EX-99.3 4 ex_993financialsupplement-.htm EX-99.3 Document

Dollars in millions, except per share data
Three Months EndedSix Months Ended
Summary Financial Data & Key MetricsJune 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Results of Operations:
Net interest income$1,821 $1,817 $1,961 $3,638 $2,811 
Provision for credit losses95 64 151 159 934 
Net interest income after provision for credit losses1,726 1,753 1,810 3,479 1,877 
Noninterest income639 627 658 1,266 10,917 
Noninterest expense1,386 1,376 1,572 2,762 2,427 
Income before income taxes979 1,004 896 1,983 10,367 
Income tax expense272 273 214 545 167 
Net income707 731 682 1,438 10,200 
Preferred stock dividends16 15 15 31 29 
Net income available to common stockholders$691 $716 $667 $1,407 $10,171 
Adjusted net income available to common stockholders(1)
$739 $769 $765 $1,508 $1,057 
Pre-tax, pre-provision net revenue (PPNR)(1)
$1,074 $1,068 $1,047 $2,142 $11,301 
Per Share Information:
Diluted earnings per common share (EPS)$47.54 $49.26 $45.87 $96.80 $699.53 
Adjusted diluted EPS(1)
50.87 52.92 52.60 103.79 72.69 
Book value per common share at period end1,487.00 1,443.03 1,300.93 
Tangible book value per common share (TBV)(1) at period end
1,443.92 1,398.88 1,253.20 
Key Performance Metrics:
Return on average assets (ROA)1.30  %1.36  %1.31  %1.33  %12.62  %
Adjusted ROA(1)
1.39 1.46 1.49 1.42 1.34 
PPNR ROA(1)
1.97 1.99 2.00 1.98 13.98 
Adjusted PPNR ROA(1)
2.08 2.12 2.34 2.10 2.11 
Return on average common equity (ROE)13.13 13.97 14.35 13.54 140.82 
Adjusted ROE(1)
14.05 15.01 16.46 14.52 14.63 
Return on average tangible common equity (ROTCE)(1)
13.53 14.42 14.91 13.97 146.99 
Adjusted ROTCE(1)
14.48 15.50 17.10 14.98 15.27 
Efficiency ratio56.36 56.30 60.06 56.33 17.68 
Adjusted efficiency ratio(1)
50.77 50.29 49.65 50.53 52.47 
Net interest margin (NIM)(2)
3.64 3.67 4.11 3.66 3.87 
NIM, excluding purchase accounting accretion(1), (2)
3.36 3.35 3.59 3.36 3.49 
Select Balance Sheet Items at Period End:
Total investment securities$37,666 $35,044 $22,171 
Total loans and leases139,341 135,370 133,015 
Total operating lease equipment, net8,945 8,811 8,531 
Total deposits151,079 149,609 141,164 
Total borrowings37,458 37,540 40,139 
Loan to deposit ratio92.23  %90.48  %94.23  %
Noninterest-bearing deposits to total deposits26.49 26.25 31.56 
Capital Ratios at Period End: (3)
Total risk-based capital ratio15.45  %15.66  %15.84  %
Tier 1 risk-based capital ratio13.87 14.00 14.00 
Common equity Tier 1 ratio13.33 13.44 13.38 
Tier 1 leverage capital ratio10.29 10.11 9.50 
Asset Quality at Period End:
Nonaccrual loans to total loans and leases0.82  %0.79  %0.70  %
Allowance for loan and lease losses (ALLL) to loans and leases1.22 1.28 1.23 
Net charge-off ratio for the period0.38 0.31 0.47 0.35 0.39 
(1) Denotes a non-GAAP measure. Refer to the non-GAAP reconciliation tables included at the end of this financial supplement for a reconciliation to the most directly comparable GAAP measure. “Adjusted” items exclude the impact of Notable Items.
(2) Calculated net of average credit balances and deposits of factoring clients.
(3) Capital ratios as of the current quarter-end are preliminary pending completion of quarterly regulatory filings.


