(Reuters) - PNC Financial Services Group Inc (PNC.N) posted a better-than-expected third quarter profit on Wednesday, boosted by higher loan growth.
The U.S. regional bank’s loan portfolio grew 6.5% to $237.4 billion, with commercial lending accounting for about 67% of total loans.
PNC Financial, one of the largest local U.S. lenders by assets, said net interest income rose 1.5% to $2.50 billion, as higher loans and lower borrowing costs offset lower interest rates.
U.S. Federal Reserve has cut interest rates twice this year, pressuring banks’ profits.
The Pittsburgh, Pennsylvania-based bank's net income attributable to common shareholders fell to $1.32 billion in the third quarter ended Sept. 30, from $1.33 billion, a year earlier. (reut.rs/33yWkud)
On a per share basis, quarterly earnings rose to $2.94 from $2.82 a year earlier. (reut.rs/33yWkud)
Analysts on average expected the bank to earn $2.80 per share.
Total revenue rose 3% to $4.49 billion.
Reporting by C Nivedita in Bengaluru; Editing by Shailesh Kuber