KeyCorp Files 10-Q for Period Ending March 31, 2024

Ticker: KEY-PL · Form: 10-Q · Filed: May 2, 2024 · CIK: 91576

Sentiment: neutral

Topics: KeyCorp, 10-Q, Financial Report, Quarterly Earnings, Commercial Banking

Related Tickers: KEY

TL;DR

<b>KeyCorp has filed its Q1 2024 10-Q report, detailing its financial performance and position as of March 31, 2024.</b>

AI Summary

KEYCORP /NEW/ (KEY-PL) filed a Quarterly Report (10-Q) with the SEC on May 2, 2024. KeyCorp filed its quarterly report (10-Q) for the period ending March 31, 2024. The filing covers the first quarter of 2024. KeyCorp's principal business is commercial banking. The company's fiscal year ends on December 31. The filing was made on May 2, 2024.

Why It Matters

For investors and stakeholders tracking KEYCORP /NEW/, this filing contains several important signals. This filing provides investors with the latest financial data for KeyCorp, enabling them to assess the company's performance and make informed investment decisions. As a major commercial bank, KeyCorp's financial health and operational performance are closely watched indicators of the broader banking sector's stability.

Risk Assessment

Risk Level: medium — KEYCORP /NEW/ shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q) for a large commercial bank, which inherently carries medium risk due to the complexities and regulatory scrutiny of the financial industry.

Analyst Insight

Monitor KeyCorp's upcoming earnings calls and subsequent filings for detailed financial performance and strategic updates.

Key Numbers

Key Players & Entities

FAQ

When did KEYCORP /NEW/ file this 10-Q?

KEYCORP /NEW/ filed this Quarterly Report (10-Q) with the SEC on May 2, 2024.

What is a 10-Q filing?

A 10-Q is a quarterly financial report with unaudited financials, management discussion, and interim business updates. This particular 10-Q was filed by KEYCORP /NEW/ (KEY-PL).

Where can I read the original 10-Q filing from KEYCORP /NEW/?

You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by KEYCORP /NEW/.

What are the key takeaways from KEYCORP /NEW/'s 10-Q?

KEYCORP /NEW/ filed this 10-Q on May 2, 2024. Key takeaways: KeyCorp filed its quarterly report (10-Q) for the period ending March 31, 2024.. The filing covers the first quarter of 2024.. KeyCorp's principal business is commercial banking..

Is KEYCORP /NEW/ a risky investment based on this filing?

Based on this 10-Q, KEYCORP /NEW/ presents a moderate-risk profile. The filing is a standard quarterly report (10-Q) for a large commercial bank, which inherently carries medium risk due to the complexities and regulatory scrutiny of the financial industry.

What should investors do after reading KEYCORP /NEW/'s 10-Q?

Monitor KeyCorp's upcoming earnings calls and subsequent filings for detailed financial performance and strategic updates. The overall sentiment from this filing is neutral.

How does KEYCORP /NEW/ compare to its industry peers?

KeyCorp operates within the national commercial banking industry, a sector characterized by significant regulatory oversight and sensitivity to economic conditions.

Are there regulatory concerns for KEYCORP /NEW/?

As a commercial bank, KeyCorp is subject to extensive regulation by federal and state authorities, including the Federal Reserve and state banking departments, to ensure financial stability and consumer protection.

Industry Context

KeyCorp operates within the national commercial banking industry, a sector characterized by significant regulatory oversight and sensitivity to economic conditions.

Regulatory Implications

As a commercial bank, KeyCorp is subject to extensive regulation by federal and state authorities, including the Federal Reserve and state banking departments, to ensure financial stability and consumer protection.

What Investors Should Do

  1. Review the full 10-Q filing for detailed financial statements and management's discussion and analysis.
  2. Analyze KeyCorp's balance sheet and income statement for trends in revenue, expenses, and profitability.
  3. Compare KeyCorp's performance metrics against industry peers and historical data.

Key Dates

Year-Over-Year Comparison

This is the initial filing for the first quarter of 2024, so there is no prior period data within this specific document to compare against.

Filing Stats: 4,306 words · 17 min read · ~14 pages · Grade level 12.5 · Accepted 2024-05-02 16:42:54

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Page Number

Financial Statements

Item 1. Financial Statements 50 Consolidated Balance Sheets 50 Consolidated Statements of Income 51 Consolidated Statements of Comprehensive Income 52 Consolidated Statements of Changes in Equity 53 Consolidated Statements of Cash Flows 54

