KeyCorp Q3 2025 Earnings Recap

KeyCorp's third quarter 2025 results showcased strong growth, with earnings per share of 41¢ and a significant increase in revenues, marking a robust trajectory towards a record revenue year.

Key Takeaways

• Revenues grew by 17% year-over-year, driven by consistent net interest income growth and high single-digit increases in fee income.
• Return on assets surpassed 1%, and pre-provision net revenue rose by $33 million quarter-over-quarter, marking six consecutive quarters of improvement.
• The net interest margin achieved 2.75%, surpassing year-end targets a quarter early, reflecting effective portfolio strategy shifts towards higher-yield C&I loans.
• CET1 capital ratio approached 12%, providing flexibility for future growth initiatives, including share repurchases planned for Q4.
• Company expects to achieve a return on tangible common equity of 15% or better by 2027, supported by continued focus on relationship lending and expense management.