Dollars in millions, except share and per share data
Three Months EndedSix Months Ended
Income Statement (unaudited) June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Interest income
Interest and fees on loans$2,422 $2,354 $2,353 $4,776 $3,370 
Interest on investment securities330 282 120 612 227 
Interest on deposits at banks378 448 480 826 567 
Total interest income3,130 3,084 2,953 6,214 4,164 
Interest expense
Deposits975 928 575 1,903 863 
Borrowings334 339 417 673 490 
Total interest expense1,309 1,267 992 2,576 1,353 
Net interest income1,821 1,817 1,961 3,638 2,811 
Provision for credit losses95 64 151 159 934 
Net interest income after provision for credit losses1,726 1,753 1,810 3,479 1,877 
Noninterest income
Rental income on operating lease equipment259 255 238 514 471 
Fee income and other service charges77 75 70 152 117 
Client investment fees54 50 52 104 54 
Wealth management services52 51 51 103 91 
International fees30 28 29 58 33 
Service charges on deposit accounts44 44 44 88 68 
Factoring commissions19 17 20 36 39 
Cardholder services, net40 40 41 80 62 
Merchant services, net12 12 14 24 24 
Insurance commissions13 15 14 28 27 
Realized loss on sale of investment securities available for sale, net— — — — (14)
Fair value adjustment on marketable equity securities, net(2)(4)(10)(6)(19)
Gain on sale of leasing equipment, net4 10 4 14 8 
Gain on acquisition— — 55 — 9,879 
Loss on extinguishment of debt— (2)— (2)— 
Other noninterest income 37 36 36 73 77 
Total noninterest income639 627 658 1,266 10,917 
Noninterest expense
Depreciation on operating lease equipment98 96 91 194 180 
Maintenance and other operating lease expenses60 45 56 105 112 
Salaries and benefits745 744 775 1,489 1,195 
Net occupancy expense58 62 64 120 114 
Equipment expense126 114 133 240 191 
Professional fees24 25 20 49 31 
Third-party processing fees58 60 55 118 85 
FDIC insurance expense33 41 22 74 40 
Marketing expense18 14 41 32 56 
Acquisition-related expenses44 58 205 102 233 
Intangible asset amortization15 17 18 32 23 
Other noninterest expense107 100 92 207 167 
Total noninterest expense1,386 1,376 1,572 2,762 2,427 
Income before income taxes979 1,004 896 1,983 10,367 
Income tax expense272 273 214 545 167 
Net income$707 $731 $682 $1,438 $10,200 
Preferred stock dividends16 15 15 31 29 
Net income available to common stockholders$691 $716 $667 $1,407 $10,171 
Basic earnings per common share$47.54 $49.27 $45.90 $96.81 $700.10 
Diluted earnings per common share $47.54 $49.26 $45.87 $96.80 $699.53 
Weighted average common shares outstanding (basic) 14,534,49914,533,30214,528,13414,533,90014,527,417
Weighted average common shares outstanding (diluted) 14,534,49914,536,44214,537,93814,535,47214,539,176




Dollars in millions, except share data
Balance Sheet (unaudited) June 30, 2024March 31, 2024June 30, 2023
Assets
Cash and due from banks$764 $698 $917 
Interest-earning deposits at banks25,361 30,792 37,846 
Securities purchased under agreements to resell392 394 298 
Investment in marketable equity securities78 79 76 
Investment securities available for sale27,053 24,915 11,894 
Investment securities held to maturity10,535 10,050 10,201 
Assets held for sale92 86 117 
Loans and leases139,341 135,370 133,015 
Allowance for loan and lease losses(1,700)(1,737)(1,637)
Loans and leases, net of allowance for loan and lease losses137,641 133,633 131,378 
Operating lease equipment, net8,945 8,811 8,531 
Premises and equipment, net1,938 1,906 1,782 
Goodwill346 346 346 
Other intangible assets, net280 295 347 
Other assets6,402 5,831 5,769 
Total assets$219,827 $217,836 $209,502 
Liabilities
Deposits:
Noninterest-bearing$40,016 $39,276 $44,547 
Interest-bearing111,063 110,333 96,617 
Total deposits151,079 149,609 141,164 
Credit balances of factoring clients1,175 1,152 1,067 
Borrowings:
Short-term borrowings386 395 454 
Long-term borrowings37,072 37,145 39,685 
Total borrowings37,458 37,540 40,139 
Other liabilities7,628 7,687 7,361 
Total liabilities$197,340 $195,988 $189,731 
Stockholders’ equity
Preferred stock881881 881 
Common stock:
Class A - $1 par value14 14 14
Class B - $1 par value1 1 1 
Additional paid in capital4,099 4,099 4,106 
Retained earnings18,102 17,435 15,541 
Accumulated other comprehensive loss(610)(582)(772)
Total stockholders’ equity22,487 21,848 19,771 
Total liabilities and stockholders’ equity$219,827 $217,836 $209,502 



Dollars in millions, except share per share data
Notable Items (1)
Three Months EndedSix Months Ended
June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Noninterest income
Rental income on operating lease equipment (2)
