Pre-provision net revenue(b) increased $46 million quarter-over-quarter; Full year pre-provision net revenue increased 44% year-over-year adjusted for selected items(a),(b)
Net interest income increased 3% quarter-over-quarter, and net interest margin of 2.82% increased 7 bps
Nonperforming assets decreased 6% quarter-over-quarter; Net charge-offs decreased 3 bps to 39 bps
Common Equity Tier 1 ratio of 11.7%(c); Repurchased $200 million of common shares during the quarter
CLEVELAND, Jan. 20, 2026 /PRNewswire/ -- KeyCorp (NYSE:KEY) today announced net income from continuing operations attributable to Key common shareholders of $474 million, or $.43 per diluted common share, or adjusted net income of $458 million, or $.41 per diluted common share(b), for the fourth quarter of 2025. The fourth quarter of 2025 included a $16 million after-tax benefit related to the updated FDIC special assessment(a). For the third quarter of 2025, net income from continuing operations attributable to Key common shareholders was $454 million, or $.41 per diluted common share, or adjusted net income of $450 million, or $.41 per diluted common share(b). For the fourth quarter of 2024, KeyCorp reported a net loss from continuing operations attributable to Key common shareholders of $(279) million, or $(.28) per diluted common share, or adjusted net income of $378 million, or $.38 per diluted common share(b). Included in the fourth quarter of 2024 are after-tax charges of $(657) million, or $(.66) per diluted common share, related to the loss on the sale of securities(a), a $2 million after-tax charge related to the Scotiabank investment agreement valuation(a), and a $2 million after-tax benefit related to the updated FDIC special assessment(a).
Comments from Chairman and CEO, Chris Gorman
"Our strong fourth quarter and full-year results demonstrate the consistent and significant progress we are making on our path to achieving sustainable mid-to-high teens returns on tangible common equity. Fourth quarter revenue exceeded $2 billion, and full year revenue was a record, up 16% year-over-year(b). Full year results met or exceeded each of the financial targets we communicated at the beginning of the year. During the year, we generated approximately 1,200 basis points of adjusted operating leverage(b) and 280 basis points of adjusted fee-based operating leverage(b). Tangible book value per share grew 3% sequentially and 18% year-over-year.
In addition to driving greater return on capital, we remain committed to the return of capital. To this end, we resumed share repurchases at an accelerated pace, buying back $200 million of common shares in the fourth quarter while maintaining peer-leading capital ratios. Given our excess capital position and meaningful capital generation capabilities, we are well positioned to further increase our return of capital to our shareholders in 2026.
Looking forward, I am confident that we will deliver another year of strong organic revenue and earnings growth. Our strategic investments - particularly in front-line bankers and technology - continue to fuel organic growth and enhance our ability to deliver best-in-class capabilities and service to our clients. Business momentum remains strong. Assets under management reached a record $70 billion. Investment banking and debt placement fees recorded the second-best annual performance in our history, and pipelines remain elevated.
I am incredibly proud of our results, our continued momentum, and most importantly, the talented teammates behind our success. This morning, we announced changes to the composition of our Board which reflect strong leadership that will drive the next phase of value creation for Key. I remain confident that our focus, resilience, and dedication will continue to deliver value to the stakeholders we serve, our shareholders, our clients, and our communities."
(a) See table on page 25 for more information on Selected Items Impact on Earnings.
(b) The table entitled "GAAP to Non-GAAP Reconciliations" in the attached financial supplement presents the computations of certain financial measures related to "adjusted revenue", "pre-provision net revenue", "adjusted pre-provision net revenue", "adjusted noninterest income", "adjusted noninterest expense", "adjusted total operating leverage", "adjusted fee-based operating leverage", "adjusted net income", and "adjusted earnings per share". The table reconciles the GAAP performance measures to the corresponding non-GAAP measures, which provides a basis for period-to-period comparisons.
