Company: CFG-PE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000759944-25-000153
Chunk: 196

Company: CITIZENS FINANCIAL GROUP INC/RI
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 2
Chunk 196
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 non-GAAP financial measures. See “Non-GAAP Financial Measures” for more information.

Net interest income increased $119 million, or 9%, and increased $95 million, or 2%, for the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024, driven by higher net interest margin reflecting lower funding costs, the time-based benefits of the Non-Core portfolio runoff, terminated swap impacts, and fixed-rate asset repricing benefits.

Net interest margin on an FTE basis increased 23 basis points and 10 basis points for the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024, driven by lower funding costs, the time-based benefits of the Non-Core portfolio runoff, terminated swap impacts, and fixed-rate asset repricing benefits.

Average interest-earning assets increased $434 million for the three months ended September 30, 2025, compared to the same period in 2024, driven by an increase in investment securities and loans held for sale, partially offset by a decline in total loans and leases. For the nine months ended September 30, 2025, average interest-earnings assets decreased $2.2 billion compared to the same period in 2024, driven by a decline in total loans and leases and cash held in interest-bearing deposits, partially offset by an increase in investment securities and loans held for sale.

Citizens Financial Group, Inc. | 11

Average deposits increased $1.9 billion for the three months ended September 30, 2025 and were stable for the nine months ended September 30, 2025, compared to the same periods in 2024. The increase during the three-month period was driven by growth in the Private Bank, partially offset by a reduction in higher-cost brokered deposits.

Average total borrowed funds decreased $1.6 billion and $1.5 billion for the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024, driven primarily by a decline in auto collateralized borrowings given runoff of the Non-Core portfolio. A decline in FHLB advances is also a driver during the nine-month period.

Noninterest Income

The following table presents the components of noninterest income:

Table 2: Noninterest IncomeThree Months Ended September 30,Nine Months Ended September 30,(dollars in millions)20252024ChangePercent20252024ChangePercent