UPDATE: PNC Tops Q4 Expectations

reported higher-than-expected earnings for the fourth quarter. The Pittsburgh, Pennsylvania-based company posted quarterly net income of $1.04 billion, or $1.84 per diluted share, compared to $1.06 billion, or $1.87 per diluted share, in the year-ago quarter. Its revenue dropped to $3.95 billion from $4.07 billion. However, analysts were expecting earnings of $1.74 per share on revenue of $3.8 billion. The bank's noninterest income gained to $1.85 billion from $1.81 billion. Net interest margin shrank to 2.89%, from 3.38% a year earlier. Loans rose 2% to $205 billion at December 31, 2014, versus September 30, 2014. Deposits climbed 3% to $232 billion at December 31, 2014, versus September 30, 2014. Total assets gained to $345.1 billion at December 31, 2014, from $320.2 billion at December 31, 2013. "PNC had a successful year in 2014," said William S. Demchak, chairman, president and chief executive officer. "We added customers, grew loans and deposits, increased fee income and capital, and reduced expenses. While the near-term revenue environment remains challenging, I like how we are positioned heading into 2015. We are a year further into the execution on our strategic priorities and continue to make important progress across the board. We enjoy a strong capital position. We have a more liquid balance sheet. And we expect our continued execution to drive long-term shareholder value." PNC shares fell 0.70% to close at $82.42 yesterday.