Company: HBAN
Filing Date: 2025-02-14
Form Type: 10-K
Source: 0000049196-25-000020
Chunk: 59

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-02-14
Form: 10-K
Item: Item 8
Chunk 59
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— 67 Insurance income71 9 (1)79 Other noninterest income8 12 (2)18 Net revenue from contracts with customers$1,020 $304 $(6)$1,318 Noninterest income within the scope of other GAAP topics252 363 48 663 Total noninterest income$1,272 $667 $42 $1,981 

132     Huntington Bancshares Incorporated

Table of Contents

Huntington generally provides services for customers in which it acts as principal. Payment terms and conditions vary amongst services and customers, and thus impact the timing and amount of revenue recognition. Some fees may be paid before any service is rendered and accordingly, such fees are deferred until the obligations pertaining to those fees are satisfied. Most Huntington contracts with customers are cancelable by either party without penalty or they are short-term in nature, with a contract duration of less than one year. Accordingly, most revenue deferred for the reporting period ended December 31, 2024 is expected to be earned within one year. Huntington does not have significant balances of contract assets or contract liabilities and any change in those balances during the reporting period ended December 31, 2024 was determined to be immaterial.

15. SHARE-BASED COMPENSATION 

Share-based awards are eligible for issuance under the Company’s long term incentive plan. The plan provides for the granting of stock options, restricted stock awards, restricted stock units, performance share units, and other awards to officers, directors, and other employees. At December 31, 2024, 37 million shares were available for future grants. Huntington issues shares to fulfill share-based award vesting from available authorized common shares. At December 31, 2024, Huntington believes there are adequate authorized common shares to satisfy anticipated share-based award vesting in 2025. The following table presents total share-based compensation expense and related tax benefit.Year Ended December 31,(dollar amounts in millions)202420232022Share-based compensation expense (1)$133 $114 $119 Tax benefit24 19 20 (1)Compensation costs are included in personnel costs on the Consolidated Statements of Income.Stock OptionsStock options, awarded by Huntington, are granted at the closing market price on the date of the grant and vest ratably over four years or when other conditions are met. Stock options, which represented a portion of the grant values, have no intrinsic value until the stock price increases.