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Dec 31, 2022

Truist Q4 2022 Earnings Report

Truist reported strong Q4 2022 earnings driven by loan growth and expanded NIM.

Key Takeaways

Truist Financial Corporation reported strong fourth-quarter results with a 5.6% increase in net income available to common shareholders, reaching $1.6 billion. Earnings per diluted common share increased by 6.2% to $1.20. The results reflect strong PPNR performance due to robust loan growth and expanded NIM. Capital, liquidity, and credit quality remained strong.

Earnings per diluted common share were $1.20; adjusted diluted earnings per share were $1.30.

Pre-provision net revenue (PPNR) was $2.5 billion, up 12% compared to the previous quarter.

Taxable-equivalent revenue was $6.3 billion, up 12% compared to the fourth quarter of 2021.

Net interest margin was 3.25%, up 49 basis points from the fourth quarter of 2021.

Total Revenue
$6.21B
Previous year: $5.57B
+11.5%
EPS
$1.3
Previous year: $1.38
-5.8%
Net Charge-Offs
$0.34
Cash and Equivalents
$555B
Previous year: $20.3B
+2634.7%
Free Cash Flow
$2.97B
Previous year: $4.68B
-36.5%
Total Assets
$555B
Previous year: $541B
+2.6%

Truist

Truist

Forward Guidance

Truist did not provide specific forward guidance in the Q4 2022 earnings report. However, the company's CEO expressed optimism about realizing Truist's potential in 2023 by leveraging increased capacity, expanded capabilities, and talented teammates.

Positive Outlook

  • Strong loan growth.
  • Significant margin expansion.
  • Good cost discipline.
  • Strong credit quality.
  • Positive operating leverage for the full year 2022.

Challenges Ahead

  • Moderately slower economic outlook.
  • Lower investment banking and mortgage banking income.
  • Increased personnel expenses.
  • Higher professional fees.
  • Increased call center staffing.