January 20, 2023 - EX-99.2 - 8-K: Current report filing | Huntington Bancshares Incorporated (HBAN)

Exhibit 99.2

HUNTINGTON BANCSHARES INCORPORATED

Quarterly Financial Supplement

December 31, 2022

Table of Contents


Quarterly Key Statistics			1

Annual Key Statistics			2

Consolidated Balance Sheets			4

Loans and Leases Composition			5

Deposits Composition			6

Consolidated Quarterly Average Balance Sheets			7

Consolidated Quarterly Net Interest Margin - Interest Income / Expense			8

Consolidated Quarterly Net Interest Margin - Yield			9

Selected Quarterly Income Statement Data			10

Quarterly Mortgage Banking Noninterest Income			11

Quarterly Credit Reserves Analysis			12

Quarterly Net Charge-Off Analysis			13

Quarterly Nonaccrual Loans and Leases (NALs) and Nonperforming Assets (NPAs)			14

Quarterly Accruing Past Due Loans and Leases			15

Quarterly Capital Under Current Regulatory Standards (Basel III) and Other Capital Data			16

Quarterly Common Stock Summary, Non-Regulatory Capital, and Other Data			17





















Consolidated Annual Average Balance Sheets			18

Consolidated Annual Net Interest Margin - Interest Income / Expense			19

Consolidated Annual Net Interest Margin - Yield			20

Selected Annual Income Statement Data			21

Annual Mortgage Banking Noninterest Income			22

Annual Credit Reserves Analysis			23

Annual Net Charge-Off Analysis			24

Annual Nonaccrual Loans and Leases (NALs) and Nonperforming Assets (NPAs)			25

Reconciliation of Non-GAAP Financial Measures			26

Notes:

The preparation of financial statement data in conformity with accounting principles generally accepted in the United States (GAAP) requires management to make estimates and assumptions that affect amounts reported. Actual results could differ from those estimates. Certain prior period amounts have been reclassified to conform to the current period’s presentation.

Fully-Taxable Equivalent Basis

Interest income, yields, and ratios on a FTE basis are considered non-GAAP financial measures. Management believes net interest income on a FTE basis provides a more accurate picture of the interest margin for comparison purposes. The FTE basis also allows management to assess the comparability of revenue arising from both taxable and tax-exempt sources. The FTE basis assumes a federal statutory tax rate of 21%.

Non-Regulatory Capital Ratios

In addition to capital ratios defined by banking regulators, the Company considers various other measures when evaluating capital utilization and adequacy, including:

•Tangible common equity to tangible assets, and

•Tangible common equity to risk-weighted assets using Basel III definition.

These non-regulatory capital ratios are viewed by management as useful additional methods of reflecting the level of capital available to withstand unexpected market conditions. Additionally, presentation of these ratios allows readers to compare the Company’s capitalization to other financial services companies. These ratios differ from capital ratios defined by banking regulators principally in that the numerator excludes preferred securities, the nature and extent of which varies among different financial services companies. These ratios are not defined in GAAP or federal banking regulations. As a result, these non-regulatory capital ratios disclosed by the Company may be considered non-GAAP financial measures.

Because there are no standardized definitions for these non-regulatory capital ratios, the Company’s calculation methods may differ from those used by other financial services companies. Also, there may be limits in the usefulness of these measures to investors. As a result, the Company encourages readers to consider the consolidated financial statements and other financial information contained in the related press release in their entirety, and not to rely on any single financial measure.

Huntington Bancshares Incorporated

Quarterly Key Statistics

(Unaudited)


	Three Months Ended
(dollar amounts in millions, except per share data)	December 31,			September 30,			December 31,			Percent Changes vs.
	2022			2022			2021			3Q22		4Q21
Net interest income (2)	$	1,471		$	1,412		$	1,138		4	%	29	%
FTE adjustment	(9)			(8)			(6)			(13)		(50)
Net interest income	1,462			1,404			1,132			4		29
Provision for credit losses	91			106			(64)			(14)		242
Noninterest income	499			498			515			—		(3)
Noninterest expense	1,077			1,053			1,221			2		(12)
Income before income taxes	793			743			490			7		62
Provision for income taxes	144			146			88			(1)		64
Income after income taxes	649			597			402			9		61
Income attributable to non-controlling interest	4			3			1			33		300
Net income attributable to Huntington Bancshares Inc	645			594			401			9		61
Dividends on preferred shares	28			29			28			(3)		—
Impact of preferred stock redemption	—			—			(4)			—		100
Net income applicable to common shares	$	617		$	565		$	377		9	%	64

Net income per common share - diluted	$	0.42		$	0.39		$	0.26		8	%	62	%
Cash dividends declared per common share	0.155			0.155			0.155			—		—
Tangible book value per common share at end of period	6.82			6.40			8.06			7		(15)
Number of common shares repurchased	—			—			10			—		(100)
Average common shares - basic	1,443			1,443			1,444			—		—
Average common shares - diluted	1,468			1,465			1,471			—		—
Ending common shares outstanding	1,443			1,443			1,438			—		—
Return on average assets	1.41		%	1.31		%	0.92		%
Return on average common shareholders’ equity	16.0			13.9			8.7
Return on average tangible common shareholders’ equity (1)	26.0			21.9			13.2
Net interest margin (2)	3.52			3.42			2.85
Efficiency ratio (3)	54.0			54.4			73.0
Effective tax rate	18.2			19.7			18.0
Average total assets	$	181,292		$	179,557		$	173,672		1		4
Average earning assets	165,545			164,024			158,692			1		4
Average loans and leases	118,907			116,964			109,488			2		9
Average loans and leases - linked quarter annualized growth rate	6.6		%	10.6		%	(0.7)		%
Average total deposits	$	145,672		$	146,008		$	142,303		—		2
Average core deposits (4)	140,696			141,691			138,008			(1)		2

Average shareholders’ equity	17,458			18,317			19,375			(5)		(10)
Average common total shareholders' equity	15,292			16,150			17,193			(5)		(11)
Average tangible common shareholders' equity	9,563			10,413			11,675			(8)		(18)
Total assets at end of period	182,906			179,402			174,064			2		5
Total shareholders’ equity at end of period	17,731			17,136			19,297			3		(8)

NCOs as a % of average loans and leases	0.17		%	0.15		%	0.12		%
NAL ratio	0.48			0.51			0.64
NPA ratio (5)	0.50			0.53			0.67
Allowance for loan and lease losses (ALLL) as a % of total loans and leases at the end of period	1.77			1.79			1.82
Allowance for credit losses (ACL) as a % of total loans and leases at the end of period	1.90			1.89			1.89
Common equity tier 1 risk-based capital ratio (6)	9.44			9.27			9.33
Tangible common equity / tangible asset ratio (7)	5.55			5.32			6.88

See Notes to the Quarterly Key Statistics.

Huntington Bancshares Incorporated

Annual Key Statistics

(Unaudited)


	Year Ended December 31,						Change
(dollar amounts in millions, except per share data)	2022			2021			Amount		Percent
Net interest income (2)	$	5,304		$	4,127		$	1,177	29	%
FTE adjustment	(31)			(25)			(6)		(24)
Net interest income	5,273			4,102			1,171		29
Provision for credit losses	289			25			264		NM
Noninterest income	1,981			1,889			92		5
Noninterest expense	4,201			4,375			(174)		(4)
Income before income taxes	2,764			1,591			1,173		74
Provision for income taxes	515			294			221		75
Income after income taxes	2,249			1,297			952		73
Income attributable to non-controlling interest	11			2			9		NM
Net income attributable to Huntington Bancshares Inc	2,238			1,295			943		73
Dividends on preferred shares	113			131			(18)		(14)
Impact of preferred stock redemption	—			11			(11)		(100)
Net income applicable to common shares	$	2,125		$	1,153		$	972	84	%

Net income per common share - diluted	$	1.45		$	0.90		$	0.55	61	%
Cash dividends declared per common share	0.62			0.605			0.015		2

Average common shares - basic	1,441			1,262			179		14
Average common shares - diluted	1,465			1,287			178		14

Return on average assets	1.25		%	0.85		%
Return on average common shareholders’ equity	13.2			7.9
Return on average tangible common shareholders’ equity (1)	20.7			11.3
Net interest margin (2)	3.25			2.95
Efficiency ratio (3)	56.9			72.0
Effective tax rate	18.6			18.5

Average total assets	$	178,768		$	152,281		$	26,487	17	%
Average earning assets	163,313			140,006			23,307		17
Average loans and leases	115,266			96,818			18,448		19
Average total deposits	144,912			124,310			20,602		17
Average core deposits (4)	140,841			120,432			20,409		17
Average shareholders’ equity	18,263			16,997			1,266		7
Average common total shareholders' equity	16,096			14,569			1,527		10
Average tangible common shareholders' equity	10,454			10,509			(55)		(1)

NCOs as a % of average loans and leases	0.11		%	0.22		%
NAL ratio	0.48			0.64
NPA ratio (5)	0.50			0.67

NM - Not Meaningful

See Notes to the Year to Date and Quarterly Key Statistics.

