v3.26.1
Business Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Business Segment Reporting
17. Business Segment Reporting

The following is a description of the segments and their primary businesses at June 30, 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- and six-month periods ended June 30, 2026, and June 30, 2025. Capital is assigned to each business segment based on a combination of regulatory and economic equity.
Three months ended June 30,Consumer BankCommercial BankOtherTotal Key
Dollars in millions20262025202620252026202520262025
SUMMARY OF OPERATIONS
Net interest income (TE)$757 $731 $697 $649 $(196)$(230)$1,258 $1,150 
Noninterest income253 235 411 425 42 30 706 690 
Total revenue (TE) (a)
1,010 966 1,108 1,074 (154)(200)1,964 1,840 
Provision for credit losses26 55 67 84 (1)(1)92 138 
Personnel expense239 222 203 179 344 304 786 705 
Other direct noninterest expense138 140 75 69 218 240 431 449 
Support and overhead339 331 225 203 (564)(534)— — 
Income (loss) from continuing operations before income taxes (TE)
268 218 538 539 (151)(209)655 548 
Allocated income taxes and TE adjustments
65 53 115 116 (33)(44)147 125 
Income (loss) from continuing operations203 165 423 423 (118)(165)508 423 
Income (loss) from discontinued operations, net of taxes
— — — — 1 2 1 2 
Net income (loss)$203 $165 $423 $423 $(117)$(163)$509 $425 
AVERAGE BALANCES (b)
Loans and leases$33,263 $36,138 $76,238 $69,089 $571 $488 $110,072 $105,715 
Total assets (a)
36,630 39,156 85,793 78,624 65,877 69,019 188,300 186,800 
Deposits87,399 88,002 58,895 55,927 1,283 3,517 147,577 147,446 
(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.

Six months ended June 30,Consumer BankCommercial BankOtherTotal Key
Dollars in millions20262025202620252026202520262025
SUMMARY OF OPERATIONS
Net interest income (TE)$1,495 $1,437 $1,371 $1,288 $(378)$(470)$2,488 $2,255 
Noninterest income492 460 856 835 81 63 1,429 1,358 
Total revenue (TE) (a)
1,987 1,897 2,227 2,123 (297)(407)3,917 3,613 
Provision for credit losses66 97 137 159 (5)— 198 256 
Personnel expense471 440 398 368 660 577 1,529 1,385 
Other direct noninterest expense271 283 141 146 457 471 869 900 
Support and overhead682 645 437 402 (1,119)(1,047)— — 
Income (loss) from continuing operations before income taxes (TE)
497 432 1,114 1,048 (290)(408)1,321 1,072 
Allocated income taxes and TE adjustments
120 105 239 225 (68)(87)291 243 
Income (loss) from continuing operations377 327 875 823 (222)(321)1,030 829 
Income (loss) from discontinued operations, net of taxes
— — — — 1 1 1 1 
Net income (loss)377 327 875 823 (221)(320)1,031 830 
AVERAGE BALANCES (b)
Loans and leases$33,630 $36,476 $74,692 $68,077 $589 $486 $108,911 $105,039 
Total assets (a)
36,984 39,479 84,133 77,725 66,163 69,242 187,280 186,446 
Deposits87,598 88,153 58,912 56,657 929 3,180 147,438 147,990 
(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.