Huntington Bancshares Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Huntington Bancshares Inc. filed its Q1 2024 10-Q, detailing financial positions and stock information.</b>

AI Summary

HUNTINGTON BANCSHARES INC /MD/ (HBANP) filed a Quarterly Report (10-Q) with the SEC on April 30, 2024. Filing is a 10-Q for Huntington Bancshares Inc. for the period ending March 31, 2024. The company is incorporated in Maryland (MD) with its principal business address in Columbus, OH. The filing includes data related to common stock, preferred stock (Series H, I, J), and treasury stock. Financial data points include retained earnings, additional paid-in capital, and accumulated other comprehensive income. The filing references variable interest entities where Huntington Bancshares is the primary beneficiary.

Why It Matters

For investors and stakeholders tracking HUNTINGTON BANCSHARES INC /MD/, this filing contains several important signals. This 10-Q provides a quarterly update on Huntington Bancshares' financial health and capital structure, crucial for investors to assess performance and stability. The detailed breakdown of stock types and equity components offers insight into the company's financial strategy and how it manages its capital.

Risk Assessment

Risk Level: low — HUNTINGTON BANCSHARES INC /MD/ shows low risk based on this filing. The filing is a standard 10-Q, providing routine financial disclosures without immediate red flags.

Analyst Insight

Review the detailed balance sheet and equity components in the 10-Q to understand changes in Huntington Bancshares' financial position.

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed Period of Report)
• 2024-04-30 — Filing Date (Filed as of Date)
• 2024-01-01 — Quarter Start Date (2024 Q1)
• 1231 — Fiscal Year End (Fiscal Year End)

Key Players & Entities

• HUNTINGTON BANCSHARES INC /MD/ (company) — Filer
• COLUMBUS (location) — Business Address City
• OH (location) — Business Address State
• MD (location) — State of Incorporation

FAQ

Industry Context

Huntington Bancshares Inc. operates within the National Commercial Banks industry.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934.

What Investors Should Do

1. Analyze the balance sheet for changes in assets, liabilities, and equity from the previous quarter.
2. Review disclosures related to preferred stock (Series H, I, J) and common stock for any significant changes or terms.
3. Examine the details of retained earnings and accumulated other comprehensive income for insights into profitability and valuation adjustments.

Year-Over-Year Comparison

This filing is a 10-Q for the first quarter of 2024, providing updated financial information compared to previous filings.

Key Financial Figures

• $0.01 — k) HBANL NASDAQ Common Stock—Par Value $0.01 per Share HBAN NASDAQ Indicate by che
• $419 m — rter of 2024, we reported net income of $419 million, or $0.26 per diluted common shar
• $0.26 — reported net income of $419 million, or $0.26 per diluted common share, compared with
• $602 m — per diluted common share, compared with $602 million, or $0.39 per diluted common shar
• $0.39 — n share, compared with $602 million, or $0.39 per diluted common share, in the year-a
• $32 m — DIF special assessment expense totaling $32 million, or $25 million after tax ($0.02
• $25 million — ssment expense totaling $32 million, or $25 million after tax ($0.02 per common share), bas
• $0.02 — $32 million, or $25 million after tax ($0.02 per common share), based on updated FDI
• $7 m — staffing efficiency related expense of $7 million, or $5 million after tax. The yea
• $5 million — iency related expense of $7 million, or $5 million after tax. The year-ago quarter reporte
• $57 million — sale of our RPS business resulting in a $57 million gain, or $44 million after tax ($0.03 p
• $44 million — ess resulting in a $57 million gain, or $44 million after tax ($0.03 per common share), and
• $0.03 — million gain, or $44 million after tax ($0.03 per common share), and negatively impac
• $42 m — and organization realignment expense of $42 million, or $34 million after tax ($0.02
• $34 million — realignment expense of $42 million, or $34 million after tax ($0.02 per common share). 6