Key Statistics Footnotes

(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 net of deferred tax liability, and calculated assuming a 21% tax rate.

(2)On a fully-taxable equivalent (FTE) basis assuming a 21% tax rate.

(3)Noninterest expense less amortization of intangibles divided by the sum of FTE net interest income and noninterest income excluding securities gains (losses).

(4)Includes noninterest-bearing and interest-bearing demand deposits, money market deposits, savings and other domestic deposits, and core certificates of deposit.

(5)NPAs include other nonperforming assets, which includes certain impaired securities and/or nonaccrual loans held for sale, and other real estate owned.

(6)December 31, 2022, figures are estimated.

(7)Tangible common equity (total common equity less goodwill and other intangible assets) divided by tangible assets (total assets less goodwill and other intangible assets). Other intangible assets are net of deferred tax liability, calculated at a 21% tax rate.

Huntington Bancshares Incorporated

Consolidated Balance Sheets


	December 31,		December 31,
(dollar amounts in millions)	2022		2021		Percent Changes
	(Unaudited)
Assets
Cash and due from banks	$	1,796	$	1,811	(1)	%
Interest-bearing deposits at Federal Reserve Bank	4,908		3,711		32
Interest-bearing deposits in banks	214		392		(45)
Trading account securities	19		46		(59)
Available-for-sale securities	23,423		28,460		(18)
Held-to-maturity securities	17,052		12,447		37


Other securities	854		648		32
Loans held for sale	529		1,676		(68)
Loans and leases (1)	119,523		111,267		7
Allowance for loan and lease losses	(2,121)		(2,030)		(4)
Net loans and leases	117,402		109,237		7
Bank owned life insurance	2,753		2,765		—
Accrued income and other receivables	1,573		1,319		19
Premises and equipment	1,156		1,164		(1)
Goodwill	5,571		5,349		4
Servicing rights and other intangible assets	712		611		17
Other assets	4,944		4,428		12
Total assets	$	182,906	$	174,064	5	%

Liabilities and shareholders’ equity
Liabilities
Deposits (2)	$	147,914	$	143,263	3	%
Short-term borrowings	2,027		334		507
Long-term debt	9,686		7,108		36
Other liabilities	5,510		4,041		36
Total liabilities	165,137		154,746		7

Shareholders' equity
Preferred stock	2,167		2,167		—
Common stock	14		14		—
Capital surplus	15,309		15,222		1
Less treasury shares, at cost	(80)		(79)		(1)
Accumulated other comprehensive income (loss)	(3,098)		(229)		(1,253)
Retained earnings	3,419		2,202		55
Total Huntington Bancshares Inc shareholders’ equity	17,731		19,297		(8)
Non-controlling interest	38		21		81
Total equity	17,769		19,318		(8)
Total liabilities and shareholders’ equity	$	182,906	$	174,064	5	%

Common shares authorized (par value of $0.01)	2,250,000,000		2,250,000,000
Common shares outstanding	1,443,068,036		1,437,742,172
Treasury shares outstanding	6,322,052		6,298,288
Preferred stock, authorized shares	6,617,808		6,617,808
Preferred shares outstanding	557,500		557,500

(1)See page 5 for detail of loans and leases.

(2)See page 6 for detail of deposits.

Huntington Bancshares Incorporated

Loans and Leases Composition

(Unaudited)


	December 31,				September 30,				June 30,				March 31,				December 31,
(dollar amounts in millions)	2022				2022				2022				2022				2021
Ending Balances by Type:
Total loans and leases
Commercial:
Commercial and industrial	$	45,127	38	%	$	44,144	38	%	$	43,440	38	%	$	42,236	37	%	$	41,688	37	%
Commercial real estate:
Commercial	15,132		13		14,717		12		14,173		12		13,381		12		13,090		12
Construction	1,502		1		1,739		2		1,522		1		2,010		2		1,871		2
Commercial real estate	16,634		14		16,456		14		15,695		13		15,391		14		14,961		14
Lease financing	5,252		4		5,093		4		5,043		4		4,978		4		5,000		4
Total commercial	67,013		56		65,693		56		64,178		55		62,605		55		61,649		55
Consumer:
Residential mortgage	22,226		19		21,816		18		21,220		18		19,942		18		19,256		17
Automobile	13,154		11		13,430		11		13,622		12		13,480		12		13,434		12
Home equity	10,375		9		10,440		9		10,426		9		10,343		9		10,550		9
RV and marine	5,376		4		5,436		5		5,453		5		5,191		5		5,058		5
Other consumer	1,379		1		1,332		1		1,322		1		1,256		1		1,320		2
Total consumer	52,510		44		52,454		44		52,043		45		50,212		45		49,618		45
Total loans and leases	$	119,523	100	%	$	118,147	100	%	$	116,221	100	%	$	112,817	100	%	$	111,267	100	%


	December 31,				September 30,				June 30,				March 31,				December 31,
(dollar amounts in millions)	2022				2022				2022				2022				2021
Ending Balances by Business Segment:
Commercial Banking	$	55,497	47	%	$	54,515	47	%	$	52,845	45	%	$	51,132	45	%	$	49,372	44	%
Consumer and Business Banking	32,386		27		32,115		27		32,144		28		31,756		29		32,715		30
Vehicle Finance	21,741		18		21,707		18		21,848		19		21,344		19		20,968		19
RBHPCG (Regional Banking and The Huntington Private Client Group)	9,760		8		9,586		8		9,181		8		8,435		7		8,012		7
Treasury / Other	139		—		224		—		203		—		150		—		200		—
Total loans and leases	$	119,523	100	%	$	118,147	100	%	$	116,221	100	%	$	112,817	100	%	$	111,267	100	%

Average Balances by Business Segment:
Commercial Banking	$	54,979	47	%	$	53,255	46	%	$	51,280	45	%	$	49,515	45	%	$	47,281	43	%
Consumer and Business Banking	32,259		27		32,116		27		31,926		28		32,134		29		33,434		31
Vehicle Finance	21,721		18		21,748		19		21,601		19		21,155		19		20,598		19
RBHPCG	9,666		8		9,416		8		8,786		8		8,178		7		7,842		7
Treasury / Other	282		—		429		—		356		—		160		—		333		—
Total loans and leases	$	118,907	100	%	$	116,964	100	%	$	113,949	100	%	$	111,142	100	%	$	109,488	100	%

Huntington Bancshares Incorporated

Deposits Composition

(Unaudited)


	December 31,				September 30,				June 30,				March 31,				December 31,
(dollar amounts in millions)	2022				2022				2022				2022				2021
Ending Balances by Type:
Demand deposits - noninterest-bearing	$	38,242	26	%	$	40,762	28	%	$	42,131	29	%	$	43,824	29	%	$	43,236	30	%
Demand deposits - interest-bearing	43,136		29		43,673		30		41,433		28		42,099		29		39,837		28
Money market deposits	36,082		24		33,811		23		34,257		24		33,444		23		32,522		23
Savings and other domestic deposits	20,357		14		21,274		15		21,583		15		21,716		15		21,088		15
Core certificates of deposit (1)	4,324		3		2,115		1		2,103		1		2,358		2		2,740		2
Total core deposits	142,141		96		141,635		97		141,507		97		143,441		98		139,423		98
Other domestic deposits of $250,000 or more	220		—		186		—		221		—		274		—		359		—
Negotiable CDS, brokered and other deposits	5,553		4		4,492		3		3,707		3		3,250		2		3,481		2

Total deposits	$	147,914	100	%	$	146,313	100	%	$	145,435	100	%	$	146,965	100	%	$	143,263	100	%
Total core deposits:
Commercial	$	64,107	45	%	$	65,151	46	%	$	63,629	45	%	$	64,013	45	%	$	61,521	44	%
Consumer	78,034		55		76,484		54		77,878		55		79,428		55		77,902		56
Total core deposits	$	142,141	100	%	$	141,635	100	%	$	141,507	100	%	$	143,441	100	%	$	139,423	100	%


