REGIONS FINANCIAL CORPRF
REGIONS FINANCIAL CORP Segments Disclosure
NOTE 22. BUSINESS SEGMENT INFORMATION
Each of Regions’ reportable segments is a strategic business unit that serves specific needs of Regions’ customers based on the products and services provided. The Company has three reportable segments: Corporate Bank, Consumer Bank, and Wealth Management, with the remainder in Other. The segments are based on the manner in which the CODM reviews the Company's performance. The Company's CODM is the CEO, President and Chair of the Board. As a part of the CODM review, pre-tax income is utilized to allocate resources amongst segments.
The application and development of management reporting methodologies is a dynamic process and is subject to periodic enhancements. As these enhancements are made, financial results presented by each reportable segment may be periodically revised and the prior periods updated to reflect these enhancements. Accordingly, the prior periods may be updated to reflect these enhancements.
The Corporate Bank segment represents the Company’s commercial banking functions including commercial and industrial, commercial real estate and investor real estate lending. This segment also includes equipment lease financing, as well as capital markets activities, which include securities underwriting and placement, loan syndication and placement, foreign exchange, derivatives, merger and acquisition and other advisory services. Corporate Bank customers include corporate, middle market, and commercial real estate developers and investors. Corresponding deposit products related to these types of customers are also included in this segment.
The Consumer Bank segment represents the Company’s branch network, including consumer banking products and services related to residential first mortgages, home equity lines and loans, consumer credit cards and other consumer loans, as
well as the corresponding deposit relationships. These services are also provided through the Company's digital channels and contact center.
The Wealth Management segment offers individuals, businesses, governmental institutions and non-profit entities a wide range of solutions to help protect, grow and transfer wealth. Offerings include credit related products, trust and investment management, asset management, retirement and savings solutions and estate planning.
Other includes the Company’s Treasury function, the securities portfolio, wholesale funding activities, interest rate risk management activities and other corporate functions that are not related to a strategic business unit. Also within Other are certain reconciling items in order to translate the segment results that are based on management accounting practices into consolidated results. Management accounting practices utilized by Regions as the basis of presentation for segment results include the following:
•Net interest income is presented utilizing an FTP approach, for which market-based funding charges/credits are assigned within the segments. By allocating a cost or a credit to each product based on the FTP framework, management is able to more effectively measure the net interest margin contribution of its assets/liabilities by segment. The summation of the interest income/expense and FTP charges/credits for each segment is its designated net interest income.
•Provision for (benefit from) credit losses is allocated to each segment based on an estimated loss methodology. The difference between the consolidated provision for (benefit from) credit losses and the segments’ estimated loss is reflected in Other.
•Income tax expense (benefit) is calculated for the Corporate Bank, Consumer Bank and Wealth Management based on a consistent federal and state statutory rate. Any difference between the Company’s consolidated income tax expense (benefit) and the segments’ calculated amounts is reflected in Other.
•Management reporting allocations of certain expenses are made in order to analyze the financial performance of the segments. These allocations consist of operational and overhead cost pools and are intended to represent the total costs to support a segment.
