pnc-20230118

Exhibit 99.1

MEDIA:

INVESTORS:

Tim Miller

Bryan Gill

(412) 762-4550

(412) 768-4143

[email protected]

PNC REPORTS FULL YEAR 2022 NET INCOME OF $6.1 BILLION,
$13.85 DILUTED EPS OR $13.96 AS ADJUSTED

Fourth quarter net income was $1.5 billion, $3.47 diluted EPS or $3.49 as adjusted

3% avg. loan growth; 4% revenue increase; 10 basis point NIM expansion

PITTSBURGH, Jan. 18, 2023 – The PNC Financial Services Group, Inc. (NYSE: PNC) today reported:


	For the quarter						For the year
In millions, except per share data and as noted	4Q22			3Q22				2022			2021			Fourth Quarter Highlights
														▪
Financial Results														Comparisons reflect 4Q22 vs. 3Q22


Revenue	$	5,763		$	5,549			$	21,120		$	19,211		▪Net interest income grew 6% –NIM increased 10 basis points ▪Noninterest income increased $5 million –Fee income grew 4% ▪Revenue increased 4% ▪Expenses increased 6% ▪PPNR increased 1% ▪Average loans grew 3%, driven by commercial and consumer loan growth ▪Deposits were relatively stable –Average deposits declined 1% –Spot deposits decreased 0.4% ▪Provision for credit losses of $408 million –ACL build of $172 million ▪Net loan charge-offs were $224 million or 0.28% annualized to average loans ▪Tangible book value increased 3% ▪PNC returned $1.2 billion of capital to shareholders
Noninterest expense	3,474			3,280				13,170			13,002
Pretax, pre-provision earnings (PPNR) (non-GAAP)	2,289			2,269				7,950			6,209
Integration costs	9			1				55			798
PPNR excluding integration costs (non-GAAP)	2,298			2,270				8,005			7,007
Provision for (recapture of) credit losses	408			241				477			(779)
Net income	1,548			1,640				6,113			5,725


Per Common Share
Diluted earnings - as reported	$	3.47		$	3.78			$13.85			$	12.70
Impact from integration costs (non-GAAP)	0.02			—				0.11			1.48
Diluted earnings - as adjusted (non-GAAP)	3.49			3.78				13.96			14.18
Average diluted common shares outstanding	404			410				412			426
Book value	99.93			97.59				99.93			120.61
Tangible book value (non-GAAP)	72.12			69.98				72.12			94.11


Balance Sheet & Credit Quality
Average loans In billions	$	321.9		$	313.0			$	307.7		$	268.7
Average deposits In billions	434.9			439.2				443.4			418.9
Accumulated other comprehensive income (loss) (AOCI) In billions	(10.2)			(10.5)				(10.2)			0.4
Net loan charge-offs	224			119				563			657
Allowance for credit losses (ACL) to total loans	1.67		%	1.67		%		1.67		%	1.92		%


Selected Ratios
Return on average common shareholders' equity	14.19		%	14.97		%		13.52		%	10.78		%
Return on average assets	1.10			1.19				1.11			1.09
Net interest margin (NIM) (non-GAAP)	2.92			2.82				2.65			2.29
Noninterest income to total revenue	36			37				38			45
Efficiency	60			59				62			68
Efficiency excluding integration costs (non-GAAP)	60			59				62			64
Common equity Tier 1 capital ratio	9.1			9.3				9.1			10.3

Diluted earnings as adjusted is a non-GAAP measure calculated by excluding post-tax integration costs for BBVA USA. See this and other non-GAAP financial measures in the Consolidated Financial Highlights accompanying this release.

From Bill Demchak, PNC Chairman, President and Chief Executive Officer:

“By focusing on serving customers and communities, PNC delivered strong results in 2022. Capitalizing on opportunities across our coast to coast franchise, we grew loans and generated record revenue during a rapidly rising rate environment. At the same time, we controlled expenses and delivered substantial positive operating leverage. Our credit quality metrics remained strong and our solid capital position allowed us to return $6 billion of capital to shareholders throughout the year. As we enter 2023, we are well positioned to continue generating value for our stakeholders.”

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 2

Income Statement Highlights

Fourth quarter 2022 compared with third quarter 2022

▪Net income of $1.5 billion decreased $92 million, or 6%, and included a higher provision for credit losses.

▪Total revenue of $5.8 billion increased $214 million, or 4%, primarily due to higher net interest income.

▪Net interest income of $3.7 billion increased $209 million, or 6%, driven by higher interest-earning asset yields and balances, partially offset by higher funding costs.

–Net interest margin of 2.92% increased 10 basis points due to higher interest-earning asset yields, partially offset by higher funding costs.

▪Noninterest income of $2.1 billion increased $5 million.

–Fee income of $1.8 billion increased $75 million, or 4%, and included higher capital markets and advisory revenue.

–Other noninterest income of $247 million decreased $70 million driven by negative Visa Class B derivative fair value adjustments of $41 million related to litigation escrow funding and other valuation changes. The third quarter of 2022 included positive Visa Class B derivative fair value adjustments of $13 million.

▪Noninterest expense of $3.5 billion increased $194 million, or 6%, primarily due to increased personnel costs, reflecting higher variable compensation related to increased business activity and market impacts on long-term incentive compensation as well as seasonally elevated medical benefits expense.

▪Provision for credit losses of $408 million in the fourth quarter included the impact of a weaker economic outlook and continued loan growth. The third quarter of 2022 included a provision for credit losses of $241 million.

▪The effective tax rate was 17.7% for the fourth quarter and 19.1% for the third quarter.

Balance Sheet Highlights

Fourth quarter 2022 compared with third quarter 2022 or December 31, 2022 compared with September 30, 2022

▪Average loans of $321.9 billion increased $8.9 billion, or 3%.

–Average commercial loans of $221.6 billion increased $7.5 billion driven by growth in PNC's corporate banking, real estate and business credit businesses.

–Average consumer loans of $100.3 billion grew $1.4 billion due to higher residential mortgage, home equity and credit card loans, partially offset by lower auto loans.

▪Credit quality performance:

–Delinquencies of $1.5 billion decreased $136 million, or 8%, as a result of lower commercial delinquencies.

–Total nonperforming loans of $2.0 billion decreased $83 million, or 4%, driven by lower commercial and consumer nonperforming loans.

–Net loan charge-offs of $224 million increased $105 million and included the impact of one large commercial loan credit.

–The allowance for credit losses of $5.4 billion increased $172 million. The allowance for credit losses to total loans was 1.67% at both December 31, 2022 and September 30, 2022.

▪Average deposits of $434.9 billion were relatively stable.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 3

▪Average investment securities of $142.9 billion grew $5.9 billion, or 4%, reflecting net purchases.

▪Average Federal Reserve Bank balances of $30.0 billion decreased $1.5 billion.

–Federal Reserve Bank balances at December 31, 2022 of $26.9 billion decreased $12.9 billion, driven by higher loans outstanding.

▪PNC maintained strong capital and liquidity positions.

–On January 4, 2023, the PNC board of directors declared a quarterly cash dividend on common stock of $1.50 per share. The dividend, with a payment date of February 5, 2023, will be payable the next business day.

–PNC returned $1.2 billion of capital to shareholders, reflecting $0.6 billion of common share repurchases, representing 3.8 million shares, and $0.6 billion of dividends on common shares.

–The Basel III common equity Tier 1 capital ratio was an estimated 9.1% at December 31, 2022 and 9.3% at September 30, 2022.

–The Liquidity Coverage Ratio at December 31, 2022 for PNC exceeded the regulatory minimum requirement.


Earnings Summary
In millions, except per share data	4Q22		3Q22		4Q21
Net income	$	1,548	$	1,640	$	1,306
Net income attributable to diluted common shares - as reported	$	1,400	$	1,550	$	1,214
Net income attributable to diluted common shares - as adjusted (non-GAAP)	$	1,408	$	1,551	$	1,560
Diluted earnings per common share - as reported	$	3.47	$	3.78	$	2.86
Diluted earnings per common share - as adjusted (non-GAAP)	$	3.49	$	3.78	$	3.68
Average diluted common shares outstanding	404		410		424




Cash dividends declared per common share	$	1.50	$	1.50	$	1.25
See non-GAAP financial measures included in the Consolidated Financial Highlights accompanying this news release

The Consolidated Financial Highlights accompanying this news release include additional information regarding reconciliations of non-GAAP financial measures to reported (GAAP) amounts. This information supplements results as reported in accordance with GAAP and should not be viewed in isolation from, or as a substitute for, GAAP results. Effective for the first quarter of 2022, the presentation of noninterest income has been recategorized. Fee income, a non-GAAP financial measure, refers to noninterest income in the following categories: asset management and brokerage, capital markets and advisory, card and cash management, lending and deposit services and residential and commercial mortgage. See a description of each noninterest income revenue category in PNC's third quarter 2022 Form 10-Q. In the fourth quarter of 2022, PNC updated the name of the fee income line item "capital markets related" to "capital markets and advisory." This update did not impact the components of the category. All periods presented herein reflect these changes. Information in this news release, including the financial tables, is unaudited.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 4


CONSOLIDATED REVENUE REVIEW

Revenue							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21
Net interest income	$	3,684	$	3,475	$	2,862	6	%	29	%
Noninterest income	2,079		2,074		2,265		—		(8)	%
Total revenue	$	5,763	$	5,549	$	5,127	4	%	12	%

Total revenue for the fourth quarter of 2022 increased $214 million and $636 million compared with the third quarter of 2022 and the fourth quarter of 2021, respectively, driven by higher net interest income.

Net interest income of $3.7 billion for the fourth quarter of 2022 increased $209 million and $822 million compared to the third quarter of 2022 and fourth quarter of 2021, respectively. In both comparisons, the increase was driven by higher interest-earning asset yields and balances, partially offset by higher funding costs.

The net interest margin was 2.92% in the fourth quarter of 2022, increasing 10 basis points and 65 basis points compared with the third quarter of 2022 and the fourth quarter of 2021, respectively. In both comparisons, the increase was due to higher interest-earning asset yields, partially offset by higher funding costs.


Noninterest Income							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21

Asset management and brokerage	$	345	$	357	$	385	(3)	%	(10)	%
Capital markets and advisory	336		299		460		12	%	(27)	%
Card and cash management	671		671		646		—		4	%
Lending and deposit services	296		287		273		3	%	8	%
Residential and commercial mortgage	184		143		209		29	%	(12)	%
Other	247		317		292		(22)	%	(15)	%
Total noninterest income	$	2,079	$	2,074	$	2,265	—		(8)	%
Note: Integration costs related to noninterest income were $5 million for the fourth quarter of 2022, $1 million for the third quarter of 2022 and $47 million for the fourth quarter of 2021.

Noninterest income for the fourth quarter of 2022 increased $5 million compared with the third quarter of 2022. Asset management and brokerage fees decreased $12 million, reflecting the impact of lower average equity markets. Capital markets and advisory revenue increased $37 million driven by higher merger and acquisition advisory fees, partially offset by lower loan syndication revenue. Lending and deposit services increased $9 million driven by higher loan commitment fees. Residential and commercial mortgage revenue increased $41 million due to higher results from residential mortgage servicing rights valuation, net of economic hedge, partially offset by lower commercial mortgage banking activities. Other noninterest income decreased $70 million driven by negative Visa Class B derivative fair value adjustments of $41 million related to litigation escrow funding and other

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 5

valuation changes. The third quarter of 2022 included positive Visa Class B derivative fair value adjustments of $13 million.

Noninterest income for the fourth quarter of 2022 decreased $186 million compared with the fourth quarter of 2021, as lower results from market sensitive fee businesses and negative Visa Class B derivative fair value adjustments more than offset the benefit of business growth and lower integration costs. The fourth quarter of 2021 included positive Visa Class B derivative fair value adjustments of $1 million.


CONSOLIDATED EXPENSE REVIEW

Noninterest Expense							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21
Personnel	$	1,943	$	1,805	$	2,038	8	%	(5)	%
Occupancy	247		241		260		2	%	(5)	%
Equipment	369		344		437		7	%	(16)	%
Marketing	106		93		97		14	%	9	%
Other	809		797		959		2	%	(16)	%
Total noninterest expense	$	3,474	$	3,280	$	3,791	6	%	(8)	%
Note: Integration expenses were $4 million for the fourth quarter of 2022, $0 for the third quarter of 2022 and $391 million for the fourth quarter of 2021.

Noninterest expense for the fourth quarter of 2022 increased $194 million compared with the third quarter of 2022. Personnel costs increased $138 million, reflecting higher variable compensation related to increased business activity and market impacts on long-term incentive compensation as well as seasonally elevated medical benefits expense. Equipment and occupancy expense increased $25 million and $6 million, respectively, and included the impact of impairments. Marketing expense increased $13 million reflecting the timing of annual spend.

Noninterest expense decreased $317 million in comparison with the fourth quarter of 2021, due to lower integration expenses and a decline in variable compensation related to lower business activity, partially offset by continued investments to support business growth.

The effective tax rate was 17.7% for the fourth quarter of 2022, 19.1% for the third quarter of 2022 and 21.5% for the fourth quarter of 2021.

CONSOLIDATED BALANCE SHEET REVIEW

Average total assets were $557.2 billion in the fourth quarter of 2022 compared with $547.1 billion in the third quarter of 2022 and $559.4 billion in the fourth quarter of 2021. Compared to the third quarter of 2022, the increase was primarily attributable to higher loan balances.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 6


Loans							Change		Change
	December 31, 2022		September 30, 2022		December 31, 2021		12/31/22 vs		12/31/22 vs
In billions							09/30/22		12/31/21





Average
Commercial	$	221.6	$	214.1	$	193.8	4	%	14	%
Consumer	100.3		98.9		95.1		1	%	5	%
Average loans	$	321.9	$	313.0	$	288.9	3	%	11	%

Quarter end
Commercial	$	225.0	$	215.6	$	193.1	4	%	17	%
Consumer	101.0		99.8		95.3		1	%	6	%
Total loans	$	326.0	$	315.4	$	288.4	3	%	13	%

Average loans for the fourth quarter of 2022 were $321.9 billion, increasing $8.9 billion compared to the third quarter of 2022. Average commercial loans increased $7.5 billion driven by growth in PNC's corporate banking, real estate and business credit businesses. Average consumer loans grew $1.4 billion due to higher residential mortgage, home equity and credit card loans, partially offset by lower auto loans.

Average loans for the fourth quarter of 2022 increased $33.0 billion compared to the fourth quarter of 2021. Average commercial loans increased $27.8 billion driven by growth in PNC's corporate banking and business credit businesses. Average consumer loans increased $5.2 billion primarily due to growth in residential mortgage loans.