$(158)$(141)$(147)$(299)$(292)
Realized loss on sale of investment securities available for sale, net— — — — 14 
Fair value adjustment on marketable equity securities, net2 4 10 6 19 
Gain on sale of leasing equipment, net(4)(10)(4)(14)(8)
Gain on acquisition— — (55)— (9,879)
Loss on extinguishment of debt— 2 — 2 — 
Other noninterest income (3)
— (4)— (4)— 
Impact of notable items on adjusted noninterest income$(160)$(149)$(196)$(309)$(10,146)
Noninterest expense
Depreciation on operating lease equipment (2)
(98)(96)(91)(194)(180)
Maintenance and other operating lease equipment expense (2)
(60)(45)(56)(105)(112)
Professional fees (4)
(1)(3)— (4)— 
FDIC insurance special assessment(2)(9)— (11)— 
Acquisition-related expenses(44)(58)(205)(102)(233)
Intangible asset amortization(15)(17)(18)(32)(23)
Other noninterest expense (5)
2 6 — 8 — 
Impact of notable items on adjusted noninterest expense$(218)$(222)$(370)$(440)$(548)
Day 2 provisions for loan and lease losses and off-balance sheet credit exposure$— $— $— $— $(716)
Provision for credit losses on investment securities available for sale— — 1 — (3)
Impact of notable items on adjusted provision for credit losses$— $— $1 $— $(719)
Impact of notable items on adjusted pre-tax income$58 $73 $173 $131 $(8,879)
Income tax impact (6)
1020 75 30 235 
Impact of notable items on adjusted net income$48 $53 $98 $101 $(9,114)
Impact of notable items on adjusted diluted EPS$3.33 $3.66 $6.73 $6.99 $(626.84)
(1) Notable items include income and expense for infrequent transactions and certain recurring items (typically noncash) that management believes should be excluded from adjusted measures (non-GAAP) to enhance understanding of operations and comparability to historical periods. Management utilizes both GAAP and adjusted measures (non-GAAP) to analyze BancShares’ performance. Refer to subsequent pages of this financial supplement for a reconciliation of non-GAAP measures to the most directly comparable GAAP measures.
(2) Depreciation and maintenance and other operating lease expenses are reclassified from noninterest expense to a reduction of rental income on operating lease equipment. There is no net impact to earnings for this notable item as adjusted noninterest income and expense are reduced by the same amount. Adjusted rental income on operating lease equipment (non-GAAP) is net of depreciation and maintenance expense for operating lease equipment. Management believes this measure is meaningful because it helps management monitor the performance and profitability of the operating leases after deducting direct expenses. Refer to subsequent pages of this financial supplement for a reconciliation of non-GAAP measures to the most directly comparable GAAP measures.
(3) Other noninterest income includes a gain on litigation settlement.
(4) Professional fees includes expenses related to integration activities.
(5) Other noninterest expense consists of litigation reserve releases.
(6) For the periods presented, the income tax impact may include tax discrete items and changes in the estimated annualized effective tax rate.






Dollars in millions, except share and per share data
Condensed Income Statements (unaudited) - Adjusted for Notable Items (1)
Three Months EndedSix Months Ended
June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Interest income$3,130 $3,084 $2,953 $6,214 $4,164 
Interest expense1,309 1,267 992 2,576 1,353 
Net interest income1,821 1,817 1,961 3,638 2,811 
Provision for credit losses95 64 152 159 215 
Net interest income after provision for credit losses1,726 1,753 1,809 3,479 2,596 
Noninterest income479 478 462 957 771 
Noninterest expense1,168 1,154 1,202 2,322 1,879 
Income before income taxes1,037 1,077 1,069 2,114 1,488 
Income tax expense282 293 289 575 402 
Net income$755 $784 $780 $1,539 $1,086 
Preferred stock dividends16 15 15 31 29 
Net income available to common stockholders$739 $769 $765 $1,508 $1,057 
Basic earnings per common share $50.87 $52.94 $52.64 $103.81 $72.75 
Diluted earnings per common share50.87 52.92 52.60 103.7972.69
Weighted average common shares outstanding (basic)14,534,49914,533,30214,528,13414,533,90014,527,417
Weighted average common shares outstanding (diluted)14,534,49914,536,44214,537,93814,535,47214,539,176
(1) The GAAP income statements and notable items are included previously in this financial supplement. The condensed adjusted income statements above (non-GAAP) exclude the impact of notable items. Refer to the non-GAAP reconciliation tables at the end of this financial supplement for a reconciliation of non-GAAP measures to the most directly comparable GAAP measure.



