Exhibit 99.2

pncbanklogoa18.jpg



THE PNC FINANCIAL SERVICES GROUP, INC.

FINANCIAL SUPPLEMENT
FOURTH QUARTER 2023
(Unaudited)



THE PNC FINANCIAL SERVICES GROUP, INC.
FINANCIAL SUPPLEMENT
FOURTH QUARTER 2023
(UNAUDITED)
Consolidated Results:
Page
6-7
9-11
Business Segment Results:
14-15
18-19

The information contained in this Financial Supplement is preliminary, unaudited and based on data available on January 16, 2024. This information speaks only as of the particular date or dates included in the schedules. We do not undertake any obligation to, and disclaim any duty to, correct or update any of the information provided in this Financial Supplement. Our future financial performance is subject to risks and uncertainties as described in our United States Securities and Exchange Commission (SEC) filings.

BUSINESS
PNC is one of the largest diversified financial services companies in the United States (U.S.) and is headquartered in Pittsburgh, Pennsylvania. PNC has businesses engaged in retail banking, including residential mortgage, corporate and institutional banking and asset management, providing many of its products and services nationally. PNC's retail branch network is located coast-to-coast. PNC also has strategic international offices in four countries outside the U.S.



THE PNC FINANCIAL SERVICES GROUP, INC.
Cross Reference Index to Fourth Quarter 2023 Financial Supplement (Unaudited)
Financial Supplement Table Reference
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THE PNC FINANCIAL SERVICES GROUP, INC.

Page 1

Table 1: Consolidated Income Statement (Unaudited)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
In millions, except per share data2023202320232023202220232022
Interest Income
Loans$4,875 $4,643 $4,523 $4,258 $3,860 $18,299 $11,795 
Investment securities885 892 883 885 836 3,545 2,726 
Other742 668 538 516 413 2,464 915 
Total interest income6,502 6,203 5,944 5,659 5,109 24,308 15,436 
Interest Expense
Deposits1,995 1,792 1,531 1,291 812 6,609 1,267 
Borrowed funds1,104 993 903 783 613 3,783 1,155 
Total interest expense3,099 2,785 2,434 2,074 1,425 10,392 2,422 
Net interest income3,403 3,418 3,510 3,585 3,684 13,916 13,014 
Noninterest Income
Asset management and brokerage360 348 348 356 345 1,412 1,444 
Capital markets and advisory309 168 213 262 336 952 1,296 
Card and cash management688 689 697 659 671 2,733 2,633 
Lending and deposit services314 315 298 306 296 1,233 1,134 
Residential and commercial mortgage149 201 98 177 184 625 647 
Other (a) (b)138 94 129 258 247 619 952 
Total noninterest income1,958 1,815 1,783 2,018 2,079 7,574 8,106 
Total revenue5,361 5,233 5,293 5,603 5,763 21,490 21,120 
Provision For Credit Losses232 129 146 235 408 742 477 
Noninterest Expense
Personnel1,983 1,773 1,846 1,826 1,943 7,428 7,244 
Occupancy243 244 244 251 247 982 992 
Equipment365 347 349 350 369 1,411 1,395 
Marketing74 93 109 74 106 350 355 
Other1,409 788 824 820 809 3,841 3,184 
Total noninterest expense4,074 3,245 3,372 3,321 3,474 14,012 13,170 
Income before income taxes and noncontrolling interests1,055 1,859 1,775 2,047 1,881 6,736 7,473 
Income taxes172 289 275 353 333 1,089 1,360 
Net income883 1,570 1,500 1,694 1,548 5,647 6,113 
Less: Net income attributable to noncontrolling interests19 16 17 17 20 69 72 
Preferred stock dividends (c)118 104 127 68 120 417 301 
Preferred stock discount accretion and
    redemptions		2 2 2 2 1 8 5 
Net income attributable to common shareholders$744 $1,448 $1,354 $1,607 $1,407 $5,153 $5,735 
Earnings Per Common Share
Basic$1.85 $3.60 $3.36 $3.98 $3.47 $12.80 $13.86 
Diluted$1.85 $3.60 $3.36 $3.98 $3.47 $12.79 $13.85 
Average Common Shares Outstanding
Basic400 400 401 401 404 401 412 
Diluted401 400 401 402 404 401 412 
Efficiency76 %62 %64 %59 %60 %65 %62 %
Noninterest income to total revenue37 %35 %34 %36 %36 %35 %38 %
Effective tax rate (d)16.3 %15.5 %15.5 %17.2 %17.7 %16.2 %18.2 %
(a)Includes net gains (losses) on sale of securities of less than $1 million, less than $1 million, $(2) million, less than $1 million and $(3) million for the quarters ended December 31, 2023, September 30, 2023, June 30, 2023, March 31, 2023 and December 31, 2022 respectively, and $(2) million and $(7) million for the twelve months ended December 31, 2023 and December 31, 2022, respectively.
(b)Includes Visa Class B derivative fair value adjustments of $(100) million, $(51) million, $(83) million, $(45) million and $(41) million for the quarters ended December 31, 2023, September 30, 2023, June 30, 2023, March 31, 2023, December 31, 2022, respectively, and $(279) million and $(40) million for the twelve months ended December 31, 2023 and December 31, 2022, respectively.
(c)Dividends are payable quarterly, other than Series S preferred stock, which is payable semiannually.
(d)The effective income tax rates are generally lower than the statutory rate due to the relationship of pretax income to tax credits and earnings that are not subject to tax.







THE PNC FINANCIAL SERVICES GROUP, INC.

