v3.26.1
Business Segment Reporting
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Business Segment Reporting
17. Business Segment Reporting

The following is a description of the segments and their primary businesses at March 31, 2026.

Consumer Bank

The Consumer Bank serves individuals and small businesses throughout our 15 state branch footprint as well as healthcare professionals nationally through our digital channel by offering a variety of deposit and investment products, personal finance and financial wellness services, lending, mortgage and home equity, student loan refinancing, credit card, treasury services, and business advisory services. In addition, wealth management and investment services are offered to assist institutional, non-profit, and high-net-worth clients with their banking, trust, portfolio management, charitable giving, and related needs.
Commercial Bank

The Commercial Bank is an aggregation of our Institutional and Commercial operating segments. The Commercial operating segment is a full-service corporate bank focused principally on serving the borrowing, cash management, and capital markets needs of middle market clients within Key’s 15 state branch footprint. The Institutional operating segment operates nationally, providing lending, equipment financing, and banking products and services to large corporate and institutional clients. The industry coverage and product teams have established expertise in the following sectors: Consumer, Energy, Healthcare, Industrial, Public Sector, Real Estate, and Technology. It is also a significant, national, commercial real estate lender and third-party master and special servicer of commercial mortgage loans. The operating segment also includes the KBCM platform which provides a broad suite of capital markets products and services including syndicated finance, debt and equity underwriting, fixed income and equity sales and trading, derivatives, foreign exchange, mergers & acquisition and other advisory, and public finance.

Other

Other includes various corporate treasury activities such as management of our investment securities portfolio, long-term debt, short-term liquidity and funding activities, and balance sheet risk management, our principal investing unit, and various exit portfolios as well as reconciling items, which primarily represent the unallocated portion of nonearning assets of corporate support functions.

We use an internal FTP framework to measure the performance of its operating segments. Under this framework, business segments receive funding credits for liabilities generated and incur funding charges for assets held, based on market‑based funding assumptions, in order to isolate business operating performance from interest rate risk.

Interest rate risk is managed centrally. Because differences exist in the timing and repricing characteristics of assets and liabilities across the balance sheet, a residual impact from centrally managed interest rate risk is not allocated to the operating segments and is reflected within the Other segment.

Effective January 1, 2026, we revised our segment reporting presentation to reflect this residual impact within the Other segment. Previously, these residual amounts were included in net interest income for the Consumer and Commercial Bank segments. This change aligns segment reporting with how management evaluates performance and manages interest rate risk on a centralized basis and affects only the presentation of segment results. Prior period segment results have been recast to reflect this change in segment reporting presentation. There was no impact on the Company’s consolidated financial statements for any period presented.

Developing and applying the methodologies that we use to allocate items among our lines of business is a dynamic process. Accordingly, financial results may be revised periodically to reflect enhanced alignment of expense base allocation drivers, changes in the risk profile of a particular business, or changes in our organizational structure.

The table below shows selected financial data for our business segments for the three-month periods ended March 31, 2026, and March 31, 2025. Capital is assigned to each business segment based on a combination of regulatory and economic equity.
Three months ended March 31,Consumer BankCommercial BankOtherTotal Key
Dollars in millions20262025202620252026202520262025
SUMMARY OF OPERATIONS
Net interest income (TE)$738 $706 $672 $636 $(180)$(237)$1,230 $1,105 
Noninterest income240 226 445 411 38 31 723 668 
Total revenue (TE) (a)
978 932 1,117 1,047 (142)(206)1,953 1,773 
Provision for credit losses40 43 70 75 (4)— 106 118 
Personnel expense231 218 196 189 316 273 743 680 
Other direct noninterest expense133 142 66 77 239 232 438 451 
Support and overhead345 315 212 198 (557)(513)— — 
Income (loss) from continuing operations before income taxes (TE)
229 214 573 508 (136)(198)666 524 
Allocated income taxes and TE adjustments
56 51 122 109 (34)(42)144 118 
Income (loss) from continuing operations173 163 451 399 (102)(156)522 406 
Income (loss) from discontinued operations, net of taxes
— — — — — (1)— (1)
Net income (loss)$173 $163 $451 $399 $(102)$(157)$522 $405 
AVERAGE BALANCES (b)
Loans and leases$34,005 $36,819 $73,146 $67,058 $586 $477 $107,737 $104,354 
Total assets (a)
37,341 39,806 82,585 76,946 66,323 69,338 186,249 186,090 
Deposits87,796 88,306 58,929 57,481 574 2,755 147,299 148,542 
(a)Substantially all revenue generated by our major business segments is derived from clients that reside in the United States. Substantially all long-lived assets, including premises and equipment, capitalized software, and goodwill held by our major business segments, are located in the United States.
(b)From continuing operations.