Fifth Third Bancorp Reports $628 Million Net Income for Q2 2025, 4.5% Increase Year-Over-Year

Fifth Third Bancorp reported a net income of $628 million, or $0.88 per diluted share, for the second quarter of 2025, reflecting a 4.5% increase from $601 million, or $0.81 per diluted share, in the same period last year. For the first half of 2025, net income available to common shareholders reached $1.142 billion, up from $1.122 billion in the prior year. The bank's total revenue on a fully taxable equivalent (FTE) basis was $2.25 billion for the quarter, an 8% increase compared to $2.088 billion in Q2 2024, driven by a rise in net interest income, which increased by 8% to $1.495 billion.

The bank's net interest income for the first half of 2025 was $2.932 billion, a 6% increase from $2.771 billion in the same period last year. This growth was attributed to lower rates paid on average interest-bearing liabilities and higher average balances of loans and leases. The net interest margin on an FTE basis improved to 3.12% for the second quarter, compared to 2.88% in the prior year. However, the provision for credit losses increased to $173 million for the quarter, up from $97 million in Q2 2024, reflecting a deterioration in economic forecasts and higher loan balances.

In terms of operational developments, Fifth Third Bancorp expanded its footprint, operating 1,089 full-service banking centers and 2,170 ATMs across eleven states. The bank's total assets stood at $210 billion as of June 30, 2025, a slight decrease from $212.9 billion at the end of 2024. The bank's employee headcount increased to 18,690, up from 18,607 a year earlier. Additionally, the bank's capital ratios remained strong, with a Common Equity Tier 1 (CET1) capital ratio of 10.58% as of June 30, 2025.

Strategically, the Bancorp authorized a new share repurchase program, allowing for the buyback of up to 100 million shares, which is expected to enhance shareholder value. The bank also issued $700 million in fixed-rate/floating-rate senior notes and $300 million in floating-rate senior notes in January 2025, further strengthening its capital position. Looking ahead, Fifth Third Bancorp anticipates stable net interest margins and continued loan growth, although it remains cautious about potential economic headwinds that could impact credit quality and overall performance.