Page 2


Table 2: Consolidated Balance Sheet (Unaudited)
December 31September 30June 30March 31December 31
In millions, except par value20232023202320232022
Assets
Cash and due from banks$6,921 $5,300 $6,191 $5,940 $7,043 
Interest-earning deposits with banks (a)43,804 41,484 38,259 33,865 27,320 
Loans held for sale (b)734 923 835 998 1,010 
Investment securities – available for sale 41,785 40,590 41,787 43,220 44,159 
Investment securities – held to maturity90,784 91,797 93,874 95,019 95,175 
Loans (b)321,508 318,416 321,761 326,475 326,025 
Allowance for loan and lease losses (4,791)(4,767)(4,737)(4,741)(4,741)
Net loans316,717 313,649 317,024 321,734 321,284 
Equity investments8,314 8,046 8,015 8,323 8,437 
Mortgage servicing rights3,686 4,006 3,455 3,293 3,423 
Goodwill10,932 10,987 10,987 10,987 10,987 
Other (b) 37,903 40,552 37,780 38,398 38,425 
Total assets$561,580 $557,334 $558,207 $561,777 $557,263 
Liabilities
Deposits
Noninterest-bearing$101,285 $105,672 $110,527 $118,014 $124,486 
Interest-bearing320,133 317,937 316,962 318,819 311,796 
Total deposits421,418 423,609 427,489 436,833 436,282 
Borrowed funds
Federal Home Loan Bank borrowings38,000 36,000 34,000 32,020 32,075 
Senior debt26,836 22,407 22,005 19,622 16,657 
Subordinated debt4,875 4,728 5,548 5,630 6,307 
Other (b)3,026 3,032 3,831 3,550 3,674 
Total borrowed funds72,737 66,167 65,384 60,822 58,713 
Allowance for unfunded lending related commitments 663 640 663 672 694 
Accrued expenses and other liabilities (b)15,621 17,437 15,325 14,376 15,762 
Total liabilities510,439 507,853 508,861 512,703 511,451 
Equity
Preferred stock (c)
Common stock - $5 par value
Authorized 800,000,000 shares, issued 543,116,271, 543,012,047, 543,012,047, 542,874,855 and 542,874,829 shares2,716 2,715 2,715 2,714 2,714 
Capital surplus19,020 19,971 19,934 19,864 18,376 
Retained earnings56,290 56,170 55,346 54,598 53,572 
Accumulated other comprehensive income (loss)(7,712)(10,261)(9,525)(9,108)(10,172)
Common stock held in treasury at cost: 145,087,054, 144,671,252, 144,763,739, 143,781,812 and 142,298,689 shares(19,209)(19,141)(19,150)(19,024)(18,716)
Total shareholders’ equity51,105 49,454 49,320 49,044 45,774 
Noncontrolling interests36 27 26 30 38 
Total equity51,141 49,481 49,346 49,074 45,812 
Total liabilities and equity$561,580 $557,334 $558,207 $561,777 $557,263 
(a)Amounts include balances held with the Federal Reserve Bank of $43.3 billion, $41.1 billion, $37.8 billion, $32.5 billion and $26.9 billion as of December 31, 2023, September 30, 2023, June 30, 2023, March 31, 2023 and December 31, 2022, respectively.
(b)Amounts include assets and liabilities for which PNC has elected the fair value option. Our 2023 Form 10-Qs included, and our 2023 Form 10-K will include, additional information regarding these items.
(c)Par value less than $0.5 million at each date.




THE PNC FINANCIAL SERVICES GROUP, INC.

Page 3
Table 3: Average Consolidated Balance Sheet (Unaudited) (a) (b)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
In millions2023202320232023202220232022
Assets
Interest-earning assets:
Investment securities
Securities available for sale
Residential mortgage-backed
Agency$30,980 $31,020 $31,180 $31,850 $31,818 $31,255 $42,151 
Non-agency599 627663689714644842 
Commercial mortgage-backed2,727 2,8802,9483,1023,3772,9134,107 
Asset-backed1,0809895752181057192,184 
U.S. Treasury and government agencies7,7887,9968,2319,08810,3458,27121,642 
Other2,8992,9312,9973,2633,3703,0213,982 
Total securities available for sale46,07346,44346,59448,21049,72946,82374,908
Securities held to maturity
Residential mortgage-backed43,336 44,112 45,033 45,616 44,184 44,517 29,325 
Commercial mortgage-backed2,318 2,346 2,396 2,453 2,323 2,378 1,400 
Asset-backed6,040 6,463 6,712 7,026 6,9956,5574,446 
U.S. Treasury and government agencies36,45737,043 36,91236,748 36,44136,79025,074 
Other3,1643,2563,3913,3383,2183,2861,996 
Total securities held to maturity91,31593,22094,44495,18193,16193,52862,241
Total investment securities137,388139,663141,038143,391142,890140,351137,149
Loans
Commercial and industrial180,566175,206180,878182,017179,111179,650168,663 
Commercial real estate35,61736,03235,93836,11036,18135,92334,954 
Equipment lease financing6,4306,4416,3646,4526,2756,4236,196 
Consumer54,51254,74455,07055,02054,80954,83554,721 
Residential real estate47,44447,08146,28445,92745,49946,68943,165 
Total loans324,569319,504324,534325,526321,875323,520307,699
Interest-earning deposits with banks (c)42,62738,35231,43334,05430,39536,64541,050 
Other interest-earning assets8,7388,7779,2158,8069,6908,8849,651 
Total interest-earning assets513,322506,296506,220511,777504,850509,400495,549
Noninterest-earning assets48,99748,66749,28750,55552,35649,37055,103 
Total assets$562,319 $554,963 $555,507 $562,332 $557,206 $558,770 $550,652 
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing deposits
Money market$66,393 $64,310 $63,691 $65,753 $63,944 $65,037 $61,376 
Demand124,124123,730124,111124,376122,501124,084118,749 
Savings98,490100,643102,415104,408102,020101,470106,577 
Time deposits30,35725,87222,34220,51912,98224,80212,340 
Total interest-bearing deposits319,364314,555312,559315,056301,447315,393299,042
Borrowed funds
Federal Home Loan Bank borrowings37,78334,10933,752 32,05630,64034,44013,674 
Senior debt26,63423,47920,91019,67916,31222,69616,265 
Subordinated debt5,0915,2935,8506,1006,9335,5807,081 
Other3,3844,5845,1805,1335,3464,5665,430 
Total borrowed funds72,89267,46565,69262,96859,23167,28242,450
Total interest-bearing liabilities392,256382,020378,251378,024360,678382,675341,492
Noninterest-bearing liabilities and equity:
Noninterest-bearing deposits104,567107,981113,178121,176133,461111,670144,382 
Accrued expenses and other liabilities16,32815,62915,06316,01417,46115,75916,414 
Equity49,16849,33349,01547,11845,60648,66648,364 
Total liabilities and equity$562,319 $554,963 $555,507 $562,332 $557,206 $558,770 $550,652 
(a)Calculated using average daily balances.
(b)Nonaccrual loans are included in loans, net of unearned income. The impact of financial derivatives used in interest rate risk management is included in the interest income/expense and average yields/rates of the related assets and liabilities. Basis adjustments related to hedged items are included in noninterest-earning assets and noninterest-bearing liabilities. Average balances of securities are based on amortized historical cost (excluding adjustments to fair value, which are included in other assets). Average balances for certain loans and borrowed funds accounted for at fair value are included in noninterest-earning assets and noninterest-bearing liabilities, with changes in fair value recorded in Noninterest income.
(c)Amounts include average balances held with the Federal Reserve Bank of $42.2 billion, $37.9 billion, $30.6 billion, $33.5 billion and $30.0 billion for the three months ended December 31, 2023, September 30, 2023, June 30, 2023, March 31, 2023 and December 31, 2022 and $36.1 billion and $40.7 billion for the twelve months ended December 31, 2023 and December 31, 2022, respectively.

THE PNC FINANCIAL SERVICES GROUP, INC.

