Truist Financial Corp. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Truist Financial Corp. filed its Q1 2024 10-Q, detailing financial performance across various segments and providing year-over-year comparisons.</b>

AI Summary

TRUIST FINANCIAL CORP (TFC-PR) filed a Quarterly Report (10-Q) with the SEC on May 9, 2024. Truist Financial Corp. reported financial results for the quarter ended March 31, 2024. The filing includes data for various financial segments such as Deposit Accounts, Credit Card, and Mortgage Banking. Key financial figures from the previous year (March 31, 2023) are available for comparison. The company's fiscal year ends on December 31st. Truist Financial Corp. is incorporated in North Carolina.

Why It Matters

For investors and stakeholders tracking TRUIST FINANCIAL CORP, this filing contains several important signals. This filing provides investors with a detailed look at Truist's financial health and operational performance during the first quarter of 2024, enabling informed investment decisions. Understanding the segment-specific performance and year-over-year changes is crucial for assessing the company's growth trajectory and potential risks.

Risk Assessment

Risk Level: medium — TRUIST FINANCIAL CORP shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q), which typically contains routine financial information and does not inherently signal significant positive or negative developments, placing its risk level at medium.

Analyst Insight

Review the detailed segment performance and compare key financial metrics against the prior year to identify trends and potential areas of concern or strength.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Reporting Period End Date (Conformed Period of Report)
• 2024-05-09 — Filing Date (Filed as of Date)
• 1231 — Fiscal Year End (Fiscal Year End)
• 6021 — Standard Industrial Classification (SIC Code for National Commercial Banks)

Key Players & Entities

• TRUIST FINANCIAL CORP (company) — Filer
• BB&T CORP (company) — Former company name
• SOUTHERN NATIONAL CORP /NC/ (company) — Former company name
• NC (location) — State of incorporation and business address
• 2024-03-31 (date) — Conformed period of report
• 2024-05-09 (date) — Filed as of date

FAQ

Key Dates

• 2024-03-31: Quarterly Report End Date — Marks the end of the reporting period for the 10-Q filing.
• 2024-05-09: Filing Date — Date the 10-Q was officially submitted to the SEC.

Key Financial Figures

• $5 — ange on which registered Common Stock, $5 par value TFC New York Stock Exchange
• $43,041 — 0 67,366 HTM securities (fair value of $43,041 and $44,630, respectively) 53,369 54,10
• $44,630 — M securities (fair value of $43,041 and $44,630, respectively) 53,369 54,107 LHFS (inc
• $1,201 — ctively) 53,369 54,107 LHFS (including $1,201 and $852 at fair value, respectively) 1
• $852 — ,369 54,107 LHFS (including $1,201 and $852 at fair value, respectively) 1,253 1,28
• $14 — ,253 1,280 Loans and leases (including $14 and $15 at fair value, respectively) 30
• $15 — 80 Loans and leases (including $14 and $15 at fair value, respectively) 307,224 31
• $1,359 — ue 3,417 3,378 Other assets (including $1,359 and $1,311 at fair value, respectively)
• $1,311 — 378 Other assets (including $1,359 and $1,311 at fair value, respectively) 36,521 34,
• $23 — 4 Interest-bearing deposits (including $23 and $0 at fair value, respectively) 283
• $0 — est-bearing deposits (including $23 and $0 at fair value, respectively) 283,364 28
• $2,034 — 4,241 Short-term borrowings (including $2,034 and $1,625 at fair value, respectively)
• $1,625 — t-term borrowings (including $2,034 and $1,625 at fair value, respectively) 26,329 24,
• $2,990 — 71 38,918 Other liabilities (including $2,990 and $2,597 at fair value, respectively)
• $2,597 — Other liabilities (including $2,990 and $2,597 at fair value, respectively) 13,119 12,