Investment Securities
	December 31, 2022			September 30, 2022			December 31, 2021
In billions	Balance		Portfolio Mix	Balance		Portfolio Mix	Balance		Portfolio Mix





Average
Available for sale	$	49.7		$	52.1		$	126.4
Held to maturity	93.2			84.9			1.4
Average investment securities	$	142.9		$	137.0		$	127.8

Quarter end
Available for sale	$	44.1	32%	$	45.8	34%	$	131.5	99%
Held to maturity	95.2		68%	90.7		66%	1.5		1%
Total investment securities	$	139.3		$	136.5		$	133.0

Average investment securities for the fourth quarter of 2022 were $142.9 billion, increasing $5.9 billion and $15.1 billion from the third quarter of 2022 and fourth quarter of 2021, respectively, reflecting net purchases, primarily of agency residential mortgage-backed securities within the held to maturity portfolio. Net unrealized losses on available for sale securities were $4.4 billion at December 31, 2022 and $4.8 billion at September 30, 2022, compared with net unrealized gains of $0.7 billion at December 31, 2021.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 7

Average Federal Reserve Bank balances for the fourth quarter of 2022 were $30.0 billion, decreasing $1.5 billion from the third quarter of 2022. Average Federal Reserve Bank balances decreased $45.1 billion from the fourth quarter of 2021, primarily due to the redeployment of liquidity into higher interest-earning assets.

Federal Reserve Bank balances at December 31, 2022 were $26.9 billion, decreasing $12.9 billion from September 30, 2022, driven by higher loans outstanding.


Deposits							Change		Change
	December 31, 2022		September 30, 2022		December 31, 2021		12/31/22 vs		12/31/22 vs
In billions							09/30/22		12/31/21
Average
Commercial	$	215.8	$	215.8	$	231.0	—		(7)	%
Consumer	219.1		223.4		221.8		(2)	%	(1)	%
Average deposits	$	434.9	$	439.2	$	452.8	(1)	%	(4)	%

Quarter end
Commercial	$	207.7	$	216.0	$	227.6	(4)	%	(9)	%
Consumer	228.6		222.2		229.7		3	%	—
Total deposits	$	436.3	$	438.2	$	457.3	—		(5)	%

Average deposits for the fourth quarter of 2022 were $434.9 billion, decreasing $4.3 billion compared with the third quarter of 2022 due to lower consumer deposits. The decrease in consumer deposits reflected the impact of inflationary pressures and competitive pricing dynamics. Compared with the fourth quarter of 2021, average deposits decreased $17.9 billion driven by lower commercial deposits, which were impacted by competitive pricing dynamics. In both comparisons, noninterest-bearing balances decreased due to deposit outflows and the shift of commercial deposits to interest-bearing as deposit rates have risen.

Deposits at December 31, 2022 of $436.3 billion, decreased $1.9 billion from September 30, 2022 due to a decline in commercial deposits at year end, partially offset by an increase in consumer deposits reflecting higher time deposits.


Borrowed Funds							Change		Change
	December 31, 2022		September 30, 2022		December 31, 2021		12/31/22 vs		12/31/22 vs
In billions							09/30/22		12/31/21

Average	$	59.2	$	44.3	$	34.3	34	%	73	%
Quarter end	$	58.7	$	54.6	$	30.8	8	%	91	%

Average borrowed funds of $59.2 billion in the fourth quarter of 2022 increased $14.9 billion and $24.9 billion compared with the third quarter of 2022 and fourth quarter of 2021, respectively, driven by Federal Home Loan Bank borrowings near the end of the third quarter. In comparison to September 30, 2022, the increase was also driven by higher senior debt.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 8


Capital	December 31, 2022			*	September 30, 2022			December 31, 2021

Common shareholders' equity In billions	$	40.0			$	39.4		$	50.7
Accumulated other comprehensive income (loss) In billions	$	(10.2)			$	(10.5)		$	0.4


Basel III common equity Tier 1 capital ratio	9.1		%		9.3		%	10.3		%
Basel III common equity Tier 1 fully implemented capital ratio	8.9		%		9.1		%	10.0		%
* Ratios estimated

PNC maintained a strong capital position. Common shareholders’ equity at December 31, 2022 increased $0.6 billion from September 30, 2022, driven by the benefit of fourth quarter net income and an increase in accumulated other comprehensive income, partially offset by share repurchases and dividends paid in the fourth quarter.

As a Category III institution, PNC has elected to exclude accumulated other comprehensive income when calculating Basel III capital ratios. Accumulated other comprehensive income at December 31, 2022 improved $0.3 billion compared to September 30, 2022, and included the accretion of unrealized losses on securities and swaps. Accumulated other comprehensive income decreased $10.6 billion compared to December 31, 2021, driven by the negative impact of higher interest rates on securities and swaps valuations.

In the fourth quarter of 2022, PNC returned $1.2 billion of capital to shareholders, comprising $0.6 billion of common share repurchases, representing 3.8 million shares, and $0.6 billion of dividends on common shares. Consistent with the Stress Capital Buffer (SCB) framework, which allows for capital return in amounts in excess of the SCB minimum levels, our board of directors has authorized a repurchase framework under the previously approved repurchase program of up to 100 million common shares, of which approximately 49% were still available for repurchase at December 31, 2022. Under this framework, PNC expects quarterly repurchases of up to $500

million with the ability to adjust those levels as conditions warrant. PNC's SCB for the four-quarter period beginning October 1, 2022 is 2.9%.

On January 4, 2023, the PNC board of directors declared a quarterly cash dividend on common stock of $1.50 per share. The dividend, with a payment date of February 5, 2023, will be payable the next business day.

For information regarding PNC's Basel III capital ratios, see Capital Ratios in the Consolidated Financial Highlights. PNC elected a five-year transition provision effective March 31, 2020 to delay until December 31, 2021 the full impact of the Current Expected Credit Losses (CECL) standard on regulatory capital, followed by a three-year transition period. Effective for the first quarter of 2022, PNC is now in the three-year transition period, and the full impact of the CECL standard is being phased-in to regulatory capital through December 31, 2024. The fully implemented ratios reflect the full impact of CECL and exclude the benefits of this transition provision.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 9


CREDIT QUALITY REVIEW

Credit Quality										Change			Change
	December 31, 2022			September 30, 2022			December 31, 2021			12/31/22 vs			12/31/22 vs
In millions										09/30/22			12/31/21
Provision for (recapture of) credit losses	$	408		$	241		$	(327)		$	167		$	735
Net loan charge-offs	$	224		$	119		$	124		88		%	81		%
Allowance for credit losses (a)	$	5,435		$	5,263		$	5,530		3		%	(2)		%

Total delinquencies (b)	$	1,490		$	1,626		$	1,985		(8)		%	(25)		%
Nonperforming loans	$	1,985		$	2,068		$	2,480		(4)		%	(20)		%


Net charge-offs to average loans (annualized)	0.28		%	0.15		%	0.17		%
Allowance for credit losses to total loans	1.67		%	1.67		%	1.92		%
Nonperforming loans to total loans	0.61		%	0.66		%	0.86		%
(a) Excludes allowances for investment securities and other financial assets (b) Total delinquencies represent accruing loans more than 30 days past due

Provision for credit losses of $408 million in the fourth quarter of 2022 included the impact of a weaker economic outlook and continued loan growth. The third quarter of 2022 included a provision for credit losses of $241 million.

Net loan charge-offs were $224 million in the fourth quarter of 2022, increasing $105 million and $100 million from the third quarter of 2022 and fourth quarter of 2021, respectively, and included the impact of one large commercial loan credit.

The allowance for credit losses was $5.4 billion at December 31, 2022, $5.3 billion at September 30, 2022 and $5.5 billion at December 31, 2021. The allowance for credit losses as a percentage of total loans was 1.67% at both December 31, 2022 and September 30, 2022 and 1.92% at December 31, 2021.

Nonperforming loans were $2.0 billion at December 31, 2022, decreasing $83 million and $495 million compared to September 30, 2022 and December 31, 2021, respectively, driven by lower commercial and consumer nonperforming loans.

Delinquencies at December 31, 2022 of $1.5 billion decreased $136 million and $495 million compared to September 30, 2022 and December 31, 2021, respectively. In both comparisons, the decrease reflected lower commercial loan delinquencies. Compared to December 31, 2021, the decrease was also driven by lower consumer loan delinquencies.


BUSINESS SEGMENT RESULTS

Business Segment Income (Loss)
In millions	4Q22		3Q22		4Q21
Retail Banking	$	752	$	560	$	362
Corporate & Institutional Banking	982		929		1,334
Asset Management Group	52		90		106
Other	(258)		45		(509)
Net income excluding noncontrolling interests	$	1,528	$	1,624	$	1,293

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 10


Retail Banking							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21
Net interest income	$	2,330	$	2,017	$	1,634	$	313	$	696
Noninterest income	$	749	$	725	$	774	$	24	$	(25)
Noninterest expense	$	1,892	$	1,901	$	1,874	$	(9)	$	18
Provision for credit losses	$	193	$	92	$	55	$	101	$	138
Earnings	$	752	$	560	$	362	$	192	$	390

In billions
Average loans	$	96.6	$	94.9	$	95.0	$	1.7	$	1.6
Average deposits	$	259.8	$	264.4	$	262.8	$	(4.6)	$	(3.0)




Net charge-offs In millions	$	108	$	98	$	124	$	10	$	(16)

Retail Banking Highlights

Fourth quarter 2022 compared with third quarter 2022

▪Earnings increased 34%, primarily due to higher net interest income, partially offset by a higher provision for credit losses.

–Noninterest income increased 3%, reflecting higher residential mortgage banking activities.

–Noninterest expense was relatively stable.

–Provision for credit losses of $193 million in the fourth quarter of 2022 included the impact of a weaker economic outlook.

▪Average loans increased 2%, due to higher residential mortgage, home equity and credit card loans, partially offset by lower auto loans.

▪Average deposits decreased 2%, reflecting inflationary pressures and competitive pricing dynamics.

Fourth quarter 2022 compared with fourth quarter 2021

▪Earnings increased 108%, reflecting higher net interest income, partially offset by a higher provision for credit losses.

–Noninterest income decreased 3%, driven by negative Visa Class B derivative fair value adjustments of $41 million related to litigation escrow funding and other valuation changes. The fourth quarter of 2021 included positive Visa Class B derivative fair value adjustments of $1 million.

–Noninterest expense was relatively stable.

▪Average loans increased 2%, driven by growth in residential mortgage loans.

▪Average deposits decreased modestly, or 1%.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 11


Corporate & Institutional Banking							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21
Net interest income	$	1,489	$	1,368	$	1,228	$	121	$	261
Noninterest income	$	962	$	887	$	1,053	$	75	$	(91)
Noninterest expense	$	990	$	890	$	975	$	100	$	15
Provision for (recapture of) credit losses	$	183	$	150	$	(369)	$	33	$	552
Earnings	$	982	$	929	$	1,334	$	53	$	(352)

In billions
Average loans	$	207.1	$	199.9	$	176.8	$	7.2	$	30.3
Average deposits	$	147.3	$	145.4	$	160.4	$	1.9	$	(13.1)




Net charge-offs (recoveries) In millions	$	100	$	33	$	(1)	$	67	$	101

Corporate & Institutional Banking Highlights

Fourth quarter 2022 compared with third quarter 2022

▪Earnings increased 6%, due to higher net interest income and noninterest income, partially offset by higher noninterest expense and a higher provision for credit losses.

–Noninterest income increased 8%, and included higher merger and acquisition advisory fees, lower commercial mortgage banking activities and a decline in loan syndication revenue.

–Noninterest expense increased 11%, reflecting higher variable compensation associated with increased business activity.

–Provision for credit losses of $183 million in the fourth quarter of 2022 included the impact of a weaker economic outlook and continued loan growth.

▪Average loans increased 4%, driven by growth in PNC's corporate banking, real estate and business credit businesses.

▪Average deposits increased modestly, or 1%, reflecting seasonal growth.

Fourth quarter 2022 compared with fourth quarter 2021

▪Earnings decreased 26%, as higher net interest income was more than offset by a higher provision for credit losses, lower noninterest income and higher noninterest expense.

–Noninterest income decreased 9%, primarily due to lower merger and acquisition advisory fees.

–Noninterest expense increased 2%, due to continued investments to support business growth, partially offset by lower variable compensation associated with decreased business activity.

▪Average loans increased 17%, primarily driven by growth in PNC's corporate banking, business credit and real estate businesses, partially offset by Paycheck Protection Program loan forgiveness.

▪Average deposits decreased 8%, and included the impact of competitive pricing dynamics.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 12


Asset Management Group							Change		Change
							4Q22 vs		4Q22 vs
In millions	4Q22		3Q22		4Q21		3Q22		4Q21
Net interest income	$	152	$	165	$	130	$	(13)	$	22
Noninterest income	$	223	$	231	$	258	$	(8)	$	(35)
Noninterest expense	$	291	$	274	$	265	$	17	$	26
Provision for (recapture of) credit losses	$	17	$	4	$	(15)	$	13	$	32
Earnings	$	52	$	90	$	106	$	(38)	$	(54)

In billions
Discretionary client assets under management	$	173	$	166	$	192	$	7	$	(19)
Nondiscretionary client assets under administration	$	152	$	148	$	175	$	4	$	(23)
Client assets under administration at quarter end	$	325	$	314	$	367	$	11	$	(42)
Brokerage client account assets	$	4	$	4	$	5	—		$	(1)

In billions
Average loans	$	14.5	$	14.4	$	12.9	$	0.1	$	1.6
Average deposits	$	27.8	$	29.3	$	29.3	$	(1.5)	(1.5)




Net charge-offs (recoveries) In millions	$	18	$	(2)	$	1	$	20	$	17

Asset Management Group Highlights

Fourth quarter 2022 compared with third quarter 2022

▪Earnings decreased 42%, driven by lower net interest and noninterest income as well as higher noninterest expense and an increase in the provision for credit losses.

–Noninterest income decreased 3%, reflecting the impact of lower average equity markets.

–Noninterest expense increased 6%, and included higher personnel costs.

–Provision for credit losses of $17 million in the fourth quarter of 2022 included the impact of a weaker economic outlook and charge-offs related to certain acquired loans.

▪Discretionary client assets under management increased 4%, primarily driven by higher spot equity markets.

▪Average loans were relatively stable.

▪Average deposits decreased 5%, reflecting the impact of competitive pricing dynamics and inflationary pressures.

Fourth quarter 2022 compared with fourth quarter 2021

▪Earnings decreased 51%, as higher net interest income was more than offset by lower noninterest income, an increase in the provision for credit losses and higher noninterest expense.

–Noninterest income decreased 14%, primarily due to the impact of lower average equity markets.

–Noninterest expense increased 10%, reflecting continued investments to support business growth.

▪Discretionary client assets under management decreased 10%, driven by lower spot equity markets.