(c) December 31, 2025 ratio is estimated
Selected Financial Highlights
Dollars in millions, except per share data
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Income (loss) from continuing operations attributable to Key common shareholders
$ 474
$ 454
$ (279)
4.4 %
N/M
Income (loss) from continuing operations attributable to Key common shareholders per common share, assuming dilution
.43
.41
(.28)
4.9
N/M
Book value at period end
16.27
15.86
14.21
2.6
14.5 %
Return on average tangible common equity from continuing operations (a)
12.43 %
12.51 %
(9.69) %
(8) bps
N/M
Return on average total assets from continuing operations
1.08
1.04
(.52)
4
160 bps
Common Equity Tier 1 ratio (b)
11.7
11.8
11.9
(10)
(20)
Net interest margin (TE) from continuing operations
2.82
2.75
2.41
7
41
(a)
The table entitled "GAAP to Non-GAAP Reconciliations" in the attached financial supplement presents the computations of certain financial measures related to "tangible common equity." The table reconciles the GAAP performance measures to the corresponding non-GAAP measures, which provides a basis for period-to-period comparisons.
(b)
December 31, 2025 ratio is estimated.
TE = Taxable Equivalent, N/M = Not Meaningful
INCOME STATEMENT HIGHLIGHTS
Revenue
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Net interest income (TE)
$ 1,223
$ 1,193
$ 1,061
2.5 %
15.3 %
Noninterest income
782
702
(196)
11.4
N/M
Total revenue (TE)
$ 2,005
$ 1,895
$ 865
5.8 %
131.8 %
TE = Taxable Equivalent, N/M = Not Meaningful
Taxable-equivalent net interest income was $1.22 billion for the fourth quarter of 2025 and the net interest margin was 2.82%. Compared to the fourth quarter of 2024, net interest income increased by $162 million, and the net interest margin increased by 41 basis points. These increases primarily reflect lower deposit costs, the reinvestment of proceeds from maturing low-yielding investment securities, swaps and fixed-rate loans into higher-yielding investments, and the repositioning of the available-for-sale portfolio during the fourth quarter of 2024. Additionally, the balance sheet composition shifted to reflect a more favorable mix of higher-yielding commercial and industrial loans and an improved funding mix as lower-cost deposits increased while wholesale borrowings declined. These benefits were partially offset by the impact of lower interest rates on variable-rate earning assets.
Compared to the third quarter of 2025, taxable-equivalent net interest income increased by $30 million, and the net interest margin increased by 7 basis points. These increases were driven by lower deposit costs, an improved funding mix as lower-cost deposit balances increased while wholesale borrowings declined, and a shift in the balance sheet composition to a more favorable mix of higher-yielding commercial and industrial loans. These benefits were partially offset by the impact of lower interest rates on variable-rate earning assets.
Noninterest Income
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Trust and investment services income
$ 156
$ 150
$ 142
4.0 %
9.9 %
Investment banking and debt placement fees
243
184
221
32.1
10.0
Cards and payments income
84
86
85
(2.3)
(1.2)
Service charges on deposit accounts
78
75
65
4.0
20.0
Corporate services income
81
72
69
12.5
17.4
Commercial mortgage servicing fees
68
73
68
(6.8)
—
Corporate-owned life insurance income
40
35
36
14.3
11.1
Consumer mortgage income
16
14
16
14.3
—
Operating lease income and other leasing gains
9
11
15
(18.2)
(40.0)
Other income
7
8
(5)
(12.5)
N/M
Net securities gains (losses)
—
(6)
(908)
N/M
N/M
Total noninterest income
$ 782
$ 702
$ (196)
11.4 %
N/M
N/M = Not Meaningful
Compared to the fourth quarter of 2024, noninterest income increased by $978 million. The increase was primarily driven by the impact of a $915 million loss on the sale of securities as part of the strategic repositioning of the portfolio in the fourth quarter of 2024. Adjusted noninterest income(a) grew 8% primarily driven by a $22 million increase in investment banking and debt placement fees, a $12 million increase in corporate services income, and continued momentum in trust and investment services and commercial payments.
Compared to the third quarter of 2025, noninterest income increased by $80 million. The increase was driven by a $59 million increase in investment banking and debt placement fees reflective of higher merger and acquisition advisory fees as well as commercial debt placement fees, a $9 million increase in corporate services income, and a $6 million increase in trust and investment services income.
