Merger with Comerica
Fifth Third announced a merger with Comerica, expected to create a well-diversified, more profitable company with better long-term growth. The merger is anticipated to close by the end of 2026, simplifying operations like the Direct Express program transition.
Strong Financial Performance
Third-quarter EPS was $0.91 ($0.93 excluding items), with adjusted revenues rising 6%. Net interest income improved by 7%, and fees grew by 5% year over year.
Loan and Deposit Growth
Average loans increased 6% year over year, marking the fourth consecutive quarter of acceleration. Average demand deposits rose 3% year over year, led by 6% consumer DDA growth.
Strategic Growth in Southeast
Investments in the Southeast resulted in a 7% increase in consumer households year over year, significantly outpacing the market growth rate.
Expansion and Investment
Added 13 branches in the Southeast, including Alabama, and plan to open 27 more by year-end. Middle market RM headcount increased 8%, with new client acquisition up 40%.
Reduction in Nonperforming Assets
Commercial nonperforming assets declined 14% and criticized assets decreased 4% to the lowest level in over three years.