▪Average loans increased 12%, due to growth in residential mortgage loans.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 13

▪Average deposits decreased 5%, and included the impact of client activity, competitive pricing dynamics and inflationary pressures.

Other

The “Other” category, for the purposes of this release, includes residual activities that do not meet the criteria for disclosure as a separate reportable business, such as asset and liability management activities including net securities gains or losses, other-than-temporary impairment of investment securities, certain trading activities, certain runoff consumer loan portfolios, private equity investments, intercompany eliminations, certain corporate overhead, tax adjustments that are not allocated to business segments, exited businesses, and differences between business segment performance reporting and financial statement reporting under generally accepted accounting principles.

CONFERENCE CALL AND SUPPLEMENTAL FINANCIAL INFORMATION

PNC Chairman, President and Chief Executive Officer William S. Demchak and Executive Vice President and Chief Financial Officer Robert Q. Reilly will hold a conference call for investors today at 9:00 a.m. Eastern Time regarding the topics addressed in this news release and the related financial supplement. Dial-in numbers for the conference call are (877) 224-6304 and (303) 223-0120 (international) and Internet access to the live audio listen-only webcast of the call is available at www.pnc.com/investorevents. PNC’s fourth quarter 2022, related financial supplement, and presentation slides to accompany the conference call remarks will be available at www.pnc.com/investorevents prior to the beginning of the call. A telephone replay of the call will be available for one week at (800) 633-8284 and (402) 977-9140 (international), conference ID 22021446 and a replay of the audio webcast will be available on PNC’s website for 30 days.

The PNC Financial Services Group, Inc. is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking including a full range of lending products; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management. For information about PNC, visit www.pnc.com.

[TABULAR MATERIAL FOLLOWS]

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 14


The PNC Financial Services Group, Inc.	Consolidated Financial Highlights (Unaudited)

FINANCIAL RESULTS		Three months ended									Year ended
Dollars in millions, except per share data		December 31			September 30			December 31			December 31			December 31
		2022			2022			2021			2022			2021
Revenue
Net interest income		$	3,684		$	3,475		$	2,862		$	13,014		$	10,647
Noninterest income		2,079			2,074			2,265			8,106			8,564
Total revenue		5,763			5,549			5,127			21,120			19,211
Provision for (recapture of) credit losses		408			241			(327)			477			(779)
Noninterest expense		3,474			3,280			3,791			13,170			13,002
Income before income taxes and noncontrolling interests		$	1,881		$	2,028		$	1,663		$	7,473		$	6,988
Income taxes		333			388			357			1,360			1,263




Net income		$	1,548		$	1,640		$	1,306		$	6,113		$	5,725
Less:
Net income attributable to noncontrolling interests		20			16			13			72			51
Preferred stock dividends (a)		120			65			71			301			233
Preferred stock discount accretion and redemptions		1			1			2			5			5
Net income attributable to common shareholders		$	1,407		$	1,558		$	1,220		$	5,735		$	5,436
Per Common Share
Basic		$	3.47		$	3.78		$	2.87		$	13.86		$	12.71


Diluted		$	3.47		$	3.78		$	2.86		$	13.85		$	12.70


Cash dividends declared per common share		$	1.50		$	1.50		$	1.25		$	5.75		$	4.80
Effective tax rate (b)		17.7		%	19.1		%	21.5		%	18.2		%	18.1		%
PERFORMANCE RATIOS
Net interest margin (c)		2.92		%	2.82		%	2.27		%	2.65		%	2.29		%
Noninterest income to total revenue		36		%	37		%	44		%	38		%	45		%
Efficiency (d)		60		%	59		%	74		%	62		%	68		%
Return on:
Average common shareholders' equity		14.19		%	14.97		%	9.61		%	13.52		%	10.78		%
Average assets		1.10		%	1.19		%	0.93		%	1.11		%	1.09		%

(a)Dividends are payable quarterly other than Series R and Series S preferred stock, which are payable semiannually.

(b)The effective income tax rates are generally lower than the statutory rate due to the relationship of pretax income to tax credits and earnings that are not subject to tax.

(c)Net interest margin is the total yield on interest-earning assets minus the total rate on interest-bearing liabilities and includes the benefit from use of noninterest-bearing sources. To provide more meaningful comparisons of net interest margins, we use net interest income on a taxable-equivalent basis in calculating average yields used in the calculation of net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under generally accepted accounting principles (GAAP) in the Consolidated Income Statement. The taxable-equivalent adjustments to net interest income for the three months ended December 31, 2022, September 30, 2022 and December 31, 2021 were $36 million, $29 million and $22 million, respectively. The taxable-equivalent adjustments to net interest income for the twelve months ended December 31, 2022 and December 31, 2021 were $112 million and $74 million, respectively.

(d)Calculated as noninterest expense divided by total revenue.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 15


The PNC Financial Services Group, Inc.	Consolidated Financial Highlights (Unaudited)

	December 31			September 30			December 31
	2022			2022			2021
BALANCE SHEET DATA
Dollars in millions, except per share data
Assets	$	557,263		$	559,477		$	557,191
Loans (a)	$	326,025		$	315,400		$	288,372
Allowance for loan and lease losses	$	4,741		$	4,581		$	4,868
Interest-earning deposits with banks	$	27,320		$	40,278		$	74,250
Investment securities	$	139,334		$	136,451		$	132,962








Total deposits	$	436,282		$	438,194		$	457,278
Borrowed funds (a)	$	58,713		$	54,633		$	30,784
Allowance for unfunded lending related commitments	$	694		$	682		$	662
Total shareholders' equity	$	45,774		$	46,688		$	55,695
Common shareholders' equity	$	40,028		$	39,444		$	50,685
Accumulated other comprehensive income (loss)	$	(10,172)		$	(10,486)		$	409
Book value per common share	$	99.93		$	97.59		$	120.61
Tangible book value per common share (non-GAAP) (b)	$	72.12		$	69.98		$	94.11
Period end common shares outstanding (In millions)	401			404			420
Loans to deposits	75		%	72		%	63		%
Common shareholders' equity to total assets	7.2		%	7.1		%	9.1		%
CLIENT ASSETS (In billions)
Discretionary client assets under management	$	173		$	166		$	192
Nondiscretionary client assets under administration	152			148			175
Total client assets under administration	325			314			367
Brokerage account client assets	74			71			83
Total client assets	$	399		$	385		$	450
CAPITAL RATIOS
Basel III (c) (d)
Common equity Tier 1	9.1		%	9.3		%	10.3		%
Common equity Tier 1 fully implemented (e)	8.9		%	9.1		%	10.0		%
Tier 1 risk-based	10.4		%	11.0		%	11.6		%
Total capital risk-based (f)	12.3		%	12.9		%	13.5		%
Leverage	8.2		%	8.6		%	8.2		%
Supplementary leverage	7.0		%	7.3		%	7.0		%
ASSET QUALITY
Nonperforming loans to total loans	0.61		%	0.66		%	0.86		%
Nonperforming assets to total loans, OREO and foreclosed assets	0.62		%	0.67		%	0.87		%
Nonperforming assets to total assets	0.36		%	0.38		%	0.45		%
Net charge-offs to average loans (for the three months ended) (annualized)	0.28		%	0.15		%	0.17		%
Allowance for loan and lease losses to total loans	1.45		%	1.45		%	1.69		%
Allowance for credit losses to total loans (g)	1.67		%	1.67		%	1.92		%
Allowance for loan and lease losses to nonperforming loans	239		%	222		%	196		%
Total delinquencies (In millions) (h)	$	1,490		$	1,626		$	1,985

(a)Amounts include assets and liabilities for which we have elected the fair value option. Our 2022 Form 10-Qs included, and our 2022 Form 10-K will include, additional information regarding these Consolidated Balance Sheet line items.

(b)See the Tangible Book Value per Common Share table on page 18 for additional information.

(c)All ratios are calculated using the regulatory capital methodology applicable to PNC during each period presented and calculated based on the standardized approach. See Capital Ratios on page 16 for additional information. The ratios as of December 31, 2022 are estimated.

(d)The ratios are calculated to reflect PNC's election to adopt the CECL optional five-year transition provision.

(e)The fully implemented ratios are calculated to reflect the full impact of CECL and excludes the benefits of the five-year transition provision.

(f)The 2021 Basel III Total risk-based capital ratio includes nonqualifying trust preferred capital securities of $20 million that were subject to a phase-out period that ran through 2021.

(g)Excludes allowances for investment securities and other financial assets.

(h)Total delinquencies represent accruing loans more than 30 days past due.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 16


The PNC Financial Services Group, Inc.						Consolidated Financial Highlights (Unaudited)

CAPITAL RATIOS

PNC's regulatory risk-based capital ratios in 2022 are calculated using the standardized approach for determining risk-weighted assets. Under the standardized approach for determining credit risk-weighted assets, exposures are generally assigned a pre-defined risk weight. Exposures to high volatility commercial real estate, past due exposures and equity exposures are generally subject to higher risk weights than other types of exposures.

PNC elected a five-year transition provision effective March 31, 2020 to delay until December 31, 2021 the full impact of the CECL standard on regulatory capital, followed by a three-year transition period. Effective for the first quarter 2022, PNC is now in the three-year transition period, and the full impact of the CECL standard is being phased-in to regulatory capital through December 31, 2024. See the table below for the September 30, 2022, December 31, 2021 and estimated December 31, 2022 ratios. For the full impact of PNC's adoption of CECL, which excludes the benefits of the five-year transition provision, see the December 31, 2022 and September 30, 2022 (Fully Implemented) estimates presented in the table below.

Our Basel III capital ratios may be impacted by changes to the regulatory capital rules and additional regulatory guidance or analysis.


Basel lll Common Equity Tier 1 Capital Ratios
	Basel III (a)
	December 31 2022 (estimated) (b)			September 30 2022 (b)			December 31 2021 (b)			December 31, 2022 (Fully Implemented) (estimated) (c)			September 30, 2022 (Fully Implemented) (estimated) (c)


Dollars in millions
Common stock, related surplus and retained earnings, net of treasury stock	$	50,924		$	50,654		$	51,242		$	50,200		$	49,930
Less regulatory capital adjustments:
Goodwill and disallowed intangibles, net of deferred tax liabilities	(11,138)			(11,159)			(11,137)			(11,138)			(11,159)
All other adjustments	(108)			(123)			(39)			(109)			(127)
Basel III Common equity Tier 1 capital	$	39,678		$	39,372		$	40,066		$	38,953		$	38,644
Basel III standardized approach risk-weighted assets (d)	$	435,848		$	423,446		$	388,769		$	435,892		$	423,593
Basel III Common equity Tier 1 capital ratio	9.1		%	9.3		%	10.3		%	8.9		%	9.1		%

(a)All ratios are calculated using the regulatory capital methodology applicable to PNC during each period presented.

(b)The ratio is calculated to reflect PNC's election to adopt the CECL optional five-year transition provision.

(c)The December 31, 2022 and September 30, 2022 ratio is calculated to reflect the full impact of CECL and excludes the benefits of the five-year transition provision.

(d)Basel III standardized approach risk-weighted assets are based on the Basel III standardized approach rules and include credit and market risk-weighted assets.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 17


The PNC Financial Services Group, Inc.						Consolidated Financial Highlights (Unaudited)

NON-GAAP MEASURES


Pretax Pre-Provision Earnings (non-GAAP) Pretax Pre-Provision Earnings Excluding Integration Costs (non-GAAP)	Three months ended				Year ended
	December 31		September 30		December 31		December 31
Dollars in millions	2022		2022		2022		2021
Income before income taxes and noncontrolling interests	$	1,881	$	2,028	$	7,473	$	6,988
Provision for (recapture of) credit losses	408		241		477		(779)
Pretax pre-provision earnings (non-GAAP)	$	2,289	$	2,269	$	7,950	$	6,209
Integration costs	9		1		55		798
Pretax pre-provision earnings excluding integration costs (non-GAAP)	$	2,298	$	2,270	$	8,005	$	7,007

Pretax pre-provision earnings is a non-GAAP measure and is based on adjusting income before income taxes and noncontrolling interests to exclude provision for (recapture of) credit losses. We believe that pretax, pre-provision earnings is a useful tool to help evaluate the ability to provide for credit costs through operations and provides an additional basis to compare results between periods by isolating the impact of provision for (recapture of) credit losses, which can vary significantly between periods.

Pretax pre-provision earnings excluding integration costs is a non-GAAP measure and is based on adjusting pretax pre-provision earnings to exclude integration costs during the period. We believe that pretax, pre-provision earnings excluding integration costs is a useful tool in understanding PNC's results by providing greater comparability between periods, as well as demonstrating the effect of significant items.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 18


The PNC Financial Services Group, Inc.						Consolidated Financial Highlights (Unaudited)


Adjusted Diluted Earnings per Common Share Excluding Integration Costs (non-GAAP)	Three months ended
	December 31		Per Common		September 30		Per Common		December 31		Per Common
Dollars in millions, except per share data	2022		Share		2022		Share		2021		Share
Net income attributable to common shareholders	$	1,407			$	1,558			$	1,220
Dividends and undistributed earnings allocated to nonvested restricted shares	(7)				(8)				(6)
Net income attributable to diluted common shareholders	$	1,400	$	3.47	$	1,550	$	3.78	$	1,214	$	2.86
Integration costs after tax (a)	8		0.02		1		—		346		0.82
Adjusted net income attributable to diluted common shareholders excluding integration costs (non-GAAP)	$	1,408	$	3.49	$	1,551	$	3.78	$	1,560	$	3.68
Average diluted common shares outstanding (In millions)	404				410				424


	Year ended
	December 31		Per Common		December 31		Per Common
Dollars in millions, except per share data	2022		Share		2021		Share
Net income attributable to common shareholders	$	5,735			$	5,436
Dividends and undistributed earnings allocated to nonvested restricted shares	(27)				(27)
Net income attributable to diluted common shareholders	$	5,708	$	13.85	$	5,409	$	12.70
Integration costs after tax (a)	44		0.11		630		1.48
Adjusted net income attributable to diluted common shareholders excluding integration costs (non-GAAP)	$	5,752	$	13.96	$	6,039	$	14.18
Average diluted common shares outstanding (In millions)	412				426

(a)Statutory tax rate of 21% used to calculate impacts.

The adjusted diluted earnings per common share excluding integration costs is a non-GAAP measure and excludes the integration costs related to the BBVA USA acquisition. It is calculated based on adjusting net income attributable to diluted common shareholders by removing post-tax integration costs in the period. We believe this non-GAAP measure serves as a useful tool in understanding PNC's results by providing greater comparability between periods, as well as demonstrating the effect of significant items.


