v3.25.2
Segment Reporting
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting SEGMENT REPORTING
The following disclosures reflect the adoption of ASU 2023-07, see Note 1 Accounting Policies in our 2024 Form 10-K for additional information related to our adoption of this ASU.

We have three reportable business segments: Retail Banking, Corporate & Institutional Banking and the Asset Management Group. Our reportable business segments are defined by the nature of products and services, types of customers, methods used to distribute products or provide services and similar financial performance. Results of our reportable business segments are regularly reviewed by the CODM, our Chief Executive Officer. Specifically, the CODM reviews actual and forecasted quarterly financial reporting results, including net income, to assess performance and allocate resources accordingly. However, the CODM may use other metrics on an ad hoc basis as warranted.

The following describes the products and services of each business segment:

Retail Banking provides deposit, lending, brokerage, insurance services, investment management and cash management products and services to consumer and small business customers who are serviced through our coast-to-coast branch network, digital channels, ATMs, or through our phone-based customer contact centers. Deposit products include checking, savings and money market accounts and time deposits. Lending products include residential mortgages, home equity loans and lines of credit, auto loans, credit cards, education loans and personal and small business loans and lines of credit. The residential mortgage loans are directly originated within our branch network and nationwide, and are typically underwritten to agency and/or third-party standards, and either sold, servicing retained or held on our balance sheet. Brokerage, investment management and cash management products and services include managed, education, retirement and trust accounts.

Corporate & Institutional Banking provides lending, treasury management, capital markets and advisory products and services to mid-sized and large corporations and government and not-for-profit entities. Lending products include secured and unsecured loans, letters of credit and equipment leases. The Treasury Management business provides corporations with cash and investment management services, receivables and disbursement management services, funds transfer services and access to online/mobile
information management and reporting services. Capital markets and advisory includes services and activities primarily related to merger and acquisitions advisory, equity capital markets advisory, asset-backed financing, loan syndication, securities underwriting and customer-related trading. We also provide commercial loan servicing and technology solutions for the commercial real estate finance industry. Products and services are provided nationally.

Asset Management Group provides private banking for high net worth and ultra high net worth clients and institutional asset management. The Asset Management group is composed of two operating units:
•PNC Private Bank provides products and services to emerging affluent, high net worth and ultra high net worth individuals and their families including investment and retirement planning, customized investment management, credit and cash management solutions, trust management and administration. In addition, multi-generational family planning services are also provided to ultra high net worth individuals and their families, which include estate, financial, tax, fiduciary and customized performance reporting through PNC Private Bank Hawthorn.
•Institutional Asset Management provides outsourced chief investment officer, custody, cash and fixed income client solutions and retirement plan fiduciary investment services to institutional clients including corporations, healthcare systems, insurance companies, unions, municipalities and non-profits.

Basis of Presentation

Results of individual businesses are presented based on our internal management reporting practices. There is no comprehensive, authoritative body of guidance for management accounting equivalent to GAAP; therefore, the financial results of our individual businesses are not necessarily comparable with similar information for any other company. We periodically refine our internal methodologies as management reporting practices are enhanced. To the extent significant and practicable, retrospective application of new methodologies is made to prior period reportable business segment results and disclosures to create comparability with the current period.

Funds Transfer Pricing
Net interest income in business segment results reflects our internal FTP methodology, which is designed to consider interest rate and liquidity risks. Under our methodology, assets receive a funding charge while liabilities and capital receive a funding credit based on market interest rates, product characteristics and other factors.

Our FTP framework considers the application of funding curves and methodologies consistently across the balance sheet. A residual gain or loss from FTP operations is not allocated to our reportable business segments. This residual gain or loss is reviewed by management quarterly, in accordance with the interagency guidance of the FDIC, Federal Reserve and OCC.

Segment Allocations
Financial results are presented, to the extent practicable, as if each business operated on a standalone basis, and includes expense allocations for corporate overhead services used by the business segments.

Certain costs are not allocated to our reportable business segments because they (i) are transitory or highly irregular in nature, (ii) exist solely to support corporate activities unrelated to business segment operations, or (iii) reflect residual costs for an exited business.

We have allocated the ALLL and the allowance for unfunded lending related commitments based on the loan exposures within each business segment’s portfolio.
Results of our reportable business segments for the three and six months ended June 30, 2025 and 2024 are as follows:
Table 81: Business Segment Results

