FIFTH THIRD BANCORP

Net Interest Income

Net interest income is the interest earned on loans and leases (including yield-related fees), securities and other short-term investments less the interest incurred on core deposits and wholesale funding (including CDs over $250,000, federal funds purchased, other short-term borrowings and long-term debt). The net interest margin is calculated by dividing net interest income by average interest-earning assets. Net interest rate spread is the difference between the average yield earned on interest-earning assets and the average rate paid on interest-bearing liabilities. Net interest margin is typically greater than net interest rate spread due to the interest income earned on those assets that are funded by noninterest-bearing liabilities, or free funding, such as demand deposits or shareholders’ equity.

Table 5 presents the components of net interest income, net interest margin and net interest rate spread for the three months ended March 31, 2024 and 2023, as well as the relative impact of changes in the average balance sheet and changes in interest rates on net interest income. Nonaccrual loans and leases and loans and leases held for sale have been included in the average loan and lease balances. Average outstanding securities balances are based on amortized cost with any unrealized gains or losses included in average other assets.

Net interest income on an FTE basis (non-GAAP) was $1.4 billion for the three months ended March 31, 2024, a decrease of $132 million compared to the same period in the prior year. Net interest income was negatively impacted by higher funding costs due to increases in market interest rates and deposit balance migration into higher yielding products. Rates paid on average interest-bearing core deposits and average long-term debt increased 124 bps and 103 bps, respectively, for the three months ended March 31, 2024 compared to the same period in the prior year. The deposit balance migration impacting net interest income resulted in decreases in the average balances of demand deposits of $9.9 billion and increases in the average balances of interest-bearing core deposits of $16.2 billion for the three months ended March 31, 2024 compared to the same period in the prior year. Additionally, net interest income was negatively impacted by a decrease in the average balances of commercial and industrial loans of $4.9 billion and an increase in the average balances of long-term debt of $2.0 billion for the three months ended March 31, 2024 compared to the same period in the prior year. These negative impacts were partially offset by increases in yields of 73 bps on average loans and leases and 20 bps on average taxable securities for the three months ended March 31, 2024 compared to the same period in the prior year. Net interest income also benefited from an increase in average other short-term investments of $15.9 billion for the three months ended March 31, 2024 compared to the same period in the prior year.

Net interest rate spread on an FTE basis (non-GAAP) was 2.02% for the three months ended March 31, 2024 compared to 2.62% for the same period in the prior year. Rates paid on average interest-bearing liabilities increased 118 bps, partially offset by a 58 bps increase in yields on average interest-earning assets for the three months ended March 31, 2024 compared to same period in the prior year.

Net interest margin on an FTE basis (non-GAAP) was 2.86% for the three months ended March 31, 2024 compared to 3.29% for the comparable period in the prior year. Net interest margin for the three months ended March 31, 2024 was negatively impacted by the migration of average balances of deposits from demand deposits to interest-bearing deposits, increases in rates paid on and average balances of wholesale funding and decreases in average balances of loans and leases, partially offset by higher market interest rates on interest-earning assets and growth in average balances of other short-term investments. Net interest margin results are expected to modestly increase over the next several quarters driven by fixed-rate asset repricing and deposit growth, partially offset by the impact of continued deposit margin compression. However, net interest margin may be negatively impacted by increased deposit competition or higher levels of cash and other short-term investments.

Interest income on an FTE basis (non-GAAP) from loans and leases increased $146 million during the three months ended March 31, 2024 compared to the three months ended March 31, 2023, primarily driven by the previously mentioned increases in market interest rates, partially offset by a decrease in average balances of commercial and industrial loans. For more information on the Bancorp’s loan and lease portfolio, refer to the Loans and Leases subsection of the Balance Sheet Analysis section of MD&A. Interest income on an FTE basis (non-GAAP) from investment securities and other short-term investments increased$250 million during the three months ended March 31, 2024

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

compared to the three months ended March 31, 2023 primarily due to the previously mentioned increase in the average balances of other short-term investments and increase in yields on average taxable securities.

Interest expense on average core deposits increased $448 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily due to the previously mentioned increase in the cost of average interest-bearing core deposits to 291 bps for the three months ended March 31, 2024 from 167 bps for the three months ended March 31, 2023, as a result of higher short-term interest rates and greater competition for deposits. Refer to the Deposits subsection of the Balance Sheet Analysis section of MD&A for additional information on the Bancorp’s deposits.

Interest expense on average wholesale funding increased$80 millionfor the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily due to the previously mentioned increases in rates paid on and average balances of long-term debt. The increase for the three months ended March 31, 2024 was also driven by an increase in the average balances of CDs over $250,000 of $1.2 billion and an increase in the rates paid on average CDs over $250,000 of 107 bps. These negative impacts were partially offset by a decrease in the average balances of FHLB advances of $1.7 billion. Refer to the Borrowings subsection of the Balance Sheet Analysis section of MD&A for additional information on the Bancorp’s borrowings. During the three months ended March 31, 2024, average wholesale funding represented 17% of average interest-bearing liabilities compared to 18% for the three months ended March 31, 2023. For more information on the Bancorp’s interest rate risk management, including estimated earnings sensitivity to changes in market interest rates, refer to the Interest Rate and Price Risk Management subsection of the Risk Management section of MD&A.