	December 31,				September 30,				June 30,				March 31,				December 31,
(dollar amounts in millions)	2022				2022				2022				2022				2021
Ending Balances by Business Segment:
Commercial Banking	$	37,509	25	%	$	37,194	25	%	$	34,670	24	%	$	35,034	24	%	$	31,845	22	%
Consumer and Business Banking	93,676		64		93,854		65		95,693		66		96,907		65		95,352		67
Vehicle Finance	1,136		1		1,173		1		1,291		1		1,323		1		1,401		1
RBHPCG	9,550		6		8,982		6		9,226		6		9,672		7		10,162		7
Treasury / Other (2)	6,043		4		5,110		3		4,555		3		4,029		3		4,503		3
Total deposits	$	147,914	100	%	$	146,313	100	%	$	145,435	100	%	$	146,965	100	%	$	143,263	100	%

Average Balances by Business Segment:
Commercial Banking	$	37,006	25	%	$	36,636	25	%	$	35,156	24	%	$	33,355	23	%	$	31,950	22	%
Consumer and Business Banking	92,654		64		93,924		65		95,263		65		94,464		66		94,593		67
Vehicle Finance	1,171		1		1,252		1		1,257		1		1,289		1		1,501		1
RBHPCG	9,249		6		9,242		6		9,493		7		9,520		7		9,505		7
Treasury / Other (2)	5,592		4		4,954		3		3,839		3		4,289		3		4,754		3
Total deposits	$	145,672	100	%	$	146,008	100	%	$	145,008	100	%	$	142,917	100	%	$	142,303	100	%

(1)Includes consumer certificates of deposit of $250,000 or more.

(2)Comprised primarily of national market deposits.

Huntington Bancshares Incorporated

Consolidated Quarterly Average Balance Sheets

(Unaudited)


	Quarterly Average Balances (1)
	December 31,		September 30,		June 30,		March 31,		December 31,		Percent Changes vs.
(dollar amounts in millions)	2022		2022		2022		2022		2021		3Q22		4Q21
Assets
Interest-bearing deposits at Federal Reserve Bank	$	4,615	$	3,204	$	3,532	$	7,195	$	7,227	44	%	(36)	%
Interest-bearing deposits in banks	305		260		161		174		521		17		(41)
Securities:
Trading account securities	29		24		30		46		51		21		(43)
Available-for-sale securities:
Taxable	20,467		21,677		21,672		24,205		23,895		(6)		(14)
Tax-exempt	2,706		2,917		2,859		2,886		3,057		(7)		(11)
Total available-for-sale securities	23,173		24,594		24,531		27,091		26,952		(6)		(14)


Held-to-maturity securities - taxable	17,022		17,188		17,234		14,556		12,421		(1)		37





Other securities	857		804		755		967		651		7		32
Total securities	41,081		42,610		42,550		42,660		40,075		(4)		3
Loans held for sale	637		986		1,033		1,243		1,381		(35)		(54)
Loans and leases: (2)
Commercial:
Commercial and industrial	44,747		43,598		42,689		41,397		40,582		3		10
Commercial real estate:
Commercial	14,937		14,405		13,516		13,186		12,758		4		17
Construction	1,676		1,697		1,760		1,877		1,820		(1)		(8)
Commercial real estate	16,613		16,102		15,276		15,063		14,578		3		14
Lease financing	5,080		4,981		4,919		4,912		4,933		2		3
Total commercial	66,440		64,681		62,884		61,372		60,093		3		11
Consumer:
Residential mortgage	22,011		21,552		20,527		19,505		18,955		2		16
Automobile	13,284		13,514		13,557		13,463		13,355		(2)		(1)
Home equity	10,417		10,431		10,373		10,414		10,748		—		(3)
RV and marine	5,408		5,454		5,317		5,103		5,040		(1)		7
Other consumer	1,347		1,332		1,291		1,285		1,297		1		4
Total consumer	52,467		52,283		51,065		49,770		49,395		—		6
Total loans and leases	118,907		116,964		113,949		111,142		109,488		2		9
Total earning assets	165,545		164,024		161,225		162,414		158,692		1		4
Cash and due from banks	1,650		1,697		1,669		1,648		1,695		(3)		(3)
Goodwill and other intangible assets	5,771		5,781		5,613		5,584		5,570		—		4
All other assets	10,458		10,154		10,107		10,013		9,827		3		6
Allowance for loan and lease losses	(2,132)		(2,099)		(2,053)		(2,047)		(2,112)		(2)		(1)
Total assets	$	181,292	$	179,557	$	176,561	$	177,612	$	173,672	1	%	4	%
Liabilities and shareholders’ equity
Interest-bearing deposits:
Demand deposits - interest-bearing	$	42,705	$	42,038	$	41,712	$	40,634	$	38,441	2	%	11	%
Money market deposits	34,390		34,058		33,791		32,672		32,400		1		6
Savings and other domestic deposits	20,831		21,439		21,683		21,316		20,896		(3)		—
Core certificates of deposit (3)	2,926		2,040		2,228		2,560		2,909		43		1

Other domestic deposits of $250,000 or more	198		193		225		316		452		3		(56)
Negotiable CDS, brokered and other deposits	4,777		4,124		2,981		3,453		3,843		16		24

Total interest-bearing deposits	105,827		103,892		102,620		100,951		98,941		2		7
Short-term borrowings	545		2,609		2,103		4,728		342		(79)		59
Long-term debt	12,650		8,251		7,024		6,914		7,674		53		65
Total interest-bearing liabilities	119,022		114,752		111,747		112,593		106,957		4		11
Demand deposits - noninterest-bearing	39,845		42,116		42,388		41,966		43,362		(5)		(8)
All other liabilities	4,929		4,340		4,168		3,964		3,957		14		25
Total Huntington Bancshares Inc shareholders’ equity	17,458		18,317		18,228		19,064		19,375		(5)		(10)
Non-controlling interest	38		32		30		25		21		19		81
Total equity	17,496		18,349		18,258		19,089		19,396		(5)		(10)
Total liabilities and shareholders’ equity	$	181,292	$	179,557	$	176,561	$	177,612	$	173,672	1	%	4	%

(1)Amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.

(2)Includes nonaccrual loans and leases.

(3)Includes consumer certificates of deposit of $250,000 or more.

Huntington Bancshares Incorporated

Consolidated Quarterly Net Interest Margin - Interest Income / Expense (1)(2)

(Unaudited)


	Quarterly Interest Income / Expense
	December 31,		September 30,		June 30,		March 31,		December 31,
(dollar amounts in millions)	2022		2022		2022		2022		2021
Assets
Interest-bearing deposits at Federal Reserve Bank	$	46	$	19	$	7	$	3	$	3
Interest-bearing deposits in banks	5		2		1		—		—
Securities:
Trading account securities	—		—		1		—		—
Available-for-sale securities:
Taxable	198		165		123		90		77
Tax-exempt	28		25		19		22		19
Total available-for-sale securities	226		190		142		112		96
Held-to-maturity securities - taxable	100		95		90		66		50



Other securities	9		7		6		5		4
Total securities	335		292		239		183		150
Loans held for sale	8		13		10		10		10
Loans and leases:
Commercial:
Commercial and industrial	578		490		415		392		393
Commercial real estate:
Commercial	220		169		115		97		102
Construction	28		21		16		17		17
Commercial real estate	248		190		131		114		119
Lease financing	66		63		61		61		61
Total commercial	892		743		607		567		573
Consumer:
Residential mortgage	183		174		158		146		141
Automobile	125		120		115		112		119
Home equity	172		143		115		102		109
RV and marine	61		59		55		52		54
Other consumer	36		32		30		28		29
Total consumer	577		528		473		440		452
Total loans and leases	1,469		1,271		1,080		1,007		1,025
Total earning assets	$	1,863	$	1,597	$	1,337	$	1,203	$	1,188

Liabilities
Interest-bearing deposits:
Demand deposits - interest-bearing	$	102	$	42	$	11	$	3	$	3
Money market deposits	75		25		8		4		6
Savings and other domestic deposits	2		1		1		1		1
Core certificates of deposit (3)	10		1		—		1		—

Other domestic deposits of $250,000 or more	1		—		—		—		—
Negotiable CDS, brokered and other deposits	45		23		5		2		1

Total interest-bearing deposits	235		92		25		11		11
Short-term borrowings	10		22		7		7		1
Long-term debt	147		71		38		31		38
Total interest-bearing liabilities	392		185		70		49		50
Net interest income	$	1,471	$	1,412	$	1,267	$	1,154	$	1,138

(1)Fully-taxable equivalent (FTE) income and expense calculated assuming a 21% tax rate. See page 10 for the FTE adjustment.

(2)Amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.

(3)Includes consumer certificates of deposit of $250,000 or more.