Noninterest Expense
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Personnel expense
$ 790
$ 742
$ 734
6.5 %
7.6 %
Net occupancy
69
65
67
6.2
3.0
Computer processing
106
105
107
1.0
(.9)
Business services and professional fees
61
44
55
38.6
10.9
Equipment
22
20
20
10.0
10.0
Operating lease expense
8
9
15
(11.1)
(46.7)
Marketing
28
22
33
27.3
(15.2)
Other expense
157
170
198
(7.6)
(20.7)
Total noninterest expense
$ 1,241
$ 1,177
$ 1,229
5.4 %
1.0 %
Compared to the fourth quarter of 2024, noninterest expense increased by $12 million. The increase was predominantly driven by a $56 million increase in personnel expense primarily related to incentive compensation associated with noninterest income growth, continued investments in people, and employee benefits. These were partially offset by a decrease in other expense related to a $21 million benefit associated with the updated FDIC special assessment.
Compared to the third quarter of 2025, noninterest expense increased by $64 million. The increase was predominantly driven by a $48 million increase in personnel expense, primarily related to incentive compensation associated with noninterest income growth, seasonally higher employee benefits, and continued investments in people. Business services and professional fees increased by $17 million due to technology-related investments and seasonality. These were partially offset by a decrease in other expense related to a $21 million benefit associated with the updated FDIC special assessment.
(a) The table entitled "GAAP to Non-GAAP Reconciliations" in the attached financial supplement presents the computations related to "adjusted noninterest income". The table reconciles the GAAP performance measures to the corresponding non-GAAP measures, which provides a basis for period-to-period comparisons.
BALANCE SHEET HIGHLIGHTS
Average Loans
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Commercial and industrial (a)
$ 57,541
$ 56,571
$ 52,887
1.7 %
8.8 %
Other commercial loans
18,497
18,826
19,202
(1.7)
(3.7)
Total consumer loans
30,278
30,830
32,622
(1.8)
(7.2)
Total loans
$ 106,316
$ 106,227
$ 104,711
0.1 %
1.5 %
(a)
Commercial and industrial average loan balances include $211 million, $214 million, and $216 million of assets from commercial credit cards at December 31, 2025, September 30, 2025, and December 31, 2024, respectively.
Average loans were $106.3 billion for the fourth quarter of 2025, an increase of $1.6 billion compared to the fourth quarter of 2024. Average commercial loans increased by $3.9 billion, primarily driven by a $4.7 billion increase in commercial and industrial loans, partially offset by modest reduction in commercial real estate loans. Average consumer loans declined by $2.3 billion, reflective of the intentional run-off of low-yielding loans, primarily consumer mortgages.
Compared to the third quarter of 2025, average loans increased by $89 million. Average commercial loans increased $641 million, primarily driven by an increase in commercial and industrial loans. Average consumer loans declined by $552 million, reflective of the intentional run-off of low-yielding loans.
Average Deposits
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Non-time deposits
$ 136,853
$ 135,135
$ 132,092
1.3 %
3.6 %
Time deposits
13,857
15,239
17,641
(9.1)
(21.5)
Total deposits
$ 150,710
$ 150,374
$ 149,733
.2 %
.7 %
Cost of total deposits
1.81 %
1.97 %
2.18 %
(16) bps
(37) bps
Average deposits totaled $150.7 billion for the fourth quarter of 2025, an increase of $977 million compared to the year-ago quarter, reflecting growth in commercial deposits.
Compared to the third quarter of 2025, average deposits increased by $336 million, driven by higher commercial client balances which offset a $1.3 billion decline in brokered CDs. The rate paid on interest-bearing deposits declined by 20 basis points, and the overall cost of deposits declined by 16 basis points to 1.81%.
