Company: TFC
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0000092230-25-000020
Chunk: 288

Company: TRUIST FINANCIAL CORP
Filing Date: 2025-02-25
Form: 10-K
Item: Item 5
Chunk 288
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,392           Other liabilities13,343 11,560 9,994            Liabilities of discontinued operations1,049 3,190 2,800 Shareholders’ equity62,593 63,099 63,817            Total liabilities and shareholders’ equity$526,065 $553,132 $543,830            Average interest-rate spread  2.14 %2.18 %2.77 %        NIM/net interest income - TE  3.03 %2.98 %3.01 %$14,303 $14,744 $14,455 $(441)$(191)$(250)$289 $718 $(429)Taxable-equivalent adjustment    $212 $220 $142    Memo: Total deposits$387,868 $401,127 $418,090 2.02 %1.60 %0.27 %$7,849 $6,427 $1,145 $1,422 $5,282 

(1)Represents daily average balances. Unrealized gains and losses on available-for-sale securities are included in nonearning assets. Active hedge basis adjustments for fair value hedges are included in nonearning assets and other liabilities. In 2024, Truist revised its presentation of active hedge basis adjustments for fair value hedges on securities to be included in nonearning assets for all periods presented.

(2)Yields are stated on a TE basis utilizing a federal tax rate of 21%. Interest income includes certain fees, deferred costs, and dividends. The change in interest not solely due to changes in rate or volume has been allocated based on the pro-rata absolute dollar amount of each.

(3)Includes cash equivalents, interest-bearing deposits with banks, FHLB stock, and other earning assets.

Truist Financial Corporation   51

Provision for Credit Losses

The provision for credit losses was $1.9 billion for the year ended December 31, 2024 compared to $2.1 billion for the year ended December 31, 2023. The net charge-off ratio for the current year of 0.59% was up 9 basis points compared to the prior year.

•The decrease in the current year provision expense primarily reflects a lower allowance build.

•The net charge-off ratio was up compared to the prior year driven