Huntington Bancshares Incorporated

Consolidated Quarterly Net Interest Margin - Yield

(Unaudited)


	Quarterly Average Rates
	December 31,		September 30,		June 30,		March 31,		December 31,
Fully-taxable equivalent basis (1)	2022		2022		2022		2022		2021
Assets
Interest-bearing deposits at Federal Reserve Bank	3.99	%	2.39	%	0.80	%	0.17	%	0.15	%
Interest-bearing deposits in banks	5.72		3.31		1.32		0.15		0.06
Securities:
Trading account securities	5.45		4.12		3.99		3.39		3.67
Available-for-sale securities:
Taxable	3.87		3.06		2.25		1.49		1.29
Tax-exempt	4.21		3.39		2.71		3.00		2.40
Total available-for-sale securities	3.91		3.09		2.30		1.65		1.42
Held-to-maturity securities - taxable	2.34		2.21		2.10		1.81		1.59



Other securities	4.15		3.21		3.62		1.88		2.18
Total securities	3.26		2.74		2.24		1.72		1.49
Loans held for sale	5.42		4.98		4.08		3.15		3.14
Loans and leases: (3)
Commercial:
Commercial and industrial	5.05		4.40		3.84		3.79		3.79
Commercial real estate:
Commercial	5.78		4.57		3.38		2.94		3.14
Construction	6.54		4.95		3.70		3.52		3.71
Commercial real estate	5.85		4.61		3.41		3.01		3.21
Lease financing	5.02		4.95		4.98		4.93		4.81
Total commercial	5.25		4.50		3.83		3.69		3.73
Consumer:
Residential mortgage	3.33		3.23		3.09		2.99		2.97
Automobile	3.74		3.53		3.40		3.38		3.53
Home equity	6.57		5.43		4.44		3.99		4.01
RV and marine	4.45		4.29		4.12		4.15		4.31
Other consumer	10.38		9.55		9.08		8.96		9.06
Total consumer	4.37		4.02		3.70		3.57		3.64
Total loans and leases	4.86		4.28		3.77		3.64		3.69
Total earning assets	4.46		3.86		3.33		3.00		2.97
Liabilities
Interest-bearing deposits:
Demand deposits - interest-bearing	0.94		0.40		0.10		0.03		0.03
Money market deposits	0.86		0.29		0.09		0.05		0.08
Savings and other domestic deposits	0.03		0.02		0.02		0.02		0.02
Core certificates of deposit (4)	1.42		0.10		0.07		0.14		—

Other domestic deposits of $250,000 or more	1.31		0.35		0.23		0.08		0.18
Negotiable CDS, brokered and other deposits	3.74		2.25		0.72		0.17		0.14

Total interest-bearing deposits	0.88		0.35		0.10		0.04		0.05
Short-term borrowings	7.71		3.31		1.40		0.57		0.09
Long-term debt	4.66		3.40		2.16		1.83		1.93
Total interest-bearing liabilities	1.31		0.64		0.25		0.18		0.18

Net interest rate spread	3.15		3.22		3.08		2.82		2.79
Impact of noninterest-bearing funds on margin	0.37		0.20		0.07		0.06		0.06
Net interest margin	3.52	%	3.42	%	3.15	%	2.88	%	2.85	%


Commercial Loan Derivative Impact
(Unaudited)	Average Rates
	2022		2022		2022		2022		2021
Fully-taxable equivalent basis (1)	Fourth		Third		Second		First		Fourth
Commercial loans (2)(3)	5.68	%	4.62	%	3.69	%	3.47	%	3.53	%
Impact of commercial loan derivatives	(0.43)		(0.12)		0.14		0.22		0.20
Total commercial - as reported	5.25	%	4.50	%	3.83	%	3.69	%	3.73	%
Average 1 Month LIBOR	3.89	%	2.46	%	1.01	%	0.23	%	0.09	%
Average SOFR	3.61	%	2.14	%	0.70	%	0.09	%	—	%

(1)Fully-taxable equivalent (FTE) yields are calculated assuming a 21% tax rate. See page 10 for the FTE adjustment.

(2)Yield/rates exclude the effects of hedge and risk management activities associated with the respective asset and liability categories.

(3)Includes nonaccrual loans and leases.

(4)Includes consumer certificates of deposit of $250,000 or more.

Huntington Bancshares Incorporated

Selected Quarterly Income Statement Data

(Unaudited)


	Three Months Ended
(dollar amounts in millions, except per share data)	December 31,		September 30,		June 30,		March 31,		December 31,
	2022		2022		2022		2022		2021
Interest income	$	1,854	$	1,589	$	1,331	$	1,195	$	1,182
Interest expense	392		185		70		49		50
Net interest income	1,462		1,404		1,261		1,146		1,132
Provision for credit losses	91		106		67		25		(64)
Net interest income after provision for credit losses	1,371		1,298		1,194		1,121		1,196
Service charges on deposit accounts	89		93		105		97		101
Card and payment processing income	96		96		96		86		93
Capital markets fees	83		73		54		42		47
Trust and investment management services	61		60		63		65		63
Mortgage banking income	25		26		44		49		61
Leasing revenue	35		29		27		35		41
Insurance income	31		28		27		31		28
Gain on sale of loans	2		15		12		28		1
Bank owned life insurance income	15		13		11		17		22
Net gains (losses) on sales of securities	—		—		—		—		(1)
Other noninterest income	62		65		46		49		59
Total noninterest income	499		498		485		499		515
Personnel costs	630		614		577		580		632
Outside data processing and other services	147		145		153		165		269
Equipment	67		60		61		81		68
Net occupancy	61		63		58		64		68
Marketing	22		24		24		21		35
Professional services	21		18		19		19		22
Deposit and other insurance expense	14		15		20		18		18
Amortization of intangibles	13		13		13		14		14
Lease financing equipment depreciation	9		11		11		14		17
Other noninterest expense	93		90		82		77		78
Total noninterest expense	1,077		1,053		1,018		1,053		1,221
Income before income taxes	793		743		661		567		490
Provision for income taxes	144		146		120		105		88
Income after income taxes	649		597		541		462		402
Income attributable to non-controlling interest	4		3		2		2		1
Net income attributable to Huntington Bancshares Inc	645		594		539		460		401
Dividends on preferred shares	28		29		28		28		28
Impact of preferred stock redemption	—		—		—		—		(4)
Net income applicable to common shares	$	617	$	565	$	511	$	432	$	377

Average common shares - basic	1,443		1,443		1,441		1,438		1,444
Average common shares - diluted	1,468		1,465		1,463		1,464		1,471

Per common share
Net income - basic	$	0.43	$	0.39	$	0.35	$	0.30	$	0.26
Net income - diluted	0.42		0.39		0.35		0.29		0.26
Cash dividends declared	0.155		0.155		0.155		0.155		0.155

Revenue - fully-taxable equivalent (FTE)
Net interest income	$	1,462	$	1,404	$	1,261	$	1,146	$	1,132
FTE adjustment	9		8		6		8		6
Net interest income (1)	1,471		1,412		1,267		1,154		1,138
Noninterest income	499		498		485		499		515
Total revenue (1)	$	1,970	$	1,910	$	1,752	$	1,653	$	1,653

(1)On a fully-taxable equivalent (FTE) basis assuming a 21% tax rate.

Huntington Bancshares Incorporated

Quarterly Mortgage Banking Noninterest Income

(Unaudited)


	Three Months Ended
	December 31,			September 30,			June 30,			March 31,			December 31,			Percent Changes vs.
(dollar amounts in millions)	2022			2022			2022			2022			2021			3Q22		4Q21
Net origination and secondary marketing income	$	16		$	25		$	27		$	37		$	56		(36)	%	(71)	%
Net mortgage servicing income
Loan servicing income	22			22			22			22			22			—		—
Amortization of capitalized servicing	(11)			(14)			(16)			(15)			(20)			21		45
Operating income	11			8			6			7			2			38		450
MSR valuation adjustment (1)	2			17			44			51			(1)			(88)		300
(Losses) gains due to MSR hedging	(4)			(24)			(34)			(47)			2			83		(300)
Net MSR risk management	(2)			(7)			10			4			1			71		(300)
Total net mortgage servicing income	$	9		$	1		$	16		$	11		$	3		800	%	200	%
All other	—			—			1			1			2			—		(100)
Mortgage banking income	$	25		$	26		$	44		$	49		$	61		(4)	%	(59)	%

Mortgage origination volume	$	1,719		$	2,491		$	3,366		$	2,881		$	3,880		(31)	%	(56)	%
Mortgage origination volume for sale	889			1,339			1,263			1,519			2,380			(34)		(63)

Third party mortgage loans serviced (2)	32,354			31,988			31,704			31,570			31,017			1		4
Mortgage servicing rights (2)	494			486			463			416			351			2		41
MSR % of investor servicing portfolio (2)	1.53		%	1.52		%	1.46		%	1.32		%	1.13		%	1	%	35	%

(1)The change in fair value for the period represents the MSR valuation adjustment, net of amortization of capitalized servicing.

