Fifth Third Bancorp · NASDAQ:FITB

Fifth Third Bancorp — Barclays Global Financial Services Conference 2022

30 slides from Fifth Third Bancorp's conference presentation, Sep 13, 2022

  1. Slide 1: Barclays Global Financial Services Conference

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Barclays Global Financial Services Conference Tim Spence President and Chief Executive Officer September 14, 2022

  2. Slide 2: Forward-looking statements

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 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 Sec

  3. Slide 3: Our purpose, vision, and core values

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 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 custo

  4. Slide 4: Prudent positioning and differentiated organic growth

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4 Prudent positioning ✓ Disciplined credit underwriting in both commercial and consumer, with a low allocation to segments highly vulnerable to inflation and higher rates ✓ Patient deployment of excess liquidity into securities

  5. Slide 5: Strong regional banking footprint in high growth markets

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Strong regional banking footprint well-positioned in high growth markets 5 3.2% 4.8% USA SE of F 12.0% 13.0% USA SE of F Major FITB markets with a top 5 deposit share Key Southeast MSAs Well-positioned in key Southeast markets

  6. Slide 6: Fifth Third is the #6 largest retail bank in priority Southeast MSAs

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Fifth Third is the #6 largest retail bank in priority Southeast MSAs Charleston, SC Opening 1 st branch in 1Q23 → expect 10+ branches by YE25 64% 14% 22% Midwest ex. Chicago Chicago Southeast 6 Key Southeast MSAs Represents a F

  7. Slide 7: Strong deposit franchise focused on core relationships

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 57% 35% 8% Branch Banking Commercial Banking Wealth & Asset Management 7 0.09% Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 X Peer 3 Peer 2 Peer 1 Interest-bearing deposit costs As of 2Q22 Segment deposits Average as of 2Q

  8. Slide 8: Strong deposit franchise in consumer and commercial

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Strong deposit franchise in consumer and commercial 8 Leading consumer deposit franchise – stable and granular 34% 36% 38% 41% 42% 43% 44% 50% 50% 50% 53% Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Peer 3 Peer 2 X Peer 1

  9. Slide 9: Product innovation and development

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 9 Financial needs: Example Fifth Third Solutions: Product innovation and development: Market leadership: Home improvement (Large purchases) • #5 residential solar national market share • Rising energy costs, Federal programs si

  10. Slide 10: Anticipated timeline of application and platform upgrades

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 10 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

  11. Slide 11: Portfolio focused on prime and super prime borrowers

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 4% 22% 18% 56% 3% 18% 16% 63% 12/31/19 11 Portfolio focused on prime and super prime borrowers 6/30/22 Consumer Loan Portfolio FICO at origination Consumer NPA % 0.41% 0.55% X Peer Median 0.31% 0.45% X Peer Median Consumer earl

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

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 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% Manufacturing Real Estate Financial Services & Insurance Health Care Wholesale Trade Bus

  13. Slide 13: What you should expect from Fifth Third

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 13 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 Proa

  14. Slide 14: Appendix

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Appendix 14

  15. Slide 15: Commercial revolving lines of credit and utilization

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 15 $16 $13 $11 $11 $11 $11 $11 $13 $14 $15 $15 52% 40% 35% 34% 32% 32% 31% 33% 36% 37% 37% 0 2 4 6 8 10 12 14 16 18 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 8/31/22 Commercial utilization rate $35 $28 $25 $24 $23 $24 $

  16. Slide 16: Top tier retail satisfaction position among peers

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 Trillionnaires Peer 3 Peer 2 X Peer 1 Peer 21 Peer 20 Peer 19 Peer 18 Peer 17 Peer 16 Peer 15 Peer 14 Peer 13 Peer 12 Peer 11 Peer 10 Peer 9 Peer 8 Peer 7 Peer 6 Peer 5 Peer 4 X

  17. Slide 17: Industry verticals generate quality loan growth

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 17 Healthcare ~$4.3B Energy (incl. Renewables) ~$4.6B Entertainment, Lodging and Leisure ~$1.9B Retail ~$5.2B Technology Media Telecom ~$3.9B Financial Institutions ~$4.6B Commercial Real Estate ~$10.4B Industry vertical execut

  18. Slide 18: Diversified commercial loan portfolios

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Diversified commercial loan portfolios 18 17% 11% 11% 8% 8% 6% 5% 5% 4% 4% 3% 2% 2% 14% Metal Transportation equipment Chemical Machinery Food Computer & Electronic Plastics & Rubber Beverage & Tobacco Paper Electrical Equipmen