ASSET QUALITY
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Net loan charge-offs
$ 104
$ 114
$ 114
(8.8) %
(8.8) %
Net loan charge-offs to average total loans
.39 %
.42 %
.43 %
(3) bps
(4) bps
Nonperforming loans at period end
$ 615
$ 658
$ 758
(6.5) %
(18.9) %
Nonperforming assets at period end
627
668
772
(6.1)
(18.8)
Allowance for loan and lease losses
1,427
1,444
1,409
(1.2)
1.3
Allowance for credit losses
1,740
1,736
1,699
0.2
2.4
Provision for credit losses
108
107
39
0.9
N/M
Allowance for loan and lease losses to nonperforming loans
232 %
219 %
186 %
N/M
N/M
Allowance for credit losses to nonperforming loans
283
264
224
N/M
N/M
N/M = Not Meaningful
Net loan charge-offs for the fourth quarter of 2025 totaled $104 million, or 0.39% of average total loans. These results compare to $114 million, or 0.43%, for the fourth quarter of 2024 and $114 million, or 0.42%, for the third quarter of 2025.
Key's allowance for credit losses was $1.7 billion, or 1.63% of total period-end loans at December 31, 2025, compared to 1.63% at December 31, 2024, and 1.64% at September 30, 2025. A relatively stable reserve build of $4 million during the fourth quarter of 2025 was the result of the net impact of improving credit quality trends and resilient economic forecasts offset by growth in unfunded commitments.
At December 31, 2025, Key's nonperforming loans totaled $615 million, which represented 0.58% of period-end portfolio loans. These results compare to 0.73% at December 31, 2024, and 0.62% at September 30, 2025. Nonperforming assets at December 31, 2025, totaled $627 million, and represented 0.59% of period-end portfolio loans and OREO and other nonperforming assets. These results compare to 0.74% at December 31, 2024, and 0.63% at September 30, 2025.
CAPITAL
Key's estimated risk-based capital ratios, included in the following table, continued to exceed all "well-capitalized" regulatory benchmarks at December 31, 2025.
Capital Ratios
12/31/2025
9/30/2025
12/31/2024
Common Equity Tier 1 (a)
11.7 %
11.8 %
11.9 %
Tier 1 risk-based capital (a)
13.4
13.5
13.7
Total risk-based capital (a)
15.6
15.8
16.2
Tangible common equity to tangible assets (b)
8.4
8.1
7.0
Leverage (a)
10.5
10.4
10.0
(a)
December 31, 2025 ratio is estimated. As of January 1, 2025, the CECL optional transition provision had been fully phased-in. Amounts prior to January 1, 2025, reflect Key's election to adopt the CECL optional transition provision.
(b)
The table entitled "GAAP to Non-GAAP Reconciliations" in the attached financial supplement presents the computations of certain financial measures related to "tangible common equity." The table reconciles the GAAP performance measures to the corresponding non-GAAP measures, which provides a basis for period-to-period comparisons.
Key's regulatory capital position remained strong in the fourth quarter of 2025. As shown in the preceding table, at December 31, 2025, Key's estimated Common Equity Tier 1 and Tier 1 risk-based capital ratios stood at 11.7% and 13.4%, respectively.
Summary of Changes in Common Shares Outstanding
In thousands
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Shares outstanding at beginning of period
1,112,952
1,112,453
991,251
—
12.3 %
Share repurchases
(11,109)
—
—
N/M
N/M
Shares issued under employee compensation plans (net of cancellations andreturns)
558
499
493
11.8 %
13.2
Shares issued under Scotiabank investment agreement
—
—
115,042
—
N/M
Shares outstanding at end of period
1,102,401
1,112,952
1,106,786
(.9) %
(.4) %
N/M = Not Meaningful
During the fourth quarter of 2025, Key declared a dividend of $.205 per common share. The reduction in share count was driven by $200 million of common shares repurchased.
LINE OF BUSINESS RESULTS
The following table shows the contribution made by each major business segment to Key's taxable-equivalent revenue from continuing operations and income (loss) from continuing operations attributable to Key for the periods presented. For more detailed financial information pertaining to each business segment, see the tables at the end of this release.