The following tables present financial information, including non-interest income disaggregated by major product category, for each reportable segment for the years ended December 31:
| 2025 | |||||||||||||||||||||||||||||
| Corporate Bank | Consumer Bank | Wealth Management | Other | Consolidated | |||||||||||||||||||||||||
| (In millions) | |||||||||||||||||||||||||||||
| Net interest income | $ | 1,877 | $ | 2,937 | $ | 177 | $ | — | $ | 4,991 | |||||||||||||||||||
| Provision for (benefit from) credit losses | 337 | 273 | 7 | (147) | 470 | ||||||||||||||||||||||||
Non-interest income (loss) (1): | |||||||||||||||||||||||||||||
| Service charges on deposit accounts | 246 | 386 | 3 | — | 635 | ||||||||||||||||||||||||
| Card and ATM fees | 42 | 444 | 1 | — | 487 | ||||||||||||||||||||||||
| Investment management and trust fee income | — | — | 362 | — | 362 | ||||||||||||||||||||||||
| Capital markets income | 344 | 2 | 1 | — | 347 | ||||||||||||||||||||||||
| Mortgage income | — | 158 | — | — | 158 | ||||||||||||||||||||||||
| Investment services fee income | — | — | 182 | — | 182 | ||||||||||||||||||||||||
| Commercial credit fee income | 114 | — | — | — | 114 | ||||||||||||||||||||||||
| Bank-owned life insurance | — | — | — | 95 | 95 | ||||||||||||||||||||||||
| Securities gains (losses), net | — | — | — | (53) | (53) | ||||||||||||||||||||||||
Market value adjustments on employee benefit assets | — | — | — | 20 | 20 | ||||||||||||||||||||||||
| Other miscellaneous income (loss) | 209 | 79 | 3 | (103) | 188 | ||||||||||||||||||||||||
Total non-interest income (loss) | 955 | 1,069 | 552 | (41) | 2,535 | ||||||||||||||||||||||||
Non-interest expense: | |||||||||||||||||||||||||||||
| Salaries and employee benefits | 564 | 726 | 281 | 1,045 | 2,616 | ||||||||||||||||||||||||
| Equipment and software expense | 22 | 100 | 2 | 297 | 421 | ||||||||||||||||||||||||
| Net occupancy expense | 27 | 221 | 12 | 28 | 288 | ||||||||||||||||||||||||
Other expenses (benefits) (2) | 647 | 1,468 | 188 | (1,315) | 988 | ||||||||||||||||||||||||
Total non-interest expense | 1,260 | 2,515 | 483 | 55 | 4,313 | ||||||||||||||||||||||||
| Income before income taxes | 1,235 | 1,218 | 239 | 51 | 2,743 | ||||||||||||||||||||||||
| Income tax expense (benefit) | 309 | 304 | 60 | (86) | 587 | ||||||||||||||||||||||||
| Net income | $ | 926 | $ | 914 | $ | 179 | $ | 137 | $ | 2,156 | |||||||||||||||||||
| Average assets | $ | 69,862 | $ | 37,442 | $ | 2,151 | $ | 48,563 | $ | 158,018 | |||||||||||||||||||
| 2024 | |||||||||||||||||||||||||||||
| Corporate Bank | Consumer Bank | Wealth Management | Other | Consolidated | |||||||||||||||||||||||||
| (In millions) | |||||||||||||||||||||||||||||
| Net interest income | $ | 1,821 | $ | 2,834 | $ | 163 | $ | — | $ | 4,818 | |||||||||||||||||||
| Provision for (benefit from) credit losses | 362 | 270 | 8 | (153) | 487 | ||||||||||||||||||||||||
Non-interest income (loss) (1): | |||||||||||||||||||||||||||||
| Service charges on deposit accounts | 223 | 385 | 3 | 1 | 612 | ||||||||||||||||||||||||
| Card and ATM fees | 43 | 424 | 1 | (1) | 467 | ||||||||||||||||||||||||
| Investment management and trust fee income | — | — | 338 | — | 338 | ||||||||||||||||||||||||
| Capital markets income | 346 | 1 | 1 | — | 348 | ||||||||||||||||||||||||
| Mortgage income | — | 146 | — | — | 146 | ||||||||||||||||||||||||
| Investment services fee income | — | — | 157 | — | 157 | ||||||||||||||||||||||||
| Commercial credit fee income | 111 | — | — | — | 111 | ||||||||||||||||||||||||
| Bank-owned life insurance | — | — | — | 102 | 102 | ||||||||||||||||||||||||
| Securities gains (losses), net | — | — | — | (208) | (208) | ||||||||||||||||||||||||
Market value adjustments on employee benefit assets | — | — | — | 25 | 25 | ||||||||||||||||||||||||
