Q1 2026 KeyCorp Earnings Call Transcript
Key Points
- KeyCorp (KEY) reported a strong first-quarter performance with earnings of $0.44 per share, up 33% year over year.
- Revenue grew 10% year over year, with adjusted pre-provision net revenue marking the eighth consecutive quarter of growth.
- Net interest margin expanded by 5 basis points sequentially to 2.87%, with expectations to exceed 3% by year-end.
- Commercial loan growth was robust, increasing by $3.3 billion or 4% sequentially, with broad-based growth across industries and geographies.
- KeyCorp (KEY) repurchased nearly $400 million of common stock during the quarter, exceeding their initial commitment, and plans to buy back at least $1.3 billion of shares in 2026.
- Investment banking fees are expected to decline in the second quarter compared to the record first quarter due to current market conditions.
- Non-performing assets increased by $65 million sequentially, driven by two credits in utilities and multifamily real estate industries.
- Average deposits decreased by 2% sequentially, reflecting typical seasonal patterns and intentional runoff of higher-cost brokered CDs.
- The macroeconomic environment remains dynamic, with potential impacts on investment banking and M&A activities.
- Expenses are expected to increase through the year due to ongoing investments in people and technology, impacting overall cost management.
Good morning and welcome to KeyCorp's first-quarter 2026 earnings conference call. (Operator Instructions) As a reminder, this conference is being recorded.
I would now like to turn the conference over to Brian Mauney, KeyCorp Director of Investor Relations. Please go ahead.
Thank you, operator, and good morning, everyone. I'd like to thank you for joining KeyCorp's first-quarter 2026 earnings conference call. I'm here with Chris Gorman, our Chairman and Chief Executive Officer; Clark Khayat, our Chief Financial Officer; and Mo Ramani, our Chief Risk Officer.
As usual, we will reference our earnings presentation slides, which can be found in the Investor Relations section of the key.com website. In the back of the presentation, you will find our statement on forward-looking disclosures and certain financial measures, including non-GAAP measures. This covers our earnings materials as well as remarks made on this morning's call. Actual results may differ materially from forward-looking
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