Dollars in millions
Loans and Leases by Class (end of period)June 30, 2024March 31, 2024June 30, 2023
Commercial
Commercial construction$4,484 $4,062 $3,665 
Owner occupied commercial mortgages16,233 15,979 14,679 
Non-owner occupied commercial mortgages15,580 15,329 13,939 
Commercial and industrial30,684 30,164 27,654 
Leases2,049 2,067 2,130 
Total commercial$69,030 $67,601 $62,067 
Consumer
Residential mortgage$23,101 $22,901 $22,087 
Revolving mortgage2,351 2,240 2,067 
Consumer auto1,503 1,476 1,425 
Consumer other1,388 1,306 1,239 
Total consumer$28,343 $27,923 $26,818 
SVB
Global fund banking$28,915 $26,518 $29,333 
Investor dependent - early stage1,179 1,293 1,840 
Investor dependent - growth stage2,627 2,696 4,052 
Innovation C&I and cash flow dependent9,247 9,339 8,905 
Total SVB$41,968 $39,846 $44,130 
Total loans and leases$139,341 $135,370 $133,015 
Less: allowance for loan and lease losses(1,700)(1,737)(1,637)
Total loans and leases, net of allowance for loan and lease losses$137,641 $133,633 $131,378 
Deposits by Type (end of period)June 30, 2024March 31, 2024June 30, 2023
Noninterest-bearing demand$40,016 $39,276 $44,547 
Checking with interest23,907 24,244 24,809 
Money market32,636 31,393 29,150 
Savings39,361 37,688 26,587 
Time15,159 17,008 16,071 
Total deposits$151,079 $149,609 $141,164 



Dollars in millions
Three Months EndedSix Months Ended
Credit Quality and Allowance for Loan and Lease Losses (ALLL)June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Nonaccrual loans at period end$1,141 $1,074 $929 
Ratio of nonaccrual loans to total loans at period end0.82 %0.79 %0.70 %
Charge-offs$(159)$(128)$(176)$(287)$(238)
Recoveries27 25 19 52 31 
Net charge-offs$(132)$(103)$(157)$(235)$(207)
Net charge-off ratio0.38 %0.31 %0.47 %0.35 %0.39 %
ALLL to loans ratio at period end1.22 %1.28 %1.23 %
ALLL at beginning of period$1,737 $1,747 $1,605 $1,747 $922 
Initial PCD ALLL— — 20 — 220 
Day 2 provision for loan and lease losses— — — — 462 
Provision for loan and lease losses95 93 169 188 240 
Net charge-offs(132)(103)(157)(235)(207)
ALLL at end of period$1,700 $1,737 $1,637 $1,700 $1,637 



Dollars in millionsThree Months Ended
Average Balance Sheets, Yields and RatesJune 30, 2024March 31, 2024June 30, 2023
Average BalanceIncome/ExpenseYield/RateAverage BalanceIncome/ExpenseYield/RateAverage BalanceIncome/ExpenseYield/Rate
Loans and leases (1)(2)
$135,965 $2,422 7.15 %$132,313 $2,354 7.15 %$133,204 $2,353 7.08 %
Investment securities36,445 327 3.60 32,647 279 3.42 19,806 117 2.36 
Securities purchased under agreements to resell236 3 5.37 244 3 5.40 191 3 4.92 
Interest-earning deposits at banks28,059 378 5.42 33,383 448 5.39 38,014 480 5.07 
Total interest-earning assets (2)
$200,705 $3,130 6.26 %$198,587 $3,084 6.23 %$191,215 $2,953 6.19 %
Operating lease equipment, net$8,888 $8,806 $8,405 
Cash and due from banks750 785 1,161 
Allowance for loan and lease losses(1,763)(1,796)(1,600)
All other noninterest-earning assets10,311 9,699 10,128 
Total assets$218,891 $216,081 $209,309 
Interest-bearing deposits
Checking with interest$24,427 $137 2.26 %$23,963 $130 2.18 %$24,164 $118 1.96 %
Money market31,998 250 3.14 30,929 232 3.02 29,066 148 2.04 
Savings38,434 415 4.35 36,493 391 4.31 22,179 188 3.41 
Time deposits16,043 173 4.33 16,679 175 4.21 14,758 121 3.28 
Total interest-bearing deposits110,902 975 3.54 108,064 928 3.45 90,167 575 2.56 
Borrowings:
Securities sold under customer repurchase agreements380 — 0.46 431 1 0.47 456 1 0.31 
