Keycorp · NYSE:KEY
Keycorp — Keycorp /New/ — Q3 2026 Earnings Presentation
20 slides from Keycorp's earnings presentation, Oct 20, 2026
Slide 1: KeyCorp Third Quarter 2026 Earnings Review
KeyCorp Third Quarter 2026 Earnings Review October 20, 2026
Slide 2: 3Q26 Results Reflect Continued Momentum
+$3.6Bn Average deposit growth QoQ 55 bps NPAs / loans + OREO decreased 19 bps QoQ 3Q26 Results Reflect Continued Momentum +12% Collective growth of priority fee-based businesses(1) 3Q26 vs. 3Q25 +27% Investment banking & debt placement fee growth QoQ 32 bps NCOs / average loans decreased 10 bps QoQ
Slide 3: Financial Review
Financial Review
Slide 4: Third quarter 2026 financial summary
$ in millions, excluding per share metrics From continuing operations, unless otherwise noted Reported QoQ Δ YoY Δ EPS $0.51 16 % 24 % Net interest income(1),(2) $1,308 4 % 10 % Noninterest income $744 5 % 6 % Revenue(1),(2) $2,052 4 % 8 % Noninterest expense $1,245 2 % 5 % Provision for credit loss
Slide 5: Strong C&I Performance Driving Loan Growth
Strong C&I Performance Driving Loan Growth Average Loans $ in billions • Average loans up $1.5Bn (+1.4%), driven by: ◦ Higher C&I(1) loans (+3.7%) ◦ Partially offset by a decline in total consumer loans (-2.0%), reflective of the intentional run-off of low-yielding loans Sequential Change in Ending
Slide 6: Average deposit growth
• Average deposits up $3.6Bn (+2.4%), driven by: ◦ Growth in demand deposits (+2.9%) and money market deposits (+2.7%), as well as an increase in noninterest-bearing deposits (+1.6%) • Total deposit costs increased by 3 bps, with total interest-bearing deposit costs increasing 3 bps to 2.04% 37% 16%
Slide 7: Net Interest Income Growth and Margin Expansion
Net Interest Income Growth and Margin Expansion $1,193 $1,223 $1,230 $1,258 $1,308 2.75% 2.82% 2.87% 2.89% 2.95% Net interest income Net interest margin 3Q25 4Q25 1Q26 2Q26 3Q26 $1,258 $14 $13 $11 $8 $3 $1,308 Loan growth Funding optimization Securities & swap repricing Day count Yield/cost & other
Slide 8: Noninterest income
• Noninterest income up $38MM (+5%) vs prior quarter driven by: ◦ Higher investment banking and debt placement fees driven by higher M&A fees and syndications • Noninterest income up $42MM (+6%) vs prior year driven by: ◦ Higher investment banking and debt placement fees driven by higher M&A fees, a
Slide 9: Expenses Remain Well Managed
• Noninterest expense up $28MM (+2%) vs prior quarter driven by: ◦ Higher personnel expense due to incentive compensation and investments in teammates ◦ Continued investments in technology • Noninterest expense up $68MM (+6%) vs prior year driven by: ◦ Higher personnel expense related to continued i
Slide 10: Net Charge-Offs & Provision for Credit Losses; Asset Quality
0.24% 0.21% 0.13% 0.12% 0.14% 0.10% 0.09% 0.14% 0.08% 0.07% 30-89 days delinquent 90+ days delinquent 3Q25 4Q25 1Q26 2Q26 3Q26 $5,871 $5,373 $5,370 $5,398 $5,553 5.5% 5.0% 4.9% 4.9% 4.9% Criticized assets Criticized assets ratio 3Q25 4Q25 1Q26 2Q26 3Q26 Note: Loan data reflects loans held for invest
Slide 11: Disciplined Capital Management
• Repurchased $320MM of common shares at an average price of $22.57 per share in the third quarter • Expect to repurchase $1.3Bn in 2026 8.1% 8.4% 8.0% 7.7% 6.9% 3Q25 4Q25 1Q26 2Q26 3Q26 Common Equity Tier 1 Ratio Tangible Common Equity Ratio(2) Disciplined Capital Management (1) 9/30/2026 ratio is
Slide 12: FY2026 Outlook
$ in millions, unless otherwise stated FY2026 (vs. FY2025) On an operating basis Revenue(1),(2) (FY25 baseline: $7,513) up ~8% Net interest income(1),(2) (FY25 baseline: $4,671) up ~10% (previously up 9 – 11%) Net interest margin(2) 4Q exit rate: ~3.00% Average earning assets up $1.5Bn - $2Bn from 3
Slide 13: Appendix
Appendix
Slide 14: Loan Composition and Fixed-Rate Asset Repricing
Loan Composition(2) $47.5 $47.8 $48.2 $47.9 $47.4 $7.2 $8.1 $8.8 $9.4 $9.5 $40.3 $39.8 $39.4 $38.5 $38.0 3.75% 3.69% 3.64% 3.67% 3.73% Average HTM securities Average AFS securities Average yield 3Q25 4Q25 1Q26 2Q26 3Q26 $ in billions 4Q26 1Q27 2Q27 3Q27 4Q27 2027 Projected receive-fixed swaps maturi
Slide 15: 3Q26 ALM Hedge Actions
• Executed $2.3Bn of spot-starting receive-fixed swaps and $6.8Bn of forward-starting receive-fixed swaps in 3Q26 with W.A. receive-fixed rates of 4.2% and 4.1%, respectively • Forward-starting cash flow hedges of $10.0Bn – W.A. receive-fixed rate: 4.0% ◦ $2.5Bn starting in 3Q27 (4.0% W.A. receive-f
Slide 16: Preferred Dividends
Preferred Dividends 16 KeyCorp Preferred Stock Preferred Dividend Schedule(1) $ in millions 2Q26 3Q26 4Q26 Series D $6.6 $6.6 — Series D Call Premium — $5.9 — Series E $7.7 $7.7 $7.7 Series F $6.0 $6.0 $6.0 Series G $6.3 $6.3 $6.3 Series H $9.3 $9.3 $9.3 Total $36 $42 $29 Series E • Structure: Fixed
Slide 17: Allowance for Loan Losses and Credit Metrics
Allowance for Loan Losses to Non-Performing Loans(2) 288% 159% —% 82% 54% —% —% C&I CRE Comm'l lease Resi mtg Home equity Credit cards Other consumer $1,736 $1,740 $1,745 $1,722 $1,694 1.64% 1.63% 1.60% 1.56% 1.50% ACL ACL to period-end loans 3Q25 4Q25 1Q26 2Q26 3Q26 5.60% 9.47% 2.76% 0.62% 1.51% 1.
Slide 18: Non-GAAP reconciliation
$ in millions 9/30/2026 6/30/2026 3/31/2026 12/31/2025 9/30/2025 Net interest income (GAAP) $ 1,300 $ 1,250 $ 1,222 $ 1,215 $ 1,184 Add: Taxable-equivalent adjustment 8 8 8 8 9 Net interest income TE (non-GAAP) (A) $ 1,308 $ 1,258 $ 1,230 $ 1,223 $ 1,193 Net income (loss) attributable to Key common
Slide 19: Selected Items Impact on Earnings
(1) Favorable (unfavorable) impact; (2) Impact to EPS reflected on a fully diluted basis; (3) In November 2023, the FDIC issued a final rule implementing a special assessment on insured depository institutions to recover the loss to the FDIC’s deposit insurance fund (DIF) associated with protecting
Slide 20: Forward-looking statements
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not limited to, KeyCorp’s expectations or predictions of future financial or business performance or conditions. Forward-looking statements are typically id