Regions Financial Corporation · NYSE:RF
Regions Financial — Investor Presentation (February 2025)
78 slides from Regions Financial's investor presentation, Feb 27, 2025
Slide 1: Investor Information February - March
Investor Information February - March Exhibit 99.1
Slide 2: Table of Contents
2 Table of Contents Topic Page # Profile and Strategy 3-12 Business Segment Highlights 13-16 Awards & Technology 17-19 Asset / Liability Management 20-30 Fees & Expenses 31-38 Loans & Deposits 39-50 Capital, Debt & Liquidity 51-53 Credit 54-60 Near-Term Expectations 61 Appendix & Forward Looking Sta
Slide 3: Longstanding Strategic Priorities
3 Longstanding Strategic Priorities Committed to: • Diversified Revenue Streams • Appropriate Risk Adjusted Returns • Disciplined Expense Management Profitability Strategically Investing in: • Top quartile organic loan & deposit growth over the last 5 yrs vs. Peers(1) • Non-bank M&A, expanding produ
Slide 4: Faster Earnings Growth and Top Returns
4 Faster Earnings Growth and Top Returns Supports a higher P/E multiple 9.0% 9.7% 11.0% 17.6% 14.9% 9.2% 21.4% 24.1% 21.9% 17.8% 12.0% 11.0% 12.0% 17.0% 14.7% 8.5% 16.5% 19.3% 16.4% 14.3% RF Peer Median 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 (1) Non-GAAP; see Appendix for RF reconciliatio
Slide 5: Transformational Journey
5 2024 CCAR Capital Degradation(1) Transformational Journey Decade plus of prioritizing soundness, profitability and growth positions company well for 2025 and beyond Continuous Improvement Proactive Interest Rate Hedging Exited Non-Core Businesses Strategic M&A Top Quartile Profitability $24 $9 200
Slide 6: Attractive Footprint and Strong Brand Presence
6 Attractive Footprint and Strong Brand Presence Home field advantage in the southeast…Building trust & serving clients for over 170 years Regions HQ Retail Branch Footprint Specialized Lending Nationwide Winning in Core Markets Strong Profitability/Returns Supported by: ☑ Low Cost Core Deposits ☑ S
Slide 7: Deposit Advantage Key to Franchise Value
7 Deposit Advantage Key to Franchise Value FY24 Total Deposit Cost (%) Av g. T ot al D ep os it Gr ow th 1.50 2.00 2.50 3.00 —% 10% 20% 30% 40% RF Peer Median 5 Year Deposit Growth vs Current Deposit Costs(1) Above industry median growth w/ meaningfully lower cost (worth ~60bps of NIM) 1. 56 % 1. 93
Slide 8: Building on Our Success: Priority Markets
8 ‘25-‘30 Population CAGR 0.48% 0.71% 1.19% US Regions Footprint Priority Markets Priority Market Growth Opportunities(1) 1.3% 1.1% 1.0% 0.7% 1.4% 1.8% 1.2% 1.4% Nashville Tampa Atlanta Miami/SFL Orlando Huntsville Houston Dallas/FW Building on Our Success Strategic investments in high-growth market
Slide 9: Investing in People, Enabled with Technology
9 ☐ Core Modernization ☐ Loan System ☐ Deposit System ☐ General Ledger ☐ Enhanced Mobile & Digital Experiences ☐ Small Business Digital Origination Platform Investing in People, Enabled with Technology in Markets with Highest Opportunity Investing in Banker Expansion Over the next 3 years, will inve
Slide 10: 2024 Overview
10 2024 Overview Continue to deliver consistent, sustainable long-term performance (1) Non-GAAP, see appendix for reconciliation. (2) Peers include CFG, CMA, FHN, FITB, HBAN, HWC, KEY, MTB, PNC, SNV, TFC, USB, ZION. Key Performance Metrics 4Q24 FY24 Reported Adjusted(1) Reported Adjusted(1) Net Inco
Slide 11: Regions' Consistent Outperformance
11 Regions' Consistent Outperformance Adjusted PPI(1) Less Net Charge-offs to RWA(2) Regions' earnings, including credit costs, have been top quartile vs peers since 2019 1.96% 1.99% 2.30% 2.47% 2.31% 2.09% 1.95% 1.78% 1.88% 1.96% 1.73% 1.64% RF Peer Median 2019 2020 2021 2022 2023 2024 (1) Non-GAAP
Slide 12: Total Shareholder Return
