Slide 1: KeyCorp First Quarter 2026 Earnings Review
KeyCorp First Quarter 2026 Earnings Review April 16, 2026 Chris Gorman Chairman and Chief Executive Officer Clark Khayat Chief Financial Officer
Slide 2: 1Q26 Results
1Q26 Results Differentiated Fee Client and Prospect Risk Management Commitment to Businesses Momentum Excellence Return of Capital +12% +3% 38 bps $1.3Bn Collective growth of priority Commercial client growth YoY NCOs / average loans Planned share repurchases in 2026, fee-based businesses YoY(1) ($3
Slide 3: Financial Review
Financial Review
Slide 4: 1Q26 Highlights
1Q26 Highlights $ in millions, excluding per share metrics From continuing operations, unless otherwise noted ▪ EPS of $0.44, up 33% YoY Reported QoQ Δ YoY Δ ▪ Revenue(1),(2) up 10% YoY (5) – Net interest income(1),(2) up 11% YoY and 1% QoQ EPS $0.44 7% 33% – NIM(1) of 2.87%, up 5 bps QoQ – Noninter
Slide 5: Average Loans
Average Loans $ in billions vs. Prior Quarter $104.4 $105.7 $106.2 $106.3 $107.7 ▪ Average loans up $1.4Bn (+1.3%) – Increase in average commercial loans (+2.7%), Consumer $31.4 $30.8 $30.3 $29.7 driven by an increase in C&I loans (+2.8%) and CRE $32.0 loans (+3.1%) $74.3 $75.4 $76.0 $78.1 Commercia
Slide 6: Loans to NDFI Including Private Credit
Loans to NDFI Including Private Credit $ in billions; preliminary data as of 1Q26 Call Report Reconciliation(1) Types of Private Credit Loans Subset Grade ~91% Investment $20.8 Other private credit Equipment finance co's $0.6 $0.8 Real estate lenders $0.9 $(8.1) $10.9 $(1.1) $(0.7) $0.9 Unitranche f
Slide 7: Average Deposits
Average Deposits $ in billions vs. Prior Quarter $148.5 $147.4 $150.4 $150.7 $147.3 ▪ Average deposits decreased 2.3% Other(1) – Client deposits down 1.2%, driven by seasonally lower $57.5 $55.9 $58.5 $60.5 $58.9 commercial deposits Commercial – Brokered CDs declined by $1.6Bn 2.06% 1.99% 1.97% Tota
Slide 8: Net Interest Income / Net Interest Margin
Net Interest Income / Net Interest Margin $ in millions; from continuing operations NII Walk(1) +11% $1,230 $1,223 $12 $11 $9 $1,230 $1,223 $1,193 $(10) $(16) $1,150 $1,105 +1% 4Q25 Commercial Swaps Rate impacts Deposit Day count 1Q26 loan growth & deposit decline 2.87% cost 2.82% management 2.75% 2
Slide 9: Noninterest Income
Noninterest Income $ in millions; illustrative, not drawn to scale vs. Prior Year +8% ▪ Noninterest income up $55MM (+8%) $782 – Investment banking & debt placement $723 fees up $22MM (+13%), reflecting higher $668 merger and acquisition advisory fees, commercial mortgage debt placement activity, an
Slide 10: Noninterest Expense
Noninterest Expense $ in millions % change vs. Prior Year QoQ YoY ▪ Noninterest Expense up $50MM (+4%) $1,241 (5)% +4% Reported total – Higher personnel expense primarily related to $(21)(1) $1,181 (6)% Adjusted(2) $1,131 continued investments in people, incentive compensation associated with strong
Slide 11: Credit Quality
Credit Quality Net Charge-Offs (NCOs) & Provision for Credit Losses Delinquencies to Period-End Total Loans $ in millions From continuing operations 0.27% 0.25% 0.24% 0.43% 0.42% 0.21% 0.39% 0.39% 0.38% 0.14% $138 $110 $118 $102 $114 $107 $104 $108 $101 $106 0.13% 0.10% 0.09% 0.08% 0.07% 1Q25 2Q25 3
Slide 12: Capital
Capital Common Equity Tier 1 Ratio(1) Share Repurchase Activity ~(20)bps ▪ Repurchased $389MM of common shares at an 11.6% 11.7% 11.8% 11.8% 11.4% average price of $21.47 per share in the first quarter ▪ Intend to repurchase $300MM+ of common shares per quarter for the remainder of 2026(2) – Expect
Slide 13: 2026 Outlook
2026 Outlook FY2026 (vs. FY2025) $ in millions, unless otherwise stated Ranges are shown on an operating basis 4Q27 Targets(1) Revenue(1),(2) up ~7% (FY25 baseline: $7,513) 3.25%+ / 15%+ Net interest income(1),(2) up 9 – 10% (previously up 8 – 10%) NIM and ROTCE (FY25 baseline: $4,671) 4Q exit rate:
Slide 14: Appendix
Appendix
Slide 15: Balance Sheet Management Detail
Balance Sheet Management Detail Fixed-Rate Asset Repricing Tailwinds – 2Q26 to 2027 $ in billions 2Q26 3Q26 4Q26 2026(1) 2027 Projected receive-fixed swaps maturities $2.2 $2.2 $1.9 $6.3 $10.7 Weighted-average rate received (%) 2.95% 2.82% 2.73% 2.84% 3.01% Projected fixed-rate loans cash flows / ma
Slide 16: Hedging Strategy Opportunity
Hedging Strategy Opportunity ending balances, $ in billions 1Q26 ALM Hedge Actions ▪ Executed $3.0Bn of spot-starting receive-fixed swaps in 1Q26 with a W.A. receive rate of 3.4% and average maturity of 2.8 years Receive-fixed asset swaps(1) Forward Starting Swaps as of 3/31 ▪ There were no forward-
Slide 17: Credit Quality by Portfolio
Credit Quality by Portfolio Allowance for Credit Losses (ACL) NCOs to Average Loans (%)(1),(2) $1,707 $1,743 $1,736 $1,740 $1,745 3.77% 1.63% 1.64% 1.64% 1.63% 1.60% 1.16% 0.55% 0.02% 0.01% N/M — 1Q25 2Q25 3Q25 4Q25 1Q26 (0.02)% (3) C&I CRE Comm'l Resi Home Credit Other ACL ACL to period-end loans l
Slide 18: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation $ in millions 3/31/2026 12/31/2025 3/31/2025 Net interest income (GAAP) $ 1,222 $ 1,215 $ 1,096 Add: Taxable-equivalent adjustment 8 8 9 Net interest income TE (non-GAAP) (A) $ 1,230 $ 1,223 $ 1,105 Net income (loss) attributable to Key common shareholders (GAAP) (B)
Slide 19: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation CET1 – AOCI impact(1) ($ in millions) 1Q26 4Q25 3Q25 2Q25 1Q25 Common equity tier 1 (A) $ 17,038 $ 17,195 $ 17,051 $ 16,774 $ 16,549 Add: AFS and pension accumulated other comprehensive income (loss) (2,152) (2,027) (2,176) (2,476) (2,601) Marked common equity tier 1
Slide 20: Selected Items Impact on Earnings
Selected Items Impact on Earnings Selected Items Impact on Earnings $ in millions, except per share amounts Pretax(1) After-tax at marginal rate(1) Quarter to date results Amount Net Income EPS(2)(4) Three months ended March 31, 2026 No items $ — $ — $ — Three months ended December 31, 2025 FDIC spe
Slide 21: Forward-looking Statements and Additional Information
Forward-looking Statements and Additional Information This communication 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