| Other miscellaneous income (loss) | 174 | 81 | 2 | (90) | 167 | ||||||||||||||||||||||||
Total non-interest income (loss) | 897 | 1,037 | 502 | (171) | 2,265 | ||||||||||||||||||||||||
Non-interest expense: | |||||||||||||||||||||||||||||
| Salaries and employee benefits | 558 | 721 | 260 | 990 | 2,529 | ||||||||||||||||||||||||
| Equipment and software expense | 19 | 101 | 3 | 283 | 406 | ||||||||||||||||||||||||
| Net occupancy expense | 27 | 210 | 12 | 29 | 278 | ||||||||||||||||||||||||
Other expenses (benefit) (2) | 666 | 1,369 | 178 | (1,184) | 1,029 | ||||||||||||||||||||||||
Total non-interest expense | 1,270 | 2,401 | 453 | 118 | 4,242 | ||||||||||||||||||||||||
Income (loss) before income taxes | 1,086 | 1,200 | 204 | (136) | 2,354 | ||||||||||||||||||||||||
| Income tax expense (benefit) | 271 | 300 | 51 | (161) | 461 | ||||||||||||||||||||||||
| Net income (loss) | $ | 815 | $ | 900 | $ | 153 | $ | 25 | $ | 1,893 | |||||||||||||||||||
| Average assets | $ | 69,207 | $ | 37,947 | $ | 2,063 | $ | 44,664 | $ | 153,881 | |||||||||||||||||||
| 2023 | |||||||||||||||||||||||||||||
| Corporate Bank | Consumer Bank | Wealth Management | Other | Consolidated | |||||||||||||||||||||||||
| (In millions) | |||||||||||||||||||||||||||||
| Net interest income | $ | 2,007 | $ | 3,123 | $ | 190 | $ | — | $ | 5,320 | |||||||||||||||||||
| Provision for (benefit from) credit losses | 343 | 279 | 8 | (77) | 553 | ||||||||||||||||||||||||
Non-interest income (1): | |||||||||||||||||||||||||||||
| Service charges on deposit accounts | 193 | 396 | 3 | — | 592 | ||||||||||||||||||||||||
| Card and ATM fees | 45 | 458 | — | 1 | 504 | ||||||||||||||||||||||||
| Investment management and trust fee income | — | — | 313 | — | 313 | ||||||||||||||||||||||||
| Capital markets income | 219 | 1 | 1 | 1 | 222 | ||||||||||||||||||||||||
| Mortgage income | — | 109 | — | — | 109 | ||||||||||||||||||||||||
| Investment services fee income | — | — | 138 | — | 138 | ||||||||||||||||||||||||
| Commercial credit fee income | 105 | — | — | — | 105 | ||||||||||||||||||||||||
| Bank-owned life insurance | — | — | — | 78 | 78 | ||||||||||||||||||||||||
| Securities gains (losses), net | (1) | — | — | (4) | (5) | ||||||||||||||||||||||||
Market value adjustments on employee benefit assets | — | — | — | 15 | 15 | ||||||||||||||||||||||||
| Other miscellaneous income (loss) | 151 | 80 | 2 | (48) | 185 | ||||||||||||||||||||||||
| Total non-interest income | 712 | 1,044 | 457 | 43 | 2,256 | ||||||||||||||||||||||||
Non-interest expense: | |||||||||||||||||||||||||||||
| Salaries and employee benefits | 546 | 732 | 254 | 884 | 2,416 | ||||||||||||||||||||||||
| Equipment and software expense | 20 | 110 | 3 | 279 | 412 | ||||||||||||||||||||||||
| Net occupancy expense | 27 | 222 | 12 | 28 | 289 | ||||||||||||||||||||||||
Other expenses (benefit) (2) | 635 | 1,509 | 158 | (1,003) | 1,299 | ||||||||||||||||||||||||
Total non-interest expense | 1,228 | 2,573 | 427 | 188 | 4,416 | ||||||||||||||||||||||||
Income (loss) before income taxes | 1,148 | 1,315 | 212 | (68) | 2,607 | ||||||||||||||||||||||||
| Income tax expense (benefit) | 287 | 330 | 52 | (136) | 533 | ||||||||||||||||||||||||
| Net income | $ | 861 | $ | 985 | $ | 160 | $ | 68 | $ | 2,074 | |||||||||||||||||||
| Average assets | $ | 69,520 | $ | 37,762 | $ | 2,044 | $ | 43,691 | $ | 153,017 | |||||||||||||||||||
_____
(1) Non-interest income includes $650 million, $473 million, and $534 million of revenue that is not from a contract with a customer for the years ended December 31, 2025, 2024 and 2023, respectively.
2) See Note 18 for a detail of expenses compromising other expenses.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 24, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2015 | Feb 16, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.