Filing Documents

• hban-20240331.htm (10-Q) — 4791KB
• exhibit101transitionletter.htm (EX-10.1) — 100KB
• hban20240331_10qex311.htm (EX-31.1) — 10KB
• hban20240331_10qex312.htm (EX-31.2) — 10KB
• hban20240331_10qex321.htm (EX-32.1) — 4KB
• hban20240331_10qex322.htm (EX-32.2) — 4KB
• hban-20240331_g1.jpg (GRAPHIC) — 10KB
• imagea.jpg (GRAPHIC) — 5KB
• 0000049196-24-000047.txt (&nbsp;) — 23250KB
• hban-20240331.xsd (EX-101.SCH) — 75KB
• hban-20240331_cal.xml (EX-101.CAL) — 156KB
• hban-20240331_def.xml (EX-101.DEF) — 596KB
• hban-20240331_lab.xml (EX-101.LAB) — 980KB
• hban-20240331_pre.xml (EX-101.PRE) — 820KB
• hban-20240331_htm.xml (XML) — 6170KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) 34 Consolidated Balance Sheets at March 31, 2024 and December 31, 2023 34 Consolidated Statements of Income for the three months ended March 31, 2024 and 2023 35 Consolidated Statements of Comprehensive Income for the three months ended March 31, 2024 and 2023 36 Consolidated Statements of Changes in Shareholders' Equity for the three months ended March 31, 2024 and 2023 37 Consolidated Statements of Cash Flows for the three months ended March 31, 2024 and 2023 38 Notes to Unaudited Consolidated Financial Statements 40

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 5 Executive Overview 5 Discussion of Results of Operations 8 Risk Management and Capital: 12 Credit Risk 12 Market Risk 18 Liquidity Risk 22 Operational Risk 25 Compliance Risk 26 Capital 26 Business Segment Discussion 27 Additional Disclosures 30

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 74

Controls and Procedures

Item 4. Controls and Procedures 74

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 74

Risk Factors

Item 1A. Risk Factors 74

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 74

Exhibits

Item 6. Exhibits 75

Signatures

Signatures 76 2 Huntington Bancshares Incorporated Table of Contents Glossary of Acronyms and Terms The following listing provides a comprehensive reference of common acronyms and terms used throughout the document: ACL Allowance for Credit Losses AFS Available-for-Sale ALCO Asset-Liability Management Committee ALLL Allowance for Loan and Lease Losses AOCI Accumulated Other Comprehensive Income (Loss) ASC Accounting Standards Codification ASU Accounting Standards Update AULC Allowance for Unfunded Lending Commitments Basel III Refers to the final rule issued by the FRB and OCC and published in the Federal Register on October 11, 2013 C&I Commercial and Industrial CDs Certificates of Deposit CDS Credit Default Swap CECL Current Expected Credit Losses CET1 Common Equity Tier 1 on a Basel III basis CFPB Bureau of Consumer Financial Protection CME Chicago Mercantile Exchange CMO Collateralized Mortgage Obligations CODM Chief Operating Decision Maker CRE Commercial Real Estate DIF Deposit Insurance Fund Dodd-Frank Act Dodd-Frank Wall Street Reform and Consumer Protection Act EOP End of Period EVE Economic Value of Equity FDIC Federal Deposit Insurance Corporation Federal Reserve Board of Governors of the Federal Reserve System FFIEC Federal Financial Institutions Examination Council FHLB Federal Home Loan Bank FICO Fair Isaac Corporation FRB Federal Reserve Bank FTE Fully-Taxable Equivalent FTP Funds Transfer Pricing FVO Fair Value Option GAAP Generally Accepted Accounting Principles in the United States of America GDP Gross Domestic Product HTM Held-to-Maturity IRS Internal Revenue Service LIBOR London Interbank Offered Rate LIHTC Low Income Housing Tax Credit MBS Mortgage-Backed Securities MD&A Management's Discussion and Analysis of Financial Condition and Results of Operations MSR Mortgage Servicing Right NAICS North American Industry Classification System NALs Nonaccrual Loans NCO Ne

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION When we refer to "we," "our," "us," "Huntington," and "the Company" in this report, we mean Huntington Bancshares Incorporated and our consolidated subsidiaries, unless the context indicates that we refer only to the parent company, Huntington Bancshares Incorporated. When we refer to the "Bank" in this report, we mean our only bank subsidiary, The Huntington National Bank, and its subsidiaries.

: Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2: Management's Discussion and Analysis of Financial Condition and Results of Operations INTRODUCTION We are a multi-state diversified regional bank holding company organized under Maryland law in 1966 and headquartered in Columbus, Ohio. Through the Bank, we are committed to making people's lives better, helping businesses thrive, and strengthening the communities we serve, and we have been servicing the financial needs of our customers since 1866. Through our subsidiaries, we provide full-service commercial and consumer deposit, lending, and other banking services. These include, but are not limited to, payments, mortgage banking, automobile, recreational vehicle and marine financing, investment banking, capital markets, advisory, equipment financing, distribution finance, investment management, trust, brokerage, insurance, and other financial products and services. As of March 31, 2024, we have approximately 970 full-service branches and private client group offices which are primarily located in Ohio, Colorado, Illinois, Indiana, Kentucky, Michigan, Minnesota, Pennsylvania, West Virginia, and Wisconsin. Select financial services and other activities are also conducted in various other states. This MD&A provides information we believe necessary for understanding our financial condition, changes in financial condition, results of operations, and cash flows. The MD&A included in our 2023 Annual Report on Form 10-K should be read in conjunction with this MD&A as this discussion provides only material updates to the 2023 Annual Report on Form 10-K. This MD&A should also be read in conjunction with the Unaudited Consolidated Financial Statements, Notes to Unaudited Consolidated Financial Statements, and other information contained in this report. EXECUTIVE OVERVIEW Reporting Updates During the fourth quarter of 2023, we updated the presentation of our noninterest income categories to align product and service types more closely with how we strategically m

Selected Financial Data

Selected Financial Data Table 1 - Selected Quarterly Income Statement Data Three months ended March 31, Change (amounts in millions, except per share data) 2024 2023 Amount Percent Interest income $ 2,380 $ 2,028 $ 352 17 % Interest expense 1,093 619 474 77 Net interest income 1,287 1,409 (122) (9) Provision for credit losses 107 85 22 26 Net interest income after provision for credit losses 1,180 1,324 (144) (11) Noninterest income 467 512 (45) (9) Noninterest expense 1,137 1,086 51 5 Income before income taxes 510 750 (240) (32) Provision for income taxes 86 144 (58) (40) Income after income taxes 424 606 (182) (30) Income attributable to non-controlling interest 5 4 1 25 Net income attributable to Huntington 419 602 (183) (30) Dividends on preferred shares 36 29 7 24 Net income applicable to common shares $ 383 $ 573 $ (190) (33) % Average common shares—basic 1,448 1,443 5 — % Average common shares—diluted 1,473 1,469 4 — Net income per common share—basic $ 0.26 $ 0.40 $ (0.14) (35) Net income per common share—diluted 0.26 0.39 (0.13) (33) Return on average total assets 0.89 % 1.32 % Return on average common shareholders' equity 9.2 14.6 Return on average tangible common shareholders' equity (1) 14.2 23.1 Net interest margin (2) 3.01 3.40 Efficiency ratio (3) 63.7 55.6 Revenue and Net Interest Income—FTE (non-GAAP) Net interest income $ 1,287 $ 1,409 $ (122) (9) % FTE adjustment (2) 13 9 4 44 Net interest income, FTE (non-GAAP) (2) 1,300 1,418 (118) (8) Noninterest income 467 512 (45) (9) Total revenue, FTE (non-GAAP) (2) $ 1,767 $ 1,930 $ (163) (8) % (1) Net income applicable to common shares excluding expense for amortization of intangibles for the period divided by average tangible common shareholders' equity. Average tangible common shareholders' equity equals average total common shareholders' equity less average intangible assets and goodwill. Expense for amortization of intangibles and average intangible assets are

View Full Filing

View this 10-Q filing on SEC EDGAR