10-Q · May 5, 2026
Fifth Third Bancorp reported Q1 2026 results with EPS of $0.83, significantly exceeding the consensus estimate of $0.47, while revenue slightly missed expectations at $2.83 billion compared to an estimate of $2.84…
Earnings analysis · 10-Q
FITB earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Fifth Third delivered a sharp Q2 rebound from its acquisition-affected first quarter, with FTE revenue of $3.279 billion, net income of $801 million, and diluted EPS of $0.83. Year-over-year revenue, margin, fee income,…
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Fifth Third delivered a sharp Q2 rebound from its acquisition-affected first quarter, with FTE revenue of $3.279 billion, net income of $801 million, and diluted EPS of $0.83. Year-over-year revenue, margin, fee income, and Commercial Banking profitability improved substantially, largely reflecting the February 2026 Comerica acquisition. Offsetting factors are elevated integration costs, lower year-over-year EPS due to share dilution, a decline in Consumer and Small Business Banking pretax income, and continued macro-sensitive credit and capital risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.83
What stood out
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Revenue up 46%; NIM expands 24 bps
Q2 total revenue on an FTE basis rose 46% year over year to $3.279 billion, consisting of $2.220 billion of net interest income and $1.059 billion of noninterest income. Net interest margin expanded 24 bps to 3.36%.
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Profit rises, but EPS diluted by merger shares
Net income rose 28% to $801 million, but diluted EPS declined 6% to $0.83 from $0.88 because diluted average shares increased to 916 million from 674 million following the Comerica share issuance.
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Commercial and wealth segments accelerate
Commercial Banking was the primary earnings driver: Q2 FTE pretax income increased $456 million to $840 million. Wealth and Asset Management pretax income increased $53 million to $118 million.
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Strong fee-income growth across businesses
Fee income was broad-based: commercial payments revenue rose 67% to $254 million, capital-markets fees rose 71% to $154 million, and wealth/asset-management revenue rose 54% to $256 million.
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Quarterly credit costs and charge-offs improve
Credit costs improved in Q2: provision expense fell $44 million year over year to $129 million, while annualized net charge-offs declined to 0.30% from 0.45%.
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Positive operating cash flow; modest capex
Operating cash flow was $1.690 billion for the first six months of 2026; $320 million of bank-premises and equipment spending equaled about 19% of operating cash flow.
What to watch
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Merger costs and efficiency pressure remain high
Expense growth outpaced revenue growth: Q2 noninterest expense increased 67% to $2.109 billion, including $193 million of Comerica merger-related charges. The FTE efficiency ratio deteriorated to 64.3% from 56.2%.
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Consumer-bank earnings decline on costs
Consumer and Small Business Banking pretax income fell 5% to $616 million despite a $152 million increase in net interest income, as noninterest expense rose $214 million to $860 million.
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Downside macro scenario could require $1.9B ACL
The ACL sensitivity remains meaningful: applying a 100% Downside-scenario weighting would increase the quantitative ACL by approximately $1.9 billion. The current ACL includes a qualitative adjustment for uncertainty related to the U.S.-Iran conflict.
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Solar credit losses rise; originations paused
Solar-energy installation loan net charge-offs increased to $25 million in Q2 from $20 million, and the bank paused new originations in July 2026 after the portfolio declined to $4.314 billion from $4.560 billion at year-end.
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Acquisition reduced reported capital ratios
Capital ratios declined following the acquisition: CET1 was 9.93% at June 30, 2026 versus 10.81% at December 31, 2025, while total risk-based capital was 12.50% versus 13.78%.
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No Item 1A update; legal-loss exposure remains
No material risk-factor changes were reported versus the 2025 Form 10-K. However, the filing quantifies $82 million of reasonably possible legal and regulatory losses above accrued amounts.
Management's outlook
The 10-Q provides no explicit quantitative revenue or EPS guidance. Management notes it will begin transitioning to Category III standards in Q3 2026 and is evaluating proposed Basel III capital-rule changes; it also paused new solar-loan originations in July 2026.
Earlier filings 4
10-K · February 24, 2026
Fifth Third positions itself as a diversified regional bank operating three businesses (Commercial Banking; Consumer and Small Business Banking; Wealth and Asset Management) with scale — $214 billion in assets, 1,130…
10-Q · November 4, 2025
Fifth Third reported a quarter of modest revenue growth and margin expansion but highlighted material merger-related risk tied to the recently executed Comerica merger agreement. Revenue for the quarter was $3.30…
10-Q · May 7, 2024
For the quarter ended 2024-03-31 the company reported revenue of $3.32 billion, gross margin of 63.1%, operating margin of 19.8% and diluted EPS of $0.70. Free cash flow for the quarter was $345 million. The 10-Q…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.