Page 4
Table 4: Details of Net Interest Margin (Unaudited)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
2023202320232023202220232022
Average yields/rates (a)
Yield on interest-earning assets
Investment securities
Securities available for sale
Residential mortgage-backed
Agency2.83 %2.73 %2.67 %2.67 %2.54 %2.73 %2.11 %
Non-agency9.15 %10.42 %9.39 %8.53 %7.85 %9.32 %7.60 %
Commercial mortgage-backed3.00 %3.41 %2.84 %2.62 %2.75 %2.95 %2.53 %
Asset-backed6.41 %6.30 %6.56 %7.04 %11.98 %6.40 %1.69 %
U.S. Treasury and government agencies2.22 %2.28 %2.20 %2.05 %1.96 %2.21 %1.45 %
Other2.61 %2.58 %2.55 %2.47 %2.39 %2.55 %2.56 %
Total securities available for sale2.89 %2.87 %2.73 %2.64 %2.52 %2.78 %2.02 %
Securities held to maturity
Residential mortgage-backed2.75 %2.72 %2.72 %2.74 %2.60 %2.73 %2.31 %
Commercial mortgage-backed5.53 %5.55 %5.35 %4.95 %4.57 %5.34 %3.64 %
Asset-backed4.57 %4.36 %4.10 %3.97 %3.44 %4.24 %2.74 %
U.S. Treasury and government agencies1.32 %1.34 %1.34 %1.33 %1.30 %1.33 %1.20 %
Other4.72 %4.57 %4.65 %4.62 %4.47 %4.63 %4.31 %
Total securities held to maturity2.44 %2.42 %2.41 %2.41 %2.27 %2.42 %1.99 %
Total investment securities2.59 %2.57 %2.52 %2.49 %2.36 %2.54 %2.00 %
Loans
Commercial and industrial6.13 %5.86 %5.70 %5.34 %4.70 %5.84 %3.60 %
Commercial real estate6.68 %6.59 %6.37 %6.02 %5.28 %6.50 %3.97 %
Equipment lease financing4.98 %4.72 %4.51 %4.28 %4.18 %4.62 %3.84 %
Consumer7.00 %6.89 %6.57 %6.34 %5.88 %6.70 %5.14 %
Residential real estate3.60 %3.52 %3.41 %3.35 %3.28 %3.47 %3.16 %
Total loans5.94 %5.75 %5.57 %5.29 %4.75 %5.69 %3.86 %
Interest-earning deposits with banks5.53 %5.44 %5.10 %4.58 %3.76 %5.19 %1.41 %
Other interest-earning assets6.96 %6.66 %5.96 %5.75 %5.20 %6.33 %3.50 %
Total yield on interest-earning assets5.03 %4.87 %4.70 %4.46 %4.02 %4.80 %3.14 %
Rate on interest-bearing liabilities
Interest-bearing deposits
Money market3.32 %3.10 %2.79 %2.40 %1.75 %2.91 %0.72 %
Demand2.26 %2.15 %1.89 %1.58 %1.14 %1.97 %0.49 %
Savings1.68 %1.49 %1.26 %1.03 %0.50 %1.36 %0.17 %
Time deposits4.11 %3.67 %3.26 %3.00 %1.45 %3.60 %0.52 %
Total interest-bearing deposits2.48 %2.26 %1.96 %1.66 %1.07 %2.10 %0.42 %
Borrowed funds
Federal Home Loan Bank borrowings5.66 %5.55 %5.28 %4.80 %3.92 %5.41 %3.22 %
Senior debt6.25 %6.17 %5.91 %5.39 %4.30 %6.05 %2.47 %
Subordinated debt6.63 %6.52 %6.19 %5.69 %4.79 %6.24 %2.91 %
Other
5.55 %4.49 %3.79 %3.70 %3.24 %4.34 %1.99 %
Total borrowed funds5.94 %5.77 %5.44 %4.98 %4.07 %5.62 %2.72 %
Total rate on interest-bearing liabilities3.10 %2.86 %2.56 %2.20 %1.55 %2.72 %0.71 %
Interest rate spread1.93 %2.01 %2.14 %2.26 %2.47 %2.08 %2.43 %
Benefit from use of noninterest-bearing sources (b)0.73 %0.70 %0.65 %0.58 %0.45 %0.68 %0.22 %
Net interest margin2.66 %2.71 %2.79 %2.84 %2.92 %2.76 %2.65 %
(a)Yields and rates are calculated using the applicable annualized interest income or interest expense divided by the applicable average earning assets or interest-bearing liabilities. Net interest margin is the total yield on interest-earning assets minus the total rate on interest-bearing liabilities and includes the benefit from use of noninterest-bearing sources. To provide more meaningful comparisons of net interest margins, we use net interest income on a taxable-equivalent basis in calculating average yields used in the calculation of net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under GAAP in the Consolidated Income Statement. The taxable-equivalent adjustments to net interest income for the three months ended December 31, 2023, September 30, 2023, June 30, 2023, March 31, 2023 and December 31, 2022 were $36 million, $36 million, $37 million, $38 million and $36 million, respectively. The taxable-equivalent adjustments to net interest income for the twelve months ended December 31, 2023 and December 31, 2022 were $147 million and $112 million, respectively.
(b)Represents the positive effects of investing noninterest-bearing sources in interest-earning assets.

THE PNC FINANCIAL SERVICES GROUP, INC.

Page 5
Table 5: Details of Loans (Unaudited)
December 31September 30June 30March 31December 31
In millions20232023202320232022
Commercial
Commercial and industrial
Manufacturing$28,989 $29,163 $30,586 $32,132 $30,845 
Financial services28,42222,77021,82322,53421,320
Retail/wholesale trade28,19828,28428,75129,17229,176
Service providers21,35421,68022,27723,18623,548
Real estate related (a)16,23516,18217,20017,54817,780
Technology, media & telecommunications10,24910,98911,15811,33811,845
Health care9,80810,09210,18610,53710,649
Transportation and warehousing7,7337,8918,0487,8247,858
Other industries26,59227,11227,60028,72629,198
Total commercial and industrial177,580 174,163 177,629 182,997 182,219 
Commercial real estate35,436 35,776 35,928 35,991 36,316 
Equipment lease financing6,542 6,493 6,400 6,424 6,514 
Total commercial219,558216,432219,957225,412225,049
Consumer
Residential real estate47,544 47,359 46,834 46,067 45,889 
Home equity26,150 26,159 26,200 26,203 25,983 
Automobile14,860 14,940 15,065 14,923 14,836 
Credit card7,180 7,060 7,092 6,961 7,069 
Education1,945 2,020 2,058 2,131 2,173 
Other consumer4,271 4,446 4,555 4,778 5,026 
Total consumer101,950 101,984 101,804 101,063 100,976 
Total loans$321,508 $318,416 $321,761 $326,475 $326,025 
(a)Represents loans to customers in the real estate and construction industries.