Tangible Book Value per Common Share (non-GAAP)
	December 31		September 30		December 31
Dollars in millions, except per share data	2022		2022		2021
Book value per common share	$	99.93	$	97.59	$	120.61
Tangible book value per common share
Common shareholders' equity	$	40,028	$	39,444	$	50,685
Goodwill and other intangible assets	(11,400)		(11,423)		(11,406)
Deferred tax liabilities on goodwill and other intangible assets	261		263		270
Tangible common shareholders' equity	$	28,889	$	28,284	$	39,549
Period-end common shares outstanding (In millions)	401		404		420
Tangible book value per common share (non-GAAP)	$	72.12	$	69.98	$	94.11

Tangible book value per common share is a non-GAAP measure and is calculated based on tangible common shareholders' equity divided by period-end common shares outstanding. We believe this non-GAAP measure serves as a useful tool to help evaluate the strength and discipline of a company's capital management strategies and as an additional, conservative measure of total company value.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 19


The PNC Financial Services Group, Inc.						Consolidated Financial Highlights (Unaudited)


Taxable-Equivalent Net Interest Income (non-GAAP)	Three months ended				Year ended
	December 31		September 30		December 31		December 31
Dollars in millions	2022		2022		2022		2021
Net interest income	$	3,684	$	3,475	$	13,014	$	10,647
Taxable-equivalent adjustments	36		29		112		74
Net interest income (Fully Taxable-Equivalent - FTE)	$	3,720	$	3,504	$	13,126	$	10,721

The interest income earned on certain earning assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments. To provide more meaningful comparisons of net interest income, we use interest income on a taxable-equivalent basis by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under GAAP. Taxable-equivalent net interest income is only used for calculating net interest margin and net interest income shown elsewhere in this presentation is GAAP net interest income.


Efficiency Ratio Excluding Integration Costs (non-GAAP)	Three months ended						Year ended
	December 31			September 30				December 31			December 31
Dollars in millions	2022			2022				2022			2021
Noninterest expense	$	3,474		$	3,280			$	13,170		$	13,002
Integration expense	(4)							(28)			(733)
Noninterest expense excluding integration expense (non-GAAP)	$	3,470		$	3,280			$	13,142		$	12,269

Total revenue	$	5,763		$	5,549			$	21,120		$	19,211
Integration costs - contra revenue	(5)			(1)				(27)			(65)
Total revenue excluding integration costs - contra revenue (non-GAAP)	$	5,768		$	5,550			$	21,147		$	19,276

Efficiency ratio (a)	60		%	59		%		62		%	68		%
Efficiency ratio excluding integration costs (non-GAAP) (b)	60		%	59		%		62		%	64		%

(a)Calculated as noninterest expense divided by total revenue.

(b)Calculated as noninterest expense excluding integration expense divided by total revenue excluding integration costs - contra revenue.

The efficiency ratio excluding integration costs is a non-GAAP measure and excludes the integration costs related to the BBVA USA acquisition. It is calculated based on adjusting the efficiency ratio calculation by excluding integration costs during the period from noninterest expense and total revenue. We believe that this non-GAAP measure is a useful tool for the purpose of evaluating PNC's results. The exclusion of integration costs increases comparability across periods, demonstrates the impact of significant items and provides a useful measure for determining PNC's revenue and expenses that are core to our business operations and expected to recur over time.

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PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 20

Cautionary Statement Regarding Forward-Looking Information

We make statements in this news release and related conference call, and we may from time to time make other statements, regarding our outlook for financial performance, such as earnings, revenues, expenses, tax rates, capital and liquidity levels and ratios, asset levels, asset quality, financial position, and other matters regarding or affecting us and our future business and operations, including our sustainability strategy, that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Forward-looking statements are typically identified by words such as “believe,” “plan,” “expect,” “anticipate,” “see,” “look,” “intend,” “outlook,” “project,” “forecast,” “estimate,” “goal,” “will,” “should” and other similar words and expressions.

Forward-looking statements are necessarily subject to numerous assumptions, risks and uncertainties, which change over time. Future events or circumstances may change our outlook and may also affect the nature of the assumptions, risks and uncertainties to which our forward-looking statements are subject. Forward-looking statements speak only as of the date made. We do not assume any duty and do not undertake any obligation to update forward-looking statements. Actual results or future events could differ, possibly materially, from those anticipated in forward-looking statements, as well as from historical performance. As a result, we caution against placing undue reliance on any forward-looking statements.

Our forward-looking statements are subject to the following principal risks and uncertainties.

▪Our businesses, financial results and balance sheet values are affected by business and economic conditions, including:

–Changes in interest rates and valuations in debt, equity and other financial markets,

–Disruptions in the U.S. and global financial markets,

–Actions by the Federal Reserve Board, U.S. Treasury and other government agencies, including those that impact money supply, market interest rates and inflation,

–Changes in customer behavior due to changing business and economic conditions or legislative or regulatory initiatives,

–Changes in customers’, suppliers’ and other counterparties’ performance and creditworthiness,

–Impacts of tariffs and other trade policies of the U.S. and its global trading partners,

–The impact of the Russia-Ukraine conflict, and associated sanctions or other actions in response, on the global and U.S. economy,

–The length and extent of the economic impacts of the COVID-19 pandemic,

–Impacts of changes in federal, state and local governmental policy, including on the regulatory landscape, capital markets, taxes, infrastructure spending and social programs,

–PNC’s ability to attract, recruit and retain skilled employees, and

–Commodity price volatility.

▪Our forward-looking financial statements are subject to the risk that economic and financial market conditions will be substantially different than those we are currently expecting and do not take into account potential legal and regulatory contingencies. These statements are based on our views that:

–The economy continues to expand in early 2023, but economic growth is slowing in response to the ongoing Federal Reserve monetary policy tightening to slow inflation. This has led to large increases in both short- and long-term interest rates. The housing market is already in steep decline as much higher mortgage rates have led to significant drops in housing starts, home sales, and house prices. Other sectors where interest rates play an outsized role, such as business investment and consumer spending on durable goods, will contract in 2023.

–PNC’s baseline outlook is for a recession starting in the spring of 2023, with real GDP contracting a modest 1% before recovery starts in early 2024 as the Federal Reserve lowers interest rates in response to a deteriorating labor market and slower inflation. The unemployment rate will increase throughout 2023, peaking at above 5% in the first half of 2024. Inflation will slow with the recession and be back to the Federal Reserve's 2% long-term objective by early 2024.

–PNC expects the Federal Open Market Committee (FOMC) to increase the federal funds rate by an additional 50 basis points, with a 25-basis point increase in both February and March. This would bring the federal funds rate to a range of 4.75% to 5.00% by mid-March. PNC expects a federal funds rate cut of 25 basis points in December 2023 as inflation moves toward the FOMC's 2% long-term objective and the economy enters into recession.

▪PNC’s ability to take certain capital actions, including returning capital to shareholders, is subject to PNC meeting or exceeding a stress capital buffer established by the Federal Reserve Board in connection with the Federal Reserve Board’s Comprehensive Capital Analysis and Review (CCAR) process.

▪PNC’s regulatory capital ratios in the future will depend on, among other things, the company’s financial performance, the scope and terms of final capital regulations then in effect and management actions affecting the composition of PNC’s balance sheet. In addition, PNC’s ability to determine, evaluate and forecast regulatory capital ratios, and to take actions (such as capital distributions) based on actual or forecasted capital ratios, will be dependent at least in part on the development, validation and regulatory review of related models and the reliability of and risks resulting from extensive use of such models.

- more -

PNC Reports Full Year 2022 Net Income of $6.1 Billion, $13.85 Diluted EPS or $13.96 As Adjusted – Page 21

Cautionary Statement Regarding Forward-Looking Information (Continued)

▪Legal and regulatory developments could have an impact on our ability to operate our businesses, financial condition, results of operations, competitive position, reputation, or pursuit of attractive acquisition opportunities. Reputational impacts could affect matters such as business generation and retention, liquidity, funding, and ability to attract and retain employees. These developments could include:

–Changes to laws and regulations, including changes affecting oversight of the financial services industry; changes in the enforcement and interpretation of such laws and regulations; and changes in accounting and reporting standards.

–Unfavorable resolution of legal proceedings or other claims and regulatory and other governmental investigations or other inquiries resulting in monetary losses, costs, or alterations in our business practices, and potentially causing reputational harm to PNC.

–Results of the regulatory examination and supervision process, including our failure to satisfy requirements of agreements with governmental agencies.

–Costs associated with obtaining rights in intellectual property claimed by others and of adequacy of our intellectual property protection in general.

▪Business and operating results are affected by our ability to identify and effectively manage risks inherent in our businesses, including, where appropriate, through effective use of systems and controls, third-party insurance, derivatives, and capital management techniques, and to meet evolving regulatory capital and liquidity standards.

▪Our reputation and business and operating results may be affected by our ability to appropriately meet or address environmental, social or governance targets, goals, commitments or concerns that may arise.

▪We grow our business in part through acquisitions and new strategic initiatives. Risks and uncertainties include those presented by the nature of the business acquired and strategic initiative, including in some cases those associated with our entry into new businesses or new geographic or other markets and risks resulting from our inexperience in those new areas, as well as risks and uncertainties related to the acquisition transactions themselves, regulatory issues, the integration of the acquired businesses into PNC after closing or any failure to execute strategic or operational plans.

▪Competition can have an impact on customer acquisition, growth and retention and on credit spreads and product pricing, which can affect market share, deposits and revenues. Our ability to anticipate and respond to technological changes can also impact our ability to respond to customer needs and meet competitive demands.

▪Business and operating results can also be affected by widespread manmade, natural and other disasters (including severe weather events); health emergencies; dislocations; geopolitical instabilities or events; terrorist activities; system failures or disruptions; security breaches; cyberattacks; international hostilities; or other extraordinary events beyond PNC’s control through impacts on the economy and financial markets generally or on us or our counterparties, customers or third-party vendors and service providers specifically.

We provide greater detail regarding these as well as other factors in our 2021 Form 10-K and in our subsequent Form 10-Q's, including in the Risk Factors and Risk Management sections and the Legal Proceedings and Commitments Notes of the Notes To Consolidated Financial Statements in those reports, and in our other subsequent SEC filings. Our forward-looking statements may also be subject to other risks and uncertainties, including those we may discuss elsewhere in this news release or in our SEC filings, accessible on the SEC’s website at www.sec.gov and on our corporate website at www.pnc.com/secfilings. We have included these web addresses as inactive textual references only. Information on these websites is not part of this document.

###

Exhibit 99.2

THE PNC FINANCIAL SERVICES GROUP, INC.

FINANCIAL SUPPLEMENT

FOURTH QUARTER 2022

(Unaudited)

THE PNC FINANCIAL SERVICES GROUP, INC.

FINANCIAL SUPPLEMENT

FOURTH QUARTER 2022

(UNAUDITED)


Consolidated Results:			Page
Income Statement			1
Balance Sheet			2
Average Balance Sheet			3
Details of Net Interest Margin			4

Loans			5
Allowance for Credit Losses			6-7
Nonperforming Assets			8
Accruing Loans Past Due			9-11

Business Segment Results:
Descriptions			12
Period End Employees			12
Net Income and Revenue			13
Retail Banking			14-15
Corporate & Institutional Banking			16
Asset Management Group			17

Glossary of Terms			18-20

The information contained in this Financial Supplement is preliminary, unaudited and based on data available on January 18, 2023. We have reclassified certain prior period amounts to be consistent with the current period presentation, which we believe is more meaningful to readers of our consolidated financial statements. This information speaks only as of the particular date or dates included in the schedules. We do not undertake any obligation to, and disclaim any duty to, correct or update any of the information provided in this Financial Supplement. Our future financial performance is subject to risks and uncertainties as described in our United States Securities and Exchange Commission (SEC) filings.

BUSINESS

PNC is one of the largest diversified financial services companies in the United States (U.S.) and is headquartered in Pittsburgh, Pennsylvania. PNC has businesses engaged in retail banking, including residential mortgage, corporate and institutional banking and asset management, providing many of its products and services nationally. PNC's retail branch network is located coast-to-coast. PNC also has strategic international offices in four countries outside the U.S.

PRESENTATION OF NONINTEREST INCOME

Effective for the first quarter of 2022, PNC updated the presentation of its noninterest income categorization to be based on product and service type, and accordingly, has changed the basis of presentation of its noninterest income revenue streams to: (i) Asset management and brokerage, (ii) Capital markets related, (iii) Card and cash management, (iv) Lending and deposit services, (v) Residential and commercial mortgage and (vi) Other noninterest income. For a description of each updated noninterest income revenue stream, see our third quarter 2022 Form 10-Q. Additionally, in the fourth quarter of 2022, PNC updated the name of the noninterest income line item "capital markets related" to "capital markets and advisory." This update did not impact the components of the category. All periods presented herein reflect these changes.

ACQUISITION OF BBVA USA BANCSHARES, INC.

On June 1, 2021, PNC acquired BBVA USA Bancshares Inc. (BBVA), a U.S. financial holding company conducting its business operations primarily through its U.S. banking subsidiary, BBVA USA. PNC paid $11.5 billion in cash as consideration for the acquisition.

On October 8, 2021, BBVA USA merged into PNC Bank. On October 12, 2021, PNC converted approximately 2.6 million

customers, 9,000 employees and over 600 branches across seven states. Our results of operations and balance sheets for all periods presented in this Financial Supplement reflect the benefit of BBVA’s acquired businesses for the period since the acquisition closed on June 1, 2021.


