Company: HBAN
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0000049196-25-000063
Chunk: 107

Company: HUNTINGTON BANCSHARES INC /MD/
Filing Date: 2025-07-29
Form: 10-Q
Item: Part I, Item 2
Chunk 107
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 if any, and a small amount of other residual unallocated expenses, are allocated to the business segments.

Funds Transfer Pricing (FTP)

We use an active and centralized FTP methodology to attribute appropriate net interest income to the business segments. The intent of the FTP methodology is to transfer interest rate risk from the business segments by providing modeled duration funding of assets and liabilities. The result is to centralize the financial impact, management, and reporting of interest rate risk in the Treasury / Other function where it can be centrally monitored and managed. The Treasury / Other function charges (credits) an internal cost of funds for assets held in (or pays for funding provided by) each business segment. The FTP rate is based on prevailing market interest rates for comparable duration assets (or liabilities). The primary components of the FTP rate include a base (market) rate, a liquidity premium, contingent liquidity and collateral charges, and option cost.

Net Income (Loss) by Business Segment

Net income (loss) by business segment is presented in the following table.

Table 22 - Net Income (Loss) by Business Segment Six Months Ended(dollar amounts in millions)June 30, 2025June 30, 2024Consumer & Regional Banking$616 $716 Commercial Banking552 526 Treasury / Other(105)(349)Net income attributable to Huntington$1,063 $893 

32     Huntington Bancshares Incorporated

Table of Contents

Consumer & Regional BankingTable 23 - Key Performance Indicators for Consumer & Regional Banking Six Months EndedChange(dollar amounts in millions)June 30, 2025June 30, 2024AmountPercentNet interest income$1,957 $1,963 $(6)— %Provision for credit losses185 122 63 52 Net interest income after provision for credit losses1,772 1,841 (69)(4)Noninterest income666 630 36 6 Noninterest expense:Direct personnel costs599 560 39 7 Other noninterest expense, including corporate allocations1,060 1,005 55 5 Total noninterest expense1,659 1,565 94 6 Income before income taxes779 906 (127)(14)Provision for income taxes163 190 (27)(14)Net income attributable to Huntington$616 $716 $(100)(14)%Number of employees (average full-time equivalent)11,261 11,177 84