Sector: Financials|Industry: Banks - Regional|Market Cap: $57.23B|Employees: 50.8K
Truist Financial Corporation is a leading U.S. commercial bank offering a wide array of financial products and services to both consumer and commercial clients. The company's core business model revolves around consumer and small business banking, commercial banking, and wealth management. Truist operates primarily in high-growth markets in the Southeast and Mid-Atlantic regions, leveraging its market position and digital platform to compete effectively.
Truist reported a net loss of $1.5 billion for 2023, primarily due to a $6.1 billion non-cash goodwill impairment charge. This significantly impacted the overall financial performance for the year.
Net interest income on a taxable-equivalent basis increased by $362 million, or 2.5%, year-over-year, driven by higher market interest rates and average loan balances. However, this growth was partially offset by higher funding costs and lower purchase accounting accretion.
The provision for credit losses increased to $2.1 billion for 2023, compared to $777 million in 2022. This indicates a higher expectation of loan defaults and potential credit issues.