12 Total Shareholder Return 3 Year Total Shareholder Return 37% 24% 23% 22% 19% 14% 7% 5% —% (9)%(11)%(13)% (19)%(20)% Pe er 1 Pe er 2 Pe er 3 Pe er 4 Pe er 5 RF Pe er 6 Pe er 7 Pe er 8 Pe er 9 Pe er 1 0 Pe er 1 1 Pe er 1 2 Pe er 1 3 5 Year Total Shareholder Return 94% 84% 82% 72% 65% 59% 55% 55% 45
Slide 13: Diversified Lines of Businesses
13 Diversified Lines of Businesses • Retail Banking Services • Mortgage & Home Equity • Home Improvement Financing • Commercial • Corporate & Institutional ◦ Corporate ◦ Real Estate ◦ Capital Markets • Treasury Management • Specialty Lending Businesses ◦ ABL ◦ Ascentium Capital ◦ Equipment Finance •
Slide 14: Consumer Banking Group
14 Consumer Banking Group Driving growth and customer engagement through strategic investments (1) J.D. Power 2024 U.S. Banking Online Satisfaction Study; among banks with $70B to $200B in deposits, which measures customer satisfaction with financial institutions’ website experience for banking acco
Slide 15: Corporate Banking Group
15 Corporate Banking Group Driving continued long-term performance for our clients & our shareholders (1) Reflects Corporate Banking Group Segment results only; excludes Branch Small Business losses. (2) Total loans is representative of total bank, as of 12/31/24. (3) YoY Client Growth, December '23
Slide 16: Wealth Management Group
16 Strong quarterly NIR in 4Q24 with growth of $9.6M, or 8%, YoY driven by strong production and improved market conditions Assets Under Administration increased 7% YoY driven by IM&T Sales and improved equity market conditions Grew Total Investment Services Assets +$2.6B or 14%, YoY 4Q24 Average Lo
Slide 17: Regions Receives Top Honors
17 Regions Receives Top Honors Regions Bank was recognized as a 2025 Silver Status Military Friendly and Military Spouse Friendly Employer In 2024, Regions Bank was named a Gallup Exceptional Workplace Award Winner with Distinction for the 10th consecutive year. For the fourth consecutive year, Regi
Slide 18: Empowered by Data & Innovation
18 Empowered by Data & Innovation Regions remains competitive by reserving ~9–11% of revenue for technology spend Next Gen Platforms Next Generation of Customer Experience and Core Banking and Data Platforms Modernization efforts began in 2021 with runway through 2027 to complete the overall program
Slide 19: Growth in Digital
19 2.40 2.56 2.62 4Q22 4Q23 4Q24 3.44 4.28 5.13 4Q22 4Q23 4Q24 161 181 188 4Q22 4Q23 4Q24 22.3% 23.9% 24.5% 32.9% 31.4% 31.4% 44.7% 44.7% 44.1% 4Q22 4Q23 4Q24 2.9 6.0 3.5 4Q22 4Q23 4Q24 71% 74% 76% 29% 26% 24% 4Q22 4Q23 4Q24 Growth in Digital Mobile Banking Log-Ins (Millions) Customer Transactions(2
Slide 20: Net Interest Income and Margin Highlights
20 • NII +1% QoQ; NIM increased +1bps to 3.55% ◦ Cash increase partially from higher seasonal deposits reduced NIM by -3bps linked quarter • Benefits from hedging and lower deposit costs offset contractual floating rate exposure (i.e., loans, cash, borrowings) • Elevated long-term interest rates inc
Slide 21: Balance Sheet Profile and Interest Rate Sensitivity
21 • Balance sheet position naturally benefits from higher interest rates (i.e. asset sensitive), supported by ◦ Large floating rate loan mix ◦ Large, stable deposit base as evidenced over multiple rate cycles • Fixed-rate securities and receive-fixed hedges insulate the natural interest rate sensit
Slide 22: Balance Sheet Positioning Advantage
22 Balance Sheet Positioning Advantage Strong deposit franchise and funding position provide an opportunity for flexibility and margin outperformance in an evolving rate environment **All balances are ending as of 12/31/24; Source: SEC reporting. Loan-to-Deposit Ratio 95% 84% 83% 80% 80% 79% 79% 78%
Slide 23: Positioning for Changing Rate Environment
23 • Front-book/back-book tailwind - $12B to $14B of annual fixed-rate loan production and securities reinvestment at 1.50% to 1.75% higher yields than those maturing is a primary driver of NII growth • Benefit from higher rates/steepening curve - remain modestly asset sensitive to middle/ long-term
