morning, Thanks, Bill everyone. and good
just $X.XX diluted mentioned, we share. $X.X income Bill reported common quarter As per billion or net third of
an is X was to sheet linked balance X% to Our on growth presented and billion quarter. XXXX, basis. on is billion $XXX Total $X.X average the loans grew Slide quarter of X%. or third or $XX.X Compared billion
Year-over-year, quarter, X% billion total purchases residential X%. securities due to agency $XX.X securities Investment securities. $X.X increased of of or or mortgage-backed linked increased billion balances $X.X billion primarily
X% the – and the $X.X for grew or X% billion Deposits averaged Fed deposits Our billion linked linked billion $XX.X third quarter. quarter, $XX.X up $X.X or billion quarter, year-over-year.
We continue strong to maintain ratios. capital
of shares our of dividends third $X quarter $XXX billion. XXXX, we reduced of we've outstanding During by million $XX X%. Since billion the million share capital returned the and through quarter, of or $X.X repurchases
to ratio As down was from XX, equity X.X% common of be estimated Tier September X XXXX, III as our XXXX. of June X.X%, slightly Basel XX,
are as generally largely rules and the tailoring our ratios. favorable and expected, rules the the mentioned, released Bill last are liquidity the to original Federal capital Reserve and As from regulatory unchanged final week proposals
will XX% get the to from threshold AOCI be choice of we from impacts inclusion XXX% capital, significant capital deductions two, three will our and CETX in are out There relief three, financial will the opt calculation, currently. and have lowered requirement PNC. on One, to LCR a of for we perspective our
effective threshold a deductions benefit approximately AOCI the common opting September capital reduce If equity points. were would basis XX, of impact approximately the we our the of by basis estimate on benefit Tier to while XX rules ratio, that generate out points would X XX changes that of
and have by in loans relief, debt, annualized flexibility redeploying net reducing we excess securities, between income to million would and or combination potentially thereof. LCR Through increase $XX interest $XX liquidity million a
X.XX%, common return equity assets the was return quarter was equity common XX.X%, for average third and our our XX.X%. Our average on return tangible was on on
book tangible of of XX% as ago. compared an September share $XX.XX increase was year a Our XX, value to per common
Slide Included approximately consumer businesses. our X with corporate real loans detail. and growth, average of with average, and shows X% in estate million. deposits balances X%, balances increase Loans an in quarter, Commercial commercial grew banking and lending. more in billion or second both or warehouse over $XXX increased in $X.X $X.X our billion primarily in this our growth the multi-family lending
balances $X.X by home and mortgage, and residential in X% card, consumer runoff auto side, or in the credit equity billion increased offset our somewhat growth On driven education loans. linked by quarter,
by billion, warehouse loans $X.X $X.X balances spot Consumer primarily billion, our While a not shown increased which million approximately decrease balances multi-family driven on was commercial $X.X the increased while in declined $XXX slide, of balances quarter-over-quarter. billion.
the $XX.X $XX.X higher a by lending X% billion same or and year average billion balances were billion, $X.X consumer grew balances or Compared ago, loans increased commercial period X%, X%. or to
deposits. second Growth compared deposits. primarily Average quarter billion commercial in $X.X interest was deposits driven seasonal increased by the quarter bearing or the in X% third in growth with
bearing increase deposits posted well. modest a However, as non-interest
to billion billion that to June deposits Compared we $XX.X to increased in noting or product ago, and the management approximately clients compared year X%. related average deposits $XX.X increased XX, deposit our billion September. It's X%, quarter or spot sweep a worth began balances $X offering same XXXX asset included of a
basis result rates during our declined the declined as shows, point yield the inflection As quarter. a X lower And an LIBOR quarter. third linked deposits on paid on our the rates slide point primarily importantly, of loan balances having reached
on see you and As and third were expense, total the million to quarter linked with billion, $X.X revenue was quarter compared interest up $XX quarter. XXXX. of $XXX income, relatively stable Slide third non-interest million all quarter provision second can Net X, the compared
Total other or $XX income, an X% fee expected million offset non-interest non-interest decline quarter, income increased by reflecting higher linked in partially income.
