Fifth Third Bancorp · NASDAQ:FITB

Fifth Third Bancorp — Non-Deal Roadshow (February 2023)

40 slides from Fifth Third Bancorp's roadshow presentation, Feb 17, 2023

  1. Slide 1: Fifth Third Bancorp Investor Meetings: Europe February 2023

    © Fifth Third Bancorp | All Rights Reserved © Fifth Third Bancorp | All Rights Reserved Fifth Third Bancorp Investor Meetings: Europe February 2023

  2. Slide 2: Cautionary statement

    © Fifth Third Bancorp | All Rights Reserved Cautionary statement 2 This presentation contains statements that we believe are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securitie

  3. Slide 3: Our purpose, vision, and core values support our commitment to generating sustainable value

    © Fifth Third Bancorp | All Rights Reserved 3 Our purpose, vision, and core values support our commitment to generating sustainable value for stakeholders Our Vision Be the One Bank people most value and trust Our Core Values Our Purpose To improve the lives of our customers and the well-being of ou

  4. Slide 4: Why Fifth Third

    © Fifth Third Bancorp | All Rights Reserved Why Fifth Third Expanding share in high-growth geographies while generating granular, high-quality loan growth Through the cycle discipline throughout the bank – credit, liquidity, rates, expense, and capital management Consistent top quartile profitabilit

  5. Slide 5: One of the largest U.S. financial institutions across lending, deposits, investments, and payments

    © Fifth Third Bancorp | All Rights Reserved One of the largest U.S. financial institutions across lending, deposits, investments, and payments Note: Data as of 4Q22; Rankings consist of US commercial banks and exclude foreign, trust ,& traditional investment banks. 1 Source: Company filings, 2 Sourc

  6. Slide 6: Business segments: Commercial Banking, Consumer and Small Business, Wealth and Asset Management

    © Fifth Third Bancorp | All Rights Reserved Commercial Banking 44% Credit, cash management, and other financial solutions to large and middle market business and government and professional customers $3.9B total revenue $71B loans $63B deposits Consumer and Small Business Banking Wealth and Asset Ma

  7. Slide 7: Strong footprint and leading position

    © Fifth Third Bancorp | All Rights Reserved Regional footprint 1 (branch count in white) Out of footprint corporate and middle market banking office Major FITB markets 2 with a top 5 deposit share • #2 deposit ranking in Midwest MSAs, with ~8% more deposits per branch than any other bank • #6 locati

  8. Slide 8: Leadership position in manufacturing lending

    © Fifth Third Bancorp | All Rights Reserved 7% 11% 12% 13% 15% 16% 18% 20% Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 X Major rail freight hub Leadership position in manufacturing lending Manufacturing loans outstanding as a % of total C&I loans; as of 3Q22 • Leader in lending to manufacturing

  9. Slide 9: #6 largest retail bank and growing in priority Southeast MSAs

    © Fifth Third Bancorp | All Rights Reserved #6 largest retail bank and growing at 4x the rate of the population in priority Southeast MSAs Charleston, SC Opening 1 st branch in 2H23 → expect ~10 branches by YE25 64% 14% 22% Midwest ex. Chicago Chicago Southeast 9 Key Southeast MSAs Represents a FITB

  10. Slide 10: Strong deposit franchise in consumer and commercial

    © Fifth Third Bancorp | All Rights Reserved Strong deposit franchise in consumer and commercial 10 Leading consumer deposit franchise – stable and granular 33% 35% 35% 36% 37% 40% 43% 46% 48% 48% 49% 53% Peer 11 Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Peer 3 Peer 2 x Peer 1 Deposits for in

  11. Slide 11: Significantly improved credit profile

    © Fifth Third Bancorp | All Rights Reserved 0.38% 0% 1% 2% 3% 4% 5% 1Q04 1Q08 4Q12 1Q20 4Q22 0.22% 0% 2% 4% 6% 8% 1Q04 1Q08 4Q12 1Q20 4Q22 0.42% 0% 1% 2% 3% 4% 5% 1Q04 1Q08 4Q12 1Q20 4Q22 0.13% 0% 4% 8% 12% 1Q04 1Q08 4Q12 1Q20 4Q22 Significantly improved credit profile Non-Performing Loans 1 Total N

  12. Slide 12: Well diversified commercial portfolio favoring large borrowers

    © Fifth Third Bancorp | All Rights Reserved 12 Well diversified commercial portfolio favoring large borrowers with a track record of resilience 15% 14% 13% 8%7% 7% 6% 6% 5% 4% 4% 11% Real Estate Manufacturing Fin Services & Ins Business Services Health Care Wholesale Trade Retail Trade Accommodation

  13. Slide 13: Conservative consumer loan portfolio well positioned in this environment

    © Fifth Third Bancorp | All Rights Reserved 56% 18% 22% 4% 63% 16% 18% 3% 12/31/19 13 Portfolio focused on prime and super prime borrowers 12/31/22 Consumer Loan Portfolio FICO at origination Consumer NPA % 1 0.50% 0.54% X Peer Median 0.53% 0.59% X Peer Median Consumer early-stage delinquency % (30-

