PNC Financial Services reported Q3/15 net income of $1.1 billion, or $1.90 per diluted common share, compared with net income of $1.0 billion in Q3/14. Analysts polled by Thomson Reuters expected EPS of $1.72.

PNC said total revenue of $3.78 billion was down 2% from the prior year quarter reflecting lower net interest income as well as non-interest income.

The following highlights were excerpted from the news release:

• The net interest margin was 2.67% for Q3/15, down 31 basis points compared to 2.98% for Q3/14. The year/year margin decline resulted from increasing the company’s liquidity position and lower loan and securities yields.
• Total loans were $205.0 billion, up 2% year/year, primarily reflecting growth in commercial lending.
• Q3/15 provision for loan losses of $81 million was up from $55 million a year earlier.
• Third quarter earnings reflected a strong contribution of noninterest income to total revenue of 45% and well-controlled expenses.
• Net interest income of $2.1 billion for the third quarter was relatively stable with the second quarter, increasing $10 million as higher core net interest income largely driven by an additional day in the quarter was offset by lower purchase accounting accretion.
• Noninterest income of $1.7 billion for the third quarter decreased $101 million, or 6%, compared with the second quarter primarily due to higher second quarter gains on asset sales.

“PNC had a solid third quarter, our tenth consecutive quarter of $1 billion or more in net income, reflecting consistency without the benefit of higher interest rates,” said William S. Demchak, chairman, president and chief executive officer. “Expenses were down, deposits were up, and we continued to execute on our strategic priorities designed to deepen customer relationships and grow our diverse fee businesses.”