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 6
Allowance for Credit Losses (Unaudited)

Table 6: Change in Allowance for Loan and Lease Losses
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
Dollars in millions2023202320232023202220232022
Allowance for loan and lease losses
Beginning balance$4,767 $4,737 $4,741 $4,741 $4,581 $4,741 $4,868 
Adoption of ASU 2022-02 (a)  (35)(35)
Beginning balance, adjusted4,767 4,737 4,741 4,706 4,581 4,706 4,868 
Gross charge-offs:
Commercial and industrial(52)(43)(45)(104)(121)(244)(257)
Commercial real estate(56)(25)(87)(12)(22)(180)(44)
Equipment lease financing(7)(4)(3)(4)(2)(18)(6)
Residential real estate(2)(1)(2)(3)(2)(8)(11)
Home equity(6)(4)(5)(6)(6)(21)(15)
Automobile(30)(30)(28)(33)(34)(121)(152)
Credit card(87)(78)(80)(74)(62)(319)(256)
Education(4)(4)(5)(4)(4)(17)(16)
Other consumer(40)(44)(38)(42)(64)(164)(228)
Total gross charge-offs(284)(233)(293)(282)(317)(1,092)(985)
Recoveries:
Commercial and industrial24 45 33 20 33 122 101 
Commercial real estate2 2  2 2 6 5 
Equipment lease financing1 2 3 3 1 9 8 
Residential real estate3 3 4 3 2 13 17 
Home equity10 12 13 11 13 46 71 
Automobile23 26 27 24 24 100 124 
Credit card11 10 11 11 8 43 51 
Education2 1 2 2 1 7 5 
Other consumer8 11 6 11 9 36 40 
Total recoveries84 112 99 87 93 382 422 
Net (charge-offs) / recoveries:
Commercial and industrial(28)2 (12)(84)(88)(122)(156)
Commercial real estate(54)(23)(87)(10)(20)(174)(39)
Equipment lease financing(6)(2)(1)(1)(9)2 
Residential real estate1 2 2 5 6 
Home equity4 8 8 5 7 25 56 
Automobile(7)(4)(1)(9)(10)(21)(28)
Credit card(76)(68)(69)(63)(54)(276)(205)
Education(2)(3)(3)(2)(3)(10)(11)
Other consumer(32)(33)(32)(31)(55)(128)(188)
Total net (charge-offs) (200)(121)(194)(195)(224)(710)(563)
Provision for credit losses (b)221 153 189 229 380 792 439 
Other3 (2)1 1 4 3 (3)
Ending balance$4,791 $4,767 $4,737 $4,741 $4,741 $4,791 $4,741 
Supplemental Information
Net charge-offs
Commercial net charge-offs$(88)$(23)$(99)$(95)$(109)$(305)$(193)
Consumer net charge-offs(112)(98)(95)(100)(115)(405)(370)
Total net charge-offs $(200)$(121)$(194)$(195)$(224)$(710)$(563)
Net charge-offs to average loans (c)0.24 %0.15 %0.24 %0.24 %0.28 %0.22 %0.18 %
Commercial0.16 %0.04 %0.18 %0.17 %0.20 %0.14 %0.09 %
Consumer0.44 %0.38 %0.38 %0.40 %0.45 %0.40 %0.38 %
(a)Represents the impact of adopting ASU 2022-02 Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures on January 1, 2023. Our third quarter 2023 Form 10-Q included, and our 2023 Form 10-K will include additional information related to our adoption of this ASU.
(b)See Table 7 for the components of the Provision for credit losses being reported on the Consolidated Income Statement.
(c)Three month period percentages are annualized.


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 7
Allowance for Credit Losses (Unaudited) (Continued)

Table 7: Components of the Provision for Credit Losses
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
In millions2023202320232022202220232022
Provision for credit losses
Loans and leases$221 $153 $189 $229 $380 $792 $439 
Unfunded lending related commitments23 (23)(9)(22)12 (31)32 
Investment securities (7)(10)(1)10 (18)17 
Other financial assets(5)9 (34)29 6 (1)(11)
Total provision for credit losses$232 $129 $146 $235 $408 $742 $477 


Table 8: Allowance for Credit Losses by Loan Class (a)
December 31, 2023September 30, 2023December 31, 2022

Dollars in millions		Allowance AmountTotal Loans% of Total LoansAllowance AmountTotal Loans% of Total LoansAllowance AmountTotal Loans% of Total Loans
Allowance for loan and lease losses
Commercial
Commercial and industrial$1,806 $177,580 1.02 %$1,843 $174,163 1.06 %$1,957 $182,219 1.07 %
Commercial real estate1,371 35,436 3.87 %1,270 35,776 3.55 %1,047 36,316 2.88 %
Equipment lease financing82 6,542 1.25 %109 6,493 1.68 %110 6,514 1.69 %
Total commercial3,259 219,558 1.48 %3,222 216,432 1.49 %3,114 225,049 1.38 %
Consumer
Residential real estate61 47,544 0.13 %62 47,359 0.13 %92 45,889 0.20 %
Home equity276 26,150 1.06 %288 26,159 1.10 %274 25,983 1.05 %
Automobile173 14,860 1.16 %169 14,940 1.13 %226 14,836 1.52 %
Credit card766 7,180 10.67 %762 7,060 10.79 %748 7,069 10.58 %
Education56 1,945 2.88 %56 2,020 2.77 %63 2,173 2.90 %
Other consumer200 4,271 4.68 %208 4,446 4.68 %224 5,026 4.46 %
Total consumer1,532 101,950 1.50 %1,545 101,984 1.51 %1,627 100,976 1.61 %
Total
4,791 $321,508 1.49 %4,767 $318,416 1.50 %4,741 $326,025 1.45 %
Allowance for unfunded lending related commitments
663 640 694 
Allowance for credit losses
$5,454 $5,407 $5,435 
Supplemental Information
Allowance for credit losses to total loans
1.70 %1.70 %1.67 %
Commercial1.73 %1.73 %1.66 %
Consumer1.62 %1.62 %1.69 %
(a)    Excludes allowances for investment securities and other financial assets, which together totaled $120 million, $131 million and $176 million at December 31, 2023, September 30, 2023 and December 31, 2022, respectively.

THE PNC FINANCIAL SERVICES GROUP, INC.