(2)At period end.

Huntington Bancshares Incorporated

Quarterly Credit Reserves Analysis

(Unaudited)


	Three Months Ended
	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Allowance for loan and lease losses, beginning of period	$	2,110		$	2,074		$	2,018		$	2,030		$	2,107

Loan and lease charge-offs	(97)			(83)			(52)			(81)			(79)
Recoveries of loans and leases previously charged-off	47			39			44			62			45
Net loan and lease charge-offs	(50)			(44)			(8)			(19)			(34)
Provision (benefit) for loan and lease losses	61			80			64			7			(43)


Allowance for loan and lease losses, end of period	2,121			2,110			2,074			2,018			2,030
Allowance for unfunded lending commitments, beginning of period	120			94			91			77			98

Provision (reduction in allowance) for unfunded lending commitments	30			26			3			14			(21)


Allowance for unfunded lending commitments, end of period	150			120			94			91			77
Total allowance for credit losses, end of period	$	2,271		$	2,230		$	2,168		$	2,109		$	2,107
Allowance for loan and lease losses (ALLL) as % of:
Total loans and leases	1.77		%	1.79		%	1.78		%	1.79		%	1.82		%
Nonaccrual loans and leases (NALs)	373			351			316			296			284
Nonperforming assets (NPAs)	357			336			304			285			271
Total allowance for credit losses (ACL) as % of:
Total loans and leases	1.90		%	1.89		%	1.87		%	1.87		%	1.89		%
Nonaccrual loans and leases (NALs)	400			371			330			309			294
Nonperforming assets (NPAs)	382			355			318			298			281


	Three Months Ended
	December 31,		September 30,		June 30,		March 31,		December 31,
(dollar amounts in millions)	2022		2022		2022		2022		2021
Allocation of allowance for credit losses
Commercial
Commercial and industrial	$	890	$	860	$	804	$	937	$	832
Commercial real estate	482		504		498		521		586
Lease financing	52		50		40		56		44
Total commercial	1,424		1,414		1,342		1,514		1,462
Consumer
Residential mortgage	187		178		177		139		145
Automobile	141		118		146		101		108
Home equity	105		126		131		60		88
RV and marine	143		127		147		96		105
Other consumer	121		147		131		108		122
Total consumer	697		696		732		504		568
Total allowance for loan and lease losses	2,121		2,110		2,074		2,018		2,030
Allowance for unfunded lending commitments	150		120		94		91		77
Total allowance for credit losses	$	2,271	$	2,230	$	2,168	$	2,109	$	2,107

Huntington Bancshares Incorporated

Quarterly Net Charge-Off Analysis

(Unaudited)


	Three Months Ended
	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Net charge-offs (recoveries) by loan and lease type:
Commercial:
Commercial and industrial	$	9		$	16		$	(4)		$	(23)		$	6



Commercial real estate	7			(3)			(4)			8			(4)
Lease financing	5			2			(3)			5			3
Total commercial	21			15			(11)			(10)			5
Consumer:
Residential mortgage	—			(1)			(1)			—			(1)
Automobile	3			3			—			—			—
Home equity	—			(2)			(2)			(1)			(1)
RV and marine	2			2			1			3			2
Other consumer	24			27			21			27			29
Total consumer	29			29			19			29			29
Total net charge-offs	$	50		$	44		$	8		$	19		$	34


	Three Months Ended
	December 31,			September 30,			June 30,			March 31,			December 31,
	2022			2022			2022			2022			2021
Net charge-offs (recoveries) - annualized percentages:
Commercial:
Commercial and industrial	0.08		%	0.15		%	(0.04)		%	(0.22)		%	0.06		%



Commercial real estate	0.17			(0.06)			(0.11)			0.22			(0.12)
Lease financing	0.40			0.17			(0.24)			0.40			0.24
Total commercial	0.13			0.10			(0.07)			(0.06)			0.03
Consumer:
Residential mortgage	(0.01)			(0.02)			(0.02)			—			(0.01)
Automobile	0.12			0.07			—			0.01			(0.03)
Home equity	(0.04)			(0.07)			(0.08)			(0.03)			(0.04)
RV and marine	0.15			0.17			0.10			0.20			0.13
Other consumer	7.08			8.09			6.60			8.46			9.21
Total consumer	0.22			0.22			0.15			0.23			0.23
Net charge-offs as a % of average loans and leases	0.17		%	0.15		%	0.03		%	0.07		%	0.12		%

Huntington Bancshares Incorporated

Quarterly Nonaccrual Loans and Leases (NALs) and Nonperforming Assets (NPAs) (1)

(Unaudited)


	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Nonaccrual loans and leases (NALs):
Commercial and industrial	$	288		$	288		$	324		$	323		$	370
Commercial real estate	92			110			117			114			104
Lease financing	18			30			22			38			48
Residential mortgage	90			94			111			117			111
Automobile	4			4			4			4			3
Home equity	76			75			78			84			79
RV and marine	1			1			1			2			1

Total nonaccrual loans and leases	569			602			657			682			716
Other real estate, net:
Residential	11			11			11			10			8
Commercial	—			—			—			1			1
Total other real estate, net	11			11			11			11			9
Other NPAs (2)	14			14			14			15			25
Total nonperforming assets	$	594		$	627		$	682		$	708		$	750

Nonaccrual loans and leases as a % of total loans and leases	0.48		%	0.51		%	0.57		%	0.60		%	0.64		%
NPA ratio (3)	0.50			0.53			0.59			0.63			0.67
(NPA+90days)/(Loan+OREO) (4)	0.67			0.72			0.77			0.88			0.86


	Three Months Ended
	December 31,		September 30,		June 30,		March 31,		December 31,
(dollar amounts in millions)	2022		2022		2022		2022		2021
Nonperforming assets, beginning of period	$	627	$	682	$	708	$	750	$	893
New nonperforming assets	251		119		181		204		146


Returns to accruing status	(84)		(42)		(81)		(57)		(99)
Charge-offs	(54)		(39)		(26)		(32)		(35)
Payments	(144)		(89)		(97)		(155)		(152)
Sales	(2)		(4)		(3)		(2)		(3)

Nonperforming assets, end of period	$	594	$	627	$	682	$	708	$	750

(1)December 31, 2021 period generally excludes loans and leases that were under payment deferral or granted other assistance, including amendments or waivers of financial covenants in response to the COVID-19 pandemic.

(2)Other nonperforming assets include certain impaired securities and/or nonaccrual loans held-for-sale.

(3)Nonperforming assets divided by the sum of loans and leases, net other real estate owned, and other NPAs.

(4)The sum of nonperforming assets and total accruing loans and leases past due 90 days or more divided by the sum of loans and leases and other real estate.

Huntington Bancshares Incorporated

Quarterly Accruing Past Due Loans and Leases

(Unaudited)


	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Accruing loans and leases past due 90+ days:
Commercial and industrial	$	23		$	29		$	11		$	10		$	13

Lease financing	9			18			10			12			11
Residential mortgage (excluding loans guaranteed by the U.S. Government)	21			17			14			25			25
Automobile	9			6			6			6			6
Home equity	15			12			13			12			17
RV and marine	3			2			2			1			3
Other consumer	2			3			2			2			3
Total, excl. loans guaranteed by the U.S. Government	82			87			58			68			78
Add: loans guaranteed by U.S. Government	125			136			154			212			132
Total accruing loans and leases past due 90+ days, including loans guaranteed by the U.S. Government	$	207		$	223		$	212		$	280		$	210

Ratios:
Excluding loans guaranteed by the U.S. Government, as a percent of total loans and leases	0.07		%	0.07		%	0.05		%	0.06		%	0.07		%
Guaranteed by U.S. Government, as a percent of total loans and leases	0.10			0.12			0.13			0.19			0.12
Including loans guaranteed by the U.S. Government, as a percent of total loans and leases	0.17			0.19			0.18			0.25			0.19

Huntington Bancshares Incorporated

Quarterly Capital Under Current Regulatory Standards (Basel III) and Other Capital Data

(Unaudited)