Retail BankingCorporate & Institutional BankingAsset Management Group
In millions202520242025202420252024
Three months ended June 30
Net interest income (a)(b)$2,976 $2,715 $1,675 $1,531 $179 $153 
Noninterest income782 1,409 1,022 942 244 235 
Total revenue (a)(b)3,758 4,124 2,697 2,473 423 388 
Provision for (recapture of) credit losses83 27 184 228 (13)2 
Noninterest expense (c)
Personnel539 533 370 348 115 115 
Segment allocations (d)978 940 381 374 118 110 
Depreciation and amortization87 77 49 51 10 9 
Other (e)286 291 150 138 25 27 
Total noninterest expense1,890 1,841 950 911 268 261 
Income before income taxes and noncontrolling interests (a)(b)1,785 2,256 1,563 1,334 168 125 
Income taxes (a)(b)416 526 329 283 39 30 
Net income (a)(b)1,369 1,730 1,234 1,051 129 95 
Less: Net income attributable to noncontrolling interests101155— — 
Net income excluding noncontrolling interests (a)(b)$1,359 $1,719 $1,229 $1,046 $129 $95 
Average Assets (a)$114,061 $117,322 $234,391 $229,604 $14,629 $14,779 
Six months ended June 30
Net interest income (a)(b)$5,812 $5,338 $3,303 $3,051 $353 $301 
Noninterest income1,488 2,173 2,000 1,830 487 465 
Total revenue (a)(b)7,300 7,511 5,303 4,881 840 766 
Provision for (recapture of) credit losses251 145 233 275 (12)(3)
Noninterest expense (c)
Personnel1,077 1,074 746 714 236 236 
Segment allocations (d)1,945 1,867 764 740 235 217 
Depreciation and amortization173 153 100 101 18 16 
Other (e)597 584 296 278 58 57 
Total noninterest expense3,792 3,678 1,906 1,833 547 526 
Income before income taxes and noncontrolling interests (a)(b)3,257 3,688 3,164 2,773 305 243 
Income taxes (a)(b)758 861 682 596 71 58 
Net income (a)(b)2,499 2,827 2,482 2,177 234 185 
Less: Net income attributable to noncontrolling interests1919910— — 
Net income excluding noncontrolling interests (a)(b)$2,480 $2,808 $2,473 $2,167 $234 $185 
Average Assets (a)$114,601 $116,856 $230,750 $229,151 $14,556 $14,654 
(a)During the second quarter of 2025, certain loans and deposits, and the associated income statement impact, were transferred from the Asset Management Group to Retail Banking to better align products and services with the appropriate business segment. Prior periods have been adjusted to conform with the current presentation.
(b)During the second quarter of 2025, brokered time deposits, and the associated income statement impact, were reclassified from Retail Banking to other activities, reflecting their use for asset and liability management. Prior periods have been adjusted to conform with the current presentation.
(c)As a result of an organizational realignment, certain expenses were reclassified as corporate operations and were moved from Retail Banking to other activities during the second quarter of 2025. Prior periods have been adjusted to conform with the current presentation.
(d)Represents expense allocations for corporate overhead services used by each business segment; primarily comprised of technology, human resources and occupancy-related allocations.
(e)Other is primarily comprised of other direct expenses including outside services and equipment expense.
The following table represents reconciliations of financial results for the three reportable segments to our consolidated reporting.
Table 82: Reconciliation of Business Segment Results to Consolidated

Three months ended June 30Six months ended June 30
In millions2025202420252024
Revenues
Total business segment revenue (a)$6,878 $6,985 $13,443 $13,158 
Revenues from other activities (a)(1,217)(1,574)(2,330)(2,602)
Total revenue$5,661 $5,411 $11,113 $10,556 
Noninterest Expense
Total business segment noninterest expense (b)$3,108 $3,013 $6,245 $6,037 
FDIC special assessment — — — 130 
PNC Foundation Contribution — 120 — 120 
Noninterest expense from other activities (b)275 224 525 404 
Total noninterest expense$3,383 $3,357 $6,770 $6,691 
Net Income
Total business segment net income (a)$2,732 $2,876 $5,215 $5,189 
FDIC special assessment — — — (130)
PNC Foundation Contribution — (120)— (120)
Net income (loss) from other activities (a)(1,089)(1,279)(2,073)(2,118)
Net income$1,643 $1,477 $3,142 $2,821 
Average Assets
Total business segment average assets $363,081 $361,705 $359,907 $360,661 
Average assets from other activities198,605 201,325 199,139 202,278 
Total average assets $561,686 $563,030 $559,046 $562,939 
(a)During the second quarter of 2025, brokered time deposits, and the associated income statement impact, were reclassified from Retail Banking to other activities, reflecting their use for asset and liability management. Prior periods have been adjusted to conform with the current presentation.
(b)As a result of an organizational realignment, certain expenses were reclassified as corporate operations and were moved from Retail Banking to other activities during the second quarter of 2025. Prior periods have been adjusted to conform with the current presentation.

Other activities reflect the remaining corporate operations that do not meet the criteria for disclosure as a separate reportable business. These include residual activities such as asset and liability management activities, including net securities gains or losses, ACL for investment securities, certain trading activities, certain runoff consumer loan portfolios, private equity investments, intercompany eliminations, corporate overhead net of allocations, tax adjustments that are not allocated to business segments, exited businesses and the residual impact from FTP operations.