KeyCorp 2025年度报告

KeyCorpAnnual Report Our purpose To help our clients, colleagues,and communities thrive. To our fellowshareholders In 2025, we celebrated KeyBank’s200-year anniversary. I am pleased toreport that in an important, milestoneyear, we delivered financial resultsreflective of our proud heritage. We met or exceeded each financial target wecommunicated at the beginning of the year whilecontinuing to make meaningful investments in ourfranchise. We achieved record revenue, and pre-provision net revenue increased 44% comparedto 20241. We grew commercial clients, relationshiphouseholds, deposits, pipelines, and assets undermanagement. Throughout the year, we maintained peer-leadingcapital ratios. As a result, we continued to supportclients with our balance sheet and completed $200million of share repurchases in the fourth quarter.We are committed to a more meaningful return ofcapital to our shareholders in 2026. Investing across the franchise todrive future growth Delivering on our commitments At the beginning of 2025, we shared five financialobjectives. I am pleased to share we met orexceeded each commitment. We increased our front-line banker headcount byapproximately 10% across Wealth Management,Commercial Payments, Middle Market, andInvestment Banking. Based on our historicalexperience, we generally expect new hires tobecome fully productive on our platforms over a 12-to 18-month period as they onboard and leverageour differentiated capabilities. First, we would increase net interest income by20%, with a fourth quarter exit rate that was atleast 10% higher than that of the fourth quarter of2024. Net interest income grew 23% for the fullyear, with a fourth quarter exit rate that was 15%higher compared to the prior year. This will facilitateoutsized growth again in 2026. We plan to continue to add to our banker ranksagain in 2026. A consistent approach to hiring year-after-year will enable us to better take advantage ofour unique, but underleveraged platforms, and willhave a compounding effect on our future growth. Second, fee income would increase by at least5%. Fees increased by 7.5%1, with each of our highpriority fee-based businesses growing at a highsingle-digit or low double-digit rate. We also spent an incremental $100 million ontechnology in 2025, focused on investments thatimproved our client-facing capabilities and makeit easier for clients to bank with Key. We intend toinvest an additional $100 million — or $1 billiontotal — in 2026. These investments will continue tofocus on delivering leading-edge capabilities to ourclients. Third, we would manage expenses to a 3–5%growth rate. Expenses increased by approximately4.5%, even as we made meaningful investments inour franchise throughout the year and compensatedpeople for our strong financial performance. Fourth, loans would be flat on a point-to-pointyear-end basis, with commercial loans up 2–4%.Total loans grew 2%, with commercial loans up 6%.Commercial and industrial loans grew 9%, an areaof particular strength for our company. The current environment playswell to our strengths Lastly, net charge-offs would remain low at 40to 45 basis points. Net charge-offs were 41 basispoints. All leading indicators — nonperformingassets, criticized loans, and delinquencies —improved over the course of the year. Our unique underwrite-to-distribute model positionsus well in the current operating environment. In2025, we raised nearly $140 billion of capital onbehalf of clients while retaining 20% on our balancesheet. These results demonstrate significant progress onour path to achieving a sustainable 15%+ returnon tangible common equity by year-end 2027,and 16%–19% over the longer-term. At the sametime, we ended 2025 with a strong capital positionincluding a Common Equity Tier 1 (CET1) ratio of11.8% and a ‘marked’ CET1 ratio, which adjusts forunrealized securities losses, of 10.4%. Our capitalposition gives us flexibility to lean in even moreaggressively in 2026 to support our clients, our ownorganic growth, and to repurchase shares. If market conditions remain constructive, we willcontinue to support our clients by raising capital,which generates fee income while eliminating tailrisks. If markets dislocate and credit spreads widen,we have plenty of capacity to grow loans faster andearn net interest income. At 10% of total revenues, we enjoy outsized anddifferentiated Investment Banking capabilities toserve our clients. Strong underlying momentumpositions Key for evengreater success We are playing offense with a culture that isbecoming increasingly focused on client acquisition,in addition to maintaining the exceptional servicequality for which we are well known. We achieved our second-best year ever ofInvestment Banking and Debt Placement fees in2025. Encouragingly, strategic activity picked upmeaningfully late in the year. We are off to a strongstart in 2026 and our pipelines remain at historicallyelevated levels. Assuming a continued favorablem