	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Common equity tier 1 risk-based capital ratio: (1)
Total shareholders’ equity	$	17,731		$	17,136		$	17,950		$	18,452		$	19,297
Regulatory capital adjustments:
CECL transitional amount (2)	328			328			328			328			437
Shareholders’ preferred equity and related surplus	(2,177)			(2,177)			(2,177)			(2,177)			(2,177)
Accumulated other comprehensive loss offset	3,098			3,276			2,098			1,314			230
Goodwill and other intangibles, net of taxes	(5,663)			(5,675)			(5,686)			(5,474)			(5,484)
Deferred tax assets that arise from tax loss and credit carryforwards	(27)			(29)			(36)			(46)			(54)
Common equity tier 1 capital	13,290			12,859			12,477			12,397			12,249
Additional tier 1 capital
Shareholders’ preferred equity and related surplus	2,177			2,177			2,177			2,177			2,177


Tier 1 capital	15,467			15,036			14,654			14,574			14,426
Long-term debt and other tier 2 qualifying instruments	1,424			1,441			1,462			1,464			1,539
Qualifying allowance for loan and lease losses	1,682			1,637			1,541			1,485			1,281
Tier 2 capital	3,106			3,078			3,003			2,949			2,820
Total risk-based capital	$	18,573		$	18,114		$	17,657		$	17,523		$	17,246
Risk-weighted assets (RWA)(1)	$	140,717		$	138,759		$	137,841		$	134,484		$	131,266
Common equity tier 1 risk-based capital ratio (1)	9.44		%	9.27		%	9.05		%	9.22		%	9.33		%
Other regulatory capital data:
Tier 1 leverage ratio (1)	8.60			8.51			8.46			8.43			8.56
Tier 1 risk-based capital ratio (1)	10.99			10.84			10.63			10.84			10.99
Total risk-based capital ratio (1)	13.20			13.05			12.81			13.03			13.14
Non-regulatory capital data:
Tangible common equity / RWA ratio (1)	6.99			6.66			7.28			8.00			8.83

(1)December 31, 2022, figures are estimated.

(2)Upon adoption in 2020, Huntington elected to temporarily delay certain effects of CECL on regulatory capital, utilizing a two-year delay followed by a three-year transition period. January 1, 2022 began the three-year transition period, whereby 100% of the day-one impact of adopting CECL and 25% of the cumulative change in the reported allowance for credit losses since adopting CECL will be recognized over the three-year transition period. As of March 31, 2022, June 30, 2022, September 30, 2022, and December 31, 2022, 25% of the cumulative CECL deferral has been phased in.

Huntington Bancshares Incorporated

Quarterly Common Stock Summary, Non-Regulatory Capital, and Other Data

(Unaudited)

Quarterly common stock summary


	December 31,		September 30,		June 30,		March 31,		December 31,
	2022		2022		2022		2022		2021






Cash dividends declared per common share	$	0.155	$	0.155	$	0.155	$	0.155	$	0.155
Common shares outstanding (in millions)
Average - basic	1,443		1,443		1,441		1,438		1,444
Average - diluted	1,468		1,465		1,463		1,464		1,471
Ending	1,443		1,443		1,442		1,439		1,438
Tangible book value per common share (1)	$	6.82	$	6.40	$	6.96	$	7.47	$	8.06
Common share repurchases (in millions)
Number of shares repurchased	—		—		—		—		10

Non-regulatory capital


	December 31,			September 30,			June 30,			March 31,			December 31,
(dollar amounts in millions)	2022			2022			2022			2022			2021
Calculation of tangible equity / asset ratio:
Total shareholders’ equity	$	17,731		$	17,136		$	17,950		$	18,452		$	19,297
Goodwill and other intangible assets	(5,766)			(5,775)			(5,788)			(5,577)			(5,591)

Deferred tax liability on other intangible assets (1)	41			43			46			48			51
Total tangible equity	12,006			11,404			12,208			12,923			13,757
Preferred equity	(2,167)			(2,167)			(2,167)			(2,167)			(2,167)
Total tangible common equity	$	9,839		$	9,237		$	10,041		$	10,756		$	11,590
Total assets	$	182,906		$	179,402		$	178,782		$	176,856		$	174,064
Goodwill and other intangible assets	(5,766)			(5,775)			(5,788)			(5,577)			(5,591)
Deferred tax liability on other intangible assets (1)	41			43			46			48			51
Total tangible assets	$	177,181		$	173,670		$	173,040		$	171,327		$	168,524
Tangible equity / tangible asset ratio	6.78		%	6.57		%	7.06		%	7.54		%	8.16		%
Tangible common equity / tangible asset ratio	5.55			5.32			5.80			6.28			6.88
Other data:
Number of employees (Average full-time equivalent)	20,007			19,997			19,866			19,722			20,309
Number of domestic full-service branches (2)	1,032			1,032			1,032			1,030			1,092
ATM Count	1,695			1,715			1,731			1,729			1,756

(1)Deferred tax liability related to other intangible assets is calculated at a 21% tax rate.

(2)Includes Regional Banking and The Huntington Private Client Group offices.

Huntington Bancshares Incorporated

Consolidated Annual Average Balance Sheets

(Unaudited)


	Annual Average Balances (1)
			Change from 2021						Change from 2020
(dollar amounts in millions)	2022		Amount		Percent		2021		Amount		Percent		2020
Assets
Interest-bearing deposits at Federal Reserve Bank	$	4,626	$	(3,503)	(43)	%	$	8,129	$	4,255	110	%	$	3,874
Interest-bearing deposits in banks	226		(146)		(39)		372		196		111		176
Securities:
Trading account securities	32		(18)		(36)		50		(9)		(15)		59
Available-for-sale securities:
Taxable	21,994		2,227		11		19,767		8,375		74		11,392
Tax-exempt	2,842		(74)		(3)		2,916		181		7		2,735
Total available-for-sale securities	24,836		2,153		9		22,683		8,556		61		14,127


Held-to-maturity securities - taxable	16,509		6,509		65		10,000		752		8		9,248


Other securities	845		289		52		556		113		26		443
Total securities	42,222		8,933		27		33,289		9,412		39		23,877
Loans held for sale	973		(425)		(30)		1,398		277		25		1,121
Loans and leases:(2)
Commercial:
Commercial and industrial	43,118		6,220		17		36,898		5,274		17		31,624
Commercial real estate:

Commercial	14,017		4,105		41		9,912		4,014		68		5,898
Construction	1,751		251		17		1,500		344		30		1,156
Commercial real estate	15,768		4,356		38		11,412		4,358		62		7,054
Lease financing	4,974		1,235		33		3,739		1,446		63		2,293
Total commercial	63,860		11,811		23		52,049		11,078		27		40,971
Consumer:
Residential mortgage	20,907		4,954		31		15,953		4,259		36		11,694
Automobile	13,454		446		3		13,008		170		1		12,838
Home equity	10,409		391		4		10,018		1,088		12		8,930
RV and marine	5,322		650		14		4,672		796		21		3,876
Other consumer	1,314		196		18		1,118		32		3		1,086
Total consumer	51,406		6,637		15		44,769		6,345		17		38,424
Total loans and leases	115,266		18,448		19		96,818		17,423		22		79,395
Total earning assets	163,313		23,307		17		140,006		31,563		29		108,443
Cash and due from banks	1,666		310		23		1,356		232		21		1,124
Intangible assets	5,688		1,580		38		4,108		1,907		87		2,201
All other assets	10,184		1,380		16		8,804		1,759		25		7,045
Allowance for loan and lease losses	(2,083)		(90)		(5)		(1,993)		(412)		(26)		(1,581)
Total assets	$	178,768	$	26,487	17	%	$	152,281	$	35,049	30	%	$	117,232
Liabilities and shareholders’ equity
Interest-bearing deposits:
Demand deposits - interest-bearing	$	41,779	$	9,071	28	%	$	32,708	$	9,194	39	%	$	23,514
Money market deposits	33,733		3,694		12		30,039		4,344		17		25,695
Savings and other domestic deposits	21,316		3,959		23		17,357		6,637		62		10,720
Core certificates of deposit (3)	2,439		71		3		2,368		(242)		(9)		2,610

Other domestic deposits of $250,000 or more	233		(120)		(34)		353		137		63		216
Negotiable CDs, brokered and other deposits	3,838		313		9		3,525		(297)		(8)		3,822

Total interest-bearing deposits	103,338		16,988		20		86,350		19,773		30		66,577
Short-term borrowings	2,485		2,207		794		278		(869)		(76)		1,147
Long-term debt	8,724		1,245		17		7,479		(2,017)		(21)		9,496
Total interest-bearing liabilities	114,547		20,440		22		94,107		16,887		22		77,220
Demand deposits - noninterest-bearing	41,574		3,614		10		37,960		12,624		50		25,336
All other liabilities	4,353		1,148		36		3,205		832		35		2,373
Total Huntington Bancshares Inc shareholders’ equity	18,263		1,266		7		16,997		4,694		38		12,303
Non-controlling interest	31		19		158		12		12		100		—
Total Equity	$	18,294	$	1,285	8		$	17,009	$	4,706	38		$	12,303
Total liabilities and shareholders’ equity	$	178,768	$	26,487	17	%	$	152,281	$	35,049	30	%	$	117,232

(1)Amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.