Short-term FHLB borrowings— — — — — — 110 1 5.17 
Short-term borrowings380 — 0.46 431 1 0.47 566 2 1.26 
Federal Home Loan Bank borrowings— — 2.00 — — 2.00 5,558 74 5.35 
Senior unsecured borrowings375 3 2.49 376 2 2.50 798 4 2.11 
Subordinated debt901 7 3.32 911 8 3.29 1,045 10 3.59 
Other borrowings35,824 324 3.61 35,859 328 3.66 35,168 327 3.73 
Long-term borrowings37,100 334 3.60 37,146 338 3.64 42,569 415 3.91 
Total borrowings37,480 334 3.56 37,577 339 3.60 43,135 417 3.87 
Total interest-bearing liabilities$148,382 $1,309 3.54 %$145,641 $1,267 3.49 %$133,302 $992 2.98 %
Noninterest-bearing deposits$39,344 $39,651 $47,271 
Credit balances of factoring clients1,234 1,105 1,168 
Other noninterest-bearing liabilities7,879 8,186 8,047 
Stockholders' equity22,052 21,498 19,521 
Total liabilities and stockholders’ equity$218,891 $216,081 $209,309 
Net interest income$1,821 $1,817 $1,961 
Net interest spread (2)
2.72 %2.74 %3.21 %
Net interest margin (2)
3.64 %3.67 %4.11 %
(1) Loans and leases include non-PCD and PCD loans, nonaccrual loans, and loans held for sale. Interest income on loans and leases includes accretion income and loan fees.
(2) The balance and rate presented is calculated net of average credit balances and deposits of factoring clients.
Note: Certain items above do not precisely recalculate as presented due to rounding.




Dollars in millionsSix Months Ended
Average Balance Sheets, Yields and RatesJune 30, 2024June 30, 2023
Average BalanceIncome/ExpenseYield/RateAverage BalanceIncome/ExpenseYield/Rate
Loans and leases (1)(2)
$134,139 $4,776 7.15 %$103,562 $3,370 6.55 %
Investment securities34,546 606 3.51 19,612 224 2.29 
Securities purchased under agreements to resell240 6 5.38 96 3 4.92 
Interest-earning deposits at banks30,721 826 5.41 22,884 567 4.99 
Total interest-earning assets (2)
$199,646 $6,214 6.25 %$146,154 $4,164 5.73 %
Operating lease equipment, net$8,847 $8,321 
Cash and due from banks768 880 
Allowance for loan and lease losses(1,780)(1,270)
All other noninterest-earning assets10,005 8,909 
Total assets$217,486 $162,994 
Interest-bearing deposits
Checking with interest$24,195 $267 2.22 %$20,350 $140 1.39 %
Money market31,463 482 3.08 25,163 228 1.82 
Savings37,463 806 4.33 19,966 298 3.01 
Time deposits16,361 348 4.27 13,345 197 2.98 
Total interest-bearing deposits109,482 1,903 3.50 78,824 863 2.21 
Borrowings:
Securities sold under customer repurchase agreements406 1 0.47 456 1 0.31 
Short-term FHLB borrowings— — — 218 5 4.79 
Short-term borrowings406 1 0.47 674 6 1.76 
Federal Home Loan Bank borrowings— — 2.00 4,427 114 5.20 
Senior unsecured borrowings376 5 2.50 840 9 2.09 
Subordinated debt906 15 3.30 1,047 19 3.57 
Other borrowings35,842 652 3.64 18,665 342 3.67 
Long-term borrowings37,124 672 3.62 24,979 484 3.88 
Total borrowings37,530 673 3.58 25,653 490 3.83 
Total interest-bearing liabilities$147,012 $2,576 3.52 %$104,477 $1,353 2.60 %
Noninterest-bearing deposits$39,498 $36,934 
Credit balances of factoring clients1,169 1,088 
Other noninterest-bearing liabilities8,032 5,050 
Stockholders' equity21,775 15,445 
Total liabilities and stockholders’ equity$217,486 $162,994 
Net interest income$3,638 $2,811 
Net interest spread (2)
2.73 %3.13 %
Net interest margin (2)
3.66 %3.87 %
(1) Loans and leases include non-PCD and PCD loans, nonaccrual loans, and loans held for sale. Interest income on loans and leases includes accretion income and loan fees.
