KeyCorp filed a Current Report on Form 8-K on September 14, 2026, to disclose updated financial guidance and a presentation for the Barclays Global Financial Services Conference held the same day. The company provided revised expectations for fiscal year 2026, citing improved performance across several key metrics.
KeyCorp raised its revenue outlook for FY2026 to an increase of approximately 8% on an operating basis. Previously, the company anticipated growth between 7% and 8%. The firm also updated its net interest income (NII) guidance to a range of 9% to 11% growth, up from a prior estimate of 7% to 11%. The company projects a net interest margin of 3.00% to 3.05% by the end of the fourth quarter of 2026.
On the expense side, KeyCorp anticipates adjusted noninterest expense to increase by roughly 4% for the full year. The company projects an effective tax rate of approximately 23% on a taxable-equivalent basis. The firm also forecasted a return on tangible common equity (ROTCE) of 9.5% to 10% for FY2026.
Regarding asset quality, KeyCorp expects nonperforming loans to average 40 to 45 basis points of average loans. The company projects average loans to grow by 4% to 5% for the year, with average commercial loans increasing by 8% to 10%. The firm also indicated that average earning assets are expected to grow by $1 billion to $2 billion from the second quarter of 2026.
