01—Abstract
Summary
Summary of the 8-K filed June 10, 2025. Cited figures are marked; the original filing is the authoritative source.
KeyCorp filed this Form 8-K under Item 7.01 (Regulation FD Disclosure) to announce that it will review its performance, strategy, and outlook at the Morgan Stanley U.S. Financials Conference on June 11, 2025.
The accompanying Exhibit 99.1 is a slide presentation on the company's Commercial Bank, which the company will post on its investor relations website along with a live audio webcast and a later recording. Per the filing, the information is furnished rather than filed for purposes of Section 18 of the Securities Exchange Act of 1934. The presentation, delivered by Ken Gavrity, Head of the Commercial Bank, focuses on the Middle Market and Commercial Payments businesses.
It reports approximately $58 billiona in commercial deposits in 2024, about 4.6 thousand Middle Market customers, and roughly 8.3 thousand Commercial clients. It also states average return on equity of approximately 17-20% across the Middle Market business for FY2022 through FY2024, and about 10% Commercial Payments revenue CAGR over the last five years. Total Key revenue for 2024 excludes a securities repositioning loss of $1.8 billion.
The deck emphasizes growth in payments and embedded banking, including 325%b growth in API clients and 71% growth in embedded banking clients from December 2023 to March 2025. It also cites investment priorities such as market expansion into Chicago and Southern California, and a roughly 25% increase in the business-focused risk team from January 2024 to March 2025.
02—Key points
Key Highlights
- Form 8-K under Item 7.01 announces KeyCorp's participation in the Morgan Stanley U.S. Financials Conference on June 11, 2025, to review performance, strategy, and outlook.
- Commercial Bank presentation cites approximately $58 billion in 2024 commercial deposits, with about 98% of deposits attached to an operating account for Middle Market clients.
- Middle Market average ROE of approximately 17-20% for FY2022 through FY2024, per the presentation.
- Commercial Payments revenue CAGR of approximately 10% over the last five years; Total Key 2024 revenue excludes a $1.8 billion securities repositioning loss.
- Embedded banking and API client growth cited: 71% growth in embedded banking clients and 325% growth in API clients from December 2023 to March 2025.
- Investment priorities include expansion into Chicago and Southern California, growth in bankers, and a roughly 25% increase in the business-focused risk team from January 2024 to March 2025.
- Slides will be posted at www.key.com/ir, with a live audio webcast and a recording available afterward; the information is furnished, not filed, under Section 18.
03—Questions
Frequently Asked Questions
What is the purpose of this 8-K filing?
The filing furnishes KeyCorp's Exhibit 99.1 slides and announces that management will review performance, strategy, and outlook at the Morgan Stanley U.S. Financials Conference on June 11, 2025, under Regulation FD.
How large is KeyCorp's commercial business according to this presentation?
The presentation states approximately $58 billion in commercial deposits in 2024, about 4.6 thousand Middle Market customers, and roughly 8.3 thousand Commercial clients.
What returns does the Middle Market business generate?
The presentation cites average ROE of approximately 17-20% across the Middle Market business for FY2022 through FY2024.
Did 2024 results include any unusual items?
Yes. The presentation notes that total Key revenue excludes a 2024 securities repositioning loss of $1.8 billion.
Where can investors access the presentation and related materials?
The slides will be posted on KeyCorp's website at www.key.com/ir, with a live audio webcast at the same address and a recording available after the event.
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