(2)Includes nonaccrual loans.

(3)Includes consumer certificates of deposit of $250,000 or more.

Huntington Bancshares Incorporated

Consolidated Annual Net Interest Margin - Interest Income / Expense(1)(2)

(Unaudited)


	Annual Interest Income / Expense
(dollar amounts in millions)	2022		2021		2020
Assets
Interest-bearing deposits at Federal Reserve Bank	$	75	$	11	$	6
Interest-bearing deposits in banks	8		1		1
Securities:
Trading account securities	1		1		2
Available-for-sale securities:
Taxable	576		261		237
Tax-exempt	94		71		77
Total available-for-sale securities	670		332		314
Held-to-maturity securities - taxable	351		174		216
Other securities	27		10		6
Total securities	1,049		517		538
Loans held for sale	41		41		34
Loans and leases:
Commercial:
Commercial and industrial	1,875		1,446		1,166
Commercial real estate:
Commercial	601		307		181
Construction	82		55		44
Commercial real estate	683		362		225
Lease Financing	251		186		124
Total commercial	2,809		1,994		1,515
Consumer:
Residential mortgage	661		479		406
Automobile	472		471		504
Home equity	532		391		358
RV and marine	227		199		181
Other consumer	126		112		125
Total consumer	2,018		1,652		1,574
Total loans and leases	4,827		3,646		3,089
Total earning assets	$	6,000	$	4,216	$	3,668
Liabilities
Interest-bearing deposits:
Demand deposits - interest-bearing	$	158	$	12	$	32
Money market deposits	112		21		100
Savings and other domestic deposits	5		5		10
Core certificates of deposit	12		1		38

Other domestic deposits of $250,000 or more	1		1		3
Negotiable CDS, brokered and other deposits	75		5		15

Total interest-bearing deposits	363		45		198
Short-term borrowings	46		1		13
Long-term debt	287		43		212
Total interest-bearing liabilities	696		89		423
Net interest income	$	5,304	$	4,127	$	3,245

(1)Fully-taxable equivalent (FTE) income and expense calculated assuming a 21% tax rate. See page 21 for the FTE adjustment.

(2)Amounts include the effects of hedge and risk management activities associated with the respective asset and liability categories.

Huntington Bancshares Incorporated

Consolidated Annual Net Interest Margin - Yield

(Unaudited)


	Annual Average Rates(2)
Fully-taxable equivalent basis(1)	2022		2021		2020
Assets
Interest-bearing deposits at Federal Reserve Bank	1.63	%	0.14	%	0.15	%
Interest-bearing deposits in banks	3.15		0.04		0.47
Securities:
Trading account securities	4.14		3.32		3.10
Available-for-sale securities:
Taxable	2.62		1.32		2.08
Tax-exempt	3.32		2.42		2.84
Total available-for-sale securities	2.70		1.46		2.23
Held-to-maturity securities - taxable	2.13		1.74		2.33
Other securities	3.16		1.75		1.41
Total securities	2.48		1.55		2.25
Loans held for sale	4.24		2.96		3.06
Loans and leases: (4)
Commercial:
Commercial and industrial	4.35		3.92		3.69
Commercial real estate:
Commercial	4.29		3.10		3.07
Construction	4.71		3.67		3.84
Commercial real estate	4.33		3.17		3.19
Lease financing	5.04		4.98		5.42
Total commercial	4.40		3.83		3.70
Consumer:
Residential mortgage	3.16		3.00		3.47
Automobile	3.51		3.62		3.93
Home equity	5.11		3.90		4.01
RV and marine	4.26		4.27		4.68
Other consumer	9.51		10.04		11.48
Total consumer	3.92		3.69		4.10
Total loans and leases	4.19		3.77		3.89
Total earning assets	3.67		3.01		3.38
Liabilities
Interest-bearing deposits:
Demand deposits - interest-bearing	0.38	%	0.04	%	0.14	%
Money market deposits	0.33		0.07		0.39
Savings and other domestic deposits	0.02		0.03		0.09
Core certificates of deposit (4)	0.50		0.03		1.44

Other domestic deposits of $250,000 or more	0.47		0.21		1.18
Negotiable CDS, brokered and other deposits	1.96		0.16		0.38

Total interest-bearing deposits	0.35		0.05		0.30
Short-term borrowings	1.86		0.20		1.18
Long-term debt	3.29		0.57		2.24
Total interest bearing liabilities	0.61		0.09		0.55
Demand deposits - noninterest-bearing	—		—		—
Net interest rate spread	3.06		2.92		2.83
Impact of noninterest-bearing funds on margin	0.19		0.03		0.16
Net interest margin	3.25	%	2.95	%	2.99	%


Commercial Loan Derivative Impact
(Unaudited)
	Annual Average Rates
Fully-taxable equivalent basis(1)	2022		2021		2020
Commercial loans (2)(3)	4.45	%	3.50	%	3.32	%
Impact of commercial loan derivatives	(0.05)		0.33		0.38
Total commercial - as reported	4.40	%	3.83	%	3.70	%

Average 1 Month LIBOR	1.91	%	0.10	%	0.52	%
Average SOFR	1.63	%	—	%	—	%

(1)Fully-taxable equivalent (FTE) yields are calculated assuming a 21% tax rate. See page 21 for the FTE adjustment.

(2)Yield/rates exclude the effects of hedge and risk management activities associated with the respective asset and liability categories.

(3)Includes the impact of nonaccrual loans.

(4)Includes consumer certificates of deposits of $250,000 or more.

Huntington Bancshares Incorporated

Selected Annual Income Statement Data

(Unaudited)


	Year Ended December 31,
(dollar amounts in millions, except per share data)			Change						Change
	2022		Amount		Percent		2021		Amount		Percent		2020
Interest income	$	5,969	$	1,778	42	%	$	4,191	$	544	15	%	$	3,647
Interest expense	696		607		NM		89		(334)		(79)		423
Net interest income	5,273		1,171		29		4,102		878		27		3,224
Provision for credit losses	289		264		NM		25		(1,023)		(98)		1,048
Net interest income after provision for credit losses	4,984		907		22		4,077		1,901		87		2,176
Service charges on deposit accounts	384		12		3		372		71		24		301
Card and payment processing income	374		40		12		334		86		35		248
Capital markets fees	252		101		67		151		26		21		125
Trust and investment management services	249		17		7		232		43		23		189
Mortgage banking income	144		(165)		(53)		309		(57)		(16)		366
Leasing revenue	126		27		27		99		78		NM		21
Insurance income	117		12		11		105		8		8		97
Gain on sale of loans	57		48		NM		9		(33)		(79)		42
Bank owned life insurance income	56		(13)		(19)		69		5		8		64
Net gains (losses) on sales of securities	—		(9)		NM		9		10		NM		(1)
Other noninterest income	222		22		11		200		61		44		139
Total noninterest income	1,981		92		5		1,889		298		19		1,591
Personnel costs	2,401		66		3		2,335		643		38		1,692
Outside data processing and other services	610		(240)		(28)		850		466		121		384
Equipment	269		21		8		248		68		38		180
Net occupancy	246		(31)		(11)		277		119		75		158
Marketing	91		2		2		89		51		134		38
Professional services	77		(36)		(32)		113		58		105		55
Deposit and other insurance expense	67		16		31		51		19		59		32
Amortization of intangibles	53		5		10		48		7		17		41
Lease financing equipment depreciation	45		4		10		41		40		NM		1
Other noninterest expense	342		19		6		323		109		51		214
Total noninterest expense	4,201		(174)		(4)		4,375		1,580		57		2,795
Income before income taxes	2,764		1,173		74		1,591		619		64		972
Provision for income taxes	515		221		75		294		139		90		155
Income after income taxes	2,249		952		73		1,297		480		59		817
Income attributable to non-controlling interest	11		9		NM		2		2		NM		—
Net income attributable to Huntington Bancshares Inc	2,238		943		73		1,295		478		59		817
Dividends on preferred shares	113		(18)		(14)		131		31		31		100
Impact of preferred stock redemption	—		(11)		NM		11		11		NM		—
Net income applicable to common shares	$	2,125	$	972	84	%	$	1,153	$	436	61	%	$	717
Average common shares - basic	1,441		179		14	%	1,262		245		24	%	1,017
Average common shares - diluted	1,465		178		14		1,287		254		25		1,033
Per common share
Net income - basic	$	1.47	$	0.56	62		$	0.91	$	0.20	28		$	0.71
Net income - diluted	1.45		0.55		61		0.90		0.21		30		0.69
Cash dividends declared	0.62		0.015		2		0.605		0.005		1		0.60
Revenue - fully taxable equivalent (FTE)
Net interest income	$	5,273	$	1,171	29		$	4,102	$	878	27		$	3,224
FTE adjustment (1)	31		6		24		25		4		19		21
Net interest income	5,304		1,177		29		4,127		882		27		3,245
Noninterest income	1,981		92		5		1,889		298		19		1,591
Total revenue (1)	$	7,285	$	1,269	21	%	$	6,016	$	1,180	24	%	$	4,836

NM - Not Meaningful

(1)On a fully-taxable equivalent (FTE) basis assuming a 21% tax rate.