Slide 24: 2025 NII Expected Range and Assumptions
24 2025 NII(1) Expected Range and Assumptions NII expected to grow in 2025 from asset turnover at elevated rates, more normal banking environment (1) NII represents non-FTE Net Interest Income. ** No additional strategic/in-organic balance sheet changes included in 2025 expectations (e.g. securities
Slide 25: Deposit Pricing and Betas vs. Peers
25 2.50% 5.43% 4.81% 0.82% 1.03% 2.96% 2.68% Fed Funds RF IB Deposit Cost Peer Median 4Q16 2Q17 4Q17 2Q18 4Q18 2Q19 4Q19 2Q20 4Q20 2Q21 4Q21 2Q22 4Q22 2Q23 4Q23 2Q24 4Q24 . —% 1.00% 2.00% 3.00% 4.00% 5.00% 6.00% 59% 35% 55% 55% 29% 43% Peer Median RF '04-'07 Cycle '15-'19 Cycle '21-'24 Cycle 0% 25%
Slide 26: Interest-Bearing Deposit Mix
26 % of 4 Q 24 E nd in g In te re st -B ea ri ng D ep os it s Interest-bearing Deposits: $88B (labels represent % of IB Deposits) Interest-Bearing Deposit Mix Composition of deposit book affords ability to maintain cost advantage if rates continue to decline; When combined with hedges, creates a wel
Slide 27: Asset Hedge Notional
27 Asset Hedge Notional (1) Floating rate leg of swaps vs overnight SOFR. (2) Net Asset Swap Position equals Receive-Fixed Cash Flow Swaps - Loans minus Pay-Fixed Fair Value Swaps - AFS Securities. (3) Collars use short interest rate caps to pay for long interest rate floors; weighted avg. floor of
Slide 28: Securities Portfolio
28 • Portfolio constructed to protect against changes in market rates ◦ Duration of ~4.5 years (AFS ~4.2 years) as of 12/31/2024; provides offset to long-duration deposit book ◦ ~22% of securities in the portfolio are bullet-like (CMBS, corporate bonds, agency bullets, and USTs) ◦ MBS mix concentrat
Slide 29: Securities Portfolio - Repositioning
29(1) NII estimate and payback assumptions use Market Forwards as of trade completion dates. (2) Point in time impact; portfolio duration is naturally shortening and repositioning provides offset. Securities Portfolio - Repositioning Provides efficient use of capital/downside rate protection Rationa
Slide 30: Securities Portfolio - AOCI Management
30 (1) Fair value hedging includes pay fixed swaps and other strategies currently in development, with the balance sheet duration likely offset through the addition of offsetting cash flow hedges against floating rate loans.(2) Includes AOCI from AFS,HTM, and Pension Assets as of 12/31/24 (3) Inform
Slide 31: Non-Interest Income QoQ Highlights & Outlook
31 QoQ Highlights & Outlook • NIR increased ~2% on a reported basis and included $30M pre-tax loss on securities repositioning in 4Q vs $75M in 3Q; NIR decreased ~5% on an adjusted(1) basis • Service charges, Wealth Management, Card and ATM fees, and Mortgage income were all modestly lower in 4Q, pa
Slide 32: Track Record of Expanding Fee-Based Services
32 Track Record of Expanding Fee-Based Services Proven Non-Interest Income ResiliencyAdjusted Non-Interest Income(1) Diversified revenue growth through expanded fee-based services (1) Non-GAAP; see appendix for reconciliation. Amounts disclosed in years 2024-2016 represent the initial amounts report
Slide 33: Capital Markets
33 Capital Markets Growing products & services that our clients value Our associates delivered results • 2024 Capital Markets revenue ex. CVA/DVA of $354M up 30% vs 2023, driven by increased Investment Grade bond activity, M&A, Syndications and strong Real Estate multifamily originations • CVA/DVA i
Slide 34: Treasury Management
34 +11% Treasury Management Revenue(1) +2% Portfolio of Treasury Management Clients(2) +8% Digital, Payment & Integrated Services Revenue(3) +28% Global Trade Services Dollar Volume(4) Continually Investing in Technology First in the marketplace to launch Visa Commercial Pay- Mobile to provide impro
