TRUIST FINANCIAL CORP has recently released its 10-Q report. Truist Financial Corporation is a financial services company that provides banking and trust services in the Southeastern and Mid-Atlantic United States. It operates through Consumer and Small Business Banking and Wholesale Banking, and its offerings include deposit accounts, lending, asset management, brokerage, payments, treasury services, commercial banking, investment banking, wealth management, and insurance-related services. The company was formerly BB&T Corporation, adopted the Truist name in December 2019, and is headquartered in Charlotte, North Carolina.
In Item 2, management said second-quarter 2026 diluted earnings per common share rose to $1.23 from $0.90 a year earlier, while net income available to common shareholders increased to $1.519 billion from $1.180 billion. Total revenue climbed to $5.265 billion from $4.987 billion, and total revenue on a taxable-equivalent basis rose to $5.311 billion from $5.035 billion. Net interest income on a taxable-equivalent basis increased to $3.667 billion from $3.635 billion, while the net interest margin on a taxable-equivalent basis slipped to 2.98% from 3.02%.
Noninterest income increased to $1.644 billion from $1.400 billion, with management pointing to higher investment banking and trading income and higher wealth management income. Noninterest expense rose to $3.055 billion from $2.986 billion, mainly because of higher personnel expense. Income before taxes increased to $1.815 billion from $1.513 billion, and the provision for income taxes fell to $262 million from $273 million.
For the first six months of 2026, diluted earnings per common share were $2.31, up from $1.78 a year earlier. Net income available to common shareholders was $2.896 billion, compared with $2.337 billion in the prior-year period, and total revenue reached $10.417 billion versus $9.886 billion. On a taxable-equivalent basis, six-month net interest income was $7.311 billion, up from $7.190 billion, while noninterest income rose to $3.197 billion from $2.792 billion.
Management said average earning assets in the second quarter increased to $492.5 billion from $481.0 billion, driven by average total loans of $329.2 billion, up from $312.6 billion. Average deposits increased to $404.9 billion from $400.5 billion, while average interest-bearing liabilities rose to $370.8 billion from $354.3 billion. The average cost of total deposits declined to 1.56% from 1.85% in the prior-year quarter.
Asset quality metrics were mixed. Nonperforming loans and leases held for investment were 0.51% of loans and leases held for investment at June 30, 2026, up from 0.48% at December 31, 2025. Loans 90 days or more past due and still accruing were $698 million, unchanged from year-end 2025. The allowance for credit losses was $5.3 billion, including $5.0 billion in the allowance for loan and lease losses and $333 million for unfunded commitments, and the allowance for loan and lease losses was 1.51% of loans and leases held for investment, down from 1.53% at year-end.
The provision for credit losses was $395 million in the second quarter of 2026, down from $488 million a year earlier. Net charge-offs as a percentage of loans and leases were 50 basis points, compared with 51 basis points in the second quarter of 2025.
Capital remained solid by the company’s reported measures. Truist’s preliminary common equity tier 1 ratio was 10.9% at June 30, 2026, up from 10.8% at December 31, 2025. The company returned $1.8 billion to common shareholders in the quarter, including $636 million in dividends and $1.2 billion in share repurchases, and had $7.7 billion remaining under its $10.0 billion repurchase authorization. The dividend payout ratio was 42% and the total payout ratio was 121%.
Book value per common share was $48.04 at June 30, 2026, compared with $47.74 at December 31, 2025, and tangible book value per common share was $33.40, versus $33.48. Truist’s average consolidated liquidity coverage ratio was 113% for the quarter, above the 100% regulatory minimum. On May 15, 2026, the company issued $500 million of Series S non-cumulative perpetual preferred stock at a 6.25% annual dividend rate, generating net proceeds of about $495 million.
The company also disclosed a leadership transition: Michael P. Lyons is set to become president and CEO of Truist Financial Corporation and Truist Bank on September 1, 2026, while William H. Rogers, Jr. will retire as president and CEO on that date and remain executive chair through Truist’s 2027 annual meeting. Following these announcements, the company's shares moved -0.33%, and are now trading at a price of $51.84. For the full picture, make sure to review TRUIST FINANCIAL CORP's 10-Q report.