Filing Documents

• tfc-20240331.htm (10-Q) — 5364KB
• ex103rsu610.htm (EX-10.3) — 74KB
• ex104psu610.htm (EX-10.4) — 115KB
• ex105ltip610.htm (EX-10.5) — 124KB
• ex106nqdcpamendment.htm (EX-10.6) — 7KB
• ex107nqdbpamendment.htm (EX-10.7) — 6KB
• ex108pensionamendment.htm (EX-10.8) — 10KB
• ex109401kamendment.htm (EX-10.9) — 11KB
• ex311certification.htm (EX-31.1) — 9KB
• ex312certification.htm (EX-31.2) — 9KB
• ex32certification.htm (EX-32) — 5KB
• tfc-20240331_g1.jpg (GRAPHIC) — 130KB
• 0000092230-24-000025.txt (&nbsp;) — 28397KB
• tfc-20240331.xsd (EX-101.SCH) — 98KB
• tfc-20240331_cal.xml (EX-101.CAL) — 109KB
• tfc-20240331_def.xml (EX-101.DEF) — 886KB
• tfc-20240331_lab.xml (EX-101.LAB) — 1376KB
• tfc-20240331_pre.xml (EX-101.PRE) — 1162KB
• tfc-20240331_htm.xml (XML) — 7463KB

- Financial Information

PART I - Financial Information Glossary of Defined Terms 1

Forward-Looking Statements 3

Forward-Looking Statements 3

Financial Statements

Item 1. Financial Statements Consolidated Balance Sheets (Unaudited) 4 Consolidated Statements of Income (Unaudited) 5 Consolidated Statements of Comprehensive Income (Unaudited) 6 Consolidated Statements of Changes in Shareholders' Equity (Unaudited) 7 Consolidated Statements of Cash Flows (Unaudited) 8

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) Note 1. Basis of Presentation 9 Note 2. Discontinued Operations 11 Note 3. Securities Financing Activities 12 Note 4. Investment Securities 13 Note 5. Loans and ACL 15 Note 6. Goodwill and Other Intangible Assets 24 Note 7. Loan Servicing 25 Note 8. Other Assets and Liabilities 26 Note 9. Borrowings 27 Note 10. Shareholders' Equity 28 Note 11. AOCI 28 Note 12. Income Taxes 29 Note 13. Benefit Plans 29 Note 14. Commitments and Contingencies 29 Note 15. Fair Value Disclosures 33 Note 16. Derivative Financial Instruments 37 Note 17. Computation of EPS 42 Note 18. Operating Segments 42 Note 19. Subsequent Events 45

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 Regulatory and Supervisory Considerations 46 Executive Overview 46 Analysis of Results of Operations 48 Analysis of Financial Condition 52 Risk Management 62 Liquidity 66 Capital 68 Critical Accounting Policies 69

Quantitative and Qualitative Disclosures About Market Risk (see Market Risk in MD&A) 62

Item 3. Quantitative and Qualitative Disclosures About Market Risk (see Market Risk in MD&A) 62

Controls and Procedures 70

Item 4. Controls and Procedures 70

- Other Information

PART II - Other Information

Legal Proceedings 72

Item 1. Legal Proceedings 72

Risk Factors 72

Item 1A. Risk Factors 72

Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities 72

Item 2. Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities 72

Defaults Upon Senior Securities - (none)

Item 3. Defaults Upon Senior Securities - (none)

Mine Safety Disclosures - (not applicable)

Item 4. Mine Safety Disclosures - (not applicable)

Other Information 72

Item 5. Other Information 72

Exhibits 73

Item 6. Exhibits 73 Glossary of Defined Terms The following terms may be used throughout this report, including the consolidated financial statements and related notes. Term Definition ACL Allowance for credit losses AD and CL Acquisition and development and commercial land AFS Available-for-sale Agency MBS Mortgage-backed securities issued by a U.S. government agency or GSE ALCO Asset and Liability Committee ALLL Allowance for loan and lease losses AOCI Accumulated other comprehensive income (loss) BCBS Basel Committee on Banking Supervision BHC Bank holding company BHCA Bank Holding Company Act of 1956, as amended Board Truist's Board of Directors BRC Board Risk Committee C&CB Corporate and Commercial Banking, an operating segment prior to the Company's realignment as of January 1, 2024 CB&W Consumer Banking and Wealth, an operating segment prior to the Company's realignment as of January 1, 2024 CCAR Comprehensive Capital Analysis and Review CD Certificate of deposit CDI Core deposit intangible CECL Current expected credit loss model CEO Chief Executive Officer CET1 Common equity tier 1 CFO Chief Financial Officer CFTC Commodity Futures Trading Commission CIO Chief Information Officer Company Truist Financial Corporation and its subsidiaries (interchangeable with "Truist" below) CP Construction and permanent CRE Commercial real estate CSBB Consumer and Small Business Banking, an operating segment after the Company's realignment as of January 1, 2024 DIF Deposit Insurance Fund administered by the FDIC EPS Earnings per common share Exchange Act Securities Exchange Act of 1934, as amended EVE Economic value of equity FASB Financial Accounting Standards Board FDIC Federal Deposit Insurance Corporation FHLB Federal Home Loan Bank FHLMC Federal Home Loan Mortgage Corporation FNMA Federal National Mortgage Association FRB Board of Governors of the Federal Reserve System

