PNC Announces Stress Capital Buffer (SCB) and Planned Capital Actions

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PNC Financial Services Group (NYSE: PNC) has received its 2025 Comprehensive Capital Analysis and Review (CCAR) results from the Federal Reserve. The bank's Stress Capital Buffer (SCB) for the period beginning October 1, 2025, will remain at 2.5%, consistent with the current level through September 30, 2025.

PNC demonstrated strong capital positions with a Common Equity Tier 1 (CET1) ratio of 10.6% as of March 31, 2025, significantly exceeding the regulatory minimum plus SCB requirement of 7.0%. Under the Federal Reserve's Supervisory Severely Adverse scenario projections, PNC's minimum CET1 ratio is projected at 9.7%, well above the 4.5% regulatory minimum.

The bank plans to increase its quarterly cash dividend by 10 cents (6%) to $1.70 per share in Q3 2025, subject to board approval. Additionally, PNC's board has authorized a repurchase framework of up to 100 million common shares, with approximately 41% still available for repurchase as of March 31, 2025.

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PITTSBURGH, July 1, 2025 /PRNewswire/ -- The PNC Financial Services Group, Inc. (NYSE: PNC) last week received the results of the Federal Reserve's 2025 Comprehensive Capital Analysis and Review (CCAR). The Federal Reserve's CCAR disclosure included its estimate of PNC's minimum capital ratios for the period from the first quarter of 2025 through the first quarter of 2027 under the hypothetical Supervisory Severely Adverse scenario. Based on PNC's strong results, PNC's calculated Stress Capital Buffer (SCB) for the four-quarter period beginning Oct. 1, 2025 under the rules currently in effect is 1.5%, which is below the regulatory minimum SCB amount, resulting in an SCB of 2.5%. This is consistent with PNC's SCB in effect through Sept. 30, 2025. PNC's Common Equity Tier 1 (CET1) ratio of 10.6% as reported for March 31, 2025 significantly exceeds the regulatory minimum plus our SCB (7.0%), reflecting our strong capital levels. Furthermore, under the Federal Reserve's projections in the 2025 Supervisory Severely Adverse scenario, PNC's post-stress capital ratios are projected to remain well above regulatory minimums, with our minimum CET1 ratio projected to be 9.7% and our ending CET1 ratio projected to be 9.8%, compared to the regulatory minimum of 4.5%.

PNC plans to recommend to its board of directors an increase in the quarterly cash dividend on common stock of 10 cents per share, or 6%, to $1.70 per share in the third quarter of 2025, consistent with the current capital plan approved by its board. PNC's board of directors is expected to consider this recommendation at its next scheduled meeting on July 3, 2025.

Consistent with the SCB framework, which allows for capital returns 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 41% were still available for repurchase at March 31, 2025. Share repurchase activity in the third quarter of 2025 is expected to be generally consistent with our share repurchase levels in the second quarter of 2025. PNC continues to evaluate and may adjust share repurchase activity, as actual amounts and timing are dependent on market and economic conditions as well as other factors. PNC's common share repurchases may be executed in privately negotiated transactions or through the open market, including under Rule 10b5-1 plans.

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.

CONTACTS                                                                                                                 

MEDIA:                 
Kristen Pillitteri
(412) 762-4550
media.relations@pnc.com               

INVESTORS:       
Bryan Gill
(412) 768-4143
investor.relations@pnc.com

 

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SOURCE The PNC Financial Services Group, Inc.

FAQ

What is PNC's new Stress Capital Buffer (SCB) requirement for 2025-2026?

PNC's SCB will remain at 2.5% for the four-quarter period beginning October 1, 2025, consistent with the current level.

How much is PNC increasing its quarterly dividend in Q3 2025?

PNC plans to increase its quarterly cash dividend by 10 cents per share (6%) to $1.70 per share, subject to board approval on July 3, 2025.

What was PNC's CET1 ratio as of March 2025?

PNC reported a Common Equity Tier 1 (CET1) ratio of 10.6% as of March 31, 2025, well above the 7.0% regulatory minimum plus SCB requirement.

How many shares are available under PNC's current share repurchase program?

Approximately 41% of the authorized 100 million common shares were still available for repurchase as of March 31, 2025.

What were PNC's stress test results in the 2025 CCAR?

Under the Federal Reserve's Supervisory Severely Adverse scenario, PNC's minimum CET1 ratio is projected at 9.7% with an ending ratio of 9.8%, well above the 4.5% regulatory minimum.