Page 8
Details of Nonperforming Assets (Unaudited)

Table 9: Nonperforming Assets by Type
December 31September 30June 30March 31December 31
Dollars in millions20232023202320232022
Nonperforming loans (a)
Commercial
Commercial and industrial
Service providers$157 $162 $114 $128 $174 
Technology, media & telecommunications156 51 55 22 20 
Health care36 37 60 57 50 
Transportation and warehousing35 44 33 24 27 
Manufacturing32 34 50 105 85 
Retail/wholesale trade30 41 41 82 151 
Real estate related (b)30 31 42 43 50 
Other industries83 58 75 87 106 
Total commercial and industrial559 458 470 548 663 
Commercial real estate735 723 350 337 189 
Equipment lease financing13 30 7 6 6 
Total commercial1,307 1,211 827 891 858 
Consumer (c)
Residential real estate 294 330 429 432 424 
Home equity458 446 506 523 526 
Automobile104 114 133 145 155 
Credit card10 11 10 9 8 
Other consumer7 11 8 10 14 
Total consumer873 912 1,086 1,119 1,127 
Total nonperforming loans (d)2,180 2,123 1,913 2,010 1,985 
OREO and foreclosed assets36 35 36 38 34 
Total nonperforming assets$2,216 $2,158 $1,949 $2,048 $2,019 
Nonperforming loans to total loans0.68 %0.67 %0.59 %0.62 %0.61 %
Nonperforming assets to total loans, OREO and foreclosed assets0.69 %0.68 %0.61 %0.63 %0.62 %
Nonperforming assets to total assets0.39 %0.39 %0.35 %0.36 %0.36 %
Allowance for loan and lease losses to nonperforming loans 220 %225 %248 %236 %239 %
(a)In connection with the adoption of ASU 2022-02 Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures, nonperforming loan amounts after January 1, 2023 include certain loans whose terms were modified as a result of a borrower’s financial difficulty. Amounts as of December 31, 2022 included nonperforming TDRs, for which accounting guidance was eliminated effective January 1, 2023. Our third quarter 2023 Form 10-Q included, and our 2023 Form 10-K will include additional information related to our adoption of this ASU.
(b)Represents loans related to customers in the real estate and construction industries.
(c)Excludes most unsecured consumer loans and lines of credit, which are charged off after 120 to 180 days past due and are not placed on nonperforming status.
(d)Nonperforming loans exclude certain government insured or guaranteed loans, loans held for sale and loans accounted for under the fair value option.


Table 10: Change in Nonperforming Assets
October 1, 2023 -July 1, 2023 -April 1, 2023 -January 1, 2023 -October 1, 2022 -
In millionsDecember 31, 2023September 30, 2023June 30, 2023March 31, 2023December 31, 2022
Beginning balance$2,158 $1,949 $2,048 $2,019 $2,101 
New nonperforming assets496 641 410 452 346 
Charge-offs and valuation adjustments(104)(91)(135)(122)(174)
Principal activity, including paydowns and payoffs(250)(112)(297)(172)(139)
Asset sales and transfers to loans held for sale(6)(7)(12)(46)(22)
Returned to performing status (a)(78)(222)(65)(83)(93)
Ending balance$2,216 $2,158 $1,949 $2,048 $2,019 
(a)Amounts for the three months ended September 30, 2023 included updates to our return to accrual guidelines to bring consistency across consumer loan classes as to how and when loans become eligible to return to performing status.



THE PNC FINANCIAL SERVICES GROUP, INC.

Page 9
Accruing Loans Past Due (Unaudited)                  

The CARES Act Credit reporting rules expired in the third quarter of 2023 and as such, delinquency status at December 31, 2023 and September 30, 2023 is being reported for all loans based on the contractual terms of the loan. Prior period amounts continue to be presented in accordance with the credit reporting rules under the CARES Act, which required certain loans modified due to pandemic related hardships to not be reported as past due based on the contractual terms of the loan, even when borrowers may not have made payments on their loans during the modification period.

Table 11: Accruing Loans Past Due 30 to 59 Days (a)
December 31September 30June 30March 31December 31
Dollars in millions20232023202320232022
Commercial
Commercial and industrial$104$84$64$119$169
Commercial real estate72102519
Equipment lease financing4125143320
Total commercial15211188177208
Consumer
Residential real estate
Non government insured 201179151167190
Government insured8178777891
Home equity6359564853
Automobile91838479106
Credit card5450494850
Education
Non government insured 56565
Government insured
2226282929
Other consumer1615171315
Total consumer533496467468539
Total$685$607$555$645$747
Supplemental Information
Total accruing loans past due 30-59 days to total loans0.21 %0.19 %0.17 %0.20 %0.23 %
Commercial0.07 %0.05 %0.04 %0.08 %0.09 %
Consumer0.52 %0.49 %0.46 %0.46 %0.53 %
(a)Excludes loans held for sale.



THE PNC FINANCIAL SERVICES GROUP, INC.

Page 10
Accruing Loans Past Due (Unaudited) (Continued)

Table 12: Accruing Loans Past Due 60 to 89 Days (a)
December 31September 30June 30March 31December 31
Dollars in millions20232023202320232022
Commercial
Commercial and industrial$45$32$47$21$27
Commercial real estate214
Equipment lease financing86554
Total commercial5340522735
Consumer
Residential real estate
Non government insured 5052364354
Government insured5151505558
Home equity2722181820
Automobile2019201825
Credit card3938363535
Education
Non government insured
33242
Government insured
1619151720
Other consumer1199812
Total consumer217213186198226
Total$270$253$238$225$261
Supplemental Information
Total accruing loans past due 60-89 days to total loans0.08 %0.08 %0.07 %0.07 %0.08 %
Commercial0.02 %0.02 %0.02 %0.01 %0.02 %
Consumer0.21 %0.21 %0.18 %0.20 %0.22 %
(a)Excludes loans held for sale.




THE PNC FINANCIAL SERVICES GROUP, INC.

Page 11
Accruing Loans Past Due (Unaudited) (Continued)

Table 13: Accruing Loans Past Due 90 Days or More (a)
December 31September 30June 30March 31December 31
Dollars in millions20232023202320232022
Commercial
Commercial and industrial$76$102$112$134$137
Commercial real estate9
Total commercial85102112134137
Consumer
Residential real estate
Non government insured 3836302632
Government insured154146144152167
Automobile76557
Credit card8680717470
Education
Non government insured 22222
Government insured
4746465457
Other consumer1099910
Total consumer344325307322345
Total$429$427$419$456$482
Supplemental Information
Total accruing loans past due 90 days or more to total loans0.13 %0.13 %0.13 %0.14 %0.15 %
Commercial0.04 %0.05 %0.05 %0.06 %0.06 %
Consumer0.34 %0.32 %0.30 %0.32 %0.34 %
Total accruing loans past due$1,384$1,287$1,212$1,326$1,490
Commercial$290$253$252$338$380
Consumer$1,094$1,034$960$988$1,110
Total accruing loans past due to total loans0.43 %0.40 %0.38 %0.41 %0.46 %
Commercial0.13 %0.12 %0.11 %0.15 %0.17 %
Consumer1.07 %1.01 %0.94 %0.98 %1.10 %
(a)Excludes loans held for sale.





































THE PNC FINANCIAL SERVICES GROUP, INC.

Page 12
Business Segment Descriptions (Unaudited)

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, international payment 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, private real estate, cash and fixed income client solutions, retirement plan fiduciary investment services to institutional clients, including corporations, healthcare systems, insurance companies, unions, municipalities and non-profits.