Slide 35: Growing our Wealth Management Business
35 Growing our Wealth Management Business(2) +7% Total Client Assets(3) +8% Total WM Relationships(4) +10% WM NIR(1) Wealth Management NIR(1) ($ in millions) The Value We Bring To Our Clients The Client Experience Every client is unique and deserves a tailor-made path to confidently reach their evol
Slide 36: Mortgage
36 Mortgage Remains a key component of fee revenue (1) Mortgage Bankers Association – January 2025 Forecast. (2) Includes residential owned portfolio and serviced for others. (3) MBA/Stratmor PGR 1H24. Mortgage Income ($ in millions) Strong Performance Industry-Leading Low-Cost Servicer Delivery Eff
Slide 37: Non-Interest Expense QoQ Highlights & Outlook
37 QoQ Highlights & Outlook • NIE decreased ~3% on a reported basis and ~4% on an adjusted basis,(1) with declines in S&B and Visa Class B shares where 3Q litigation escrow funding did not repeat • Salaries & benefits decreased ~4% due primarily to the reversal of HR related asset valuations offset
Slide 38: Efficiency Ratio vs. Peers
38 Efficiency Ratio vs. Peers 4Q24 Efficiency Ratio vs. Peers FY24 Efficiency Ratio vs. Peers 52.7% 54.7% 55.3% 55.4% 56.1% 57.7% 58.8% 59.5% 60.1% 60.9% 61.9% 65.4% 69.0% 69.8% Peer 1 Peer 2 Peer 3 RF Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 10 Peer 11 Peer 12 Peer 13 54.1% 55.5% 56.1% 57.0%
Slide 39: Loans QoQ Highlights & Outlook
39 $98.4 $96.8 $96.7 $64.9 $63.6 $63.5 $33.5 $33.2 $33.2 4Q23 3Q24 4Q24 $98.3 $97.0 $96.4 $64.9 $63.8 $63.2 $33.4 $33.2 $33.2 4Q23 3Q24 4Q24 Average Loans & Leases ($ in billions) Business LoansConsumer Loans Ending Loans & Leases ($ in billions) Loans QoQ Highlights & Outlook • Avg and ending loans
Slide 40: Average Loan Composition
40 $49.3 $4.9 $0.3 $6.5 $2.2 Commercial and Industrial CRE Mortgage - OO CRE Construction - OO IRE - Mortgage IRE - Construction 4Q24 Average Loan Composition $20.2$5.5 $6.1 $1.4 Mortgage Home Equity Other Consumer Consumer Credit Card Average Consumer Loans $33.2B Average Business Loans $63.2B ($ i
Slide 41: Consumer Lending Portfolio
41 Consumer Lending Portfolio • Avg. origination FICO 757 • Current LTV 52% • 99% owner occupied • 4Q24 QTD NCO 0.00% • Avg. origination FICO 779 • Current LTV 36% • 60% of portfolio is 1st lien • Avg. loan size $34,788 • $137M to convert to amortizing or balloon during 2025 • 4Q24 QTD NCO (0.02%) •
Slide 42: Ascentium & Home Improvement Financing
42 Ascentium & Home Improvement Financing (1) Key portfolio metrics were provided with the company's original acquisition announcement on Form 8-K dated February 27, 2020. (2) Regions' Home Improvement Financing previously known as EnerBank. Key portfolio metrics were provided with the company's ori
Slide 43: Highly Diversified Business Portfolio
43 All Other Commercial 3.6% Investor Real Estate 13.7% Financial Services 13.3% CRE Unsecured, including REITs 10.4% Govt. Education 10.0% Consumer Services 8.6% Technology Services 6.6% Manufacturing 7.9% Energy 2.1% Agriculture .3% Utilities 3.7% Business Services 7.8% Distribution 6.7% Healthcar
Slide 44: Commercial Real Estate
44 Commercial Real Estate (Outstanding balances as of December 31, 2024) Highly Diversified Portfolio (IRE including Unsecured CRE) (1) Excludes $5.2B of Owner-occupied CRE whose source of repayment are individual businesses, and whose credit performance resembles Commercial during periods of stress
Slide 45: CRE - Office Portfolio
45 CRE- Office Portfolio (Outstanding balances as of December 31, 2024) (1) $ in Millions. Amounts include IRE and CRE Unsecured loans but exclude Held For Sale loans. Metrics represent 12/31/2024 results except for charge-offs, which reflects results for the 12 months ended December 31, 2024, annua
Slide 46: Transportation - Trucking
