Summary
Truist Financial Corporation (TFC) reported solid financial performance in 2021, marked by a 44% increase in net income available to common shareholders, reaching $6.0 billion ($4.47 per diluted share). This growth was driven by strong contributions from investment banking, insurance, wealth management, and card/payment fees, benefiting from improving economic conditions which also led to a favorable credit performance and a provision for credit losses release. The company continued its integration efforts post-merger, achieving key milestones such as core bank conversions and the launch of a new digital app. Truist is focused on shifting from integration to operation, emphasizing executional excellence and profitable growth. Key strategic priorities include advancing its "T3 strategy" (touch and technology), driving innovation, attracting and retaining talent, and executing on ESG initiatives. The company's capital position remains strong, with a CET1 ratio of 9.6% at year-end 2021, and management reiterated its commitment to capital deployment through organic growth, dividends, and strategic acquisitions.
Financial Highlights
41 data points| Operating Income | $5.97B |
| Interest Expense | $768.00M |
| Net Income | $6.44B |
| EPS (Basic) | $4.51 |
| EPS (Diluted) | $4.47 |
| Shares Outstanding (Basic) | 1.34B |
| Shares Outstanding (Diluted) | 1.35B |
Key Highlights
- 1Net income available to common shareholders increased by 44% to $6.0 billion in 2021, with diluted EPS rising to $4.47 from $3.08 in 2020.
- 2Total revenue for 2021 was $22.3 billion, a slight decrease of $0.4 billion compared to 2020, primarily due to lower net interest income.
- 3Noninterest income increased by 4.6% to $9.3 billion, driven by strong performance in insurance, investment banking, wealth management, and card/payment fees, partially offset by lower residential mortgage income.
- 4The provision for credit losses turned into a benefit of $813 million in 2021, compared to a provision of $2.3 billion in 2020, reflecting an improving economic outlook.
- 5The company completed significant merger integration milestones, including core bank conversions, and is focused on transitioning to an operational phase emphasizing profitable growth.
- 6Truist met its diversity goal early, with racially and ethnically diverse teammates holding 15.1% of senior leadership positions as of December 31, 2021.
- 7Capital levels remained strong, with a CET1 ratio of 9.6% and a total capital ratio of 13.2% at December 31, 2021.