Table 14: Period End Employees
December 31September 30June 30March 31December 31
20232023202320232022
Full-time employees
Retail Banking28,761 29,692 30,446 31,583 32,467 
Other full-time employees26,052 27,725 27,785 27,874 27,427 
Total full-time employees54,813 57,417 58,231 59,457 59,894 
Part-time employees
Retail Banking1,540 1,480 1,567 1,537 1,577 
Other part-time employees58 70 503 79 74 
Total part-time employees1,598 1,550 2,070 1,616 1,651 
Total56,411 58,967 60,301 61,073 61,545 


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 13
Table 15: Summary of Business Segment Net Income and Revenue (Unaudited) (a)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
In millions2023202320232023202220232022
Net Income
Retail Banking$1,073 $1,094 $954 $647 $752 $3,768 $1,974 
Corporate & Institutional Banking1,213 960 817 1,059 982 4,049 3,870 
Asset Management Group72 73 63 52 52 260 330 
Other(1,494)(573)(351)(81)(258)(2,499)(133)
Net income excluding noncontrolling
  interests		$864 $1,554 $1,483 $1,677 $1,528 $5,578 $6,041 
  
Revenue
Retail Banking$3,391 $3,360 $3,150 $3,024 $3,079 $12,925 $10,507 
Corporate & Institutional Banking2,637 2,254 2,202 2,300 2,451 9,393 8,891 
Asset Management Group380 362 353 357 375 1,452 1,544 
Other(1,047)(743)(412)(78)(142)(2,280)178 
Total revenue$5,361 $5,233 $5,293 $5,603 $5,763 $21,490 $21,120 
(a)Our business information is presented based on our internal management reporting practices. Net interest income in business segment results reflects PNC’s internal funds transfer pricing (FTP) methodology. Assets receive a funding charge and liabilities and capital receive a funding credit based on a transfer pricing methodology that incorporates product repricing characteristics, tenor and other factors.


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 14
Table 16: Retail Banking (Unaudited) (a)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
Dollars in millions2023202320232023202220232022
Income Statement
Net interest income $2,669 $2,576 $2,448 $2,281 $2,330 $9,974 $7,540 
Noninterest income722 784 702 743 749 2,951 2,967 
Total revenue3,391 3,360 3,150 3,024 3,079 12,925 10,507 
Provision for (recapture of) credit losses130 42 (14)238 193 396 259 
Noninterest expense1,848 1,876 1,904 1,927 1,892 7,555 7,598 
Pretax earnings 1,413 1,442 1,260 859 994 4,974 2,650 
Income taxes329 337 295 202 232 1,163 621 
Noncontrolling interests11 11 11 10 10 43 55 
Earnings $1,073 $1,094 752 $954 322 $647 $752 $3,768 $1,974 
Average Balance Sheet
Loans held for sale$488 $633 $614 $542 $737 $569 $927 
Loans
Consumer
Residential real estate$34,951 $35,107 $35,150 $35,421 $35,286 $35,156 $33,643 
Home equity24,569 24,591 24,663 24,571 24,126 24,598 23,221 
Automobile14,875 14,976 15,005 14,918 14,793 14,943 15,425 
Credit card7,084 7,075 7,015 6,904 6,882 7,020 6,620 
Education2,001 2,057 2,115 2,188 2,257 2,090 2,381 
Other consumer1,840 1,882 1,929 1,990 2,049 1,910 2,164 
Total consumer 85,320 85,688 85,877 85,992 85,393 85,717 83,454 
Commercial 12,088 11,733 11,708 11,438 11,181 11,744 11,177 
Total loans$97,408 $97,421 $97,585 $97,430 $96,574 $97,461 $94,631 
Total assets$114,730 $114,724 $114,826 $115,384 $115,827 $114,914 $113,829 
Deposits
Noninterest-bearing $55,948 $58,110 $59,464 $60,801 $64,031 $58,566 $64,775 
Interest-bearing 195,314 195,560 197,854 201,720 195,743 197,589 199,614 
Total deposits$251,262 $253,670 $257,318 $262,521 $259,774 $256,155 $264,389 
Performance Ratios
Return on average assets3.71 %3.78 %3.33 %2.27 %2.58 %3.28 %1.73 %
Noninterest income to total revenue21 %23 %22 %25 %24 %23 %28 %
Efficiency54 %56 %60 %64 %61 %58 %72 %
(a)See note (a) on page 13.


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 15
Retail Banking (Unaudited) (Continued)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
Dollars in millions, except as noted2023202320232023202220232022
Supplemental Noninterest Income Information
Asset management and brokerage $139 $130 $123 $131 $128 $523 $528 
Card and cash management$326 $329 $344 $324 $335 $1,323 $1,338 
Lending and deposit services $186 $193 $176 $181 $172 $736 $670 
Residential and commercial mortgage $117 $128 $75 $104 $111 $424 $319 
Residential Mortgage Information
Residential mortgage servicing statistics
 (in billions, except as noted) (a)
Serviced portfolio balance (b)$209 $213 $191 $188 $190 
Serviced portfolio acquisitions$1 $25 $7 $2 $24 $35 $74 
MSR asset value (b)$2.7 $2.8 $2.3 $2.2 $2.3 
MSR capitalization value (in basis points) (b)127 133 123 119 122 
Servicing income: (in millions)
Servicing fees, net (c)$89 $67 $67 $78 $73 $301 $192 
Mortgage servicing rights valuation net of economic hedge
$11 $37 $(9)$14 $24 $53 $9 
Residential mortgage loan statistics
Loan origination volume (in billions)$1.5 $2.1 $2.4 $1.4 $2.1 $7.4 $15.1 
Loan sale margin percentage2.45 %2.43 %2.23 %2.26 %2.20 %2.34 %2.14 %
Percentage of originations represented by:
Purchase volume (d)87 %87 %90 %84 %88 %87 %67 %
Refinance volume13 %13 %10 %16 %12 %13 %33 %
Other Information (b)
Customer-related statistics (average)
Non-teller deposit transactions (e)66 %68 %65 %65 %65 %66 %64 %
Digital consumer customers (f)78 %78 %76 %75 %76 %77 %78 %
Credit-related statistics
Nonperforming assets $834 $856 $981 $1,009 $1,003 
Net charge-offs - loans and leases$128 $114 $109 $112 $108 $463 $435 
Other statistics
ATMs8,447 8,476 8,566 8,697 8,933 
Branches (g)2,299 2,303 2,361 2,450 2,518 
Brokerage account client assets (in billions) (h)$78 $73 $75 $73 $70 
(a)Represents mortgage loan servicing balances for third parties and the related income.
(b)Presented as of period end, except for average customer-related statistics and net charge-offs, which are both shown for the three months and year ended, respectively.
(c)Servicing fees net of impact of decrease in MSR value due to passage of time, including the impact from regularly scheduled loan principal payments, prepayments and loans paid off during the period.
(d)Mortgages with borrowers as part of residential real estate purchase transactions.
(e)Percentage of total consumer and business banking deposit transactions processed at an ATM or through our mobile banking application.
(f)Represents consumer checking relationships that process the majority of their transactions through non-teller channels.
(g)Reflects all branches and solution centers excluding standalone mortgage offices and satellite offices (e.g., drive-ups, electronic branches and retirement centers) that provide limited products and/or services.
(h)Includes cash and money market balances.