THE PNC FINANCIAL SERVICES GROUP, INC.
Cross Reference Index to Fourth Quarter 2022 Financial Supplement (Unaudited)
Financial Supplement Table Reference

Table	Description	Page
1	Consolidated Income Statement	1
2	Consolidated Balance Sheet	2
3	Average Consolidated Balance Sheet	3
4	Details of Net Interest Margin	4

5	Details of Loans	5
6	Change in Allowance for Loan and Lease Losses	6
7	Components of the Provision for (Recapture of) Credit Losses	7
8	Allowance for Credit Losses by Loan Class	7
9	Nonperforming Assets by Type	8
10	Change in Nonperforming Assets	8
11	Accruing Loans Past Due 30 to 59 Days	9
12	Accruing Loans Past Due 60 to 89 Days	10
13	Accruing Loans Past Due 90 Days or More	11
14	Period End Employees	12
15	Summary of Business Segment Net Income and Revenue	13
16	Retail Banking	14-15
17	Corporate & Institutional Banking	16
18	Asset Management Group	17


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 1

Table 1: Consolidated Income Statement (Unaudited)


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
In millions, except per share data	2022			2022			2022			2022			2021			2022			2021
Interest Income
Loans	$	3,860		$	3,138		$	2,504		$	2,293		$	2,414		$	11,795		$	9,007
Investment securities	836			715			631			544			484			2,726			1,834
Other	413			279			146			77			77			915			293
Total interest income	5,109			4,132			3,281			2,914			2,975			15,436			11,134
Interest Expense
Deposits	812			340			88			27			27			1,267			126
Borrowed funds	613			317			142			83			86			1,155			361
Total interest expense	1,425			657			230			110			113			2,422			487
Net interest income	3,684			3,475			3,051			2,804			2,862			13,014			10,647
Noninterest Income
Asset management and brokerage	345			357			365			377			385			1,444			1,438
Capital markets and advisory	336			299			409			252			460			1,296			1,577
Card and cash management	671			671			671			620			646			2,633			2,398
Lending and deposit services	296			287			282			269			273			1,134			1,102
Residential and commercial mortgage	184			143			161			159			209			647			850
Other (a)	247			317			177			211			292			952			1,199
Total noninterest income	2,079			2,074			2,065			1,888			2,265			8,106			8,564
Total revenue	5,763			5,549			5,116			4,692			5,127			21,120			19,211
Provision For (Recapture of) Credit Losses	408			241			36			(208)			(327)			477			(779)
Noninterest Expense
Personnel	1,943			1,805			1,779			1,717			2,038			7,244			7,141
Occupancy	247			241			246			258			260			992			940
Equipment	369			344			351			331			437			1,395			1,411
Marketing	106			93			95			61			97			355			319
Other	809			797			773			805			959			3,184			3,191
Total noninterest expense	3,474			3,280			3,244			3,172			3,791			13,170			13,002
Income before income taxes and noncontrolling interests	1,881			2,028			1,836			1,728			1,663			7,473			6,988
Income taxes	333			388			340			299			357			1,360			1,263




Net income	1,548			1,640			1,496			1,429			1,306			6,113			5,725
Less: Net income attributable to noncontrolling interests	20			16			15			21			13			72			51
Preferred stock dividends (b)	120			65			71			45			71			301			233
Preferred stock discount accretion and redemptions	1			1			1			2			2			5			5
Net income attributable to common shareholders	$	1,407		$	1,558		$	1,409		$	1,361		$	1,220		$	5,735		$	5,436
Earnings Per Common Share
Basic	$	3.47		$	3.78		$	3.39		$	3.23		$	2.87		$	13.86		$	12.71


Diluted	$	3.47		$	3.78		$	3.39		$	3.23		$	2.86		$	13.85		$	12.70


Average Common Shares Outstanding
Basic	404			410			414			420			424			412			426
Diluted	404			410			414			420			424			412			426
Efficiency	60		%	59		%	63		%	68		%	74		%	62		%	68		%
Noninterest income to total revenue	36		%	37		%	40		%	40		%	44		%	38		%	45		%
Effective tax rate from continuing operations (c)	17.7		%	19.1		%	18.5		%	17.3		%	21.5		%	18.2		%	18.1		%

(a)Includes net gains (losses) on sales of securities of $(3) million, less than $1 million, less than $(1) million, $(4) million and $14 million for the quarters ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021, respectively, and $(7) million and $64 million for the twelve months ended December 31, 2022 and December 31, 2021, respectively.

(b)Dividends are payable quarterly other than Series R and Series S preferred stock, which are payable semiannually.

(c)The effective income tax rates are generally lower than the statutory rate due to the relationship of pretax income to tax credits and earnings that are not subject to tax.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 2

Table 2: Consolidated Balance Sheet (Unaudited)


	December 31		September 30		June 30		March 31		December 31
In millions, except par value	2022		2022		2022		2022		2021
Assets
Cash and due from banks	$	7,043	$	6,548	$	8,582	$	7,572	$	8,004
Interest-earning deposits with banks (a)	27,320		40,278		28,404		48,776		74,250
Loans held for sale (b)	1,010		1,126		1,191		1,506		2,231
Investment securities – available for sale	44,159		45,798		52,984		112,313		131,536
Investment securities – held to maturity	95,175		90,653		79,748		20,098		1,426
Loans (b)	326,025		315,400		310,800		294,457		288,372
Allowance for loan and lease losses	(4,741)		(4,581)		(4,462)		(4,558)		(4,868)
Net loans	321,284		310,819		306,338		289,899		283,504
Equity investments	8,437		8,130		8,441		7,798		8,180
Mortgage servicing rights	3,423		3,206		2,608		2,208		1,818
Goodwill	10,987		10,987		10,916		10,916		10,916
Other (b)	38,425		41,932		41,574		40,160		35,326
Total assets	$	557,263	$	559,477	$	540,786	$	541,246	$	557,191
Liabilities
Deposits
Noninterest-bearing	$	124,486	$	138,423	$	146,438	$	150,798	$	155,175
Interest-bearing	311,796		299,771		294,373		299,399		302,103
Total deposits	436,282		438,194		440,811		450,197		457,278
Borrowed funds
Federal Home Loan Bank borrowings	32,075		30,075		10,000
Senior debt	16,657		13,357		14,358		16,206		20,661
Subordinated debt	6,307		7,286		7,487		6,766		6,996
Other (b)	3,674		3,915		4,139		3,599		3,127
Total borrowed funds	58,713		54,633		35,984		26,571		30,784
Allowance for unfunded lending related commitments	694		682		681		639		662
Accrued expenses and other liabilities	15,762		19,245		15,622		14,623		12,741
Total liabilities	511,451		512,754		493,098		492,030		501,465
Equity
Preferred stock (c)
Common stock - $5 par value
Authorized 800 shares, issued 543 shares	2,714		2,714		2,714		2,713		2,713
Capital surplus	18,376		19,810		18,531		17,487		17,457
Retained earnings	53,572		52,777		51,841		51,058		50,228
Accumulated other comprehensive income (loss)	(10,172)		(10,486)		(8,358)		(5,731)		409
Common stock held in treasury at cost: 142, 139, 132, 128, and 123 shares	(18,716)		(18,127)		(17,076)		(16,346)		(15,112)
Total shareholders’ equity	45,774		46,688		47,652		49,181		55,695
Noncontrolling interests	38		35		36		35		31
Total equity	45,812		46,723		47,688		49,216		55,726
Total liabilities and equity	$	557,263	$	559,477	$	540,786	$	541,246	$	557,191

(a)Amounts include balances held with the Federal Reserve Bank of $26.9 billion, $39.8 billion, $28.0 billion, $48.4 billion and $73.8 billion as of December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021, respectively.

(b)Amounts include assets and liabilities for which PNC has elected the fair value option. Our 2022 Form 10-Qs included, and our 2022 Form 10-K will include, additional information regarding these items.

(c)Par value less than $0.5 million at each date.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 3


Table 3: Average Consolidated Balance Sheet (Unaudited) (a) (b)
	Three months ended										Year ended
	December 31		September 30		June 30		March 31		December 31		December 31		December 31
In millions	2022		2022		2022		2022		2021		2022		2021
Assets
Interest-earning assets:
Investment securities
Securities available for sale
Residential mortgage-backed
Agency	$	31,818	$	32,500	$	37,285	$	67,498	$	64,521	$	42,151	$	57,325
Non-agency	714		748		902		1,007		974		842		1,100
Commercial mortgage-backed	3,377		3,489		4,362		5,229		5,538		4,107		6,093
Asset-backed	105		110		2,388		6,225		6,206		2,184		5,745
U.S. Treasury and government agencies	10,345		11,789		17,480		47,468		44,415		21,642		34,394
Other	3,370		3,506		4,200		4,876		4,741		3,982		4,852
Total securities available for sale	49,729		52,142		66,617		132,303		126,395		74,908		109,509
Securities held to maturity
Residential mortgage-backed	44,184		39,329		33,086		106				29,325
Commercial mortgage-backed	2,323		2,069		1,175						1,400
Asset-backed	6,995		6,571		4,119						4,446
U.S. Treasury and government agencies	36,441		34,279		28,167		919		812		25,074		805
Other	3,218		2,600		1,560		569		642		1,996		660
Total securities held to maturity	93,161		84,848		68,107		1,594		1,454		62,241		1,465
Total investment securities	142,890		136,990		134,724		133,897		127,849		137,149		110,974
Loans
Commercial and industrial	179,111		172,788		166,968		155,481		152,355		168,663		143,389
Commercial real estate	36,181		35,140		34,467		34,004		35,256		34,954		33,159
Equipment lease financing	6,275		6,202		6,200		6,099		6,183		6,196		6,286
Consumer	54,809		54,563		54,551		54,965		56,244		54,721		54,338
Residential real estate	45,499		44,333		42,604		40,152		38,872		43,165		31,524
Total loans	321,875		313,026		304,790		290,701		288,910		307,699		268,696
Interest-earning deposits with banks (c)	30,395		31,892		39,689		62,540		75,377		41,050		79,869
Other interest-earning assets	9,690		9,560		9,935		9,417		9,113		9,651		8,539
Total interest-earning assets	504,850		491,468		489,138		496,555		501,249		495,549		468,078
Noninterest-earning assets	52,356		55,629		57,740		53,541		58,123		55,103		55,088
Total assets	$	557,206	$	547,097	$	546,878	$	550,096	$	559,372	$	550,652	$	523,166
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing deposits
Money market	$	63,944	$	60,934	$	58,019	$	62,596	$	65,214	$	61,376	$	68,124
Demand	122,501		120,358		119,636		112,372		108,345		118,749		101,471
Savings	102,020		106,761		109,063		108,532		104,644		106,577		91,194
Time deposits	12,982		10,020		10,378		16,043		18,029		12,340		18,439
Total interest-bearing deposits	301,447		298,073		297,096		299,543		296,232		299,042		279,228
Borrowed funds
Federal Home Loan Bank borrowings	30,640		16,708		6,978						13,674		661
Senior debt	16,312		14,597		16,172		18,015		21,581		16,265		22,390
Subordinated debt	6,933		7,614		6,998		6,773		6,779		7,081		6,432
Other	5,346		5,342		5,508		5,524		5,987		5,430		5,025
Total borrowed funds	59,231		44,261		35,656		30,312		34,347		42,450		34,508
Total interest-bearing liabilities	360,678		342,334		332,752		329,855		330,579		341,492		313,736
Noninterest-bearing liabilities and equity:
Noninterest-bearing deposits	133,461		141,167		149,432		153,726		156,549		144,382		139,683
Accrued expenses and other liabilities	17,461		15,699		17,116		14,058		16,818		16,414		15,299
Equity	45,606		47,897		47,578		52,457		55,426		48,364		54,448
Total liabilities and equity	$	557,206	$	547,097	$	546,878	$	550,096	$	559,372	$	550,652	$	523,166

(a)Calculated using average daily balances.

(b)Nonaccrual loans are included in loans, net of unearned income. The impact of financial derivatives used in interest rate risk management is included in the interest income/expense and average yields/rates of the related assets and liabilities. Basis adjustments related to hedged items are included in noninterest-earning assets and noninterest-bearing liabilities. Average balances of securities are based on amortized historical cost (excluding adjustments to fair value, which are included in other assets). Average balances for certain loans and borrowed funds accounted for at fair value are included in noninterest-earning assets and noninterest-bearing liabilities, with changes in fair value recorded in Noninterest income.

(c)Amounts include average balances held with the Federal Reserve Bank of Cleveland of $30.0 billion, $31.5 billion, $39.3 billion, $62.3 billion and $75.1 billion for the three months ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021, and $40.7 billion and $79.6 billion for the twelve months ended December 31, 2022 and December 31, 2021, respectively.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 4


Table 4: Details of Net Interest Margin (Unaudited)
	Three months ended										Year ended
	December 31		September 30		June 30		March 31		December 31		December 31		December 31
	2022		2022		2022		2022		2021		2022		2021
Average yields/rates (a)
Yield on interest-earning assets
Investment securities
Securities available for sale
Residential mortgage-backed
Agency	2.54	%	2.36	%	2.17	%	1.73	%	1.47	%	2.11	%	1.54	%
Non-agency	7.85	%	7.62	%	7.56	%	7.53	%	7.36	%	7.60	%	7.64	%
Commercial mortgage-backed	2.75	%	2.70	%	2.45	%	2.36	%	2.37	%	2.53	%	2.45	%
Asset-backed	11.98	%	6.31	%	1.84	%	1.35	%	1.48	%	1.69	%	1.72	%
U.S. Treasury and government agencies	1.96	%	1.73	%	1.60	%	1.18	%	1.17	%	1.45	%	1.30	%
Other	2.39	%	2.47	%	2.59	%	2.73	%	2.77	%	2.56	%	2.97	%
Total securities available for sale	2.52	%	2.33	%	2.13	%	1.62	%	1.50	%	2.02	%	1.65	%
Securities held to maturity
Residential mortgage-backed	2.60	%	2.30	%	1.98	%					2.31	%
Commercial mortgage-backed	4.57	%	3.50	%	2.30	%					3.64	%
Asset-backed	3.44	%	2.58	%	1.92	%					2.74	%
U.S. Treasury and government agencies	1.30	%	1.19	%	1.05	%	2.61	%	2.89	%	1.20	%	2.86	%
Other	4.47	%	4.10	%	4.21	%	4.17	%	4.20	%	4.31	%	4.09	%
Total securities held to maturity	2.27	%	1.96	%	1.65	%	2.99	%	3.47	%	1.99	%	3.41	%
Total investment securities	2.36	%	2.10	%	1.89	%	1.64	%	1.52	%	2.00	%	1.67	%
Loans
Commercial and industrial	4.70	%	3.69	%	2.90	%	2.75	%	2.90	%	3.60	%	2.92	%
Commercial real estate	5.28	%	4.27	%	3.15	%	2.79	%	2.86	%	3.97	%	2.99	%
Equipment lease financing	4.18	%	3.85	%	3.62	%	3.74	%	3.81	%	3.84	%	3.82	%
Consumer	5.88	%	5.32	%	4.68	%	4.69	%	4.71	%	5.14	%	4.79	%
Residential real estate	3.28	%	3.21	%	3.11	%	3.10	%	3.26	%	3.16	%	3.32	%
Total loans	4.75	%	3.98	%	3.29	%	3.19	%	3.32	%	3.86	%	3.37	%
Interest-earning deposits with banks	3.76	%	2.32	%	0.79	%	0.19	%	0.15	%	1.41	%	0.13	%
Other interest-earning assets	5.20	%	3.94	%	2.76	%	2.07	%	2.14	%	3.50	%	2.23	%
Total yield on interest-earning assets	4.02	%	3.35	%	2.69	%	2.37	%	2.36	%	3.14	%	2.39	%
Rate on interest-bearing liabilities
Interest-bearing deposits
Money market	1.75	%	0.85	%	0.19	%	0.03	%	0.02	%	0.72	%	0.03	%
Demand	1.14	%	0.59	%	0.15	%	0.02	%	0.02	%	0.49	%	0.03	%
Savings	0.50	%	0.09	%	0.04	%	0.04	%	0.04	%	0.17	%	0.05	%
Time deposits	1.45	%	0.26	%	0.18	%	0.13	%	0.11	%	0.52	%	0.18	%
Total interest-bearing deposits	1.07	%	0.45	%	0.12	%	0.04	%	0.04	%	0.42	%	0.05	%
Borrowed funds
Federal Home Loan Bank borrowings	3.92	%	2.60	%	1.24	%					3.22	%	0.45	%
Senior debt	4.30	%	2.96	%	1.61	%	1.02	%	0.94	%	2.47	%	1.00	%
Subordinated debt	4.79	%	3.43	%	1.94	%	1.40	%	1.28	%	2.91	%	1.34	%
Other	3.24	%	2.20	%	1.46	%	0.97	%	0.79	%	1.99	%	0.96	%
Total borrowed funds	4.07	%	2.81	%	1.58	%	1.10	%	0.98	%	2.72	%	1.05	%
Total rate on interest-bearing liabilities	1.55	%	0.75	%	0.27	%	0.13	%	0.13	%	0.71	%	0.16	%
Interest rate spread	2.47	%	2.60	%	2.42	%	2.24	%	2.23	%	2.43	%	2.23	%
Benefit from use of noninterest-bearing sources (b)	0.45	%	0.22	%	0.08	%	0.04	%	0.04	%	0.22	%	0.06	%
Net interest margin	2.92	%	2.82	%	2.50	%	2.28	%	2.27	%	2.65	%	2.29	%