46 Transportation - Trucking (Outstanding balances as of December 31, 2024) (1) $ in Millions. Metrics represent 12/31/2024 results except for charge-offs, which reflects results for the 12 months ended December 31, 2024, annualized, based on average balances. NPL & ACL percentages are based on Port
Slide 47: Deposits QoQ Highlights & Outlook
47 QoQ Highlights & Outlook • Ending and average deposits grew modestly QoQ, consistent with normal year-end seasonality • Commercial deposit growth driven primarily by public funds clients' year-end tax inflows; Expect reversion in 1Q, partially offset by consumer deposit growth from tax refunds •
Slide 48: Checking Balances & Spending Levels
48 • Pre-pandemic, customers maintained a relatively steady ratio of checking balances to spending activity. • After a period of elevated balances during 2020-2023, customers in aggregate hold 1.6x monthly spend versus a pre- pandemic average level of ~1.7x. • The moderately lower ratio is largely d
Slide 49: Diversified Deposit Base
49 Diversified Deposit Base Insured/Uninsured Deposit Mix(1)(2) • ~73% of Total Deposits are covered by FDIC insurance or are collateralized (Public Funds or Trust); >95% of Total Deposits are associated with customers who reside within our 15-state branch footprint • Wholesale deposits are well-div
Slide 50: Deposit Advantage: Diversified Deposit Base vs. Peers
50 Deposit Advantage Well diversified deposit base vs. peers (1) As of 12/31/2024. Source: Bank Call Reports / SEC filings. Peers include CFG, CMA, FHN, FITB, HBAN, HWC, KEY, MTB, PNC, SNV, TFC, USB, ZION. ...Resulting in one of the highest mix of FDIC insured deposits amongst peers % of Total Depos
Slide 51: Capital and Liquidity QoQ Highlights & Outlook
51 QoQ Highlights & Outlook • Declared 4Q common dividends of $226M and executed $58M in share repurchases • Dividend payout target of 40-50% of earnings • In near term, will manage adjusted CET1(1)(4) (inclusive of AOCI) closer to 9.25 – 9.75% operating range • Common book value per share of $17.77
Slide 52: Common Equity Tier 1 and Basel III Endgame
52 Common Equity Tier 1 10.3% 10.4% 10.6% 10.8% 8.2% 8.2% 9.1% 8.8% Reported CET1 Ratio Adjusted CET1 Inclusive of AOCI Operating Range 1Q24 2Q24 3Q24 4Q24 CET1 Under Basel III Endgame (B3E) B3E Update • B3E has yet to be finalized but expect AOCI to be included in Regulatory Capital • CET1 inclusiv
Slide 53: Tangible Common Equity
53 6.79% 6.42% 6.55% 7.37% 6.86% 8.50% 8.34% 8.50% 8.47% 8.57% TCE Ratio Adjusted TCE Ratio, ex-AOCI 4Q23 1Q24 2Q24 3Q24 4Q24 5% 6% 7% 8% 9% 10% Tangible Common Equity (1) Non-GAAP, see Appendix for reconciliation. • Higher levels of interest rates are generally beneficial to Regions through expansi
Slide 54: Historical Credit Profile
54 0.96% —% 0.50% 1.00% 1.50% 2.00% 2.50% 0.49% —% 0.50% 1.00% 1.50% 2.00% Historical Credit Profile Non-Performing Loans Total Net Charge-Offs 1Q20 4Q24 4Q221Q20 4Q22 4Q24 • Non-Accrual and loss rate levels have reverted to historical pre-pandemic ranges as expected Average Pre-Pandemic 0.46% Avera
Slide 55: Historical Credit Profile: Consumer and Commercial NCOs
55 0.66% —% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 0.40% —% 0.50% 1.00% Consumer Net Charge-Offs(2) Commercial Net Charge-Offs(1) 1Q20 4Q24 4Q22 1Q20 4Q22 4Q24 (1) Includes C&I, CRE - OO and IRE. (2) The spike in Consumer net charge-offs in late 2013 was associated with the move of ~$700M primari
Slide 56: Asset Quality QoQ Highlights & Outlook
56 QoQ Highlights & Outlook • 4Q annualized NCOs totaled 49bps, increasing 1bp LQ driven primarily by loans in previously identified portfolios of interest; FY NCOs were 47bps • NPLs increased 11bps to 96bps due primarily to loans in previously identified portfolios of interest; This metric remains
Slide 57: Portfolios of Interest