Major Business Segments
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Revenue from continuing operations (TE)
Consumer Bank
$ 948
$ 935
$ 865
1.4 %
9.6 %
Commercial Bank
1,109
1,014
1,001
9.4
10.8
Other (a)
(52)
(54)
(1,001)
3.7
94.8
Total
$ 2,005
$ 1,895
$ 865
5.8 %
131.8 %
Income (loss) from continuing operations attributable to Key
Consumer Bank
$ 137
$ 152
$ 83
(9.9) %
65.1 %
Commercial Bank
410
367
381
11.7
7.6
Other (a)
(38)
(29)
(708)
(31.0)
94.6
Total
$ 509
$ 490
$ (244)
3.9 %
308.6 %
(a)
Other includes other segments that consists of corporate treasury, 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. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Corporate treasury includes realized gains and losses from transactions associated with Key's investment securities portfolio. Reconciling items also includes intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations.
TE = Taxable Equivalent
Consumer Bank
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Summary of operations
Net interest income (TE)
$ 696
$ 691
$ 632
.7 %
10.1 %
Noninterest income
252
244
233
3.3
8.2
Total revenue (TE)
948
935
865
1.4
9.6
Provision for credit losses
32
40
43
(20.0)
(25.6)
Noninterest expense
735
695
713
5.8
3.1
Income (loss) before income taxes (TE)
181
200
109
(9.5)
66.1
Allocated income taxes (benefit) and TE adjustments
44
48
26
(8.3)
69.2
Net income (loss) attributable to Key
$ 137
$ 152
$ 83
(9.9) %
65.1 %
Average balances
Loans and leases
$ 34,683
$ 35,363
$ 37,567
(1.9) %
(7.7) %
Total assets
37,731
38,374
40,563
(1.7)
(7.0)
Deposits
87,738
87,692
87,476
.1
.3
Assets under management at period end
$ 69,964
$ 67,855
$ 61,361
3.1 %
14.0 %
TE = Taxable Equivalent
Additional Consumer Bank Data
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Noninterest income
Trust and investment services income
$ 128
$ 124
$ 115
3.2 %
11.3 %
Service charges on deposit accounts
38
36
32
5.6
18.8
Cards and payments income
60
61
61
(1.6)
(1.6)
Consumer mortgage income
16
14
17
14.3
(5.9)
Other noninterest income
10
9
8
11.1
25.0
Total noninterest income
$ 252
$ 244
$ 233
3.3 %
8.2 %
Average deposit balances
Money market deposits
$ 35,390
$ 35,278
$ 31,968
.3 %
10.7 %
Demand deposits
22,879
22,604
22,442
1.2
1.9
Savings deposits
4,177
4,291
4,391
(2.7)
(4.9)
Time deposits
11,061
11,113
13,979
(.5)
(20.9)
Noninterest-bearing deposits
14,231
14,406
14,696
(1.2)
(3.2)
Total deposits
$ 87,738
$ 87,692
$ 87,476
.1 %
.3 %
Other data
Branches
940
942
943
Automated teller machines
1,120
1,152
1,182
Consumer Bank Summary of Operations (4Q25 vs. 4Q24)
Key's Consumer Bank recorded net income attributable to Key of $137 million for the fourth quarter of 2025, compared to $83 million for the year-ago quarter
Taxable-equivalent net interest income increased by $64 million, or 10.1%, compared to the fourth quarter of 2024
Average loans and leases decreased $2.9 billion, or 7.7%, from the fourth quarter of 2024, driven by intentional run-off of low-yielding loans
Average deposits increased $262 million, or 0.3%, from the fourth quarter of 2024. The increase was driven by growth in money market deposits, offset by a decrease in time deposits
Provision for credit losses decreased $11 million compared to the fourth quarter of 2024 driven by lower charge-offs and the impacts from ongoing loan run-off
Noninterest income increased $19 million from the year-ago quarter, primarily driven by higher trust and investment services income
Noninterest expense increased $22 million from the year-ago quarter, primarily driven by higher support and overhead expense
Commercial Bank
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Summary of operations
Net interest income (TE)
$ 616
$ 587
$ 537
4.9 %
14.7 %
Noninterest income
493
427
464
15.5
6.3
Total revenue (TE)
1,109
1,014
1001
9.4
10.8
Provision for credit losses
73
68
(3)
7.4
N/M
Noninterest expense
512
482
515
6.2
(.6)
Income (loss) before income taxes (TE)
524
464
489
12.9
7.2
Allocated income taxes and TE adjustments
114
97
108
17.5
5.6
Net income (loss) attributable to Key
$ 410
$ 367
$ 381
11.7 %
7.6 %
Average balances
Loans and leases
$ 71,104
$ 70,326
$ 66,691
1.1 %
6.6 %
Loans held for sale
1,140
1,224
1,247
(6.9)
(8.6)
Total assets
80,357
79,733
76,433
0.8
5.1
Deposits
60,436
58,483
59,687
3.3
1.3
TE = Taxable Equivalent, N/M = Not Meaningful
Additional Commercial Bank Data
Dollars in millions
Change 4Q25 vs.