(a)Yields and rates are calculated using the applicable annualized interest income or interest expense divided by the applicable average earning assets or interest-bearing liabilities. Net interest margin is the total yield on interest-earning assets minus the total rate on interest-bearing liabilities and includes the benefit from use of noninterest-bearing sources. To provide more meaningful comparisons of net interest margins, we use net interest income on a taxable-equivalent basis in calculating average yields used in the calculation of net interest margin by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on taxable investments. This adjustment is not permitted under GAAP in the Consolidated Income Statement. The taxable-equivalent adjustments to net interest income for the three months ended December 31, 2022, September 30, 2022, June 30, 2022, March 31, 2022 and December 31, 2021 were $36 million, $29 million, $25 million, $22 million and $22 million, respectively. The taxable-equivalent adjustments to net interest income for the twelve months ended December 31, 2022 and December 31, 2021 were $112 million and $74 million, respectively.

(b)Represents the positive effects of investing noninterest-bearing sources in interest-earning assets.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 5

Table 5: Details of Loans (Unaudited)


	December 31		September 30		June 30		March 31		December 31
In millions	2022		2022		2022		2022		2021
Commercial
Commercial and industrial
Manufacturing	$	30,845	$	28,629	$	27,179	$	25,035	$	22,597
Retail/wholesale trade	29,176		27,532		26,475		25,027		22,803
Service providers	23,548		22,043		21,184		20,584		20,750
Financial services	21,320		21,590		19,594		17,674		17,950
Real estate related (a)	17,780		17,513		16,179		15,459		15,123
Technology, media & telecommunications	11,845		11,366		16,249		10,684		10,070
Health care	10,649		10,420		10,153		9,810		9,944
Transportation and warehousing	7,858		7,977		7,604		7,209		7,136
Other industries	29,198		26,743		27,214		26,392		26,560
Total commercial and industrial	182,219		173,813		171,831		157,874		152,933
Commercial real estate	36,316		35,592		34,452		34,171		34,015
Equipment lease financing	6,514		6,192		6,240		6,216		6,130
Total commercial	225,049		215,597		212,523		198,261		193,078
Consumer
Residential real estate	45,889		45,057		43,717		41,566		39,712
Home equity	25,983		25,367		24,693		24,185		24,061
Automobile	14,836		15,025		15,323		16,001		16,635
Credit card	7,069		6,774		6,650		6,464		6,626
Education	2,173		2,287		2,332		2,441		2,533
Other consumer	5,026		5,293		5,562		5,539		5,727
Total consumer	100,976		99,803		98,277		96,196		95,294
Total loans	$	326,025	$	315,400	$	310,800	$	294,457	$	288,372

(a)Represents loans to customers in the real estate and construction industries.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 6

Allowance for Credit Losses (Unaudited)

Table 6: Change in Allowance for Loan and Lease Losses


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
Dollars in millions	2022			2022			2022			2022			2021			2022			2021
Allowance for loan and lease losses
Beginning balance	$	4,581		$	4,462		$	4,558		$	4,868		$	5,355		$	4,868		$	5,361
Acquisition PCD reserves																			1,056
Gross charge-offs:
Commercial and industrial	(121)			(65)			(30)			(41)			(35)			(257)			(385)
Commercial real estate	(22)			(7)			(5)			(10)			(2)			(44)			(36)
Equipment lease financing	(2)			(1)			(2)			(1)			(4)			(6)			(13)
Residential real estate	(2)			(2)						(7)			(4)			(11)			(15)
Home equity	(6)			(3)			(2)			(4)			(4)			(15)			(20)
Automobile	(34)			(32)			(34)			(52)			(49)			(152)			(169)
Credit card	(62)			(59)			(67)			(68)			(60)			(256)			(256)
Education	(4)			(4)			(4)			(4)			(4)			(16)			(15)
Other consumer	(64)			(49)			(51)			(64)			(62)			(228)			(192)
Total gross charge-offs	(317)			(222)			(195)			(251)			(224)			(985)			(1,101)
Recoveries:
Commercial and industrial	33			23			15			30			20			101			88
Commercial real estate	2			1			1			1			2			5			7
Equipment lease financing	1			1			3			3			3			8			11
Residential real estate	2			4			6			5			8			17			28
Home equity	13			19			18			21			23			71			86
Automobile	24			30			39			31			26			124			143
Credit card	8			12			19			12			10			51			46
Education	1			1			2			1			2			5			8
Other consumer	9			12			9			10			6			40			27
Total recoveries	93			103			112			114			100			422			444
Net (charge-offs) / recoveries:
Commercial and industrial	(88)			(42)			(15)			(11)			(15)			(156)			(297)
Commercial real estate	(20)			(6)			(4)			(9)						(39)			(29)
Equipment lease financing	(1)						1			2			(1)			2			(2)
Residential real estate				2			6			(2)			4			6			13
Home equity	7			16			16			17			19			56			66
Automobile	(10)			(2)			5			(21)			(23)			(28)			(26)
Credit card	(54)			(47)			(48)			(56)			(50)			(205)			(210)
Education	(3)			(3)			(2)			(3)			(2)			(11)			(7)
Other consumer	(55)			(37)			(42)			(54)			(56)			(188)			(165)
Total net (charge-offs) (a)	(224)			(119)			(83)			(137)			(124)			(563)			(657)
Provision for (recapture of) credit losses (b)	380			241			(10)			(172)			(362)			439			(887)
Other	4			(3)			(3)			(1)			(1)			(3)			(5)
Ending balance	$	4,741		$	4,581		$	4,462		$	4,558		$	4,868		$	4,741		$	4,868
Supplemental Information
Net charge-offs
Commercial net charge-offs	$	(109)		$	(48)		$	(18)		$	(18)		$	(16)		$	(193)		$	(328)
Consumer net charge-offs	(115)			(71)			(65)			(119)			(108)			(370)			(329)
Total net charge-offs (a)	$	(224)		$	(119)		$	(83)		$	(137)		$	(124)		$	(563)		$	(657)
Net charge-offs to average loans (c)	0.28		%	0.15		%	0.11		%	0.19		%	0.17		%	0.18		%	0.24		%
Commercial	0.20		%	0.09		%	0.03		%	0.04		%	0.03		%	0.09		%	0.18		%
Consumer	0.45		%	0.28		%	0.27		%	0.51		%	0.45		%	0.38		%	0.38		%

(a)Amounts for the year ended December 31, 2021 included charge-offs attributable to BBVA, primarily related to commercial and industrial loans, which were largely the result of required purchase accounting treatment for the BBVA acquisition on June 1, 2021.

(b)See Table 7 for the components of the Provision for (recapture of) credit losses being reported on the Consolidated Income Statement.

(c)Three month period percentages are annualized.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 7

Allowance for Credit Losses (Unaudited) (Continued)

Table 7: Components of the Provision for (Recapture of) Credit Losses


	Three months ended										Year ended
	December 31		September 30		June 30		March 31		December 31		December 31			December 31
In millions	2022		2022		2022		2022		2021		2022			2021 (a)
Provision for (recapture of) credit losses
Loans and leases	$	380	$	241	$	(10)	$	(172)	$	(362)	$	439		$	(887)
Unfunded lending related commitments	12		1		42		(23)		16		32			32
Investment securities	10		3		3		1				17		17	51
Other financial assets	6		(4)		1		(14)		19		(11)			25
Total provision for (recapture of) credit losses	$	408	$	241	$	36	$	(208)	$	(327)	$	477		$	(779)

(a) Amounts include $1.0 billion of provision for credit losses that was recorded as part of the BBVA acquisition on June 1, 2021.

Table 8: Allowance for Credit Losses by Loan Class (a)


	December 31, 2022						September 30, 2022						December 31, 2021
Dollars in millions	Allowance Amount		Total Loans		% of Total Loans		Allowance Amount		Total Loans		% of Total Loans		Allowance Amount		Total Loans		% of Total Loans
Allowance for loan and lease losses
Commercial
Commercial and industrial	$	1,957	$	182,219	1.07	%	$	1,974	$	173,813	1.14	%	$	1,879	$	152,933	1.23	%
Commercial real estate	1,047		36,316		2.88	%	994		35,592		2.79	%	1,216		34,015		3.57	%
Equipment lease financing	110		6,514		1.69	%	93		6,192		1.50	%	90		6,130		1.47	%
Total commercial	3,114		225,049		1.38	%	3,061		215,597		1.42	%	3,185		193,078		1.65	%
Consumer
Residential real estate	92		45,889		0.20	%	50		45,057		0.11	%	21		39,712		0.05	%
Home equity	274		25,983		1.05	%	215		25,367		0.85	%	149		24,061		0.62	%
Automobile	226		14,836		1.52	%	214		15,025		1.42	%	372		16,635		2.24	%
Credit card	748		7,069		10.58	%	732		6,774		10.81	%	712		6,626		10.75	%
Education	63		2,173		2.90	%	64		2,287		2.80	%	71		2,533		2.80	%
Other consumer	224		5,026		4.46	%	245		5,293		4.63	%	358		5,727		6.25	%
Total consumer	1,627		100,976		1.61	%	1,520		99,803		1.52	%	1,683		95,294		1.77	%
Total	4,741		$	326,025	1.45	%	4,581		$	315,400	1.45	%	4,868		$	288,372	1.69	%
Allowance for unfunded lending related commitments	694						682						662
Allowance for credit losses	$	5,435					$	5,263					$	5,530

Supplemental Information
Allowance for credit losses to total loans					1.67	%					1.67	%					1.92	%
Commercial					1.66	%					1.70	%					1.94	%
Consumer					1.69	%					1.60	%					1.87	%

(a) Excludes allowances for investment securities and other financial assets, which together totaled $176 million, $162 million and $171 million at December 31, 2022, September 30, 2022 and December 31, 2021, respectively.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 8

Details of Nonperforming Assets (Unaudited)

Table 9: Nonperforming Assets by Type


	December 31			September 30			June 30			March 31			December 31
Dollars in millions	2022			2022			2022			2022			2021
Nonperforming loans, including TDRs
Commercial
Commercial and industrial
Service providers	$	174		$	223		$	151		$	173		$	188
Retail/wholesale trade	151			158			87			59			50
Manufacturing	85			88			101			70			52
Health care	50			45			54			37			46
Real estate related (a)	50			47			59			39			64
Transportation and warehousing	27			29			30			28			18
Technology, media & telecommunications	20			20			21			36			33
Other industries	106			138			146			218			345
Total commercial and industrial	663			748			649			660			796
Commercial real estate	189			148			161			332			364
Equipment lease financing	6			7			5			6			8
Total commercial	858			903			815			998			1,168
Consumer (b)
Residential real estate	424			429			457			526			517
Home equity	526			530			556			576			596
Automobile	155			167			175			181			183
Credit card	8			6			6			8			7
Other consumer	14			33			37			9			9
Total consumer	1,127			1,165			1,231			1,300			1,312
Total nonperforming loans (c)	1,985			2,068			2,046			2,298			2,480
OREO and foreclosed assets	34			33			29			26			26
Total nonperforming assets	$	2,019		$	2,101		$	2,075		$	2,324		$	2,506
Nonperforming loans to total loans	0.61		%	0.66		%	0.66		%	0.78		%	0.86		%
Nonperforming assets to total loans, OREO and foreclosed assets	0.62		%	0.67		%	0.67		%	0.79		%	0.87		%
Nonperforming assets to total assets	0.36		%	0.38		%	0.38		%	0.43		%	0.45		%
Allowance for loan and lease losses to nonperforming loans	239		%	222		%	218		%	198		%	196		%

(a)Represents loans related to customers in the real estate and construction industries.

(b)Excludes most unsecured consumer loans and lines of credit, which are charged off after 120 to 180 days past due and are not placed on nonperforming status.

(c)Nonperforming loans exclude certain government insured or guaranteed loans, loans held for sale and loans accounted for under the fair value option.

Table 10: Change in Nonperforming Assets


	October 1, 2022 -		July 1, 2022 -		April 1, 2022 -		January 1, 2022 -		October 1, 2021 -
In millions	December 31, 2022		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021
Beginning balance	$	2,101	$	2,075	$	2,324	$	2,506	$	2,559

New nonperforming assets	346		438		393		346		395
Charge-offs and valuation adjustments	(174)		(79)		(55)		(62)		(53)
Principal activity, including paydowns and payoffs	(139)		(182)		(273)		(274)		(240)
Asset sales and transfers to loans held for sale	(22)		(3)		(6)		(21)		(3)
Returned to performing status	(93)		(148)		(308)		(171)		(152)
Ending balance	$	2,019	$	2,101	$	2,075	$	2,324	$	2,506


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 9

Accruing Loans Past Due (Unaudited)

Under the CARES Act credit reporting rules, certain loans modified due to COVID-19 related hardships are not being reported as past due

for the periods presented based on the contractual terms of the loan, even where borrowers may not be making payments on their loans during the modification period. Our 2021 Form 10-K included additional information on COVID-19 related loan modifications.