57 Portfolios of Interest • Regions continues to closely monitor and manage the higher risk and most rate sensitive parts of the portfolio • Higher for longer interest rates will continue to place stress on borrowers, especially within these segments • Enhanced quarterly credit servicing of these po
Slide 58: Allowance for Credit Losses
58 $1,728 $56 $(5) $(50) $1,729 Allowance for Credit Losses 12/31/2024 • 4Q allowance essentially flat compared to the prior quarter, resulting in a $120M provision expense • A consistent ACL resulted from: ◦ Increases in Specific Reserve borrowers driven by non-performing loans in previously identi
Slide 59: Base Economic Outlook
59 Pre-R&S period 4Q2024 1Q2025 2Q2025 3Q2025 4Q2025 1Q2026 2Q2026 3Q2026 4Q2026 Real GDP, annualized % change 2.5 % 2.2 % 2.0 % 2.3 % 2.2 % 1.9 % 2.0 % 1.9 % 1.9 % Unemployment rate 4.2 % 4.2 % 4.3 % 4.3 % 4.2 % 4.1 % 4.1 % 4.0 % 3.9 % HPI, year-over-year % change 3.1 % 2.6 % 2.4 % 1.8 % 1.4 % 1.5
Slide 60: Allowance Allocation
60 As of 12/31/2024 Day 1 Ratios (in millions) Loan Balance ACL ACL/Loans Actual Proforma C&I $46,955 $581 1.24 % CRE-OO mortgage 4,841 108 2.22 % CRE-OO construction 333 9 2.75 % Total commercial $52,129 $698 1.34 % 1.33 % 1.32 % IRE mortgage 6,567 216 3.29 % IRE construction 2,143 31 1.47 % Total
Slide 61: Expectations for 1Q25 & Beyond
61 Expectations for 1Q25 & Beyond(3) • NII expected to continue growth trend in 2025, with fixed-rate asset turnover at elevated rate levels as the primary driver ◦ 1Q25 NII to decline modestly vs 4Q24 • NIM increase to 3.60% by 4Q25 • Expect Capital Markets quarterly revenue to be ~$80-$90M in the
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Slide 63: Non-GAAP financial measures explanation
63 Management uses computations of earnings and certain other financial measures, which exclude certain adjustments that are included in the financial results presented in accordance with GAAP, to monitor performance and believes these measures provide meaningful information to investors. Non-intere
Slide 64: Non-GAAP Reconciliation: Adjusted Net Charge-Offs and Ratio
64 Non-GAAP Reconciliation Adjusted Net Charge-Offs and Ratio For the Quarter Ended ($ amounts in millions) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 Net loan charge-offs (GAAP) $ 119 $ 117 $ 101 $ 121 $ 132 Less: charge-offs associated with the sale of loans — — — — 35 Adjusted net loan c
Slide 65: Non-GAAP Reconciliation: Non-Interest Expense
65 Non-GAAP Reconciliation Non-Interest Expense Twelve Months Ended December 31 ($ amounts in millions) 2024 2023 2022 2021 2020 2019 2018 2017 2016 Non-interest expense (GAAP) $ 4,242 $ 4,416 $ 4,068 $ 3,747 $ 3,643 $ 3,489 $ 3,570 $ 3,491 $ 3,483 Adjustments: FDIC insurance special assessment (16)
Slide 66: Non-GAAP Reconciliation: Pre-Tax Pre-Provision Income
66 Non-GAAP Reconciliation Pre-Tax Pre-Provision Income (PPI) Quarter Ended ($ amounts in millions) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 4Q24 vs. 3Q24 4Q24 vs. 4Q23 Net income available to common shareholders (GAAP) $ 508 $ 446 $ 477 $ 343 $ 367 $ 62 13.9 % $ 141 38.4 % Preferred divi
Slide 67: Pre-Tax Pre-Provision Income reconciliation
67 Quarter Ended Year Ended ($ amounts in millions) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 2024 2023 2022 2021 2020 2019 Net income available to common shareholders (GAAP) $ 508 $ 446 $ 477 $ 343 $ 1,774 $ 1,976 $ 2,146 $ 2,400 $ 991 $ 1,503 Preferred dividends (GAAP) 26 44 24 25 119 98 99 121 103
Slide 68: Non-GAAP Reconciliation: NII, Non-Interest Income/Expense, Efficiency Ratio
68 Non-GAAP Reconciliation NII, Non-Interest Income/Expense, and Efficiency Ratio NM - Not Meaningful Quarter Ended ($ amounts in millions) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 4Q24 vs. 3Q24 4Q24 vs. 4Q23 Non-interest expense (GAAP) A $ 1,038 $ 1,069 $ 1,004 $ 1,131 $ 1,185 $ (31) (2.