4Q25
3Q25
4Q24
3Q25
4Q24
Noninterest income
Trust and investment services income
$ 28
$ 26
$ 27
7.7 %
3.7 %
Investment banking and debt placement fees
244
183
220
33.3
10.9
Cards and payments income
22
21
20
4.8
10.0
Service charges on deposit accounts
39
37
32
5.4
21.9
Corporate services income
75
69
67
8.7
11.9
Commercial mortgage servicing fees
67
73
67
(8.2)
—
Operating lease income and other leasing gains
9
10
15
(10.0)
(40.0)
Other noninterest income
9
8
16
12.5
(43.8)
Total noninterest income
$ 493
$ 427
$ 464
15.5 %
6.3 %
Commercial Bank Summary of Operations (4Q25 vs. 4Q24)
Key's Commercial Bank recorded net income attributable to Key of $410 million for the fourth quarter of 2025, compared to $381 million for the year-ago quarter
Taxable-equivalent net interest income increased by $79 million, or 14.7%, compared to the fourth quarter of 2024
Average loan and lease balances increased $4.4 billion, or 6.6%, compared to the fourth quarter of 2024, driven by an increase in commercial and industrial loans
Average deposit balances increased $749 million compared to the fourth quarter of 2024, driven by higher client deposits
Provision for credit losses increased $76 million compared to the fourth quarter of 2024, driven by higher loan balances and commitments
Noninterest income increased $29 million compared to the fourth quarter of 2024, primarily driven by an increase in investment banking and debt placement fees and corporate services income
Noninterest expense decreased $3 million compared to the fourth quarter of 2024, primarily driven by a decrease in other direct noninterest expense
*******************************************
KeyCorp's roots trace back more than 200 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $184 billion at December 31, 2025.
Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 950 branches and approximately 1,200 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank Member FDIC.
This earnings release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements do not relate strictly to historical or current facts. Forward-looking statements usually can be identified by the use of words such as "goal," "objective," "plan," "expect," "assume," "anticipate," "intend," "project," "believe," "estimate," or other words of similar meaning. Forward-looking statements provide our current expectations or forecasts of future events, circumstances, results, or aspirations. Forward-looking statements, by their nature, are subject to assumptions, risks and uncertainties, many of which are outside of our control. Our actual results may differ materially from those set forth in our forward-looking statements. There is no assurance that any list of risks and uncertainties or risk factors is complete. Factors that could cause Key's actual results to differ from those described in the forward-looking statements can be found in KeyCorp's Form 10-K for the year ended December 31, 2024 and in KeyCorp's subsequent SEC filings, all of which have been or will be filed with the Securities and Exchange Commission (the "SEC") and are or will be available on Key's website (www.key.com/ir) and on the SEC's website (www.sec.gov). These factors may include, among others, adverse changes in credit quality trends, declining asset prices, a worsening of the U.S. economy due to financial, political, or other shocks, the extensive regulation of the U.S. financial services industry, the soundness of other financial institutions, and the impact of changes in the interest rate environment. Any forward-looking statements made by us or on our behalf speak only as of the date they are made and we do not undertake any obligation to update any forward-looking statement to reflect the impact of subsequent events or circumstances.
A live Internet broadcast of KeyCorp's conference call to discuss quarterly results and currently anticipated earnings trends and to answer analysts' questions can be accessed through the Investor Relations section at https://www.key.com/ir at 8:00 a.m. ET, on January 20, 2026. A replay of the call will be available on our website through January 20, 2027.
