KeyCorp Q3 2026 Earnings Recap

KeyCorp’s shares rose 4.5% after earnings, with investors responding to record quarterly revenue above $2 billion, 8% year-over-year growth, and tangible common equity returns above 15%. Loan growth, lower credit losses, and improving net interest margin supported the quarter, though management has not yet provided 2027 guidance.

Key Takeaways

• Earnings were $0.51 per share, up 24% year over year; revenue topped $2 billion, up 8%.
• Net interest margin expanded 6 basis points sequentially to 2.95%. Average deposits grew $3.6 billion, while interest-bearing deposit costs rose 3 basis points.
• Period-end C&I loans increased 5% sequentially, with line utilization up 200 basis points to 33%, its highest level in over three years.
• Credit metrics improved: the net charge-off ratio was 32 basis points, and the non-performing asset ratio fell 19 basis points to 55 basis points.
• Key repurchased $320 million of stock and remains on pace for its $1.3 billion full-year target. Management expects record 2026 revenue and PPNR, but said it will provide more on 2027 at year-end.