Table 11: Accruing Loans Past Due 30 to 59 Days (a)



	December 31			September 30			June 30			March 31			December 31
Dollars in millions	2022			2022			2022			2022			2021
Commercial
Commercial and industrial	$	169		$	321		$	99		$	185		$	235
Commercial real estate	19			11			28			68			46
Equipment lease financing	20			6			7			20			25
Total commercial	208			338			134			273			306
Consumer
Residential real estate
Non government insured	190			223			230			239			310
Government insured	91			75			68			66			69
Home equity	53			46			43			41			53
Automobile	106			96			102			109			146
Credit card	50			44			37			39			49
Education
Non government insured	5			6			5			5			5
Government insured	29			30			39			36			38
Other consumer	15			21			38			47			35
Total consumer	539			541			562			582			705
Total	$	747		$	879		$	696		$	855		$	1,011
Supplemental Information
Total accruing loans past due 30-59 days to total loans	0.23		%	0.28		%	0.22		%	0.29		%	0.35		%
Commercial	0.09		%	0.16		%	0.06		%	0.14		%	0.16		%
Consumer	0.53		%	0.54		%	0.57		%	0.61		%	0.74		%

(a)Excludes loans held for sale.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 10

Accruing Loans Past Due (Unaudited) (Continued)

Table 12: Accruing Loans Past Due 60 to 89 Days (a)


	December 31			September 30			June 30			March 31			December 31
Dollars in millions	2022			2022			2022			2022			2021
Commercial
Commercial and industrial	$	27		$	55		$	128		$	64		$	72
Commercial real estate	4			4			11			41			24
Equipment lease financing	4			6			4			1			2
Total commercial	35			65			143			106			98
Consumer
Residential real estate
Non government insured	54			49			53			47			78
Government insured	58			46			42			37			41
Home equity	20			16			14			16			18
Automobile	25			21			24			26			40
Credit card	35			30			25			28			33
Education
Non government insured	2			4			2			3			2
Government insured	20			22			21			21			23
Other consumer	12			15			21			26			22
Total consumer	226			203			202			204			257
Total	$	261		$	268		$	345		$	310		$	355
Supplemental Information
Total accruing loans past due 60-89 days to total loans	0.08		%	0.08		%	0.11		%	0.11		%	0.12		%
Commercial	0.02		%	0.03		%	0.07		%	0.05		%	0.05		%
Consumer	0.22		%	0.20		%	0.21		%	0.21		%	0.27		%

(a)Excludes loans held for sale.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 11

Accruing Loans Past Due (Unaudited) (Continued)

Table 13: Accruing Loans Past Due 90 Days or More (a)


	December 31			September 30			June 30			March 31			December 31
Dollars in millions	2022			2022			2022			2022			2021
Commercial
Commercial and industrial	$	137		$	139		$	138		$	105		$	132
Commercial real estate				5						7			1
Total commercial	137			144			138			112			133
Consumer
Residential real estate
Non government insured	32			30			20			41			59
Government insured	167			166			182			232			269
Automobile	7			6			6			8			14
Credit card	70			58			54			62			62
Education
Non government insured	2			2			2			2			2
Government insured	57			61			56			62			63
Other consumer	10			12			12			15			17
Total consumer	345			335			332			422			486
Total	$	482		$	479		$	470		$	534		$	619
Supplemental Information
Total accruing loans past due 90 days or more to total loans	0.15		%	0.15		%	0.15		%	0.18		%	0.21		%
Commercial	0.06		%	0.07		%	0.06		%	0.06		%	0.07		%
Consumer	0.34		%	0.34		%	0.34		%	0.44		%	0.51		%
Total accruing loans past due	$	1,490		$	1,626		$	1,511		$	1,699		$	1,985
Commercial	$	380		$	547		$	415		$	491		$	537
Consumer	$	1,110		$	1,079		$	1,096		$	1,208		$	1,448
Total accruing loans past due to total loans	0.46		%	0.52		%	0.49		%	0.58		%	0.69		%
Commercial	0.17		%	0.25		%	0.20		%	0.25		%	0.28		%
Consumer	1.10		%	1.08		%	1.12		%	1.26		%	1.52		%

(a)Excludes loans held for sale.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 12

Business Segment Descriptions (Unaudited)

Retail Banking provides deposit, lending, brokerage, insurance services, investment management and cash management products and services to consumer and small business customers. Our customers are serviced through our branch network, ATMs, call centers, online banking and mobile channels. As a result of the BBVA acquisition, we have become a coast-to-coast retail bank. Our national expansion strategy is designed to grow customers with digitally-led banking and a thin branch network as we expand into new markets. Deposit products include checking, savings and money market accounts and certificates of deposit. Lending products include residential mortgages, home equity loans and lines of credit, auto loans, credit cards, education loans and personal and small business loans and lines of credit. The residential mortgage loans are directly originated within our branch network and nationwide, and are typically underwritten to agency and/or third-party standards, and either sold, servicing retained or held on our balance sheet. Brokerage, investment management and cash management products and services include managed, education, retirement and trust accounts.

Corporate & Institutional Banking provides lending, treasury management and capital markets related products and services to mid-sized and large corporations, and government and not-for-profit entities. Lending products include secured and unsecured loans, letters of credit and equipment leases. The Treasury Management business provides corporations with cash and investment management services, receivables and disbursement management services, funds transfer services, international payment services and access to online/mobile information management and reporting services. Capital markets related products and services include foreign exchange, derivatives, fixed income, securities underwriting, loan syndications, mergers and acquisitions advisory and equity capital markets advisory related services. We also provide commercial loan servicing and technology solutions for the commercial real estate finance industry. Products and services are provided nationally.

Asset Management Group provides private banking for high net worth and ultra high net worth clients and institutional asset management. The Asset Management group is composed of two distinct operating units:

•PNC Private Bank provides products and services to emerging affluent, high net worth and ultra high net worth individuals and their families including investment and retirement planning, customized investment management, credit and cash management solutions, trust management and administration. In addition, multi-generational family planning services are also provided to ultra high net worth individuals and their families which include estate, financial, tax, fiduciary and customized performance reporting through PNC Private Bank Hawthorn.

•Institutional Asset Management provides outsourced chief investment officer, custody, private real estate, cash and fixed income client solutions, retirement plan fiduciary investment services to institutional clients including corporations, healthcare systems, insurance companies, unions, municipalities and non-profits.

Table 14: Period End Employees


	December 31	September 30	June 30	March 31	December 31
	2022	2022	2022	2022	2021
Full-time employees
Retail Banking	32,467	33,288	33,565	33,293	32,563
Other full-time employees	27,427	26,328	25,390	25,037	25,105
Total full-time employees	59,894	59,616	58,955	58,330	57,668
Part-time employees
Retail Banking	1,577	1,520	1,712	1,670	1,669
Other part-time employees	74	77	460	82	89
Total part-time employees	1,651	1,597	2,172	1,752	1,758
Total	61,545	61,213	61,127	60,082	59,426


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 13

Table 15: Summary of Business Segment Net Income and Revenue (Unaudited) (a)


	Three months ended										Year ended
	December 31		September 30		June 30		March 31		December 31		December 31		December 31
In millions	2022		2022		2022		2022		2021		2022		2021
Net Income
Retail Banking	$	752	$	560	$	322	$	340	$	362	$	1,974	$	1,648
Corporate & Institutional Banking	982		929		1,003		956		1,334		3,870		4,324
Asset Management Group	52		90		86		102		106		330		406
Other	(258)		45		70		10		(509)		(133)		(704)
Net income excluding noncontrolling interests	$	1,528	$	1,624	$	1,481	$	1,408	$	1,293	$	6,041	$	5,674

Revenue
Retail Banking	$	3,079	$	2,742	$	2,410	$	2,276	$	2,408	$	10,507	$	9,002
Corporate & Institutional Banking	2,451		2,255		2,221		1,964		2,281		8,891		8,354
Asset Management Group	375		396		387		386		388		1,544		1,463
Other	(142)		156		98		66		50		178		392
Total revenue	$	5,763	$	5,549	$	5,116	$	4,692	$	5,127	$	21,120	$	19,211

(a)Our business information is presented based on our internal management reporting practices. Net interest income in business segment results reflects PNC’s internal funds transfer pricing methodology. Assets receive a funding charge and liabilities and capital receive a funding credit based on a transfer pricing methodology that incorporates product repricing characteristics, tenor and other factors.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 14

Table 16: Retail Banking (Unaudited) (a)


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
Dollars in millions	2022			2022			2022			2022			2021			2022			2021
Income Statement
Net interest income	$	2,330		$	2,017		$	1,662		$	1,531		$	1,634		$	7,540		$	6,206
Noninterest income	749			725			748			745			774			2,967			2,796
Total revenue	3,079			2,742			2,410			2,276			2,408			10,507			9,002
Provision for (recapture of) credit losses	193			92			55			(81)			55			259			(101)
Noninterest expense	1,892			1,901			1,913			1,892			1,874			7,598			6,916
Pretax earnings	994			749			442			465			479			2,650			2,187
Income taxes	232			175			105			109			112			621			508
Noncontrolling interests	10			14			15			16			5			55			31
Earnings	$	752		$	560		$	322		$	340		$	362		$	1,974		$	1,648
Average Balance Sheet
Loans held for sale	$	737		$	837		$	957		$	1,183		$	1,425		$	927		$	1,328
Loans
Consumer
Residential real estate	$	35,286		$	34,465		$	33,240		$	31,528		$	30,888		$	33,643		$	25,230
Home equity	24,126			23,393			22,886			22,458			22,572			23,221			22,387
Automobile	14,793			15,088			15,566			16,274			16,944			15,425			15,787
Credit card	6,882			6,684			6,508			6,401			6,513			6,620			6,182
Education	2,257			2,327			2,410			2,532			2,620			2,381			2,770
Other consumer	2,049			2,092			2,173			2,348			2,612			2,164			2,397
Total consumer	85,393			84,049			82,783			81,541			82,149			83,454			74,753
Commercial	11,181			10,881			11,044			11,610			12,844			11,177			14,321
Total loans	$	96,574		$	94,930		$	93,827		$	93,151		$	94,993		$	94,631		$	89,074
Total assets	$	115,827		$	114,619		$	113,068		$	111,754		$	113,782		$	113,829		$	106,331
Deposits
Noninterest-bearing	$	64,031		$	65,405		$	65,599		$	64,058		$	65,510		$	64,775		$	57,729
Interest-bearing	195,743			198,956			202,801			201,021			197,312			199,614			184,040
Total deposits	$	259,774		$	264,361		$	268,400		$	265,079		$	262,822		$	264,389		$	241,769
Performance Ratios
Return on average assets	2.58		%	1.94		%	1.14		%	1.23		%	1.26		%	1.73		%	1.55		%
Noninterest income to total revenue	24		%	26		%	31		%	33		%	32		%	28		%	31		%
Efficiency	61		%	69		%	79		%	83		%	78		%	72		%	77		%

(a)See note (a) on page 13.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 15

Retail Banking (Unaudited) (Continued)


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
Dollars in millions, except as noted	2022			2022			2022			2022			2021			2022			2021
Supplemental Noninterest Income Information
Asset management and brokerage	$	128		$	131		$	135		$	134		$	131		$	528		$	465
Card and cash management	$	335		$	344		$	351		$	308		$	347		$	1,338		$	1,281
Lending and deposit services	$	172		$	167		$	167		$	164		$	157		$	670		$	619
Residential and commercial mortgage	$	111		$	38		$	71		$	99		$	101		$	319		$	456
Residential Mortgage Information
Residential mortgage servicing statistics (in billions, except as noted) (a)
Serviced portfolio balance (b)	$	190		$	170		$	145		$	135		$	133
Serviced portfolio acquisitions	$	24		$	29		$	15		$	6		$	2		$	74		$	44
MSR asset value (b)	$	2.3		$	2.1		$	1.6		$	1.3		$	1.1
MSR capitalization value (in basis points) (b)	122			122			112			98			81
Servicing income: (in millions)
Servicing fees, net (c)	$	73		$	50		$	36		$	33		$	14		$	192		$	34
Mortgage servicing rights valuation, net of economic hedge	$	24		$	(30)		$	13		$	2		$	2		$	9		$	64
Residential mortgage loan statistics
Loan origination volume (in billions)	$	2.1		$	3.1		$	4.8		$	5.1		$	6.6		$	15.1		$	24.8
Loan sale margin percentage	2.20		%	1.97		%	1.88		%	2.45		%	2.55		%	2.14		%	2.84		%
Percentage of originations represented by:
Purchase volume (d)	88		%	85		%	74		%	42		%	38		%	67		%	43		%
Refinance volume	12		%	15		%	26		%	58		%	62		%	33		%	57		%
Other Information (b)
Customer-related statistics (average)
Non-teller deposit transactions (e)	65		%	65		%	64		%	64		%	64		%	64		%	65		%
Digital consumer customers (f)	76		%	78		%	78		%	78		%	79		%	78		%	79		%
Credit-related statistics
Nonperforming assets	$	1,003		$	1,027		$	1,088		$	1,168		$	1,220
Net charge-offs - loans and leases	$	108		$	98		$	88		$	141		$	124		$	435		$	393
Other statistics
ATMs	8,933			9,169			9,301			9,502			9,523
Branches (g)	2,518			2,527			2,535			2,591			2,629
Brokerage account client assets (in billions) (h)	$	70		$	67		$	68		$	74		$	78

(a)Represents mortgage loan servicing balances for third parties and the related income.

(b)Presented as of period end, except for average customer-related statistics and net charge-offs, which are both shown for the three months and year ended, respectively.

(c)Servicing fees net of impact of decrease in MSR value due to passage of time, including the impact from both regularly scheduled loan payments, prepayments and loans that were paid down or paid off during the period.

(d)Mortgages with borrowers as part of residential real estate purchase transactions.

(e)Percentage of total consumer and business banking deposit transactions processed at an ATM or through our mobile banking application.

(f)Represents consumer checking relationships that process the majority of their transactions through non-teller channels.

(g)Reflects all branches and solution centers excluding stand-alone mortgage offices and satellite offices (e.g., drive-ups, electronic branches and retirement centers) that provide limited products and/or services.