Forward-Looking Statements

Forward-Looking Statements From time to time we have made, and in the future will make, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts. Forward-looking statements often use words such as "believe," "expect," "anticipate," "intend," "pursue," "seek," "continue," "estimate," "project," "outlook," "forecast," "potential," "target," "objective," "trend," "plan," "goal," "initiative," "priorities," or other words of comparable meaning or future-tense or conditional verbs such as "may," "will," "should," "would," or "could." Forward-looking statements convey our expectations, intentions, or forecasts about future events, circumstances, or results. This report, including any information incorporated by reference in this report, contains forward-looking statements. We also may make forward-looking statements in other documents that are filed or furnished with the SEC. In addition, we may make forward-looking statements orally or in writing to investors, analysts, members of the media, and others. All forward-looking statements, by their nature, are subject to assumptions, risks, and uncertainties, which may change over time and many of which are beyond our control. You should not rely on any forward-looking statement as a prediction or guarantee about the future. Actual future objectives, strategies, plans, prospects, performance, conditions, and results may differ materially from those set forth in any forward-looking statement. While no list of assumptions, risks, and uncertainties could be complete, some of the factors that may cause actual results or other future events or circumstances to differ from those in forward-looking statements include: evolving political, business, economic, and market conditions at local, regional, national, and international levels; monetary, fiscal, and trade laws or po

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS CONSOLIDATED BALANCE SHEETS TRUIST FINANCIAL CORPORATION AND SUBSIDIARIES Unaudited (Dollars in millions, except per share data, shares in thousands) Mar 31, 2024 Dec 31, 2023 Assets Cash and due from banks $ 5,040 $ 5,000 Interest-bearing deposits with banks 29,510 25,230 Securities borrowed or purchased under agreements to resell 2,091 2,378 Trading assets at fair value 5,268 4,332 AFS securities at fair value 66,050 67,366 HTM securities (fair value of $43,041 and $44,630, respectively) 53,369 54,107 LHFS (including $1,201 and $852 at fair value, respectively) 1,253 1,280 Loans and leases (including $14 and $15 at fair value, respectively) 307,224 312,061 ALLL ( 4,803 ) ( 4,798 ) Loans and leases, net of ALLL 302,421 307,263 Premises and equipment 3,274 3,298 Goodwill 17,157 17,156 CDI and other intangible assets 1,816 1,909 Loan servicing rights at fair value 3,417 3,378 Other assets (including $1,359 and $1,311 at fair value, respectively) 36,521 34,997 Assets of discontinued operations 7,772 7,655 Total assets $ 534,959 $ 535,349 Liabilities Noninterest-bearing deposits $ 110,901 $ 111,624 Interest-bearing deposits (including $23 and $0 at fair value, respectively) 283,364 284,241 Short-term borrowings (including $2,034 and $1,625 at fair value, respectively) 26,329 24,828 Long-term debt 39,071 38,918 Other liabilities (including $2,990 and $2,597 at fair value, respectively) 13,119 12,946 Liabilities of discontinued operations 3,122 3,539 Total liabilities 475,906 476,096 Shareholders' Equity Preferred stock 6,673 6,673 Common stock, $5 par value 6,690 6,669 Additional paid-in capital 36,197 36,177 Retained earnings 22,483 22,088 AOCI, net of deferred income taxes ( 13,222 ) ( 12,506 ) Noncontrolling interests 232 152 Total shareholders' equity 59,053 59,253 Total liabilities and shareholders' equity $ 534,959 $ 535,349 Common shares outstanding 1,338,096 1,333,743 Common shares authorized

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View this 10-Q filing on SEC EDGAR