*****
KeyCorpFourth Quarter 2025 Financial Supplement
Page
12
Basis of Presentation
13
Financial Highlights
15
GAAP to Non-GAAP Reconciliation
18
Consolidated Balance Sheets
19
Consolidated Statements of Income
20
Consolidated Average Balance Sheets, and Net Interest Income and Yields/Rates From Continuing Operations
22
Noninterest Expense
22
Personnel Expense
22
Loan Composition
22
Loans Held for Sale Composition
23
Summary of Changes in Loans Held for Sale
23
Summary of Loan and Lease Loss Experience From Continuing Operations
25
Asset Quality Statistics From Continuing Operations
25
Summary of Nonperforming Assets and Past Due Loans From Continuing Operations
25
Summary of Changes in Nonperforming Loans From Continuing Operations
26
Line of Business Results
26
Selected Items Impact on Earnings
Basis of Presentation
Use of Non-GAAP Financial MeasuresThis document contains GAAP financial measures and non-GAAP financial measures where management believes it to be helpful in understanding Key's results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in this document, the financial supplement, or conference call slides related to this document, all of which can be found on Key's website (www.key.com/ir).
Forward-Looking Non-GAAP Financial Measures From time to time Key may discuss forward-looking non-GAAP financial measures. Key is unable to provide a reconciliation of forward-looking non-GAAP financial measures to their most directly comparable GAAP financial measures because Key is unable to provide, without unreasonable effort, a meaningful or accurate calculation or estimation of amounts that would be necessary for the reconciliation due to the complexity and inherent difficulty in forecasting and quantifying future amounts or when they may occur. Such unavailable information could be significant for future results.
Annualized DataCertain returns, yields, performance ratios, or quarterly growth rates are presented on an "annualized" basis. This is done for analytical and decision-making purposes to better discern underlying performance trends when compared to full-year or year-over-year amounts.
Taxable EquivalentThe interest income earned on certain earning assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments. Income from tax-exempt earning assets is increased by an amount equivalent to the taxes that would have been paid if this income had been taxable at the federal statutory rate. This adjustment puts all earning assets, most notably tax-exempt loans, and certain lease assets, on a common basis that facilitates comparison of results to peers.
Earnings Per Share Equivalent Certain income or expense items may be expressed on a per common share basis. This is done for analytical and decision-making purposes to better discern underlying trends in total consolidated earnings per share performance excluding the impact of such items. When the impact of certain income or expense items is disclosed separately, the after-tax amount is computed using the marginal tax rate, unless otherwise specified, with this then being the amount used to calculate the earnings per share equivalent.
Financial Highlights
(Dollars in millions, except per share amounts)
Three months ended
12/31/2025
9/30/2025
12/31/2024
Summary of operations
Net interest income (TE)
$ 1,223
$ 1,193
$ 1,061
Noninterest income
782
702
(196)
Total revenue (TE)
2,005
1,895
865
Provision for credit losses
108
107
39
Noninterest expense
1,241
1,177
1,229
Income (loss) from continuing operations attributable to Key
509
490
(244)
Income (loss) from discontinued operations, net of taxes
1
(1)
—
Net income (loss) attributable to Key
510
489
(244)
Income (loss) from continuing operations attributable to Key common shareholders
474
454
(279)
Income (loss) from discontinued operations, net of taxes
1
(1)
—
Net income (loss) attributable to Key common shareholders
475
453
(279)
Per common share
Income (loss) from continuing operations attributable to Key common shareholders
$ .43
$ .41
$ (.28)
Income (loss) from discontinued operations, net of taxes
—
—
—
Net income (loss) attributable to Key common shareholders (a)
.43
.41
(.28)
Income (loss) from continuing operations attributable to Key common shareholders, assuming dilution
.43
.41
(.28)
Income (loss) from discontinued operations, net of taxes, assuming dilution
—
—
—
Net income (loss) attributable to Key common shareholders, assuming dilution (a)
.43
.41
(.28)
