PNC Financial Posts Lower 3Q Earnings

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By Will Feuer PNC Financial Services posted lower earnings for the third quarter as the sluggish M&A market and lower trading activity weighed on...

PNC Financial Services posted lower earnings for the third quarter as the sluggish M&A market and lower trading activity weighed on non-interest income, and higher funding costs squeezed net interest income.

The Pittsburgh-based bank posted third-quarter net income of $1.55 billion, or $3.60 a share, down from $1.62 billion, or $3.78 a share, in the same period last year. Analysts surveyed by FactSet were expecting earnings of $3.10 a share. Revenue fell to $5.23 billion from $5.55 billion. Analysts surveyed by FactSet were expecting revenue of $5.32 billion.Net interest income slipped about 2% from a year ago to $3.42 billion, while non-interest income fell 12% from last year to $1.82 billion.

The bank provisioned $129 million for credit losses, compared with $241 million a year ago and $146 million in the second quarter.

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