Citizens Financial Group reported second-quarter 2026 net income of $587 million, up 14% from $517 million in the first quarter and up 35% from $436 million a year earlier.
Diluted earnings per share rose to $1.30 from $1.13 in the prior quarter and $0.92 in the second quarter of 2025, increases of 15% and 41%, respectively.
Total revenue reached $2.283 billion, up 5% sequentially and 12% year over year. Net interest income climbed to $1.631 billion from $1.562 billion in the first quarter and $1.437 billion a year ago, gains of 4% and 14%. Noninterest income increased to $652 million from $606 million and $600 million, up 8% quarter over quarter and 9% year over year.
Pre-provision profit rose to $889 million from $790 million in the first quarter and $718 million in the prior-year quarter, up 13% and 24%.
Noninterest expense was $1.394 billion, up $16 million, or 1%, from the first quarter and up $75 million, or 6%, from a year earlier. The efficiency ratio improved to 61.1% from 63.6% in the first quarter and 64.8% in the second quarter of 2025.
The net interest margin increased to 3.17% from 3.14% in the first quarter and 2.95% a year ago. Average interest-earning assets rose to $206.8 billion from $201.9 billion and $196.3 billion.
Loans and leases finished the quarter at $147.5 billion, up 3% from $143.7 billion in the first quarter and up 6% from $139.3 billion a year ago. Average loans and leases were $146.1 billion, up 2% sequentially and 5% year over year.
Deposits ended the quarter at $185.6 billion, up from $184.0 billion in the first quarter and $175.1 billion a year earlier. Average deposits rose to $183.6 billion from $181.3 billion and $174.1 billion.
Private bank deposits increased 7% to $17.8 billion at quarter end. Checking with interest deposits rose to $40.3 billion from $37.7 billion in the first quarter, while noninterest-bearing demand deposits fell to $40.9 billion from $41.7 billion.
The company’s period-end loan-to-deposit ratio improved to 79.5% from 78.1% in the prior quarter and was nearly flat versus 79.6% a year ago.
Credit quality improved as net charge-offs fell to 0.37% of average loans from 0.39% in the first quarter and 0.48% a year earlier. Nonaccrual loans and leases declined to 0.97% from 1.04% and 1.09%.
The allowance for credit losses to loans and leases was 1.48%, down from 1.52% in the first quarter and 1.59% a year ago.
The common equity tier 1 ratio was 10.4%, down from 10.5% in the first quarter and 10.6% a year earlier. Tangible book value per share rose to $38.29 from $37.94 and $35.23.
Return on average tangible common equity increased to 13.9% from 12.2% in the first quarter and 11.0% a year ago.
Citizens also raised its quarterly common stock dividend to $0.46 per share. The market has reacted to these announcements by moving the company's shares 4.45% to a price of $74.285. For the full picture, make sure to review CITIZENS FINANCIAL GROUP INC/RI's 8-K report.