(2) The balance and rate presented is calculated net of average credit balances and deposits of factoring clients.
Note: Certain items above do not precisely recalculate as presented due to rounding.



Dollars in millions, except share and per share data
Three Months EndedSix Months Ended
Non-GAAP ReconciliationsJune 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Net income and EPS
Net income (GAAP)a$707 $731 $682 $1,438 $10,200 
Preferred stock dividends16 15 15 31 29 
Net income available to common stockholders (GAAP)b$691 $716 $667 $1,407 $10,171 
Total notable items, after income taxc48 53 98 101 (9,114)
Adjusted net income (non-GAAP)d = (a+c)755 784 780 1,539 1,086 
Adjusted net income available to common stockholders (non-GAAP)e = (b+c)$739 $769 $765 $1,508 $1,057 
Weighted average common shares outstanding
Basicf14,534,499 14,533,302 14,528,134 14,533,900 14,527,417 
Dilutedg14,534,499 14,536,442 14,537,938 14,535,472 14,539,176 
EPS (GAAP)
Basicb/f$47.54 $49.27 $45.90 $96.81 $700.10 
Dilutedb/g47.54 49.26 45.87 96.80 699.53 
Adjusted EPS (non-GAAP)
Basice/f$50.87 $52.94 $52.64 $103.81 $72.75 
Dilutede/g50.87 52.92 52.60 103.79 72.69 
Noninterest income and expense
Noninterest incomeh$639 $627 $658 $1,266 $10,917 
Impact of notable items, before income tax(160)(149)(196)(309)(10,146)
Adjusted noninterest income (non-GAAP)i$479 $478 $462 $957 $771 
Noninterest expensej$1,386 $1,376 $1,572 $2,762 $2,427 
Impact of notable items, before income tax(218)(222)(370)(440)(548)
Adjusted noninterest expense (non-GAAP)k$1,168 $1,154 $1,202 $2,322 $1,879 
Provision for credit losses
Provision for credit losses$95 $64 $151 $159 $934 
Less: day 2 provision for loan and lease losses and off-balance sheet exposure— — — — 716 
Less: provision (benefit) for credit losses on investment securities available for sale— — (1)— 3 
Adjusted provision for credit losses (non-GAAP)$95 $64 $152 $159 $215 
PPNR
Net income (GAAP)a$707 $731 $682 $1,438 $10,200 
Plus:
Provision for credit losses95 64 151 159 934 
Income tax expense272 273 214 545 167 
PPNR (non-GAAP)l$1,074 $1,068 $1,047 $2,142 $11,301 
Impact of notable items (1)
58 73 174 131 (9,598)
Adjusted PPNR (non-GAAP)m$1,132 $1,141 $1,221 $2,273 $1,703 
(1) Excludes the notable items for the provision for credit losses and income taxes as these items are excluded from PPNR as presented in the table above.
Note: Certain items above do not precisely recalculate as presented due to rounding.


