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Mar 31, 2020

PNC Q1 2020 Earnings Report

PNC's performance was impacted by a significant increase in the provision for credit losses due to the adoption of CECL and the economic impact of COVID-19, while revenue remained relatively stable.

Key Takeaways

PNC Financial Services Group reported a decrease in net income attributable to common shareholders for Q1 2020 compared to Q1 2019, driven by a substantial increase in the provision for credit losses, largely due to the adoption of the CECL standard and the economic impact of COVID-19. Despite the challenges, total revenue remained relatively stable.

Net income attributable to common shareholders decreased to $844 million, compared to $1,311 million in the same period last year.

Earnings per diluted common share decreased to $1.95, compared to $2.97 in the same period last year.

Total revenue remained relatively stable at $4.517 billion, compared to $4.609 billion in the same period last year.

Provision for credit losses increased significantly to $914 million, compared to $221 million in the same period last year.

Total Revenue
$4.52B
Previous year: $4.29B
+5.4%
EPS
$1.95
Previous year: $2.61
-25.3%
Gross Profit
$4.33B
Previous year: $4.29B
+1.0%
Cash and Equivalents
$7.49B
Previous year: $5.06B
+48.0%
Total Assets
$445B
Previous year: $393B
+13.4%

PNC

PNC

PNC Revenue by Segment

Forward Guidance

PNC did not include forward guidance in the report.

Revenue & Expenses

Visualization of income flow from segment revenue to net income