The PNC Financial Services Group delivered QQ1 2025 revenue of $8.101 billion and net income of $1.481 billion, translating to earnings per share of $3.52 (diluted $3.51). Revenue declined year-over-year by 3.35% and fell 5.05% quarter-over-quarter, while net income grew 11.35% year over year, resulting in a 13.55% YoY increase in EPS and a 6.63% QoQ decline in ASP. Gross margin stood at 64.6% with an operating margin of 22.8%, supported by disciplined cost management amid a higher interest expense environment (interest expense of $2.654 billion). Operating income was $1.846 billion, up 11.5% YoY but down 3.1% QoQ, reflecting the quarterly cadence of revenue drivers and expense timing.
The balance sheet remains exceptionally liquid and well-capitalized. Cash and cash equivalents totaled $38.4 billion at quarter-end, and total assets reached $554.722 billion, with total liabilities of $498.271 billion and total stockholders’ equity of $56.405 billion. The company reported negative net cash provided by operating activities of $0.509 billion, driven by working capital movements (change in working capital and other working capital items totaling approximately -$2.439 billion each), underscoring near-term cash flow headwinds even as earnings remained solid. The combination of solid profitability, a strong liquidity runway, and a conservative capital structure positions PNC to pursue strategic investments in digital and fee-based businesses while navigating potential rate- and credit-related volatility. Investors should monitor net interest income trends, loan growth, expense discipline, and the trajectory of working capital normalization to assess the sustainability of free cash flow generation.