Dollars in millions
Three Months EndedSix Months Ended
Non-GAAP Reconciliations (continued) June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
ROA
Net income (GAAP)a$707 $731 $682 $1,438 $10,200 
Annualized net incomen = a annualized2,842 2,942 2,734 2,892 20,569 
Adjusted net income (non-GAAP)d755 784 780 1,539 1,086 
Annualized adjusted net incomep = d annualized3,036 3,156 3,126 3,096 2,192 
Average assetso218,891 216,081 209,309 217,486162,994
ROAn/o1.30 %1.36 %1.31 %1.33 %12.62 %
Adjusted ROA (non-GAAP)p/o1.39 1.46 1.49 1.42 1.34 
PPNR ROA
PPNR (non-GAAP)l$1,074 $1,068 $1,047 $2,142 $11,301 
Annualized PPNRq = l annualized4,316 4,296 4,200 4,306 22,789 
Adjusted PPNR (non-GAAP)m1,132 1,141 1,221 2,273 1,703 
Annualized adjusted PPNRr = m annualized4,552 4,589 4,893 4,571 3,432 
PPNR ROA (non-GAAP)q/o1.97 %1.99 %2.00 %1.98 %13.98 %
Adjusted PPNR ROA (non-GAAP)r/o2.08 2.12 2.34 2.10 2.11 
ROE and ROTCE
Annualized net income available to common stockholderss = b annualized$2,779 $2,880 $2,675 $2,830 $20,510 
Annualized adjusted net income available to common stockholderst = e annualized$2,974 $3,094 $3,067 $3,034 $2,131 
Average stockholders' equity (GAAP)$22,052 $21,498 $19,521 $21,775 $15,445 
Less: average preferred stock881 881 881 881 881 
Average common stockholders' equity (non-GAAP)u$21,171 $20,617 $18,640 $20,894 $14,564 
Less: average goodwill346 346 346 346 346 
Less: average other intangible assets288 304 357 296 266 
Average tangible common equity (non-GAAP)v$20,537 $19,967 $17,937 $20,252 $13,952 
ROEs/u13.13 %13.97 %14.35 %13.54 %140.82 %
Adjusted ROE (non-GAAP)t/u14.05 15.01 16.46 14.52 14.63 
ROTCE (non-GAAP)s/v13.53 14.42 14.91 13.97 146.99 
Adjusted ROTCE (non-GAAP)t/v14.48 15.50 17.10 14.98 15.27 
Tangible common equity to tangible assets at period end
Stockholders' equity (GAAP)w$22,487 $21,848 $19,771 
Less: preferred stock881 881 881 
Common equity (non-GAAP)x$21,606 $20,967 $18,890 
Less: goodwill346 346 346 
Less: other intangible assets280 295 347 
Tangible common equity (non-GAAP)y$20,980 $20,326 $18,197 
Total assets (GAAP)z219,827 217,836 209,502 
Tangible assets (non-GAAP)aa219,201 217,195 208,809 
Total equity to total assets (GAAP)w/z10.23 %10.03 %9.44 %
Tangible common equity to tangible assets (non-GAAP)y/aa9.57 9.36 8.71 
Note: Certain items above do not precisely recalculate as presented due to rounding.


Dollars in millions, except share and per share data
Three Months EndedSix Months Ended
Non-GAAP Reconciliations (continued) June 30, 2024March 31, 2024June 30, 2023June 30, 2024June 30, 2023
Book value and tangible book value per common share at period end
Common shares outstanding at period endbb14,529,735 14,529,735 14,520,034 
Book value per sharex/bb$1,487.00 $1,443.03 $1,300.93 
Tangible book value per share (non-GAAP)y/bb1,443.92 1,398.88 1,253.20 
Efficiency ratio
Net interest incomecc$1,821 $1,817 $1,961 $3,638 $2,811 
Efficiency ratio (GAAP)j / (h + cc)56.36 %56.30 %60.06 %56.33 %17.68 %
Adjusted efficiency ratio (non-GAAP)k / (i + cc)50.77 50.29 49.65 50.53 %52.47 %
Rental income on operating lease equipment
Rental income on operating lease equipment$259 $255 $238 $514 $471 
Less: depreciation on operating lease equipment98 96 91 194 180 
Less: maintenance and other operating lease expenses60 45 56 105 112 
Adjusted rental income on operating lease equipment (non-GAAP)$101 $114 $91 $215 $179 
Net Interest Margin
Net interest margin (NIM)3.64 %3.67 %4.11 %3.66 %3.87 %
NIM impact from purchase accounting accretion(0.28)(0.32)(0.52)(0.30)(0.38)
NIM, excluding purchase accounting accretion (non-GAAP)3.36 %3.35 %3.59 %3.36 %3.49 %
Note: Certain items above do not precisely recalculate as presented due to rounding.