(h)Includes cash and money market balances.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 16

Table 17: Corporate & Institutional Banking (Unaudited) (a)


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
Dollars in millions	2022			2022			2022			2022			2021			2022			2021
Income Statement
Net interest income	$	1,489		$	1,368		$	1,253		$	1,160		$	1,228		$	5,270		$	4,571
Noninterest income	962			887			968			804			1,053			3,621			3,783
Total revenue	2,451			2,255			2,221			1,964			2,281			8,891			8,354
Provision for (recapture of) credit losses	183			150			(17)			(118)			(369)			198			(646)
Noninterest expense	990			890			934			837			975			3,651			3,479
Pretax earnings	1,278			1,215			1,304			1,245			1,675			5,042			5,521
Income taxes	291			281			298			285			337			1,155			1,183
Noncontrolling interests	5			5			3			4			4			17			14
Earnings	$	982		$	929		$	1,003		$	956		$	1,334		$	3,870		$	4,324
Average Balance Sheet
Loans held for sale	$	337		$	449		$	490		$	628		$	539		$	475		$	583
Loans
Commercial
Commercial and industrial	$	166,176		$	160,140		$	153,948		$	141,622		$	137,079		$	155,551		$	126,928
Commercial real estate	34,663			33,525			32,844			32,433			33,559			33,373			31,584
Equipment lease financing	6,274			6,202			6,201			6,099			6,184			6,195			6,286
Total commercial	207,113			199,867			192,993			180,154			176,822			195,119			164,798
Consumer	8			7			14			8			12			9			13
Total loans	$	207,121		$	199,874		$	193,007		$	180,162		$	176,834		$	195,128		$	164,811
Total assets	$	234,120		$	224,984		$	219,513		$	200,724		$	198,874		$	219,941		$	188,470
Deposits
Noninterest-bearing	$	67,340		$	73,523		$	81,028		$	86,178		$	88,023		$	76,956		$	79,109
Interest-bearing	79,916			71,925			65,151			68,429			72,397			71,388			72,210
Total deposits	$	147,256		$	145,448		$	146,179		$	154,607		$	160,420		$	148,344		$	151,319
Performance Ratios
Return on average assets	1.66		%	1.64		%	1.83		%	1.93		%	2.66		%	1.76		%	2.29		%
Noninterest income to total revenue	39		%	39		%	44		%	41		%	46		%	41		%	45		%
Efficiency	40		%	39		%	42		%	43		%	43		%	41		%	42		%
Other Information
Consolidated revenue from:
Treasury Management (b)	$	843		$	753		$	659		$	546		$	560		$	2,801		$	2,169
Commercial mortgage banking activities:
Commercial mortgage loans held for sale (c)	$	15		$	26		$	20		$	16		$	42		$	77		$	145
Commercial mortgage loan servicing income (d)	52			66			70			68			90			256			334
Commercial mortgage servicing rights valuation, net of economic hedge	39			53			33			13			16			138			80
Total	$	106		$	145		$	123		$	97		$	148		$	471		$	559
MSR asset value (e)	$	1,113		$	1,132		$	988		$	886		$	740
Average loans by C&IB business
Corporate Banking	$	113,619		$	109,197		$	103,595		$	92,503		$	87,284		$	104,798		$	81,069
Real Estate	48,031			45,837			44,202			43,213			44,787			45,335			42,936
Business Credit	30,087			28,930			28,246			26,535			26,065			28,461			24,047
Commercial Banking	8,683			9,008			9,459			10,045			10,924			9,294			12,054
Other	6,701			6,902			7,505			7,866			7,774			7,240			4,705
Total average loans	$	207,121		$	199,874		$	193,007		$	180,162		$	176,834		$	195,128		$	164,811
Credit-related statistics
Nonperforming assets (e)	$	761		$	779		$	674		$	866		$	1,007
Net charge-offs (recoveries) - loans and leases	$	100		$	33		$	11		$	(1)		$	(1)		$	143		$	289

(a)See note (a) on page 13.

(b)Amounts are reported in net interest income and noninterest income.

(c)Represents commercial mortgage banking income for valuations on commercial mortgage loans held for sale and related commitments, derivative valuations, origination fees, gains on sale of loans held for sale and net interest income on loans held for sale.

(d)Represents net interest income and noninterest income from loan servicing, net of reduction in commercial mortgage servicing rights due to ammortization expense and payoffs. Commercial mortgage servicing rights valuation, net of economic hedge is shown separately.

(e)Presented as of period end.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 17

Table 18: Asset Management Group (Unaudited) (a)


	Three months ended															Year ended
	December 31			September 30			June 30			March 31			December 31			December 31			December 31
Dollars in millions, except as noted	2022			2022			2022			2022			2021			2022			2021
Income Statement
Net interest income	$	152		$	165		$	153		$	138		$	130		$	608		$	476
Noninterest income	223			231			234			248			258			936			987
Total revenue	375			396			387			386			388			1,544			1,463
Provision for (recapture of) credit losses	17			4			5			2			(15)			28			(7)
Noninterest expense	291			274			270			251			265			1,086			941
Pretax earnings	67			118			112			133			138			430			529
Income taxes	15			28			26			31			32			100			123
Earnings	$	52		$	90		$	86		$	102		$	106		$	330		$	406
Average Balance Sheet
Loans
Consumer
Residential real estate	$	8,835		$	8,430		$	7,835		$	6,989		$	6,295		$	8,029		$	5,033
Other consumer	4,388			4,640			4,633			4,541			4,535			4,550			4,321
Total consumer	13,223			13,070			12,468			11,530			10,830			12,579			9,354
Commercial	1,291			1,328			1,560			1,848			2,093			1,505			1,746
Total loans	$	14,514		$	14,398		$	14,028		$	13,378		$	12,923		$	14,084		$	11,100
Total assets	$	14,935		$	14,820		$	14,449		$	13,801		$	13,317		$	14,505		$	11,677
Deposits
Noninterest-bearing	$	2,107		$	2,286		$	2,824		$	3,458		$	3,025		$	2,664		$	2,919
Interest-bearing	25,651			27,054			28,839			29,830			26,318			27,830			22,782
Total deposits	$	27,758		$	29,340		$	31,663		$	33,288		$	29,343		$	30,494		$	25,701
Performance Ratios
Return on average assets	1.38		%	2.41		%	2.39		%	3.00		%	3.16		%	2.28		%	3.48		%
Noninterest income to total revenue	59		%	58		%	60		%	64		%	66		%	61		%	67		%
Efficiency	78		%	69		%	70		%	65		%	68		%	70		%	64		%
Other Information
Nonperforming assets (b)	$	56		$	95		$	114		$	72		$	62
Net charge-offs (recoveries) - loans and leases	$	18		$	(2)		$	(1)		$	2		$	1		$	17		$	2
Brokerage account client assets (in billions) (b)	$	4		$	4		$	4		$	5		$	5
Client Assets Under Administration (in billions) (b) (c)
Discretionary client assets under management	$	173		$	166		$	167		$	182		$	192
Nondiscretionary client assets under administration	152			148			153			165			175
Total	$	325		$	314		$	320		$	347		$	367
Discretionary client assets under management
PNC Private Bank	$	105		$	99		$	103		$	115		$	123
Institutional Asset Management	68			67			64			67			69
Total	$	173		$	166		$	167		$	182		$	192

(a)See note (a) on page 13.

(b)As of period end.

(c)Excludes brokerage account client assets.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 18

Glossary of Terms

2019 Tailoring Rules – Rules adopted by the federal banking agencies to better tailor the application of their capital, liquidity, and enhanced prudential requirements for banking organizations to the asset size and risk profile (as measured by certain regulatory metrics) of the banking organization. Effective January 1, 2020, the agencies' capital and liquidity rules classify all BHCs with $100 billion or more in total assets into one of four categories (Category I, Category II, Category III, and Category IV).

Adjusted average total assets – Primarily consisted of total average quarterly (or annual) assets plus/less unrealized losses (gains) on investment securities, less goodwill and certain other intangible assets (net of eligible deferred taxes).

Allowance for credit losses (ACL) – A valuation account that is deducted from or added to the amortized cost basis of the related

financial assets to present the net carrying value at the amount expected to be collected on the financial asset.

Amortized cost basis – Amount at which a financial asset is originated or acquired, adjusted for applicable accretion or amortization of premiums, discounts and net deferred fees or costs, collection of cash, charge-offs, foreign exchange and fair value hedge accounting adjustments.

Basel III common equity Tier 1 (CET1) capital (Tailoring Rules) – Common stock plus related surplus, net of treasury stock, plus retained earnings, less goodwill, net of associated deferred tax liabilities, less other disallowed intangibles, net of deferred tax liabilities and plus/less other adjustments. Investments in unconsolidated financial institutions, as well as mortgage servicing rights and deferred tax assets, must then be deducted to the extent such items (net of associated deferred tax liabilities) individually exceed 25% of our adjusted Basel III common equity Tier 1 capital.

Basel III common equity Tier 1 capital ratio – Common equity Tier 1 capital divided by period-end risk-weighted assets (as applicable).

Basel III Tier 1 capital – Common equity Tier 1 capital, plus qualifying preferred stock, plus certain trust preferred capital securities, plus certain noncontrolling interests that are held by others and plus/less other adjustments.

Basel III Tier 1 capital ratio – Tier 1 capital divided by period-end risk-weighted assets (as applicable).

Basel III Total capital – Tier 1 capital plus qualifying subordinated debt, plus certain trust preferred securities, plus, under the Basel III transitional rules and the standardized approach, the allowance for loan and lease losses included in Tier 2 capital and other.

Basel III Total capital ratio – Basel III Total capital divided by period-end risk-weighted assets (as applicable).

BBVA – BBVA USA Bancshares, Inc.

BBVA, S.A. – Banco Bilbao Vizcaya Argentaria, S.A.

BBVA USA – BBVA USA, the Alabama-chartered bank subsidiary of BBVA USA Bancshares, Inc.

Charge-off – Process of removing a loan or portion of a loan from our balance sheet because it is considered uncollectible. We also record a charge-off when a loan is transferred from portfolio holdings to held for sale by reducing the loan carrying amount to the fair value of the loan, if fair value is less than carrying amount.

Common shareholders’ equity – Total shareholders' equity less the liquidation value of preferred stock.

Credit valuation adjustment – Represents an adjustment to the fair value of our derivatives for our own and counterparties’ non-performance risk.

Criticized commercial loans – Loans with potential or identified weaknesses based upon internal risk ratings that comply with the regulatory classification definitions of “Special Mention,” “Substandard” or “Doubtful.”

Current Expected Credit Loss (CECL) – Methodology for estimating the allowance for credit losses on in-scope financial assets held at amortized cost and unfunded lending related commitments which uses a combination of expected losses over a reasonable and supportable forecast period, a reversion period and long run average credit losses for their estimated contractual term.

Discretionary client assets under management – Assets over which we have sole or shared investment authority for our customers/clients. We do not include these assets on our Consolidated Balance Sheet.


THE PNC FINANCIAL SERVICES GROUP, INC.						Page 19

Earning assets – Assets that generate income, which include: interest-earning deposits with banks; loans held for sale; loans; investment securities; and certain other assets.

Effective duration – A measurement, expressed in years, that, when multiplied by a change in interest rates, would approximate the percentage change in value of on- and off- balance sheet positions.

Efficiency – Noninterest expense divided by total revenue.

Fair value – The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Fee income – Refers to the following categories within Noninterest income: Asset management and brokerage, Capital markets and advisory, Card and cash management, Lending and deposit services, and Residential and commercial mortgage.

FICO score – A credit bureau-based industry standard score created by Fair Isaac Co. which predicts the likelihood of borrower default. We use FICO scores both in underwriting and assessing credit risk in our consumer lending portfolio. Lower FICO scores indicate likely higher risk of default, while higher FICO scores indicate likely lower risk of default. FICO scores are updated on a periodic basis.

GAAP – Accounting principles generally accepted in the United States of America.

Leverage ratio – Basel III Tier 1 capital divided by average quarterly adjusted total assets.

Nondiscretionary client assets under administration – Assets we hold for our customers/clients in a nondiscretionary, custodial capacity. We do not include these assets on our Consolidated Balance Sheet.

Nonperforming assets – Nonperforming assets include nonperforming loans, OREO and foreclosed assets. We do not accrue interest income on assets classified as nonperforming.

Nonperforming loans – Loans accounted for at amortized cost whose credit quality has deteriorated to the extent that full collection of contractual principal and interest is not probable, including TDRs which have not returned to performing status. Interest income is not recognized on nonperforming loans. Nonperforming loans exclude certain government insured or guaranteed loans for which we expect to collect substantially all principal and interest, loans held for sale and loans accounted for under the fair value option.

Operating leverage – The period to period dollar or percentage change in total revenue less the dollar or percentage change in noninterest expense. A positive variance indicates that revenue growth exceeded expense growth (i.e., positive operating leverage) while a negative variance implies expense growth exceeded revenue growth (i.e., negative operating leverage).

Other real estate owned (OREO) and foreclosed assets – Assets taken in settlement of troubled loans primarily through deed-in-lieu of foreclosure or foreclosure. Foreclosed assets include real and personal property. Certain assets that have a government-guarantee which are classified as other receivables are excluded.

Purchased credit deteriorated assets (PCD) – Acquired loans or debt securities that, at acquisition, are determined to have experienced a more-than-insignificant deterioration in credit quality since origination or issuance.

Risk-weighted assets – Computed by the assignment of specific risk-weights (as defined by the Board of Governors of the Federal Reserve System) to assets and off-balance sheet instruments.

Servicing rights – Intangible assets or liabilities created by an obligation to service assets for others. Typical servicing rights include the right to receive a fee for collecting and forwarding payments on loans and related taxes and insurance premiums held in escrow.

Supplementary leverage ratio – Basel III Tier 1 capital divided by Supplementary leverage exposure.

Taxable-equivalent interest income – The interest income earned on certain assets that is completely or partially exempt from federal income tax. These tax-exempt instruments typically yield lower returns than taxable investments. To provide more meaningful comparisons of yields and margins for all interest-earning assets, we use interest income on a taxable-equivalent basis in calculating average yields and net interest margins by increasing the interest income earned on tax-exempt assets to make it fully equivalent to interest income earned on other taxable investments. This adjustment is not permitted under GAAP on the Consolidated Income Statement.


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Troubled debt restructuring (TDR) – A loan whose terms have been restructured in a manner that grants a concession to a borrower experiencing financial difficulties.

Unfunded lending related commitments – Standby letters of credit, financial guarantees, commitments to extend credit and similar unfunded obligations that are not unilaterally, unconditionally, cancelable at PNC’s option.

Yield curve – A graph showing the relationship between the yields on financial instruments or market indices of the same credit quality with different maturities. For example, a “normal” or “positive” yield curve exists when long-term bonds have higher yields than short-term bonds. A “flat” yield curve exists when yields are the same for short-term and long-term bonds. A “steep” yield curve exists when yields on long-term bonds are significantly higher than on short-term bonds. An “inverted” or “negative” yield curve exists when short-term bonds have higher yields than long-term bonds.


Pennsylvania			25-1435979
(State or other jurisdiction of			(I.R.S. Employer
incorporation)			Identification No.)


☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐			Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))


Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Common Stock, par value $5.00	PNC	New York Stock Exchange


Number	Description	Method of Filing
99.1	Press release dated January 18, 2023	Furnished herewith
99.2	Financial Supplement (unaudited) for the Fourth Quarter 2022	Furnished herewith
104	The cover page of this Current Report on Form 8-K, formatted in Inline XBRL.


		THE PNC FINANCIAL SERVICES GROUP, INC. (Registrant)
Date:	January 18, 2023	By:	/s/ Gregory H. Kozich
			Gregory H. Kozich
			Senior Vice President and Controller