Company: FITBI
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000035527-25-000079
Chunk: 467

Company: FIFTH THIRD BANCORP
Filing Date: 2025-02-24
Form: 10-K
Item: Item 7
Chunk 467
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13.86%;

•Leverage ratio: 9.22%

50 Fifth Third Bancorp 

Table of Contents MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

NON-GAAP FINANCIAL MEASURES

The following are non-GAAP financial measures which provide useful insight to the reader of the Consolidated Financial Statements but should be supplemental to primary U.S. GAAP measures and should not be read in isolation or relied upon as a substitute for the primary U.S. GAAP measures. The Bancorp encourages readers to consider the Consolidated Financial Statements in their entirety and not to rely on any single financial measure.

The FTE basis adjusts for the tax-favored status of income from certain loans and leases and securities held by the Bancorp that are not taxable for federal income tax purposes. The Bancorp believes this presentation to be the preferred industry measurement of net interest income as it provides a relevant comparison between taxable and non-taxable amounts.

The following table reconciles the non-GAAP financial measures of net interest income on an FTE basis, interest income on an FTE basis, net interest margin, net interest rate spread and the efficiency ratio to U.S. GAAP:

TABLE 2:  Non-GAAP Financial Measures - Financial Measures and Ratios on an FTE basisFor the years ended December 31 ($ in millions)202420232022Net interest income (U.S. GAAP)$5,630 5,827 5,609 Add: FTE adjustment24 25 16 Net interest income on an FTE basis (1)$5,654 5,852 5,625 Interest income (U.S. GAAP)$10,426 9,760 6,587 Add: FTE adjustment24 25 16 Interest income on an FTE basis (2)$10,450 9,785 6,603 Interest expense (3)$4,796 3,933 978 Noninterest income (4)2,849 2,881 2,766 Noninterest expense (5)5,033 5,205 4,719 Average interest-earning assets (6)194,800 191,743 186,326 Average interest-bearing liabilities (7)146,188 137,592 119,624 Ratios:Net interest margin on an FTE basis (1) / (6)2.90 %3.05