PNC FINANCIAL SERVICES GROUP, INC.

For the period ended Sep 30, 2025. Filed Nov 3, 2025.

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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Sep 30, 2025 · Filed Nov 3, 2025

PNC$231.30+2.6%Stored close · as of Nov 9, 2026

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Contents

Key Macroeconomic Variables in CECL Weighted-Average Scenarios

Table 36: Key Macroeconomic Variables in CECL Weighted-Average Scenarios

	Assumptions as of September 30, 2025
	2025	2026	2027
U.S. real GDP (a)	1.1%	0.6%	2.0%
U.S. unemployment rate (b)	4.5%	5.2%	4.8%
	Assumptions as of December 31, 2024
	2025	2026	2027
U.S. real GDP (a)	0.7%	2.2%	2.2%
U.S. unemployment rate (b)	4.8%	4.7%	4.4%

(a)Represents year-over-year growth rates.

(b)Represents quarterly average rate at December 31, 2025, 2026 and 2027, respectively.

Real GDP growth is expected to end 2025 at 1.1% on a weighted average basis, up from the 0.7% assumed at December 31, 2024. Growth then slows in 2026, troughing at 0.3% in the third quarter of 2026 before increasing to 2.0% by the end of 2027. Unemployment is expected to increase moderately over the next year. The weighted-average unemployment rate will end 2025 at 4.5%, peaking at 5.2% in the fourth quarter of 2026, before improving to 4.8% by the end of 2027.

Qualitative Component

As further discussed in the Allowance for Credit Losses section of Note 1 Accounting Policies in our 2024 Form 10-K, we incorporate qualitative reserves in the ACL through detailed analysis to reflect our best estimate of expected losses that may not be adequately represented in our quantitative methods or economic assumptions. Qualitative factors may include, but are not limited to, inherent

The PNC Financial Services Group, Inc. –Form 10-Q 39 forecasting limitations, model imprecision, timing of available information, and/or emerging and ongoing credit risks. At September 30, 2025, the qualitative framework considers PNC’s view of the current state of the economy, which continues to reflect uncertainty due to the fundamental change in office demand, tariff and trade driven pressures, interest rate movements and housing affordability. Our most significant qualitative factors were related to tariffs and the office portfolio of the commercial real estate loan class.

See the following for additional information related to our ACL:

Allowance for Credit Losses in the Credit Risk Management section of this Financial Review,

Note 2 Investment Securities and Note 3 Loans and Related Allowance for Credit Losses in this Report, and

Note 1 Accounting Policies in our 2024 Form 10-K.

40 The PNC Financial Services Group, Inc. –Form 10-Q

Recently Issued Accounting Standards

Accounting Standards Update	Description	Financial Statement Impact
Improvements to Income Tax Disclosures - ASU 2023-09Issued December 2023	• Required with issuance of 2025 Form 10-K; early adoption is permitted.• Requires public business entities to, on an annual basis, (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold.• Requires that all entities disclose, on an annual basis, (1) the amount of income taxes paid (net of refunds received), disaggregated by federal (national), state and foreign taxes, and (2) the amount of income taxes paid (net of refunds received), disaggregated by individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received).• Allows for either a prospective or retrospective transition approach.	• We are currently evaluating the disclosure requirements of this ASU and do not plan to early adopt.• This ASU will not impact our Consolidated Income Statement, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Consolidated Statement of Changes in Equity or Consolidated Statement of Cash Flows.
Disaggregation of Income Statement Expenses - ASU 2024-03Issued November 2024	• Required with issuance of 2027 Form 10-K; early adoption is permitted.• Requires public business entities to disclose, in the notes to financial statements and on an annual and interim basis, specified information about certain costs and expenses (including, if relevant: employee compensation, depreciation, and intangible asset amortization).• Requires qualitative descriptions of amounts not separately disaggregated to be disclosed.• Requires disclosure of the total amount of selling expenses and, in annual reporting periods, an entity’s definition of selling expenses.• Allows for either a prospective or retrospective transition approach.	• We are currently evaluating the disclosure requirements within this ASU and do not plan to early adopt.• This ASU will not impact our Consolidated Income Statement, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Consolidated Statement of Changes in Equity or Consolidated Statement of Cash Flows.
Targeted Improvements to the Accounting for Internal-Use Software - ASU 2025-06Issued September 2025	• Required with issuance of 2028 Form 10-K; early adoption is permitted.• Removes all references to project stages throughout Subtopic 350-40.• Requires entities to start capitalizing software costs when both of the following occur: (1) management has authorized and committed to funding the software project and (2) it is probable that the project will be completed and the software will be used to perform the function(s) intended.• Clarifies that (1) the disclosures in Subtopic 360-10, Property, Plant, and Equipment – Overall, are required for all capitalized internal-use software costs and (2) the intangibles disclosures in paragraphs 350-30-50-1 through 50-3 are not required for capitalized internal-use software costs. • Supersedes Subtopic 350-50, Intangibles – Goodwill and Other – Website Development Costs, and incorporates relevant and incremental guidance unique to website-specific development costs into Subtopic 350-40. • Allows for either a prospective, modified prospective, or retrospective transition approach.	• We are currently evaluating the disclosure requirements within this ASU and do not plan to early adopt. • We are currently evaluating the impact of the ASU on our Consolidated Income Statement, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Consolidated Statement of Changes in Equity and Consolidated Statement of Cash Flows.

The PNC Financial Services Group, Inc. –Form 10-Q 41

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