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

(a)Changes in interest not solely due to volume or yield/rate are allocated in proportion to the absolute dollar amount of change in volume and yield/rate.

(b)The FTE adjustments included in the above table were $6 and $5 for the three months ended March 31, 2024 and 2023, respectively.

(c)Net interest income (FTE), net interest margin (FTE) and net interest rate spread (FTE) are non-GAAP measures. For further information, refer to the Non-GAAP Financial Measures section of MD&A.

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

Provision for Credit Losses

The Bancorp provides, as an expense, an amount for expected credit losses within the loan and lease portfolio and the portfolio of unfunded commitments that is based on factors discussed in the Critical Accounting Policies section of the Bancorp’s Annual Report on Form 10-K for the year ended December 31, 2023. The provision is recorded to bring the ALLL and reserve for unfunded commitments to a level deemed appropriate by the Bancorp to cover losses expected in the portfolios. Actual credit losses on loans and leases are charged against the ALLL. The amount of loans and leases actually removed from the Condensed Consolidated Balance Sheets are referred to as charge-offs. Net charge-offs include current period charge-offs less recoveries on previously charged-off loans and leases.

The provision for credit losses was $94 million and $164 million for the three months ended March 31, 2024 and 2023, respectively. Provision expense for the three months ended March 31, 2024 was affected by factors which caused a slight decrease in the ACL from December 31, 2023, including improvement in the economic forecasts used to calculate the ACL and lower period-end loan and lease balances, partially offset by increases in specific reserves on individually evaluated commercial loans. Provision expense for the three months ended March 31, 2023 was driven by factors which caused an increase in the ACL from December 31, 2022, including growth in period-end loan and lease balances and increases to specific reserves on individually evaluated commercial loans.

The ALLL decreased $4 million from December 31, 2023 to $2.3 billion at March 31, 2024. At March 31, 2024, the ALLL as a percent of portfolio loans and leases increased to 1.99%, compared to 1.98% at December 31, 2023. The reserve for unfunded commitments decreased $12 million from December 31, 2023 to $154 million at March 31, 2024. The ACL as a percent of portfolio loans and leases was 2.12% at both March 31, 2024 and December 31, 2023.

Refer to the Credit Risk Management subsection of the Risk Management section of MD&A as well as Note 6 of the Notes to Condensed Consolidated Financial Statements for more information on the provision for credit losses, including an analysis of loan and lease portfolio composition, nonperforming assets, net charge-offs and other factors considered by the Bancorp in assessing the credit quality of the loan and lease portfolio and determining the level of the ACL.

Noninterest Income

Noninterest income increased $14 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023.

The following table presents the components of noninterest income:

Wealth and asset management revenue

Wealth and asset management revenue increased $15 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily driven by increases in personal asset management revenue and broker income. The Bancorp’s trust and registered investment advisory businesses had approximately $634 billion and $542 billion in total assets under care as of March 31, 2024 and 2023, respectively, and managed $62 billion and $57 billion in assets for individuals, corporations and not-for-profit organizations as of March 31, 2024 and 2023, respectively.

Service charges on deposits

Service charges on deposits increased $14 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily due to an increase in service charges on commercial deposits. Service charges on commercial deposits were $112 million for the three months ended March 31, 2024, an increase of $12 million from the three months ended March 31, 2023 primarily due to an increase in revenue from commercial payments activities, which include traditional treasury management and embedded payments. Service charges on

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consumer deposits were $39 million for the three months ended March 31, 2024, an increase of $2 million from the three months ended March 31, 2023.

Commercial banking revenue

Commercial banking revenue decreased $18 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily driven by decreases in revenue from commercial customer derivatives, merger and acquisition fees and loan syndication fees, partially offset by an increase in corporate bond fees.

Card and processing revenue

Card and processing revenue increased $2 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily due to increases in credit and debit card interchange and electronic funds transfer income, partially offset by increased reward costs.

Mortgage banking net revenue

Mortgage banking net revenue decreased $15 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023.

The following table presents the components of mortgage banking net revenue:

Origination fees and gains on loan sales decreased $4 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily driven by lower volumes of residential mortgage loan originations as well as a decrease in mark-to-market gains recognized on held for investment loans measured at fair value. Residential mortgage loan originations decreased to $1.1 billion for the three months ended March 31, 2024 from $1.4 billion for the three months ended March 31, 2023 primarily due to the impact of higher market interest rates on originations.

The following table presents the components of net valuation adjustments on the MSR portfolio and the impact of the Bancorp’s non-qualifying hedging strategy:

(a)Primarily reflects changes in prepayment speed and OAS assumptions which are updated based on market interest rates.

(b)Primarily reflects changes due to realized cash flows and the passage of time.