Huntington Bancshares Incorporated

Annual Mortgage Banking Noninterest Income

(Unaudited)


	Year Ended December 31,
(dollar amounts in millions)	2022			2021			2020
Net origination and secondary marketing income	$	105		$	300		$	346
Net mortgage servicing income
Loan servicing income	88			77			61
Amortization of capitalized servicing	(56)			(81)			(53)
Operating income	32			(4)			8
MSR valuation adjustment (1)	114			27			(52)
Gains (losses) due to MSR hedging	(109)			(26)			53
Net MSR risk management	5			1			1
Total net mortgage servicing income (expense)	$	37		$	(3)		$	9
All other	2			12			11
Mortgage banking income	$	144		$	309		$	366

Mortgage origination volume	$	10,457		$	16,396		$	13,489
Mortgage origination volume for sale	5,010			9,828			8,842

Third party mortgage loans serviced (2)	32,354			31,017			23,471
Mortgage servicing rights (2)	494			351			210
MSR % of investor servicing portfolio	1.53		%	1.13		%	0.89		%

(1)The change in fair value for the period represents the MSR valuation adjustment, net of amortization of capitalized servicing.

(2)At period end.

Huntington Bancshares Incorporated

Annual Credit Reserves Analysis

(Unaudited)


	Year Ended December 31,
(dollar amounts in millions)	2022			2021			2020
Allowance for loan and lease losses, beginning of period	$	2,030		$	1,814		$	783
Cumulative-effect of change in accounting principle for financial instruments - credit losses (ASU 2016-13)	—			—			391
Loan and lease charge-offs (1)	(313)			(382)			(540)
Recoveries of loans and leases previously charged off	192			167			91
Net loan and lease charge-offs	(121)			(215)			(449)
Provision for loan and lease losses	212			(1)			1,089
Allowance on loans and leases purchased with credit deterioration	—			432			—

Allowance for loan and lease losses, end of period	2,121			2,030			1,814
Allowance for unfunded lending commitments, beginning of period	77			52			104
Cumulative-effect of change in accounting principle for financial instruments - credit losses (ASU 2016-13)	—			—			2
Provision for (reduction in) unfunded lending commitments	73			26			(41)

Unfunded lending commitment losses	—			(1)			(13)
Allowance for unfunded lending commitments, end of period	150			77			52
Total allowance for credit losses, end of period	$	2,271		$	2,107		$	1,866
Allowance for loan and lease losses (ALLL) as % of:
Total loans and leases	1.77		%	1.82		%	2.22		%
Nonaccrual loans and leases (NALs)	373			284			341
Nonperforming assets (NPAs)	357			271			323
Total allowance for credit losses (ACL) as % of:
Total loans and leases	1.90		%	1.89		%	2.29		%
Nonaccrual loans and leases (NALs)	400			294			351
Nonperforming assets (NPAs)	382			281			332

(1)Net charge-offs and associated metrics for the period ended December 31, 2021 exclude $80 million of charge-offs recognized immediately upon completion of the TCF acquisition and related to required purchase accounting treatment.


	Year Ended December 31,
(dollar amounts in millions)	2022		2021		2020
Allocation of allowance for credit losses
Commercial
Commercial and industrial	$	890	$	832	$	879
Commercial real estate	482		586		297
Lease financing	52		44		60
Total commercial	1,424		1,462		1,236
Consumer
Residential mortgage	187		145		79
Automobile	141		108		166
Home equity	105		88		124
RV and marine	143		105		129
Other consumer	121		122		80
Total consumer	697		568		578
Total allowance for loan and lease losses	2,121		2,030		1,814
Allowance for unfunded lending commitments	150		77		52
Total allowance for credit losses	$	2,271	$	2,107	$	1,866

Huntington Bancshares Incorporated

Annual Net Charge-Off Analysis

(Unaudited)


	Year Ended December 31,
(dollar amounts in millions)	2022			2021			2020
Net charge-offs by loan and lease type:
Commercial:
Commercial and industrial	$	(2)		$	99		$	287



Commercial real estate	8			17			43
Lease financing	9			44			12
Total commercial	15			160			342
Consumer:
Residential mortgage	(2)			(1)			3
Automobile	6			(6)			33
Home equity	(5)			(5)			6
RV and marine	8			5			12
Other consumer	99			62			53
Total consumer	106			55			107
Total net charge-offs (1)	$	121		$	215		$	449

Net charge-offs - annualized percentages:
Commercial:
Commercial and industrial	—		%	0.27		%	0.91		%



Commercial real estate	0.05			0.14			0.61
Lease financing	0.18			1.18			0.54
Total commercial	0.03			0.31			0.84
Consumer:
Residential mortgage	(0.01)			—			0.03
Automobile	0.05			(0.05)			0.26
Home equity	(0.05)			(0.05)			0.07
RV and marine	0.15			0.10			0.31
Other consumer	7.55			5.56			4.84
Total consumer	0.21			0.12			0.28
Net charge-offs as a % of average loans (1)	0.11		%	0.22		%	0.57		%

Huntington Bancshares Incorporated

Annual Nonaccrual Loans and Leases (NALs) and Nonperforming Assets (NPAs) (1)

(Unaudited)


	December 31,
(dollar amounts in millions)	2022			2021			2020
Nonaccrual loans and leases (NALs):
Commercial and industrial	$	288		$	370		$	349
Commercial real estate	92			104			15
Lease financing	18			48			4
Residential mortgage	90			111			88
Automobile	4			3			4
Home equity	76			79			70
RV and marine	1			1			2

Total nonaccrual loans and leases	569			716			532

Other real estate, net:
Residential	11			8			4
Commercial	—			1			—
Total other real estate, net	11			9			4
Other NPAs (1)	14			25			27
Total nonperforming assets (2)	$	594		$	750		$	563

Nonaccrual loans and leases as a % of total loans and leases	0.48		%	0.64		%	0.65		%
NPA ratio (3)	0.50			0.67			0.69


	December 31,
(dollar amounts in millions)	2022		2021		2020
Nonperforming assets, beginning of period	$	750	$	563	$	498
New nonperforming assets	755		586		991
Returns to accruing status	(264)		(303)		(198)
Loan and lease losses	(151)		(215)		(327)
Payments	(485)		(416)		(292)
Sales and held-for-sale transfers	(11)		(94)		(109)
Acquired NPAs	—		629		—
Nonperforming assets, end of period (2)	$	594	$	750	$	563

(1)December 31, 2021 and 2020 generally exclude loans and leases that were under payment deferral or granted other assistance, including amendments or waivers of financial covenants in response to the COVID-19 pandemic.

(2)Other nonperforming assets include certain impaired securities and/or nonaccrual loans held-for-sale.

(3)Nonperforming assets divided by the sum of loans and leases, net other real estate owned, and other NPAs.

Huntington Bancshares Incorporated

Reconciliation of Non-GAAP Financial Measures

(Unaudited)

Huntington believes certain non-GAAP financial measures to be helpful in understanding Huntington’s results of operations. The following tables provide the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure.


	Three months ended				Change (%)			Year ended December 31,					Change (%)
($ in millions)	December 31, 2022		September 30, 2022						2022		2021
Pre-Provision Net Revenue (PPNR)
Total revenue	$	1,961	$	1,902					$	7,254	$	5,991
FTE adjustment	9		8						31		25
Total revenue (FTE) (a)	1,970		1,910						7,285		6,016
Less: net gain/(loss) on securities	—		—						—		9
Total revenue (FTE), excluding net gain/(loss) on securities (b)	1,970		1,910						7,285		6,007

Noninterest expense (c)	1,077		1,053						4,201		4,375


Less: Notable items	15		10						95		711
Noninterest expense, excluding notable items (d)	1,062		1,043						4,106		3,664

PPNR (a-c)	893		857			4	%		3,084		1,641			88	%
PPNR, adjusted (b-d)	908		867			5	%		3,179		2,343			36	%

Form: 8-K

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