Company: KEY-PI
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0000091576-25-000110
Chunk: 13

Company: KEYCORP /NEW/
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 2
Chunk 13
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 lower loan balances.

Average loans were $105.7 billion for the second quarter of 2025, a decrease of $3.2 billion compared to the second quarter of 2024. Average commercial loans declined by $787 million, primarily driven by a decrease in commercial real estate loans.  Average consumer loans declined by $2.5 billion, reflective of broad-based declines across all loan categories.

Average deposits totaled $147.4 billion for the second quarter of 2025, an increase of $3.3 billion compared to the year-ago quarter, reflecting growth in consumer deposits.

Figure 3 shows the various components of our balance sheet that affect interest income and expense and their respective yields or rates for the current period and comparative year ago period. This figure also presents a reconciliation of TE net interest income to net interest income reported in accordance with GAAP for each of those quarters. The net interest margin, which is an indicator of the profitability of the earning assets portfolio less the cost of funding, is calculated by dividing annualized TE net interest income by average earning assets.

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Figure 3. Consolidated Average Balance Sheets, Net Interest Income, and Yields/Rates and Components of Net Interest Income Changes from Continuing Operations(g) 

 Three months ended June 30, 2025Three months ended June 30, 2024Change in Net interest income due toDollars in millionsAverageBalanceInterest (a)Yield/Rate (a)AverageBalanceInterest (a)Yield/Rate (a)VolumeYield/RateTotalASSETSLoans (b), (c)Commercial and industrial (d)$55,604 $838 6.04 %$54,599 $860 6.34 %$16 $(38)$(22)Real estate — commercial mortgage13,311 200 6.02 14,287 217 6.10 (15)(2)(17)Real estate — construction2,873 50 6.95 3,020 56 7.51 (3)(3)(6)Commercial lease financing2,524 22 3.59 3,193 28 3.46 (6)— (6)Total commercial loans74,312 1,110 5.99 75,099 1,161 6.22 (8)(43)(51)Real estate — residential mortgage19,446 162 3.