UPDATE: PNC Financial Posts Upbeat Q3 Profit

PNC Financial Services Group

reported better-than-expected third-quarter profit. The Pittsburgh, Pennsylvania-based bank posted a quarterly profit of $1.04 billion, versus a year-ago profit of $1.03 billion. On a per-share basis, its earnings rose to $1.79 versus $1.77. Its revenue declined 2% to $3.84 billion. However, analysts were projecting earnings of $1.71 per share on revenue of $3.8 billion. PNC Financial's total loans rose 4% at $200.9 billion at the end of the quarter, while noninterest expenses declined 1.5% y/y. Net interest income fell 1% to $2.1 billion in the third quarter versus the second quarter. Average loans rose $.6 billion versus the second quarter, while deposits increased 2% to $226.3 billion at September 30, 2014 versus June 30, 2014. "In the third quarter, PNC continued to deliver solid performance in a challenging revenue environment by executing on our strategic priorities," said William S. Demchak, chairman, president and chief executive officer. "We added customers, grew deposits, and increased fee income and capital. We also effectively managed expenses even as we made targeted investments in our businesses and technology.” PNC Financial shares rose 0.67% to close at $81.59 yesterday.