  14. Slide 14: Key differences between European and U.S. mortgage markets

    © Fifth Third Bancorp | All Rights Reserved Key differences between European and U.S. mortgage markets Mortgages with > 80% current LTV Mortgages exposed to rates Household debt as a percentage of disposable income Europe 1 U.S. Additional Fifth Third differentiators compared to the U.S. average: 13

  15. Slide 15: Strong capital and liquidity position

    © Fifth Third Bancorp | All Rights Reserved 7.2% 9.3% 7.6% 3Q07 4Q22 DFAST 2022 Severely Adverse Scenario Minimum CET1 Tier 1 Total Risk-Based Strong capital and liquidity position 10.5% • Loan-to-core deposit ratio of 76% • ~$102 billion of available liquidity sources • $5.2 billion in Holding Comp

  16. Slide 16: Focused on generating long-term shareholder value

    © Fifth Third Bancorp | All Rights Reserved 12.2% Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Peer 3 x Peer 2 Peer 1 Focused on generating long-term shareholder value 60.5% Peer 10 x Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Peer 3 Peer 2 Peer 1 11.7% Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 X Peer

  17. Slide 17: Intentionally diversifying balance sheet and fee revenue

    © Fifth Third Bancorp | All Rights Reserved 7% 5% 31% 7% 8% 12% 12% 9% 14% 12% 15% 15% 19% 14% 19% FY 2012 FY 2022 W&AM Commercial banking Commercial deposit fees Card & Processing Other noninterest income Leasing Mortgage banking Consumer deposit fees 42% 47% 37% 31% 21% 22% 4Q12 4Q22 C&I Real esta

  18. Slide 18: Example Fifth Third Solutions

    © Fifth Third Bancorp | All Rights Reserved 18 Example Fifth Third Solutions: Product innovation and development: Market leadership: • #3 residential solar national market share • Rising energy costs, Federal programs significantly increase addressable market • #2 practice finance national market sh

  19. Slide 19: Consistently investing for growth through the cycle

    © Fifth Third Bancorp | All Rights Reserved 19 1 See forward-looking statements on page 2 of this presentation Consistently investing for growth through the cycle Consistent strong financial results and top tier profitability Consistent NIM and credit discipline Consistent customer acquisition growt

  20. Slide 20: What you should expect from Fifth Third

    © Fifth Third Bancorp | All Rights Reserved 20 1 Innovative, software-enabled products that simplify customers’ lives and enhance the client experience Sustained organic growth from positioning the bank to benefit from secular trends and through gaining market share Proactive balance sheet managemen

  21. Slide 21: Appendix

    © Fifth Third Bancorp | All Rights Reserved 21 Appendix

  22. Slide 22: Continental United States by region

    © Fifth Third Bancorp | All Rights Reserved Continental United States by region 1 Source: S&P Global Market Intelligence; 2 Source: Moody’s February 2023 vintage baseline scenario Fifth Third Corporate Headquarters Cincinnati, Ohio 45 bps 44 bps 42 bps 34 bps 19 bps Northeast Coast West Coast FITB S

  23. Slide 23: Actions Demonstrating Leadership

    © Fifth Third Bancorp | All Rights Reserved 23 Actions Demonstrating Leadership Third-party recognitions $500,000 donated for hurricane relief in Florida Through Fifth Third Foundation in addition to other assistance programs Published 3 rd ESG report Available on ir.53.com Announced 10-year $100BN

  24. Slide 24: Sustainable financing and community commitments

    © Fifth Third Bancorp | All Rights Reserved ~$24BN in sustainable financing towards $100BN goal 208 due diligence reviews for sensitive sectors in compliance with E&S Risk Management Framework 1 52% reduction in Scope 1 and 2 GHG emissions since 2014 4 100% renewable energy purchased since 2019 Achi

  25. Slide 25: Dividend Finance growth outpacing original expectations

    © Fifth Third Bancorp | All Rights Reserved $1.3B $2.3B $2.5B ~$2.6B ~$4.5B ~$5.6B 2022 2023E 2024E Dividend Finance growth outpacing original expectations with strong return profile 25 Origination forecast significantly exceeds original expectations 1 1 See forward-looking statements on page 2 of t

  26. Slide 26: Industry vertical execution strategy

    © Fifth Third Bancorp | All Rights Reserved 2015 2022 Healthcare ~$4.3B Energy (incl. Renewables) ~$5.3B Entertainment, Lodging and Leisure ~$2.0B Retail ~$5.2B Technology Media Telecom ~$3.9B Financial Institutions ~$4.8B Commercial Real Estate ~$10.4B Unique value proposition • Strategic advisory

  27. Slide 27: Investing in talent and adding value to clients

    © Fifth Third Bancorp | All Rights Reserved 36% 15% 36% 13% Midwest Chicago Southeast CA/TX Expansion 27 Investing in talent and adding value to clients Key highlights: • FY22 production was nearly equal between the Midwest markets (including Chicago) and Southeast + expansion markets • Expansion ma