THE PNC FINANCIAL SERVICES GROUP, INC.

Page 16
Table 17: Corporate & Institutional Banking (Unaudited) (a)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
Dollars in millions2023202320232023202220232022
Income Statement
Net interest income $1,642 $1,419 $1,381 $1,414 $1,489 $5,856 $5,270 
Noninterest income995 835 821 886 962 3,537 3,621 
Total revenue2,637 2,254 2,202 2,300 2,451 9,393 8,891 
Provision for (recapture of) credit losses115 102 209 (28)183 398 198 
Noninterest expense975 895 921 939 990 3,730 3,651 
Pretax earnings1,547 1,257 1,072 1,389 1,278 5,265 5,042 
Income taxes 330 292 250 325 291 1,197 1,155 
Noncontrolling interests4 5 5 5 5 19 17 
Earnings$1,213 $960 $817 $1,059 $982 $4,049 $3,870 
Average Balance Sheet
Loans held for sale$450 $283 $440 $456 $337 $407 $475 
Loans
Commercial
Commercial and industrial $167,185 $161,810 $167,357 $168,874 $166,176 $166,289 $155,551 
Commercial real estate34,488 34,587 34,410 34,605 34,663 34,522 33,373 
Equipment lease financing6,430 6,441 6,364 6,451 6,274 6,422 6,195 
Total commercial 208,103 202,838 208,131 209,930 207,113 207,233 195,119 
Consumer5 4 5 7 8 6 9 
Total loans$208,108 $202,842 $208,136 $209,937 $207,121 $207,239 $195,128 
Total assets $234,590 $230,082 $234,174 $234,536 $234,120 $233,337 $219,941 
Deposits
Noninterest-bearing $46,880 $48,123 $51,948 $58,529 $67,340 $51,329 $76,956 
Interest-bearing97,660 93,563 89,068 86,832 79,916 91,815 71,388 
Total deposits$144,540 $141,686 $141,016 $145,361 $147,256 $143,144 $148,344 
Performance Ratios
Return on average assets2.05 %1.66 %1.40 %1.83 %1.66 %1.74 %1.76 %
Noninterest income to total revenue38 %37 %37 %39 %39 %38 %41 %
Efficiency37 %40 %42 %41 %40 %40 %41 %
Other Information
Consolidated revenue from:
Treasury Management (b)$1,044 $849 $778 $785 $843 $3,456 $2,801 
Commercial mortgage banking activities:
Commercial mortgage loans held for sale (c)$17 $17 $13 $27 $15 $74 $77 
Commercial mortgage loan servicing income (d)59 43 44 39 52 185 256 
Commercial mortgage servicing rights valuation, net of economic hedge19 54 4 41 39 118 138 
Total$95 $114 $61 $107 $106 $377 $471 
Commercial mortgage servicing statistics
Serviced portfolio balance (in billions) (e)$288 $282 $280 $281 $281 
MSR asset value (e)$1,032 $1,169 $1,106 $1,061 $1,113 
Average loans by C&IB business (f)
Corporate Banking$119,916 $113,538 $117,259 $119,602 $115,126 $117,568 $106,098 
Real Estate47,028 47,234 47,692 47,297 48,031 47,312 45,335 
Business Credit29,252 29,900 30,613 30,180 30,087 29,984 28,461 
Commercial Banking7,591 7,861 8,225 8,430 8,683 8,024 9,294 
Other4,321 4,309 4,347 4,428 5,194 4,351 5,940 
Total average loans$208,108 $202,842 $208,136 $209,937 $207,121 $207,239 $195,128 
Credit-related statistics
Nonperforming assets (e)$1,217 $1,130 $738 $801 $761 
Net charge-offs - loans and leases$76 $12 $93 $85 $100 $266 $143 
(a)See note (a) on page 13.
(b)Amounts are reported in net interest income and noninterest income.
(c)Represents commercial mortgage banking income for valuations on commercial mortgage loans held for sale and related commitments, derivative valuations, origination fees, gains on sale of loans held for sale and net interest income on loans held for sale.
(d)Represents net interest income and noninterest income from loan servicing, net of reduction in commercial mortgage servicing rights due to amortization expense and payoffs. Commercial mortgage servicing rights valuation, net of economic hedge is shown separately.
(e)Presented as of period end.
(f)As the result of a business realignment within C&IB during the second quarter of 2023, certain loans were reclassified from Other to Corporate Banking in the prior periods to conform to the current period presentation.

THE PNC FINANCIAL SERVICES GROUP, INC.

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Table 18: Asset Management Group (Unaudited) (a)
Three months endedYear ended
December 31September 30June 30March 31December 31December 31December 31
Dollars in millions, except as noted2023202320232023202220232022
Income Statement
Net interest income$156 $139 $125 $127 $152 $547 $608 
Noninterest income224 223 228 230 223 905 936 
Total revenue380 362 353 357 375 1,452 1,544 
Provision for (recapture of) credit losses2 (4)(10)9 17 (3)28 
Noninterest expense284 271 280 280 291 1,115 1,086 
Pretax earnings94 95 83 68 67 340 430 
Income taxes 22 22 20 16 15 80 100 
Earnings$72 $73 $63 $52 $52 $260 $330 
Average Balance Sheet
Loans
Consumer
Residential real estate $11,314 $10,750 $9,855 $9,174 $8,835 $10,280 $8,029 
Other consumer3,893 3,901 4,065 4,156 4,388 4,003 4,550 
Total consumer 15,207 14,651 13,920 13,330 13,223 14,283 12,579 
Commercial867 1,090 1,229 1,246 1,291 1,107 1,505 
Total loans$16,074 $15,741 $15,149 $14,576 $14,514 $15,390 $14,084 
Total assets$16,505 $16,161 $15,562 $14,997 $14,935 $15,812 $14,505 
Deposits
Noninterest-bearing $1,742 $1,756 $1,787 $1,846 $2,107 $1,782 $2,664 
Interest-bearing26,479 25,417 25,482 26,337 25,651 25,928 27,830 
Total deposits$28,221 $27,173 $27,269 $28,183 $27,758 $27,710 $30,494 
Performance Ratios
Return on average assets1.73 %1.79 %1.62 %1.41 %1.38 %1.64 %2.28 %
Noninterest income to total revenue59 %62 %65 %64 %59 %62 %61 %
Efficiency75 %75 %79 %78 %78 %77 %70 %
Other Information
Nonperforming assets (b)$39 $39 $41 $42 $56 
Net charge-offs (recoveries) - loans and leases $(1)$(2)$18 $(3)$17 
Client Assets Under Administration
     (in billions) (b) (c)
Discretionary client assets under management$189 $176 $176 $177 $173 
Nondiscretionary client assets under administration179 170 168 156 152 
Total$368 $346 $344 $333 $325 
Discretionary client assets under management
PNC Private Bank$117 $109 $111 $108 $105 
Institutional Asset Management72 67 65 69 68 
Total$189 $176 $176 $177 $173 
(a)See note (a) on page 13.
(b)As of period end.
(c)Excludes brokerage account client assets.

