The PNC Financial Services Group, Inc. reported net income of $1.6 billion, or $3.85 diluted EPS, for the second quarter of 2025. This represents an 11.2% rise in profit compared to the second quarter of 2024.
Total revenue for Q2 2025 increased 4% linked quarter to $5.66 billion, driven by growth in both noninterest income and net interest income. Net interest income (NII) increased 2% linked quarter to $3.56 billion, fueled by loan growth, fixed-rate asset repricing, and an additional day in the quarter.
The net interest margin (NIM) expanded by 2 basis points linked quarter to 2.80%. Noninterest income increased 7% linked quarter to $2.11 billion, with fee income up 3% due to increased capital markets activity and seasonally higher consumer spending in card and cash management.
PNC generated 4% positive operating leverage, with noninterest expense remaining stable linked quarter at $3.38 billion. The efficiency ratio improved to 60%. Credit quality remained strong, with nonperforming loans down 8% and net loan charge-offs at $198 million, or 0.25% annualized.
The company maintained a strong capital position, with an estimated Common Equity Tier 1 (CET1) ratio of 10.5% at June 30, 2025. PNC returned $1.0 billion of capital to shareholders in Q2 2025, including $0.6 billion in common dividends and $0.3 billion in share repurchases. For the full year 2025, PNC updated its guidance, expecting average loans to be up approximately 1% (from stable) and NII to increase approximately 7% (from 6-7%).
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