Fifth Third Bancorp - FITB STOCK NEWS

Fifth Third Bancorp (NASDAQ: FITB) released its second Task Force on Climate-related Financial Disclosures (TCFD) Report, highlighting progress in climate risk management since 2019. The report details governance, strategy, risk management, and metrics aimed at sustainability. Fifth Third achieved an A- Climate Leadership score from CDP, placing it in the top quartile of its sector. The bank committed over $7.3 billion to renewable energy financing and aims for $8 billion by 2025. Additionally, it issued a $500 million Green Bond to fund sustainable projects.

Fifth Third Bank has launched a new feature called Smart Savings as part of its Momentum Savings program, aimed at helping customers save effortlessly for various life events like emergencies and vacations. The feature allows users to automate savings by setting specific limits and enables transfers up to twice a week into their savings accounts. This innovation comes at a time when a significant portion of Americans lack adequate emergency savings. Fifth Third is committed to enhancing customer financial control with tools like Early Pay and MyAdvance.

Fifth Third Bancorp (NASDAQ: FITB) reported Q4 2021 net income of $662 million, or $0.90 per diluted share, reflecting a 10% rise year-over-year but an 8% decline sequentially. The bank achieved record commercial loan production of $8.2 billion, up 50% from Q3 2021, and announced a strategic acquisition of Dividend Finance. Despite a strong performance in commercial banking, net interest income showed modest growth and diluted earnings per share were impacted by a special $10 million bonus for front-line employees. The CET1 capital ratio decreased to 9.53%.

Fifth Third Bancorp has announced a definitive agreement to acquire Dividend Finance, a fintech POS lender specializing in financing for renewable energy and home improvement. This acquisition aims to enhance Fifth Third’s digital capabilities and sustainability efforts. Founded in 2013, Dividend Finance is known for its innovative financing solutions in the solar market. The deal, expected to close in Q2 2022, is still subject to regulatory approvals. This move aligns with Fifth Third’s strategy to bolster its commitment to environmental sustainability and support customer transitions to renewable energy.

The Fifth Third Foundation announced over $23 million in grants for 2021, benefiting nearly 140 organizations focused on community programs, affordable housing, and financial literacy. Key initiatives include support for minority homeownership via NeighborWorks America and revitalization efforts in majority-Black communities with nearly $20 million allocated. The Foundation aims to create long-lasting impacts and strengthen communities through these philanthropic efforts, especially in response to pandemic-related needs.

Fifth Third Bank's Foundation Office announced over $5.2 million in grants for 2021, supporting education, arts, health services, and community development for low- to moderate-income individuals and small businesses. Key beneficiaries include Episcopal Retirement Services, which received funding to renovate The Manse for senior housing, and Stepping Stones, which will enhance its campsite for individuals with disabilities. The foundations accept inquiry letters from qualifying nonprofits annually from October 1 to December 31.

Fifth Third Bank’s Community Development Lending and Investments group has secured over $500 million in loans and investments in 2021, creating more than 6,000 housing units for low- and moderate-income families, including seniors. Key projects include John Arthur Flats and Blair Lofts in Cincinnati, catering to income-restricted communities. The group also invested $85 million in the Emerging Minority Developer Fund, aiming to support developers of color in affordable housing development. Fifth Third's total assets were $208 billion as of September 30, 2021.