Fifth Third Bancorp (FITB) Q1 2026 earnings summary

Executive summary

• Reported Q1 2026 EPS of $0.15, or $0.83 excluding certain items, reflecting Comerica acquisition impact and $0.68 net negative from merger-related items.

• Closed Comerica acquisition on February 1, 2026, adding $86B in assets, $51B in loans, and $65B in deposits; largest M&A in company history.

• Net income available to common shareholders was $128M, down 82% sequentially and 73% year-over-year, impacted by $567M in after-tax merger and litigation charges.

• Organic growth was broad-based, led by new client and household acquisition momentum, with expense discipline and targeted investments for long-term growth.

• Comerica integration progressing on schedule, with early revenue synergies and $360M net cost savings expected in 2026 and $850M annual run rate by Q4.

Financial highlights

• Revenue rose 33% year-over-year to $2.9B; adjusted net income up 38% to $734M.

• Net interest income (NII) was $1.94B, with NIM expanding 17 bps to 3.30%, aided by Comerica acquisition and balance sheet management.

• Adjusted noninterest income rose 28% year-over-year to $921M; adjusted noninterest expense increased 35% year-over-year, mainly due to merger costs and seasonal compensation.

• Tangible book value per share grew 15% year-over-year to $22.88, driven by strong earnings and acquisition accretion.

• Net charge-off ratio at 0.37%, lowest in over two years.

Outlook and guidance

• Full-year NII outlook raised to $8.7–$8.8B; noninterest income expected at $4.0–$4.2B; noninterest expense at $7.2–$7.3B, including $360M net synergies.

• Full-year adjusted PPNR up ~40% over 2025; net charge-offs expected between 30–40 bps; effective tax rate at 22–23%.

• CET1 operating target updated to 10–10.5%; regular share repurchases expected to resume in H2 2026.

• Q2 guidance: average loans $178–$179B, NII $2.2–$2.25B, NIM up 3–5 bps, noninterest income $1–$1.06B, expense $1.87–$1.89B.

• Integration of Comerica is progressing as planned, with expected financial synergies and continued focus on stability, profitability, and growth.