  19. Slide 19: Balance sheet positioning as of 6/30/22

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use • 67% allocation to bullet/ locked- out cash flow securities • AFS yield: 2.74% 5 • Effective duration of 5.7 6 • Net unrealized pre-tax loss: $3.3BN • 99% AFS 11 $27.1BN fixed 3 | $47.6BN variable 1,2 Commercial loans 1,2,3 Ba

  20. Slide 20: Well positioned to benefit from higher rates

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Well positioned to benefit from higher rates 20 Estimated NII sensitivity profile and ALCO policy limits Estimated NII sensitivity with demand deposit balance changes Estimated NII sensitivity with deposit beta changes Betas 25

  21. Slide 21: Recent non-bank acquisitions

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Recent non-bank acquisitions 21 Dividend Finance • Closed acquisition of Dividend Finance on May 10, 2022 • Dividend Finance is a national tech-enabled point-of-sale finance provider assisting homeowners with the renewable ener

  22. Slide 22: Commercial & industrial overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Commercial & industrial overview 22 $48.8 $47.8 $49.6 $52.6 $55.5 $47.6 $47.8 $51.7 $53.9 $56.1 0 0.2 0.4 0.6 0.8 1 1.2 $0. 0 $10 .0 $20 .0 $30 .0 $40 .0 $50 .0 $60 .0 2Q21 3Q21 4Q21 1Q22 2Q22 Portfolio loans $ in billions (3.1

  23. Slide 23: Commercial real estate overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Commercial real estate overview 23 Non-Owner Occupied 53% Owner Occupied 47% Multifamily 27% Home Builder 21% Industrial 10% Hospitality 8% Office 9% Retail 5% Other 20% $10.5 $10.3 $10.2 $10.5 $10.7 $10.3 $10.3 $10.3 $10.7 $10

  24. Slide 24: Residential mortgage overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Residential mortgage overview 24 $15.9 $16.2 $16.2 $16.5 $17.4 $16.1 $16.2 $16.4 $17.1 $17.6 2Q21 3Q21 4Q21 1Q22 2Q22 2Q21 1Q22 2Q22 NCO ratio 1 (0.01%) (0.02%) (0.02%) 30-89 Delinquencies 0.12% 0.09% 0.09% 90+ Delinquencies 0.

  25. Slide 25: Home equity overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Home equity overview 25 $4.7 $4.4 $4.2 $4.0 $3.9 $4.5 $4.3 $4.1 $3.9 $3.9 2Q21 3Q21 4Q21 1Q22 2Q22 2% 17% 16% 65% 2Q21 1Q22 2Q22 NCO ratio 1 (0.09%) (0.07%) (0.06%) 30-89 Delinquencies 0.44% 0.64% 0.56% 90+ Delinquencies 0.02%

  26. Slide 26: Indirect secured consumer overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Indirect secured consumer overview 26 $14.7 $15.6 $16.3 $17.1 $17.2 $15.2 $16.0 $16.8 $17.4 $17.0 2Q21 3Q21 4Q21 1Q22 2Q22 5.4% 6.0% 4.8% 4.8% 0.6% 1% 22% 17% 60% 2Q21 1Q22 2Q22 NCO ratio 1 0.01% 0.17% 0.13% 30-89 Delinquencies

  27. Slide 27: Credit card overview

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use Credit card overview 27 $1.8 $1.7 $1.7 $1.7 $1.7 $1.8 $1.7 $1.8 $1.7 $1.8 2Q21 3Q21 4Q21 1Q22 2Q22 (5.8%) (1.2%) (0.5%) (2.8%) 0.8% (0.9%) (2.7%) 1.3% (4.3%) 4.3% Average Period-End 4% 29% 20% 47% 2Q21 1Q22 2Q22 NCO ratio 1 4.5

  28. Slide 28: Digital channel usage and engagement

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 249 261 2Q21 2Q22 2.1 2.0 2Q21 2Q22 28 1.2 1.5 2Q21 2Q22 2.7 2.9 2Q21 2Q22 +7% Year-over year growth Active digital banking users Digital sales (includes deposits, card, & loans) +25% Year-over year growth 2Q21 2Q22 26% Year-ov

  29. Slide 29: Recent actions and third-party recognitions

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 29 Recent actions Third-party recognitions Published 3 rd ESG report Available on ir.53.com Announced 10-year $100BN Environmental & Social Finance Target Expansion of the original $8BN renewable energy goal achieved in June 20

  30. Slide 30: Addressing climate change and strengthening communities

    © Fifth Third Bancorp | All Rights Reserved Classification: Internal Use 30 Addressing climate change Promoting inclusion and diversity Demonstrating our commitment to employees Strengthening our communities Keeping the customer at the center $180MM Neighborhood Investment Program in nine majority-B

Fifth Third Bancorp — Barclays Global Financial Services Conference 2022 on 6ix