Shares of PNC at last check were off 1.4% to $158.07.
Fourth-quarter net was $1.46 billion, or $3.26 a share, compared with $1.38 billion, or $2.97 a share, in the year-earlier quarter.
The FactSet consensus called for earnings of $2.61 a share.
Revenue totaled $4.21 billion, compared with $4.32 billion a year ago.
Revenue from interest on loans was $2.42 billion compared with $2.49 billion a year earlier. Non-interest revenue came to $1.78 billion against $1.83 billion.
Wall Street called for interest-related revenue of $2.48 billion and non-interest revenue of $1.67 billion.
The company said that in the quarter it recaptured $254 million that it had provisioned for credit losses, "reflecting improvements in macroeconomic factors." PNC had provisioned $52 million for credit losses in the third quarter.
Average deposits increased sequentially by $8.9 billion, or 3%, to $359.4 billion due to growth in both commercial and consumer deposits.
Bill Demchak, president, chairman and CEO, said in a statement that "PNC had a notable year in 2020 amid the many challenges of the pandemic."
"We achieved solid financial results, grew loans and deposits, delivered positive operating leverage, and maintained our strong capital position," Demchak said.
"Nonetheless, net income from continuing operations decreased as we built substantial reserves to address the uncertain economic environment that still remains."
In November, PNC said it would acquire the U.S. banking operations of Spain's BBVA for $11.6 billion cash, making it the biggest regional bank by assets under management in the U.S.
The transaction is expected to close in mid-2021 and will increase PNC's total assets by an estimated $102 billion, creating the fifth largest bank by assets.