THE PNC FINANCIAL SERVICES GROUP, INC.

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Glossary of Terms

Allowance for credit losses (ACL) – A valuation account that is deducted from or added to the amortized cost basis of the related
financial assets to present the net carrying value at the amount expected to be collected on the financial asset.

Amortized cost basis – Amount at which a financial asset is originated or acquired, adjusted for applicable accretion or amortization of premiums, discounts and net deferred fees or costs, collection of cash, charge-offs, foreign exchange and fair value hedge accounting adjustments.

Basel III common equity Tier 1 (CET1) capital (Tailoring Rules) – Common stock plus related surplus, net of treasury stock, plus retained earnings, less goodwill, net of associated deferred tax liabilities, less other disallowed intangibles, net of deferred tax liabilities and plus/less other adjustments. Investments in unconsolidated financial institutions, as well as mortgage servicing rights and deferred tax assets, must then be deducted to the extent such items (net of associated deferred tax liabilities) individually exceed 25% of our adjusted Basel III common equity Tier 1 capital.

Basel III common equity Tier 1 capital ratio – Common equity Tier 1 capital divided by period-end risk-weighted assets (as applicable).

Basel III Tier 1 capital – Common equity Tier 1 capital, plus qualifying preferred stock, plus certain trust preferred capital securities, plus certain noncontrolling interests that are held by others and plus/less other adjustments.

Basel III Tier 1 capital ratio – Tier 1 capital divided by period-end risk-weighted assets (as applicable).

Basel III Total capital – Tier 1 capital plus qualifying subordinated debt, plus certain trust preferred securities, plus, under the Basel III transitional rules and the standardized approach, the allowance for loan and lease losses included in Tier 2 capital and other.

Basel III Total capital ratio – Basel III Total capital divided by period-end risk-weighted assets (as applicable).

Charge-off – Process of removing a loan or portion of a loan from our balance sheet because it is considered uncollectible. We also record a charge-off when a loan is transferred from portfolio holdings to held for sale by reducing the loan carrying amount to the fair value of the loan, if fair value is less than carrying amount.

Common shareholders’ equity – Total shareholders' equity less the liquidation value of preferred stock.

Credit valuation adjustment – Represents an adjustment to the fair value of our derivatives for our own and counterparties’ non-performance risk.

Criticized commercial loans – Loans with potential or identified weaknesses based upon internal risk ratings that comply with the regulatory classification definitions of “special mention,” “substandard” or “doubtful.”

Current Expected Credit Loss (CECL) – Methodology for estimating the allowance for credit losses on in-scope financial assets held at amortized cost and unfunded lending related commitments which uses a combination of expected losses over a reasonable and supportable forecast period, a reversion period and long run average credit losses for their estimated contractual term.

Discretionary client assets under management – Assets over which we have sole or shared investment authority for our customers/clients. We do not include these assets on our Consolidated Balance Sheet.

Earning assets – Assets that generate income, which include: interest-earning deposits with banks; loans held for sale; loans; investment securities; and certain other assets.

Effective duration – A measurement, expressed in years, that, when multiplied by a change in interest rates, would approximate the percentage change in value of on- and off- balance sheet positions.

Efficiency – Noninterest expense divided by total revenue.

Fair value – The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Fee income – Refers to the following categories within Noninterest income: Asset management and brokerage, Capital markets and advisory, Card and cash management, Lending and deposit services, and Residential and commercial mortgage.

GAAP – Accounting principles generally accepted in the United States of America.

Leverage ratio – Basel III Tier 1 capital divided by average quarterly adjusted total assets.

THE PNC FINANCIAL SERVICES GROUP, INC.

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Nondiscretionary client assets under administration – Assets we hold for our customers/clients in a nondiscretionary, custodial capacity. We do not include these assets on our Consolidated Balance Sheet.

Nonperforming assets – Nonperforming assets include nonperforming loans, OREO and foreclosed assets. We do not accrue interest income on assets classified as nonperforming.

Nonperforming loans – Loans accounted for at amortized cost whose credit quality has deteriorated to the extent that full collection of contractual principal and interest is not probable. Interest income is not recognized on nonperforming loans. Nonperforming loans exclude certain government insured or guaranteed loans for which we expect to collect substantially all principal and interest, loans held for sale and loans accounted for under the fair value option.

Operating leverage – The period to period dollar or percentage change in total revenue less the dollar or percentage change in noninterest expense. A positive variance indicates that revenue growth exceeded expense growth (i.e., positive operating leverage) while a negative variance implies expense growth exceeded revenue growth (i.e., negative operating leverage).

Other real estate owned (OREO) and foreclosed assets – Assets taken in settlement of troubled loans primarily through deed-in-lieu of foreclosure or foreclosure. Foreclosed assets include real and personal property. Certain assets that have a government-guarantee which are classified as other receivables are excluded.

Risk-weighted assets – Computed by the assignment of specific risk-weights (as defined by the Board of Governors of the Federal Reserve System) to assets and off-balance sheet instruments.

Servicing rights – Intangible assets or liabilities created by an obligation to service assets for others. Typical servicing rights include the right to receive a fee for collecting and forwarding payments on loans and related taxes and insurance premiums held in escrow.

Supplementary leverage ratio – Basel III Tier 1 capital divided by Supplementary leverage exposure.

Tailoring Rules – Rules adopted by the federal banking agencies to better tailor the application of their capital, liquidity, and enhanced prudential requirements for banking organizations to the asset size and risk profile (as measured by certain regulatory metrics) of the banking organization. Effective January 1, 2020, the agencies' capital and liquidity rules classify all BHCs with $100 billion or more in total assets into one of four categories (Category I, Category II, Category III, and Category IV).

Taxable-equivalent interest income – The interest income earned on certain assets that is completely or partially exempt from federal income tax. These tax-exempt instruments typically yield lower returns than taxable investments.

Troubled debt restructuring (TDR) – A loan whose terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties. On January 1, 2023, we adopted ASU 2022-02, which eliminated the accounting guidance for TDRs.

Unfunded lending related commitments – Standby letters of credit, financial guarantees, commitments to extend credit and similar unfunded obligations that are not unilaterally, unconditionally, cancelable at PNC’s option.