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 55 Note 1. Basis of Presentation and Accounting Policies 55 Note 2. Earnings Per Common Share 55 Note 3. Loan Portfolio 56 Note 4. Asset Quality 57 Note 5. Fair Value Measurements 67 Note 6. Securities 72 Note 7. Derivatives and Hedging Activities 74 Note 8. Mortgage Servicing Assets 78 Note 9. Leases 80 Note 10. Goodwill 80 Note 11. Variable Interest Entities 81 Note 12. Income Taxes 82 Note 13. Acquisitions and Discontinued Operations 83 Note 14. Securities Financing Activities 83 Note 15. Employee Benefits 84 Note 16. Trust Preferred Securities Issued by Unconsolidated Subsidiaries 84 Note 17. Contingent Liabilities and Guarantees 85 Note 18. Accumulated Other Comprehensive Income 86 Note 19. Shareholders' Equity 87 Note 20. Business Segment Reporting 88 Note 21. Revenue from Contracts with Customers 89 Report of Independent Registered Public Accounting Firm (PCAOB ID: 42) 90 2 Table of contents

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

Item 2. Management's Discussion & Analysis of Financial Condition & Results of Operations 4 Introduction 4 Terminology 4

Forward-looking statements

Forward-looking statements 5 Long-term financial targets 7 Strategic developments 8 Demographics 8 Supervision and regulation 9 Results of Operations 14 Earnings overview 14 Net interest income 14 Provision for credit losses 17 Noninterest income 17 Noninterest expense 19 Income taxes 21 Business Segment Results 21 Consumer Bank 21 Commercial Bank 22 Financial Condition 23 Loans and loans held for sale 24 Securities 29 Deposits and other sources of funds 31 Capital 32 Risk Management 35 Overview 35 Market risk management 35 Liquidity risk management 39 Credit risk management 42 Operational and compliance risk management 45 GAAP to Non-GAAP Reconciliations 46 Critical Accounting Policies and Estimates 47 Accounting and Reporting Developments 49

Quantitative and Qualitative Disclosure about Market Risk

Item 3. Quantitative and Qualitative Disclosure about Market Risk 91

Controls and Procedures

Item 4. Controls and Procedures 91

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 91

Risk Factors

Item 1A. Risk Factors 91

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 91

Other Information

Item 5. Other Information 92

Exhibits

Item 6. Exhibits 93 Signature 94 3 Table of contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

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

Item 2. Management's Discussion & Analysis of Financial Condition & Results of Operations Introduction This section reviews the financial condition and results of operations of KeyCorp and its subsidiaries for the quarterly periods ended March 31, 2024, and March 31, 2023. Some tables may include additional periods to comply with disclosure requirements or to illustrate trends in greater depth. When you read this discussion, you should also refer to the consolidated financial statements and related notes in this report. The page locations of specific sections and notes that we refer to are presented in the Table of Contents. References to our "2023 Form 10-K" refer to our Form 10-K for the year ended December 31, 2023, which has been filed with the SEC and is available on its website ( www.sec.gov ) and on our website ( www.key.com/ir ). Terminology Throughout this discussion, references to "Key," "we," "our," "us," and similar terms refer to the consolidated entity consisting of KeyCorp and its subsidiaries. "KeyCorp" refers solely to the parent holding company, and "KeyBank" refers solely to KeyCorp's subsidiary bank, KeyBank National Association. "KeyBank (consolidated)" refers to the consolidated entity consisting of KeyBank and its subsidiaries. We want to explain some industry-specific terms at the outset so you can better understand the discussion that follows. We use the phrase continuing operations in this document to mean all of our businesses other than our government-guaranteed and private education lending business, which are accounted for as discontinued operations . We engage in capital markets activities primarily through business conducted by our Commercial Bank segment . These activities encompass a variety of products and services. Among other things, we trade securities as a dealer, enter into derivative contracts (both to accommodate clients' financing needs and to mitigate certain risks), and conduct transactions in foreign curren

Forward-looking Statements

Forward-looking Statements From time to time, we have made or will make forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements do not relate strictly to historical or current facts. Forward-looking statements usually can be identified by the use of words such as "goal," "objective," "plan," "expect," "assume," "anticipate," "intend," "project," "believe," "estimate," "will," "would," "should," "could," or other words of similar meaning. Forward-looking statements provide our current expectations or forecasts of future events, circumstances, results or aspirations. Our disclosures in this report contain forward-looking statements. We may also make forward-looking statements in other documents filed with or furnished to the SEC. In addition, we may make forward-looking statements orally to analysts, investors, representatives of the media and others. Forward-looking statements, by their nature, are subject to assumptions, risks, and uncertainties, many of which are outside of our control. Our actual results may differ materially from those set forth in our forward-looking statements. 5 Table of contents There is no assurance that any list of risks and uncertainties or risk factors is complete. In addition, no assurance can be given that any plan, initiative, projection, goal, commitment, expectation, or prospect set forth in this report can or will be achieved. Factors that could cause our actual results to differ from those described in forward-looking statements include, but are not limited to: our concentrated credit exposure in commercial and industrial loans; deterioration of commercial real estate market fundamentals; defaults by our loan clients or counterparties; adverse changes in credit quality trends; declining asset prices; geopolitical destabilization; deterioration of asset quality and an increase in credit losses; labor shortages and supply chain constraints, as well as t

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