XX.X%. effective second rate quarter tax was Our in
to effective full-year approximately the continue rate we to For expect tax XX%. XXXX, be the
discuss Now drivers key in detail. more the let's this of performance
quarter. offset earning $XX with of rates. Net and which by year-over-year, balances slightly interest earning X% by up X. offset growth Slide the higher income impact income partially were billion by grew the by yields, was driven funding higher and interest asset or costs higher balances. balances The additional of reflects lower day, Net second $X.X partially and to interest an asset Turning million $X compared million
X.XX% of interest decreased rates, lower the margin mostly LIBOR. interest Net quarter, third the primarily to net in effect due to
reduced a during continue expect Although that on during our the costs offset the quarter borrowing decrease our at deposit faster and was that yields. began quarter, by than more commercial to decline we impact rates Separately, the to lower rates loan fourth pace. of LIBOR
as fee X% $XX linked Non-interest was lower or quarter partially income income $X of million higher billion income. by other offset increased non-interest
second over the Importantly, fee income quarter. X% grew
our $XX due million of investment management Consumer revenue, seasonally attributable to asset from card million in drivers increased $XX brokerage services increase volumes. the main equity debit and earnings to revenue The higher credit were higher and BlackRock. increased higher transaction
due million, servicing RMSR consumer rights to commercial gains in seasonal mortgage $XX charges deposits $X due as increase a on lower to refinancing declined a and and income million primarily fees. from advisory benefit services well Corporate $XX increased non-interest higher Residential volumes, spending. million as mortgage reflecting increased M&A service hedge
keeping sale the partially quarter Finally, sales of to linked million, income quarter record lower decline other private $XX on reflects offset higher non-interest equity was the gain investments. retirement from second $XXX related the by million business, revenue asset the
for in In expect $XXX the income net the we gain be $XXX to of non-interest and the range estimated which proprietary announced million previously mutual This the Visa of is in excluding close activity. to million, fourth fourth securities our funds, the expected includes sale quarter, to other quarter.
X. Slide to Turning
quarter relatively of activity $XX and higher million, linked an result as Third business to the with day additional Personnel related quarter a $XX compensation expense of largely increase increased remained million. quarter. an expenses flat in
Compared declined other the period year expenses quarter-over-quarter. ago, expense increased minimally to category every same Importantly, a $XX million. by
XX% continue to the Our and And third efficiency positive in last quarter, ratio operating XX% we for importantly, was year leverage. from a quarter, generate XX% ago. improving
of $XXX are Through to business funding as management to Expense improvement well controlled been in and of savings, you our us the achieve expense in continuous we a to know, for year, focus our the part expenses be track first three target quarters and our annual due our technology have on program. large which continues million to investments. contributed
Turning to credit quality.
X on and lower for loans, remained cards. provision and strong. as presented losses for in for increase metrics commercial Our a are Provision $X $XXX credit was a a higher consumer quarter, loans was offset million, provision linked million by slightly principally Slide auto credit
Net million lease our basis loan charge-off points. ratio for XX quarter allowance five of $XXX charge-offs our Overall, September for X.XX% XXXX, was previous as quarters. increased linked XX, losses $XX unchanged was total and million loans the to to virtually and net annualized
to down Non-performing auto represents points loans consistent the Non-performing $X were loans loans quarter, increase linked up quarter, ago. an but reflecting $XX basis with flat linked card a from X% primarily or partially and credit year were delinquencies million quarter. previous due delinquencies million, Total up essentially to XX total seasonality. in
and to an of approximately current CECL, we that aggregate As go conditions XX% been which you the adoption January economic based as standard allowance balances of forecasted our result this for CECL into overall and of XX, effect as approaching compared of are XXXX, parallel accounting We've could losses, estimate levels. XXXX. X, run beginning since in reserve year expectation our know, on the increase new in portfolio we the September credit of will
duration We under be the CECL more methodology. driven as continue increase the require to portfolio expect loan longer assets consumer by the reserves to
Importantly, year-end. approximation this this further estimate remains refine an through and we'll
good In summary, PNC quarter results. third posted very
balance expect the in of year, at growth For a continued GDP, we pace. albeit slower this
We cut XX basis in expect continue October. rate point funds one to Fed in
third we expect average approximately loans to XXXX quarter reported to results, XXXX be compared to ahead X%. Looking quarter fourth up the
approximately We expect to income decline net interest X%.
as X% expected be is expect growth up more elevated RMSR to in fee the third stable to activities the gains in to income fee-generating than hedge our offset We quarter.
be and income securities non-interest to between other $XXX $XXX excluding million, and expect million Visa activity. net We
approximately We to up expect be expenses X%.
million operating Importantly, we be given we between million. to expect for positive full-year leverage provision $XXX efforts, positioned well $XXX the our deliver to remain expense and XXXX, management and
And to Bill take with that, questions. your and are ready I