The Bancorp recognized income of $8 million for the three months ended March 31, 2024 and losses of $53 million for the three months ended March 31, 2023 in mortgage banking net revenue for valuation adjustments on the MSR portfolio. The valuation adjustments on the MSR portfolio included an increase of $41 million and a decrease of $19 million for the three months ended March 31, 2024 and 2023, respectively, due to changes in market rates and other inputs in the valuation model, including future prepayment speeds and OAS assumptions. Mortgage rates increased slightly during the three months ended March 31, 2024, which caused a decrease in prepayment speeds. The fair value of the MSR portfolio decreased $33 million and $34 million as a result of contractual principal payments and actual prepayment activity for the three months ended March 31, 2024 and 2023, respectively.

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

Further detail on the valuation of MSRs can be found in Note 12 of the Notes to Condensed Consolidated Financial Statements. The Bancorp maintains a non-qualifying hedging strategy to manage a portion of the risk associated with changes in the valuation of the MSR portfolio. Refer to Note 13 of the Notes to Condensed Consolidated Financial Statements for more information on the free-standing derivatives used to economically hedge the MSR portfolio.

In addition to the derivative positions used to economically hedge the MSR portfolio, the Bancorp acquires various securities as a component of its non-qualifying hedging strategy. Gains and losses on these securities are recorded in securities gains, net – non-qualifying hedges on mortgage servicing rights in the Bancorp’s Condensed Consolidated Statements of Income.

The Bancorp’s total residential mortgage loans serviced as of March 31, 2024 and 2023 were $115.7 billion and $120.4 billion, respectively, with $99.6 billion and $103.4 billion, respectively, of residential mortgage loans serviced for others.

Leasing business revenue

Leasing business revenue decreased $18 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily driven by decreases in operating lease income and lease remarketing fees.

Other noninterest income

The following table presents the components of other noninterest income:

Other noninterest income increased $28 million for the three months ended March 31, 2024 compared to the three months ended March 31, 2023 primarily due to a decrease in the loss on the swap associated with the sale of Visa, Inc. Class B Shares.

The Bancorp recognized negative valuation adjustments of $17 million related to the Visa total return swap during the three months ended March 31, 2024 compared to negative valuation adjustments of $31 million during the three months ended March 31, 2023. For additional information on the valuation of the swap associated with the sale of Visa, Inc. Class B Shares, refer to Note 21 of the Notes to Condensed Consolidated Financial Statements.

Securities gains (losses), net

Net securities gains were $10 million for the three months ended March 31, 2024 compared to $4 million for the three months ended March 31, 2023. For more information, refer to Note 4 of the Notes to Condensed Consolidated Financial Statements.

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

Noninterest Expense

Noninterest expense increased $11 million for the three months ended March 31, 2024 compared to the same period in the prior year.

The following table presents the components of noninterest expense:

(a)This is a non-GAAP measure. For further information, refer to the Non-GAAP Financial Measures section of MD&A.

Compensation and benefits expense decreased $4 million for the three months ended March 31, 2024 compared to the same period in the prior year primarily driven by decreases in performance-based compensation and severance expense. The effect of merit increases in the first quarter of 2024 on base compensation expense was largely offset by a reduction in full-time equivalent employees which totaled 18,657 at March 31, 2024 compared to 19,474 at March 31, 2023.

Net occupancy expense increased $6 million for the three months ended March 31, 2024 compared to the same period in the prior year primarily driven by higher expenses associated with the maintenance and renovation of banking centers and expenses associated with the Bancorp’s continued expansion into Southeast markets.

Leasing business expense decreased $9 million for the three months ended March 31, 2024 compared to the same period in the prior year primarily driven by a decrease in depreciation expense associated with operating lease equipment.

The following table presents the components of other noninterest expense:

Other noninterest expense increased $18 million for the three months ended March 31, 2024 compared to the same period in the prior year primarily due to an increase in FDIC insurance and other taxes.

FDIC insurance and other taxes increased $33 million for the three months ended March 31, 2024 compared to the same period in the prior year primarily due to the incremental expense associated with the Bancorp’s updated estimate of its allocated share of the FDIC’s special assessment, as further discussed in the Overview section of MD&A.

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)

Applicable Income Taxes

The Bancorp’s income before income taxes, applicable income tax expense and effective tax rate are as follows:

Applicable income tax expense for all periods presented includes the benefits from tax-exempt income, tax-advantaged investments and tax credits (and other related tax benefits), partially offset by the effect of proportional amortization of qualifying investments and certain nondeductible expenses. The tax credits are primarily associated with the Low-Income Housing Tax Credit program established under Section 42 of the IRC, the New Markets Tax Credit program established under Section 45D of the IRC, the Rehabilitation Investment Tax Credit program established under Section 47 of the IRC and the Qualified Zone Academy Bond program established under Section 1397E of the IRC.

The effective tax rate decreased to 21.1% for the three months ended March 31, 2024 compared to 22.3% for the same period in the prior year primarily due to a decrease in state tax expense associated with the recognition of certain previously unrecognized tax benefits during the three months ended March 31, 2024.