interest income during 2026Q1, marking a significant acceleration from the negative growth rates observed throughout 2024, suggesting that the bank's asset repricing strategies are finally outpacing the elevated costs of retail and corporate funding.
The shift from negative NII growth in early 2024 to double-digit expansion indicates that the bank has successfully navigated the peak of the deposit beta cycle. Investors should monitor whether this trajectory is sustainable or if it reflects a temporary benefit from specific loan portfolio repricing events that may not repeat in subsequent quarters.
As reported in quarterly filings, PNC's efficiency ratio spiked to 61.1% in 2026Q1, a notable departure from the 37.6% to 41.8% range maintained over the previous two years, which may indicate unexpected operational costs or a strategic shift in non-interest expenditure during the most recent period.
The sudden deterioration in the efficiency ratio warrants investigation into whether this is a structural increase in operating expenses or a one-time investment in technology or personnel. If this elevated ratio persists, it could signal that the bank's 'national-lite' model is facing higher-than-anticipated overhead costs as it scales its corporate banking footprint.
Based on reported figures, PNC recorded a significant provision for credit losses of $2.3 billion in 2026Q1, a sharp reversal from the relatively stable provisioning levels seen in 2025, suggesting that management may be preemptively adjusting for potential deterioration in the underlying loan portfolio quality.
This substantial provision expense appears to be a defensive move under CECL accounting, likely reflecting management's updated macroeconomic outlook rather than immediate realized losses. Analysts should scrutinize the specific segments driving this increase, particularly whether it stems from the commercial real estate portfolio or broader corporate credit stress.
Financial statements indicate that non-interest income turned negative at $279 million in 2026Q1, contrasting sharply with the consistent $2.0 billion to $2.3 billion range generated in previous quarters, which highlights a high degree of sensitivity to market-driven fee volatility within the bank's capital markets and advisory segments.
The collapse in fee income suggests that the bank's 'capital markets lite' strategy is highly susceptible to market conditions, which can rapidly offset gains in net interest income. This volatility implies that the bank's earnings quality may be less stable than the recurring nature of its interest-based revenue would otherwise suggest.
Quick answers to the most common questions about buying PNC stock.
The PNC Financial Services Group, Inc. (PNC) is profitable, generating $6.94B in net income for the fiscal year ending 2025 with a net profit margin of 22.1%.
The PNC Financial Services Group, Inc. (PNC) reported an operating income of $8.49B, resulting in an operating profit margin of 27.1%. This margin reflects the operational efficiency of the business before interest and taxes.
The PNC Financial Services Group, Inc. (PNC) generated $22.46B in gross profit for the year, representing a gross profit margin of 71.7%. This demonstrates the company's core pricing power and production efficiency.