Slide 69: Return on Average Tangible Common Shareholders' Equity
69 Year Ended ($ amounts in millions) 2024 2023 RETURN ON AVERAGE TANGIBLE COMMON SHAREHOLDERS' EQUITY Net income available to common shareholders (GAAP) A $ 1,774 $ 1,976 Average shareholders' equity (GAAP) $ 17,484 $ 16,522 Less: Average preferred stock (GAAP) 1,693 1,659 Average common shareholde
Slide 70: Non-GAAP Reconciliation: Return on Average Tangible Common Equity
70 Non-GAAP reconciliation Return on Average Tangible Common Shareholders' Equity Year Ended ($ amounts in millions) 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 RETURN ON AVERAGE TANGIBLE COMMON SHAREHOLDERS' EQUITY Net income available to common shareholders A $ 1,774 $ 1,976 $ 2,146 $ 2,400
Slide 71: Non-GAAP Reconciliation: Adjusted CET1 Inclusive of AOCI
71 Quarter Ended ($ amounts in millions) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 ADJUSTED CET1 RATIO Common Equity Tier 1(1) A $ 13,434 $ 13,185 $ 13,093 $ 12,913 $ 12,976 Adjustments: AOCI gain (loss) on securities(2) (2,024) (1,369) (2,298) (2,264) (2,064) AOCI gain (loss) on defined b
Slide 72: Non-GAAP Reconciliation: Non-Interest Income
72 Non-GAAP Reconciliation Non-Interest Income Year Ended ($ amounts in millions) 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 Non-interest income (GAAP) $ 2,265 $ 2,256 $ 2,429 $ 2,524 $ 2,393 $ 2,116 $ 2,019 $ 1,962 $ 2,011 $ 1,937 $ 1,785 $ 2,096 $ 2,201 $ 2,226 Security
Slide 73: Tangible Common Ratios
73 As of and for Quarter Ended ($ amounts in millions, except per share data) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 TANGIBLE COMMON RATIOS Shareholders’ equity (GAAP) A $ 17,879 $ 18,676 $ 17,169 $ 17,044 $ 17,429 Less: Preferred stock (GAAP) 1,715 1,715 1,659 1,659 1,659 Common shareh
Slide 74: Tangible Common Ratios excluding AOCI
74 As of and for Quarter Ended ($ amounts in millions, except per share data) 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 TANGIBLE COMMON RATIOS Shareholders’ equity (GAAP) A $ 17,879 $ 18,676 $ 17,169 $ 17,044 $ 17,429 Less: Preferred stock (GAAP) 1,715 1,715 1,659 1,659 1,659 Intangible as
Slide 75: Forward-Looking Statements
75 Forward-Looking Statements This presentation may include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. The words “future,” “anticipates,” “assumes,” “intends,” “plans,” “seeks,” “believes,” “predicts,” “potential,” “objectives,” “estimates,” “expec
Slide 76: Forward-Looking Statements (continued)
76 • Our inability to develop and gain acceptance from current and prospective customers for new products and services and the enhancement of existing products and services to meet customers’ needs and respond to emerging technological trends in a timely manner could have a negative impact on our re
Slide 77: Forward-Looking Statements (continued)
77 • Our ability to comply with stress testing and capital planning requirements (as part of the CCAR process or otherwise) may continue to require a significant investment of our managerial resources due to the importance of such tests and requirements. • Our ability to comply with applicable capit
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Regions Financial — Investor Presentation (February 2025) on 6ix