  28. Slide 28: Cash flow hedges continue to protect NIM

    © Fifth Third Bancorp | All Rights Reserved 28 ($3BN @ 2.25% 1- month LIBOR strike) Cash flow hedges continue to protect NIM 1 EOP notional value of cash flow hedges ($ in billions) Actual Cash flow hedges 1 Represents forward looking statement, please refer to page 2 of this presentation regarding

  29. Slide 29: Balance sheet positioning as of 12/31/22

    © Fifth Third Bancorp | All Rights Reserved 37% 39% 9% 11% 4% 75% 14% 7% 4% • 66% allocation to bullet/ locked- out cash flow securities • AFS yield: 2.97% 5 • Effective duration of 5.36 6 • Net unrealized pre-tax loss: $6.0BN • 99% AFS 11 $24.6BN fixed 3 | $51.7BN variable 1,2 Commercial loans 1,2,

  30. Slide 30: Differentiated securities portfolio

    © Fifth Third Bancorp | All Rights Reserved 12% 2% 48% 17% 2% 14% 4% Agency CMBS ABS Agency RMBS Agency CMO Other Non-agency CMBS US Treasury Muni Non-Agency RMBS Securities portfolio mix 1,2 52% 12% 11% 11% 9% 5% Differentiated securities portfolio has generated peer- leading yields for 7+ years an

  31. Slide 31: Anticipated timeline of application and platform upgrades

    © Fifth Third Bancorp | All Rights Reserved 31 Anticipated timeline of application and platform upgrades Enhanced mobile app rollout Workday GL conversion FIS: CDs & ATM conversions 4Q22 2H23 4Q24 FIS: checking & savings conversions AFS: commercial loan system conversion 4Q25 Unique and simplified p

  32. Slide 32: Total commercial portfolio overview

    © Fifth Third Bancorp | All Rights Reserved 4Q21 3Q22 4Q22 NCO ratio 1 0.10% 0.17% 0.13% 30-89 Delinquencies 0.11% 0.19% 0.14% 90+ Delinquencies 0.03% 0.03% 0.02% Nonperforming Loans 2 0.48% 0.39% 0.34% 32 Total loans $ in billions; including HFS Period-end QoQ change Average QoQ change Key statisti

  33. Slide 33: Commercial & industrial overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 0.11% 0.24% 0.14% 30-89 Delinquencies 0.14% 0.22% 0.14% 90+ Delinquencies 0.03% 0.03% 0.02% Nonperforming Loans 2 0.54% 0.45% 0.38% 33 Portfolio loans $ in billions Period-end QoQ change Average QoQ c

  34. Slide 34: Commercial real estate overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 0.03% (0.03%) 0.00% 30-89 Delinquencies 0.03% 0.10% 0.16% 90+ Delinquencies 0.01% 0.00% 0.00% Nonperforming Loans 2 0.35% 0.25% 0.29% Commercial real estate overview 34 CRE Mortgage Balance by owner o

  35. Slide 35: Total consumer portfolio overview

    © Fifth Third Bancorp | All Rights Reserved 4Q21 3Q22 4Q22 NCO ratio 1 0.21% 0.28% 0.38% 30-89 Delinquencies 0.43% 0.43% 0.57% 90+ Delinquencies 0.23% 0.07% 0.06% Nonperforming Loans 2 0.39% 0.51% 0.56% Weighted average FICO at origination 3 765 765 765 Weighted average LTV at origination 4 74% 80%

  36. Slide 36: Residential mortgage overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 (0.06%) (0.02%) 0.01% 30-89 Delinquencies 0.12% 0.10% 0.17% 90+ Delinquencies 0.44% 0.04% 0.04% Nonperforming Loans 2 0.20% 0.65% 0.70% Weighted average FICO at origination 3 765 766 765 Weighted aver

  37. Slide 37: Home equity overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 (0.18%) (0.08%) 0.02% 30-89 Delinquencies 0.61% 0.55% 0.74% 90+ Delinquencies 0.02% 0.03% 0.02% Nonperforming Loans 2 1.89% 1.70% 1.66% Weighted average FICO at origination 3 763 767 767 Weighted aver

  38. Slide 38: Indirect secured consumer overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 0.14% 0.24% 0.32% 30-89 Delinquencies 0.61% 0.65% 0.86% 90+ Delinquencies 0.05% 0.06% 0.00% Nonperforming Loans 2 0.16% 0.09% 0.18% Indirect secured consumer overview 38 Portfolio FICO score at origin

  39. Slide 39: Credit card overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4Q21 3Q22 4Q22 NCO ratio 1 2.90% 2.69% 2.85% 30-89 Delinquencies 1.02% 1.02% 1.12% 90+ Delinquencies 0.85% 0.79% 0.96% Nonperforming Loans 2 1.30% 1.30% 1.44% Credit card overview 39 Portfolio FICO score at origination 3 750+72

  40. Slide 40: Non-GAAP reconciliation

    © Fifth Third Bancorp | All Rights Reserved 40 Non-GAAP reconciliation Note: For specific adjustments refer to non-GAAP reconciliations in the 1Q19 and 4Q22 earnings presentations; 1 Assumes 23% tax rate; totals may not foot due to rounding Fifth Third Bancorp and Subsidiaries For the Last Twelve Mo

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